Transparency, due processes followed in Zojila award: Govt

Facing heat from opposition, Road Transport Ministry today said all due processes in line with the Cabinet approval were followed in award of strategic Rs 10,050 crore Zojila pass tunnel contract to IRB Infrastructure Developers Ltd.
The statement comes a day after Congress demanded sacking of Union Minister Nitin Gadkari, alleging that the award was a "clear case of corruption at the highest level".
"Ministry of Road Transport & Highways follows due procedure while maintaining complete transparency in the award of any contracts. In the instant case also the contract was awarded after due diligence after the bid was found technically responsive. Financial bid was opened and the quoted Semi Annuity amount found in line with the approval of CCEA for award of the work," an official statement said.

It said the award was granted to IRB Infrastructure only after initial three bids had to be cancelled due to receipt of only "single bid", while all norms right from detailed project report were adhered to for the strategic project in Jammu & Kashmir to provide all weather connectivity to Leh-Ladakh.
"E-Tendering process was adopted for award of Zojila Tunnel contract with the mode of BOT and concession period of 22 years including 7 years construction period," it added.
It said bids for the tunnel were invited first in April 2013 but had to be cancelled at technical stage only due to "single tender", and fresh tenders were floated but had to be cancelled in the financial stage due to single tender again.

"Based on the experience, the government changed the system of calling bid from from two stage system to single stage and a fresh bid adopting single stage (two cover) system for wider participation by the Agencies was called," it said.

"Considering the geographical & strategic location of the project, a wider publication through newspapers and through Ministry of External Affairs to foreign countries, Indian Road Congress, International Association of Bridge & Structural Engineers, Ministry of Railways was adopted," it said.
However, the statement added that despite sufficient time of over 90 days from July 30 to November 2, 2015 only one bidder participated which had to be cancelled again as per the rule that single tender received in "first call shall be cancelled without opening the bid and the tender shall be re-invited".

"Subsequently, tender was re-invited giving the last date for submission of the bid on December 10, 2015. In response only single bid was received from IRB Infrastructure Developers Ltd. The bid was opened and evaluated. Found technically responsive and its financial bid was opened and found the quoted Semi Annuity amount in line with the approval of CCEA for award of the work," it said.
Congress General Secretary Digvijay Singh yesterday alleged that Gadkari, Minister of Road Transport and Highways, violated the CVC guidelines while awarding the contract.
Gadkari has rubbished the charges of corruption, saying that Singh's allegations were "completely false" as the ministry followed a transparent e-tender system.