Elevated corridor tenders: B-SMILE conditions may have restricted competition, flags official report

An official inquiry report has flagged that tender conditions drafted for eight proposed elevated corridors in Bengaluru by Bengaluru Smart Infrastructure Limited may have restricted fair bidding competition. The findings emerged from a sub-committee review that examined the tender documentation before the state government scrapped the bids.

The evaluation carries substantial administrative weight as the state government navigates infrastructure execution for large-scale urban transit projects. The scrutiny highlights procedural lapses in public procurement transparency.

According to the Urban Development Department order, the tenders for the eight elevated corridors were built upon a common template. This template combined clauses from two distinct standard contract documents while incorporating additional conditions absent in either baseline text. The official report stated that no prior government sanction was secured for this hybrid framework.

The inquiry found that the composite document introduced eligibility parameters that deviated from established norms. Investigators noted that these restrictive clauses narrowed the pool of eligible contractors, prompting concerns regarding competitive participation.

In April, the state administration greenlit 11 elevated corridors spanning approximately 75.6 kilometres at an estimated expenditure of ₹13,262.70 crore. These projects were assigned to Bengaluru Smart Infrastructure Limited under the Greater Bengaluru Authority framework. Subsequent bidding documents for specific stretches were floated through the Karnataka Public Procurement Portal.

Following stakeholder representations and internal reviews, an empowered committee constituted a sub-committee headed by Greater Bengaluru Authority Chief Commissioner M. Maheshwar Rao on September 16 to evaluate the proposals. The panel submitted its findings on September 30, advising the annulment of the ongoing tender process due to documentation discrepancies.

Invoking Section 15 of the Karnataka Transparency in Public Procurements Act, the Urban Development Department formally cancelled the tenders on October 1. State authorities instructed that fresh bids be prepared in alignment with statutory standards and transparent procurement norms.

Fresh tenders incorporating revised terms conforming to standard regulatory frameworks are expected to be issued through official portals once administrative clearances are finalized.