Karnataka High Court Upholds Tender Rule Restricting EVM Recycling Bids To Karnataka-Based Units

The Karnataka High Court has upheld a tender condition restricting participation in the recycling and disposal of Electronic Voting Machines (EVMs) and VVPAT units to agencies having recycling facilities within Karnataka. The Court ruled that the condition was neither arbitrary nor discriminatory and was justified on grounds of environmental compliance, regulatory supervision and operational accountability.

The case arose from a writ petition filed by Evergreen RecycleKaro India Limited challenging several clauses in a tender issued by Bharat Electronics Limited for the safe crushing and recycling of decommissioned EVMs and VVPAT units. The petitioner argued that the tender unfairly excluded interstate recyclers despite the statutory framework permitting interstate transportation and processing of e-waste under environmental regulations.

A Bench led by Justice Sachin Shankar Magadum observed that the requirement for Karnataka-based recycling facilities had a direct connection with the objective of ensuring effective monitoring and strict compliance with environmental norms prescribed by the Karnataka State Pollution Control Board. The Court noted that the condition applied equally to all bidders and was not specifically designed to target or exclude any particular company.

The High Court reiterated that judicial review in tender matters is limited and courts should not interfere with procurement conditions unless they are shown to be arbitrary, mala fide or contrary to statutory provisions. Referring to earlier Supreme Court rulings, the Court held that the tendering authority is the best judge of its operational requirements and procurement needs.

The Bench further observed that disposal of EVMs and VVPAT units involves environmentally sensitive electronic waste and requires constant regulatory oversight to prevent misuse, unauthorised reuse or environmental violations. The Court also rejected the argument that legal permission for interstate movement of e-waste automatically created a right to participate in every tender. Holding that participation in a tender is only a conditional privilege subject to eligibility requirements, the Court dismissed the writ petition and upheld the validity of the impugned tender clauses.