The Central Electricity Authority has rejected the engineering, procurement and construction (EPC) cost escalation proposals put forward by the Mangalore Power Company. Mangalore Power is a fast-track power project with governemnt counter-guarantee and is promoted by Cogentric of the US and China Light and Power.According to officials, the EPC bids were finalised in August 1996 and the company was able to persuade the contractors to hold on to the price for up to August 1997. This was later extended till December 1997.