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Chandigarh: MC to invite fresh bids for horticulture waste plant
The decision to reinitiate the tendering comes months after former Chandigarh mayor and senior BJP leader Anup Gupta flagged alleged irregularities in awarding the construction contract of the new horticulture waste plant
In yet another glaring example of mismanagement, the Chandigarh municipal corporation (MC) has decided to restart the allotment process for the city’s much-needed horticulture waste plant — a project billed as “urgent” but now mired in procedural lapses and political arguments.
The decision to reinitiate the tendering comes months after former mayor and senior BJP leader Anup Gupta flagged alleged irregularities in awarding the construction contract of the new horticulture waste plant. The project, aimed at easing the city’s mounting horticulture waste crisis, was originally approved in December last year, but has been stalled since January this year, further delaying critical infrastructure in a city already grappling with leaf litter piling up on its streets.
The matter will be placed before the MC House in its upcoming General House meeting on June 30 (Monday), where officials will table a fresh Request for Proposal (RFP), detailing terms and conditions for re-tendering. Only after the proposal is cleared by the House will a new tender be floated — adding several more months of delay to a project that was supposed to be carried out in emergency mode.
City under-equipped to process horticulture waste
The city’s existing facilities for processing horticulture waste are woefully under-equipped. Currently, MC operates composting pits at 104 sites within parks, handling only 32 tonnes per day (TPD) of mixed horticulture waste. Not just composting pits, MC has limited capacity in horticulture waste processing plants too, located in the Industrial Area, Phase 2. Processing around 12 TPD of pruned horticulture waste daily, which includes pruned branches and stems, the plant is running at full capacity, but is still far from meeting the city’s overall waste disposal needs.
To plug this gap, the MC had proposed a second plant — also in Industrial Area Phase 2 — with a capacity of 60 TPD and an estimated cost of ₹4 crore. The plant was to employ biofuel briquetting technology to convert waste into fuel bricks. However, the project has been overshadowed by controversy.
Former mayor Anup Gupta had in May alleged that MC bypassed proper tendering procedures and unlawfully nominated M/s Hardicon Limited, a PSU, for the job without issuing any Expression of Interest (EOI) or Request for Proposal (RFP). In his formal letter to the commissioner, Gupta questioned whether due protocols under the General Financial Rules (GFR) 2017, CVC guidelines, and the Manual of Procurement of Works 2022 were followed — and is still awaiting a response.
The allegations forced MC commissioner Amit Kumar to step in. He ordered an internal inquiry and assured the House that the agreement with the PSU would be scrapped if procedural lapses were confirmed. “The agreement will be cancelled and a fresh tender floated,” he said, promising accountability.
Ironically, the existing operator of the Phase 2 plant is billing the MC ₹3 lakh per month while delivering subpar waste processing. According to MC insiders, the public sector firm had offered to build and operate the new facility for free and even proposed profit-sharing on the sale of briquettes. “Given the MC’s weak financial standing, the offer seemed attractive,” an official said, defending the earlier move.
“However, to ensure ‘transparency’ and to placate elected councillors, the civic body is going back to square one. The fresh allotment process will ensure everyone is satisfied, but yes, it will delay the project by another few months,” the official admitted.
MC to auction 7.5 acre in Manimajra
The Chandigarh MC is preparing to auction more than 7.5 acre of land across five plots in Pocket Number 6 of Manimajra, paving the way for a multi-storey group housing society. The proposal, complete with detailed terms and conditions and several regulatory riders, will be tabled in the upcoming general house meeting for discussion and approval on Monday. The cumulative reserve price for the five plots crosses ₹794 crore, which can surely fill the empty coffers of the MC.
As per the plan, the land can be allotted either jointly to a consortium or to a single developer. The MC has ruled out any scope for fragmentation or amalgamation of plots or buildings. The construction must strictly adhere to the zoning plan and dwelling units cannot be used for any purpose other than residential.
As per terms and conditions, allottees will be liable for applicable taxes, GST, and fees imposed by the Centre, Chandigarh administration, or MC. Community facilities like libraries, creches, halls, and society offices must be used exclusively by residents—no commercial use will be allowed. No plot or building can be divided or merged without prior approval. Construction must strictly follow the approved zoning plan with no deviation in use.
