Tenderers quote 35% premium for building AP Secretariat

Andhra Pradesh tenders for the construction of the temporary State Secretariat in Capital Amaravati has attracted only two bids, both quoting a premium of 35% over the price set by the government. Since anything in excess of 5% over the quoted price results in rejection, the officials of the Capital Region Development Authority (CRDA) are at their wit's end over the outcome. The CRDA officials are now considering a counter-offer to the construction giants, Larsen & Toubro and Shapurji Pallonji, to allow 24% premium over the tender price but with additional cosntruction, according to Town Planning Minister Narayana. The CRDA officials and the construction giants are meeting later on Wednesday to finalise the issue, failing which new tenders were supposed to be called. In fact, the CRDA had earlier thought of straight away rejecting the tenders and reissuing of a fresh notification. Today's meeting in Vijayawada would clarify matters. However, the CRDA's counter offer has already given rise to speculation, although with increased construction. A renewed notification might set the matters right with increased participation by construction companies. A Chinese participation might mean faster and better construction as against delays by local companies, although this may go against Make-in-India principle. Talk of visits to Singapore, China, Japan, Dallas and Timbuctoo and taking them as models would all be meaningless otherwise.