10 pre-qualify for Durgapur project

Our Bureau

NEW DELHI, Dec. 14

THE National Highways Authority of India (NHAI) has pre-qualified 10 entities for developing the Durgapur expressway project on annuity basis.

Larsen & Toubro, GVK International, GMR Group, IL&FS, Punj Lloyd, Hindustan Construction Company, Ircon, Jaiprakash Industries Ltd, Gamuda Bhd and RBM (both from Malaysia) have passed the pre-qualification test of the NHAI out of a total of 20 who had expressed interest in the project, Government sources said.

The pre-qualified bidders have been asked to submit their price bids by January 21, 2002.

The project involves four-laning of the 69 km-long stretch between Dankuni and Palsit (called Durgapur Expressway) on NH 2 in West Bengal at a cost of Rs 466 crore.

This will be the first expressway project to be developed on annuity basis under the build,operate and transfer (BOT) format.

As per the annuity method, the private operator will not collect tolls from the users of the facility, but he will be paid a fixed semi-annual sum termed `annuity' by the NHAI to compensate him for the capital costs, operation and maintenance expenses of the project and the returns thereon.

The NHAI had originally tendered the Durgapur Expressway project on a direct tolling basis which was subsequently shelved in favour of the annuity route.