New Delhi, April 23 -- The Delhi Public Works Department (PWD), which is instrumental in the development of infrastructure in the national capital, has decided to move away from arbitration to resolve disputes in future contracts.

The department said any dispute arising in the future will be resolved through litigation in Delhi courts, according to an order dated 21 April. Mint has seen a copy of the order.

The decision follows an advisory issued by the finance ministry in June 2024, which asked all government entities-including departments, public sector undertakings (PSUs), and state agencies-to reduce their reliance on arbitration in public procurement contracts.

The advisory cited high costs and delays associated with arbitration, ...