Export Processing Zones Authority Supply, Delivery, Installation and Commissioning of Two (2) No. 30KVA Diesel Generator Sets for Athi EPZA TENDER No. 18/2014-2015 Administration Building, Viwanda Road, P.O. Box 50563 00200, Nairobi. FEBRUARY, 2015 1
EXPORT PROCESSING ZONES AUTHORITY INVITATION TO TENDER Export Processing Zones Authority (EPZA) is a statutory body established in 1990 through an Act of Parliament (The EPZA Act Cap 517, Laws of Kenya) with the main objective of promoting and facilitating export oriented investments and developing an enabling environment for such investments. It is responsible for facilitating the implementation of new investment projects, providing after - care services for new and existing investments. The Athi River Export Processing Zone is Kenya s largest and leading industrial park, designed to offer your export-oriented project an ideal location. The Zone offers the best of both worlds: world class infrastructure and services; generous tax incentives and a supportive, business friendly operating system; all within a green and spacious, well maintained park environment. EPZA invites applications from interested and competent firms possessing the requisite skills, resources and experience for the under listed works and services as per specifications and Terms of Reference detailed in the Tender and Request For Proposal Documents. No. Tender No. 1. EPZA Tender No. 16 / 2014 2015 Tender Description Tender for the Rehabilitation of the Existing Phase One (1) of the Export Processing Zones Authority (EPZA) Waste Water Treatment Plant at Kenanie Procurement Method National Open Tender - Readvertisement Cost of tender document (Kshs) Nonrefundable Kshs 1,000.00 Pre - Site Visit Date 20 th February 2015 at 10:00am local time Closing Date and Time 05 th March 2015 at 11:00am local time 2
2. EPZA Tender No. 17 / 2014 2015 3. EPZA Tender No. 18 / 2014 2015 Request for Proposal for Consultancy Services for the Design, Preparation of Bid Documents and Construction Supervision of Phase Two (II) of the Export Processing Zones Authority (EPZA) Waste Water Treatment Plant at Kenanie Supply, Delivery, Installation and Commissioning of Two (2) No. 30KVA Generator Sets for Athi River EPZ and Coast Regional Office International Request for Proposal National Open Tender Kshs 1,000.00 Kshs. 1,000.00 20 th February 2015 at 12:00pm local time Or 03 rd March 2015 at 10.00am local time 20 th February 2015 at 02:00pm local time 13 th March 2015 at 11:00am local time 05 th March 2015 at 11:00am local time Interested, eligible and competent firms may obtain further information and inspect the Tender and Request for Proposal Documents detailing the requirements from EPZA Procurement Offices on 01 st Floor, Administration Building,Viwandani Road, off Nairobi Namanga Highway, during normal working hours and upon payment of a non-refundable fee of Kshs.1,000.00 for each of the above referenced tenders in bankers cheque or cash, payable to the cashier on second floor, at the Export Processing Zones Authority Offices, Administration Building, located on Viwandani Road, off Nairobi Namanga Highway, Athi River or download the Tender and Request for Proposal documents from EPZA website: www.epzakenya.com The applicant, or his/her agent may inspect the Tender and Request for Proposal document BEFORE purchase and collect the document at the Procurement Office, 1 st Floor of the same building upon production of a payment receipt. Completed Tender Documents in plain sealed outer envelope enclosing separately sealed and clearly marked inner envelopes (in Original and two copies properly bound) ALL clearly marked with respective TENDER/REQUEST FOR PROPOSAL NO:./2014-2015 AND TENDER NAME as per instructions in the Tender and Request for Proposal documents and addressed to:- 3
THE CHIEF EXECUTIVE OFFICER EXORT PROCESSING ZONES AUTHORITY P O BOX 50563-00200 NAIROBI, Should be deposited in the Tender Box on Ground Floor, Administration Building, Viwandani Road, off Nairobi Namanga Highway, Athi River on or before the respective stated date and time. Tender and Request for Proposal documents will be opened immediately thereafter in the Conference Room on Ground floor, of the same buiding in the presence of bidder representatives who choose to attend. Mandatory pre-site visits will take place on the respective dates and time for each tender. Tenderers or their representatives are advised to assemble on Ground Floor, Administration Building, Viwandani Road, off Nairobi Namanga Highway ONE HOUR BEFORE the time stated for each respective tender so as to be taken around the site by EPZA representatives. Tenderers are expected to make their own travel arrangements to and from the site. Tenderers are also expected to sign the pre- site visit register and have their pre site visit certificates signed and stamped by EPZA representatives. Prices quoted should be inclusive of all taxes and must be in Kenya Shillings, and shall remain valid for 120 days from the closing date of the tender. EPZA reserves the right to accept or reject any application either in whole or in part without giving reasons for either rejection or acceptance. Youth, Women and Persons with Disabilities are encouraged to apply 4
Contents... 1 INVITATION TO TENDER... 7 SECTION A- STANDARD FORMS... 9 SECTION B - INSTRUCTION TO TENDERERS... 23 2.1 Eligible Tenderers... 25 2.2 Eligible Equipment... 25 2.3 Cost of Tendering... 25 2.4. Contents of Tender Document... 25 2.5 Clarification of Tender Documents... 26 2.6 Amendment of Tender Documents... 26 2.7 Language of Tender... 27 2.8 Documents Comprising the Tender... 27 2.9 Tender Form... 27 2.10 Tender Prices... 27 2.11 Tender Currencies... 28 2.12 Tenderers Eligibility and Qualifications... 28 2.13 Goods Eligibility and Conformity to Tender Document... 28 2.14 Tender Security... 29 2.15 Validity of Tenders... 30 2.16 Format and Signing of Tender... 30 2.17 Sealing and Marking of Tenders... 31 2.18 Deadline for Submission of Tenders... 31 2.19 Modification and Withdrawal of Tenders... 31 2.20 Opening of Tenders... 32 2.21 Clarification of Tenders... 32 2.22 Preliminary Examination and Responsiveness... 32 2.23 Conversion to Single Currency... 33 2.24 Evaluation and Comparison of Tenders... 33 SECTION C -CONDITIONS OF CONTRACT PART 1... 35 SECTION D -CONDITIONS OF CONTRACT PART II... 36 CONDITIONS OF CONTRACT... 37 5
SECTION E - OTHER TENDER FORMS... 58 SECTION F - BILLS OF QUANTITIES... 68 TENDER EVALUATION CRITERIA... 83 STAGE 3 - FINANCIAL EVALUATION... 89 6
INVITATION TO TENDER TENDER REF NO: 18/2014-2015 TENDER NAME: Tender document for Supply, Delivery, Installation and Commissioning of Two (2) No. Generator sets for Athi Export Processing Zones Authority invites sealed tenders from eligible bidders for Supply, Delivery, Installation and Commissioning of Two (2) No. Generator sets for Athi River EPZ and Coast Regional Office Interested bidders may obtain further information from and inspect the bidding documents at the address given below during normal working hours: Export Processing Zones Authority Procurement Office Athi River EPZA Athi River, Administration Building, 01 st Floor, P.O Box 50563-00200 NAIROBI Tel: +254-45-6626421/6 ISDN Line: +254-45-6621000 Switchboard Lines: + 254-45-6626421/6626422 Airtel Lines: +254786683222/733683222 Safaricom: +254-713051172/713051173 MTN VOIP Lines: +254-20-7606040/7606043 Fax: +254-45-6626427 A complete set of tender documents may be obtained by interested bidders upon payment of non-refundable fee of Kshs.1, 000.00. The method of payment will be in cash or banker s cheque, payable to Export Processing Zones Authority. Prices quoted should be inclusive of all taxes, must be in Kenya Shillings or other freely convertible currency and shall remain valid for (120) days from the closing date of the tender. Completed tender documents are to be enclosed in plain sealed envelopes marked with tender reference number and title and be deposited in the Tender Box at the entrance to the main Administration Building, Athi River EPZ to be mailed to the address below so as to be received by 05 th March 2015 at 11.00am local time. The Chief Executive Officer Export Processing Zones Authority P.O Box 50563-00200 NAIROBI, KENYA 7
Tenders will be opened immediately thereafter in the presence of bidders or their representatives who choose to attend the opening at the Export Processing Zones Authority- conference room, ground floor, Athi River. 8
SECTION A- STANDARD FORMS NOTE: Tenderers MUST dully fill these standard forms as Mandatory requirement 9
Export Processing Zones Authority EPZA TENDER NO. 18/2014-2015 FORM OF TENDER TO: THE CHIEF EXECUTIVE OFFICER EXPORT PROCESSING ZONES AUTHORITY P.O. BOX 50563 00200 NAIROBI Dear Sir, SUPPLY, DELIVERY, INSTALLATION AND COMMISSIONING OF TWO (2) NO. DIESEL GENERATOR SETS FOR ATHI RIVER EPZ AND COAST REGION OFFICE. 1. In accordance with the Instructions to Tenderers, Conditions of Contract, Specifications, Drawings and Bills of Quantities for the execution of the above named works, we, the undersigned offer to Supply, Delivery, Installation, Commissioning and Completion of such works and remedy any defects therein for the sum of Kshs. (Amount in figures), Kenya Shillings (Amount in words in Kenya Shillings) or such other sum as may be ascertained in accordance with the said conditions. 2. We undertake, if our Tender is accepted, to commence the works within Fourteen (14) days of receipts of the Engineer s order to commence and to complete and deliver the whole of the works comprised in the contract within days calculated from the last day of the aforesaid period in which the works are to be commenced. We acknowledge that the Appendix to Form of Tender forms part of our tender. 3. If our tender is accepted, we will, within Twenty Eight (28) days of the acceptance of our Tender, execute the formal Contract Agreement. We shall also, during this Twenty Eight (28) days period obtain the guarantee of a bank to be bound to the Project in the sum stated in the Appendix hereto, for the performance of the contract in accordance with clause 10 of the Conditions of Contract. 4. We agree to abide by this Tender for the period of one hundred and twenty (120) days from the date fixed for receiving the same and it shall remain binding upon us and may be accepted at any time before the expiry of that period. 5. Unless and until a formal agreement is prepared and executed, this tender, together with your written acceptance thereof, shall constitute a binding contract between us. 6. We acknowledge receipt of the following addenda to the contract documents (if none received, write the word none ) 10
Addendum No Date of Addendum 7. We understand that you are not bound to accept the lowest or any tender you may receive and that the tender may be accepted in whole or in part. Date this day of 20 Signature in the capacity of Duly authorized to sign tender for and on behalf of [Name of Tenderer] of [Address of Tenderer] P.I.N No V.A.T CERTIFICATE No... Witness name Address Signature Date 11
Export Processing Zones Authority CONTRACT NO. EPZA APPENDIX TO FORM OF TENDER (This appendix forms part of the tender) CONDITIONS OF CONTRACT CLAUSE AMOUNT Tender Security (Bank Guarantee only) Amount of Performance Security (Unconditional Bank Guarantee) 10% of Tender Sum in the form of on demand Bank Guarantee 10.1 10% of Tender Sum in the form of Unconditional Bank Guarantee Program to be submitted 14.1 Not later than 14 days after issuance of Order to Commence Cash flow estimate to be submitted 14.3 Not later than 14 days after issuance of Order to Commence Minimum amount of Third Party Insurance Period for commencement, from the Engineer s order to commence 23.2 KSh. 100,000 41.1 14 days Time for completion 43.1 Amount of liquidated damages 47.1 KSh 10,000 per day Limit of liquidated damages 47.1 5% of Contract Value Defect Liability period 49.1 6 Months Percentage of Retention 60.5 10% of Interim Payment Certificate Limit of Retention Money 60.5 5% of Contract Price 12
Minimum amount of interim certificates 60.2 Contract value/time for completion in months Time within which payment to be made after Interim Payment Certificate signed by Engineer Time within which payment to be made after Final Payment Certificate signed by Engineer 60.8 30 days 60.8 60 days Appointer of Arbitrator 67(3) Chairman, Institution of Engineers of Kenya Notice to Employer and Engineer 68.2 The Employer s address is: The Chief Executive, Export Processing Zones Authority, P.O. Box 50563-00200 NAIROBI The Engineer s address is: EPZA Engineer, P.O. Box 50563-00200 NAIROBI Signature of Tenderer Date 13
Export Processing Zones Authority TENDER NO. 18/2014-2015 FORM OF TENDER SECURITY TO: THE CHIEF EXECUTIVE OFFICER EXPORT PROCESSING ZONES AUTHORITY, P.O. BOX 50563-00200 NAIROBI. In accordance with the provisions of item 13 of the instructions to Tenderers, and whereas the. (Name of Bidder) has submitted his Bid dated for Contract No... We the. (Name of Bank) (Hereinafter called The Bank ) as instructed by the Tenderer, hereby binds itself, its successors and assigns to the Export Processing Zones Authority (hereinafter called the Employer ) the amount of:. (Amount in words) KShs. (Amount in figures in Kenya Shillings ) in the event that one of the following conditions occurs: a) If the Tenderer withdraws the tender after tender opening and during the period of Tender validity b) If the Tenderer does not accept the correction of the Tender price, in accordance with the instruction to Tenderers, or c) If the Tenderer, having been notified of the acceptance of his Tender within the period of Tender validity fails within the specified time limit to: i) Sign the agreement; or ii) Furnish the required performance security We agree unconditionally and irrevocably to pay to the Employer, on its first demand, without right of objection on our part and without his first claim to the Tenderer, up to the above mentioned amount. The Employer, in making such demand shall specify which of the above conditions has occurred. This Guarantee shall remain in force up to and including 118 days after the date of submission of Bids as stated in the Invitation of Bidders or as determined by the Employer. Any demand in respect of this Guarantee should reach the Bank not later than this date. SIGNED FOR AND ON BEHALF OF THE BANK 14
On this.day of 20 STAMP Signature. OR Name.. SEAL Address of Bank.. 15
Export Processing Zones Authority CONTRACT NO. FORM OF AGREEMENT This AGREEMENT is made this.day of... 20 BETWEEN the EXPORT PROCESSING ZONES AUTHORITY (hereinafter referred to as The Employer ) of the one part, and whose registered Company Office is situated at address. (hereinafter referred to as The Contractor ) of the other part. WHEREAS the Employer is desirous of Supply, Delivery, Installation and Commissioning of 30 KVA Diesel Generators of Two (2) No. Generator Sets for Athi River EPZ and Coast Regional Office and has accepted a Tender by the Contractor for the execution and completion of such works known as Contract No and has accepted a bid by the Contractor for the completion of the works. NOW THIS AGREEMENT WITNESSETH AS FOLLOWS: 1. The Contractor shall execute and complete the works in accordance with the Contract Documents. 2. In the event of any discrepancies or differences in the documents these will be resolved in accordance with the Conditions of Contract. 3. The period allowed for completion of this contract is. days (including Contractor s holidays). This time period may be varied as allowed for in the Conditions of Contract. If the Contractor fails to adequately complete the works in the time provided for in this clause, the Contractor shall pay to the Employer, as a penalty, an amount of KSh. 2,500.00 per calendar day or part thereof, that the works remain incomplete, after the time period allowed is elapsed. 4. A time period for completion of or response to certain specified activities is provided for in the Project Specifications. This period may be varied as allowed in 16
the Conditions of Contract. If the Contractor fails to adequately complete the specified activities in the time provided for in this clause, the Contractor shall pay to the Employer, as a penalty, an amount of Ksh.2,500.00 per calendar day or part thereof, that the works remain incomplete, after the time period allowed is elapsed. 5. In consideration for the payments to be made by the Employer to the Contractor, as specified in this Agreement, the Contractor agrees to construct, complete and maintain the Works so as to conform to the provisions of this Agreement. 6. The Employer agrees to pay the Contractor, in consideration for the construction, completion and maintenance of the works, at the times and in the manner provided for in this agreement, contract price. The amount paid shall be determined from the actual quantities of work carried out, at the rates and sums shown in the priced bills of quantities. 7. The following documents shall be deemed to form and be read and construed as part of this Agreement: - (a) The said Tender (b) The Drawings issued to the contractor in respect of the works (c) The conditions of Contract (d) The Specifications (e) The Bills of Quantities and the prices inserted therein, upon which the said Tender is based. (f) The Schedule of Rates and Prices. (g) Addenda if any. (h) Letter of Acceptance 8. In consideration of payments to be made by the Employer, the Contractor as hereinafter mentioned, the contractor hereby covenants with the Employer to execute and complete the work in contract in all respects with the provisions of the Contract. 17
9. In consideration of the execution and completion of the works by the Contractor, the Employer hereby covenant to pay the sum of Kenya Shillings (Amount in words) KSh (Amount in figures) (hereinafter referred to as the Contract Price or such other sum as shall become payable hereunder at the time and in the manner specified in the said Conditions. In witness of this Agreement, the parties have signed in the presence of witnesses: SIGNED AT FOR AND ON BEHALF OF THE EMPLOYER ON THIS DAY OF. 20 Signature:.. Name: STAMP OR SEAL Witness 1 Witness 2 Signature: Name: Signature.. Name:... SIGNED AT FOR AND ON BEHALF OF THE CONTRACTOR ON THIS DAY OF. 20.. STAMP Signature:.. Name: OR SEAL 18
Witness 1 Witness 2 Signature:.... Name:.... Signature Name: Export Processing Zones Authority 19
CONTRACT NO. FORM OF PERFORMANCE BANK GUARANTEE (UNCONDITIONAL) TO: THE CHIEF EXECUTIVE OFFICER EXPORT PROCESSING ZONES AUTHORITY P.O. BOX 50563-00200 NAIROBI WHEREAS (hereinafter called the Contractor ) has undertaken, in pursuance of Contract No dated to execute the Supply, Delivery, Installation and Commissioning of Two (2) No. Automatic 30 KVA Diesel Generators (hereinafter called the Works ); AND WHEREAS it has been stipulated by you in the said Contract that the Contractor shall furnish you with a Bank Guarantee by a recognized bank for the sum specified therein as security for compliance with his obligations in accordance with the Contract; AND WHEREAS we have agreed to give the Contractor such a Bank Guarantee: NOW THEREFORE we hereby affirm that we are the Guarantor and responsible to you, on behalf of the Contractor, up to a total of KSh. (amount of Guarantee in figures) Kenya Shillings (amount of Guarantee in words), and we undertake to pay you, upon your first written demand and without cavil or argument, any sum or sums within the limits of Kenya Shillings (amount of Guarantee in words) as aforesaid without your needing to prove or to show grounds or reasons for your demand for the sum specified therein. We hereby waive the necessity of your demanding the said debt from the Contractor before presenting us with the demand. We further agree that no change, addition or other modification of the terms of the Contract or of the Works to be performed thereunder or of any of the Contract documents which may be made between you and the Contractor shall in any way release us from any liability under this Guarantee, and we hereby waive notice of any change, addition, or modification. 20
This Guarantee shall remain valid until a date 28 days after the issue of the completion Certificate for the above Contract. SIGNATURE AND SEAL OF THE GUARANTOR Sign Name of Bank SEAL Address Date 21
LETTER OF ACCEPTANCE (date) To.(Name of a contractor) Of.(Adresss) Dear sir, This is to notify you that your tender dated For execution of.(name of the contract and identification number as given in the tender documents) For the contract price of Kshs.(Amount in figures) (Kenya shillings (amount in words)in accordance with the instructions to tenderers is hereby accepted. You are hereby instructed to proceed with the execution of the said works in accordance with the contract documents. Authorised signature.. Title of signatory.. Date Attached: agreement 22
SECTION B - INSTRUCTION TO TENDERERS 23
SECTION B - INSTRUCTIONS TO TENDERERS 24
SECTION II INSTRUCTIONS TO TENDERERS 2.1 Eligible Tenderers 2.1.1 This Invitation for Tenders is open to all tenderers eligible as described in the Appendix to Instructions to Tenderers. Successful tenderers shall complete the supply, install and commissioning of the equipment by the intended completion date specified in the tender documents. 2.1.2 The procuring entity s employees, committee members, board members and their relatives (spouse and children) are not eligible to participate in the tender unless where specially allowed under section 33 of the Procurement and disposal Act. 2.1.3 Tenderers shall provide the qualification information statement that the tenderer (including all members of a joint venture and subcontractors) is not associated, or have been associated in the past, directly or indirectly, with a firm or any of its affiliates which have been engaged by the Procuring entity to provide consulting services for the preparation of the design, specifications, and other documents to be used for the procurement of the goods under this Invitation for tenders. 2.1.4 Tenderers involved in corrupt or fraudulent practices or debarred from participating in public procurement shall not be eligible. 2.2 Eligible Equipment 2.2.1 All equipment to be supplied and installed under the contract shall have their origin in eligible source countries. 2.2.2 For purposes of this clause, origin means the place where the equipment(s) are produced. Goods are produced when, through manufacturing, processing, or substantial and major assembly of components, a commercially-recognized product results that is substantially different in basic characteristics or in purpose or utility from its components 2.2.3 The origin of equipment is distinct from the nationality of the tenderer and shall be treated thus in the evaluation of the tender. 2.3 Cost of Tendering 2.3.1 The Tenderer shall bear all costs associated with the preparation and submission of its tender, and the procuring entity, will in no case be responsible or liable for those costs, regardless of the conduct or outcome of the tendering process. 2.3.2 The price to be charged for the tender document shall not exceed Kshs 5000.00 2.3.3 The procuring entity shall allow the tenderer to review the tender document free of charge before purchase. 2.4. Contents of Tender Document 2.4.1 The tender document comprises the documents listed below and addenda issued in accordance with clause 2.6 of these instructions to tenderers 25
(i) Invitation to Tender (ii) Instructions to Tenderers (iii) General Conditions of Contract (iv) Special Conditions of Contract (v) Schedule of requirements (vi) Technical Specifications (vii) Tender Form and Price Schedules (viii) Tender Security Form (ix) Contract Form (x) Performance Security Form (xi) Bank Guarantee for Advance Payment Form (xii) Manufacturer s Authorization Form(if necessary) (xiii) Confidential Business Questionnaire Form (xiv) Declaration form (xv) Request for Review Form 2.4.2 The Tenderer is expected to examine all instructions, forms, terms, and specifications in the tender documents. Failure to furnish all information required by the tender documents or to submit a tender not substantially responsive to the tender documents in every respect will be at the tenderers risk and may result in the rejection of its tender. 2.5 Clarification of Tender Documents 2.5.1 A prospective tenderer making inquiries of the tender documents may notify the Procuring entity in writing or by post at the entity s address indicated in the invitation for tenders. The Procuring entity will respond in writing to any request for clarification of the tender documents, which it receives not later than seven (7) days prior to the deadline for the submission of tenders, prescribed by the procuring entity. Written copies of the Procuring entities response (including an explanation of the query but without identifying the source of inquiry) will be sent to all prospective tenderers that have received the tender document. 2.5.2 The procuring entity shall reply to any clarifications sought by the tenderer within 3 days of receiving the request to enable the tenderer to make timely submission of its tender. 2.6 Amendment of Tender Documents 2.6.1 At any time prior to the deadline for submission of tender, the procuring entity, for any reason, whether at its own initiative or in response to a clarification requested by a prospective tenderer, may modify the tender documents by issuing an addendum. 2.6.2 All prospective tenderers that have obtained the tender documents will be notified of the amendment in writing or by post and will be binding on them. 26
2.6.3 In order to allow prospective tenderers reasonable time in which to take the amendment into account in preparing their tenders, the Procuring entity, at its discretion, may extend the deadline for the submission of tenders. 2.7 Language of Tender 2.7.1 The tender prepared by the tenderer, as well as all correspondence and documents relating to the tender exchange by the tenderer and the Procuring entity, shall be written in English language, provided that any printed literature furnished by the tenderer may be written in another language provided they are accompanied by an accurate English translation of the relevant passages in which case, for purposes of interpretation of the tender, the English translation shall govern. 2.8 Documents Comprising the Tender 2.8.1 The tender prepared by the tenderers shall comprise the following components. (a) a Tender Form and a Price Schedule completed in accordance with paragraph 2.9, 2.10 and 2.11 below (b) documentary evidence established in accordance with paragraph 2.12 that the tenderer is eligible to tender and is qualified to perform the contract if its tender is accepted; (c) documentary evidence established in accordance with paragraph 2.13 that the goods and ancillary services to be supplied by the tenderer are eligible goods and services and conform to the tender documents; and (d) tender security furnished in accordance with paragraph 2.14 (e) Confidential Business Questionnaire 2.9 Tender Form 2.9.1 The tenderer shall complete the Form of Tender and the appropriate Price Schedule furnished in the tender documents, indicating the equipment to be supplied, installed and commissioned and a brief description of the equipment, their country of origin, quantity, and prices. 2.10 Tender Prices 2.10.1 The tenderer shall indicate on the appropriate Price Schedule the unit prices where applicable and total tender price of the equipment and installation it proposes to supply under the contract. 2.10.2 Prices indicated on the Price Schedule shall be entered separately in the following manner: (i) the price of the equipment quoted EXW (ex works, ex factory, ex warehouse, ex showroom, or off-the-shelf, as applicable), including all customs duties and sales and other taxes already paid or payable: 27
(ii) charges for inland transportation, insurance, and other local costs incidental to delivery of the goods to their final destination; and (iii) installation charges shall also be indicated separately for each equipment 2.10.3 Prices quoted by the tenderer shall remain fixed during the Tender s performance of the contract. A tender submitted with an adjustable price quotation will be treated as non-responsive and will be rejected, pursuant to paragraph 2.22 unless otherwise agreed by the parties. 2.11 Tender Currencies 2.11.1 Prices shall be quoted in the following currencies: (a) For equipment that the tenderer will supply from within Kenya, the prices shall be quoted in Kenya Shillings; and (b) For equipment that the tenderer will supply from outside Kenya, the prices may be quoted in US Dollars or in another freely convertible currency. (c) Cost of installation and commissioning will be in Kenya Shillings. 2.12 Tenderers Eligibility and Qualifications 2.12.1 Pursuant to paragraph 2.1 the tenderers shall furnish, as part of its tender, documents establishing the tenderers eligibility to tender and its qualifications to perform the contract if its tender is accepted. 2.12.2 The documentary evidence of the tenderers eligibility to tender shall establish to the Procuring entity s satisfaction that the tenderer, at the time of submission of its tender, is from an eligible source country as defined under paragraph 2.1 2.12.3 The documentary evidence of the tenderers qualifications to perform the contract if its tender is accepted shall establish to the Procuring entity s satisfaction; (a) that, in the case of a tenderer offering to supply equipment under the contract which the tenderer did not manufacture or otherwise produce, the tenderer has been duly authorized by the equipment, Manufacturer or producer to supply the equipment (b) that the tenderer has the financial, technical, and production capability necessary to perform the contract; (c) that, in the case of a tenderer not doing business within Kenya, the tenderer is or will be (if awarded the contract) represented by an Agent in Kenya equipped, and able to carry out the Tenderer s maintenance, repair, and spare parts-stocking obligations prescribed in the Conditions of Contract and/or Technical Specifications. 2.13 Goods Eligibility and Conformity to Tender Document 28
2.13.1 Pursuant paragraph 2.2 of this section, the tenderer shall furnish, as part of its tender documents establishing the eligibility and conformity to the tender documents of all equipment which the tenderer proposes to supply under the contract. 2.13.2 The documentary evidence of the eligibility of the goods shall consist of statement in the Price Schedule of the country of origin of the goods and services offered which shall be confirmed by a certificate of origin issued at the time of shipment. 2.13.3 The documentary evidence of conformity of the equipment to the tender documents may be in the form of literature, drawings, and data, and shall consist of: a) Detailed description of the essential technical and performance characteristic of the equipment b) List giving full particulars, including available source and current prices of spare parts, special tools, etc., necessary for the proper and continuing functioning of the equipment for a period of two (2) years, following commencement of the use of the equipment by the Procuring entity; and c) Clause-by-clause commentary on the Procuring entity s Technical Specifications demonstrating substantial responsiveness of the goods and service to those specifications, or a statement of deviations and exceptions to the provisions of the Technical Specifications. 2.13.4 For purposes of the commentary to be furnished pursuant to paragraph 2.13.3(c ) above, the tenderer shall note that standards for workmanship, material, and equipment, as well as references to brand names or catalogue numbers designated by the Procurement entity in its Technical Specifications, are intended to be descriptive only and not restrictive. The tenderer may substitute alternative standards, brand names, and/or catalogue numbers in its tender, provided that it demonstrates to the Procurement entity s satisfaction that the substitutions ensure substantial equivalence to those designated in the Technical Specifications. 2.14 Tender Security 2.14.1 The tenderer shall furnish, as part of its tender, a tender security for the amount and form specified in the Appendix to Instructions to Tenderers. 2.14.2 The tender security shall be in the amount not exceeding 2 percent of the tender price. 2.14.3 The tender security is required to protect the Procuring entity against the risk of Tenderer s conduct which would warrant the security s forfeiture, pursuant to paragraph 2.14.7 2.14.4 The tender security shall be denominated in Kenya Shillings or in another freely convertible currency, and shall be in the form of a) Cash b) A bank guarantee c) Such insurance guarantee approved by the Authority d) Letter of credit. 29
2.14.4.1 Any tender not secured in accordance with paragraph 2.14.1 and 2.14.3 will be rejected by the Procuring entity as non-responsive, pursuant to paragraph 2.22 2.14.5 Unsuccessful Tenderer s tender security will be discharged or returned as promptly as possible but not later than thirty (30) days after the expiration of the period of tender validity prescribed by the Procuring entity. 11 2.14.6 The successful Tenderer s tender security will be discharged upon the tenderer signing the contract, pursuant to paragraph 2.27 and furnishing the performance security, pursuant to paragraph 2.28 2.14.7 The tender security may be forfeited: a) if a tenderer withdraws its tender during the period of tender validity specified by the procuring entity on the Tender Form; or b) in the case of a successful tenderer, if the tenderer fails: i) to sign the contract in accordance with paragraph 2.27 or ii) to furnish performance security in accordance with paragraph 2.28 c) If the tenderer rejects correction of an arithmetic error in the tender. 2.15 Validity of Tenders 2.15.1 Tenders shall remain valid for 120 days or as specified in the tender documents after date of tender opening prescribed by the Procuring entity, pursuant to paragraph 2.20. A tender valid for a shorter period shall be rejected by the Procuring entity as nonresponsive. 2.15.2 In exceptional circumstances, the Procuring entity may solicit the Tenderer s consent to an extension of the period of validity. The request and the responses thereto shall be made in writing. The tender security provided under paragraph 2.14 shall also be suitably extended. A tenderer may refuse the request without forfeiting its tender security. A tenderer granting the request will not be required nor permitted to modify its tender. 2.16 Format and Signing of Tender 2.16.1 The Procuring entity shall prepare three copies of the tender, clearly marking each ORIGINAL TENDER and TWO COPIES OF TENDER, as appropriate. In the event of any discrepancy between them, the original shall govern. 2.16.2 The original and all copies of the tender shall be typed or written in indelible ink and shall be signed by the tenderer or a person or persons duly authorized to bind the tenderer to the contract. All pages of the tender, except for un-amended printed literature, shall be initialed by the person or persons signing the tender. 2.16.3 The tender shall have no interlineations, erasures, or overwriting except as necessary to correct errors made by the tenderer, in which case such corrections shall be initialed by the person or persons signing the tender. 30
2.17 Sealing and Marking of Tenders 2.17.1 The Tenderer shall seal the original and each copy of the Technical tender in separate envelopes, duly marking the envelopes as TECHNICAL TENDER ORIGINAL and TECHNICAL TENDER COPY. The envelopes shall then be sealed in one envelope. The original and each copy of the Commercial/financial tender shall be sealed in separate envelopes, duly marking the envelopes as COMMERCIAL/FINANCIAL TENDER ORIGINAL and COMMERCIAL/FINANCIAL TENDER COPY. The envelopes shall then be sealed in one envelope. Both technical and commercial tenders shall then be sealed in one outer envelope. 2.17.2 The inner and outer envelopes shall: (a) Be addressed to the Procuring entity at the address given on the Invitation to Tender. (b) Bear the tender number and name in the Invitation to Tender and the words DO NOT OPEN BEFORE 05 th MARCH 2015. 2.17.3 The inner envelopes shall also indicate the name and address of the tenderer to enable the tender to be returned unopened in case it is declared late. 2.17.4 If the outer envelope is not sealed and marked as required by paragraph 2.17.2, the Procuring entity will assume no responsibility for the tender s misplacement or premature opening. 2.18 Deadline for Submission of Tenders 2.18.1 Tenders must be received by the Procuring entity at the address specified under paragraph 2.17.2 not later than 05 th March 2015 at 11.00am local time. 2.18.2 The Procuring entity may, at its discretion, extend this deadline for the submission of tenders by amending the tender documents in accordance with paragraph 2.6, in which case all rights and obligations of the Procuring entity and candidates previously subject to the deadline will therefore be subject to the deadline as extended. 2.18.3 Bulky tenders which will not fit in the tender box shall be received by the procuring entity as provided for in the Appendix. 2.19 Modification and Withdrawal of Tenders 2.19.1 The tenderer may modify or withdraw its tender after the tender s submission, provided that written notice of the modification, including substitution or withdrawal of the tenders, is received by the Procuring entity prior to the deadline prescribed for submission of tenders. 2.19.2 The Tenderer s modification or withdrawal notice shall be prepared, sealed, marked, and dispatched in accordance with the provisions of paragraph 2.17. A withdrawal notice may also be sent by cable, telex but followed by a signed confirmation copy, postmarked not later than the deadline for submission of tenders. 31
2.19.3 No tender may be modified after the deadline for submission of tenders. 2.19.4 No tender may be withdrawn in the interval between the deadline for submission of tenders and the expiration of the period of tender validity specified by the tenderer on the Tender Form. Withdrawal of a tender during this interval may result in the Tenderer s forfeiture of its tender security, pursuant to paragraph 2.14.7 2.20 Opening of Tenders 2.20.1 The Procuring entity will open all tenders in the presence of tenderers representatives who choose to attend, at 11.00am local time and AT THE ADMINISTRATION BUILDING CONFERENCE ROOM, GROUND FLOOR. The tenderers representatives who are present shall sign a tender opening register evidencing their attendance. 2.20.2 The tenderers names, tender modifications or withdrawals, tender prices, discounts and the presence or absence of requisite tender security and such other details as the Procuring entity, at its discretion, may consider appropriate, will be announced at the opening. 2.20.3 The Procuring entity will prepare minutes of the tender opening. 2.21 Clarification of Tenders 2.21.1 To assist in the examination, evaluation and comparison of tenders the Procuring entity may, at its discretion, ask the tenderer for a clarification of its tender. The request for clarification and the response shall be in writing, and no change in the prices or substance of the tender shall be sought, offered, or permitted. 2.21.2 Any effort by the tenderer to influence the Procuring entity in the Procuring entity s tender evaluation, tender comparison or contract award decisions may result in the rejection of the tenderers tender. 2.22 Preliminary Examination and Responsiveness 2.22.1 The Procuring entity will examine the tenders to determine whether they are complete, whether any computational errors have been made, whether required sureties have been furnished, whether the documents have been properly signed, and whether the tenders are generally in order. 2.22.2 Arithmetical errors will be rectified on the following basis. 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. If the candidate does not accept the correction of the errors, its tender will be rejected, and its tender security may be forfeited. If there is a discrepancy between words and figures the amount in words will prevail 32
2.22.3 The Procuring entity may waive any minor informality or non-conformity or irregularity in a tender which does not constitute a material deviation, provided such waiver does not prejudice or affect the relative ranking of any tenderer. 2.22.4 Prior to the detailed evaluation, pursuant to paragraph 2.23 the Procuring entity will determine the substantial responsiveness of each tender to the tender documents. For purposes of these paragraphs, a substantially responsive tender is one, which conforms to all the terms and conditions of the tender documents without material deviations. The procuring entity s determination of a tender responsiveness is to be based on the content of the tender itself without recourse to extrinsic evidence. 2.22.5 if a tender is not substantially responsive, it will be rejected by the procuring entity and may not substantially responsive, it will be rejected by the procuring entity and may not subsequently be made responsive by the tenderer by correction of the nonconformity. 2.23 Conversion to Single Currency 2.23.1 Where other currencies are used, the Procuring Entity will convert those currencies to Kenya Shillings using the selling exchange rate on the date of tender closing provided by the Central Bank of Kenya. 2.24 Evaluation and Comparison of Tenders 2.24.1 The Procuring entity will evaluate and compare the tenders which have been determined to be substantially responsive, pursuant to paragraph 2.22 2.24.2 The Procuring entity s evaluation of a tender will exclude and not take into account (a) in the case of equipment manufactured in Kenya or equipment of foreign origin already located in Kenya, sales and other similar taxes, which will be payable on the goods if a contract is awarded to the tenderer; and (b) any allowance for price adjustment during the period of execution of the contract, if provided in the tender. 2.24.3 The comparison shall be of the ex-factory/ex-warehouse/off-the-shelf price of the goods offered from within Kenya, such price to include all costs, as well as duties and taxes paid or payable on components and raw material incorporated or to be incorporated in the goods. 2.24.4 The Procuring entity s evaluation of a tender will take into account, in addition to the tender price and the price of incidental services, the following factors, in the manner and to the extent indicated in paragraph 2.23.5 and in the technical specifications: (a) Delivery and installation schedule offered in the tender; (b) Deviations in payment schedule from the specifications in the Special Conditions of Contract; 33
(c) The cost of components, mandatory spare parts and service; (d) The availability in Kenya of spare parts and after-sales service for the equipment offered in the tender; 2.24.5 Pursuant to paragraph 2.24.4 the following evaluation methods will be applied (a) Delivery schedule (i) The Procuring entity requires that the equipment under the Invitation for Tenders shall be delivered at the time specified in the Schedule of Requirements. Tenders offering deliveries longer than the procuring entity s required delivery time will be treated as non-responsive and rejected. (b) Deviation in payment schedule Tenderers shall state their tender prices for payment of schedule outlined in the special conditions of contract. Tenders will be evaluated on the basis of this base price. Tenderers are however, permitted to state an alternative payment schedule and indicate the reduction in tender proce they wish to offer for such alternative payment schedule. The procuring entity may consider the alternative payment schedule offer by selected tenbderer. (c) Spare parts and after sales service facilities Tenderers must offer items with service and spare parts back up. Documentary evidence and locations of such back up must be given. Where atenderer offers items without such back up in the country, he must give a documentary evidence and assurance that he will establish adequate back up for items supplied. 2.24.6 The tender evaluation committee shall evaluate the tender within 30 days of the validity period from the date of opening the tender. 34
SECTION C -CONDITIONS OF CONTRACT PART 1 (GENERAL CONDITIONS) CONDITIONS OF CONTRACT, PART 1- GENERAL CONDITIONS The conditions of contract, part 1 general conditions, shall be those forming part 1 of the conditions of contract for works of Electrical engineering, Fokurth nedition 1987, reprinted in 1992 with further amendments prepared by the federation Inaternationale desingenieus conseils(fidic). Conditions are subject to variation and additions set out in part II hereof entitled conditions of contract Part II- Conditions of particular application. NOTE (I) (ii) (iii) The standard text of the General Conditions of contract must be retained intact to facilitate its reading and interpretation by tenderers. Any amendments and additions to the general conditions, specific to a given contract, shall be introduced in the conditions of particular application or in the appendix to form of tender. The condition of particular application take precedence over general conditions of contract Copies of FIDIC conditions of contract can be obtained from: FIDIC Secretariat P.O Box 86 1000 Lausanne 12 Switzerland. Fax: 41 21 653 5432 Telephone: 41 21 653 5003 35
SECTION D -CONDITIONS OF CONTRACT PART II (CONDITIONS OF PARTICULAR APPLICATION) 36
CONDITIONS OF CONTRACT 1. Definitions 1.1 In this Contract, except where context otherwise requires, the following terms shall be interpreted as indicated; Bill of Quantities means the priced and completed Bill of Quantities forming part of the tender. Compensation Events are those defined in Clause 24 hereunder The Completion Date means the date of completion of the Works as certified by the Engineer, in accordance with Clause 31 The Contract means the agreement entered into between the Employer and the Contractor as recorded in the Agreement Form and signed by the parties including all attachments and appendices thereto and all documents incorporated by reference therein to execute, complete, and maintain the Works. The Contractor refers to the person or corporate body whose tender to carry out the Works has been accepted by the Employer. The Contractor s Tender is the completed tendering document submitted by the Contractor to the Employer. The Contract Price is the price stated in the Letter of Acceptance and thereafter as adjusted in accordance with the provisions of the Contract. Days are calendar days; Months are calendar months. A Defect is any part of the Works not completed in accordance with the Contract. The Defects Liability Certificate is the certificate issued by the Engineer upon correction of defects by the Contractor. The Defects Liability Period is the period named in the Contract Data and calculated from the Completion Date. 37
Drawings include calculations and other information provided or approved by the Engineer for the execution of the Contract. Dayworks are Work inputs subject to payment on a time basis for labour and the associated materials and plant. Employer, orthe Procuring entity as defined in the Public Procurement Regulations (i.e. Central or Local Government administration, Universities, Public Institutions and Corporations, etc) is the party who employs the Contractor to carry out the Works. Equipment is the Contractor s machinery and vehicles brought temporarily to the Site for the execution of the Works. The Intended Completion Date is the date on which it is intended that the Contractor shall complete the Works. The Intended Completion Date may be revised only by the Engineer by issuing an extension of time or an acceleration order. Materials are all supplies, including consumables, used by the Contractor for incorporation in the Works. Plant is any integral part of the Works that shall have a mechanical, electrical, chemical, or biological function. Site is the area defined as such in the Appendix to Condition of Contract. Specifications means the Specifications of the Works included in the Contract and any modification or addition made or approved by the Engineer. Start Date is the latest date when the Contractor shall commence execution of the Works. It does not necessarily coincide with the Site possession date(s). A Subcontractor is a person or corporate body who has a Contract with the Contractor to carry out a part of the Work in the Contract, which includes Work on the Site. Temporary works are works designed, constructed, installed, and removed by the Contractor which are needed for construction or installation of the Works. A Variation is an instruction given by the Engineer which varies the Works. 38
The Works are what the Contract requires the Contractor to construct, install, and turnover to the Employer, as defined in the Appendix to Conditions of Contract. 2. Interpretation 2.1 In interpreting these Conditions of Contract, singular also means plural, male also means female or neuter, and the other way around. Headings have no significance. Words have their normal meaning in English Language unless specifically defined. The Engineer will provide instructions clarifying queries about these Conditions of Contract. 2.2 If sectional completion is specified in the Appendix to Conditions of Contract, reference in the Conditions of Contract to the Works, the Completion Date and the Intended Completion Date apply to any section of the Works (other than references to the Intended Completion Date for the whole of the Works). 2.3 The following documents shall constitute the Contract documents and shall be interpreted in the following order of priority; (a) Letter of offer (b) Letter of Acceptance, (c) The said tender (d) Conditions of Contract Part I and II (e) General condition of contract (f) Specifications (g) Bill of Quantities and their prices inserted therein, upon which the said tender is based, (h) Addenda if any 3. Language and Law 3.1 Language of the Contract and the law governing the Contract shall be English language and the Laws of Kenya respectively unless otherwise stated. 4 Engineer s Decisions 4.1 Except where otherwise specifically stated, the Engineer will decide contractual matters between the Employer and the Contractor in the role representing the Employer. 39