TEPC wants PowerGrid to cancel deal with fiber home

New Delhi: An industry group that represents home-grown cable makers has sought cancellation of a multi-crore contract awarded by state-run Power GridNSE -1.93 % Corporation of India Ltd (PGCIL) to Fiberhome, saying the optic fibre maker had Chinese parentage with links to its government, which gave rise to concerns around national security.

But a PGCIL executive rubbished the security concerns, saying the order was given to Fiberhome, which is an Indian company based in Noida, after due diligence and clearance from the committee of grievances in the Department of Telecommunications (DoT).

In a recent letter to PGCIL chairman Kandikuppa Sreekant, the Telecom Exports Promotion Council (TEPC) said that telecom equipment coming from China could pose a “serious threat” to India’s national security and called on the company to wind up the contract and float a fresh tender.