Ladakh standoff: REC removes Chinese firm from J&K smart meter project

at 9:39 pm

New Delhi (NVI): Amid heightened tensions between India and China over border row in Ladakh after Galwan incident, State-owned REC Power Distribution Corp Ltd (RECPDCL) today said it removed a Chinese firm from the smart meter project in the Union Territory of Jammu and Kashmir.

RECPDCL, which has issued clarification regarding the smart metering project being implemented in the UT, said the project was awarded to an Indian company, Techno Electric & Engineering Co Ltd. The company engaged sub-contractors for different components of the project.

The decision to remove the Chinese firm was taken as the government last week restricted Chinese companies from participating in bids for government procurement without approval from relevant authorities on the ground of defence and national security.

The project was awarded to an Indian company, Techno Electric & Engineering Co Ltd. The company engaged sub-contractors for different components of the project.

However, the Ministry of power issued an order on July 7 regarding vulnerabilities in the power supply system and network which may arise due to possible cyber-attacks through malware/trojans etc., embedded in the imported equipment.

“After this order was issued, all new/ongoing contracts are being reviewed and as part of that review one of the sub-contractors of the (J&K) project, which though a company registered in India and having manufacturing facilities in India, was found to be a subsidiary of a Chinese company,” the Power Ministry said in an official statement.

“The said sub-contractor was directed to be removed from the project since the continuation of the sub-contractor would have led to the requirements of taking prior permission and testing of every equipment supplied thus leading to unacceptable delays in execution,” it added.

The principal contractor has informed RECPDCL that they have removed that sub-contractor, the statement said.

-ARK