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After the project proposals have been cleared by the Ministry, the Executing Agency would
invite tenders and commence work on the projects. The well-established procedure for
tendering, through competitive bidding, would be followed for all projects. All the projects
scrutinised by the STA and cleared by the Ministry, will be tendered as such, and no changes
shall be made in the work. The States will follow the Standard Bidding Document, prescribed
by the Ministry of Rural Development, for all the tenders.
All State level formalities relating to issue of tender notice, finalisation of tender and
award of works should be completed within 120 days of clearance of the project proposals
failing which it will be deemed that the works in question have been cancelled. A report on
the circumstances in which the work could not be awarded must be sent to the National Rural
Roads Development Agency (NRRDA). The State Government would also stand to lose that

In case the value of tenders received is above the estimate that has been cleared by the
Ministry, the difference (tender premium) will be borne by the State Government.

The tendering work is to be done through the established procedure of competitive bidding.
The standard bidding document (SBD) for PMGSY (approved by NRRDA) has to be
adopted for all the tenders.
PMGSY places high emphasis on time and quality. The tendering and contracting process
and the time period has to be strictly followed as per the relevant clauses of SBD.
Bidding is done in two packet system. To attract right contractors and for healthy
competition, packaging of two or more road projects is allowed.

Excess / deficit in tendered amount has to be adjusted at the district level under intimation to
the NRRDA provided that in any particular package the excess / deficit does not exceed 10%
If the excess / deficient in tendered amount is not adjusted within the district, the same can be
adjusted at the State level at BRRDA under intimation to NRRDA.
In case the value of tenders received is above the estimate that has been cleared by the
Ministry, the difference (tender premium) pooled for the entire State has be borne by the
State Government

Latest Tenders:

1)Executive Engineer, PWD(R&B), Santirbazar Division, Santirbazar,South Tripura

Estimated Cost of Construction Rs. 3,44,59,000 ,Estimated Cost of Maintenance Rs.
43,28,000 and time Allowed for completion (in months) is 12 monthd.
2)Chief Engineer PWD Rajasthan, Jaipur invites on behalf of Chief Engineer PWD
Rajasthan, Jaipur sealed percentage Rate tenders from approved and eligible Contractors
Estimated Cost of Construction Rs. 1,43,50,000 and it is completed in 9 months.
3)Superintending Engineer, PMGSY Circle, PWD, Meerut on behalf of Governor of
UP sealed percentage Rate tenders from approved and eligible Contractors registered with UP
PWD, UP RES, class A, or equivalent category up to 05:00 hours on 30-06-2010 for construction
of maintenance for five years after construction.


Organizations can be defined as groups of people who must coordinate their activities in
order to meet organizational objectives. In order to ensure efficient and streamlined
execution of works under PMGSY, various capacity enhancement measures have been
suggested as an adjunct to the programme. These are required to be put in place for effective
management. Generally, even though PMGSY is primarily aimed at providing new
connectivity, at the sectoral level it seeks the development and strengthening of the rural
roads sector through systematic planning and management of the entire network, and the
institutional strengthening and capacity enhancement is in furtherance of these broader
sectoral objectives as well.

Setting up and operationalisation of an effective state level agency with responsibility to

PMGSY specifically, and for the rural roads network generally is a key component to
institutional development.

1.1 Executing Agencies: State Government identifies a suitable agency having a presence in all
the districts and having established competence in executing time-bound road construction work.
These agencies shall be designated as Executing Agencies. These could be the Public Works
Department/Rural Engineering Services/Rural Engineering Organisation/Rural Works
Department/ Zilla Parishads/ Panchayati Raj Institutions.

1.2 Nodal Department: Each State Government nominate a Department as the Nodal
Department. The Nodal Department have overall responsibility for the implementation of
PMGSY in the State. All communication between the MoRD and the State Government done
through the Nodal Department/State level Agency. The Nodal Department shall normally be the
State Department responsible for rural roads.

1.3 Chief Executive Officer : The Chief Executive Officer of the Agency needs Senior Officer
of the Nodal/ Executing Department preferably with a presence in the State Secretariat hierarchy.

1.4 Financial Controller: The Agency appoint a Financial Controller, to oversee the
operationalisation of the rural roads accounting system. The Agency maintain centralized
accounts, which is accessed by the Programme Implementing Units (PIU) and the Financial
Controller’s primary responsibility is to enforcement of accounting standards and arranging the
auditing thereof.

1.5 Empowered Officer : The Agency has an Empowered Officer .The officer is responsible
for operational management of the project funds and need to be a senior officer (generally of the
rank of Chief Engineer), familiar with Project Management of PMGSY.

1.6 IT Nodal officer : The Agency has a State IT Nodal officer in order to oversee the regularity
and accuracy of the data being furnished by the Programme Implementation Units (PIU) and will
be responsible to oversee the upkeep of the hardware and software as well as the IT training
requirements of the personnel dealing with the PMGSY.

1.7 State Quality Coordinator (SQC) :The Agency has a senior Engineer to function as State
Quality Coordinator (SQC) at the state level. His function is to oversee the satisfactory
functioning of Quality Management mechanism within the State.


The Programme Implementation Units (PIU) are the basic units for project planning, execution
and accounting. A PIU consist of one or more Engineering Divisions, appropriately headed by
an Executive Engineer or Superintending Engineer. The PIU is directly responsible for
contracting implementation and Quality Management of PMGSY works. The PIU also be the
financial and accounting centre at the field level.


A State Level Standing Committee (SLSC) set up preferably under the chairmanship of the Chief
Secretary will be responsible for close and effective monitoring of the programme and to oversee
the timely and proper execution of works .The SLSC needs to comprise all the main stakeholders
in the programme, including:

 Secretaries of the Programme Departments (Rural Development and PWD).

 Secretaries of the Transport, Finance, Forests & Environment and IT Departments.
 State Informatics Officer (NIC) and
 State Technical Agencies (STAs).

Since the primary purpose of PMGSY is to enable basic access to the rural hinterland and thus
increase the tempo of economic activity and reach of social services, the SLSC’s role is crucial
to exploiting the development potential created by the new assets.


While States are primarily responsible for the programme, in view of the need to enhance
technical inputs for design and techno-economic innovation, State Technical Agencies have been
appointed by NRRDA to assist the States. The main functions of the Agencies are:

 Verification of the District Rural Roads Plan prepared by the district Programme
Implementation Unit (PIU).
 Post-Scrutiny of Core Network.
 Scrutiny of the Detailed Project Reports for road works prepared by the District PIU.
 Providing requisite technical support to the PIUs in design, particularly in CD works.
 Undertaking normal tests of parameters for road design and Quality Control tests for
District Programme Implementation Units and State Quality Control Mechanism.
 Training and R&D Monitoring.
 The Agencies will be selected for appointment on the basis of recommendation of the
State Government. In order to qualify.
 Members of STA should have a Civil engineering background and qualifications
including one or more with specialization in Traffic/ Transportation/Highway
 The Agency should have a well established laboratory with adequate testing facilities;
 The Agency should have the infrastructure/facility necessary for organising training


Because PMGSY depends on clear and detailed procedures, with inbuilt time and quality
parameters, monitoring and management of the programme is not only systematic but also highly
amenable to computerization.


The scheduling of activities is one of the major requirements of the program office after a
program go-ahead. There are certain guidelines that should be followed in the preparation of the
 All major events and dates must be clearly defined
 The exact sequence of work should be defined through a networking which
interrelationship between events can be identified.
 Schedules should be directly relatable to the work breakdown structure. The minimum
requirement should be to show where and when all tasks start and finish.
 All schedules must identify the time constraints and, if possible should identify those
resources required for each event.