Globeleq-Lanco's RfQ on Sasan project void: EGoM

New Delhi, July 24 (UNI) The empowered group of ministers (EGoM) on ultra mega power projects today concluded that Globeleq-Lanco Consortium's response to Request for Quotation (RfQ) for the 4,000 MW Sasan Ultra Mega Power Project is void ab initio (invalid from the outset).

Keeping in view the overall public interest and the terms and conditions of the bid documents, the EGoM directed Sasan Power Ltd to examine the further course of action and submit its recommendations expeditiously.

The decision was taken in a EGoM meeting chaired by Power Minister Sushilkumar Shinde here.

On July 2, the EGoM had extended the validity of bids for the Ultra Mega Power Project till August 5.

The one-month extension came after the GoM failed to arrive at a decision on finding a solution to 'some legal wrangles' plaguing the controversial project.

The EGoM meeting was held to take a decision on whether Lanco, which was awarded the project last year, violated bidding norms. The dispute arose when Lanco's foreign partner Globeleq sold its 70 per cent stake in the joint venture to Lanco and Jindal Steel and Power Ltd after winning the bid.

However, it was said that Sasan case would help ensure that legal, technical and financial hurdles did not come in the way of such upcoming power projects in the future.

UNI