Ashoka and R&C Win Kharagpur – Moregram Economic Corridor’s Contracts

Ashoka Buildcon Ltd. and R&C Infraengineers Pvt. Ltd. on Monday were declared as the lowest bidders to construct 230.9 km Kharagpur – Moregram Economic Corridor (NH-116A) which forms a part of the 516 km Kharagpur – Siliguri Economic Corridor (EC-14).

This 4 lane access-controlled greenfield highway in West Bengal by National Highways Authority of India (NHAI) is also known as Kharagpur – Bardhaman – Moregram Expressway. Its construction was approved in August 2024 with a total capital cost of Rs. 10,247 crore by India’s Cabinet Committee on Economic Affairs.

The project’s southern terminal at Kharagpur will be located at NH-16, while its northern terminal at Moregram will be located at the intersection of NH-34 & NH-60. It will be constructed via 5 civil packages under Hybrid Annuity Mode (HAM).

NHAI invited tenders for its construction in September 2023 with a 2.5 year deadline. Technical bids for all 5 packages were opened in September 2024. Financial bids for packages 1, 3, 4 & 5 were opened on Monday while Package 2’s tender was cancelled.

Package 1 (41 km)

Estimate: Rs. 984.86 crore

Firm	Bid (Rs. Crore)
Ashoka Buildcon Ltd.	1400.00
PNC Infratech Ltd.	Disqualified

NHAI’s Brief Scope: Development of 4 lane Economic Corridor from Kharagpur to Chandrakona Ghatal Road Crossing sec Km0.000 to Km 41.000 of NH 116A (PKG I) in the state of West Bengal under HAM Mode.

Package 2 (48.81 km) – Cancelled

Estimate: Rs. 1503.29 crore

NHAI’s Brief Scope: Development of 4 lane EC from Chandrakona Ghatal Road Crossing to Bowaichandi sec Km 41.000 to Km 89.814 of NH 116A (Package 2) in the state of West Bengal under HAM Mode

Package 3 (43.18 km)

Estimate: Rs. 1231.32 crore

Firm	Bid (Rs. Crore)
Ashoka Buildcon Ltd.	1391.00
KCC Buildcon Ltd.	1840.00
PNC Infratech Ltd.	Disqualified

NHAI’s Brief Scope: Development of 4 lane EC from Bowaichandi to Guskara-Katwa Road Sec Km 89.814 to Km 133.000 of NH 116A (Package 3) in the state of West Bengal under Hybrid Annuity Mode.

Package 4 (47 km)

Estimate: Rs. 1039.26 crore

Firm	Bid (Rs. Crore)
R and C Infraengineers Pvt. Ltd.	1004.65
NKC Projects Pvt. Ltd.	1195.46
Ashoka Buildcon Ltd.	1240
KCC Buildcon Pvt. Ltd.	1273
Ceigall India Ltd.	1323
G R Infraprojects Ltd.	1347.37
Dineshchandra R Agrawal Infracon Pvt. Ltd.	1377
PNC Infratech Ltd.	Disqualified

NHAI’s Brief Scope: Development of 4 lane Economic Corridor from Guskara-Katwa Road to Mayurakshi Bridge Approach section Km 133.000 to Km 180.000 of NH 116A (Pkg-IV) in the state of West Bengal under Hybrid Annuity Mode.

Package 5 (50.95 km)

Estimate: Rs. 1039.26 crore

Firm	Bid (Rs. Crore)
R and C Infraengineers Pvt. Ltd.	1186.00
NKC Projects Pvt. Ltd.	1350.58
Ashoka Buildcon Ltd.	1463.00
Ceigall India Ltd.	1530.00
KCC Buildcon Pvt. Ltd.	1531.00
G R Infraprojects Ltd.	1567.87
Dineshchandra R Agrawal Infracon Pvt. Ltd.	1655.00
PNC Infratech Ltd	Disqualified

NHAI’s Brief Scope: Development of 4 lane Economic Corridor from Before Mayurakshi Bridge Approach to Moregram section Km 180.000 to Km 230.957 of NH116A (Package 5) in the state of West Bengal under HAM Mode.

Except for Package 4, the lowest bids for the others (P1, P3, P5) were higher than NHAI’s estimate and will head straight to the negotiation table, although I’m not sure if there’s any wiggle room in Package 1 where Ashoka’s bid was a staggering 42.15% higher. NHAI will either have to cough up and meet Ashoka’s bid or retender the package out.

Per the government’s PIB release, this “new corridor will supplement the existing 2-lane National Highway to increase the traffic capacity by about 5 times between Kharagpur and Moregram. It will provide efficient connectivity for traffic between states such as West Bengal, Odisha, Andhra Pradesh etc. on one end and North-Eastern part of the country on the other. The corridor will enable reduction in travel time from existing 9 to 10 hours to 3 to 5 hours for freight vehicles between Kharagpur and Moregram, thereby reducing logistics cost“.

NHAI’s video:

A list of 516 km Kharagpur – Siliguri Economic Corridor’s packages and their status can be viewed here.

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– TMRG