In a bid to mitigate the impact of global cost escalation on National Highway projects, the Ministry of Road Transport and Highways has announced a temporary compensation mechanism effective from April 1 to June 30, 2026. Provisions for EPC (Engineering, Procurement and Construction) and HAM (Hybrid Annuity Model) projects have been relaxed to facilitate monthly payments to contractors. Under modified EPC price adjustment norms, the Wholesale Price Index (WPI) for key components will now be taken one month prior to the Interim Payment Certificate month, instead of the earlier three-month gap. Price adjustment payments under EPC contracts will be released alongside monthly bills, while HAM projects will also receive monthly escalation payments based on the Price Index Multiple. The Ministry said the three-month relaxation will be reviewed depending on evolving global economic conditions.