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Andhra Pradesh - Hyderabad Printer Friendly Page   Send this Article to a Friend

Little say for MCH tenders panel?

By Our Staff Reporter

HYDERABAD, MARCH 31. If the functioning of the building panel of the Municipal Corporation of Hyderabad (MCH) has become contentious, the working of its tenders committee is raising more questions. This panel oversees tender documents related to practically all its works for awarding the same to private contractors.

But, the lack of specific guidelines relating its working is making the panel run in a perfunctory manner. The result is that it has been unable to break the alleged formation of syndicates by private contractors though works are allotted to the lowest bidder yet in excess rates.

At least six officials of the rank of additional commissioner, the examiner of accounts and the chief engineer of the corporation comprise the tenders committee. It has been in vogue for more than six years now and meets every week for scanning about 25-30 tender offers submitted.

Though it has no sanction under the Hyderabad Municipal Act, it was constituted in the mid 90s as the MCH Commissioner has the powers to do so to ensure transparency in the allotment of works, speed up works and also shield the civic body from any financial misdemeanours. Noble intentions, no doubt, but some of the corporation officials themselves are not too sanguine about its role.

"Most of the work plans submitted are technical in nature. Except for a few, many do not have a clue of what is happening. There is no consistency in the manner of its functioning and more often than not the proposals are pushed through with little or no discussion," explains an official.

"We are not informed in advance about the details of the tenders schedule or the prevailing rates of iron and steel, cement, etc., and questions are brushed aside. Everyone signs on the minutes following the other," avers another official. It was no surprise that the contractors have found a way to beat the system.

Quoting a fraction below

While any bid quoted in excess of five per cent of the estimated amount for a work is disqualified, contractors quote their bids a fraction below at "4.99 per cent or 4.90 per cent or 4.97 per cent... etc.," and get it cleared by the tenders committee. "Where is the need to accord sanction for tenders quoting in excess when we have the estimated cost that provides for enough margin," wonders an official. If the lowest bid quoted (yet mostly in excess to the estimated cost) is anyway going to be approved, there is little scope for any proactive role of the tenders committee, feel some.

Still such is its importance that the corporators cutting across party lines have been clamouring for being co-opted as its members.

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