ITD-ITD Cem JV Lowest Bidder for B’lore Metro’s Hosa Rd – HSR Layout

This is getting a little too repetitive! 

Last month, when the financial bids for package-1 of the 19.14 km RV Road – Bommasandra line were opened, the Bangalore Metro Rail Corporation Ltd. also opened the financial bids for the 6.385 km package-2 to reveal that the Italian-Thai Development – ITD Cementation India (ITD-ITD Cem) JV was once again the lowest bidder vying to construct a portion of the 72 km Phase 2 project. This is ITD-ITD Cem’s 4th win in Bangalore after they emerged as the lowest bidders for Reach 1AReach 1B and Reach-5’s package-1.

The BMRCL invited bids for this package in December 2016 with an estimated cost of Rs. 492.38 crores, and the ITD-ITD Cem JV submitted the lowest bid at Rs. 511.35 crores.

Financial bid values submitted by 5 of the lowest technically qualified bidders:

Firm Bid
ITD-ITD Cem JV Rs. 511.35 cr
NCC Rs. 536.19 cr
HCC-URC JV Rs. 542.67 cr
Simplex Rs. 549.04 cr
IL&FS Rs. 575.83 cr

Package-2’s elevated section, between Hosa Road and HSR Layout, will be built on the western-edge of Hosur Road and consist of 6 new stations named Hosa Road, Basapura Road, Chikkabegur , Muneshwara Nagar , Oxford College and HSR layout.

As per BMRCL’s March 2017 newsletter, land acquisition is still ongoing on this entire stretch – “Compensation packages in respect of 93 properties has been sent to SLAO, KIADB in respect of lands from Central Silk Board Station to Muneshwaranagar Station. SLAO has paid compensation for 37 properties amounting to Rs.131.66 Crores. Compensation packages in respect of 284 properties acquired for 8 KM stretch from Muneshwaranagara Station to Bommasandra are being prepared.

The April newsletter demonstrates a little further progress – “SLAO has paid compensation for 54 properties amounting to Rs.208.78 Crores. Compensation packages in respect of 64 properties out of 284 properties have been sent to SLAO, KIADB for the acquired 8 KM stretch from Muneshwaranagara Station to Bommasandra Station. Notices u/s 29 (2) are being issued by SLAO.

A detailed PDF document which shows the exact locations of all stations can be viewed here. The BMRCL has not yet announced this line’s official color or invited bids for the line’s system (eg. rolling stock, signalling, AFC gates, telecommunication) contracts yet.

This section’s opening is dependent on the completion of package-1 which connects up to the new Hebbagodi Depot. The BMRCL can choose to start fragmented operations here without relying on the RV Road – Silkboard section which will take a lot more time to construct due to the multi-level Jayadeva Hospital Interchange and other obstacles along the way. Timing wise, I expect this section along with package 1 to open no sooner than 2021. If the BMRCL chooses to start operations on this stretch along with the rest of the line for better inter-connectivity, then I expect it to open only in or after 2022.

In the coming days, if no extraneous issues arise, then the BMRCL will go on to award the ITD-ITD Cem JV with the 72 km Phase 2 project’s 8th major civil contract:

Line Reach Stretch Contractor
Purple 2A Mysore Road –
Pattanagere (3.945 km)
IL&FS
Green 4B Yelechenahalli –
Anjanapura Twp (6.290 km)
NCC
Purple 2B Pattanagere –
Challeghata (4.869 km)
Soma
Green 3C BIEC –
Hessaraghata (3.031 km)
Simplex
Purple 1B Visvesvaraya Ind. Area –
Whitefield (7.218 km)
ITD-ITD Cem
Purple 1A Baiyappanahalli –
Visvesvaraya Ind Area
(8.039 km)
ITD-ITD Cem
Line-3 5(P1) Bommasandra –
Hosa Road (6.418 km)
ITD-ITD Cem
Line-3 5(P2) Hosa Road –
HSR Layout (6.385 km)
ITD-ITD Cem

Phase 2’s Status

Blue: Under Construction | Black: Contract Awarded | Orange: Financial Bids Opened | Purple: Bids Invited | Grey: Bids Yet to be Invited

Note: On April 11, the BMRCL awarded Reach 1A to ITD-ITD Cem JV.

With this development, ITD-ITD Cem JV is now 1 step away from being responsible to construct 28 kms of the Phase 2 project. As some of you rightly pointed out here as well as on Twitter, awarding a huge chunk to one contractor is a risky proposition as the success/failure of large important sections, and by extension the entire Phase 2 project, now hinges on the performance of just one company. It’ll be interesting to see what the BMRCL does in consultation with EIB/AIIB to mitigate that risk.

Next in line is Reach 5’s package 3 (HSR Layout – RV Road). Stay tuned to find out its lowest bidder!

May 3 2017 Update: BMRCL has awarded ITD with this section’s contract:

Source: BMRCL

For more updates, check out the Bangalore section of The Metro Rail Guy!

– TMRG

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30 Responses to "ITD-ITD Cem JV Lowest Bidder for B’lore Metro’s Hosa Rd – HSR Layout"

  1. Sumitabh says:

    Delhi and Gurgaon is making new lines operational and here we are inviting and awarding bid for last 5 years. Hopeless.

    Reply
    • Purushotham says:

      In Delhi & Gurgaon metro work, the financial help is provided by Central government but in case of Bangalore metro its a State Government project. That is the main difference in financial way.

      Reply
      • TMRG says:

        Bangalore Metro PH2’s approved funding pattern (%):
        1) GoI’s Share : 20.00
        2) GoK’s Share: 34.02
        3) Senior Debt (Loan): 45.98

        Reply
  2. Mayank says:

    Hi, do you have any estimate on when will the construction start on the Baiyappanhalli to Vishveswaraya line, given that the contract has already been awarded?

    Reply
    • TMRG says:

      Barricading work should begin by June with piling work starting soon after that. Proper/full fledged work is expected only after the monsoons.

      Reply
      • NV says:

        Today I saw couple of men from ITD(could see name on their yellow jacket) doing survey near KR Puram railway station!!

        Reply
        • JC says:

          ITD cem has already moved in some heavy machinery inside the lowry campus, though it appears, there are couple more old structures that needs to be demolished !

          Reply
      • Syed Khaja says:

        Looks like R3C contractor Simplex is waiting for NHAI’s approval for starts the construction on service road?

        Reply
        • TMRG says:

          I’m not sure what’s with the hold up. I do know they’ve started hiring employees and mobilizing resources.

          Reply
          • Syed Khaja says:

            Some details revealed about R3C in this month’s newsletter. “The General Arrangement Drawings and Land planshave been prepared. The process for obtaining permission for use of NHAI service road for construction ofViaduct and Stations of BMRCL is under progress, with NHAI. Notice to proceed to start the work has been issuedon 27.04.2017 to the contractor. Development of casting yard is under progress. Survey works are also underprogress”

          • TMRG says:

            Thanks for sharing!

  3. Hari says:

    There is something fishy all major contracts going to one company…

    Reply
  4. Shashidhar says:

    Looks like ITD-ITD Cem will win 2 more elevated section contract of phase 2.

    BMRCL is taking too much risk by awarding 4/6 sections for elevated line to one company. I think BMRCL should have clause saying it cannot award more than 2/3 sections in phase 2 to the same company.

    Already phase 1 is delayed so much, now awarding 4 sections to one single company raises risk of project competition .

    Reply
    • TMRG says:

      What’s done is done. They can’t change the bidding parameters/stipulations during the process.

      On the flip side, this could be a blessing for Bangalore. If ITD plans it well, they could achieve ‘economies of scale’ to make a good profit while delivering their packages within or close to the stipulated duration. The CEC-SAM JV is doing exactly that in Noida where they won all 3 packages of the 30 km line in May 2015 and plan to complete in Dec 2017. Granted that’s an easier project (less land acq, less traffic to deal with, more site space), but there is room for ITD to optimize and perform better than they would have had they won just 1 package.

      Reply
  5. Ronith says:

    TMRG, does this JV have any record of causing delays and other unnecessary problems, in the recent past?

    Reply
    • TMRG says:

      Nope, they’ve got an excellent track record in Delhi (Phase 1,2,3) and Jaipur. Some notes on recent projects:
      1) Magenta Line – they completed tunneling on package CC-32 (Palam to Shankar Vihar) much before L&T (CC-27) and Pratibha (CC-23) despite being awarded the contract months later. DMRC is currently conducting trial runs on their section, but not on the others’.
      2) Pink Line – they’ve completed building CC-26R wherever they had land. At 3 spots, they (and the DMRC) had to wait for permissions from external authorities (Anand Vihar railway crossing from IR ; NH-24 crossing from NHAI and Trilokpuri from the Delhi Govt).

      People in the civil sector jump across companies all the time – a lot more than in other established sectors, so I wouldn’t be worried about resource number & technical skills.

      Reply
  6. Sampat nayak says:

    Hi TMRG ,

    do you have any idea about ITD-ITD company previous construction information.
    Did they completed on time. What is your opinion regarding this since white field line will be very crowded .

    Thanks

    Reply
  7. Srikanth says:

    Any idea on Silkboard to KR puram Metro ?

    Reply
    • TMRG says:

      Hi, that line has been approved by the state government but funding is yet to be tied up. See information & my thoughts here and here. Start of construction work is contingent on that and will only start in or after 2018/2019.

      Reply
  8. Syed Khaja says:

    Hi TMRG, any idea when would the work starts of dairy circle-nagawara underground stretch?

    Reply
    • TMRG says:

      Bids for UG section’s 4 packages have still not been invited. UG bidding is lot more time consuming than elevated’s, so give it easily 1 year from the time bids are invited. Tunneling works using TBMs will need around 9-12 months to start after the contracts are awarded.

      Reply
  9. Mukesh k Sheth says:

    Pl notify to my mail ant future development on metro works

    Reply
  10. Krishna says:

    Any idea where exactly are the stations going to be for Yellow line (RV Road to Bommasandra). In particular interested in BTM and HSR Layout stations. Mention about earlier buildings that were/going to be demolished will help in getting a better picture.

    Reply

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