Pune: An independent institution has verified that companies bidding for the Ring Road project submitted tenders at rates significantly exceeding the initial estimates. Two independent reviews revealed that one institution found bids to be 20% higher, while another suggested a 5-7% increase.

The Maharashtra State Road Development Corporation (MSRDC) now faces a crucial decision on whether to approve these inflated bids, a move that could either favor the state government or the bidding companies.

The Ring Road project, crucial for alleviating traffic congestion in Pune and Pimpri-Chinchwad, is being managed by MSRDC. The project was divided into nine segments, with tenders submitted by 12 companies.

After opening the bids, it was found that Megha Engineering and Navayuga Engineering were eligible for three packages each, while PMC Infra, Roadway Solution India Infra, and GR Infra qualified for one package each.

Upon reviewing the tenders, it was discovered that the bids were 40-50% higher than the estimate. This prompted MSRDC to engage 'VJTI Mumbai', a technical institute, as a third-party reviewer.

Additionally, 'Knight Frank' was hired to compare the bids with ongoing projects by CIDCO, MSRDC, and National Highways. Both institutions have recently submitted their reports to MSRDC.

The report from 'VJTI' confirmed that the bids were indeed higher than the estimate, recommending that the tenders be approved at a rate no more than 20% above the estimate, based on a comparison with the central government's DSR.

'Knight Frank', on the other hand, suggested a 5-10% increase based on a study of similar large-scale projects currently underway in the state. MSRDC officials, speaking anonymously, confirmed these recommendations.

Now, MSRDC must decide which report to follow, which will determine the extent of the cost increase for the Ring Road project.