BJP demands tender norms review for local contractors

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By Our Reporter

SHILLONG, May 26: The BJP’s Meghalaya unit on Tuesday urged the state government to revisit tender eligibility norms to create greater opportunities for local contractors, as concerns were raised over the award of Public Health Engineering (PHE) projects worth nearly Rs 1,900 crore to Hyderabad-based BAC Infratech Pvt Ltd.
Addressing reporters, BJP Meghalaya spokesperson Mariahom Kharkrang said while the PHE Department maintained that the tendering process was transparent, the broader concern was about the framing of eligibility criteria that might prevent local contractors from competing for major government projects.
“The department has clarified that the process was transparent and we accept that. However, transparency alone is not the issue. If the tender conditions are structured in a way that excludes local contractors, then our own people are being denied opportunities,” Kharkrang said.
He said the matter assumes significance at a time when Meghalaya is facing unemployment challenges, and local entrepreneurs are seeking entry into larger infrastructure sectors.
“A substantial amount of capital investment is coming into Meghalaya through central government support. Wherever possible, local contractors should benefit from these opportunities,” Kharkrang said.
He pointed out that major contracts awarded to outside firms are often subcontracted to local contractors, which proves that local firms possess the capability to execute such works.
“If local contractors are capable of executing these works as subcontractors, there is no reason they should not be allowed to bid directly,” he said.
On demands by pressure groups for an independent inquiry into the allotment of the contracts, Kharkrang refrained from endorsing such calls, stressing that the priority should be policy reform rather than questioning the integrity of the process.
“It may well be a transparent process, but if the eligibility conditions are excessively stringent, then the government must review them,” he said.
Calling for a policy shift, he suggested that projects involving multiple locations and smaller individual components should be divided into manageable packages to facilitate local participation.
“These are not single mega engineering projects like dam construction. Many components are spread across different areas, with individual works valued at Rs 20 crore, Rs 80 crore and so on. Such works can be opened to local contractors if the conditions are made less restrictive,” he added.
The issue has evoked reactions also from pressure groups, opposition parties and contractors’ bodies, particularly over the allotment of key water supply projects, including the escalated New Shillong Township Water Supply Scheme, to an outside firm.
The Meghalaya PHE Contractors Association recently stated that local contractors are fully capable of executing large-scale projects if the current eligibility conditions are relaxed.
The association clarified that it is not opposed to the award of contracts to outside firms but argued that requirements such as high turnover thresholds and prior experience matching the project value effectively exclude local players.
It further stated that the issue had already been taken up with the state government, with a request that the remaining components of the New Shillong Township Water Supply Scheme (Phase II) be distributed among local contractors according to their respective capacities.
The association recalled that under previous PHE administrations, works were often divided into smaller packages and successfully executed by local contractors.

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