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Tamil Nadu Minister Aadhav Arjuna on Thursday announced that the state will abolish the commission culture in highway contracts.
He said no money will be demanded under the guise of a Chief Minister’s fund, Minister’s fund, or party fund.
The state minister for public works said only a few companies currently secure a large number of contracts, adding that “benami companies” will no longer be allowed in the system.
Addressing contractors in Guindy, Arjuna said the traditional 20–25% commission system has been dismantled to ensure transparent governance.
“To eliminate middlemen, an automated online billing system will be introduced. Payments will be released within 30 to 45 days without any commissions once a contractor completes a defined milestone, such as 30% of a project,” he said.
He added that a new Marketing and Consumption wing would directly supply essential raw materials, including sand, to contractors.
Arjuna further said a single-window clearance system would be implemented post-tender to ensure contractors do not have to visit government offices repeatedly.
Highlighting investment prospects, he said the union government is expected to invest about ₹2 lakh crore in Tamil Nadu’s highways sector over the next five years if projects are executed efficiently and without corruption.
Also Read | Cabinet clears ₹24,200 crore highway projects across four states to cut travel time
Expressing concern over road safety, he cited an estimated 18,000 annual road accident fatalities in the state and said the government plans to increase highway patrols and establish medical facilities every 50 to 100 kilometres.
He also announced the formation of a six-member dedicated control room to handle grievances, adding that the policy is aimed at enabling contractors to deliver quality roads on time without political or administrative interference.
He said no money will be demanded under the guise of a Chief Minister’s fund, Minister’s fund, or party fund.
The state minister for public works said only a few companies currently secure a large number of contracts, adding that “benami companies” will no longer be allowed in the system.
Addressing contractors in Guindy, Arjuna said the traditional 20–25% commission system has been dismantled to ensure transparent governance.
“To eliminate middlemen, an automated online billing system will be introduced. Payments will be released within 30 to 45 days without any commissions once a contractor completes a defined milestone, such as 30% of a project,” he said.
He added that a new Marketing and Consumption wing would directly supply essential raw materials, including sand, to contractors.
Arjuna further said a single-window clearance system would be implemented post-tender to ensure contractors do not have to visit government offices repeatedly.
Highlighting investment prospects, he said the union government is expected to invest about ₹2 lakh crore in Tamil Nadu’s highways sector over the next five years if projects are executed efficiently and without corruption.
Also Read | Cabinet clears ₹24,200 crore highway projects across four states to cut travel time
Expressing concern over road safety, he cited an estimated 18,000 annual road accident fatalities in the state and said the government plans to increase highway patrols and establish medical facilities every 50 to 100 kilometres.
He also announced the formation of a six-member dedicated control room to handle grievances, adding that the policy is aimed at enabling contractors to deliver quality roads on time without political or administrative interference.
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