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Monday, 14 Apr 2008
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Project Tender Review

 

In March 2008, ProjectsToday observed an increase of 26 per cent in project tendering business compared to February 2008. A total of 3,516 project related tenders were floated, with an estimated job works worth Rs.34,774 crore. During the month 2,695 tenders worth Rs.18,435 crore were by state government agencies, 785 tenders worth Rs.16,304 crore were by Central government agencies and balance 36 tenders were by private companies.

 

 
Top 10 Sectors in Project Tendering
 Sectors
 Tenders
 Rs Crore
 Share %
 Roadways
1,748
22,888
49.7
 Irrigation
306
1,004
8.7
 Community Services
284
2,210
8.1
 Water, Sew. Pipeline & Distr.
268
1,948
7.6
 Railways
209
2,058
5.9
 Real Estate
123
1,430
3.5
 Power Distribution
108
1,146
3.1
 Thermal Based Power
70
286
2.0
 Hospitals
63
231
1.8
 Tourism & Recreation
43
128
1.2
 Total
3,516
34,774
100.0

The aggregate cost of project tenders, floated by Central government agencies jumped up to Rs.16,304 crore in March 2008 from Rs.3,518 crore in February 2008. Thanks to NHAI, which floated 15 tenders worth Rs.11,185 crore to meet it's target fixed for 2007-08. Eight of the 15 tenders were for six-laning the national highways under NHDP-V. These projects will be executed as BOT projects under DBFO basis. During last year, beginning April 2007 to March 2008, NHAI floated 162 tenders, of which 31 tenders were floated under NHDP-V. National Buildings Construction Corporation Ltd., National Projects Construction Corporation Ltd., NTPC Ltd. and Airports Authority of India, were the other most active tendering agencies during March 2008.

 

Maharashtra State Road Development Corporation Ltd. floated the most notable tender of the month. It invited global bids to appoint a BOT entrepreneur who would implement Phase- II A of the Western Freeway Sea Link Project. The proposed Phase-II A of WFSL would stretch from Worli to Haji Ali Section in Mumbai, consisting of a sea link approx. 3.4 km and connectors. MSRDC also invited global bids for consultancy services for the feasibility study and pre-tender activities of the proposed Haji Ali to Nariman Point section of Western Freeway Sea Link Project Phase-II B.

 

Among the major sectors, Roadways accounted for 50 per cent of project tenders floated during March 2008. The sector saw 1,748 project tenders worth Rs.22,888 crore being announced. Irrigation, Community Services and Water Supply sectors followed the list with 306 tenders worth Rs.1,004 crore, 284 project tenders worth Rs.2,210 crore and 268 project tenders worth Rs.1,948 crore, respectively. The Hospital sector saw 63 project related tenders being floated worth Rs.231 crore, amongst which the most notable one was by Kolhapur Municipal Corporation. It invited proposals to develop a medical cluster in Kolhapur, on PPP basis. Government of Karnataka floated 11 project related tenders for various construction works under Karnataka Health System Development Project, across the state.

 

Project Tendering by Ownership
 Ownership
Tenders
Rs Crore
 Government
3,480
34,739
 Central Govt
785
16,304
 State Govt
2,695
18,435
 Private Sector
36
35
 Private (Indian)
24
35
 Private (Foreign)
12
0
 Total
3,516
34,774
 

In the Airways sector 19 project related tenders worth Rs.213 crore were floated during the month. Airports Authority of India invited RfQs to construct a new integrated passenger terminal building at Birsa Munda Airport in Ranchi Jharkhand. This notable tender was valued at Rs.113 crore.

 

Another notable project related tender in Airways’ sector came from the Government of Karnataka for the development of a greenfield airport at Bijapur in Karnataka, on PPP basis.

 

Among the major states, Uttar Pradesh topped the state list with 762 project related tenders involving project work worth Rs.2,625 crore. Bulk of the tenders floated during the month was by state government agencies to develop roadways under PMGSY scheme. Uttar Pradesh Jal Nigam Ltd. was also active in project tendering, inviting 32 water supply project related tenders in March 2008. Andhra Pradesh, Maharashtra and Bihar followed the list with 377 project related tenders worth Rs.6,795 crore, 363 project related tenders worth Rs.4,728 crore and 363 project related tenders worth Rs.3,334 crore, respectively.

 

Private Sector

 

Though the sector did not show much increase, project-tendering activities were seen in the private sector during March 2008, some being of high value.

 

 
  • Wardha Power Company Private Ltd., a subsidiary of KSK Energy Ventures Ltd., invited global bids from international suppliers/EPC Contractors/OMEs, to execute a 3600 MW (2x1800 MW) thermal power project in Chhattisgarh on turnkey basis.
  • Cairn Energy India Pty Ltd. invited EoIs from contractors to install single point mooring (SPM) and sub-sea connecting pipeline, as part of the Barmer Salaya pipeline (BSPL) project.
  • Abhijeet Infra Private Ltd. invited global bids for complete execution of the ‘Most Modern Township’ near Chandwa in Latehar, Jharkhand, on EPC basis.

 

Expressions of Interest (EoIs)

 

In March 2008, 76 expression of interest (EoIs) relating to Railways, Power, Roadways and Hospitals sectors were announced. Among the floated EoIs, 39 EoIs were for consultancy services. Some of the major EoIs floated in the month were:

 

 
  • National Highways Authority of India invited EoIs for an independent engineer for six-laning various stretches of national highways under NHDP-V, to be executed as BOT project on DBFO basis.
  • Dedicated Freight Corridor Corporation of India Ltd. invited EoIs for awarding EPC contract for design, engineering, procurement, construction and commissioning of double track electrified railway lines on turnkey basis, part of the Baupur-Mandrak section on Kanpur- Khurja section of Eastern Dedicated Freight Corridor, in Uttar Pradesh.
  • M P State Electronics Development Corporation Ltd. invited EoIs for shortlisting a co-developer, establishing and marketing IT SEZs at Bhopal, Gwalior and Jabalpur in Madhya Pradesh.

 

Empanelment of Consultants / Contractors

 

During March 2008, around 16 notices were published inviting applications for the empanelment of consultants and contractors. Some of the major notices were:

 

 
  • Government of India, Planning Commission invited bids to engage consultants to prepare a model EPC contract for highways.
  • Mysore Sales International Ltd. invited bids to register civil and electrical contractors for the proposed parking-cumoffice building at Site No 36, Cunnigham Road in Bangalore.
  • Navi Mumbai Municipal Corporation invited applications for empanelment of consultants/architects for pre-tender/post tender services for public utility buildings and construction of infrastructure works at Navi Mumbai in Thane, Maharashtra.

 

 
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