During the first three quarters (Q1-Q3) of FY19, bids were invited for an aggregate value of Rs 4,96,364 crore of project-related work through tendering. In all, during the period a total of 23,398 project tenders were floated.
Since tendering is mandatory in the public sector, a bulk of the project tenders were floated by government agencies. In recent years, the private sector companies too are opting for the tendering route for selection of contractors for execution of their projects.
Ownership-wise, the state government accounted for 79.52 percent of the total number of tenders floated during the first nine months of the financial year and the Central government’s share was limited to 19.21 percent. The balance 1.27 percent was accounted by private project tenders. The share of total project works offered through tender by the state government was worth Rs 3,35,404 crore (18,606 tenders) while that by the Central government was Rs 1,59,910 crore (4,494 tenders).
Among the sectors, Roadways, Water Supply, Community Services, Power Distribution & Irrigation were front-runners in inviting tenders. While Roadways topped the chart with 7,736 tenders worth Rs 1,84,059 crore, Water Supply followed with 3,468 tenders worth Rs 50,748 crore.
The largest tender in terms of work value, in the Roadways sector, was issued by the National Highways Authority of India (NHAI). Between Q1-Q3/FY19, the nodal agency invited bids in 28 packages for construction of eight-lane, access-controlled expressway Delhi-Vadodara Greenfield Alignment (NH-148N) under Bharatmala Pariyojana on EPC. The mega project has a contract value of Rs 25,123 crore.
The Water Supply sector saw 3,468 tenders worth Rs 50,748 crore being floated during Q1-Q3/FY19. The sector accounted for 14.82 percent of the total share of the tenders floated during the first three quarters of this financial year.
During the period, the Rural Water Supply & Sanitation Department, Odisha, floated a total of 195 tenders for taking up water supply works worth Rs 8,002 crore, whereas Andhra Pradesh Drinking Water Supply Corpn invited bids worth Rs 7,615 crore.
One of the most notable tenders in this sector was issued by the Public Works Department (PWD), Tamil Nadu, for execution of Athikadavu-Avinashi scheme as irrigation, ground water recharge & drinking water supply scheme in Tamil Nadu on DBOT basis. The contract value of the project was Rs 1,532 crore.
Project tendering activities in the Community sector aggregated at Rs 53,590 crore (2,825 tenders) in Q1-Q3/FY19. The Power Distribution sector saw 1,670 tenders worth Rs 25,648 crore being floated.
In December 2018 the Maharashtra State Electricity Transmission Company (MSETCL) invited bids for turnkey works contract of 132 kV M/C line from LOC No 45 (of the existing SC line from 220 kV Ahmednagar substation, 132 kV Ahmednagar MIDC substation) (route length 3.5 km) under Nashik zone in Maharashtra. The contract value of the project was Rs 551 crore.
A total of 1,490 tenders with an aggregate value of Rs 39,768 crore were issued in the Irrigation sector during the first nine months till December 2018. The Water Resources Departments of various states issued 662 tenders with an aggregate value of Rs 17,783 crore. The most notable tender was by the Water Resources Department, Madhya Pradesh, for works worth Rs 1,526 crore. The high-value tender was invited for construction of a dam and pressurised pipe irrigation system under Banda major irrigation project in Madhya Pradesh on turnkey basis.
The Narmada Valley Development Authority (NVDA) invited bids for execution of Narmada-Kshipra multipurpose project worth Rs 1,938 crore in Madhya Pradesh on turnkey basis.
Among the states, Maharashtra topped the table with 3,705 tenders worth Rs 67,235 crore being floated in Q1-Q3/FY19. The state accounted for 15.83 percent of the total value of the project tenders announced across the country. The top ten states – Maharashtra, Bihar, Odisha, Karnataka, Madhya Pradesh, Tamil Nadu, Uttar Pradesh, Andhra Pradesh, Rajasthan, West Bengal – accounted for 71.26 percent of the total project tenders announced across the country.