Mukesh Ambani firm back in sea link fray

Dar Consultants' recommendation puts the responsibility of re-considering the preferred bidder between the warring brothers squarely back with the political executive. The state cabinet's committee on infrastructure will meet Wednesday to decide the fate of the project.

The stakes are high for both brothers as the project connects the Special Economic Zone developed by Mukesh Ambani beyond Navi Mumbai with Mumbai and to the proposed second airport for the city. Despite repeated attempts, spokespeople of neither company were available for comment.

The Maharashtra government had asked Dar Consultants to study the bids by both consortiums because it felt RELINFRA-Hyundai had quoted an unrealistic concession period, the period for which bidder gets rights to collect the toll.

RELINFRA-Hyundai, which was declared the preferred bidder in February, had quoted a concession period of nine years and 11 months to SKIL's 75 years. The government's estimate of the concession period is 40 years.

The state government had, accordingly, not issued RELINFRA-Hyundai the letter of intent within one month of winning the bid, a condition of the bid document, but directed Maharashtra State Road Development Corporation (MSRDC), the nodal agency for implementing the project, to appoint consultants to re-evaluate the bids.

A state government official said there is general feeling in government that the project cannot be delayed anymore, so a final decision on the bidder will be taken at this meeting.