Chennai

CMRL terminates contract over delay

The 9-km Phase I extension project will run from Washermanpet to Wimco Nagar.

The 9-km Phase I extension project will run from Washermanpet to Wimco Nagar.  

ITNL was building two stations on Phase I extension

Chennai Metro Rail Limited (CMRL) has terminated the contract of IL&FS Transportation Networks Limited (ITNL) for the Phase I extension project, owing to delay in the completion of construction.

In the 9-km Phase I extension project, running from Washermanpet to Wimco Nagar, the stretch between Washermanpet and Korukkupet will run underground, followed by an elevated stretch up to Wimco Nagar.

ITNL, a part of the IL&FS Group, had got a contract of nearly ₹370 crore to build two underground stations at Sir Theagaraya College and Korukkupet.

According to CMRL officials, they were left with no choice but to terminate the contract because they were displeased with the poor pace of construction. “Usually, we try to do everything possible to help the firm finish the work. We terminate contracts only if there is no other option. They [ITNL] struggled with severe cash crunch for several months and the progress of work was poor. Hence, we decided to end the contract recently,” an official said.

In place of ITNL, two contractors who are already executing other works for CMRL have been roped in and have already started finishing the remaining work, as the plan is to get the stretch operational by June.

Officials said that the work would now be finshed on time. “We will shortly call for tenders to carry out interior works,” an official said.

The ITNL management declined to comment on the issue. It can be recalled that CMRL had terminated the contract of Gammon India and CCCL in the Phase I project after they failed to meet deadlines.

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Printable version | Apr 6, 2020 12:50:33 AM | https://www.thehindu.com/news/cities/chennai/cmrl-terminates-contract-over-delay/article30772906.ece

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