No more physical EMDs: Flood Control tenders go fully digital

New Delhi: In a move aimed at enhancing transparency in public works, the Flood Control and Irrigation Department has shifted the submission of Earnest Money Deposit (EMD) in tenders to a completely online system, doing away with physical deposits at project offices.

Officials said the earlier mechanism required bidders to submit EMDs in person, leading to unnecessary human interface, concerns over information leaks and questions about fairness in the bidding process. Under the revised system, bidders are required to submit the EMD online and upload a scanned copy on the e-procurement portal along with their tender documents.

The original EMD will now be sought only from the lowest bidder (L1), who must submit the original EMD within three days of the opening of bids. Failure to do so will result in the bidder being barred from participating in the tender process for two years.

According to the department, the shift is intended to ensure that no official or external entity can track which firms are bidding for specific projects during the tendering process. This, officials said, is expected to reduce the scope for bias, pressure or manipulation, and create a more level playing field for contractors.

minister Parvesh Verma said the reform is meant to “build trust in the system” by eliminating avoidable human interaction and ensuring a fair bidding environment. “Honest contractors should get a fair opportunity, and public money should be utilised with full accountability,” he said.

The move is part of a broader push to digitise governance processes and plug gaps that could potentially compromise transparency in public procurement, an official said, adding, physical submission of EMDs will no longer be accepted under any circumstances.