India Moves To Penalise Contractors For Repeat Highway Accidents
Ministry of Road Transport and Highways (MoRTH) has revised its Build-Operate-Transfer (BOT) framework to include financial penalties for contractors managing accident-prone stretches on national highways. Under the new rules, developers will be fined if more than one accident occurs within a 500-metre stretch in a single year an effort to promote accountability and ensure safer road infrastructure across India.
A senior ministry official confirmed that a penalty of ₹25 lakh will now be imposed on the contractor if two or more accidents take place within the same 500-metre zone during a year. If another such accident occurs the following year, the penalty will double to ₹50 lakh. The rule forms part of a wider revision to the BOT concession agreement, which mandates contractors to proactively manage crashes and implement corrective safety measures.
India’s highways network one of the world’s largest has long grappled with road safety challenges. Official data indicates that over 3,500 accident-prone zones, known as “black spots,” have been identified across national highways. These high-risk areas are often associated with inadequate design, poor signage, or lack of lighting and safety barriers.The new accountability measures are expected to complement ongoing efforts under the government’s broader road safety programme, which seeks to halve fatalities by 2030 in line with the UN Sustainable Development Goals. Contractors will now need to undertake regular safety audits, enhance road geometry, and deploy advanced monitoring systems to minimise recurring crashes.
According to transport experts, this policy shift is significant as it directly links infrastructure performance with financial responsibility. “By enforcing penalties on recurring accidents, the ministry is sending a strong message safety is not optional, it’s contractual,” said a senior road safety specialist.In addition to tightening contractor obligations, the ministry is preparing to roll out a nationwide cashless treatment scheme for road accident victims. The initiative, first piloted in Chandigarh and later expanded to six states, allows accident victims to receive treatment worth up to ₹1.5 lakh for the first seven days at empanelled hospitals. Officials said this scheme will soon be launched across the country to ensure equitable and timely access to emergency care.
Experts view the combination of stricter penalties and post-crash medical support as a holistic approach to improving India’s road safety ecosystem one that focuses on both prevention and response. As India continues to expand its national highway network, integrating sustainability, safety, and accountability remains central to building a more resilient mobility future.
