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Civil work won by HCC

16 July, 2009 - The Hindustan construction company (HCC) will be awarded the civil construction work component of the 114 MW Dagachhu hydroelectric power project on July 20, after the lowest bidder, Maytas infra, was disqualified. HCC, which quoted Nu 4.2b as opposed to others - Maytas infra (Nu 3.8b) and Patel engineering (Nu 6b) - was the second highest bidder for the work, which is funded by the Asian Development Bank.

According to Dagachu project officials, Maytas infra was disqualified under the integrity pact of the anti-corruption commission, because its parent company, Satyam, controversially involved in corrupt practices.

The integrity pact states that the company awarded the work should not have been involved in any corrupt practice in the last three years. Bidders sign a document committing that the company will not be involved in any form of corruption.

Dagachu officials, however, say that work will start earliest by September, as the bridge en route to the power site was washed away by the May 26 flash flood. “Work can only start once reconstruction of the bridge is completed when the work site will be handed over to HCC,” said an official of Dagachu project.

Initially, the project was scheduled to start in January but was delayed when the project authority doubted the capacity of the lowest bidder, Tata power, which was informed for verification.

Civil construction work includes construction of diversion weir, channel and tunnel construction, powerhouse and transformer caverns, maintenance and control buildings, etc.

HCC earlier won the Nu 6.68 billion Punatsangchhu-I civil works contract in April and were also involved in construction of Tala hydroelectric power project.