Mumbai Mantralaya makeover to cost Rs 138 cr

Five months after the fire at the Mantralaya gutted three whole floors at the secretariat building, the repairs and renovation work is likely to begin soon. The good news was possible after the high power committee headed by the Chief Secretary was able to successfully negotiate the cost to Rs 138 crore.

According to a senior official, Unity Infraprojects agreed to the said amount after the government and the company had reached a deadlock in November over the cost ('Mantralaya makeover now faces cost hurdle', November 2).

Initially, the company had quoted Rs 162.84 crore for the repairs but after negotiations, they agreed to the amount of Rs 138 crore and have agreed to complete the work within eight months.

"In the first phase, the bidder will complete the repairs and renovation of the floors that were damaged in the June 21 fire. In the second phase the remaining three floors - the ground floor to the third floor - will be renovated," said the senior official.

Initially, it was reported that the government would have to float fresh bids as Unity Infraprojects - the lowest bidder - was unwilling to renegotiate the cost. The other two bidders were Shapoorji Pallonji (Rs 167 crore) and Larsen & Toubro (Rs 177 crore).

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Early bonus
The government has announced that it would offer a bonus of Rs 2.5 lakh per day if the contractor completed the job before the deadline, but would charge a penalty of Rs 5 lakh per day, if the work extended beyond the deadline.  

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