‘Mohali Next Generation Programme’: GMADA favouring one big contractor at expense of 343 others by issuing a single 10-year tender worth over Rs 1,000 cr: Contractors Association

Local contractors in Mohali have accused GMADA of favouring one large firm by issuing a single Rs 1,000-crore, 10-year tender for roads and beautification.

The Greater Mohali Area Development Authority (GMADA) Contractors Association has accused the Authority of “favouring one big contractor” at the expense of 343 registered others by issuing a single unprecedented 10-year tender worth over Rs 1,000 crore for road upgradation and beautification As part of its ambitious ‘Mohali Next Generation Programme’ to transform the city into a “Next Generation City”.

According to official information, GMADA issued mega tenders on December 31, 2025 (closing at 11 am on January 22), covering road development, resurfacing, major junction upgrades and beautification works, with a total estimated cost of more than Rs 1,000 crore. Under the programme, key arterial roads and junctions will be redeveloped as per modern standards, with a focus on smoother traffic management and improved urban design.

Although GMADA claims the initiative will significantly upgrade urban infrastructure, improve traffic flow and enhance the city’s aesthetics, local contractors and public representatives raised serious questions over “the intent and conditions of the tenders”.

Officials say the project will not only ease congestion, but also give Mohali a distinct identity as a modern, well-planned and future-ready city.

Even as GMADA highlights the project as a landmark development initiative, the GMADA Contractors Association has levelled allegations of “monopoly creation and deliberate conspiracy” against the authority.

The controversy around a single unprecedented 10-year tender worth over Rs 1,000 crore, covering roads and beautification works across Mohali, with contractors alleging, “Bundling such massive projects into one long-term contract effectively sidelines hundreds of local firms”.

GMADA Contractors Association president Harshdeep Singh Sra and other contractors claimed that the eligibility criteria excluded all local companies from Punjab, Haryana and Himachal Pradesh to “favour one big contractor”.

“As many as 343 registered contractors are now on the verge of unemployment. Our machinery is on EMIs, and banks are pushing us towards default. This is the government’s ‘New Year gift’ to us,” Sra said.

The association warned the GAMADA of protests, including hunger strikes and legal action. “This is a do-or-die situation for us. We will fight democratically and knock on the doors of the high court to protect our rights,” contractors said.

Besides, an important administrative change has also emerged alongside the project, with several major roads previously under the Mohali Municipal Corporation now being brought under the GMADA control for their development and maintenance, sparking a debate at the municipal and local levels.

GMADA Executive Engineer Ajay Garg said, “Tenders have been floated strictly under the ‘Mohali Next Generation Programme’. Once the tender process is completed, work will begin at the earliest. The objective is to develop Mohali into a beautiful, modern and well-organised city.”