November 15, 2014: Nashik Municipal Corporation (NMC), India, is not happy with the status of the LED streetlight projects in Nashik. NMC committee members had complained that the conventional streetlights in many parts of the city are not working. The committee members also complained that in LED streetlights are not being installed despite work orders were given to MIC Electronics Ltd, a Hyderabad baed company, at the cost of Rs 131.54 crore, 19 months back. NMC is now considering to scrap the contract as it is mandatory to start work within 3 months of order being issued.
MIC Electronics was supposed to replace 69,541 streetlights in six divisions of NMC with LED lights on the basis of build, operate and transfer (BOT). After 19 months of giving the contract, the installation of LED lights has not started in Nashik.
“The committee had complained that many streetlights are not functioning and there is also delay in installation of the LED streetlights,” said Rahul Dhikle, chairman, NMC committee.
After receiving the contract, MLC Jayprakash Chhajed of MIC had complained to the then Chief Minister of the state, Prithviraj Chavan, against the LED streetlights tender process. Following this, the former Chief Minister had stayed the project till October 2013. After the stay was lifted, Sanjay Chavan of City Development Front and Komal Meheroliya, Shiv Sena corporator, had filed separate petitions to put stay on the procurement of LED streetlights.
Sanjay Chavan said that the installation of LED streetlights was to be carried out with funds from 13th Planning Commission. However, it is reported that the state government had disapproved the proposal of NMC and it was not clear if NMC will get the 13th Planning Commission fund. After this development, it was suggested that all streetlights in the city will be replaced with LED lights through by a private company.
However, since the decision of buying LED lights through a tender was not approved by the general body meeting of NMC, it is considered as a violation of law. Hence, the contract awarded to MIC for installing LED streetlights in Nashik is illegal and cancellation of the project is demanded.
While the High Court had granted stay on October 28, 2013, NMC had already given the order to MIC. As a result, High Court rejected the plea in April, 2014, to which Sanjay Chavan had moved Supreme Court, which was also rejected in May 2014.
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