EESL cancels Chinese smart meters contract

Energy Efficiency Services Limited (EESL) has cancelled a Rs 5 billion smart metering contract awarded to PT Hexing as it failed to comply with the local content norms. The tender for procurement of two million smart meters was won by PT Hexing under global bidding about two years ago.

EESL plans to conduct fresh bidding for about 3 million smart meters. Indonesia-based PT Hexing that is backed by a Chinese firm, and other foreign firms will have to seek approval from the Department for Promotion of Industry and Internal Trade (DPIIT). In June 2020, DPIIT modified public procurement norms to give preference to companies whose goods and services have more than 50 per cent local content.