Indian Railways Tightens Contractor Norms, Boosts Efficiency & Curbs Malpractices

• Indian Railways has tightened eligibility norms for construction contracts to improve execution standards and curb non-serious bidding.
• Reforms include raising the single work threshold to 50% of tender cost and introducing a 20% 'similar nature of work' clause for EPC contracts.
• A fixed bid security of 2% is mandated, and bid capacity will be calculated for all projects above ₹10 crore to filter out weak bidders.
• New measures include a mandatory work plan, contractors executing 60% of project value, and a 5% additional performance guarantee for low bids.
• Passenger-facing reforms include Aadhaar-based OTP for Tatkal, simplified e-ticket refunds, and PRS ticket cancellations at any station.