MUMBAI: The Bombay High Court on Wednesday lifted a stay order imposed a decade ago and allowed the Konkan Irrigation Development Corporation (KIDC) to invite fresh bids for the construction of the long-stalled Kalu Dam project in Thane district. The dam, proposed for Murbad, is expected to provide an additional 406.55 million cubic metres of water to the Mumbai Metropolitan Region (MMR).
KIDC subsequently terminated the firm’s contract, prompting it to approach the high court. Accepting KIDC’s request, the high court lifted the stay, allowing the corporation to begin a fresh tendering process. However, it clarified that FA Enterprises would also be eligible to participate in the bidding.
In December 2016, the court restrained KIDC from awarding the project to another contractor while the dispute remained pending. Seeking to lift the stay, KIDC’s counsel, senior advocate Rajeev Chavan, told the court that the prolonged delay had pushed up the project’s estimated cost to around ₹ 4,010 crore.
