The North Delhi Municipal Corporation on Friday announced the cancellation of the tender for 32 new parking sites due to low bid value and calculation of long-term losses to the civic body.
The municipality had floated tenders via an e-auction for the allotment of 59 parking spots on October 18, out of which bids were received for 32 sites.
‘Negligible profit’
Documents show that out of 38 bidders, only seven made it to the final bid and the rest were eliminated in the process of scrutinisation.
“The screening committee recommended seven bidders for 32 sites, one bidder for 21 sites, two for eight sites and three bidders for three sites,” a north corporation document read. The document, however, does not reveal at what stage the tender was cancelled.
Officials said that the tender was cancelled mainly because there was little competition and the highest bid was earning the civic body negligible profit.
“The highest bid made on October 18 was of ₹8,052,144, whereas the base price was ₹7, 945,034. The duration of the project was five years and the corporation would long-term losses if they go ahead with it,” a senior civic body official told The Hindu .
At present, the north corporation has 101 parking spots. It was planning to make 100 more to curb road-side parking.
The Aam Aadmi Party (AAP) councillors, however, alleged that the tenders have been revoked because the north Delhi Mayor Preety Agarwal had favoured the firms in the bid and after the issue came to the fore, the civic body had no other option but to cancel the tenders.
“The Mayor chairs the Remunerative Projects Cell, which handles the projects. We have been alleging that she has been playing favourites in tender allocations. The tender was cancelled as a show to escape bad name,” said Leader of Opposition in the civic body, Rakesh Kumar.
Refutes allegations
Refuting the allegations, Ms. Agarwal said that procedure was followed in the bid and the process was undertaken by the administration of the civic body and that neither she nor any political representatives had a say in it.
“Proper procedure was followed in the bid and later because it was not yielding any profits to the corporation it was called off. If I or anyone was favouring a company why would the tenders be cancelled,” she asked.
