Indonesian firm Bara Daya lowest bidder in Coal India’s import tender

Indonesian firm Bara Daya Energi has quoted the lowest for two coal import tenders of (CIL) for supplying 3 million tonne each. The firm has outbid Adani Enterprises which was the only other bidder for these two contracts. Adani, however, has emerged as L1, or the lowest bidder, for the short term coal import tender of CIL for supplying 2.4 MT.

Bara Daya, however, is a controversial company which earlier faced termination of its contract from Gujarat State Electricity Corporation over “breach of contract and failure to supply coal”, said sources. Even in the first import tender of CIL, Bara Daya was rejected at the technical level on grounds of submitting invalid legal documents such as ‘power of attorney’ and ‘consortium agreement’, said sources.

Bara Daya has submitted its bid through a consortium with an Ahmedabad-based company GHV India. The two tenders pertain to supply of 3 MT of coal at the east coast and west coast of the country, issued by CIL last month. There were only two bidders for these tenders.

The Indonesian company quoted Rs 4,331 crore for the eastern coast tender and Rs 4,497 crore for the west coast. Adani Enterprises, which is the second, quoted Rs 5,035 crore and Rs 5080 crore for west and east coast, respectively. This is a medium-term supply contract for CIL to build a stock during next season.

For the first tender, for which the winning bid was submitted by Adani, is still being evaluated. The company had quoted Rs 4,033 crore in its bid. Sources said the contract has been awarded to Adani. There were 11 other bidders for this contract to supply 2.4 MT during the June-September period.

CIL issued a tender for purchasing imported coal for power-generating companies (gencos) after the Centre directed it to meet the shortfall in the domestic coal supply chain. Recently, state-owned NTPC awarded 6.25 MT of imported coal tender worth Rs 8,300 crore to Adani Enterprises, this paper reported.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Source link

Comments are closed.