IN THE HIGH COURT OF DELHI
Vipin Sanghi, Jasmeet Singh, JJ.
Alpex Solar Pvt. Ltd. - Appellant
Versus
Energy Efficiency Services Limited - Respondent
W.P.(C) 6059 of 2021 & C.M Appl. 19193 of 2021
Decided On : 12-08-2021
| Table of Content |
|---|
| 1. writ petition seeking to challenge bid rejection. (Para 1 , 2 , 3 , 4 , 5 , 6 , 7 , 8) |
| 2. respondent's rationale for bid rejection. (Para 10 , 11 , 12) |
| 3. petitioner's average turnover calculations. (Para 14 , 15 , 16) |
| 4. court's interpretation of bidding criteria. (Para 17 , 18 , 19) |
| 5. order to quash rejection and reassess bid. (Para 20) |
JUDGMENT
1. The writ petition has been filed seeking the following substantive prayer:
a. "Quash and set aside the impugned communication dated 20.05.2021 issued by the Respondent No.2 insofar it fails to include the Petitioner in the "Envelop Name: Price Bid";
b. Quash and set aside the impugned e-mail communication dated 21.05.2021 issued by Respondent No.2 to the Petitioner.
c. xxxxxxxx
d. xxxxxxxx
e. xxxxxxxxx
f. Direct the Respondent to provide reason(s) for rejection of Technical Qualification bid of the Petitioner;"
2. The Petitioner claims to be a significant global player in the manufacture of highly specialized high power photovoltaic modules and solar systems which are not only world class, but also most cost effective.
3. The Respondent is Energy Efficiency Services Limited (EESL) and is a Super Energy Service Company (ESCO), which enables consumers, industries and governments to effectively manage their energy needs through energy efficient technologies. EESL was founded in 2009, promoted by Ministry of Power, Government of India as a Joint Venture of four reputed public-sector undertakings namely a) NTPC Limited, b) Power Finance Corporation Limited, c) REC Limited and d) POWERGRID Corporation of India Limited.
4. On 14.01.2021, the Respondent issued Detailed Invitation for Bids (IFB) for design, manufacture, supply transport, installation, testing and commissioning of Off Grid Solar Photovoltaic Water Pumping Systems of 1-10 HP in Selected States on PAN India basis, including complete system warranty and its repair and maintenance for 5 Years under MNRE KUSUM scheme Component-B. The e-bids from eligible bidders were invited for the aforesaid work under Single- stage Three-envelope bidding process through E-tendering.
5. Pursuant to the IFB dated 14.01.2021, the Petitioner submitted its Bid with relevant documents vide the E-tendering process, as per the format prescribed by the Respondent. The Respondent issued the Envelope receipt on 17.02.2021 and duly acknowledged the documents.
6. On 03.03.2021, the Technical Qualification bids were opened by the Respondent and there was no prior intimation given to the Petitioner regarding the same. A communication dated 26.03.2021 was addressed by the Respondent to the Petitioner, thereby directing the Petitioner to provide certain clarifications vis-`-vis their bid documents. The aforesaid communication was replied to by the Petitioner, and the requisite documents sought by the Respondent were also provided.
7. Thereafter, the Petitioner's bid was rejected, since the Petitioner was not included in the "Envelope Name: Price Bid". Vide communication dated 20.05.2021, the Petitioner learnt that his technical bid had been rejected.
8. The Petitioner, on 21.05.2021, addressed a communication seeking the basis of which Petitioner's bids was declared "non-responsive for technical evaluation". Since no reply was received, the Petitioner has filed the present writ petition.
9. When the matter came up before this Court on 05.07.2021, the Petitioner requested to amend his writ petition, to incorporate the challenge to the reasons for his disqualification, which had been communicated to him during the pendency of proceedings. This Court allowed the same and directed the Respondent to file their counter affidavit.
10. Pursuant to our orders dated 05.07.2021 and 16.07.21, the Respondent has filed a counter-affidavit and the reason for rejection has been stated in Para 4-7, which reads as under:
"(4) It is submitted that as per Format 1 Annexure III, the details of Annual Turnover of any 3 of the last four financial y
Public tendering processes must adhere strictly to stipulated criteria, ensuring bidders are evaluated fairly without arbitrary disqualifications.
Interpretation of tender documents in favor of the bidder in case of ambiguity and the importance of adhering to the standards and norms laid down in the tender documents.
The main legal point established in the judgment is that the bidding process must adhere to the specified criteria and that the interpretation of bidding document clauses should be in favor of the bi....
A Joint Venture bidder may combine the average annual turnover of its members to meet tender qualification criteria, and ambiguous tender terms cannot result in disqualification.
The court established that tender qualification criteria must be interpreted to allow the consideration of any three out of the last four years for average annual turnover, emphasizing clarity and ad....
Tender evaluation must prioritize fairness, and the interpretation of criteria should avoid hyper-technical disqualifications that undermine competitive bidding processes.
The main legal point established in the judgment is the requirement for bidders to comply with the bidding documents, including the submission of documents in the specified format. The judgment empha....
The evaluation of tender bids must comply strictly with the qualifications defined in the tender, and any deviation or submission of erroneous documents leads to disqualification.
Compliance with bidding conditions, specifically the demonstration of minimum average turnover, is crucial for the acceptance of bids in public procurement processes.
The court emphasized the importance of complying with tender qualification criteria and upheld the authority of the evaluation committee in assessing bid documents.
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