The consortium of Transstroy-JSC EC UES has finally been selected as the contractor to build the three main components of the Rs. 16,100-crore Polavaram project -- rock-fill-cum-earthen dam, spillway and penstocks for 960-MW powerhouse planned as part of the project.
The selection has been made by the State Level Standing Committee (SLSC) headed by C. Muralidhar, engineer-in-chief, Irrigation, and reportedly approved by the High Level Committee which has Chief Secretary (Minnie Mathews) as its chairperson. The SLSC has other engineers-in-chief, the director, Finance, and the chief engineer, Central Designs Organisation, as members. Subject to final approval of the selection by Chief Minister N. Kiran Kumar Reddy, Transstroy consortium will be awarded the contract for the works. Transstroy-JSC EC UES quoted a price of Rs. 4,054 crore which was 14 per cent less than the IBM (internal bench mark) value fixed by the government at Rs. 4,717 crore.
The consortium thus became the lowest price bidder -- or L1. An official said Soma Enterprise, which was identified L1 earlier as it had quoted Rs. 4,147 crore, has now emerged as the fourth lowest bidder by quoting a price of Rs. 4,599 crore this time. Madhucon Projects and Gammon India turned out to the second and third lowest bidders by quoting Rs. 4,091 crore and Rs. 4,339 crore respectively. The re-process of identifying the lowest bidder, however, was undertaken again at the instance of the High Court following petitions filed by other companies against listing of Soma as L1. SEW Infrastructure had been originally identified as the lowest bidder (L1). But its selection was scrapped following a hue and cry by political parties.
