HC allows Palike to call global tenders for LED streetlights

The high court on Tuesday allowed the  BBMP to go ahead with global tenders for installation of LED (light-emitting diode) streetlights in 198 wards of the city.

The BBMP Power Contractors' Association had moved the court challenging the tenders invited by the Palike, saying it favoured only multinational companies and adversely affected them.

Hearing an interlocutory application filed by the Palike regarding the petition, Justice Vineet Kothari said the new system would entail an annual saving of Rs 100 crore to the BBMP.

The counsel for the civic body stated that the BBMP was paying Rs 14 crore to the power supply company as electricity charges (consumption 262 lakh units) every month. It was also paying Rs 60 crore per year to contractors to maintain and operate 4,85,000 streetlights in the city.

Currently, sodium vapour lamps are used in all streetlights. LED streetlights would reduce energy consumption and the resulting charges by 60% to 70%, the counsel said.  He stated that with the installation of LED streetlights, they would have to pay only Rs 6 crore to the power supply company. The remaining amount of Rs 8 crore would be given to contractors out of which 20% would be remitted back to the BBMP. The counsel further stated that energy service companies would instal LED lamps at zero cost.