NHIDCL Terminates Sadguru Engineers Contract Over Prolonged Delays on Jorhat-Jhanji NH Stretch

Staff Reporter

Guwahati: The never-ending story of the 4-lane national highway construction in Upper Assam is back in the limelight, with NHIDCL terminating the contract of a construction firm due to delays in completing work on the Jorhat-Jhanji stretch.

Work on the Jorhat-Jhanji stretch has seen innumerable delays since construction started on this stretch of National Highway 37 (Old) or NH 715 (New). At one point, the NHIDCL divided the package for this stretch into four. After the bidding process, Sadguru Engineers & Allied Services Pvt. Ltd. was awarded two packages on this stretch: Package Nos. I and IV. Package No. I comprised a length of 10 km of the 4-lane NH, and Package No. IV consists of a bridge and a toll plaza. Both packages were awarded to the firm on January 15, 2024. NHIDCL issued the appointment date on February 14, 2024. Packages 1 & 4 were scheduled to be completed by August 11, 2024. As per NHIDCL, delay in construction was observed right from the outset, and notices were served on the firm to speed up the work. Despite several reminders issued later, the pace of work was not speeded up. Even in the first half of 2026, the completion target for both packages was not met. Finally, frustrated by the breaches of contract by the firm, the NHIDCL headquarters in New Delhi decided to terminate the contract agreement with Sadguru Engineers & Allied Services Pvt Ltd.

In its June 3, 2026, order for Package No. I, NHIDCL states, “In exercise of powers under Article 23.1 of the EPC Contract, the Authority hereby terminates the EPC Contract dated February 7, 2024, with M/s Sadguru Engineers & Allied Services Pvt. Ltd. with effect from the date of issue of this Notice. The provisions of Article 23.4 shall become operative immediately. EPC Contractor (EPCC) is directed to cease all Works forthwith and vacate the Site within fifteen (15) days from the date of this Notice in accordance with Article 23.4 of the EPC Contract.”

Regarding Package No. IV, the NHIDCL notice says, “In view of the foregoing, the Authority is satisfied that EPCC has committed persistent and fundamental breaches of the EPC Contract. Hence, in exercise of its powers under Article 23.1 of the EPC Contract, the Authority hereby terminates the EPC Contract dated February 7, 2024, executed with M/s Sadguru Engineers & Allied Services Pvt. Ltd. in respect of Package-IV with effect from the date of issue of this Notice. The provisions of Article 23.4 shall become operative immediately. EPCC is directed to cease all Works forthwith and to vacate the Site within 15 (fifteen) days from the date of this Notice.”

Also read: 4-lane National Highway: August target for Jorhat-Jhanji stretch