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Tenders for Vizhinjam port project opens today

byCustoms Today Report
24/04/2015
in Uncategorized
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Thiruvananthapuram: The tenders for the Vizhinjam port project will be opened at 5.30pm. The deadline to submit tenders will be ended at 5pm. The government expects three companies that bought the application to submit tenders this time.

The tenders will be examined by a committee comprising the joint secretary of the ports department, the managing director of the company and the secretary. Its recommendation will be sent for the consideration of the empowered committee, chaired by the chief secretary. This panel’s recommendation will be reviewed by the board, chaired by the chief minister, and the final decision will be taken by the cabinet.

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The deadline ending today is the one that was extended after no company took part in the earlier tender. The hope is that, since the central government has assured concessions in cabotage law, the companies that bought the application will submit tenders.

The government was shocked when companies did not submit tenders before the February 20 deadline. On 24th, the chief minister himself held talks with companies that bought applications. It will be known today whether those talks were fruitful.

Essar Ports, Srei-OHL consortium and Adani Ports are the companies that have bought the application. Including them, five companies had technically qualified for the project. Though they were technically qualified, Hyundai consortium and Gammon India did not buy the application.

The government believes it is the concerns about getting concessions in cabotage law to attract international container ships to Vizhinjam that kept the companies away. There were also doubts that it was the pressure of the North Indian lobby that forced the companies to withdraw from the project, which is expected to cost 4,089 crore rupees, despite the central government granting a viability gap fund.

The chief minister, then, directly contacted the Union minister of ports and apprised him about the developments and secured the assurance on concessions in cabotage law. The ports company has high hopes that, this time, it will get a partner for the construction of the Vizhinjam port, which has got all permissions, including environmental clearance.

Tags: open todaytendersVizhinjam port

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