Construction Industry News
Uttar Pradesh-based Madhyachal Vidyut Vitran Nigam (MVVNL) has cancelled Adani Group's bid for the supply of approximately 7.5 million smart meters to the power distribution arm (discom) worth nearly Rs 54 billion.
According to sources, Adani Group made the lowest bid, but the disco cancelled it due to "unforeseen circumstances".
UP discoms representing different regions, including Madhyanchal, Dakshinanchal, Purvanchal and Paschimanchal, had announced tenders for the delivery of more than 25 million smart meters. The total bid value would be Rs 250 billion.
Other bidders for the project were GMR, L&T and Intellismart Infra. Intellismart Infra is a collaboration between Energy Efficiency Services (EESL) and the National Investment and Infrastructure Fund (NIIF).
Adani had given the lowest price of Rs 10,000 per smart meter. This was reportedly found to be more expensive, given the cost of Rs 6,000 per meter under the Rural Electrification Corporation's permanent billing standard.
Interestingly, none of the four private companies in the battle are smart meter manufacturers. They would probably have sublet the production after winning the contract.
Meanwhile, the UP power consumers' forum had already challenged the bids at the UP Electricity Regulatory Commission (UPERC). They claimed that high prices were recorded for the smart meters.
