New Delhi: National Highways Authority of India (NHAI) secured a major legal victory after an Arbitral Tribunal rejected most claims worth around Rs. 3,177 crore made by Bareilly Highways Project Limited (BHPL). The Tribunal awarded only Rs. 46 crore, along with applicable interest, marking a significant NHAI arbitration win that protected public funds.
The arbitration related to the 151-km Bareilly–Sitapur BOT (Toll) project in Uttar Pradesh. NHAI had terminated the concession agreement with BHPL, promoted by M/s Era Infra Engineering Limited, in May 2019. The three-member Tribunal examined claims and counterclaims arising from the concession agreement before delivering its award.
The concessionaire had filed 30 claims amounting to nearly Rs. 3,177 crore. However, the Tribunal accepted only three claims valued at Rs. 46 crore plus applicable interest. It rejected the remaining claims after examining the evidence and contractual provisions.
Tribunal upheld NHAI arbitration win and key agreement
The Tribunal upheld the Supplementary Agreement signed on March 30, 2015. It also ruled that delays in the project were concurrent, leading to the rejection of most claims raised by the concessionaire. Although the Tribunal did not allow NHAI’s counterclaims related to financial losses and public inconvenience, the authority successfully defended itself against the bulk of the financial demands.
The latest NHAI arbitration win follows several favourable rulings in recent months. In June 2026, NHAI secured an award worth Rs. 1,202 crore in the Tumkur–Chitradurga six-laning project in Karnataka. Earlier, in April 2026, arbitration involving the Panipat–Jalandhar Highway Project resulted in claims and counterclaims being settled for Rs. 819.96 crore in favour of NHAI. In May 2026, the Tribunal reduced contractor claims of around Rs. 174.49 crore in the Kamrej–Chalthan section of NH-48 in Gujarat to just Rs. 54 lakh.
NHAI said these outcomes reflected its strong contractual management and legal strategy. The authority added that the rulings reinforced its commitment to protecting public funds while maintaining transparency and contractual discipline in national highway development.
