PWD issues SOP to curb cost overruns
New Delhi, Nov. 4 -- The Delhi Public Works Department (PWD) has issued new arbitration guidelines aimed at fixing responsibility on officers in cases where cost escalations occur or arbitration awards go against the department, officials said.
According to the order issued on October 31 by additional director general Pradeep Gupta, all arbitration cases resulting in losses to the department must be reviewed by the respective chief engineer.
"In all arbitration cases where awards of the arbitrator go against the department, detailed reasons and lapses, if any, on the part of officials concerned should be examined in detail by the chief engineer concerned," the order stated.
If the arbitral award exceeds 10% of the project cost, the chief en...
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