Lanco keeps options open on Sasan project

The Lanco group is keeping its options open with regard to the next course of action on the Sasan project. The Empowered Group of Ministers had on Tuesday termed the bid of Lanco Infratech-led consortium for the Sasan Ultra Mega Power Project (UMPP) invalid at the outset. Refusing to comment on the statement of energy minister Sushilkumar Shinde on the EGoM's decision, Lanco Group chairman L Madhusudan Rao said they were awaiting the minutes of the EGoM's meeting to take a view.

"Unless we see the fineprint of what the minister has stated on our bid it is not possible to respond," Rao told Business Standard today.

Shinde, who headed the EGoM that was constituted to resolve the Sasan impasse, said he would be submitting his report in a couple of days for the official endorsement of the EGoM.

The minister also said the EGoM had decided to leave the options, whether to call for fresh bids or to invite the second lowest bidder to match the bid price quoted by L1, in taking forward the Sasan UMPP to the Sasan Power Limited.

Company sources said the management is keen to know whether the Sasan Power Limited is in favour of going for fresh bids. "If the PFC's shell company decides to invite fresh bids then we see a chance to re-enter the fray for Sasan project," a Lanco official said.