Three Indian firms vying for Ogle to Eccles four-lane highway project

Juan Edghill
Juan Edghill

Three Indian companies are vying to construct the much anticipated Ogle to Eccles four-lane highway, which is being funded by a line of credit from the Indian Exim Bank.

The bids from the three companies, Afcons, Ashoka Construction Company, and Dineshchandra R. Agrawal Infracon Pvt. Ltd (DRAIPL), submitted bids for the project after it was retendered last month.

The tender documents were opened on Friday at the National Procurement and Tender Administration Board (NPTAB) boardroom at the Ministry of Finance.

While the engineer’s estimate pegs the project at US$48.6 million, the bids are twice the projected cost. The bids submitted are Afcons – US$108,054,358; Ashoka – US$111,976,119; and DRAIPL – US$106,775,275.

Afcons, which is described on its website as one of the fastest growing infrastructural companies in India, boasts a portfolio of taking on extremely challenging and complex projects. The company operates in the areas of marine and industrial infrastructure, surface transport, oil and gas, hydro, and underground infrastructure and urban infrastructure.

Ashoka Construction Company tendered the highest bid of US$111,976,119. According to the company’s website it is a full-service contractor and industry leader, with the expertise to execute any scale of project within a limited time span.  “We have earned our reputation as one of the most experienced, innovative, and quality-driven contractors in India, with over 40 years of service in the civil construction industry,” the website states.

In its company bio, DRAIPL informed that it has been operating successfully over four decades and spearheaded its way in the infrastructure sector of India. Described as one of the top construction companies of India, it also boasts a strong workforce of 4000-plus professionals and state-of-the-art information technology. The company’s portfolio states that they have been executing projects in the sectors such as roads and highways, aviation, railway and metro-rail, water supply and waste management, smart cities and urban development, bridges and flyovers, among others.

The initial bids were expected to be submitted by August by four Indian companies that were pre-qualified by the Government of India to tender for the project. This resulted in the project having to retender.

Minister of Public Works Juan Edghill had explained that following the re-engagement with the Indian government, Guyana was given approval to retender the project. He stated that the bank agreed to have the technical prequalification done by India’s Ministry of Transport with the aim of drawing a wider pool of contractors.

This process was initiated on October 29 and will run concurrently with the local ministry’s invitation for financial bids from interested companies.

The process was being done simultaneously and only financial bids from firms which are compliant in the technical prequalification were opened.

Just after taking office, the PPP/C-led government amended the design of the proposed Ogle to Diamond bypass road to bring the project costs in line with the funds made available by the Indian government.

During a visit to India in January 2015, then President Donald Ramotar had received a US$50 million loan commitment from the Indian Exim Bank to fund the road project. 

The procurement process will see invitations extended to international bidders and will be monitored by the Indian Government.

Under the project, the first phase of the road is to be constructed from Ogle, East Coast Demerara, to Haags Bosch on the East Bank of Demerara and will later have a connection to Diamond, East Bank Demerara.