Chennai: The Tamil Nadu Power Distribution Corporation (TANGEDCO) has canceled a global tender for the procurement of smart meters, which had been awarded to Adani Energy Solutions Ltd (AESL), citing the high cost quoted by the company.
The tender was initially issued in August 2023 in four packages, as part of the central government's revamped distribution sector scheme. AESL, a BSE-listed company, was the lowest bidder for Package 1, which covered eight districts, including Chennai, and involved the installation of over 82 lakh smart meters.
However, on December 27, 2024, the government decided to cancel the tender, stating that the cost quoted by AESL was deemed excessive. Additionally, tenders for the three other packages were also canceled, though further details were not disclosed.
This decision follows the ongoing controversy surrounding Gautam Adani, the industrialist, and promoter of the Adani Group, who has been accused of orchestrating a scheme to pay over USD 250 million (approximately Rs 2,100 crore) in bribes to Indian officials in exchange for favorable terms for solar power contracts. US prosecutors have indicted Adani and several others in connection with the case. However, Adani Group has strongly denied the allegations.
A re-tender for the smart meter project is expected to be issued soon.
With PTI inputs