New Delhi, October 17, 2026: The National Highways Authority of India (NHAI) has secured a favourable arbitration ruling in a dispute over the Chittorgarh–Udaipur highway project in Rajasthan. The tribunal rejected most of a ₹366.53 crore claim by the project’s concessionaire and awarded ₹33.54 crore in principal counterclaims to the highway authority.
The dispute involved Uchit Expressway Private Limited, promoted by TRIL Roads Pvt. Ltd., which was responsible for the six-laning of a 93.5-km stretch of National Highway 76 (NH-76).
According to an announcement by the Ministry of Road Transport and Highways on October 16, a three-member arbitral tribunal constituted under the Society for Affordable Redressal of Disputes (SAROD) examined financial claims and counterclaims arising from the project’s concession agreement.
Uchit Expressway had submitted claims totalling ₹366.53 crore, including ₹238.18 crore for additional costs attributed to delays associated with the COVID-19 pandemic.
The tribunal rejected the claim for these additional costs and allowed ₹14.51 crore in claims to the concessionaire, along with a conditional refund of ₹2.82 crore.
In its decision on NHAI’s counterclaims, the tribunal awarded the highway authority ₹33.54 crore in principal amounts.
Of this, ₹27 crore relates to the recovery of costs associated with work removed from the original project scope. Another ₹4.03 crore was awarded for failure to maintain the highway, while ₹2.51 crore relates to unauthorised toll collection after the project’s completion date in March 2021.
The ruling substantially reduces the concessionaire’s original financial claims while recognising several counterclaims raised by NHAI. However, the ₹33.54 crore award should not be treated as the authority’s final net recovery, as the tribunal also allowed limited claims and a conditional refund to the concessionaire.
The ministry also highlighted several other arbitration outcomes involving national highway projects during 2026.
In July, NHAI successfully defended claims of approximately ₹3,177 crore in arbitration proceedings involving Bareilly Highways Project Limited.
Another arbitration concerning the Tumkur–Chitradurga six-laning project in Karnataka resulted in an award of ₹1,202 crore in favour of NHAI in June.
In a separate dispute involving the Panipat–Jalandhar Highway Project, arbitration proceedings resulted in a net award of ₹819.96 crore in favour of NHAI. The cases involved concessionaire claims of approximately ₹8,375 crore and NHAI counterclaims totalling ₹2,888.64 crore.
Similarly, in the Kamrej–Chalthan highway dispute in Gujarat, the tribunal awarded the contractor only ₹54 lakh against claims of approximately ₹174.49 crore.
According to the Ministry of Road Transport and Highways, these arbitration outcomes reflect NHAI’s efforts to protect public resources and enforce contractual obligations in national highway projects.
The latest ruling concerns financial and contractual disputes arising from an existing highway project rather than the approval of new construction.
The official announcement does not specify when the awarded amounts will be paid or whether either party intends to pursue further legal proceedings.
The Rajasthan arbitration outcome represents a substantial rejection of the concessionaire’s original claims, alongside an award in NHAI’s favour for contractual matters involving project scope, highway maintenance and toll collection.
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