Technical issues and high bids hinder Gaboral Kalam Hydro Project

PESHAWAR: The 88-megawatt Gaboral Kalam Hydro Project, a crucial energy development initiative in Khyber Pakhtunkhwa, is facing hurdles due to technical issues and high bids from contractors. 

The Pakhtunkhwa Energy Development Organization (PEDO) had invited bids for the project, but the two shortlisted contractors have raised concerns. One contractor’s technical capabilities have been questioned, while the other’s bid is excessively high, causing difficulties for PEDO in awarding the contract. 

The project’s tender process has been marred by controversies, with the lowest bidder facing three objections that have not been resolved yet. Moreover, the other contractor is a joint venture with a Chinese company, which is facing legal issues in India, and PEDO has raised objections about their eligibility.

The inquiry report has revealed that the lowest bidder lacks experience in handling projects of this magnitude, and their documents do not meet the required standards. Furthermore, the project requires experience in generating electricity from fast-flowing water, which the contractor lacks. The high bid of the other contractor has also raised legal concerns, making it difficult for PEDO to award the contract.

According to sources, PEDO is facing difficulties in making a decision, and the  report has recommended re-tendering the project to allow other companies to participate. This setback may delay the project’s completion, which is crucial for meeting the province’s energy needs.

Aziz Buneri
Aziz Buneri
Author is a senior journalist and working in the field of journalism since 2004. He covers Financial, Social, Political and regional issues for Pakistan today and Profit. He can reached at [email protected]

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