Eauction India Ebook
Eauction India Ebook
India
https://eauction.gov.in
Welcome to
eAuction eAuction India provides a platform for
Government Departments to conduct
2. Importance of Auction in 3
Government Landscape
i) Commodity 10
6. Way Forward 43
eAuction India
Overview Auction is the process of Buying / Selling / Lease
of goods or services by offering them for bidding
and then selling to the highest bidder or buying
from the lowest bidder. Auction is the second
largest methodology adopted after tendering,
amongst the various ways by which the
government conducts its procurement activities.
1
National Informatics Centre (NIC), Ministry
of Electronics & Information Technology,
Government of India has developed
eAuction software to cater to the electronic
forward and reverse auction requirements
of the Government departments and
organizations. It is generic in nature and
can easily be adopted for all kinds of
auction activities. It aims at transparency
and non-discrimination amongst bidders,
by allowing free access to auction
documents, clarifications, secure on line
submission of quotes from any place on
As this platform is quite matured and
24X7 basis, using the system through
effective the same can be adopted by
Internet, in a faster, and secure
other State Governments / Central
environment adopting industry standard
Government departments/ organizations
open technologies. The system has been
having similar kind of requirements. It can
designed taking into conduct of free fair
be configured for use by an organization at
and transparent auction as mandated by
its apex level as well as multiple
CVC. At present the system is being
subordinate levels, at which auctions could
implemented in States like Maharashtra,
be independently be floated. Free of cost
Odisha , West Bengal, Chandigarh ,
enrolment of Bidders in the portal with or
Government Organisation like Defence etc
without Digital Signature Certificate usage
are using the system extensively and few
is envisaged.
departments of Puducherry, Jharkhand,
Uttarakhand, Tripura, Andaman are also
The entire auctioning process is to be
using the system.
owned, managed and operated by
respective Auction Inviting Authority (AIA)
eAuction India platform has been recently
only. NIC provides technical support and
enhanced with many enriching features
manages the platform.
like provisions to cater Limited or
Specialised Auctions, provisions to cater to
This eBook takes through all these
auction in which citizens in general are
variations in details and also enumerates
involved, in addition to conducting
various benefits reaped and few key Case
commodity auction.
studies.
2
Auction in Government
Landscape
Auctions have been an integral part of day to
day life. All of us would have at some point of
time seen seller posting a notice on apartment
Notice board, describing the item for sale and
setting a minimum bid and closing time,
especially when people move out. Government
conducts auction for selling a wide spectrum of
items. Revenue generated by selling scrap adds
to the government exchequer. Auctions are
conducted for Scrabs like eWaste, Iron Scrab,
Hospital Scraps, Old Furnitures, Assets like
Land/ Residential & Commercial plots / Flat/
Sand Plot/ River Bed, Confiscated Goods like
Luxury cars/ Mortgaged property / Custom
seized goods, Forest Produce like Timber /
Honey / Fruits / Oil / Sandalwood / Tendu Patta /
Livestock / Tees , Leasing of Liquor shops/Toll
Plaza/Shops by [mandis/ authorities/ metros],
Allocation of power, Radio Spectrum, Antiques,
Paintings, artefacts, Others include Daily /
Weekly Bazar, Festival urus collection.
3
It has been noticed that many of these auctions would
not have evoked any interest had it not been online.
The items are quite bulk and very difficult to transport
to a location for display before auction. However,
online auction enables to have a visual display of
items and get detailed specification.
4
Major Users : States | UTs | Central Govt.
Jammu & Kashmir Uttarakhand
Punjab Assam
Haryana Tripura
Chandigarh
West Bengal
Maharashtra
Andaman
Puducherry
Tamil Nadu
5
About eAuction
An auction typically is a process of buying and selling of
Goods / Services. Items to be sold are offered for biding
with a start price, for a definite period. The participating
bidders dynamically increase the prices till end of auction.
The contract maybe awarded to the buyer who bids the
highest price. This is called Forward auction. For items to
be purchased, the reverse process is followed. The
participating bidders dynamically reduce the prices from the
start price till end of auction. The contract maybe awarded
to the seller who bids the lowest price. This is called
Reverse auction.
6
eAuction India : Basic Things to Know
It is an acceptable minimum price/ rate of procuring an
entity to conclude an auction. In a Reserve Price auction,
Reserve Price
the seller is only obligated to sell the item once the bid
amount meets or exceeds the Reserve Price.
7
Show : Displays ‘Name of Bidder’ along with ‘Price quoted’
during an Auction.
Bidder Name Mask : Displays ‘Masked ID’ of bidder along with the ‘Price
Quoted’.
Hide : Displays only the ‘Price quoted’.
Earnest Money
EMD is a Bid Security- Refundable
Deposit
8
eAuction India
Supports The eAuction India platform can at present
cater to the following kinds of auction :
1
• General auctions carried out by Government
Departments
Commodity Auction - • Bidders / Vendors working with Government
Sale/Lease/Purchase Department can participate
9
Commodity
Auction
Forest Produce / Sand
blocks / Scrap / Shops /
Daily / Weekly Bazar,
Festival urus
GOVT.
EMPLOYEES
Commodity Auction
This is the most common kind of auction methodology
adopted by various Government departments. It is mostly a
forward auction. As already explained, commodities like
forest goods, livestock, scrab , certain immovable assets
are auctioned this way. It can be conducted in single or
multiple lots.
An on boarded organisation has Digital Signature Registered users assigned with various
roles as per their role assigned. The Auction Creator logs in and creates the auction in the
system. Once created, the publisher will check for correctness and publish the auction.
Commodity Auction
11
In commodity auction once the auction is published the enrolled
bidders are notified by the system. They can check the prequalification
conditions and decide to participate. This typically has a window of a
couple of days for bidders to apply as per eligibility conditions,
followed by scrutiny of all aspirants by the department. Approved
bidders are notified with details of start of auction and rejected ones
are notified about the decision to reject them.
The auction starts as per the date / time mapped by the AIA and all
those Bidder who have qualified can participate by placing the bids as
per the predefined increment / decrement value.
The auction will continue with rapid-fire exchange of bids among the
auction participants till it reaches the pre-defined auction end time.
Extensions may happen as defined by AIA during creation.
During the process of this online auction every AIA can see the latest
bid. The system has a feature to either mask the names of
participating bidders, or hide or display. This is decided by the AIA at
the time of auction creation and not in between. Typically, the names
are masked. However, in certain auctions like Commercial Plots the
AIA may decide to display the names of participating bidders to invoke
more interest and thus higher competition and price.
Participation Evaluation
Legend
Department
Bidder / Buyer
13
Specialized
Auction
Any specific requirements
can be configured.
Eg.: Toll Plaza, Food Grains
Specialized Auction
In specialized or limited auction an organisation can empanel vendors under certain criteria
for a predefined period and allow only them to participate in an auction. Further business
rules can be applied as required on a case to case basis for each auction. System gives a
flexibility to configure Auction Eligibility Criteria through a template. This facilitates Limited
Auction.
An Auction Inviting Authority (AIA) is a typically a Government official who is responsible for
the conduct of the auction. Parameters which are to be ascertained for Specialised auction
are Auction prequalification’s criteria / eligibility criteria, period for which bidder will be
enrolled if found fit, category under of prequalification, size etc.
To begin with the AIA only issues the prequalification notice. Wide publicity is given for
Bidders to apply online which is scrutinised and Bidders are either empanelled or rejected.
Usually the empanelment is for a period of one year. This process of empanelment through
prequalification can be an ongoing process.
Multiple Organisations can issue their own set of eligibility criteria for auctions they plan to
invite. Bidders can be common or different. All these will be displayed as announcement in
the portal and bidders will also be notified against category / organisation.
Specialized Auction
Issue Bidders Scrutiny Limited Auto approval Live Evaluation Award the
Prequalification apply & Register Auction (based on auction Winner
Criteria (PC) against PC Bidder Publish criteria)
15
Limited Auctions are floated with specific conditions which is mandatory. Amongst the set of
empanelled bidders, those who meet the eligibility criteria specific to this auction will be
automatically allowed by the system into the auction hall.
The auction starts as per the date / time mapped by the AIA and all those Bidder who have
qualified can participate by placing the bids as per the pre-defined increment / decrement
value. The auction will continue with rapid-fire exchange of bids among the auction
participants till it reached the pre defined auction end time. Extensions may happen as
defined by AIA during creation.
During the process of this online auction every AIA can see the latest bid. The system has a
feature to either mask the names of participating bidders, or hide or display. This is decided
by the AIA at the time of auction creation and not in between. Typically, the names are
masked.
Specialised auction can be used to meet various organisation typical auction requirement.
The Auction Evaluation Criteria template can be configured by AIA.
Publish Limited
Pre- Participation Scrutiny & Auction
qualification against PC Approval Creation &
Conditions Publishing
Live Auto
Evaluation Participation
auction approval
Legend
Award the
Winner Department Bidder / Buyer Systems
16
Open
Auction
Bulk auction for items
like Gifts / Mementos /
Artefacts
Public / Open Auction
Public auction or Open Auction is another type of
auction facilitated by eAuction India platform. In this
type of auction focus of participation is from general
public at large. Anyone interested can place a bid.
Like auction of Flats by various Development
Authorities, artefacts by museums, Gift Items received
by Dignitaries, paintings, sculptures would invoke
interest of general masses and they can place their
bid. Auction Inviting Authority (AIA) is a typically a
Government official who is responsible for the conduct
of the auction will ascertain that all pre requisites as
explained below, is in place before configuring the
auction.
Open Auction
Create Product Item Image & Auction Publish Buyer Live Auction Highest Payment by
Catalogue specification Registration Buyer Buyer
18
Key Points to be Noted
Items to be catalogued
Open
Auction Name tags, product codes
to be assigned
19
It has been noticed that Public auction invokes lot of interest if advertised properly. It gains
more and more popularity when the auction is ongoing. People find it very interesting to
publish their auctions in social media through the interface provided by the platform. Once
completed, buyer makes the online payment and AIA ships the product in case of Gift
auction. In case of other categories like Land/ Flat due process is followed off line.
Using Open Auction, around 4500 mementos presented to Hon’ble Prime Minister of India
were auctioned in two phases comprising of 3 rounds and it received enthusiastic
participation from general public. Around 10,000 buyer participated and maximum number
bids received for a single item was 400.
20
Steps for Public / Open Auction
Create
Product Product
Catalogue Shipment
Public /
Item, Image Payment
specification by Buyer
Open
Auction
Auction Approval
Creation & of H1
Publishing Buyer
Buyer Social
Registration Media
Interface
Live
Auction
Legend
21
Benefits : Bidder / Buyer
Participation
in Public
auctions - Automatic
Convenient - Exciting Notifications /
Anytime, alerts of
Anywhere opportunities
Maintains Transparent
anonymity while Process
participation
Shortened
auction Quick
Streamlined & efficient
cycle process
22
Security &
Architecture
eAuction India platform has been designed keeping in
view of the core aspects of eProcurement System
guidelines as mandated in egovstandards.gov.in. It
has two factor authentication for login for all Auction
Inviting authorities, ensures secrecy and maintains
audit logs, time stamping of events, having a common
time server to maintain uniformity across for all
operations. Security Aspects Taken care in eAuction
India Use of Digital Certificate (DSC). The system
works with all DSC’s being issued by different
certifying agencies authorized by CCA India.
Security on Transit
The data is digitally signed at the client end, it is
transferred and stored in the server, and the same can
be verified at any point of time with the help of the
public key of the content/document signer. However,
to further ensure that the data reaches the server in a
secure mode, the transfer of data is initiated using
Transport Layer Security (TLS).
SSL on Transmission
Many times, the changes/fraudulent transactions are inserted when the data is idle or when
the data is transmitted over the net. Hence, data is consumed immediately on receipt from
the server with required validations such as sign and hash matching. All the data that is
transmitted between the servers is signed, validated and only then processed.
23
Architecture Diagram
Primary DR
LB LB
Nr DR V-SAN V-SAN
Data-Replication (VM)
24
Key Case
Studies
Case Study -
PM Mementos
At the behest of Prime Minister’s Office
Gifts / Mementos presented to Hon’ble PM
since 2014 were auctioned in two phases
National Gallery of Modern Arts, Min of
Culture using the Open Auction, eAuction
India Portal. The proceeds of auctions went
to a noble cause to ‘Namami Gange’
project, a Central government project to
clean the Ganga River.
26
Interested buyers have to register themself on this portal using
mobile no. and email ID.
Participate in Auction
Select & Add the product in My Card Easy Online
Easy Signup Payment Modes
Through Net Banking
Using Email ID & Mobile No.
Through Credit & Debit Cards
Secured Authentications
using Mobile and Email OTPs Through BHIM UPI
Delivery of the
Product at your
Door Step
Shipment of Product to
the delivery address
Home
PM Mementos through India Post
Message
As per the instructions of PMO, Ministry of Culture carried out auction of about 2000
prestigious and memorable mementos presented to Hon'ble Prime Minister by the various
individuals. In this regard, on behalf of Ministry of Culture, kindly accept my sincere
appreciation for the excellent job rendered by NIC in association with this Ministry in
development & implementation of robust online auction portal of Gift items of Hon'ble Prime
Minister. A dedicated portal with URL https://pmmementos.gov.in was developed by NIC to
facilitate online auctioning of the mementos.
I appreciate sincere efforts of each officer involved in this time bound process & requesting
you to the place concerned officers contribution on record and wish them a great success in
future.
# Auctions # Bids
28
Glimpse of auction conducted by Defence Estate
Auction ID 2019_MoD_466
Ministry of Defence
Directorate General Defence Estates
Department Name
Southern Command Pune
DEO- Ahmedabad
1 2 3 4 5 6 7 8 9 10
# Bidders Participated
H1 Price ₹2,66,000
29
Case Study -
Madhya Pradesh
Madhya Pradesh (meaning Central Province)
is a state in central India. Its capital is Bhopal.
# Auctions # Bids
M.P. Poorva Kshetra V.V. Co. Ltd. Jabalpur Madhya Pradesh Paschim Kshetra Vidyut
# Auctions | 289 # Bids | 3172 Vitran Company Limited
# Auctions | 224 # Bids | 2305
Engineer In Chief- Public Health Engineering Department Madhya Pradesh | # Auctions | 17 # Bids | 62
Mineral Resources Department | # Auctions | 3 # Bids | 26
MP Water and Land Management Institute Bhopal | # Auctions | 2 # Bids | 41
Bhopal Development Authority- Madhya Pradesh | # Auctions | 1 # Bids | 1
30
Glimpse of auction conducted by Madhya Pradesh
Auction of ACSR,
Auction of Burnt
Auction Title Scrap, Insulated Wires Scarp 33KV CTPT
Transformer oil
& PVC Cables
2 4 6 8 10 12 14 16 18 20 22 24 26
# Bidders Participated
# Lot Auctioned
Madhya Pradesh Paschim Kshetra Madhya Pradesh Paschim Kshetra M.P. Poorva Kshetra V.V. Co. Ltd.
Vidyut Vitran Company Limited Vidyut Vitran Company Limited Jabalpur
# Bidders Participated | 5 # Bidders Participated | 4 # Bidders Participated | 24
# Lot Auctioned | 1 # Lot Auctioned | 1 # Lot Auctioned | 1
H1 Price 40,170
36
31
Case Study -
Maharashtra
Maharashtra is a state in the western peninsular
region of India occupying a substantial portion of
the Deccan Plateau. It is the most industrialized
state in India while state capital Mumbai is
India's biggest financial and commercial capital.
32
Few Prominent Auction along with their impact
Food Supply
Revenue & Revenue & Department of
Department -
Department Forest Forest Goods &
District Collector
Name Department Department Services Tax
Washim
5 10 15 20 25 30 35 40 45 50 55 60 65
# Bidders Participated
25 50 75 100 125 150 175 200 225 250 275 300 325
# Lot Auctioned
Revenue & Forest Revenue & Forest Food Supply Department - Department of Goods &
Department Department District Collector Washim Services Tax
# Bidders Participated | 58 # Bidders Participated | 45 # Bidders Participated | 2 # Bidders Participated | 5
# Lot Auctioned | 267 # Lot Auctioned | 200 # Lot Auctioned | 1 # Lot Auctioned | 1
33
Timber Sale Auction Timber Sale Auction
14,00,000 Starting Price 14,00,000
H1 Price
Ranges from ₹ 6,500 Ranges from ₹ 9,500
13,00,000 to ₹ 9,18,000 to ₹ 12,50,500
13,00,000
12,00,000 12,00,000
11,00,000 11,00,000
10,00,000 10,00,000
9,00,000 9,00,000
8,00,000 8,00,000
7,00,000 7,00,000
6,00,000 6,00,000
5,00,000 5,00,000
4,00,000 4,00,000
3,00,000 3,00,000
2,00,000 2,00,000
1,00,000 1,00,000
Lot No. 3461 Lot No. 3404 Lot No. 3400 Lot No. 2870
Lot No. 3346 Lot No. 3428 Lot No. 3398 Lot No. 2882
Lot No. 3444 Lot No. 3392 Lot No. 3410 Lot No. 2430
Lot No. 3408 Lot No. 3377 Lot No. 2852 Lot No. 3389
34
Timber Sale Auction Timber Sale Auction
14,00,000 Starting Price 14,00,000
H1 Price
Ranges from ₹ 4,000 Ranges from ₹ 5,000
13,00,000 to ₹ 8,91,000 to ₹ 11,71,000
13,00,000
12,00,000 12,00,000
11,00,000 11,00,000
10,00,000 10,00,000
9,00,000 9,00,000
8,00,000 8,00,000
7,00,000 7,00,000
6,00,000 6,00,000
5,00,000 5,00,000
4,00,000 4,00,000
3,00,000 3,00,000
2,00,000 2,00,000
1,00,000 1,00,000
Lot No. 2869 Lot No. 2854 Lot No. 2885 Lot No. 2892
Lot No. 2898 Lot No. 2844 Lot No. 2847 Lot No. 2944
Lot No. 2866 Lot No. 2884 Lot No. 2907 Lot No. 2863
Lot No. 2894 Lot No. 2850 Lot No. 2917 Lot No. 2848
35
Case Study - Union
Territory of Chandigarh
Chandigarh is a city, district and union
territory in India that serves as the
capital of the two neighboring states
of Punjab and Haryana. Chandigarh
is bordered by the state of Punjab to
the north, the west and the south, and
by the state of Haryana to the east.
36
Few Prominent Auction along with their impact
5 10 15 20 25 30 35 40 45 50 55 60 65
# Bidders Participated
37
Major Benefits Observed by Chandigarh Administration
Increased
Wide publicity
Can be applied to participation
leading to
varied kind of leading to more
increased
auctions competition and
participation
higher rates
Easy monitoring
Considerable
Litigations, using
saving for the
almost NIL “Live Auction”
Govt. exchequer
facility
Message
eAuction Platform of NIC has transformed the auctioning process in the Chandigarh
Administration/Municipal Corporation, Chandigarh. It has eliminated the human interface in
the bidding process thereby making it very convenient for public authorities as well as the
bidders. It has changed the attitude of the participants towards the administration. It has
resulted in increase of revenue up to 10 times which exemplifies even the financial
advantage eAuction has to offer. It is strongly recommended that public authorities needing
auction process adopt this eAuction platform offered by NIC.
38
Case Study -
West Bengal
West Bengal is a state in the eastern region of India along
the Bay of Bengal. The state capital is Kolkata, the
seventh-largest city, and the third-largest metropolitan
area in India.
New Town
Haldia Public Health
Kolkata
Development Engineering
Development
Authority Department
Authority
West Bengal
Housing
Public Works Infrastructure
Department Development
Corporation
39
A glimpse of extent usage in West Bengal
425 is the
61 offices are 1490 Single lot 993 Multi Lot highest number
at present using Auctions have Auctions have of bids received
the platform been finalized been finalized in a single
auction
District Magistrate
Burdwan
# Auctions | 690
# Bids | 3051
District Magistrate
Bankura
# Auctions | 303
# Bids | 1797
District Magistrate
Jalpaiguri
# Auctions | 249
# Auctions
# Bids | 982
# Bids
District Magistrate
Murshidabad
# Auctions | 198
# Bids | 1057
Housing Infrastructure
Development
Corporation Ltd.
West Bengal
# Auctions | 35
# Bids | 3826
District Magistrate
Paschim Medinipur
# Auctions | 34
# Bids | 1283
40
Sand Block Auction Sand Block Auction
3,50,000 4200,00,000
Starting Price H1 Price
3,25,000 3900,00,000
Ranges from ₹ 67,000 Ranges from ₹ 1,96,000
to ₹ 3,51,000 to ₹ 4000,00,000
3,00,000 3600,00,000
2,75,000 3300,00,000
2,50,000 3000,00,000
2,25,000 2700,00,000
2,00,000 2400,00,000
1,75,000 2100,00,000
1,50,000 1800,00,000
1,25,000 1500,00,000
1,00,000 1200,00,000
75,000 900,00,000
50,000 600,00,000
25,000 300,00,000
41
Major Benefits Reaped by the State
Easy
Considerable
monitoring
Litigations, saving for the
using “Live
almost NIL Government
Auction”
exchequer
facility
Message
Asansol Durgapur Development Authority (ADDA) had initiated e-Auction of land using the
NIC Portal https://eauction.gov.in from the year 2015 onwards as per provisions of Land
Allotment Policy of Govt. of West Bengal vide order of L & LR Department vide no.
6686-LP/1A-18/2012 dated 26.12.2012 giving maximum possible publicity in leading
newspapers, ADDA website, Outdoor hoardings, Local Cable Channels, etc..
Over this period ADDA had successfully conducted e-auction of plots consisting of
Industrial, Commercial, Institutional and Commercial Housing purposes generating good
revenue.
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Way Forward
This eBook is aimed to create awareness about the NIC eAuction Platform in State
Governments, Union Territories and Central Government Ministries where auctions are
predominantly carried out.
The success stories of various organizations using the eAuction India platform is a
testimony to the fact that National Informatics Centre has good experience and exposure to
electronic auctions and can provide a conducive platform for the same.
As we have seen the at present auctions have been carried out for varied products/items /
assets like :
With new features of Specialized auction, we look forward to see many Limited auctions
happening through this platform. NIC is also enhancing the ambit of auctions to cater to
diverse requirements like two parameters auctions, auctions with variable
increment/decrement, multi-currency auctions and many more.
The merits of a government owned system for such kind of sensitive activities are well
known. We may recall that the Government eProcurement System from NIC is operational
for over a decade with almost zero issues. NIC has the know-how of managing such large
system in case of urgent scaling up or managing huge load. It has also been noticed that
huge amount of auction requirements is lying untapped in States and UTs. Interested
Organizations may connect with us to join.
43
National Informatics Centre Services Inc. National Informatics Centre
NBCC Tower,15 Bhikaji Cama Place, A-Block, CGO Complex, Lodhi Road,
New Delhi - 110066 New Delhi - 110003
Email: pbdiv-nicsi@nic.in Email: support-eauction@nic.in
http://www.nicsi.com https://eauction.gov.in