MONTECARLO LIMITED Vs. NTPC LIMITED

JUDGEMENT

(1.) The petitioner, a company engaged in the business of mining of coal and lignite has questioned the communication dated 29.08.2016 issued by the Respondent, NTPC Limited, intimating that the techno - commercial proposal of the petitioner for operation and development of Dulanga Coal mine in the state of Odisha was not acceptable in terms of clause 6.3.2 of the Invitation to Bid (hereinafter referred to as ITB); which in effect disqualifies the petitioner from participating in the price bids opening and the reverse auction qua the bid for development and operation of the aforementioned Coal Block, as unreasonable, arbitrary, contrary to the terms of the tender papers and therefore unsustainable.

(2.) The respondent, NTPC Ltd, had issued separate invitation for bids for development and operation of three coal mines viz. Dulanga Coal Block, Chatti Bariatu and Talaipalli in the state of Odisha. Online bids were invited on Single Stage Two Envelope Bidding basis (Envelope -1: - Techno -Commercial Bid and Envelope -II: - Price Bid) with Reverse Auction.

(3.) The issue in controversy between the parties is as to whether the proposal/bid of the petitioner was responsive to the qualifying requirements (hereinafter called "QR") set out in the tender documents. The dispute, in the present case, hinges on the interpretation of the requirement of a bidder of having experience in "Drilling" for removal of overburden and coal, which the petitioner claims to be possessing but the respondent, NTPC Limited, insists on the experience of "drilling for the purposes of blasting" and not drilling in a generic sense as the essential condition for meeting the QR for acceptance of the first stage of techno commercial bid.