AP GENCO Tender Row: Deadlines Extended 4 Times!

Hundreds of crores of rupees are allegedly flowing in through irregular means. With close connections to top leaders in two key political parties in Andhra Pradesh, this power broker is said to be insisting that things move strictly according to his directions. Orders are reportedly being issued to ensure that contracts are awarded only to those he favors. What’s more, a key minister in the Andhra Pradesh cabinet has also stepped into the process for this tender, which, according to power department sources, has emboldened the power broker and removed any checks on his alleged intimidation tactics. Typically, for any tender, deadlines may be extended once or twice based on contractors’ requests. However, sources reveal that the deadline for the tender related to the pumped storage project to be constructed by AP GENCO in Yadiki, Anantapur district, has been extended as many as four times. Officials claim that this entire exercise is being orchestrated solely to ensure that the contract goes to a specific company favored by this group.

Another crucial aspect, according to sources, is that a company with a strong presence both nationally and within the state has been sidelined. Instead, this power broker, Linga, along with his team, has allegedly devised a plan to secure the ₹5,000 crore tender through a proxy (benami) company brought into the bidding process. It is further alleged that members of the concerned minister’s team are also extending their support in this entire operation. A senior IAS officer, who has held significant influence in the power department for several years, is said to maintain favor with those in power by facilitating whatever is required for their preferred individuals or entities. This, sources say, explains his continued dominance in the department regardless of changes in government. Officials also observe that while governments may change in Andhra Pradesh, the quid pro quo system appears to be evolving and expanding in new ways.

This project, being undertaken by the state-run GENCO, is expected to be executed at the earliest so that work can begin promptly and be completed on time. However, some senior officials are allegedly aiding efforts to ensure that contracts are awarded to their preferred parties, causing significant delays in finalizing the tender. Meanwhile, sources in the power department state that the estimated cost of the pumped storage project at Yadiki has been increased by nearly 20 percent. There is growing criticism that it has become difficult to determine whether certain ministers and IAS officers in the government are working for the state’s interests or for private companies and contractors.