DFCCIL terminates Rs 471 crore contract with Chinese company citing slow progress

In view of poor progress, it has been decided by the Dedicated Freight Corridor Corporation of India (DFCCIL) to terminate the signalling and telecommunication work-based contract with Beijing National Railway Research and Design Institute of Signal and Communication Group Co Limited.

In view of poor progress, it has been decided by the Dedicated Freight Corridor Corporation of India (DFCCIL) to terminate the signalling and telecommunication work-based contract with Beijing National Railway Research and Design Institute of Signal and Communication Group Co Limited. The scope of work of the project was signalling and telecommunication work in the Kanpur-Deen Dayal Upadhyay (DDU) section.

The contract cost was Rs 471 crore funded by a loan from the World Bank. It was awarded in June 2016. The progress of the project has been slow and it reached only 20 per cent in four years.

"Among the issues faced in the project, one is the reluctance of the company to furnish technical documents, as per contract agreement, such as the logic design of electronic interlocking," DFCCIL said in a release. "Non-availability of their engineers/authorised personnel at the site was a serious constraint. Physical work could not progress as they have no tie-up with the local agencies. Material procurement, which is an independent activity, has not been done earnestly," it added. (ANI)