Andhra Government awards Polavaram works of Rs 43.59 billion to Megha Engineering

25 Sep 2019 CW Staff

As reported, the Andhra Pradesh Government successfully awarded Megha Engineering and Infrastructures (MEIL) the contract for the key works of the Polavaram irrigation and hydel project that is estimated to be worth Rs 43.59 billion. The YSR Congress went in for the reverse tendering process for the project where MEIL was the only bidder.

The State Government initiated the tendering process after cancelling out the award given by the previous government on account of alleged irregularities. It also terminated several other projects that came up to thousands of billions.

With a call of Rs 49.87 billion of main concrete works and the hydel power plant, the company submitted its bid at 12.6 per cent less than the base price stipulated by the government which resulted in savings of more than Rs 6.28 billion for the state.

Prior to accepting the bid, the YS Jaganmohan Reddy led government were faced with two major options that included awarding the contract to the sole bidder or to put out fresh tenders, thereby further delaying the project.

Additionally, the state’s irrigation minister has also reportedly announced that the government would complete the project in the next two years. They are also set to opt for reverse tendering of other projects as well.

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