BJP leader Ashwath Narayan alleges Rs 15,568 cr 'misappropriation' in smart meter tender process
Bengaluru, Mar 25 (PTI): BJP leader C N Ashwath Narayan on Tuesday alleged that 'misappropriation' amounting to approximately Rs 15,568 crore has taken place in the smart meter tender process of Bangalore 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 electricity consumption, voltage levels, load, and various other technical parameters. This information is periodically transmitted to the server.
Accusing the Siddaramaiah-led Congress government of "favoritism and irregularities" in the tender process, the MLA claimed that the scale of this misappropriation is even larger and emphasised that ESCOMs should adhere to the Karnataka Electricity Regulatory Commission (KERC) rules.
The former Deputy Chief Minister's statement came a day after the Energy Department dismissed allegations of irregularities in the installation of smart meters, with BESCOM MD Shivashankara asserting that the smart meter purchase price was determined scientifically and executed with full transparency.
Addressing a press conference, the BJP leader argued that the Karnataka Electricity Regulatory Commission (KERC) rules do not mandate the use of smart meters.
He stated that while smart meters can be made mandatory for temporary connections, they cannot be enforced for permanent and new customers.
Citing Central Electricity Authority (CEA) regulations, the former Minister explained that smart meters for new consumers can only be mandated after all existing meters have been replaced with smart meters.
"Smart meters are not mandatory, even under Central Electricity Authority rules. The bid capacity under the Karnataka Transparency in Public Procurements (KTPP) Act was not mentioned in the tender. It should have been Rs 6,800 crore," Narayan said.
The BJP MLA pointed out that under the KTPP Act, the required turnover should be Rs 1,920 crore, whereas the tender amendment contract value was specified as Rs 107 crore annually.
He further alleged that despite a rule stating that no blacklisted company should be awarded the contract, BCITS, which was blacklisted in Uttar Pradesh, was still considered.
"As per central government guidelines, an experience of installing just one lakh smart meters is sufficient. However, this tender required experience with 10 lakh ordinary meters, seemingly to limit competition and favour Rajashree Electricals," Narayan alleged.
He noted that the estimated cost of the project was Rs 571 crore but was later amended.
Criticising the "lack of transparency", Narayan said, "The tender was issued without specifying the total amount. The KTPP Act was not followed, nor were central government rules implemented. A contractor with no experience in manufacturing or installing smart or digital meters was considered."
Highlighting that smart meters have been installed at lower costs in Congress-ruled states like Himachal Pradesh, Telangana, and Kerala, he pointed out, "In Karnataka, each meter costs Rs 17,000, whereas in other states, the price is Rs 7,740 per meter."
Recalling that an IAS officer and a minister were arrested in Bihar in 2023 over a similar scam, Narayan alleged that the Karnataka government had violated the KTPP Act at every level.
"This is daylight robbery. The (state) government must be held accountable. They are making smart meters mandatory without any legal backing," he alleged.
According to the BESCOM MD, as per the regulations, the tender process followed the Standard Bidding Documents provided by the Ministry of Power and complied with the KTPP Act.
The tender was issued on September 26, 2024. With the approval of the BESCOM Board of Directors, the contract was awarded to Rajashree Electricals, who submitted the lowest bid, on December 23, 2024.
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Sensex rises nearly 295 pts to close at 2025-high on foreign fund inflows, drop in crude prices
Mumbai, May 5 (PTI): Benchmark BSE Sensex climbed nearly 295 points to close at an over four-month high on Monday following sustained foreign fund inflows and a sharp correction in global crude oil prices.
Rising for the second in a row, the 30-share BSE barometer gained 294.85 points or 0.37 per cent to settle at 80,796.84, marking its highest close in 2025 so far. During the day, it jumped 547.04 points or 0.67 per cent to 81,049.03.
The NSE Nifty rose 114.45 points or 0.47 per cent to 24,461.15, its highest closing level in 2025.
Among Sensex firms, Adani Ports jumped 6.29 per cent amid reports that Gautam Adani's representatives met with US administration officials to seek the dismissal of criminal charges in a bribery probe. All other listed Adani group stocks, including Adani Enterprises, Adani Ports, Adani Power and Adani Green Energy, ended with sharp gains.
Bajaj Finserv, Mahindra & Mahindra, Eternal, Power Grid, ITC, Tata Motors, Asian Paints and Hindustan Unilever were also among Sensex gainers.
Among the laggards, Kotak Mahindra Bank tanked 4.57 per cent after the firm reported a 7.57 per cent decline in consolidated net profit to Rs 4,933 crore for the March quarter of FY25, primarily due to elevated stress in the microlending book.
State Bank of India, Axis Bank, Titan and IndusInd Bank were among the other losers.
State Bank of India dipped over 1 per cent after it reported an 8.34 per cent decline in consolidated net profit to Rs 19,600 crore for the January-March quarter compared to Rs 21,384 crore a year ago, impacted by a decline in net interest margins.
Foreign Institutional Investors (FIIs) bought equities worth Rs 2,769.81 crore on Friday, according to exchange data.
Foreign investors injected Rs 4,223 crore into the country's equity market in April, as they turned net buyers for the first time in three months amid a blend of favourable global cues and robust domestic fundamentals.
The inflow of foreign capital came last month following a back-to-back net outflow of Rs 3,973 crore in March, Rs 34,574 crore in February, and Rs 78,027 crore in January.
"The market has sustained its positive momentum, though the level of optimism has decreased. Continued foreign inflows and record GST collections in April indicate resilience in economic activity, fostering mild hopefulness. A weak dollar and a decline in oil prices have further bolstered FII sentiment.
"However, the market's momentum is moderating, with action shifting from broad-based movements to stock and sector-specific trends based on results," Vinod Nair, Head of Research, Geojit Investments Limited, said.
The BSE midcap gauge jumped 1.45 per cent and smallcap index climbed 1.23 per cent.
Among sectoral indices, services jumped the most 2.99 per cent, followed by oil & gas (1.95 per cent), auto (1.88 per cent), consumer discretionary (1.58 per cent), utilities (1.50 per cent) and energy (1.49 per cent).
Bankex emerged as the only loser.
As many as 2,563 stocks advanced while 1,459 declined and 180 remained unchanged on the BSE.
Markets in South Korea, Japan, China and Hong Kong were closed due to holidays.
European markets were trading on a mixed note.
US markets ended significantly higher on Friday.
Global oil benchmark Brent crude dropped 1.45 per cent to USD 60.40 a barrel.
The 30-share BSE benchmark gauge settled 259.75 points, or 0.32 per cent, higher at 80,501.99 on Friday. The Nifty eked out a marginal gain of 12.50 points, or 0.05 per cent, to settle at 24,346.70.
