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Fresh tenders invited for Veligonda tunnel-2 works in Andhra Pradesh

Tenders will be opened on October 11 and reverse tendering process will also be conducted the same day for Rs 553.13-crore works

Published: 23rd September 2019 10:37 AM  |   Last Updated: 23rd September 2019 10:37 AM   |  A+A-

The government recently cancelled the contract with Rithwik  Projects Pvt Ltd as the company had failed to complete even 25 per cent of the allocated work of the tunnel.

The government recently cancelled the contract with Rithwik  Projects Pvt Ltd as the company had failed to complete even 25 per cent of the allocated work of the tunnel.

By Express News Service

ONGOLE: The state Water Resources department on Sunday invited tenders for reverse tendering of Poola Subbaiah Veligonda Project Tunnel-2 works worth Rs 553.13 crore.

The government recently cancelled the contract with Rithwik  Projects Pvt Ltd as the company had failed to complete even 25 per cent of the allocated work of the tunnel.

Bids will be received from Monday and will be closed on October 9. Tenders will be opened on October 11 and reverse tendering process will also be conducted the same day.

Rithwik Projects Pvt Ltd had to complete the balance works of the second tunnel in September 2018.



But, even after one year, the construction company was unable to fulfil the contract terms and the pace of works was not up to the mark.

With this, the state government has decided to cancel the contract and go for reverse tendering to speed up the project works and minimise the project expenditure.

Rithwik was given construction of tunnel-2 works at a length of 8,037 m (from KM 10.750 to KM 18.787), including excavation of link canal at exit of Veligonda Project Tunnel near Kothur village in Prakasam district, at an estimated cost of Rs 597.34 crore.

As per the contract norms, in one year, the company has to complete 50 per cent of the agreed works. But, the company was able to complete only around 500 meters out of total 8,037 meters of the tunnel works.

Construction Circle Superintending Engineer (SE) V Veerrraju said, “After going through the expert committee report and suggestions, higher officials decided to drop the contracting company as the contractor was not able to complete even 50 per cent of the allocated works in one year.”  

Recently, the expert committee constituted by the government visited the Veligonda project site and inspected the tunnel works. Later, it submitted a detailed report along with suggestions to the state government.

Based on the expert committee report and suggestions, the State government decided to drop the Rithwik Projects Pvt Ltd from the Tunnel-2 works and orders were issued to the contract company.

 

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