BSNL has eased the eligibility criteria and tightened the domestic value addition norms for companies vying for involvement in its Rs 65,000-crore Phase-III BharatNet project tender. In certain spheres, the financial turnover and net worth requirements for participating companies have been reduced by up to 33% and 30% respectively. Companies must now furnish a self-declaration regarding the local content in their telecom products, supported by a certificate from a cost auditor if bids exceed Rs 10 crore. Additionally, companies submitting bids as Class 1 suppliers, which necessitate at least 50% local value addition in their equipment, are required to provide a mandatory undertaking.
The project, with a total budget of Rs 1.4 trillion, entails the design, supply, construction, and installation of optical fiber cables, switches, routers, and other telecom equipment to connect and modernize approximately 164,000 existing gram panchayats while also connecting around 47,000 new ones.
BSNL has extended the bid submission deadline to May 30, from the initial deadline of April 2. A doubt clearing workshop is scheduled for May 14 to address stakeholder queries. In response to over 4,000 queries received, BSNL has adjusted norms as needed.
Regarding eligibility, companies can participate in consortiums with a cumulative net worth. However, consortium members, excluding lead members, must meet specific turnover requirements depending on the category of circles bid for. The average annual turnover for the last three audited financial years, from either FY24 or FY23, is considered. Furthermore, companies must have at least three years of operations in India as of the bid submission date.
While some consider these changes minimal, others believe they still pose challenges for small companies, prompting them to collaborate with larger system integrators for the tender.
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BSNL has reinforced domestic value addition norms by aligning with the Department of Telecommunications’ Make in India public procurement policy. The tender now mandates a self-declaration of local content in telecom products, with certification by a cost auditor for bids exceeding Rs 10 crore. Additionally, there are requirements for Class 1 suppliers regarding local value addition and trusted sources.
Amendments also include relaxed penalties for delays in last-mile connectivity beyond 30 days, with a reduced penalty of Rs 100 per day. This replaces the previous penalty of Rs 1,000 per day.
