CHENNAI: Tamil Nadu Generation and Distribution Corporation (Tangedco) has strongly refuted the allegations raised by Arappaor Iyakkam concerning the acquisition of transformers between 2021 and 2023. In a comprehensive statement released on Saturday, the power utility clarified that the tendering process has been consistently followed for the past 10 years.
Addressing the concerns, Tangedco explained, “The complaint has been filed based on the fact that all the bidders quoted the same rate for a tender to procure transformers. It should be noted that approximately 30 companies are involved in selling transformers in the state. Upon examination of past tender documents dating back to 2011, it is evident that different private entities had submitted the same rate on numerous occasions.”
The power utility emphasised that as these companies transport transformers to Tangedco’s 44 distribution circles, from Chennai to Nagarkoil, they are required to bear transport charges. Furthermore, given that most of these companies operate in the same town, there is a likelihood of them being aware of each other’s rates, Tangedco added.
The power utility also highlighted that all bidding rates were received online. Despite various companies quoting the same rates, in accordance with the Tamil Nadu Transparency in Tenders Act 1998, the power utility distributed procurement orders equally among them. Regarding allegations that Tangedco acquired transformers at prices higher than those listed on the GEM portal, the utility categorically stated such claims are unfounded.
It asserted that it adhered to all necessary procedures and cross-checked the rates with the GEM portal. In response to the complaint’s assertion of a loss amounting to Rs 397.37 crore for Tangedco when compared to other states, the power utility clarified that the complainants had inaccurately compared prices of aluminium raw materials instead of copper, the utility stated.