AI cameras: Glaring mismatch in price quoted by Keltron and market rate

The Motor Vehicles Department has set up 726 artificial intelligence cameras on roads, including National and State Highways. Photo: Manorama

Kozhikode: Expect inflated project and product costs when kickbacks are the norm for public contracts. A corruption glare is on the Safe Kerala Project on the installation of 726 AI cameras for detecting traffic violations across the state. The project cost which was initially pegged at Rs 151.22 crore, rose to Rs 232 crore later as the work was sub-contracted to multiple private firms by the primary bid winner, the Kerala State Electronics Development Corporation or Keltron.

A comparison between the amount spent by Keltron for three types of cameras and the price of the best product available in the market in each of these categories is shocking.

For a 3-megapixel artificial intelligence (AI) camera unit Keltron quoted Rs 9.96 lakh but the market rate is Rs 1.60 lakh. Similarly for a 5-megapixel AI camera unit Keltron's price was Rs 10.32 lakh when the market rate is a lowly Rs 2 lakh. For a PTS AI camera, Keltron put a Rs 9.90 lakh price tag when the market rate is Rs 15,000.

Keltron paid Rs 15,000 for the electricity meter box which costs a maximum of Rs 2,500 in the market. While the iron post that is used for fixing the cameras costs Rs 6,000 in the market, the price paid by the state entity was Rs 20,000.

Keltron's excuse
However, Keltron authorities have a different take on the excessive quotes.

The high amount is inclusive of the price for the graphics processor, AI licence fees, solar panel, recorder, battery and the expense for installing the equipment in addition to the cost of cameras. However, a comparison on the basis of the rates obtained from different companies functioning in the same sector makes it clear that all these pieces of equipment that could be bought for a maximum of Rs 30 crore with all the facilities as stated by Keltron, were bought for over Rs 68 crore.

Earlier, opposition leader V D Satheesan had claimed the prices quoted by Keltron were suspect.

"While there are many AI cameras available in the market, including those from international companies, Keltron has been buying and assembling the camera materials at a high cost," he said.

"When I examined the documents I could access, I could understand that the cameras were purchased at rates higher than the market price and there was no transparency in the selection of companies for the contract," he had alleged in his letter to the Chief Minister.

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