Harish Rao Flags ‘Systemic Irregularities’ in SCCL Tenders, Seeks CBI Probe
BRS leader Harish Rao alleges large financial losses due to irregular SCCL tenders, questions site visit certificate system, demands judicial or CBI inquiry.
Senior Bharat Rashtra Samithi leader and Siddipet MLA T. Harish Rao has alleged that the tendering practices at Singareni Collieries Company Limited (SCCL) have resulted in heavy and avoidable losses to the Telangana exchequer.
In a detailed letter to Union Coal and Mines Minister G. Kishan Reddy, Harish Rao claimed that the public sector miner is witnessing “systematic manipulation” driven by political influence, intimidation, and deviations from established national norms.
A key concern raised by the former minister was the site visit certificate system, which he described as an arbitrary condition introduced during the tenure of the Indian National Congress government. Rao argued that such a requirement is neither followed by Coal India Limited nor Western Coalfields Limited, and appears designed to restrict competition and favour select bidders.
According to Rao, several tenders that were earlier finalised at rates significantly below estimated costs were cancelled without technical or financial justification and later reissued at higher prices. He said this reversal runs contrary to industry practice, where overburden (OB) contracts are typically awarded well below benchmark estimates.
Raising further red flags, Rao alleged irregularities in SCCL’s solar power procurement, claiming that multiple projects were bundled into single tenders and awarded at rates substantially higher than prevailing market prices. He maintained that such decisions led to excess financial burden running into hundreds of crores of rupees.
The BRS leader also pointed to procurement anomalies in explosives and diesel, alleging that inflated pricing led to pressure on senior officials who refused to approve such decisions. He further claimed that SCCL’s shift away from direct diesel procurement from Indian Oil Corporation Limited increased costs and tax liabilities.
Harish Rao additionally alleged that major tenders, including those linked to the Prakasam Khani Open Cast Project and Srirampur OB works, were being repeatedly postponed or selectively processed through the same site visit mechanism. He questioned the silence of Central government–nominated directors on the SCCL board and expressed concern over the absence of a regular Chairman and Managing Director for nearly two years.
Calling the situation a breakdown of institutional oversight, Rao demanded the immediate cancellation of all tenders processed under the site visit certification system and sought a judicial inquiry or CBI investigation into the alleged irregularities.
The allegations add to the growing political storm around SCCL, one of Telangana’s most critical revenue-generating public enterprises. With competing claims from the ruling party and the Opposition, the issue is likely to sharpen further ahead of civic and future Assembly contests. Beyond politics, sustained uncertainty in tendering could impact investor confidence and operational efficiency at the coal major, making transparency and timely scrutiny crucial.