Deonar waste-to-energy plant: Second lowest bidder bags contract

A proposal to set up a waste-to-energy plant at Deonar at a cost of more than ₹1,291 crore was sanctioned by the civic standing committee on Tuesday. However, the

A proposal to set up a waste-to-energy plant at Deonar at a cost of more than ₹1,291 crore was sanctioned by the civic standing committee on Tuesday. However, the contract was awarded to the second lowest bidder following hue and cry by corporators alleging manipulation by the administration in shortlisting the lowest bidder who had quoted ₹1,020 crore.

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Generally, the lowest bidder is awarded contracts, but following allegations that the tender was rigged, the contract for the waste-to-energy plant was given to the second lowest bidder.

The Brihanmumbai Municipal Corporation (BMC) had invited bids for the plant in December 2019 and according to BMC records, it has received two bids — one firm quoted ₹1,020 crore while the other quoted ₹1,291 crore.

Ravi Raja, Congress corporator and Leader of Opposition, said, “This is one more example of BMC administration’s cronyism. Despite the contractor not quoting a cost, his bid was accepted and shortlisted. Upon objection, we were told that the price was quoted but did not appear due to a technical glitch. It is the correct move to give the contract to the second lowest bidder.”

However, standing committee chairman and Shiv Sena corporator Yashwant Jadhav, while passing the proposal, said, “The project has already been delayed a lot. It is important for us to take steps to make this project a reality. Also, in this case, we need to follow the directions of the high court on making this plant functional at the earliest.”

Following frequent fire incidents in 2015 and 2016 at the Deonar dumping ground, BMC was directed to stop dumping waste there in 2013.

According to the plan, the waste-to-energy plant will process 3,000 metric tonnes of waste and generate 25-30 megawatt energy. The plant will be functional for 25 years.