Tata conflict of interest in Oil India tender

Vol 19, PW 3 (08 Oct 15) News in Brief

Tata Projects is likely to be forced out of an Oil India tender to set up a tank farm or oil depot at Madhuban near Duliajan in Assam where it is expected to open price bids this month (October).

A source explains Oil India’s Project Management Consultant Tata Consulting Engineers is a sister company of Tata Projects, triggering conflict of interest concerns. However Kalpataru Power Transmission, which designed and set up the Madhuban central gas gathering station and offtake point, is a strong contender.

“IOTL is also a serious competitor,” says another source. “Setting up tanks is its core business.

” Other companies to respond by Oil India’s extended July 16 deadline were Vijay Tanks & Vessels with McNally Bharat Engineering, Onshore Infrastructures and Fabtech Projects. Oil India wants a ‘secondary’ tank farm on a 140,500-sq metre plot of land with six floating roof tanks to handle 40,000-kilo litres of oil.

It also wants dehydration and effluent treatment facilities.