The National Highways and Infrastructure Development Corporation (NHIDCL) is in the process of foreclosing concession agreement for Z-Morh tunnel project in Jammu and Kashmir, Parliament was informed Thursday.
Z-Morh tunnel would provide all-weather road connectivity toSonamarg tourist spot in Jammu and Kashmir which mostly remains closed duringthe winters due to heavy snowfall.
Fresh tenders have been invited for the project and August1, 2019 is the due date for bidding, Road Transport and Highways Minister NitinGadkari said in a written reply to the Lok Sabha.
The project was allotted to Infrastructure Leasing &Financial Services (IL&FS), but the contractor abandoned the project afterIL&FS Group faced financial crisis.
“The Z-Morh tunnel project was awarded on BOT (annuity)basis with concession period of 20 years including 5 years of constructionperiod. But, due to financial crisis of IL&FS group of companies, theconcessionaire stopped all work w.e.f 20.7.2018,” he said.
The Minister said NHIDCL is in the process of foreclosingconcession agreement and the project has already been re-tendered on June 24.The construction period for the project would be42 months from the appointed date, he said.