TANGEDCO Cancels ₹19,000-Crore Smart Meter Tender Amid Pricing Concerns

Tamil Nadu Generation and Distribution Company (TANGEDCO) has cancelled its ₹19,000-crore global tender for the installation of smart electricity meters. The tender, in which the Adani Group had emerged as the lowest bidder for one of the four packages, was scrapped weeks after TANGEDCO clarified that it had no “business relationship” with the conglomerate.

A senior TANGEDCO official confirmed the cancellation, citing high costs and delivery challenges. “Currently, Adani is the only company manufacturing smart meters in India. Negotiations with Adani officials revealed that the quoted price was too high. Additionally, meeting the delivery timeline for 1.20 crore meters in Tamil Nadu alone, amid a national demand of 30 crore smart meters, was not feasible,” the official said.

The project, part of the Revamped Distribution Sector Scheme (RDSS), aimed to modernize electricity meters for 1.20 crore consumers in Tamil Nadu in three phases.

Adani Energy Solutions Limited, which has a significant presence in the energy sector, boasts a smart meter portfolio of 22.8 million units valued at ₹27,200 crore. In October 2024, the company had projected the Tamil Nadu bid to be finalized within months.

The tender cancellation also coincides with allegations of bribery and fraud against Adani Group chairman Gautam Adani in New York. While the group has denied the charges, the controversy has added scrutiny to its global operations.​