CAG Report on Vizhinjam Pact: Procedures skipped
Vizhinjam pact loaded in favour of Adani: CAG Report
"Unfavourable conditions in the concession agreement of the Vizhinjam seaport project have gone against the interests of the State government and to the advantage of Adani Ports and SEZ Private Limited, the Comptroller and Auditor General has said.
A link to a report on the subject in the Hindu with my comments posted at this Blog on February 24, 2015 copied below:
Vizhinjam: State to woo 3 companies - The Hindu
What is intriguing is why this move to clarify issues for the benefit of prospective participants in a project of this size(involving an investment of over Rs 4000 crore), did not get initiated during the earlier extended period.
Now, the time for submission of tenders has been extended by three more weeks. The other options reportedly considered by the Project Board were, (a) negotiate with all the five companies which had qualified in the preliminary round and make changes in the conditions and (b) go for re-tendering after making material changes in the conditions. In the present scenario, it is to be seen whether hurrying with lobbying to somehow manage one company, or a couple of companies, to submit tender/s in the right spirit even by CM’s well-wishers within his own party.
A Rs 4089 crore project should have received better professional treatment in its conception, project formulation and procedures followed for implementation of the project. This is the fourth time the tender process has failed.
Ideally, as more than ten years have passed after conceiving the project, the project authorities should have opted to withhold tendering by another 3 to 6 months and sorted out hurdles including National Green tribunal issues and the case pending before the Supreme Court. A global re-tendering after sorting out major impediments would attract competition resulting in better and cost-effective implementation of the project.
M G Warrier, Thiruvananthapuram