Tamil Nadu govt cancels Adani Energy Solutions’ smart meter tender

The Tamil Nadu Power Distribution Corporation has cancelled a global tender floated for procuring smart meters, citing the high cost quoted by Adani Energy Solutions Ltd (AESL).

The tenders were floated as four packages in August 2023 for providing the smart meters under the central government's revamped distribution sector scheme.

AESL, a BSE-listed firm was the lowest bidder for package 1 of the tender covering eight districts, including Chennai, and involved installation of over 82 lakh smart meters, a source said.

The tender was cancelled on 27 December 2024, citing that the cost quoted by AESL was higher than expected.

A re-tender is likely to be floated. Tenders for three other packages were also cancelled, the source said, without divulging further details.

The government's move comes in the wake of the controversy surrounding industrialist Gautam Adani, promoter of the Adani Group over allegations of being part of a scheme to pay over US$ 250 million (about Rs 2,100 crore) bribe to Indian officials in exchange of favourable terms for solar power contracts.

US prosecutors had indicted Adani and some others in connection with the matter.

The company has refuted the allegations.