Contractors agree to participate in re-tender

Staff Reporter

Civic administration receives bids for 54 works

SALEM: The Salem Corporation's registered contractors, who earlier ceased from participating in the tenders called for the Rs. 38 crores roadwork project, have responded to the re-tenders for the same project held here recently.

This follow Corporation's decision to hand over the execution of the project to other government departments if it did not receive any response in the further tender calls.

When the Corporation had invited tenders in December to take up as many as 468 works under the project, none of the 140 registered contractors of the Salem Corporation responded to the call. As the prices of raw materials had increased, the contractors hesitated to bid for the works and demanded the civic administration to revise the schedule of rates for raw materials.

Schedule of rates

But the local body had no power to alter the schedule of rates. The Government had fixed the rates through the Public Works Department, Corporation officials said.

The Corporation officials conducted a meeting with the contractors to persuade them to take up the works.

"When they continued to stick to their demands, we informed them that the Corporation had decided to deposit the works under the project with other government departments such as the State Highways if the second call for the project did not receive any response," the Corporation Commissioner, T.T. Balsamy said.

This decision had made the contractors to participate in the second tender call for the first batch of 62 works worth Rs. 7 crores held on January 20. The civic administration received bids for a total of 54 works.

The tenders for the second batch of 406 works worth Rs. 31 crores would be held on February 7.

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