Performance Audit of the Indo-Nepal Border Road Project, Ministry of Home Affairs

Findings

1. Of a target of 1,262.36 km, only 367.48 km — 29 per cent — had been completed to surfacing stage as of March 2021, ten years into a project meant to take five.

   “The progress of the work of construction of roads in all the three States was slow and the road construction could not be completed despite the lapse of ten years i.e. 2011-2021. Out of targeted 1262.36 km road to be constructed along the Indo-Nepal border, only 367.48 km of road (29 per cent) has been completed (surfacing work) as of March 2021.”Executive Summary

2. 363 of the border out posts the roads were meant to serve — 81 per cent — lay off the main alignment, 125 of them between one and 20 km away and 16 more than 20 km, with no provision made to connect them.

   “As on March 2021, 363 BOPs (81 per cent) were away from the main alignment of the proposed border road. Out of 363 BOPs, 125 BOPs were away at a distance of ranging one km to 20 km and 16 were away at a distance of more than 20 km. No provision was made to provide the connectivity to such BOPs which were away from the proposed border road.”Executive Summary

3. In West Champaran, Bihar, the alignment approved by the Cabinet Committee on Security was moved more than 20 km from the international border — beyond the border force's patrolling jurisdiction — because the department assumed a wildlife clearance would be refused and never applied for it.

   “Although the wildlife clearance under "Single Window System" was available for the border road, presuming that wildlife clearance would not be given by the Ministry of Environment, Forest and Climate Change (MoEFCC), RCD did not apply for the same and changed the alignment (April 2011). The alignment was shifted to the southernmost boundary (April 2011) of the wildlife reserve area more than 20 km away from the international border. Shifting of alignment did not serve the purpose of border road, as it was beyond the patrolling jurisdiction of the SSB.”Executive Summary

4. Fifteen bridges were built in Bettiah, Bihar, before August 2016 and then the road alignment was changed; joint physical verification of three of them found them incomplete, without approach roads, and unused as of March 2021.

   “15 bridges were constructed in the alignment of the roads along the Indo-Nepal border in Bettiah (West Champaran District) of Bihar before August 2016. After their construction, the alignment of the roads was changed by the Road Construction Department of Bihar… Audit team along with the engineers of the RCD, Bettiah (West Chamaparan District) conducted joint physical verification of three approachable bridges and found that the bridges were incomplete with no approach roads. The bridges remained unutilised (March 2021) as they were not connected to roads.”Executive Summary

5. Detailed project reports had been approved for 842.86 km of the targeted 1,262.36 km — 67 per cent — with 33 per cent still unapproved, and the ministry approved reports without first ensuring land acquisition and forest or wildlife clearances were done.

   “As of March 2021, DPRs for only 842.86 km out of the targeted 1262.36 km of roads (67 per cent) were approved leaving DPRs for 419.50 km of road length (33 per cent) yet to be approved. MHA did not ensure that preparatory works such as land acquisition and Forest/Wildlife clearances were completed by the States before approval of DPR.”Executive Summary

6. Work was awarded on land that was not free of encumbrance, which led to arbitration and terminated contracts and stopped work on 408.98 km — 49 per cent of the approved project length — for up to five years.

   “The work was awarded without ensuring land free from encumbrance which caused arbitration and termination of contracts at various stages. This led to stoppage of work on 408.98 km (396.98 km in Bihar and 12 km in Uttarakhand), i.e. 49 per cent road length of the approved DPRs, up to five years.”Executive Summary

7. Slow construction raised project costs by ₹831.30 crore across 21 stretches, and ₹136.60 crore of mobilisation and equipment advances plus interest remained unrecovered from contractors in Uttar Pradesh and Bihar.

   “MHA did not account for the interest of ₹ 36.74 crore earned by the State Government on unutilised central funds. Further, the advances and interest thereon aggregating ₹ 136.60 crore for mobilisation advance and equipment advance are yet to be recovered from the contractors in Uttar Pradesh and Bihar… Due to the slow progress of construction of roads, the projects costs were increased by ₹ 831.30 crore in 21 stretches.”Executive Summary

8. The memoranda of understanding with Bihar and Uttar Pradesh, without which the states' obligations were not fixed, were signed ten years late.

   “There was delay of 10 years in signing of MoU with State Governments of Bihar and Uttar Pradesh.”Executive Summary

Fact-checks citing this report

• ◑Lacks contextReinforcing Border Security: We will focus on creation of developmental and other necessary infrastructure in border areas to ensure that border security is strengthened, and to enable increased participation of and benefits for border areas in the country's development and progress.