Reply To Letter 01 - EPC

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Ref: 2024/UK/MoRTH/SKIJV/001 Date: 22nd Feb 2024

To,
Mr Sumit
Rupam
Sourav,
Asst.
Executive
Engineer

Project: Rehabilitation and up-gradation to 2-lane configuration of Bageshwar to kangarchina road


from Km 1299.600 to Km 161.600 of NH-309A in state of Uttarakhand,

Subject: Reply towards your Letter NH-309A/AP/UK/2021-22/613

Dear Sir,

Kindly refer to the financial bid opening of the mentioned project wherein M/s Shivalik -Kalyan (JV)
(herein after referred as firm) has achieved Bid Rank L1.

We would like to appraise you of the following facts about the low bid submitted by us:

1. The assessed DPR cost of the project was well above the required cost as the terrain conditions
allows to fetch more output than that considered in the DPR.
2. The hill side excavation is extremely easy and without any risk of slides due to tabletop mountain
conditions.
3. To our experience and as per site visit carried by us before bidding, the existing road is barely
having any breast wall, which indicates the stable hills.
4. There are no major bridges to be constructed and as such do not require any specialized machinery.
5. Only box culverts are there in the stretch, and we already have company owned shuttering of
culvert of size 2x2 which eliminate the need of refabrication.
6. The traffic volume on the road is quite low which gives us more productive hours for work.
7. We possess comprehensive understanding of the topographic and geological condition of the terrain
which is crucial for execution of works. The EPC Contract agreement has been thoroughly studied
along with extensive quantification of quantities to be executed.
8. The machinery to be deployed is entirely company owned, minimizing revenue loss compared
to hiring of machinery.
9. The nature of job demands 24 months for completion as against the 30 months specified period.
Hence, this saves us 06 months cost of project.
10. We have a team of highly dedicated and competent professionals with experience of executing
roadworks in hilly terrain. In addition the entire management is well educated and understand the
nature of works.
It is therefore an advantage to anticipate challenges and implement precautionary measures,
ultimately saving time, resources and cost
11. Before submitting our bid, the site was visited several times. We did thorough assessment of the
terrain, including the availability of boulders recovery from hill excavation. The terrain contains
sufficient quantity of boulders, suitable for the roadworks like, GSB, CTSB, WMM, DBM, BC
etc.
12. We have a proven track record of completing projects at an accelerated pace. The same can be
attested by our previous clients. This efficiency translates to potential early completion
ultimately reducing overheads and overall project cost. Additionally, we are motivated to take
early completion bonuses.
13. The rate analysis has been thoroughly done with comprehensive analysis of the quantum of
work to be executed under each item. We are providing a brief point wise summary as an
insight to our cost analysis.

Brief cost analysis has been presented below. We would be happy to provide any further
justification upon your request.

 The average rate of earthwork has been estimated to be 100 Rs/cum when utilizing our own
machinery and permanent staff. The efficiency is planned to be achieved by deploying 25
excavators and 22 tippers over an 8-month period, allowing for simultaneous work at multiple
fronts and substantial saving over the balance 16 months. In addition to this, saving the idling cost
in monsoon periods coming within the balance months.

 Hard rock along an 800-meter stretch of the project site can provide a significant quantity of usable
boulders, reducing the need for external procurement. Our crusher, which is just 2 years old,
further enhances efficiency and lowers maintenance costs. This is an advantage to us for stocking
GSB and WMM etc at site.
The average cost of production of aggregate works out to be 350 Rs/cum including royalty
component. To specify precisely, the total cost of WMM and GSB, including the cost of aggregate,
bulkage and cost of laying will be 1000/ cu m. Other than this, the Diesel Generators, loaders and
other required machinery are again firm owned. Therefore, the total cost incurred in the above
mentioned items are the cost of fuel, salaries of the operators and maintenance cost of the
equipment only.
 For surfacing works, we own a fleet of Graders, pavers, soil compactors, tandem rollers, backhoe
loaders, front end loaders. The same is ready for mobilization immediately.
 We have trusted and highly skilled labor contractors associated with us. These primarily belong to
the region of Bihar and Jharkhand. As a result we are able to avoid the rotational delays of
manpower and have flexibility to increase/decrease the numbers as per requirement. Therefore,
avoid unnecessary costs and delays.
 For concrete works, we own the shuttering plates and other resources. The placing of concrete can
be expedited with the help of our boom placer, ultimately saving time of procurement and cost.
 The Cost of protection works is only considered to be a total of labour cost, cement cost and
aggregate cost. Aggregate cost is less due to free availability of required quantity of boulder.
 We have assessed that V-shape drain can be done at the rate of 1350 Rs/ RM, with the help of
mechanical drain machine.
 Hydroseeding is an item on which we have specialization. We have in house team exclusively
dedicated to this item of work along with our state of the art hydroseeders (photos are provided in
Annex A), tankers and mix designs. The rate of hydroseeding is taken as 50 Rs/sqm, which
includes the halt, hindrances and other climatic conditions that may have an impact on the
germination process. A photograph of result of our previous work is attached for your kind notice.
 Our associated road marking teams are extremely efficient. With the help of our boilers and road
marking machines, we can execute the job on bare minimum costs.
 Modified Thrie Beam Crash Barriers as per technical circular vide Letter No. RW/NH-
29023/02/2019- S&R(P&B), GoI, dt. Jan 01, 2020 are already taken into account for installation.
The cost taken is Rs 3200 per RM, inclusive of material cost and installation.
 Bus bay, junctions and other project facilities has been thoroughly analyzed so as to accomplish
the item within the quoted bid.
 Furthermore, the local factors, weather conditions, site establishment etc that may have any direct
or indirect cost impact have also been assessed by our team of liaison officers, geologists,
engineers and other respective experts. These factors have been considered in our bid value.

We have considered a reasonable contingency cost of any eventuality which was not covered in our risk
assessment matrix. Moreover, we have specifically taken care of maintaining positive cash flows
throughout the execution phase to avoid any unwanted hinderances in the progress of the project.

With our experience and track record of before time and high quality execution, and having driven the bid
value from precise evaluation and reasonable assumptions. We are extremely confident that we would be able
to execute the job at the quoted value.

In light of the above facts, we sincerely request you to proceed for the needful towards early award
of Letter of Acceptance to us. We shall be highly thankful to you.

With best regards,

For Shivalik Kalyan Infra JV


Annexure A: Photographs

Figure 1: Hydroseeding results of Shivalik Buildtech Pvt. Ltd.

Figure 2: Hydroseeding Machine

Figure 3: Ongoing Works


Figure 4: Ongoing Works

Figure 5: Ongoing Works


Figure 6: Ongoing Works

Figure 7: Ongoing Works


Figure 8: Ongoing Works

Figure 9: Ongoing Works


Figure 10: Ongoing Works

Figure 11: Ongoing Works


Figure 12: Ongoing Works

Figure 13: Ongoing Works

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