strongNew Delhi/strong: Awarding of contract work to an ineligible entity for the 800 MW Parbati II plant in Himachal Pradesh resulted in cost overrun of about Rs 244 crore for state-run National Thermal Power Corporation (NHPC), a CAG report has said.
The Comptroller and Auditor General (CAG) has said that the hydro power generating company relaxed the Pre
Qualification (PQ) criteria after sale of tender documents, regarding the contract awarded to the entity HJV for Parbati II project.
In the report titled 'Capacity Expansion in Hydro Power Sector by CPSEs (Central Public Sector Enterprises) for the year ended March 2012', which was tabled in the Parliament on Friday, the top auditor said that NHPC extended undue favour to HJV.
... due to the award of the work to ineligible contractor by relaxing PQ criteria after sale of tender documents and ignoring the non-fulfillment of eligibility conditions, led to blocking of Rs 182.48 crore besides estimated cost overrun of Rs 243.54 crore and time overrun of 99 months in the project, CAG said.
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