APPLICATION FOR EXTENSION

Section 1 Contractor's Statement for an Extension of Time

The Contractor contends that the execution of works in the Project has been affected by a

number of issues which have caused an overrun on Time for achieving Project Completion

as specified in Clause 24.9 of the Contract Agreement. lt is a fact that the Contractor has

made sufficient efforts to mitigate such overrun; however the enormity of these issues has
necessitated the Contractor to seek extension of time for the completion of works pursuant

to the provisions of Contract Agreement without any prejudice to the interests of the
Contractor.

Extension of time for completion is necessitated due to the following issues summarized

below:
1. Delay in Land Acquisition for the Project.

2. Delay due to the presence of overhead Electrical Lines in the alignment.

3. Delay in providing the necessary drawints for OT Structures.

4. Delay in the execution of Head Regulator in the adjacent Project from where this

Project commences.
5. Delay due to Force Majeure on account of covlD -19.

6. Delay due to cash flow problems on account of enormous delay in realizing the

payments against running bills

The Contractor considers that these delays, in accordance with the Clause 24.9 have
impacted his construction programme for the whole project and seeks an Extension of Time
for completion of works.

Though the Contractor is making all efforts to accelerate the works by avoiding reference to

the delays alone which accrued till now in the interest of the Project, it is strongly submitted
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that cognizance has to be taken for all the delays which are not attributable to the
Contractor and a revised completion schedule is to be arrived at. The impacted delays for
reasons beyond the control of Contractor are elaborated below for the consideration of
reschedu ling of Project Completion.

Section 2 Delay in Land Acquisition

Contract Agreement was signed on 28.05.2016 and accordingly the work was commenced
thereafter. Extension of Time was granted up lo 27.L1.2O2O under Clause 59 of PS to APSS

vide letter SE/PRLIS/Circlel lNGKL/OT-2/AE-2/Pk}-LO/655 dated 26.11.2018. lt was

apprehended that the work could not be completed before 2024 when the Contractor
submitted the first application for EOT in November 2018. There is no change in the status
of affairs even to date. Whatever Land Acquisition done so far is piecemeal fashion not
covering full width of cross section for any specified length. lt is on one side of the central

line of the bund. This kind of land acquisition cannot help the Project as work cannot be
executed freely due to non-availability of land in full width wherever available compelling us

again to negotiate with the land owners for carrying out whatever little work possible. Out

of total 1475 Acres of Land Acquisition required, compensation was paid for about 920
Acres till date, which is mostly in submergence area. About 533 Acres of land is still to be

acquired. This includes about 192 Acres along the aliSnment of the reservoir bund. The
details are shown in the following Table. About 47o/o of area is pending along the alignment

ofthe bund and about 32% is pending in the submergence portion.

Total Land Payment Done Balance

Description
Acres Guntas Acres Guntas Acres Guntas

Alignment Portion
404 t7 272 4 792 13

Submergence Portion
LO77 5 729 22 341 23

Total
L475 22 94L 26 533 36
The details of land available in terms of the alignment of bund are shown below:

Total length of the bund 3.975kms

Length available as on November 2019 0.550kms

Length for which temporary consent has been obtained from the land

owners for carrying out the work on adhoc basis-work is being regularly
1.275kms
affected by frequent stoppage of work by land owners with land still with
encumbrances as full width is not acquired as per the cross section

Balance length which is not available and where court cases are there 2.050kms

The land owners are frequently stopping the progress of works and in some instances not
even allowing crossing of their lands. The Contractor has been continuously appraising all
the officers concerned the ground situation. lt is felt that there is no serious concern on the
Land Acquisition from the concerned as is evident all these months and there is no
development in the status of Land Acquisition since the Contractor reported vide letter
N ECl/Package 10/SE/OO7 dt.t4.O7.2020. The Contractor could achieve financial progress of

about 30% only. The efficiency of machinery has been below optimum as there are no
adequate work fronts due to irrational and incomplete process of land acquisition till now.

Local farmers are resortinB to stopping of works as and they feel that they should apply

pressure on the Government and work has been suspended for the last one week

completely as the farmers want settlement of compensation immediately. lt is pertinent to

bring to the notice of the Employer that there have been regular stoppages of the work of
reservoir bund delaying the works substantially. ln the present circumstances, it is to be

understood clearly that work cannot happen unless the land acquisition is complete in both
alignment portion and submergence portion as land owners would not allow work to
happen as is witnessed now if land acquisition is not complete in all respects including
payment of fu ll compensation.

A map is enclosed herewith showing the pattern of land acquisition and pending land
acquisition for appreciating the problems being faced by us. A strip chart is also
enclosed for showing the clear work fronts negotiated with local land
owners and work fronts not available. In this current precarious situation making the
entire mobilization of men and machinery redundant, we request the Employer for taking
cognizance of the problem in terms of non-availability of encumbrance free land while
evaluating the additional time required for the completion of work. There is still about 70%
of work to be executed the Contractor requests for considering 630 days (21 months) of
additional time for completing the Project in the current scenario from 01.11.2020 provided
the entire land is handed over by 31.10.2020.

Section 3 Delay due to the presence of Overhead Electrical Lines

There exits electrical lines in the alignment of the proposed bund of the reservoir and in the
submergence portion of the reservoir. Work in the affected portion can be executed only
when these lines are shifted beyond the alignment of the bund.

S.No. Location No. of Poles Remarks

L ch.6800 to Ch.7600 15 To be shifted

2 Ch.7800 to Ch.10000 22 To be shifted

ch.7400 74 To be shifted

4 ch.9100 6 To be shifted

5 ch.10200 1L To be shifted

6 ch.10300 72 To be shifted

7 Ch.8000 to Ch.10750 40 To be shifted

8 Ch.10350 to Ch.10750 9 To be shifted

The Contractor requests for taking up shifting of electrlcal lines immediately so that the
work can be planned at these locations. As the shifting of power line does not fall in the
scope of the Contractor and the event is beyond the control of the Contractor, it is

requested for taking cognizance of the time lost in relocating the power line and to consider
the additional time for completing the works in these locations on account of this default of
the Employer. An approximate period of 150 days is required for completing the works in

these locations after making available obstruction free site available for carrying out the
work.

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Section 4 Delay in providing the necessary drawings for OT Structures

It is submitted that the drawings have not been issued till date for the following structures.
It would take at least 210 days for each structure after the issue of the drawings.

S.No Particu lars Date of lssue Remarks

7 OT Structu re in Km.8.500 Not yet issued

2 OT Structure in Km.10.100 Not yet issued

lf there is gap of 30 days in issuing the drawings of each structure, the time required for
completion of both the structures is about 240 days and the Contractor requests for

considering this time while evaluating the extension required for the completion of the
work.

Section 5 Delay in the execution of Head Regulator in the adjacent Project

There is head regulator at the end of the Package 12 which is adjacent to Package 10 and

the first 150 m could not be tackled due to delay in completion ofthe head regulator by the
Agency working in Package 12 as bund can be started only when the structure is completed

in all respects. Takin8 stock of the pace of works, it appears that the work of head regulator

would take at least 180 days to complete. The work on the reservoir bund would then be
taken up and it would take at least 60 days from the date of commencement and the
Contractor requests to take this into consideration while evaluating the additional time
required for completion of the Project.

Section 6 Delay due to Force Majeure on account of COVID -19

Further to the Janatha curfew on 22.03.2020 across the country, lockdown was declared by
the State and Central Governments for containing the spread of COVID-19 from 23.03.2020.
lnitially the lockdown was up to 31.03.2020 and thereafter the lockdown was extended up
to 03.0.5.2020. Restrictions were imposed on the movement of the people and vehicles
except for vehicles carrying essential goods e people engaged in essential services
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All round alarm across the state and country on the spread of Novel Corona Virus (COVID-
19) with continuously increasing number of cases has created lasting fear psychosis amongst

the staff, the skilled and unskilled labour, operators of plants and equipment, drivers,
helpers and other work men in turn most of them were tempted to restrict themselves to
indoors in turn affecting the progress of works seriously. MHA issued the 'Guidelines' dated
15.04.2020 for gradual unlock process and to resume the construction activities duly

following suggested protection measures for all the workmen, labour and staff. We had our
own apprehensions and difficulties in resumption of construction activities due to increasing
number of COVID-19 cases in the State of Telangana. There was difficulty in operating the
borrow areas and movement of staff was also restricted. Non-availa bility of service

personnel and spares for the plants and equipment also was also felt. Even though we

wanted to resume the works to normalcy, progress could not be picked up as intended due

to inherent problems of fear amongst the staff, workmen and other stakeholders such as

transporters, manufacturers of cement, etc.

Further the Central Government commenced the operation of Shramik Special Trains since

01.05.2020 in order to ferry migrant workers and others to their home states during the
crucial time nationwide lockdown owing to the outbreak of novel coronavirus in the
country. This facilitated the workmen for leaving the sites for their homes causing a big blow
to the progress of works as the workmen maintained during the critical times in the months
of March and April at site preferred to leave due to the facility provided by the Government.
ln a way this caused heavy loss in maintaining the work force and the machinery and the
exit of major chunk of work force operators and drivers resulted in steep dip in the progress.
For the reasons explained above, the progress has been very slow as can be seen from the
numbers furnished below between March 2020 and May 2020. The sudden fall in rate of
progress during the lockdown can be visually felt by anybody at site. The process of
reconciliation would definitely be slow as it would take time for restoring normalcy in all the
associate activities and in the availability of sufficient manpower for executing the works.

Government of lndia has announced some reconciliatory measures to have reasonably quick
resumption of economy in the country vide Ministry of Finance, Dept. of Expenditure OM
No.F.78 / 4 / 2O2O-PPD dt. 13.05.2020 recom mendi ng the atic extension of projects
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 Memorandum reads as "/t
affected by the current force majeure event' Para 4 of the Office
goods' services ond
is recognized that in view of the restrictions ploced on the movement of
monpoweronoccountofthelockdownsituotionprevoilingoverseosondinthecountryin
terms of the guidelines issued by the MHA under the
DM Act 2005 ond the respective stote

ondtJTGovernments,itmoynotbepossiblefortheportiestothecontrocttolulfill
controctuolobligotions.tnrespectofPublic.PrivotePortnership(PPP)concessioncontrocts,o
ofter t'ult'illing due
period of the contract moy hove become unremunerotive' Theret'ore'
procedureandwhereverconstruction/workscontrdcts,goodsondservicescontroctsondPPP

controcts with Government Agencies ond in such event'

date from completion ol
r 2oth Fe o 2 shall
contrdctudl obligotions which hod to be comple ted on
ond not more thon six months
stdnd extended for o period not less thon three months
without imposition of any cost or penalty on the controctor/concessionoire'"

current monsoon would further

The impact is still continuing and the it is likely that the
drivers are expected to come
have its bearing on the progress as the work force including

backonlyaroundDecember2o2oafterrecedingoftheCoVlDcasesacrossthecountry
steep increase in cases of
which is unlikely as the state and the nation are experiencing
COVID-19 at present. Current pace of actual
physical progress would definitely affect the

achievement of the Scheduled Completion'

Considering an average ol 40% ol efficiency in the work between March 2020 and
extension on account of COVID-19'
September 2020, it is requested for about 126 days of
separately'
Further impact beyond September 2020 would be reported

sectionTDelayduetocashflowproblemsonaccountofenormousdelayinrealizingthe
PaYments against running bills

Added to the above, there has been enormous delay in

the realisation of payment for the

work done distressing us financially beyond imagination.

lt is generally taking more than 100
than 1OO days A delay of
daysfor realising each payment and in some cases it is much more
impact on the progress of works and
about of 100 days and more will have very destructive
financial health of the Contractor whic e set right for encouraging the contractor
 to perform as per the provisions of the Agreement. The Contractor earnestly requests for
the release of payment within 15 days from the date of submission/recom mending the
running bill for facilitating adequate cash flows in order that there will not be any hiccups in
progress of works on account of lack of finances.

Section 8 Summary of Delays

Pursuant to Clause 24.1, the total period of completion is 30 months from the date of

entering into agreement. ln this case extension of time was accorded up to 27.11.2020 vide
letter SE/PRLIS/Circlel/NGKL/OT-2/AE-z/Pke-l)/655 dated 26.7L.2078. As explained above,
there were delays on many accounts which are not in the control of the Contractor and not
attributable to the Contractor for which additional time and cost are warranted for
completing the Project pursuant to Clause 24 of the Contract Agreement and hence the
Contractor gives this notice for claiming time and cost on account of all the delays not
attributable to him. lt can be seen that most ofthe issues discussed are still continuing in
natu re and effect.

Additional
No.of days
Target Date of
required
Availability/ cut off Date of
5.No Delay Event beyond the
Date for Clearance Completion
target date to
in all aspects
complete the
works
I t IV V= lll +lV
1 Delay ln Land Acquisition 3r/10/2O2o 630 23/07/2022
2 Delay due to Presence of Electrical Lines 3t/10/2020 150 30/03/2027
Delay in Providing the necessary Drawings for OT
37/!0/2020 240 28106/2021
Structures
Delay in the execution of Head Regulator in the
4 3L/70/2O2O 28106/2021
adjacent Project. 240
Delay due to Force Majeure on account of
5 31./10/2020 726 06/02/202L
covtD-19
Final Date of Completion ( Max Date of Col.V ) 23107 /2022

From the above Table, it can be seen that the Land Acquisition is critical and the completion

depends upon the availability of encumbrance free land and other events are concurrent

and hence can be accommodated 630 days. Hence, it is hereby requested without
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any prejudice to the interests of the Contractor to extend the completion of Project by
another 630 days from 31.10.2020 taking into consideration all the concurrent delays. The
proposed revised date of completion will now be 23.01 .2022

Further, it is presumed that i) all the drawings will be made available for construction, ii) all
the land will be made available for work, iii) shifting of electrical lines will be completed and
iii) allthe decisions will be given in regard to additional works, if any by 31-10-2020, in order
that further delays would not crop up for achieving the completion of the Project as

amended now. All the relevant correspondence is enclosed herewith in separate Annexures
for ready reference and for appreciating the delay presented by the Contractor and for
taking necessary action on the submission ofthe Contractor.

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