Madras HC restrains Tangedco from opening bids for ₹1,330 crore coal import tender

The Madras High Court on Tuesday restrained the Tamil Nadu Generation and Distribution Corporation (Tangedco) from opening the techno industrial and worth bids obtained for a ₹1,330 crore price tender for provide of 20 lakh tonnes of imported steam coal of any origin to be delivered on the Kamarajar port at Ennore close to right here between May 2021 and May 2022.

Justice B. Pugalendhi directed Tangedco to defer the bid opening date, initially scheduled for Tuesday, till he passes obligatory orders on a writ petition that had challenged the tender notification issued on February 8 calling for bids inside 15 days from home bidders on fee of ₹13 crore, or $1,756,757 by international bidders, in direction of Earnest Money Deposit.

The decide additionally gave the freedom to Tangedco to challenge a corrigendum and prolong the final date for submission of bids by 15 extra days, if it was suggested to take action. The interim orders have been handed on a writ petition filed by a personal agency which claimed that it was a statutory requirement to grant a minimal of 30 days of time to submit the bids for such a excessive worth tender.

Senior counsel Satish Parasaran, representing the petitioner firm, mentioned Rule 20 of the Tamil Nadu Transparency in Tender Rules requires a minimal of 30 days’ time to be given for submission of bids for tenders valued over ₹2 crore. However, the rule had not been adopted in letter and spirit by Tangedco regardless of calling for a ₹1,330 crore tender, he mentioned.

In its affidavit, the petitioner firm alleged that Tangedco was exhibiting undue haste in finalising the tenders, with out even calling for a pre-bid assembly, “probably due to the impending announcement of model code of conduct for the upcoming State elections.” It additionally questioned the need for importing coal in May when wind vitality manufacturing could be at its peak.

Claiming that thermal energy stations could be shut down through the month of May, the petitioner mentioned: “That being the case, there is no reason for the present tender to be called with such undue haste by flouting all tender norms.” It additionally claimed that the tender circumstances have been in order that they might exclude the participation of Indian corporations and promote solely international bidders.

On the opposite hand, Advocate General Vijay Narayan questioned the maintainability of the writ petition and contended that an organization which was not even certified to take part within the bidding course of couldn’t be allowed to query the tender. He mentioned the petitioner firm had not offered any particulars relating to its eligibility within the affidavit filed in assist of the writ petition.

He identified that solely firms with a turnover of ₹335 crore in any one of many monetary years between 2017-18 and 2019-20 and people who had equipped 5 lakh tonnes of imported steam coal to public sector undertakings or non-public energy utilities in any of these three years have been eligible to submit their bids for the ₹1,330 crore tender.