US DISPATCH LEAKS : Emergency ‘order’: BEST tender forms for Maruti

’76 Cable Talks Of Bid To Favour Sanjay Gandhi

New Delhi: In the mid-70s, when Mumbai wanted to buy 700 bus chassis and machine shop equipment for one of the biggest expansions of its public transport until then, authorities were forced to issue tender forms to Sanjay Gandhi’s Maruti company.

Though the Gurgaon based Maruti did not manufacture buses, in the days of internal emergency, BEST authorities issued the tender forms to it without any objection, according to a cable sent from the US consulate in Mumbai and now made public by Wikileaks.

The cable sent on August 10, 1976, by the consulate said: “Maruti Heavy Vehicles Ltd, New Delhi, a firm in which Prime Minister (Indira) Gandhi’s son Sanjay holds interest, has also been supplied with tender forms ‘under instruction’. Maruti is neither bus-chassis producer, nor is known to represent any major foreign vehicle manufacturer. Best source was unable to identify reasons for Maruti’s interest in the bid.”

The consulate noted that in another tender in New Delhi, Maruti also wanted to supply international harvester truck trailers, which too it did not produce. Many of the US cables—dispatched between 1973 and 1976—show the reckless expansion and business ambitions of Sanjay Gandhi and his Maruti that also sought to represent several US firms, including aircraft makers in India.

The 700 bus chassis purchase was to be funded by the World Bank, and some 30 tender forms were sold to prospective suppliers from India and abroad.

By the time Maruti was issued tender forms, the entire project had already come under public scrutiny with the media, led by TOI, raising concerns that the World Bank’s lending terms were stiff, the cable shows.
Courtesy:
TIMES NEWS NETWORK
http://epaper.timesofindia.com/Default/Scripting/ArticleWin.asp?From=Archive&Source=Page&Skin=TOINEW&BaseHref=TOIM/2013/04/10&PageLabel=11&EntityId=Ar01100&ViewMode=HTML

Smelling Scam: Allegations cloud BEST’S solar power plan

MUMBAI: The state’s plan to provide solar energy in addition to the regular power supply in the island city in 2013-14 has yet to take off, but allegations of corruption are already starting to creep in.

The Brihanmumbai Electricity Supply and Transport (BEST) undertaking committee on Wednesday resolved the three year old issue of obtaining solar energy by approving a contract of 27megawatts (MW) to two private companies for 25 years, from whom it will purchase energy at the cost of Rs8.56. As a result, the city will procure approximately 45 million units of solar energy annually for the next 25 years.

However, the opposition claims one of the private companies was quietly added to the contract, without the due process being followed for the same.

Initially, the proposal comprising only a memorandum of understanding (MOU) with Welspun Energy, Maharashtra, with a power capacity of 20MW was submitted before the BEST committee, but as BEST’s requirement is 30 MW, another private bidder was added to the proposal through an amendment by Sunil Ganacharya, a committee member.

“It is unfair to amend such an important proposal like this. They should have brought forward a separate proposal to award the contract to the other company,” said Ravi Raja Kondu, a committee member. “The proposal was passed hastily, and we suspect corruption worth more than Rs600 crore.”

BEST is legally obligated to acquire renewable energy to the tune of 8% of the total power required annually.

Ashok Patil, chairman BEST said, “To provide the additiona 7MW, the second bidder was added to the existing proposal The amendment was suggested by committee member and sanctioned by the committee.”

THE RENEWABLE PURCHASE OBLIGATION
Under the Maharashtra Electricity Regulatory Commission (MERC), every distribution utility in the state has to procure a certain percentage of its energy requirement in the form of wind, micro/mini hydro, solar biomass-based renewable energy.
Courtesy:
    10 Jan 2013
    Hindustan Times (Mumbai)
    Prajakta Chavan Rane prajakta.chavan@hindustantimes.com