Gurgaon: With residents still waiting for a permanent door-to-door garbage collection system after more than two years of temporary arrangements, MCG has asked the two agencies awarded work under the latest contract to complete a routine but crucial post-award formality, which is the submission of a Rs 12.8-crore performance bank guarantee. The civic body recently directed the agencies to submit the original bank guarantee, stating the contract agreement could be processed and executed only after the performance security was accepted.The bank guarantee is a standard requirement under the tender and is equivalent to 10% of the contract amount for one year. This, however, does not signal a cancellation; it is instead a push to ensure that a routine contractual requirement does not hold up the next stage of a process that has already faced repeated delays. The agency that has been awarded the work of cluster 1 has to give Rs 6.3 crore, and the agency that got cluster 2 has to give Rs 6.5 crore. The entire city has been divided into two clusters for doorstep waste collection.“These agencies were required to submit the bank guarantee within five days of the issuance of the letter of award. However, neither of the two agencies has submitted the bank guarantee so far. Therefore, notices have been issued to both agencies regarding the submission of the bank guarantee,” said an MCG official, requesting anonymity.Officials said that the two agencies were given the work order or letter of award (LOA) on Sept 11.Mayor Raj Rani Malhotra said, “These two agencies have not submitted their bank guarantee yet and have been issued notices for that. Once they deposit bank guarantee, allotment of work will be done within 10 days. The agencies will then get one month of time to provide 50% of the promised fleet of doorstep waste collection, which is 854 in total.”The tender divides the city into two clusters of 18 wards each. Cluster-1 will cover about 3.1 lakh establishments, including 2.3 lakh residential units, while Cluster-2 will cover about 2.7 lakh establishments, nearly 2 lakh of which are residential. In Aug this year, the high-powered buy committee (HPPC) approved rates for the two agencies to execute doorstep waste collection across the city for five years.The city’s waste management system has been dependent on short-term contracts since June 2024, when MCG terminated its contract with Ecogreen Energy over alleged poor performance. Since then, the civic body has relied on temporary arrangements and short-term contractors, while residents have repeatedly reported irregular garbage collection and deteriorating sanitation conditions. The Urban Local Bodies (ULB) department has revised the request for proposal (RFP) multiple times over the past two years as authorities struggled to finalise a long-term waste collection model.
