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Kolhapur to float tender for 23,000 LED street lights

Kolhapur to float tender for 23,000 LED street lights

December 9, 2014:

Realising the cost-effective and energy-efficient options, the Kolhapur city of Indian state Maharashtra has decided to use LED lights across the city as street lights. Kolhapur Municipal Corporation (KMC) will soon float a tender of Rs 280 lakh for the LED street light project.

By the end of this financial year, about 23,000 street lights in the city will be replaced with LEDs. KMC wants a supplier which will work on a build-operate-transfer (BOT) basis.

“As LED lights require a huge initial investment, and to handle this huge investment problem, KMC has decided to take a different path. We are inviting bidders who are interested in saving costs, and the share of the saved cost with the bidder. We believe that the supplier will recover his investment in 5-7 years,” said KMC standing committee chairperson Sachin Chavan.

In the first phase, the civic body has proposed that it will replace 23,000 sodium street lights, out of the 69,000 total street lights.

“We will not invest anything except the savings on our electricity bill. At present, we run up a monthly bill of Rs 60 for the 69,000 street lights. We are inviting companies that will reduce our bill. The saved amount will be transferred to the contractor investing in the project. According to the initial estimate, LED street lights could save 50% of the bills from the very first month,” Chavan said.

The tender also includes a clause in the tender that the contractor will also take care of 2,245 street lights currently maintained by the IRB. It is said that IRB has stopped maintaining these. KMC wants suppliers like Philips and Wipro to supply the LED street lights.

 


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