The move adds on to India’s stand to limit economic activities with China

India plans to blacklist P.T Hexing Technology from participating in any future government tenders after the cancellation of a ₹344.47 crore smart meter contract, as per a LiveMint report.

The Delhi High Court dismissed a petition filed by PT. Hexing Technology on Tuesday, seeking a stay on the encashment of its $4.08 million ( ₹30 crores) bank guarantee given to state-run Energy Efficiency Services Ltd. (EESL) post the cancellation of its smart meter contract for supplying 1.5 million units, said the report.

The report quoted Executive Vice-Chairperson EESL group Saurabh Kumar as saying, “The honorable High Court has dismissed the petition of PT. Hexing with regard to non-performance of their contract. We will proceed to initiate/take action as per the contract, including issuing a show-cause notice, as to why should the company not be black-listed?"

Getting black-listed post the encashment of its bank guarantee will debar PT. Hexing Technology not only from participating in future tenders floated by the central government agencies but also by the state government agencies, said the report.

India has firmed a series of economic responses against China following border tensions that remain unsolved. The move adds on to it.

India’s stand to rely on Made in India products and disqualification of PT Hexing has opened opportunities for Genus Power Infrastructures Ltd., Larsen and Toubro, and HPL Electric and Power Ltd to work with EESL, as per the LiveMint report.

EESL’s move follows the government’s decision to restrict firms from countries with a shared land border from participating in bids for government procurement, without approval from competent authorities as per the report.

The state-run undertaking’s smart meter program plans to replace 250 million conventional meters. It has signed agreements for their deployment with New Delhi Municipal Corporation, Uttar Pradesh, Bihar, Haryana, Rajasthan, and Andaman and Nicobar, said the report.

Read the full report in LiveMint