The Adani Group suffered a blow when the DMK-led Tamil Nadu government canceled its international smart meter procurement tender, even though Adani Energy Solutions Ltd (AESL) was the 'lowest bidder.'
The AESL, the lowest bidder for one of the four packages that covered eight districts, including Chennai, Kancheepuram, and Chengalpattu, cited 'high costs' as the reason why the state government's Tamil Nadu Generation and Distribution Corporation (Tangedco) canceled the smart meter procurement tender.
Center funded Rs 19,000 crore scheme
With the help of the Center-funded Rs 19,000 crore Revamped Distribution Sector Scheme (RDSS), which aims to install smart meters for all electricity connections in the state except for agricultural ones, this package alone included the proposed installation of over 8.2 million smart meters.
Order cancelled due to high pricing
The prices that the AESL quoted in order to win the tender, according to Tangedco officials, were 'unacceptable despite negotiations to bring down the costs.'
According to Tangedco sources, all four of the tenders that were issued in August 2023—including the ones for the final three packages that covered other districts—have been canceled for 'administrative reasons.' The government plans to reissue the tenders shortly.
M K Stalin denied all allegations
Chief Minister Stalin refuted reports earlier this month that he had met with Gautam Adani and urged the PMK and BJP, two NDA parties, to support the call for a Joint Parliamentary Committee (JPC) investigation into the Adani Group's business practices.
'I never met Adani, and he never met me. Do you require any additional clarification on this?' In the state assembly, Stalin denied claims that his government had connections to the Adani Group.
The chief minister also emphasized that the Tamil Nadu electricity board did not have agreements with Adani for the purchase of solar power, but rather with public-sector organizations such as the SECI.
