Fast rail AC order to China agency underneath DPIIT scanner


The Division for Promotion of Business and Inner Commerce (DPIIT) is more likely to evaluate the award of air con contract for metro automobiles for the Delhi-Meerut Fast Regional Transport System (RRTS) to a Chinese language firm for any attainable violation of the Make in India pointers.

The mission is being developed by the Nationwide Capital Area Transport Company (NCRTC). Bombardier is supplying the metro automobiles whereas the air con contract has gone to a Chinese language firm KING.

Dwelling-grown air con firm Sidwal Refrigeration Industries Non-public Restricted raised the matter with the division alleging {that a} Chinese language vendor was roped in regardless of indigenous Heating, Air flow and Air-Conditioner (HVAC) merchandise being out there.

“Within the case of RRTS mission, when the absolutely indigenously developed HVAC can be found ,the automobile builder Bombardier has determined to go along with Chinese language vendor KING regardless of lot of native industries can be found in India,” Sidwal Refrigeration Industries Non-public Restricted stated in a letter to the DPIIT earlier this yr.

Whereas NCRTC has maintained that the contract was awarded to the Chinese language firm earlier than a authorities order in July final yr mandated procurement of things domestically the place sufficient home capability was out there, officers stated that the DPIIT will nonetheless look into the case since a Chinese language entity is concerned.

“We’ll look into the difficulty,” stated an official, including {that a} assembly on the matter is probably going quickly.

An electronic mail despatched to the commerce and business didn’t elicit a response.

HVAC is talked about within the checklist of ‘Obligatory Gadgets’ issued by the Ministry of Housing and Urban Affairs (MoHUA) the place there may be ample native capability and competitors and the place public procurement wants be accomplished solely from native suppliers when it comes to PPP-Mll Order.

“Because the merchandise HVAC can also be within the checklist, these pointers are additionally relevant for procurement of HVAC for rolling inventory of Delhi-Meerut RRTS mission,” MoHUA stated in a letter to DPIIT dated Could 20, 2021.

Nevertheless, referring to the finance ministry order dated July 23, 2020 regarding procurement from international locations sharing land border with India together with procurement from China, NCRTC stated it doesn’t apply to the contracts already awarded and therefore it doesn’t apply to RRTS trainset contract because it was awarded in Could 2020.

A file of dialogue held between DPIIT, NCRTC, and MoHUA on March 22 stated, “notification of MoHUA dated Could 5,2020 was issued a lot after opening of the tender of Rolling inventory. Therefore this might not be included within the NIT of NCRTC for procurement of rolling inventory.”

Being a public procurement underneath Make-in-India, Bombardier India will likely be required to fulfill the minimal native content material requirement underneath this contract, NCRTC stated in response to a question from ET.

Nevertheless, procurement of the sub-systems or elements by Bombardier India are non-public procurement and subsequently the choice of such procurement rests with Bombardier India assembly the general efficiency requirement underneath this turnkey contract, it stated.

NCRTC additionally stated that the difficulty of HVAC procurement by Bombardier India underneath the topic contract has already been mentioned with DPIIT and has been present in compliance with all relevant authorities pointers and situations of the contract. “All selections underneath the contract have been taken following all of the relevant pointers of the federal government of India,” an NCRTC spokesperson advised ET.

Final yr, Chinese language agency Shanghai Tunnel Engineering Firm Ltd (STEC) bagged a contract to design and assemble a 5.6 km underground part between New Ashok Nagar and Sahibabad on Delhi-Ghaziabad-Meerut RRTS Hall of NCRTC.

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