The contracts awarding process was slowed down during April and May due to the model code of conduct imposed by the Election Commission. With the election process getting over in the last week of May 2009, the contract awarding process by the public sector entities resumed.

In June, a record number of 67 contracts were awarded. However, as most of them were of smaller size, the aggregate amount of contracts awarded added up to Rs 8,540 crore.

Overseas Orders

Four of the 67 contracts awarded in June 2009, were foreign contracts bagged by Indian companies. Of this, the largest one was by the Sultanate of Oman. BHEL bagged this contract worth Rs 375 crore for supplying a gas turbine for a power project being set up by Petroleum Development Oman at Amal, Muscat. Of the balance three, KEC International bagged a contract from a Peruvian company for supplying power transmission towers, Kinetic Engineering bagged an order for supplying transmission gears to an European automobile company and Jindal Saw bagged an order for supplying pipes to a West Asian company.

Sector-wise Distribution

Among the major sectors, the Electricity and Power Distribution together accounted for 38 per cent of both the number of contracts and job work involved therein. In all, 25 contracts aggregating to 3,315 crore were firmed up in these two sectors.

In the Electricity sector, the largest order worth Rs 220 crore was bagged by ABB from Tata Projects for supplying critical inputs to its 2x800 MW Krishnapatnam power project.

In the Power Distribution sector, four large size contracts were finalised. Larsen & Toubro (L&T) was awarded a Rs 496 crore contract from Maharashtra State Electricity Transmission Company for the construction of 220 kV multi-circuit transmission line (130 km) for strengthening of transmission system in Mumbai Metropolitan Region. Areva T&D India bagged a contract from PGCIL valued at Rs 350 crore for supply of four extra high voltage (765kV) substations at Lucknow, Ballia in Uttar Pradesh, and Bina and Satna in Madhya Pradesh. The Maharashtra State Electricity Distribution Company awarded a contract worth Rs 319 crore to Lanco Infratech for laying transmission and distribution network in the Kolhapur zone of Maharashtra.

The Metallurgy sector followed suit with two contracts worth a total Rs 1,260 crore. Welspun- Gujarat Stahl Rohren won a Rs 960 crore contract for the supply of pipes while McNally Bharat Engineering Company bagged a Rs 300 crore contract for a two million tpa Pb-Zinc beneficiation plant to be installed at Sindesar Khurd mines of Hindustan Zinc in Rajasthan.

The Oil & Gas Pipelines sector witnessed five orders worth a total Rs 1,246 crore. Of these, Jindal Saw bagged three orders amounting to Rs 1,000 crore from GAIL, Hindustan Petroleum Corporation and a West Asian company for the supply of large diameter pipes and ductile iron pipes. Jai Hind projects bagged two orders worth Rs 230.81 and Rs 14.84 crore respectively from Gujarat State Petronet. In the Roadways sector, four contracts were awarded worth Rs 861 crore. HCC-Laing -Sadbhav consortium secured a contract worth Rs 835 crore from the NHAI. The work order comprises construction of three major bridges and 38 minor bridges in the country. IVRCL Infrastructures & Projects and J Kumar Infraprojects were the other awardees in this sector.

Among the successful awardees in June 2009, L&T and BHEL were the frontrunners. While L&T won six contracts worth Rs 1,230 crore, BHEL clinched four contracts amounting to Rs 650 crore. (For complete details of contracts awarded since January 2007 please visit the "Orders & Contracts" section in www.projectstoday.com)