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2023 Supreme(Online)(Ker) 55993

IN THE HIGH COURT OF KERALA AT ERNAKULAM
SHAJI P.CHALY, J
Laxmi Civil Engineering Services Pvt. Ltd – Appellant
Versus
Kerala Water Authority – Respondent
WP(C) NO. 10993 OF 2023 | WP(C) NO. 10996 OF 2023



Advocates:
For the Appellants/Petitioners: Smt. Nisha George, Sri. George Poonthottam, Sri. N. Anand
For the Respondents: Sri. P.M. Johny, SC, Sri. Martin Jose P, Sri. P.Prijith, Sri. Thomas P.Kuruvilla, Sri. Ajay Ben Jose, Sri. R.Githesh, Sri. Manjunath Menon, Sri. Sachin Jacob Ambat, Smt. Anna Linda Eden, Sri. Harikrishnan S., Sri. S.Sreekumar (SR.)

Tender evaluation must prioritize relevant experience and qualifications as stipulated in the notice inviting tenders, with courts deferring to specialized committees unless clear errors occur.

Headnote:(A) Relevant laws not specifically cited in the judgment - The case deals with tender evaluation and qualification criteria.

(B) Legal principles highlighted the importance of experience in relevant technology for contractors.

(C)

Facts of the case:
Two companies filed writ petitions against their disqualification in a tender for constructing Water Treatment Plants by the Kerala Water Authority. They contended the evaluation process was flawed and unfair.

(D)

Issues: Whether the evaluation committee erred in disqualifying the petitioners based on tender conditions and experience requirements. (E)

Findings of Court:
The court upheld the evaluation committee's decision, noting adequate consideration had been given to the experience of all bidders, and confirmed that past experience criteria were met by the successful bidder. (F)

Ratio Decidendi: The court emphasized that the evaluation committee's discretion in interpreting technical qualifications and experiences should not be interfered with unless proven arbitrary or illegal. (G)

Result: Writ petitions dismissed.

Table of Content
1. writ petitions filed by companies regarding tender qualifications. (Para 1 , 2)
2. petitioners' challenge against tender qualifications based on evaluated experience. (Para 3 , 4 , 5 , 6)
3. successful bidder defends qualifications and contestations. (Para 7 , 8)
4. overview of committee evaluation and decision-making process. (Para 11 , 12 , 13)
5. court dismisses petitions, upholding committee's conclusions. (Para 34 , 35)

JUDGMENT

The captioned writ petitions are filed by two companies, stated to be having decades of experience in general construction industry and specific experience in constructing various types of Water Treatment Plants (WTP), who have participated in the tender invited by the Kerala Water Authority from its registered ‘Class A’ contractors in respect of the works “Construction of Intake well cum Pump house, supplying, Laying, Testing and Commissioning of Raw Water Pumping Main, Construction & Commissioning of 100 MLD Water Treatment Plant and allied structures at Koolimadu, Substations and Allied Electrics at Intake and WTP, Raw Water and Clear Water pumpsets, Supplying, Laying, Testing and Commissioning of M.S. Clear Water Pumping Main from WTP To Reservoir at Thanikkodumala, Clear Water Transmission Main from Reservoir at Thanikkodumala to various Service Reservoirs, Construction of Sump cum Pump House at Kizhakkoth and online Booster Station at Puthuppadi", and “Construction and Commissioning of 100 MLD Water Treatment Plant at Peruvannamuzhi, Floating Intake Structure, Raw Water Pump Sets, Raw Water Pumping Main, Transformers, Substation and Clear Water Transmission Main from WTP to various Reservoirs” respectively.

2. In the tenders, the petitioners did not pre-qualify; however, respondents 5 and 6 qualified. Thereafter, the financial bid was opened and the 5th respondent company became the successful bidder on the basis of the evaluation done by the committee constituted for evaluating the tenders received by the Kerala Water Authority. The evaluation done by the special committee and the consequential order passed by the Superintending Engineer produced as Exhibit P16 and Exhibit P18 (same as Exhibit P16) dated 24.03.2023 and 25.03.2023 respectively in the writ petitions are under challenge. Therefore, I heard them together and proposed to pass this common judgment.

3. The paramount contention advanced by the petitioner in W.P.(C) No. 10993 of 2023 is that as per Exhibit P2 tender conditions, the tenderer should be a well established contractor/reputed firm/manufacturer with expertise and capabilities. According to the petitioner, it proved its experience through Exhibits P5 and P6 certificates. The Superintending Engineer, however, disqualified the petitioner stating that the certificates produced convinced him that the work of the Water Treatment Plant completed by the petitioner was not with sludge blanket process. According to the petitioner, the said evaluation of the Superintending Engineer was to help the 5th respondent company by removing a competitive tender against the public interest. It is further submitted that Exhibit P5 certificate issued by the Water Works Engineer, Sangli Miraj Kupwad Municipal Corporation, shows that the petitioner used new modern technology. It is also pointed out that Exhibit P6 certificate issued by the very same authority shows that the petitioner used new modern technology with tube settlers as the Department instructed it as per the site conditions. Therefore, according to the petitioner, Exhibit P6 would show that the petitioner’s experience is in the same field as that of the one prescribed as per Exhibits P1 and P2 notified by the Kerala Water Authority, albeit in a different manner.

4. That apart, it is contended that the experience claimed by the 5th respondent company and Mr. Joseph John, respondent No.6, for the same work done i.e., a 50 MLD capacity Water Treatment Plant with rectangular flat bottom, sledge blanket clariflocculator with pl

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