Modi Government Outsourced Projects Worth Rs 500 Crore To 'Big Five' Firms In Five Years: Report

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Modi Government Outsourced Projects Worth Rs 500 Crore To 'Big Five' Firms In Five Years: Report

Modi Government Outsourced Projects Worth Rs 500 Crore To 'Big Five' Firms In Five Years: Report (Image: unsplash)

Sixteen ministries of the Modi government have outsourced projects worth Rs 500 crore to top five multinational consultancy firms in the last five years, an Indian Express report reveals. The data was accessed by the newspaper through Right To Information Act (RTI).

The “Big Five” companies identified are PricewaterhouseCoopers (PwC), Deloitte Touche Tohmatsu Limited, Ernst & Young Global Limited (EY), KPMG International Limited and McKinsey & Company. As per the IE report, between April 2017 and June 2022, they have gathered at least 308 assignments worth nearly Rs 500 crore from government ministries, departments and concerned organisations.

The sixteen ministries inolved are Petroleum and Natural Gas; Skill Development and Entrepreneurship; Administrative Reforms and Public Grievances; Electronics and Information Technology; Promotion of Industry and Internal Trade; Health and Family Welfare; Coal; Rural Development; Defence; Civil Aviation; Power; Tourism; Non-conventional Energy Resources; Public Enterprises; Road Transport and Highways; Environment, and Forest and Climate Change.

As per IE reports, PwC received 92 assignments worth Rs. 156 crore and emerged as the largest beneficiary. Deloitte holds the second place with gathering 59 contracts worth over Rs. 130.13 crore. British consultancy firm, EY bagged 87 assignments prices over Rs 88.05 crore whereas KPMG got over 65 contracts worth over Rs. 65.46 crore. In the final position, American consultancy firm McKinsey comes where 3 contracts worth over Rs. 50.09 crore was secured.

Additionally, RTI data highlighted that the Ministry of Petroleum and Natural Gas and four of its PSUs outsourced the highest number of assignments, costs over Rs 170 crore. However, Indian Oil Corporation refused to provide details citing the “trade secret” clause of the RTI Act. Ministry of Tourism outsourced projects worth Rs 18 crore to E&Y as part of its Swadesh Darshan initiative. Similarly, NITI Aayog handed seven assignments with value over Rs 17.43 crore in the period between 2019-2021 for the “evaluation of centrally sponsored schemes.”

IE reports that in the last month, Ministry of Finance requested the details of consultants appointed by all ministries and departments. Besides, Ministry asked them to give details regarding the consultant”s selection process, tenure and average remuneration, IE adds.