Project Tendering hits the bottom
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Project Tendering after registering brisk activity in June and July 2009, showed some signs of slowdown in August 2009. The declining trend gathered further momentum in September with a number of sub-sectors in the Social infrastructure (Water Supply Schemes, Hospitals and Community Services) and Transport infrastructure (Roadways, Railways, Airports and Ports) registering marked decline in tendering activities.
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Top 10 Sectors in Project Tendering
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Sector |
Rs Crore
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Tenders
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Share %
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Roadways |
7,583
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771
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31.7
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Community Services |
1,279
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327
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13.4
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Railways |
1,205
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280
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11.5
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Irrigation |
851
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206
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8.5
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Water Supply |
598
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173
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7.1
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Real Estate |
637
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109
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4.5
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Power Distribution |
344
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100
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4.1
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Thermal Based Power |
370
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60
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2.5
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Hospitals |
104
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49
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2.0
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Iron & Steel |
0
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45
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1.8
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All Sector |
13,887
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2,434
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100.0
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In the month of September 2009, a total of 2,434 project tenders worth Rs 13,887 crore were floated. Compared with August 2009 statistics, this indicated a fall of 30 per cent in terms of tenders. August 2009 had seen 3,505 project tenders worth Rs 30,917 crore being announced.
State government agencies, which accounted for around 60 per cent of the total project tenders, floated around 21 per cent less tenders in September as compared to the preceding months.
Other than Maharashtra and Haryana (which are currently in Assembly Election mode), major states like Himachal Pradesh, Madhya Pradesh, Tamil Nadu, and Uttar Pradesh saw heavy fall in tendering activities.
Of the total number of tenders floated in September, 1,596 tenders worth Rs 6,567 crore were by State Government agencies, 775 tenders worth Rs 7,124 crore were by Central Government agencies and balance 63 tenders were by Private Companies.
Among the individual tenders floated in September, the announcements of the Uttar Pradesh Power Corporation (UPPCL) and Karnataka Power Corporation (KPCL) were noteworthy. UPPCL proposes to set up thermal power plants in various districts of Uttar Pradesh on the basis of Case-2 tariff based competitive bidding process for procurement of power. On 17 Sep 2009, the Corporation invited bids for selection of consultant for preparation of feasibility study report, detailed project report and carrying out comprehensive study for comprehensive environmental impact assessment for following thermal power projects:
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4,000 MW thermal power plant at Bargarh in Chitrakoot district.
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3x660 MW thermal power plant in Farrukhabad district.
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2x660 MW thermal power plant at Chola in Bulandshahar district.
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2x660 MW thermal power plant at Dohrighat in Mau district.
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2x660 MW thermal power plant at Sandila in Hardoi district.
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Top 10 States in Project Tendering
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State |
Rs Crore
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Tenders
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Share %
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Orissa |
2,983
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346
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14.2
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Karnataka |
519
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282
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11.6
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Maharashtra |
1,483
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264
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10.8
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Andhra Pradesh |
649
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178
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7.3
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Madhya Pradesh |
1,012
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145
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6.0
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Bihar |
1,928
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121
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5.0
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Chhattisgarh |
385
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112
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4.6
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Jharkhand |
427
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106
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4.4
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West Bengal |
253
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106
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4.4
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Uttar Pradesh |
674
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89
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3.7
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All States |
13,887
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2,434
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100.00
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UPPCL also invited bids on 8 Sep 2009, for selection of consultant for preparation of feasibility study report, detailed project report and carrying out a comprehensive study on environmental impact of its proposed 3x660 MW thermal power project in Lalitpur district of Uttar Pradesh.
On 10 Sep 2009, KPCL invited bids for preparation of detailed project report for its proposed 3x700 MW gas based combined cycle power plant at Tadadi near Karwar in the state of Karnataka.
Among the major sectors, Roadways topped the sector-wise list with 771 project tenders worth Rs 7,583 crore. Community Services, Railways and Irrigation followed the list with 327 tenders worth Rs 1,279 crore, 280 tenders worth Rs 1,205 crore and 206 tenders worth Rs 851 crore, respectively.
NHAI, the national highway builder, floated 12 project tenders worth Rs 3,829 crore during September. Among these, six were for four/sixlaning of various national highways across the country under NHDP Phase-III. On 19 Sep 2009, NHAI invited bids for providing consultancy services for feasibility study of four/six laning of Jabalpur- Lakhanadon section of NH-07 in Madhya Pradesh. The Hydel-Based Power sector saw 14 project tenders worth Rs 161 crore in September 2009. On 26 September 2009, Uttarakhand Jal Vidyut Nigam, invited bids for electro-mechanical works of 2x60 MW Vyasi hydroelectric project on EPC basis in Dehra Dun district of Uttarakhand. The cost of the project was estimated at Rs 155.81 crore. Another notable tender in the same sector was floated by Jammu & Kashmir State Power Development Corporation. On 22 Sep 2009, the Corporation invited bids for conducting EIA survey and studies and preparation of EIA and EMP reports for 240 MW Kirthai hydroelectric project in Kishtwar district of Jammu & Kashmir.
Private Sector
Private sector companies floated 63 project tenders during September 2009. These were mainly in the Power, Commercial Complexes and Petroleum Oil & Gas sectors. Some of the major tenders were initiated by
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Indiabulls Realtech, a SPV of Indiabulls Power, for designing, engineering, erection, testing and commissioning of boiler, turbine, generator and auxiliaries for 2x660 MW Sinnar thermal power project in Nashik district of Maharashtra.
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Cairn Energy India Pty for provision of drilling, testing and completion of exploratory wells in the Offshore Palar Block PR-OSN-2004/I.
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Housing Infrastructure & Development (HDIL), a Real Estate Development Company, for construction of commercial building at Premier Mill Compound, Kurla in Mumbai.
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Adani Power Maharashtra, a subsidiary of Adani Group Company, for 2x660 MW supercritical based thermal power plant on single turnkey EPC basis at Tirora in Gondia district of Maharashtra.
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E-Gateway India Private on behalf of Sudama Mahavir Power Private, for EPC/BTG contract for 1,320 MW coal based thermal power project at Barahi village in Bandhavgarh tehsil of Umaria district in the state of Madhya Pradesh.
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Expressions of Interest (EoIs)
In September 2009, 63 EoIs related to Industrial Park, Power and Community Services sectors were announced. Some major EoIs floated in the month were by
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Ranchi Industrial Area Development Authority, a Government of Jharkhand undertaking, for development of mega industrial growth centre at Barhi in Hazaribagh district of Jharkhand.
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Maharashtra Industrial Development Corporation, a Government of Maharashtra undertaking, for development of natural gas infrastructure in their industrial areas at various locations in the state of Maharashtra.
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Himachal Pradesh Power Corporation, a Government of Himachal Pradesh undertaking, for providing consultancy services for setting up of wind power projects in the state of Himachal Pradesh.
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Karnataka Power Corporation, a Government of Karnataka undertaking, for development of LNG terminal for supply of natural gas for 2,100 MW combined cycle power plant at Tadadi Port near Karwar in the state of Karnataka.
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Municipal Corporation of Greater Mumbai (MCGM) for preparation of techno-economic feasibility study report for the erection of 10 MLD sea water desalination plant in Mumbai.
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Empanelment of Consultants/Contractors
During September 2009, 17 notices were published, inviting applications for empanelment of consultants and contractors. Some of the major notices were
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The Uttarakhand State Infrastructure Development Corporation invited bids for empanelment of architects, design consultancy firms for design and supervision consultancy for infrastructure projects.
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Jindal Steel & Power, a part of the Jindal Group, invited bids for registration of architects/architectural firms and construction companies for upcoming township projects in the states of Chhattisgarh, Orissa and Jharkhand.
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The Airports Authority of India (AAI) invited bids for empanelment of independent engineers for independent quality assurance inspection assignment on AAI construction works.
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