CHENNAI: In the wake of the alleged Rs 397-crore transformer procurement scam, the Tamil Nadu Power Distribution Corporation Limited (TNPDCL) in a first has ordered its 12 distribution regions to form three committees each to scrutinise and finalise cost estimates before tenders are floated. The decision, which aims to strengthen transparency and ensure competitive tendering practices, was taken during a review meeting chaired by Electricity Minister CTR Nirmal Kumar at the TNEB headquarters in Chennai recently.
According to the TNPDCL order accessed by TNIE, all distribution regions have been directed to form three panels — Market Analysis and Estimate Validation Committee, Manufacturer Assessment Committee, and Crosscheck Committee.
The Market Analysis and Estimate Validation panel will study prevailing raw material prices, prepare component-wise cost estimates and examine technical specifications against existing TNPDCL standards.
No official will be on more than one panel: TNPDCL
The Manufacturer Assessment Committee will independently evaluate material and equipment costs by consulting original equipment manufacturers, and assess international market prices when necessary. The Crosscheck Committee will then verify estimates from both panels, benchmarking proposed rates against TNPDCL’s latest purchase order rates, procurement rates of other state utilities and online market prices, including those on the Government e-Marketplace (GeM) portal.
On timelines, the Market Analysis and the Manufacturer Assessment committees must submit reports within 15 days of receiving intimation from chief engineers or superintending engineers on proposed tenders. The Crosscheck Committee then has seven days to submit its findings. TNPDCL has also mandated that no official should serve on more than one of the three committees.
Under the existing practice, estimates were largely prepared with inputs from private agencies, after which tenders were floated, contracts awarded to the lowest bidder and prices negotiated before finalising purchase orders. “With these committees, estimates will undergo multiple levels of scrutiny before tenders are even floated, ensuring rates are realistic, competitive and in line with market conditions,” a senior TNPDCL official said.
The official added that the new system has been introduced following allegations of irregularities in transformer procurement under the previous regime. “The TVK government has issued clear instructions to ensure such issues do not recur,” the official said.
