Haryana’s ‘Swiss Challenge’ method under cloud after its stay in Andhra

Sushil Manav

Advertisement

Tribune News Service

Chandigarh, September 27

The ‘Swiss Challenge’ method adopted by the state government for public procurement and development works has come under cloud as the Hyderabad High Court has recently stayed this model adopted by the Andhra Pradesh Government terming it as a ‘real estate business’.

Legal experts maintain that the ‘Swiss Challenge’ method, which was being touted by the state government as a game changer, may no longer be legally tenable.

Under the Swiss Challenge method adopted by Haryana, a suo motu proposal or offer could be made by the original proponent to the government best in terms of cost and time effectiveness as a result of his own approach, or, on the demand of the government to perform a certain task.

As per guidelines notified by the state government earlier this month, the proposal submitted under the Swiss Challenge Method will be examined and an opportunity given to third parties to make better offers for the project by way of international competitive bidding for fetching maximum price. The original proponent thereupon has the right to counter match any superior offer given by third party.

This method stipulates steps for examination and approval of the proposal, flotation of bids, opportunity to third parties to match the offers and award of contract.

The Swiss Challenge method also helps in spotting an unidentified need and providing solution for the same, as per the guidelines issued by the state government.

Some of the major sectors eligible under the method include infrastructure projects, agriculture, horticulture, transportation and logistics, public transport, railway systems, urban transport system, warehousing infrastructure, mechanised and multi-storey parking facilities, education, technical education and skill development, gas distribution network, medical and health.

However, it has come under cloud after the Hyderabad HC recently stayed the model proposed by the Andhra Pradesh Government to select developers for the construction of the greenfield capital city of Amaravati. Chief Secretary DS Dhesi said the government would study the verdict and take decide accordingly.