UTAdministration submits report to Centre

Dushyant Singh Pundir

Tribune News Service

Chandigarh, March 25

The UT Administration today submitted the progress report on the privatisation of the Electricity Department to the Centre.

The UT Administration had on Monday opened the technical bids submitted by seven firms in the fray.

A senior UT official stated in the report that the technical bids were being examined by an evaluation committee and the financial bids would be opened after scrutinising all technical bids.

On November 9, 2020, the UT Engineering Department had invited bids for the privatisation of the Electricity Department.

As many as 20 intended bidders were issued the request for proposal (RFP), but only seven companies had submitted their bids by the last date on March 18.

However, the UT Administration had recently extended the last date to submit the bids after making some changes in the request for proposal (RFP) conditions in the tender documents.

On a petition filed by the UT Powermen Union, the Punjab and Haryana High Court had, on December 1, 2020, stayed the tendering process regarding the privatisation of the department. The Bench was told that the process of privatisation could not be initiated at all, especially when the department was running in profits. The petitioner had stated that the sale of 100 per cent stake was unjust and illegal as the wing was revenue surplus for the past three years.

However, On January 12, the Supreme Court had stayed the order of the High Court and on January 14, the UT Administration resumed the sale of tender for the privatisation process.

The UT Administration has proposed to give licence to a distribution company for 25 years under the privatisation of the department.