Developing SC/ST Business Leadership. BULK LPG TRANSPORTATION CONTRACT BY ROAD e-tender

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1 BULK LPG TRANSPORTATION CONTRACT BY ROAD e-tender

2 OUR INSPIRATION Babasaheb DR. B. R. AMBEDKAR THE GREAT ECONOMIST OF INDIA

3 ABOUT DICCI The Dalit Indian Chamber of Commerce and Industry (DICCI) was established in 2005 by Milind Kamble, a civil engineer and an entrepreneur. While Mr. Kamble is currently the Chairman, the organization has grown with the help of 25 state chapters and 7 International Chapters. Its membership base is rapidly expanding as more & Dalit entrepreneurs become aware of its activities and what it can offer them. The activities of its members are quite diverse ranging from manufacturing sectors such as chemicals, agri-products, frozen foods, plastics, textiles, pest control, metals and metallurgy, marine engineering, solar energy, sugar refining, construction and service / sectors like health care, hospitality industry, education and international trade.

4 The Chamber operates with a three-fold mandate : Bring together all Dalit entrepreneurs under one umbrella Become one-stop Resource Center for existing and aspiring Dalit entrepreneurs Promote entrepreneurship among Dalits as a solution to their socio-economic problems

5 BULK LPG TRANSPORTATION CONTRACT BY ROAD e-tender

6 Existing LPG connections 19,00,00,000+ >2,00,00,000 LPG connections per year GOI to provide subsidised LPG connections to 8,00,00,000 homes Existing Increased usage of to meet supply Tanker Trucks (TT) will be inducted as per EVALUATION CRITERIA and tender is placed by Oil Companies for 18 MT and 21 MT. TTs can either be NEW, not older than 14 years. TTs should be licensed for LPG transportation, in operating condition & registered in their name.

7 Earlier, tender criteria mandated the bidder to have ready owned TTs. Even though the reservation of 22.5% existed in the tenders, but due to the above mentioned criteria most SC/ST entrepreneur could not participate in the tendering process. DICCI identified this opportunity and the challenge. DICCI has successfully addressed the challenge by closely working with Ministry of Petroleum & Natural Gas (MoPNG) & its OMCs DICCI has created the opportunity for aspiring entrepreneurs through Hon. Prime Minister s STAND UP INDIA SCHEME (SUIS). TTs may not be owned as on closing date of tender. Bidder may give no. of proposed TTs. Maximum of 3 TTs. Proposed TTs shall be owned by bidders & to be registered in the same state for which applied. SC/ST bidders offering PROPOSED TTs under SUIS must submit a CONFIRMATION LETTER from any scheduled commercial bank for loan under SUIS. Bidder shall be given 120 days to place the TTs for physical verification.

8 Tender : State-wise Period : 5 Years Total Req. : SC : 3601 ST : 1801

9 Role of DICCI is handholding and mentoring agency for Stand Up India Scheme (SUIS). Identification of prospective entrepreneurs. Conduction of sensitisation programs about the tender. Support in obtaining necessary requirements like Udyog Aadhar, DSC and uploading of tender. Guidance to entrepreneurs for obtaining subsidies offered in respective states, if any. Support in smooth running of the transportation business. Support in evaluation of TTs as prescribed by OMCs in terms of Quality, Durability, Safety, Maintenance & Competitive Price. Support in fabricating steel tanks with prescribed paint and branding as per OMCs. Monitoring SC/ST bidders to offer TTs duly licensed for LPG transport, in operating condition as per required standards & getting registered in bidders name. Support in compliance of all taxes, licenses, & labour laws pertaining to tender.

10 Expertise DICCI stand at fore front of inclusive growth by creating new SC/ST entrepreneurs all over the country. All support advisory services would be rendered to help SC/ST entrepreneurs to contribute in Indian economy (GDP). Management Information System (MIS) would be created to monitor the performance of SC/ST entrepreneurs in fulfilling the target in transport contract business. DICCI will operate entire logistics operations in the country through aggregator companies in each regional clusters.

11 Tender Important Points Tank Trucks Bidders to offer TTs duly licensed for LPG transport, in operating condition and registered in their name or firm. TTs can be Owned / Attached / Proposed. Bidders Proprietorship / Partnership Firm / Company duly regd. Under Companies Act Clusters of states EAST Region - West Bengal, Odisha, Bihar and Jharkhand NORTH Region - J&K, Uttar Pradesh, Haryana, Punjab & Chandigarh, Himachal Pradesh, Uttarakhand, Delhi & Rajasthan SOUTH Region - Tamil Nadu, Andhra Pradesh, Karnataka, Kerala, Telangana & Puducherry WEST Region - Madhya Pradesh, Chhattisgarh, Maharashtra, Gujarat, Daman & Diu and Dadra and Nagar Haveli & Goa NORTH-EAST Region - Assam & Meghalaya, Tripura, Manipur, Nagaland, Arunachal Pradesh and Mizoram

12 Tender Important Points SC/ ST bidders, having UDYOG AADHAR NO, participating under the Stand Up India Scheme (SUIS) of GOI will also be exempted from payment of Earnest Money Deposit (EMD), subject to confirmation letter from Scheduled Commercial Banks for extending loan. The Corporations however does not give any guarantee for Minimum mileage for each truck and for such reason, the Transporter cannot claim certain minimum mileage per truck and also claim any consequent damages. Pre-Qualification Criteria (PQC) Document to be uploaded by Bidders offering proposed trucks, Confirmation letter from Scheduled Commercial Banks for extending loan under Govt. of India s Stand Up India Scheme

13 Other Mandatory Documents Copy of PAN card: Bidder should have PAN Number (self attested copy of PAN card to be uploaded). PAN card should be in the name of Proprietor or the Firm participating in the Tender. Statement of credentials as per Annexure-I of the tender document. Statement of particulars of trucks offered as per Annexure-II of Technical Bid to be uploaded in relevant worksheet of excel file / pdf file. Undertaking: Undertaking duly signed and stamped on bidder s Letter Head as per Annexure-III. Category of bidder declaration as per Annexure-IV Details of relationship ( Part A, B, C & D) duly filled-in as per Annexure-VII. Copy of SC/ST certificate duly issued by competent authority as per Annexure-VIII. Copy of registration certificate from Registrar of Firm to establish the registered partnership firm enclosing all annexure wherein names of all the partners of the said partnership firm are mentioned or Certificate of Incorporation (wherever applicable). Notarized copy of irrevocable Power of Attorney meeting the law of land, if applicable as per Annexure- IX or any other format. Declaration by bidder regarding Blacklisting / holiday-listing as per Annexure-XI duly signed.

14 Other Mandatory Documents Agreement for Integrity Pact of the Contracting company as per Annexure -XII duly signed on all pages (if applicable based on Tender value). Copy of performa invoice of quoted trucks. Bidders offering proposed trucks will have to submit an undertaking that they have not quoted for ready or attached trucks. Formats of the above mentioned documents are available as annexures of the tender. Read the Tender document carefully.

15 Tender Evaluation Criteria This e-tender is floated in two-bid system i.e. Technical Bid & Price Bid. Technical bid will be first opened on scheduled date and will be evaluated as per the terms and conditions of the Tender. Price bids of the bidders, who have qualified in technical bid based on above evaluation by the Corporation, will be opened on a notified date. Bidders offering PROPOSED TTs do not have to participate in the Price Bid. The provision of reservation is 15% (fifteen percent) & 7.5 % (seven and a half percent) for Scheduled Castes and Scheduled Tribes respectively All bidders will quote `Own category trucks only. Allocation of trucks will be made to the qualified bidders under the category provided such bidders quote at Floor rates OR accept finalized L1 rates.

16 Action plan Creating support centres in association with ACE TECHNOLOGY, region/state/cluster-wise for tendering process. Identification and registration of SC/ST entrepreneurs as DICCI members. Support for obtaining UDYOG AADHAR & DIGITAL SIGNATURE in tie-up with ACE TECHNOLOGY, subject to submission of all necessary documents. Obtaining the Performa Invoice for Tanker Truck from manufacturer. Obtaining the Performa Invoice for Steel Tank from manufacturer. Obtaining Confirmation Letter of loan sanction from bank. Online submission of tender with support of ACE TECHNOLOGY. Monitoring the bidding process entirely for the DICCI members, and support thereafter in region for establishing the operational fleet under the aegis of apex transport management aggregator.

17 Checklist Proprietorship Partnership/LLP Pvt. Ltd. Co. 1. PAN card of Proprietor. 2. AADHAAR card of proprietor. 3. Business address proof (Electricity bill, Rent agreement, NOC, Property documents) 4. Caste certificate. 5. GSTIN 6. Current account with Indian Bank. 7. Rs Lac per TT. 8. Confirmation letter from bank for loan 9. Udyog Aadhar 10. Digital Signature 1. Registration Certificate from Registrar of Firms or Registrar Of Companies (ROC) in case of LLP 2. PAN card of Firm. 3. PAN card of all Partners. 4. AADHAAR card of all Partners. 5. Business address proof (Electricity bill, Rent agreement, NOC, Property documents) 6. Residence address proof of all Partners. 7. Caste certificate of all partners (All partners should belong to only SC or ST category) 8. GSTIN. 9. Current account with Indian Bank. 10. Rs Lac per TT. 11. Confirmation letter from banks for loan 12. Udyog Aadhar 13. Digital Signature of anyone partner 14. Letter of authorisation in favour of any one partner for tender 15. Partnership Deed/LLP agreement 1. Registration certificate issued by Registrar Of Companies (ROC) 2. PAN card of Comapny 3. PAN card of all Directors. 4. AADHAAR card of all Directors. 5. Business address proof (Electricity bill, Rent agreement, NOC, Property documents) 6. Residence add. proof of all Directors. 7. Caste certificate of all directors (All directors & shareholders should belong to only SC or ST category) 8. GSTIN. 9. Current account with Indian Bank. 10. Rs Lac per TT. 11. Confirmation letter from bank for loan 12. Udyog Aadhar 13. Digital signature of anyone director 14. Board Resolution in favour of anyone director for tender 15. Memorandum & Articles of Association

18 Memorandum of Understanding (MoU) with Indian Bank. DICCI has entered into a MoU with INDIAN BANK, a Public Sector Bank, for financing the Bulk LPG Transportation e-tender. This is the FIRST in History of Independent INDIA that a Dalit Organisation has exclusively signed a MoU with a nationalised bank.

19 Highlights of Memorandum of Understanding (MoU) Target Group SC/ST Entrepreneurs sourced by DICCI, who have secured tender (Bulk LPG Transport Contract) of Oil Marketing Companies. The loan will be available in SUIS. Eligibility Borrowers to be selected by branches with due diligence from the applications sourced by DICCI Head Office & issue In-Principle Sanction to enable in participating in e-tender. DICCI head office will only forward the application after due diligence of the same recommended from various state chapters. Eligible Loan Amount Above 10 lakh to 100 Lakh. Fund Based Term Loan, OD (Clean) Max 3.00 Lakh / Non Fund Based Bank Guarantee. Margin Term Loan 10% (wherever minimum 15% Govt. subsidy is available or else promoter s contribution is 25%) Bank Guarantee 10% OD (Clean) - Nil

20 Highlights of Memorandum of Understanding (MoU) Rate of Interest/Commission Term Loan/OD MCLR (1 Year) % 9.50%) Bank Guarantee Card Rate Security Hypothecation of vehicles financed under Term Loan. CGSSI cover to be taken mandatorily (premium to be borne by borrower). Escrow account to be maintained at the branch. Personal Guarantee of the Partners/promoter Directors (not third party). Margin Money & Counter Guarantee for Bank Guarantee. Collateral NIL. Insurance Comprehensive Insurance with Bank clause to be taken & renewed every year by the borrower.

21 Highlights of Memorandum of Understanding (MoU) Repayment Period Term Loan 60 EMIs (66 Months, Max - 6 Months Moratorium from the date of first disbursement or 1 month after the vehicle commences operations, whichever is earlier. Interest during holiday period may be permitted to be added to principal). Clean OD On reducing balance basis for 48 months. Processing fees Rs.10,000/- (Incl. Of tax). Documentation charges Rs.5,000/- (Incl. of tax). Renewal charges NIL Inspection charges NIL

22 Support & Services Offered by : Udyog Aadhaar Digital Signature Certificate Vendor Registration on respective Portals Bid-submission

23 Udyog Aadhaar Registration Carrying out UA registration based on information given by members. Digital Signature Generation Getting forms filled & signed/ e-kyc done from applicants. (Personal and Company documents) Time period of 2 to 3 days after receipt of completed application forms/ completion of e-kyc process. Issuance & downloading of DSCs on Tokens for the members.

24 Vendor Registration on respective Oil Company s e-tendering Portal Full details & documents to be given by applicants to ACE representatives, for registration. Registering on the portal creating Login id mapping of DSC uploading of required documents. For IOCL & HPCL, time taken would be 1 day after downloading of DSC. For BPCL, 1 day for registration, and another 2-3 days for their officials who would approve registration.

25 Tender Submission Applicants to submit us all documents required by the respective Oil company. The List would be given by us. Submission of the Tender documents to be done before 10 th of April, 2.00 pm Before Tender submission, Digital Signature and Vendor Registration on Portal is necessary, else Tender documents cannot be submitted.

26 Process flow DICCI Member New Firm ( Formed in 2017/2018) Udyog Aadhaar Registration (new firm) (Sch.1) Open Bank Account (in name of firm) Generation of DSC Tender Portal Registration (Sch.2) Submission of Tender (Sch.3)

27 Schedule 1- Udyog Aadhaar Registration Aadhaar Number Aadhaar Reg. Mobile No (if not to be updated from Aadhaar Kendra) Name of Owner ( Applicant) Social Category- (General /SC/ST) Requires Proof of Belonging Gender ( Male/ Female) Physically Handicapped (Yes/No) Name of Enterprise Type of Organization (Proprietor/Partnership/ LLP /Company) Continued.

28 Schedule 1- Udyog Aadhar Registration PAN Number Location of Plant- Mandatory (Same as Official Address) Official Address (Mandatory) Date of Commencement Previous Registration-Details(if any)- ( Normally it will be Nil ) Bank Details- (IFSC Code & Bank A/C No.)- Savings Account Major Activity- Service National Industry Classification Code (NIC Code) Person employed- (Mandatory) ( How many persons employed including owner ) lnvestments in Plant & Machinery /Equipment ( Rs. In Lakhs) - (Mandatory and Minimum Rs.1 Lac onwards)

29 Schedule 2- Portal Registration Login ID (Valid ID) Company Name Registration No ( Udyog Aadhaar Number) Registered Address Full Name of the Partner/Director (If Applicable) City State-Postal Code Pan No Establishment Year (2017/2018) Nature of Business -Transport Legal Status Proprietary/Partnership/Company Company Category-Micro/Small/Medium Contact Name (Mr./Mrs.) Continued.

30 Schedule 2- Portal Registration Date of Birth Landline Phone Number Mobile Number Bidder Pre-Registered With MSME (if yes then following details are required ) Organization Type- Proprietary / Partnership / Pvt. or Public Ltd. Company / LLP / HUF / Co-operative / Self Help Group / Others Udyog Aadhaar Number Bidder Registered Type- Individual/ Corporate Social Category-General /SC/ST/OBC Gender -Male/Female Physically Handicapped- Yes/No

31 Schedule 3- Documents to be kept ready Self Attested Caste Certificate 10 copies of letter head per Oil Company Digital signature if it s a Proprietary Firm a)self Attested Aadhaar Card b) Attested Copy of Pan Card and latest Bank Statement (Attested by Bank with Seal/ Stamp, Designation, Signature with Name and Contact Number of Officer ) c) Last 1 year ITR ( self attested with firms seal and stamp ) / If ITR not filed then a Declaration letter on letter head d) Udyog Aadhaar Certificate ( self attested with firms seal and stamp ) Continued.

32 Schedule 3- Documents to be kept ready Digital signature if it s a Partnership Firm a)self Attested Aadhaar Card b) Partnership Deed (Attested by authorizing partner with stamp) c) Firms PAN card( Attested by authorizing partner with stamp) d)firms Bank statement (Attested by Bank with Seal/Stamp, Designation, Signature with Name and Contact Number of Officer ) e) Udyog Aadhaar Certificate ( self attested with firms seal and stamp ) f) Firms ITR ( Attested by Authorizing Partner with stamp ) g) Self Attested PAN Card of Authorizing Partner h) Self attested PAN Card of Applicant(Authorized Partner) + Attested by Bank with Seal / Stamp, Designation, Signature with Name and Contact Number of Officer Continued.

33 Schedule 3- Documents to be kept ready Rubber Stamp of the firm 2 Recent Passport size Photographs of the Applicant Letter from Bank regarding sanctioning of loan under Stand- up India Scheme (SUIS) through DICCI Letter from Truck Manufacturing Company (through DICCI) Letter from Tanker Manufacturing Company ( through DICCI) Copy of Cancelled Cheque

34 Advantages of this opportunity It is a NEW BUSINESS opportunity for aspiring entrepreneurs. An entry into Petroleum sector business opens a wide gamut of untapped opportunities for future. Collectively through DICCI entrepreneurs can grow and develop into a Logistics Service Provider force. Oil Manufacturing Companies (OMCs) are very professionally managed PSUs. OMCs are good payment masters. The work distribution of the Bulk LPG Transportation is equally distributed through automated digital system. Bill payments are made timely through automated systems.

35 Contact your local DICCI state chapter for further assistance Be Job Givers

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