Four bidders, including Adani Ports and DP World, have entered the Rs 22,323-crore offshore package for Vadhvan Port - dredging and 1,207 hectares of
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On July 16, 2026, PNC Infratech Limited signed two Hybrid Annuity Model (HAM) concession agreements with the National Highways Authority of India (NHAI) for four-laning the NH-927 corridor in Uttar Pradesh.
The combined bid project cost stands at approximately Rs 3,483 crore.
The awards consist of two packages:
- Package 1: Barabanki to Mustafabad (43.03 km) — Rs 1,728 crore
- Package 2: Mustafabad to Biswan (58.49 km) — Rs 1,755 crore
Both will be executed through special purpose vehicles and must be completed within 24 months from the appointed date, followed by 15 years of operations and maintenance.
The awards land at an extraordinary moment.
Barely three weeks after inauguration, sections of the Rs 4,200-crore Kanpur-Lucknow Expressway — also executed by PNC Infratech — developed serious cracking and structural damage, forcing authorities to dig up and rebuild affected stretches.
NHAI has reportedly classified the company as a “non-performer” and initiated the blacklisting process.
Separately, the Central Bureau of Investigation (CBI) has been pursuing a bribery case registered in 2024.
An NHAI General Manager-cum-Project Director was arrested for allegedly accepting a Rs 10 lakh bribe, and four individuals associated with PNC Infratech were named as accused.
The agency alleges the bribe was arranged to influence project approvals, clearances, and official matters related to highway work.
PNC Infratech stated at the time that it was cooperating with the investigation.
The core tension is not about whether PNC Infratech is guilty — the CBI investigation and blacklisting proceedings remain underway and the company is entitled to due process.
The tension is about NHAI operating on two contradictory tracks simultaneously: one arm advancing punitive measures, another awarding fresh contracts worth nearly Rs 3,500 crore to the same entity.
Blacklisting under Indian procurement norms typically involves show-cause notices, technical evaluation, hearings, and final approval from competent authority. The process is deliberately deliberative.
But the award of fresh HAM contracts while that process is active suggests either a lack of centralized contractor evaluation or fragmented decision-making across NHAI’s regional and headquarters units.
Under the HAM framework, NHAI contributes 40% of the bid project cost during construction, while the developer arranges the remaining 60% through equity and debt.
For these two projects, PNC Infratech will need to mobilise private financing of approximately Rs 2,090 crore.
Lenders will now need to price in the risk of an active CBI investigation and a pending blacklisting determination — both of which could materially affect project execution continuity and the developer’s ability to secure future work.
For a publicly listed entity, the order book addition is significant.
But margin quality, financing terms, and the reputational overhang will determine whether these contracts strengthen or strain the balance sheet.
This case exposes a structural gap in India’s highway procurement governance: the debarment machinery moves slower than the procurement machinery.
Until a blacklisting order reaches finality, contractors under active investigation or performance scrutiny remain eligible to bid and win.
The firewall between NHAI’s project execution wing — which observes quality failures firsthand — and its procurement wing — which awards contracts — appears inadequate.
Procedural fairness and the right to defence are sacrosanct. But when the gap between performance flagging and contract award closure runs wide enough to accommodate Rs 3,483 crore in fresh commitments, the system’s credibility as a gatekeeper of quality and integrity comes under question.
Other contractors watching this space will read the signal carefully: what NHAI does next on the blacklisting front will set the precedent for how seriously the authority’s non-performance declarations translate into tangible consequences.
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