The court held that public interest litigation cannot be used to challenge tender conditions without proof of arbitrariness or malafide conduct.

ORDER :

Ravi Cheemalapati, J.

The present Public Interest Litigation has been filed questioning the tender conditions in the tender notifications issued by the Transmission Corporation of Andhra Pradesh Limited (for short, 'AP TRANSCO').

2. The case of the petitioner is that the AP TRANSCO has issued four tenders and purchase orders as follows:

(1) Tender No.APT-e-41/2024 dated 22.11.2024 for Supply, Laying , Testing and commissioning of 220 KV, 1000 sq.mm XLPE U/G Copper Cable with associated accessories including services for Jointing, Terminations, Site Testing and Commissioning the complete Cable System for diversion of 220KV VTS-Podili DC line (UG cable -19KM), 220KV VTS-Tallapalli Ckts I&II (UG cable -11KM), 220KV VTS- Tallapalli Ckts IIl&IV (UG cable-11KM) and 220KV VTS-Tadikonda Ckts I&II (UG cable- 14KM) which are passing across the Seed Capital Region (From N10 to End of CRDA Limits) on turnkey basis in Guntur District and consequential Purchase Order no. 1091 dated 04-06-2025;

(2) Tender No. APT-e-46/2024 dated 28.11.2024 for Supply, Erection, Laying, Testing and Commissioning of (i) Upgradation of 132/33kV SS Tadepalli to 220/132/33kV SS with 3X160MVA Power Transformers and Erection of 220kV DC line from 400/220kV GIS Tallayapalem to proposed 220kV SS Tadepalli by laying (ii) 220kV 1000Sq.mm Single core UG cable from 400/220kV GIS Tallayapalem to Kondaveetivagu (9.2KM) &(iii) Stringing of 220kV Line on existing Multi circuit towers up to proposed 220kV SS Tadepalli (4.5KM) in Guntur District and consequential Purchase Order no. 1089 dated 22-05- 2025;

(3) Tender No. APT-e-47/2024 dated 29.11.2024 for Supply (balance), Erection, testing and commissioning of (i) 220/33 KV GIS at Nelapadu, (i) Laying of 220KV DC, 1000 Sq.mm XLPE UG Cable from 400/220 KV GIS Tallayapalem to proposed 220/33kV GIS Nelapadu (11 KM) and (ii) Erection of OH line by making LILO of 220 KV VTS-Podili line to the proposed 220/33 KV GIS Nelapadu (2 KM ) on turnkey basis in CRDA, Guntur District and consequential Purchase Order no. 1095 dated 18-06-2025;

(4) Tender No. APT-e-04/2025 dated 29.07.2025 for Supply, Erection, testing and commissioning of (i) 220/33 kV GIS at Lingayapalem, (ii) Laving of 220KV DC,1000 Sq.mm XLPE UG Cable from 400/220 kV GIS Tallavapalem to 220/33kV GIS Lingayapalem(8 KM) and (iii) Laying of 220kV DC,1000 Sq.mm XLPE UG Cable by making LILO of 220kV VTS-Narasaraopet to proposed 220/33kV Lingayaplem GIS (0.5 KM ) on turnkey basis in CRDA, Guntur District and consequential Purchase Order dated 18-08-2025.

3. It is the case of the petitioner that in the said tender conditions, the technical qualification under Clause 1.3(iv) mandates that bidder must have executed works such as substations, transmission lines, or any infrastructure project of value more than 300 crores for State/Central Government/PSU agencies and under clause 1.3(iii)(A) the bidder must have executed 100% of the tender quantity(290 KM) of 220KV XLPE underground cable within the last 10 years and the same must be in successful commercial operation for atleast two years. In the tender conditions it was specifically mentioned that the bidder meeting the eligibility criteria as mentioned at Clause1.3(iv) above is mandatorily required to appoint a sub-contractor who meets the technical qualification criteria as mentioned in Clause No. 1.3(iii) as well as Cable Manufacturers Qualification Criteria as mentioned at Clause No.1.4(l).

4. Further, the Clause 1.4(I) mandates that the manufacturer of Extra High (EHV) cables having experience in supplying of cable of respective voltage for at least last five years as on the date of tender publishing date who must have supplied 100% of Copper conductor cable of offered conductor size of higher size of 220 kV o