The National Highway Authority (NHA) penalising the Echo West, a private contractor, has encashed Rs 177 million bank guarantee due to its poor performance on various projects, including Torkham-Jalalabad Road.
According to details, the NHA was perturbed over the poor performance of the contractor especially on critical Torkham-Jalalabad Road and Hala-Moro additional carriageway project. Pakistan and Afghanistan have been eagerly awaiting the completion of Torkham-Jalalabad Road to restore link between two neighbouring countries as soon as possible.
But, the NHA has been facing scathing criticism due to the poor performance of the Echo West that also compelled the Authority to inject hefty amount of money to complete the project of paramount importance. Some two months back, the Echo West was served a show-cause notice owing to its poor performance. It is disturbing to note that the delay in completion of Torkham-Jalalabad project has consumed Rs 1 billion in excess of the original estimates.
The 75-km highway between Torkham and Jalalabad is still lying incomplete, the work on which was started in February 2004 at an estimated cost of Rs 1 billion. The project was initially awarded to the Echo West, but the performance of the firm was not up to the mark. Later on, the project was handed over to the Frontier Works Organisation (FWO), but the Echo West remained sub-contractor with the FWO.
The statement issued by the National Highway Authority said it has encashed Rs 177 million bank guarantee of the Echo West, as the contractor was unable to remove objections raised in the show-cause notice.
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