Hyderabad-based Megha Engineering & Infrastructures Ltd (MEIL) beat engineering major Larsen & Toubro Ltd (L&T) to bag two separate packages to build the ambitious Thane-Borivali twin tunnel project in Mumbai for a total bid of Rs 14,400 crore, top officials told Moneycontrol.
“We have awarded the letter of offer to MEIL after they emerged as the best bidder,” MMRDA Commissioner SVR Srinivas confirmed to Moneycontrol.
MMRDA, the state agency executing this project, floated a tender in January 2023 for two packages of civil construction work for the tunnel project that aims to reduce the travel time from Thane to Mumbai's western suburbs from 60 minutes to 15-20 minutes. The tunnels will also substantially cut carbon emissions from vehicles on that route.
“The work may start after the monsoon. This project is important for the connectivity in the region,” Srinivas said.
L&T and MEIL were the only two bidders when the technical bids were opened in April. When the financial bids were opened on April 25, MEIL was the lowest bidder for ‘Package 1’. L&T’s bid was the lowest for ‘Package 2’ but it was rejected later as the company had inadvertently mentioned the amount as the final bid but had not added the tax component to it, as required by the tender.
Subsequently, L&T moved the Bombay high court earlier this month, challenging its disqualification for ‘Package 1’ and asking the court to direct MMRDA to award the company ‘Package 2’. But the court rejected the two petitions.
Query sent to L&T and MEIL remained unanswered.
The project entails the construction of two road tunnels of 10.8 km each under the Sanjay Gandhi National Park (SGNP) and the approach roads on both ends, which will provide a shorter route to commuters and help them bypass the congested route they currently use.
MEIL was the lowest bidder at Rs 7,464 crore for ‘Package 1’ which entails designing and construction of 5.75 kilometers from the Borivali side for the twin tunnel project.
L&T’s bid for ‘Package 2’ was Rs 6,625 crore but it was rejected as the amount would have been higher to factor in the taxes, officials said. MEIL bagged ‘Package 2’ which entails designing and construction of 6.09 kilometers from the Thane side for the twin tunnel project with a bid of bid Rs 6,937 crore.
The tunnels will have three lanes each and connect Ekta Nagar, Magathane in Borivali and Tikuji-Ni-Wadi at Manpada in Thane. The tunnel road will help reduce traffic congestion on Ghodbunder Road in Thane.
While announcing the project in July 2021, Maharashtra Chief Minister Eknath Shinde, who was the Urban Development Minister at the time, had said that extra care will be taken to avoid any impact on the biodiversity of the national park.
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