Transparent bidding cuts Tamil Nadu project costs by up to 30%

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Tamil Nadu has overhauled public works and highways tendering to curb systemic corruption. The reforms promise lower costs, timely delivery and stronger contractor accountability.

The Tamil Nadu government has overhauled the Public Works and Highways departments as part of a crackdown on systemic corruption, leading to project costs falling by up to 30 per cent, Minister for Public Works and Sports Development Aadhav Arjuna said on Friday, according to news agency Press Trust of India.

Arjuna said transparent bidding had ended politically motivated tender allocations and the use of ‘benami’ entities, while new rules had been introduced for project approvals, road construction, contractor accountability and government buildings.

Addressing a press conference in Chennai, the minister said the system of fixed and politically influenced tender allocations, which had prevailed for 15 to 20 years, had ended.

“Today, because we have opened up the system to transparent bidding, tenders are fetching bids that are 25 to 30 per cent below the estimated costs. This massive leakage is now plugged, and the saved money is returning directly to the government treasury,” he said.

Several complaints about alleged past malpractices had been sent to the Directorate of Vigilance and Anti-Corruption, Arjuna told PTI. He alleged that a large road patchwork scam had taken place just before the previous Assembly elections.

“While Rs 500 crore was typically spent annually on patchworks, suddenly Rs 2,200 to Rs 2,500 crore was allocated right before the elections. Work was split into small Rs 10 lakh chunks to avoid strict tender norms. This was a massive scam, and the DVAC is looking into it,” he alleged.

Arjuna said the anti-corruption drive had also covered internal administration. Employee transfers, which he said earlier involved bribes of Rs 25 lakh to Rs 50 lakh for lower-level engineering posts, were now being carried out transparently without financial demands.

The minister also accused the previous government of issuing tenders before acquiring land or securing approvals, resulting in delays lasting several years.

“We cannot afford to have a 36-month project drag on…

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