In yet another move aimed at transparency for the benefit of bidders, Indian Railways have switched over to 100 per cent e-auction for disposal of scrap eliminating need for physical presence/physical bidding by purchasers. Indian Railways disposes scrap worth Rs 3500 crore every year. Till recently, scrap disposal by Indian Railways was being carried out through public auctions requiring physical presence of purchasers for bidding.
This e-auction system has been developed in-house by the Ministry of Railways. In this auction system, electronic bidding system has been designed to enable participation in auction through internet using digital certificate (DSC) for security. No physical presence of purchaser is required for biding.
Any purchaser can participate in e-auction for scrap lots put up for auction on entire Indian Railway system by getting themselves one time registered on website www.ireps.gov.in. The e-auction module ensures payment process electronic and smooth for purchasers. No cash handling is required by purchasers and Railway’s cashiers.
Bidders participate in the biding process through special arrangement of lien mark instead of any cash transaction. Bidding process is completely transparent widening the reach of the bidder for participation in various auction of different lots through internet from anywhere thus, curtaining the role of middleman.
Till date about 1,200 purchasers have got themselves registered for participation in e-auction of scrap on Indian Railways and scrap material worth more than Rs. 1000 crore have been disposed off by Indian Railways through e-auction till date.
Thus, e-auction is saving time and effort both for Railways and bidders, bringing in complete transparency, cost effectiveness and efficiency in disposal of scrap on Indian Railways.