ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846
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Contract Awards for Public Works

PUBLIC works are executed through; (i) Government departments, (ii) pri-vate contractors, (iii) voluntary orga-nisations such as the Bharat Sevak Samaj, (iv) workers' co-operatives, and more recently also (v) Government-owned construction firms. In the latter, a beginning was made in 1958 by start-ing the National Projects Construction Corporation (NPCC), However, the amount of work done by all but Gov-ernment departments and contractors is negligible. Even of these two, con-tractors account for the bulk of the work done. This is so in spite of the fact that the contract system has cer-tain disadvantages. The contractor, for instance, acts as a middleman and not infrequently sublets large portions of the work, earning his profits without making any significant professional contribution. Second, in the absence of effective competition, contractors raise the price level in an act of sheer profiteering. Third, contractors do not always adopt the correct specifications, and the result then is substandard work.

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