The Ground Realities of EPC-Contracts in Railways!

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It is imperative to correct the situation and discontinue any type of EPC tenders that pose significant risks to the Safety and Security of Indian Railways and its passengers

With reference a person from Guwahati writes, Commissioning of #EPC-contracts at #NFRailway published in #Railwhispers on 14th May 2024 – тАЬThe worst ever quality of Signalling work has exposed, the bad quality of work executed by the contractor!тАЭ

He writes, Despite widespread resentment from #contractors at the time of seeking opinions on starting #EPC-tenders – with reasons for disagreement clearly explained to all #ZonalRailway levels, including the #RailwayBoard and through personal discussions with concerned executives – continue to be floated across all #Zones, including railway #PSUs.

The case with #NFRailway is a genuine example, with similar #quality and other #lapses occurring across the #Railway-network, such as:

  1. Liberalisation of Conditions: #Bid-capacity requirements have been relaxed excessively.
  2. Award of Contracts: #Contracts are being awarded without proper #verification and #validation of documents submitted by #bidders.
  3. Existing Works Check: There is a lack of #scrutiny regarding existing works in hand and the execution capacity of contractors.
  4. Favouritism in High-Value Tenders: High-value #tenders are being awarded to favour a few large contractors, thereby excluding small and medium-scale contractors across all zones.
  5. Cartel of Officers: Tenders are being awarded by a #cartel of officers from different departments for personal interests, meeting ministerial targets, and securing their own safe retirement without considering the future and #Safety of the #Railways.
  6. Compromised Supply in EPC Tenders: In EPC tenders, with no specific items, quantities, or rates defined, the supply of more than 40% of actual required items is compromised or adjusted against already available installations.

On one hand, the #Railways float unlimited high-value tenders with very limited targets and severe penalty clauses. On the other hand, there is no adequate supervising staff at any levelтАФbe it at the #site, in #stores, at the #planning level – for checking #designs and #drawings – or office staff for #measurement and #billing purposes.

While a long list of compliances by the #Contractor is detailed in the #tender, these #documents are submitted and accepted/approved by Railways without any physical verification and checking in the field. Even ongoing EPC works, currently in the execution stage, are affected by these issues.

Therefore, all concerned authorities, including the Ministry of Railways (Railway Board), all #GMs, #CAO/Con, #PCSTEs, and #CSTEs/Con, should urgently address these issues. It is imperative to correct the situation and discontinue any type of EPC tenders that pose significant risks to the #Safety and #Security of #IndianRailways and its #passengers.

#Published as received