Contractors threaten to boycott govt tenders

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Old 19-Sep-2015
Post Contractors threaten to boycott govt tenders

The Himachal Pradesh Contractor Association (HPCA) yesterday threatened to boycott government tenders if it failed to refund service tax and performance tax in a week and clear over 1,000 pending cases hanging fire for more than 10 years.
They also demanded Lok Adalat or tribunal to finalise the completed works which had been handed over to the government.
“We will not participate in the tendering process if the PWD fails to refund the service tax and performance tax from the date the contractors submit the proof of payment of the tax to the government”, said Satish Vij, general secretary, HPCA, Pramod Sood, adviser, Atul Kuthiala and Sandeep Chandel, association members here today at a press conference.
The contractors resented that they had written to the PWD and other government agencies on these and seven other issues but to no avail.
PWD Nirman Bhavan was inaugurated in 2008 but the government had not finalised the bill and there were over 1,000 cases awaiting clearance, they said.
The most of major works awarded to the Class A contractors ended up with the PWD arbitrators and then in the high court as the government had just one arbitrator, they rued. “More arbitrators must be appointed so that the pending cases are fast-tracked”, Vij said.
As far as performance security of 5 per cent and security deduction of 5 per cent were concerned, both together should be combined into one by omitting the performance security, they demanded. The new clause should be inserted in the contract and the security be refunded in a week’s time, they added.
The HPCA opposed royalty being charged on the procured materials. Second, final bills should paid in six months after the completion of works and securities should be released in 15 days, they demanded.
They said the class A and Class B contractors should be allowed to participate in the allied works of the roads and buildings awarded to them.

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