Section III Evaluation and Qualification (Revision 1)
Section III. Evaluation and Qualification This Section contains all the criteria that the Employer shall use to evaluate bids and qualify Bidders. In accordance with ITB 28 and ITB 32, no other factors, methods or criteria shall be used. The Bidder shall provide all the information requested in the forms included in Section IV, Bidding Forms. 1. Evaluation and Methodology 1.1 Alternative Proposal (If permitted in accordance with ITB 13.1) Primary Bid: Alternative Bid: Technical Alternative: Alternative Time for Completion: 400kV Overhead Transmission Line 220kV Overhead Transmission Line Not permitted (other than the specified alternative at 220kV) Not permitted 1.2 Correction of Arithmetical Errors (In accordance with ITB 29.1) (a) (b) (c) (d) Where there are errors between the total of the amounts given under the column for the price breakdown and the amount given under the Total Price, the former shall prevail and the latter will be corrected accordingly If there is a discrepancy between the unit price and the total price that is obtained by multiplying the unit price and quantity, the unit price shall prevail and the total price shall be corrected, unless in the opinion of the Employer there is an obvious misplacement of the decimal point in the unit price, in which case the total price as quoted shall govern and the unit price shall be corrected; If there is an error in a total corresponding to the addition or subtraction of subtotals, the subtotals shall prevail and the total shall be corrected; and If there is a discrepancy between words and figures, the amount in words shall prevail, unless the amount expressed in words is related to an arithmetic error, in which case the amount in figures shall prevail subject to (a) and (b) above. 1.3 Conversion to a Single Currency (In accordance with ITB 30) The currency that shall be used for bid evaluation and comparison purposes to convert all bid prices expressed in various currencies into a single currency is: US Dollar (USD) The source of exchange rate shall be: the www.centralbank.go.ke web site The date for the exchange rate shall be: date of bid submission deadline 1.4 Discounts (In accordance with ITB 14.1) The Employer will adjust the Bid Price, using the methodology prescribed by the Bidder in its Letter of Bid, to take account of the Discounts offered by the Bidder in its Letter of Bid, as read out at the Bid Opening. Section III. Evaluation and Qualification 1-2
1.5 Quantifiable Nonmaterial Nonconformities (In accordance with ITB 28.8) The adjustment shall be made using the following methodology: Where there is a discrepancy between the amounts in figures and in words, the amount in words will govern. Where there is a discrepancy between the unit rate and the line item total resulting from multiplying the unit rate by the quantity, the unit rate as quoted will govern, unless in the opinion of the Employer there is an obvious misplacement of the decimal point in the unit rate, in which case the line item total as quoted will govern, and the unit rate will be corrected. 1.6 Margin of Domestic or Regional Preference (If permitted in accordance with ITB 31.2) Not applicable 1.7 and Methodology for Bid Evaluation and Adjustments The following factors and methods will apply: (a) Time Schedule: Time to complete the Plant and Installation Services from the effective date specified in Article 3 of the Contract Agreement for determining time for completion of pre-commissioning activities is: eighteen (18) months. No credit will be given for earlier completion. The completion time specified shall be for the entire Plant and Installation Services. (b) Operating and Maintenance Costs Since the operating and maintenance costs of the facilities being procured form a major part of the life cycle Costs of the facilities, these costs will be evaluated according to the principles given hereafter, including the cost of spare parts for the initial period of operation stated below and based on prices furnished by each Bidder in Price Schedule Nos. 1 and 2, as well as on past experience of the Employer or other Employers similarly placed. Such costs shall be added to the bid price, for evaluation. The operating and maintenance costs over the life cycle of the facilities will not be estimated for the purpose of bid evaluation. Similarly, the cost of recommended spare parts for the initial period of operation will not be taken into account during bid evaluation. Section III. Evaluation and Qualification 1-3
(c) Functional Guarantees of the Facilities There are no Functional Guarantees stated in the Specification for the Facilities as a whole, and consequently no adjustment to the Bid price will be made under this provision. Plant and equipment shall have minimum (or maximum as the case may be) level of technical guarantees, as specified in the Schedules of Guaranteed Characteristics, to be considered as responsive. (d) Work, services, facilities, etc., to be provided by the Employer Where bids include the undertaking of work or the provision of services or facilities by the Employer in excess of the provisions allowed for in the bidding document, the Employer shall assess the costs of such additional work, services and/or facilities for the duration of the contract. Such costs shall be added to the bid price for evaluation. (e) Specific additional criteria In case a Bidder excludes in his offer equipment which is specified in the scope of supply of the Bidding Documents, for the purpose of tender evaluation, the highest of the corresponding prices of the other Bidders will be added to the Total Bid Price of the respective Bidder. In case no such price is available from the other Bidders, the corresponding price will be estimated. Any adjustments in price that result from the above procedures shall be added, for purposes of comparative evaluation only, to arrive at an Evaluated Bid Price. Bid prices quoted by bidders shall remain unaltered. (f) Alternative Technical Solutions Technical Alternatives, if invited in accordance with ITB 13.4, will be evaluated as follows: not applicable. Section III. Evaluation and Qualification 1-4
2 Qualification (Without Prequalification) 2.1 Eligibility (TABLE) 2.2 Historical Contract Non-Performance (TABLE) 2.3 Financial Situation (TABLE) 2.4 Experience (TABLE) 2.5 Personnel (TABLE) 2.6 Equipment (TABLE) 2.7 Subcontractors (TABLE) Section III. Evaluation and Qualification 1-5
2. Qualification Tables Factor Sub-Factor Requirement 2.1.1 Nationality Nationality in accordance with ITB 4.2. 2.1.2 Conflict of Interest 2.1.3 Bank Ineligibility 2.1.4 Government Owned Entity 2.1.5 Ineligibility based on a United Nations resolution or Borrower s country law No- conflicts of interests as described in ITB 4.3. Not having been declared ineligible by the Bank as described in ITB 4.4. Single Entity Compliance with conditions of ITB 4.5 Not having been excluded as a result of the Borrower s country laws or official regulations, or by an act of compliance with UN Security Council resolution, in accordance with ITB 4.8 2.1 Eligibility Bidder Joint Venture, Consortium or Association All s combined Existing or intended JVCA must meet Existing or intended JVCA must meet Existing JVCA must meet Existing JVCA must meet Each At least one Documentation Required Form ELI 1.1 and 1.2, with attachments Letter of Bid Letter of Bid Form ELI 1.1 and 1.2, with attachments Letter of Bid Section III. Evaluation and Qualification 1-6
Factor Sub-Factor 2.2.1 History of nonperforming contracts 2.2.2 Failure to Sign Contract 2.2.3 Pending Litigation Requirement Non-performance of a contract did not occur within the last five (5) years prior to the deadline for bid submission, based on all information on fully settled disputes or litigation. A fully settled dispute or litigation is one that has been resolved in accordance with the Dispute Resolution Mechanism under the respective contract, and where all appeal instances available to the bidder have been exhausted. Not being under execution of a Bid- Securing Declaration pursuant to ITB 4.6 for five (5) years All pending litigation shall in total not represent more than ten percent (10 %) of the Bidder s net worth and shall be treated as resolved against the Bidder. 2.2 Historical Contract Non-Performance Single Entity by itself or as to past or existing JVCA by itself or as to past or existing JVCA Bidder Joint Venture, Consortium or Association All s combined Each by itself or as to past or existing JVCA by itself or as part of a JVCA by itself or as to past or existing JVCA At least one Documentation Required Form CON - 2 Letter of Bid Form CON 2 Section III. Evaluation and Qualification 1-7
Factor 2.3 Financial Situation Sub-Factor Requirement Single Entity Bidder Joint Venture, Consortium or Association All s combined Each At least one Documentation Required 2.3.1 Historical Financial Performance Submission of audited balance sheets or if not required by the law of the Bidder s country, other financial statements acceptable to the Employer, for the last five (5) years to demonstrate the current soundness of the Bidder s financial position and its prospective long term profitability. Form FIN 3.1 with attachments 2.3.2. Average Annual Turnover Minimum average annual turnover of forty (40) millions USD, calculated as total certified payments received for contracts in progress or completed, within the last five (5) years. forty percent (40%) of the sixty percent (60%) of the Form FIN 3.2 Section III. Evaluation and Qualification 1-8
Factor 2.3 Financial Situation Sub-Factor Requirement Single Entity Bidder Joint Venture, Consortium or Association All s combined Each At least one Documentation Required 2.3.3. Financial Resources The Bidder must demonstrate access to, or availability of, financial resources such as liquid assets, unencumbered real assets, lines of credit, and other financial means, other than any contractual advance payments to meet: (i) the following cash-flow : ten million (10,000,000.00) USD, net of the Bidder s commitments for other contracts, and (ii) the overall cash flow s for this contract and its current commitments. forty percent (40%) of the sixty percent (60%) of the Form FIN 3.3 and Form CCC Section III. Evaluation and Qualification 1-9
Factor 2.4 Experience Sub-Factor 2.4.1 General Experience Requirement Experience under contracts in the role of contractor, subcontractor, or management contractor for at least the last ten (10) years prior to the bid submission deadline, and with activity in at least nine (9) months in each year. Single Entity Bidder Joint Venture, Consortium or Association All s combined Each At least one Documentation Required Form EXP 2.4.1 Section III. Evaluation and Qualification 1-10
Factor 2.4 Experience Sub-Factor 2.4.2 Specific Experience Requirement (a) Participation as contractor, management contractor, or subcontractor, within the last seven (7) years, in at least four (4) 220kV or above OHTL transmission line contracts, of which two (2) shall be of 400kV or above and with a value of at least fifteen million (15,000,000.00) USD, that have been successfully and substantially completed and that are similar to the proposed Facilities. The similarity shall be based on the physical size, complexity, methods/technology or other characteristics as described in Section VI, Employer s Requirements. Single Entity Bidder Joint Venture, Consortium or Association All s combined Each At least one s for all characteristics s for the key activities listed below (e.g., can be a specialist subcontractor): 1. Design and Project Management of 220kV or above OHTL project 2. Civil works for OHTL foundations, 220kV or above 3. Erection and installation of 220kV or above OHTL Documentation Required Form EXP 2.4.2(a) Bidders are required to submit together with the form EXP- 2.4.2 (a), completion certificates for all contracts cited under clause 2.4.2 (a), stating scope, voltage level and contract price. If certificates are not in English, a certified translation shall be provided. Section III. Evaluation and Qualification 1-11
Factor 2.4 Experience Sub-Factor 2.4.2 Specific Experience Requirement b) For the above or other contracts executed during the period stipulated in 2.4.2(a) above, a minimum experience in the following key activities: The Bidder shall have, in the last ten (10) years, successfully and substantially completed, alone or as leading (sponsor), the design and construction of two (2) OHTL transmission line contracts of 400kV voltage level or above, out of which one (1) transmission line contract of a least fifteen million (15,000,000.00) USD in value shall have been performed outside that country where the applicant is based. Single Entity s Bidder Joint Venture, Consortium or Association All s combined Each At least one s s for the key activities listed below (e.g., can be a specialist subcontractor): 1. Design and Project Management of 220kV or above OHTL project 2. Civil works for OHTL foundations, 220kV or above 3. Erection and installation of 220kV or above OHTL Documentation Required Form EXP-2.4.2 (b) Bidders are required to submit together with the form EXP- 2.4.2 (b), completion certificates for all contracts cited under clauses 2.4.2 (a) and 2.4.2 (b), stating scope, voltage level and contract price. If certificates are not in English, a certified translation shall be provided. Section III. Evaluation and Qualification 1-12
Section III. Evaluation and Qualification 1-13
2.5 Personnel The Bidder must demonstrate that it has the personnel for the key positions that meet the following s: No. Position Total Work Experience (years) Experience In Similar Work (years) P1 Project Manager 15 10 P2 Line Design Engineer 7 5 P3 Procurement Manager 10 7 P4 Site Construction Manager 15 10 P5 Tower Erection Supervisor 10 7 P6 Foundation Supervisor 10 7 P7 OPGW Splice and Test Specialist 7 5 P8 OPGW Installation Supervisor 7 5 P9 Q.A. Manager 7 5 The Bidder shall provide details of the proposed personnel and their experience records using Forms PER-1 and PER-2 included in Section IV, Bidding Forms. 2.6 Equipment The Bidder must demonstrate that it will have access to the key Contractor s equipment listed hereafter: No. Equipment Type and Characteristics Minimum Number required 1 Car pickup 10 2 2 or 4-wheel drive utility vehicle 4 3 Lorry up to 10 tones 5 4 Lorry over 10 tones 2 5 Excavator/tractor/JCB 4 6 Foundation gang tools and plant 4 7 Tower erection gang tools and plant 4 8 Stringing machine 2 9 Stringing gang tools and plant 2 10 Crane up to 15 tones 2 The Bidder shall provide further details of proposed items of equipment using the Form EQU furnished in Section IV, Bidding Forms. Section III. Evaluation and Qualification 1-16
2.7 Subcontractors/manufacturers Subcontractors/Manufacturers for the following major items of supply or installation services must meet the following minimum criteria, herein listed for that item: Item No. M1 M2 M3 M4 Description of Item Steel tower structure (see (a) and (b) below) HV power conductors (see (a) and (b) below) Insulators and accessories (see (a) and (b) below) OPGW cable (see (a) and (b) below) SC1 Local civil subcontractor (if proposed for foundation construction works) SC2 Local electromechanical subcontractor (if proposed for tower erection works) Minimum to be met Ten (10) years supply record 5-year performance certificate ISO 9001 or equivalent certificate Ten (10) years supply record 3-year performance certificate ISO 9001 or equivalent certificate References for Construction Works and Installation of 220kV or above, OHTL in the last five (5) years Certificates of satisfactory completion for construction works and installation of HV OHTL in two (2) projects in the last ten (5) years Failure to comply with this will result in rejection of the subcontractor. In the case of a Bidder who offers to supply and install major items of supply under the contract that the Bidder did not manufacture or otherwise produce, the Bidder shall provide the manufacturer s authorization, using the form provided in Section IV, Bidding Forms, showing that the Bidder has been duly authorized by the manufacturer or producer of the related plant and equipment or component to supply and install that item in the Employer s country. The Bidder is responsible for ensuring that the manufacturer or producer complies with the s of ITB 4 and 5, and meets the minimum criteria listed above for that item. Conditions on sub-contractors (a) The sub contractor shall submit copies of original documents defining the constitution or legal status, place of registration and principal place of business of the Company or ship or, if a joint venture, of each party thereto constituting the Bid. (b) The sub contractor shall be able to achieve the required standard and quality of works. (c) Subcontracting of works to local contractors shall meet the following: Section III. Evaluation and Qualification 1-17
(i) (ii) (iii) (iv) (v) The main Contractor shall propose list of possible subcontractors (minimum one, maximum three) for each of the works and submit their License, experience (reference lists), key personnel qualifications, financial standing and work in hand for Employer s evaluation. Failure to do so may result in rejection of the bid. If the main Contractor proposes more than one subcontractor, the quoted price will be deemed to apply to whichever subcontractor appointed and no adjustment of the rates and prices will be permitted. The main Contractor should submit qualifications and experience of the expatriate Site Construction Manager who should be responsible for the whole of site works. The main Contractor should submit an official letter from its possible subcontractors, which evidence their commitment for this particular tender. Subcontracted works shall not exceed 30% of the Contract Price. Section III. Evaluation and Qualification 1-18