BGR-Hitachi the lowest bidder for NTPC order

A joint venture (JV) between BGR Energy Systems and Hitachi Power Europe has emerged as the lowest bidder for NTPC’s Rs 16,000-crore supercritical boiler order. BHEL had emerged as the second-lowest bidder, while a JV between Larsen & Toubro (L&T) and Mitsubishi Heavy Industries was placed third lowest, an official from NTPC said.

The state-run power producer opened the price bids on Wednesday for supply of supercritical boilers for 11 units of 660 Mw each. After evaluating the bids, orders would be placed to the two lowest bidders in accordance with Cabinet guidelines, the official added. The tender is for projects in Mouda (2x660 Mw), Solapur (2x660 Mw), Meja (2x660 Mw), Nabinagar (3X660 Mw) and Raghunathpur (2x660 Mw).

The bulk tender project was stuck for almost two years because of court battles. The way for awarding the tender was cleared on February 16, when the Supreme Court overruled a Delhi High Court decision that enabled Ansaldo Caldaie to bid in the tender. Last March, the high court had upheld the plea of a consortium of Ansaldo and Gammon against disqualification by NTPC for the tender. Ansaldo and Gammon took NTPC to the court after the consortium was disqualified from bidding in the first stage, on the grounds that certain parts in the equipment were outsourced.

This was the second time NTPC had floated the tender. In the first round, it had disqualified the L&T consortium on technical grounds. NTPC had floated the bulk tender in October 2009. Only BHEL and L&T had bid for boilers, but the boiler package was re-tendered in June 2010.