Karnatka: BJP leader alleges ‘irregularities’ of Rs 15,568 crore in smart meter tender process
Bharatiya Janata Party (BJP) leader C N Ashwath Narayan on Tuesday alleged that there were “irregularities” of about Rs 15,568 crore in the smart meter tender process of Bengaluru Electricity Supply Company Limited (BESCOM) and other electricity supply companies (ESCOMs).
According to officials, a smart meter is an electronic device that records data such as power consumption, voltage level, load and various other technical parameters.
This information is transmitted to the server from time to time. Accusing the Siddaramaiah-led Congress government of “favouritism and irregularities” in the tender process, the MLA claimed that the scale of the irregularities was even bigger and asserted that the ESCOMs should follow the rules of the Karnataka Electricity Regulatory Commission (KERC).
The former deputy chief minister’s statement came a day after the energy department rejected allegations of irregularities in the installation of smart meters. BESCOM MD Sivasankar asserted that the purchase price of smart meters was determined scientifically and implemented with complete transparency.
Addressing reporters, the BJP leader argued that Karnataka Electricity Regulatory Commission (KERC) rules do not make the use of smart meters mandatory. He said smart meters can be made mandatory for temporary connections, but they cannot be implemented for permanent and new customers.
Citing Central Electricity Authority (CEA) rules, the former minister clarified that smart meters can be made mandatory for new consumers only after all existing meters have been replaced with smart meters.
“Smart meters are not mandatory even under Central Electricity Authority rules. The bidding capacity under the Karnataka Transparency in Public Procurement (KTPP) Act was not mentioned in the tender,” Narayan said. It should have been Rs 6,800 crore.”
The BJP MLA pointed out that under the KTPP Act, the required turnover should be Rs 1,920 crore, while the revised contract value of the tender was specified at Rs 107 crore annually.
Criticising the ‘lack of transparency’, Ashwath Narayan said, “The tender was issued without specifying the total amount. The KTPP Act was not followed, nor were the Central government rules implemented. A contractor with no experience in manufacturing or installing smart or digital meters was considered.”
Highlighting the low cost of smart meters being installed in Congress-ruled states like Himachal Pradesh, Telangana and Kerala, he said, “In Karnataka, the cost of each meter is Rs 17,000, while in other states the price is Rs 7,740 per meter.”
Recalling the arrest of an IAS officer and a minister from Bihar in 2023 in a similar scam, Narayan alleged that the Karnataka government violated the KTPP Act at every level.
“This is daylight robbery. The (state) government should be held accountable. They are making smart meters mandatory without any legal backing,” he alleged.
