Bengaluru: Amid the city's deepening garbage crisis, with mounting public outrage over rising blackspots and a failing solid waste management system, opposition leader R Ashoka on Wednesday alleged a Rs 39,000-crore scam in the city's Integrated Solid Waste Management (ISWM) tender process. He accused the Congress-led government of turning garbage management into what he termed a "massive corruption racket."
Complaint Filed with Governor and Lokayukta
Ashoka, along with leader of opposition in the legislative council Chalawadi Narayanaswamy and others, submitted complaints to the governor and Lokayukta, seeking an independent investigation. Ashoka said: "The deal has come with nearly Rs 10,000-crore kickbacks, and this will be historic loot in the name of garbage."
Allegations of Manipulated Tender Process
He alleged that the state government has pushed through a 30- to 35-year garbage-processing contract worth Rs 39,000 crore under Bengaluru Solid Waste Management Limited (BSWML), awarding it to MSW Solutions Limited — reportedly linked to Ramky Group — through manipulated tender conditions and procedural violations.
"Bengaluru is drowning in garbage mismanagement and corruption, and the latest tender is compounding the sanitation crisis," he said. The project, split into north and south Bengaluru packages, was floated twice without success and cleared only in the third attempt, he alleged, after key eligibility conditions were relaxed to enable previously disqualified bidders to qualify.
Finance Department Raised Red Flags
Claiming the finance department itself had raised red flags over the project, Ashoka said: "Officials had cautioned against awarding both packages to a single company, a 30-year concession with a five-year extension, and steep annual escalation clauses that could burden GBA finances for decades. Despite these objections, the project was pushed through, overriding caution from officials."
Sharp Cost Escalation
He highlighted a sharp cost escalation, stating that the tipping fee has jumped from about Rs 260 per tonne to Rs 2,400 per tonne — an increase of nearly 950%. He pointed out that while the earlier system would have cost around Rs 6,117 crore over 30 years, the new contract pushes the figure beyond Rs 39,000 crore, placing an "unbearable burden on taxpayers already struggling with civic breakdown."
Allegations of Pre-Decided Tender
In the complaint, Ashoka alleged that the tender process was "pre-decided," with an informal understanding to favour Ramky-linked entities even before bids were invited. He flagged repeated revisions to the detailed project report (DPR), prepared initially by RITES Limited, saying successive changes in tipping fee estimates raised serious concerns over transparency and financial prudence.
Land Acquisition and Legacy Waste Issues
He also pointed to alleged irregularities in land acquisition for the project and warned that unresolved legacy waste at the proposed site could trigger further cost escalations through biomining and remediation charges. Ashoka claimed that procurement norms under the Karnataka Transparency in Public Procurements Act were bypassed, with consultants changed and conditions altered mid-process to suit specific bidders.
The allegations come as Bengaluru continues to grapple with a severe garbage crisis, with blackspots multiplying and citizens protesting the lack of effective waste management. The opposition has demanded a thorough investigation into the tender process and the involvement of all responsible parties.
