The Supreme Court on Thursday quashed the Delhi High Court verdict that allowed Italian boiler manufacturer Ansaldo Caldaie Boilers (ACB) to bid for providing super-critical power equipment to state-run power major NTPC.
A bench of justices Altamas Kabir and J Chelameswar allowed the petition filed by NTPC and upheld the public sector unit's decision disqualifying the Italian manufacturer and its Indian partner Gammon India from participating in the around Rs 16,000-crore tender for power equipments.
NTPC, following international competitive bidding procedures, had invited bids for supply and installation of Steam Generator package for captive coal-based thermal power projects.
The bid of ACB was rejected by NTPC on January 5, 2011, saying the same did not meet the minimum qualifying requirements set out in the bid documents.
ACB had challenged its disqualification before the court.
NTPC had disqualified Ansaldo on the technical ground that eligibility criteria for participating in the tender required the bidder to design and engineer the entire Steam Generator itself and the same could not be outsourced.
NTPC said all integral parts of the steam generator like the furnace, evaporator, superheaters, reheaters, connecting piping etc. were also to be designed and engineered by the manufacturer itself.