8

MALANA HYDROELECTRIC PROJECT

SPECIFICATION FOR GENERATOR TRANSFORMER

INSTRUCTION TO BIDDERS

SECTION - IIGongri H. E. Project TENDER DOCUMENTS

(2 x 72 MW) Bidding Procedures DIRANG ENERGY PVT. LTD

TABLE OF CONTENTS FOR SECTION - II2.1IntroductionII -12.1.1Source of funds______________________________________________________ II -1

2.1.2Eligible Bidders______________________________________________________II - 1

2.1.3Availabilty of Bid DocumentsII -1

2.1.2Cost of BiddingII - 1

2.2Bid Documents II - 2

2.2.1Content of Bid Documents II - 2

2.3Clarification of Bid Documents II - 3

2.4Amendment of Bid Documents II - 3

2.5Preparation of Bids II - 3

2.6Documents Comprising the Bid II - 3

2.7Bid Form II - 4

2.8Bid Prices II - 4

2.9Bid Currencies II - 6

2.10Documents Establishing Bidders Eligibility and Qualifications__________________II - 7

2.11Documents Establishing Eligibility of Goods and Conformity to Bid Documents____ II - 7

2.12Bid Security_________________________________________________________II - 8

2.13Period of Validity of Bids_______________________________________________II - 9

2.14Format and signing of Bid _____________________________________________II - 9

2.15Submission of Bids _________________________________________________II - 10

2.15.2Submission of Bid in the CD ROM _____________________________________ II - 10 2.16Modification and Withdrawal of Bids ____________________________________ II - 11

2.17Bid Opening and Evaluation___________________________________________ II -11

2.17.1Opening of Bids by ADHPL____________________________________________II -11

2.18Clarification of Bids__________________________________________________II - 11

2.19Preliminary Examination______________________________________________II - 12

2.20Conversion to Single Currency_________________________________________II - 12

2.21Evaluation and Comparison of Bids_____________________________________II - 12

2.22Contacting ADHPL __________________________________________________II - 14

2.23Award of Contract___________________________________________________II - 14

2.24Award Criteria______________________________________________________II - 14

2.25ADHPLs right to vary Quantities at Time of Award_________________________II - 14

2.26ADHPLs Right to Accept Any Bid and to Reject Any or All Bids_______________II - 15

2.27Notification of award_________________________________________________II - 15

2.28Signing of Contract__________________________________________________II - 15

2.29Performance Security________________________________________________II - 15

SECTION II

INSTRUCTIONS TO BIDDERS

2.1 Introduction

2.1.1 Source of Funds

This Project is proposed to be funded by ADHPL and by International Finance Corporation (IFC-Washington) and Indian Financial Institutions.

2.1.2 Eligible Bidders

Eligible Bidders are defined in Section III- Qualifying Criteria.

2.1.3 Availability of Bid Documents

The Bidders may obtain the Bid Documents from the office of ICCS at the cost and place given in Section - I.

2.1.4 Cost of Bidding

Bidders shall bear all costs associated with the preparation and submission of their Bids, and AD Hydro Power LIMITED will in no case be responsible or liable for these costs, regardless of the conduct or outcome of the bidding process. No claim against ADHPL shall be made in respect of such costs.

2.1.5The specifications, standards and other details of the Goods and the Works are given in Section VII, Section VIII, Section IX and Section X of the Bid Documents. The Bidders are advised to study the same carefully before bidding and they shall be deemed to have fully acquainted themselves with the Technical Specifications.

(i)The Bidders in their own interest, and at their own cost and expense may visit the Sites For execution of the Works (as defined in the General Conditions of Contract) to inspect and examine the same and its surroundings and satisfy themselves, before submitting their Bids, in respect of the conditions of the Sites For execution of the Works including but not restricted to the following which may influence or affect the Supply of the Goods or the Works or cost in respect thereof or any other matter related to the Contracts:

(a) Conditions of the Sites For Erection including access to the same for installation of the Goods and performance of the Works, existing and additional required access roads and other means of transport/ communication (other than those owned by ADHPL) for use by the Contractor in connection with the Works;

(b) Requirement and availability of land, energy needs and other facilities for the Works, colonies, stores and workshops, etc

(c)Ground conditions including those having a bearing upon transportation, disposal, handling and storage of materials required for the Works or obtained therefrom;

(d)Source and extent of availability of suitable materials including water, aggregates, etc. and labour (skilled and unskilled), required for Works and laws and regulations governing their use and employment;

(e)Geological, meteorological, topographical conditions and other general features of the Sites For Erection and its surroundings as are pertaining to and needed for the performance of the Works.

(f) The type of equipment and facilities needed, preliminary to, for and in the performance of the Works; and

(g) All other information pertaining to and needed for the Works including information as to the risks, contingencies and other circumstances which may influence or affect the Works, its costs or any matter related or incidental thereto.

(ii)The Sites For Erection for the purposes of the Works will be handed over to the Contractor on as is where is basis.

(iii)Bidders should note that information, if any, in regard to the Sites For Erection and/or local conditions, contained in the Bid Documents, (except for the material agreed to be supplied by ADHPL which are specifically detailed in the Bid Documents), has been given only to assist the Bidders and is not warranted to be true, complete or accurate in all respect. The Bidders should make all such independent enquiries or verifications as may be necessary and requisite for them to submit the Bid and/or supply the Goods and perform the Works.

(iv)Bidders should note and bear in mind that ADHPL shall bear no responsibility for the lack of acquaintance of the Sites For Erection and other conditions or any information relating thereto, on their part. The consequences of the lack of any knowledge, as aforesaid, on the part of the Bidders shall be at their risk and cost and no charges or claims whatsoever consequent upon the lack of any information, knowledge or understanding shall be entertained or payable by ADHPL.

2.2 Bid Documents

2.2.1 Content of Bid Documents

2.2.1.1 The Supply and Works required, Bidding procedures and contract terms in respect thereof are prescribed in these Bid Documents.

2.2.1.2 Bidder is expected to examine all instructions, forms, schedules, terms, and specifications in the Bid Documents. Failure to furnish all information required by the Bid Documents or submission of a Bid not substantially responsive to the Bid Documents will be at Bidders risk and shall result in rejection of its Bid.

Any submission of a Bid shall be deemed to have been done after careful study and examination of these documents, with a full understanding of the implications thereof. The terms, conditions and specifications set out in the Bid Documents shall be deemed to have been accepted unless otherwise, specifically indicated by the Bidder in the Bid and such modified terms expressly accepted by ADHPL in the LOI.

2.2.1.3All Bidders are cautioned that Bids containing any variations or deviations whatsoever from the terms and conditions, specifications, drawings, designs, etc. as contained in the Bid Documents may be summarily rejected as non-responsive unless the said variations or deviations are specifically indicated under the terms hereof. Any variation or modification indicated by the Bidder in the Bid Documents shall be effective only upon acceptance of the same by ADHPL in writing in the LOI. It is clarified that there shall not be any deemed or implied acceptance of any variation or modification by ADHPL.

2.3 Clarification of Bid Documents

Any bidder requiring any clarification of the Bid Documents may notify ADHPL through ICCS in writing or by Fax at the ICCS address indicated in Section I. ADHPL may respond in writing to any request for clarification of the Bid Documents that is received on or before 11.04.2006. ADHPL shall not be obliged to respond to all clarifications and communications issued or sought by Bidders. Written copies of ADHPLs response (including an explanation of the query but without identifying the source of inquiry) will be sent to all prospective Bidders who have purchased the Bid Documents.

2.4 Amendment of Bid Documents

2.4.1 At any time prior to the deadline for submission of Bids, ADHPL through ICCS may, for any reason, whether at its own initiative or in response to a clarification requested by a prospective Bidder, change, alter or modify the Bid Documents by amendment(s).

2.4.2 The amendment(s) will be transmitted in writing or by fax to all prospective Bidders who have purchased the Bid Documents from ICCS and will be binding on them.

2.4.3 In order to afford prospective Bidders reasonable time in which to take the amendment into account in preparing their Bid, ADHPL may, at its discretion, extend the deadline for the submission of Bids.

2.5 Preparation of Bids

2.5.1 Language of Bid

Bid prepared by Bidder and all correspondence and documents relating to the Bid exchanged by Bidder and ADHPL shall be written in the English language. Any printed literature furnished by Bidder may be written in another language so long it is accompanied by an authenticated English translation of its pertinent passages. Any failure to comply with this provision may render the Bid liable to be rejected. In the event of any discrepancy between the Bid in a language other than English and its English translation, the English translation shall prevail.

2.6 Documents Comprising the Bid

Bid prepared by Bidder shall comprise in addition to other documents, the following components:

a) Duly completed Bid Forms and Price Schedule, Data and Manuals in accordance with the Specifications.

b) Documentary evidence establishing, in accordance with Clause 2.10, that Bidder is eligible to Bid and is qualified to perform the Contract(s) if its Bid is accepted;

c) Documentary evidence establishing, in accordance with Clause 2.11, that the Goods to be supplied and Works to be executed by the Bidders are eligible Goods and Works and conform to the Bid Documents;

d) A hard copy of the Bid Documents, initialled on each page by Bidder.

e) Bid Security furnished in accordance with Clause 2.12.

f) Details of technical and supervisory personnel already employed by Bidder which he proposes to utilise for Supply of the Goods and execution of the Works and such other personnel which he proposes to employ further for the showing proposed manpower for each activity and work for each month during entire period of supply of the Goods and execution of the Works.

g) The details of Contractors estimated requirements of the materials to be supplied and issued by ADHPL for the performance of permanent Works under the Contract on a monthly basis as required vide Section V of the Bid Documents.

The above stated requirements are only informative and minimum and ADHPL reserves the right to call for any other additional information from the Bidders and the Bidders shall have the obligation to provide all such information.

2.7 Bid Form

Bidder shall complete the Bid form and the price schedule furnished in the Bid Documents, indicating for the Goods to be supplied and Works to be executed, a brief description of the goods, their country of origin, quantity and prices.

2.8 Bid Prices

2.8.1 Bidder shall indicate on the price schedule forming a part of these Bid Documents, the unit prices and the total Bid Prices of the Goods it proposes to supply or Works to be executed rendered, under the Contracts in the format given under Price Schedules.

2.8.2 Prices indicated on the Price Schedules shall be entered separately in the following manner:

a) for Goods supplied from within India:

i) the price of the Goods quoted ex-factory, ex-warehouse or off-the-shelf, as applicable, including all taxes and duties, levies, loading of Goods and any other taxes already paid or payable:

on the components and raw material used in the manufacture or assembly of the Goods quoted ex-factory; or

on the previously imported Goods of foreign origin quoted ex-showroom, ex-warehouse or off-the-shelf;

ii) any sales, excise, duty and any other taxes/cess/levies, which will be payable on the supply of Goods if this Contract is awarded;

iii) Transportation of Goods from ex-factory, ex-warehouse or off-the-shelf to final destination.

iv) Marine cum erection insurance valid till commissioning and issuance of acceptance and taking over of Transmission Line by ADHPL.

v) the price of mandatory spares, special tools/accessories listed in Section VII of the Bid Documents, Technical Specifications, in the individual parts;

vi) the price of optional spares, if any, proposed by Bidder (this item will not be taken into account in evaluation). These prices shall be valid for a period of 3 years from the date of LOI.

vii) The modvat benefit or any other benefit given by Govt. of India shall be passed on to ADHPL.

viii) It is clarified, if required, the inclusion of the aforementioned charges in respect of transportation and insurance in the Bid price shall be at the sole discretion of ADHPL. In particular, ADHPL reserves the right to independently arrange for insurance and transportation of the Goods.

b) for Works executed from within India:

ix) charges for unloading, storage, safe custody at sites including Sites For Erection until the Transmission Line is duly commissioned and handed over, transportation from stores to Sites For Erection other local costs incidental if any;

x) the cost of incidental works listed in Clause 5.15 A of the General Conditions of Contract;

xi) the cost of assembly, erection, testing and commissioning as detailed in the Special Conditions of Contract and the Technical Specifications (this cost shall be inclusive of all costs, charges and incidentals such as cost towards boarding, lodging and transportation of Bidders personnel which shall be the responsibility of Bidder alone);

xii) Training of ADHPLs personnel.

xiii) for Goods to be supplied from abroad:

xiv) the price of the Goods, packing, forwarding and delivery on CIF at port of entry to India basis including marine freight, insurance and port handling at Indian port shall be given. Custom clearances and payment of custom duty, taxes/levies/or any other taxes, inland transportation, marine cum erection insurance etc. shall be quoted separately as given in the price schedule.

xv) the price of mandatory spares, special tools/accessories listed in Section VII of the Bid Documents, Technical Specifications, in the individual parts;

xvi) the price of optional spares if any proposed by Bidder (this item will not be taken into account in the evaluation). These prices shall be valid for a period of 3 years from the date of LOI.

xvii) It is clarified, if required, the inclusion of the aforementioned charges in respect of transportation and insurance in the Bid Price shall be at the sole discretion of ADHPL. In particular, ADHPL reserves the right to independently arrange for insurance and transportation of the Goods.

d) for Works to be performed from abroad:

xviii) charges for unloading, storage, safe custody at sites including Sites For Erection until the Transmission Line is duly commissioned and handed over, transportation from stores to Sites For Erection other local costs incidental if any;

xix) the cost of incidental works listed in Clause 5.15 A of the General Conditions of Contract;

xx) the cost of erection, testing and commissioning as detailed in the Special Conditions of Contract and the Technical Specifications (this cost shall be inclusive of all costs, charges and incidentals such as cost towards boarding, lodging and transportation of Bidders personnel which shall be the responsibility of Bidder alone);

xxi) Training to ADHPLs personnel

2.8.3 ADHPL shall be at liberty to ask for the further break-up of the prices at the time of the evaluation process of the Bid. Bidderss separation of the price components in accordance with Clause 2.8.2 above will be solely for the purpose of facilitating the comparison of Bids by ADHPL and will not in any way limit ADHPLs right to award a Contract on any of the items offered. In particular, ADHPL will not be obliged to award the Contract for the supply of the Goods and the execution of the Works to a single Bidder.

2.8.4 Price Breakdown: Bidder shall indicate the complete price breakdown for each item of equipment, assemblies, sub-assemblies and services, showing duties, taxes, and other cess, levies etc. separately to facilitate calculation of progress payments. For evaluation purpose, prices quoted as indicated in Clause 2.8.2 will be taken into account.

2.8.5 If price for any item is not quoted by bidder, then loading with highest quoted price of that item from any Bidder shall be taken for evaluation/loading.

2.8.6 The price shall be quoted strictly as per the price schedule against each item indicated in price schedule. No lump sum price shall be allowed and bids quoted with lump sum price may be rejected.

2.8.7 Where Bidder has considered Deemed Export Benefits, it must give all information required for issue of Project Authority Certificate in terms of the Import - Export Policy along with its Bid. The Project Authority Certificate will be issued on this basis only and no subsequent change will be permitted. Where ADHPL issues such Project Authority Certificate, Excise Duty will not be reimbursed separately. However, any certificate required to be issued to obtain any such facility shall be arranged by ADHPL.

2.8.8 Bids, which do not conform, to this provision will be treated as non-responsive and rejected.

2.8.9 Price Adjustment:

Prices quoted by Bidder shall be firm during the performance of the Contract and shall not be subject to change for any reason whatsoever. A Bid submitted with a price variation quotation will be considered non-responsive and shall be rejected.

2.8.10 Price Breakdown:

Bidder shall indicate the complete price breakdown for each item of equipment, assemblies, sub-assemblies and services, showing duties, taxes, and other levies separately to facilitate calculation of progress payments.

2.9 Bid Currencies

2.9.1 Prices shall be quoted either in Rupees (Indian currency) for supplies and Works from within India or currency of Bidders home country or in US Dollars for foreign suppliers of Goods and Works. Furthermore, a Bidder expecting to incur a portion of its expenditures in the performance of the Contract in more than one currency, and wishing to be paid accordingly, shall so indicate in its Bids. In such a case, either:

a) the Bid shall be expressed in the different currencies and the respective amounts in each currency together making up the total price, or

b) the total Bid price shall be expressed in one currency and payments required in other currencies expressed as a percentage of the Bid price along with the exchange rate used in such calculation.

2.9.2Agents and service facilities in India:

a)If a foreign Bidder has engaged an Indian agent, it will be required to give the following details in its Bids:-

the name and address of the local agent;

what service the agent renders;

the amount of remuneration for the agent included in Bid

Copy of the agreement between the foreign Bidder and the local agent.

b) The agents commission shall be indicated in the space provided in the Price Schedules and will be paid to Bidders agent in India in Indian Rupees using the market rate of exchange ruling on the date of award of Contract and shall remain firm for the entire term of the Contract irrespective of any exchange rate variation.

2.10 Documents Establishing Bidders Eligibility and Qualifications:

Bidder shall furnish, as part of its Bid, documents establishing Bidders eligibility to Bid and its qualifications to perform the Contract, if its Bid is accepted and shall consist of:

a) in the case of a Bidder offering to supply Goods under the Contract which Bidder did not manufacture or otherwise produce, proof that Bidder has been duly authorized (as per Manufacturers Authorization Form in Section XVI) by the Goods manufacturer or producer to supply the Goods in India;

b) proof that Bidder has financial, technical and production capability necessary to perform the Contract and meets criteria outlined in the Qualification Requirements specified including in particular the capability to supply the Gods and execute the Works on Turnkey Basis.

c) in the case of a Bidder not currently doing business within India, proof that Bidder is or will be (if successful) represented by an agent in India fully equipped and able to carry out Contractors maintenance, repair and spare-part stocking obligations prescribed by the Conditions of Contract and / or Technical Specifications.

2.11 Documents Establishing Eligibility of Goods and Conformity to Bid Documents

2.11.1 Bidder shall furnish, as part of its Bid, documents establishing the eligibility and conformity to the Bid Documents of all Goods and Works, which Bidder proposes to supply and execute under the Contract.

2.11.2 The documentary evidence of the eligibility of the Goods and Works shall consist of a statement in the price schedule of the country of origin of the Goods and Works, which shall be confirmed by a certificate of origin at the time of shipment. The said certificate of origin shall be issued by a Chamber of Commerce or a department authorized in this behalf in the country of origin or export of the Goods.

2.11.3 The documentary evidence of the conformity of the Goods and Works to the Bid Documents may be in the form of literature, drawings and data, and shall consist of:

a) a detailed description of the Goods, essential technical and performance characteristics;

b) a list giving full particulars including available sources and current prices of all spare parts, special tools, etc., necessary for the proper and continued functioning of the Goods for a period of 5 years, following commencement of use of the Goods by ADHPL; and

c) a Clause-by-Clause commentary on ADHPLs Technical Specifications demonstrating the substantial responsiveness of the Goods and Works to the Specifications or a statement of deviations and exceptions to the provisions of Specifications.

2.11.4 Bidder shall note that standards for workmanship, material and equipment and references to brand names and lists of approved manufacturers or catalogue numbers designated by ADHPL in its Technical Specifications are intended to be descriptive only and not restrictive. Bidder may substitute alternative standards, brand names and/or catalogue numbers and manufacturers in its Bid, provided that it demonstrates to ADHPLs satisfaction that the substitutes are substantially equivalent or superior to those designated in the Technical Specifications.

2.12 Bid Security

2.12.1Bidder shall furnish, as part of its Bid, Bid Security in the amount equivalent to Rs. 10,00,000 (Indian Rupees Ten Lacs only) or 25000 US $ (Twenty Five Thousand US Dollars only). The Bidder shall include in his scope all the items mentioned in the Schedule of Requirements under Section VII and shall not exclude any part of the same.

2.12.2Security is required to protect ADHPL against risk of Bidders conduct, which would warrant the securitys forfeiture, pursuant to Clause 2.12.7.

2.12.3Bid Security shall be denominated in the currency of Bid or US Dollars, and shall be in one of the following forms:

a) A bank guarantee or irrevocable Letter of Credit issued by a nationalized bank located in India or abroad acceptable to ADHPL, in the form provided in the Bid Documents or another form acceptable to ADHPL and valid for 45 days beyond the validity of Bid; or

b) A demand draft in favour of AD HYDRO POWER LTD, payable at New Delhi, India.

2.12.4Any Bid not secured in accordance with Clause 2.12.1 and Clause 2.12.3 above will be rejected by ADHPL as non-responsive, pursuant to Clause 2.19 (Preliminary Examination).

2.12.5Unsuccessful Bidders Bid Security will be discharged / returned as promptly as possible but not later than 30 days after expiration of the period of Bid validity prescribed by ADHPL.

2.12.6Successful Bidders Bid Security will be discharged upon Bidders execution of the Contract pursuant to Clause 2.28 (Signing of Contract), and furnishing the Performance Security pursuant to Clause 2.29(Performance Security).

2.12.7Bid Security may be forfeited:

a)If a Bidder withdraws, amends, impairs, derogates or modifies its Bid during the period of Bid validity specified by Bidder on the Bid Form in a manner non-compliant with the provisions of the Bid Documents; or

b)

In case of a successful Bidder, if it fails:

to sign the Contract in accordance with Clause 2.28 (Signing of Contract); or to furnish Performance Security in accordance with Clause 2.29 (Performance Security).

2.12.8No interest shall be payable by ADHPL or accrue to the Bidders on the Bid Security.

2.13 Period of Validity of Bids

2.13.1 Bids shall remain valid for 120 days after the date of Bid opening prescribed by ADHPL, pursuant hereto, ADHPL shall reject Bid valid for a shorter period as non-responsive.

2.13.2 ADHPL may, at its own discretion, or solicit Bidders consent to an extension of the period of validity. The request and the responses there to shall be communicated to the Bidders in writing by fax. The Bid Security provided under Clause 2.12 shall also be suitably extended to cover such extended period of validity of Bids. During such extended period of validity of Bids Bidder shall not be permitted to modify, amend or change its Bid.

2.14 Format and signing of Bid

2.14.1 Bidder shall prepare six (6) copies of Bid, clearly marking one Original Bid and others as Copy Bid, as appropriate. In the event of any discrepancy between them, the original shall govern.

2.14.2 Bidder shall clearly specify the scope of works undertaken by him in the offer on top of each Bid i.e. Bid for Design, testing and supply of Towers, Conductor, Earthwire, Disc Insulators, Hardware Fittings & their accessories and Bid for erection, testing & commissioning of 220 kV D/C Panarsa - Nalagargh Transmission Line.

2.14.3 The original and all copies of Bid shall be typed or written in indelible ink and shall be signed by Bidder or a person or persons duly authorized to bind Bidder to the Contract. In the case of a person or persons authorized by the Bidder, a duly executed written power of attorney shall accompany the Bids. All pages of Bid, except for un-amended printed literature, shall be initiated by the person or persons signing Bid.

2.14.4 Bid shall contain no interlineations, erasures or overwriting except as necessary to correct errors made by Bidder, in which case such corrections shall be initialled by the person or persons signing Bid.

2.14.5 Bids can be signed by any of the following persons:

(i)In case of a company, the Bid shall be signed by a person duly authorized by the Board of the company by a Board Resolution under the common seal of the company and a power of attorney issued thereafter to sign the Bid and the execution of the contract in case of the acceptance of the Bid. Such limited company may be required to furnish satisfactory evidence of its existence before the contract for the Work is awarded.

(ii)In case of a Registered Partnership Firm, the Bid shall be signed by every partner of the firm giving their full names and current business addresses or a managing Partner holding General Power of Attorney issued by all the Partners on behalf of the firm for signing the Bid; in which case a certified copy of the power of attorney shall accompany the Bid. In case of the unregistered partnership firms the Bid shall be signed by every partner of the firm giving their full names and current business addresses.

(iii)In case of a sole proprietorship firm, Bids shall be signed by proprietor. In such case the signature of the Bidder shall be attested from the Bank where the firm is maintaining the Account.

(iv)In case of an authorized agent of the manufacturer of the Goods, the Bid shall be signed by the person duly authorized by the agent by way of power of attorney accompanied by the agreement between the manufacturer/Contractor and agent supported by a duly executed letter of authority issued by the manufacturer/Contractor to submit the Bid by the agent on its behalf.

(v)In the event of formation of a consortium or the Joint Venture by two or more firms/companies, Bids shall be signed by the authorized persons as stated above, of all the members of the said consortium or joint venture.

(vi)If the Bid is submitted by an individual, it shall be signed by such individual with his full name and his current business address together with other personal details as may be specified.

(vii)

All witnesses and sureties shall be persons of status and their full names, occupation and addresses shall be stated below their signatures.

2.15 Submission of Bids

2.15.1 Sealing and Marking of Bids

Bidders shall seal the original and each copy of Bids in separate envelopes, duly marking on the envelopes as Original and Copy. All these inner envelopes shall be properly enclosed in one single outer envelope. All the envelopes shall be properly sealed and marked.

The inner and outer envelopes shall:

a) be addressed to Consultant at the following address:

DGM (Electrical)

Indo Canadian Consultancy Services,

Ph. No. : +91 112541810 Extn: 510Bhilwara Towers,

Fax No. : +91 11 2531648, 2531745

A-12, Sector 1,

E-Mail : iccs@lnjbhilwara.com

Noida 201 301 (U.P.)

: pkgiri@lnjbhilwara.com

b)bear the Bid Name, Bid Document No. and the Tender Call No.

The outer envelope shall indicate the name and address of Bidder to enable Bid to be returned unopened in case it is declared late.

If the outer envelope is not sealed and marked as required by this Clause, ADHPL will assume no responsibility for misplacement, misuse or premature opening of Bids.

2.15.2 Submission of Bid in the CD ROM

In addition to the submission in the format as prescribed in Clause 2.15.1, the Bidders shall also furnish all the Technical Schedules, Price Schedule and other schedules/forms as indicated in Section VIII to XXIII in the form of soft copy through a CD ROM. ADHPL shall be giving the format of the same in a CD ROM to enable the Bidder to use it and submit the same with the Bid. So far as possible the drawings to be submitted by the Bidder along with the Bid and the information to be given by the Bidder should also be submitted by the Bidder in the form of a soft copy in a CD ROM Drive.

2.15.3 Deadline for submission of Bids

Bids complete in all respects must be received by ADHPL in accordance herewith. In the event of the specified date of Bid opening being declared a holiday for ADHPL, Bids will be received upto the appointed time on the next working day.

ADHPL may, at its discretion, extend this deadline for submission of Bids by amending the Bid Documents in accordance with Clause 2.4, in which case all rights and obligations of ADHPL and Bidders previously subject to the deadline will thereafter be subject to the deadline as extended.

2.15.4 Late Bids

Any Bid received by ADHPL after the deadline for submission of Bids prescribed by ADHPL, will be rejected.

2.16 Modification and Withdrawal of Bids

2.16.1 Bidder may modify or withdraw its Bid after its submission by providing a written notice of the modification or withdrawal which shall be received by ADHPL prior to the deadline prescribed for submission of Bids.

2.16.2 Bidders modification or withdrawal notice shall be prepared, sealed, marked and dispatched in accordance with the provisions of Clause 2.15. A withdrawal notice may also be sent by fax but followed by a signed confirmation copy, post marked not later than the deadline for submission of Bids.

2.16.3 No Bid may be modified subsequent to the deadline for submission of Bids.

2.16.4 No Bid may be withdrawn in intervening period between the deadline for submission of Bids and the expiration of the period of Bid validity specified by Bidder on the Bid Form. Withdrawal of a Bid during this intervening period may result in Bidders forfeiture of its Bid Security, pursuant to Clause 2.12.7 in addition to such other rights and remedies that may be available to ADHPL in law.2.17 Bid Opening and Evaluation

2.17.1 Opening of Bids by ADHPL

ADHPL will open Bids in the presence of Bidders representatives who choose to attend at the location on the date and time specified in Section I, Invitation for Bids.

Bidders representatives who are present shall sign a register to evidence their attendance. In the event of the specified date of Bid opening being declared a holiday for ADHPL, Bids shall be opened at the appointed time and location on the next working day.

Bidders names, Bid prices, modifications, Bid withdrawals and the presence or absence of the requisite Bid Security and such other details as ADHPL, at its discretion, may consider appropriate will be announced at the Bid opening. ADHPL shall prepare the Minutes of the Bid opening and shall circulate the same to all the Bidders. The minutes prepared and circulated by ADHPL shall be conclusive evidence of the matters transpired at the meeting.

2.18 Clarification of Bids

To assist in the examination, evaluation and comparison of Bids, ADHPL may at its discretion, ask any Bidder for clarification of any aspects of its Bid, including breakdown of unit rates. The request for clarification and the Bidder's response shall be in writing and shall be submitted before the expiration of Bid validity. Failure by the Bidder to provide such clarifications to the satisfaction of ADHPL in the Bid validity period shall render the Bid of the concerned Bidder liable for rejection. In such an event, in addition to such other rights or remedies that may be available to or adopted by ADHPL in law, the Earnest Money Deposit shall be forfeited by ADHPL. No change in price or substance of Bid shall be sought, offered or permitted unless allowed or advised by ADHPL.

2.19 Preliminary Examination

2.19.1 ADHPL will examine Bids 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 Bids are generally in order.

2.19.2 Bids from agents without proper authorization from the manufacturer as per Section XVI shall be treated as non-responsive.

2.19.3 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, in ADHPL's opinion there is an obviously gross misplacement of the decimal point in the unit rate, the total price as quoted shall govern and the unit rate shall be corrected appropriately. If there is a discrepancy between words and figures, the amount in words will prevail. The total amount stated in the Bid shall be adjusted accordingly by ADHPL in accordance with this procedure for correction of errors and shall be considered as binding on the Bidder. If the Bidder does not accept the corrected amount of Bid, its Bid shall be rejected and the Bid Security shall be liable to be forfeited.

2.19.4 Prior to the detailed evaluation, ADHPL will determine the substantial responsiveness of each Bid to the Bid Documents. For purpose of these Clauses, a substantially responsive Bid is one, which conforms to all the terms and conditions of the Bid Documents without material deviations. ADHPLs determination to a Bids responsiveness is based on the contents of the Bid itself without recourse to extrinsic evidence.

2.19.5 A Bid determined as not substantially responsive will be rejected by ADHPL and may not subsequently be made responsive by Bidder by correction of the non-conformity.

2.19.6 ADHPL may waive any minor informality or non-conformity or irregularity in a Bid which does not constitute a material deviation, provided such a waiver does not prejudice or affect the relative ranking of any Bidder.

2.20 Conversion to Single Currency

To facilitate evaluation and comparison, ADHPL will convert all Bid Prices expressed in amounts in various currencies in which Bid Price is payable, to Indian Rupees at the market selling exchange rate established by the State Bank of India or any other commercial bank in India, for similar transactions on the date of opening the Bids. Bids will be initially converted to a common currency at the exchange rates on the date of Bid opening to establish initial ranking. However, if there is a change in the value of the currencies prior to the decision on award, Bid Prices will be re-evaluated at the exchange rates on the date of decision to award. If the decision is taken beyond the original date of expiry of Bid validity, the exchange rates on the date of expiry of the initial validity of Bids.

2.21 Evaluation and Comparison of Bids

2.21.1 ADHPL will evaluate and compare Bids previously determined to be substantially responsive.

2.21.2 ADHPLs evaluation of a Bid will include and take into account:

a)in the case of Goods manufactured in India or goods of foreign origin already located in India, sales and other similar taxes, which will be payable on the Goods if a Contract is awarded to Bidder;

a) in the case of Goods of foreign origin offered from abroad, customs duties and other similar import taxes which will be payable on the Goods if the Contract is awarded to Bidder;

b) any allowance for price adjustment during the period of execution of the Contract, if provided in Bid;

2.21.3 The ex-factory/ex-warehouse/off-the-shelf price of the goods offered from within India, shall be payable on components and raw material incorporated or to be incorporated in the Goods, and the FOB port-of-entry price of the goods offered from outside India.

2.21.4 ADHPLs evaluation of a Bid will take into account, in addition to the Bid Price and price of erection and the cost of incidental works the following factors in the manner and to the extent indicated in Clause 2.21.5 and the Technical Specifications:

a) Cost of inland transportation, insurance and other costs within India incidental to the delivery of the Goods to their final destination, storage, safe custody at site till the Works are duly commissioned and handed over;

b) Delivery schedule offered in Bid;

c) Deviations in payment schedule from that specified in the Special Conditions of Contract.

d) The cost of components, spare parts and services;

e) The availability in India of spare parts and after sales services for the equipment offered in Bid;

f) The quality and adaptability of the equipment offered.

2.21.5 Pursuant to Cl. 2.21.4 the following evaluation methods will be followed:

a) Inland Transportation, ex-factory/from port-of-entry, Insurance and Incidentals:

Dock handling and clearances (including customs duty), inland transportation, insurance and other incidentals for delivery of goods to the project site as quoted by Bidder will be added to the ex-factory / CIF Bid Price.

b) Delivery Schedule

ADHPL desires to have the Works erected, tested and commissioned within 18 months from the date of order.

c)

Deviation in Payment Schedule:

The Special Conditions of Contract indicates the payment schedule offered by ADHPL. If a Bid deviates from the schedule and if such deviation is considered acceptable to ADHPL, Bid will be evaluated by calculating interest earned for any earlier payments involved in the terms outlined in Bid as compared to those stipulated in this invitation, at a rate of ten percent per annum.

d)

Cost of Spare Parts:

If any spare parts are recommended by the Supplier, the cost of the same shall be indicated. However, the price shall not be loaded by the cost of the recommended spares.

e)

Performance and Productivity of the Equipment:

The equipment offered should be capable of operating as per loading conditions of these specifications.

2.22 Contacting ADHPL:

2.22.1 Subject to Clause 2.18 (Clarification of Bids), no Bidder shall contact ADHPL on any matter relating to its Bid, from the time of Bid opening to the time the Contract is awarded, unless otherwise required by ADHPL during the process of evaluation of Bids.

2.22.2 Any effort by a Bidder to influence ADHPL in ADHPLs Bid evaluation, Bid comparison or Contract award decisions may result in rejection of Bidders Bid.

2.23 Award of Contract

2.23.1 Post Qualification

a) ADHPL will determine to its satisfaction whether Bidder selected as having submitted the lowest evaluated responsive Bid is qualified to satisfactorily perform the Contract.

b) An affirmative determination will be a pre-requisite for award of the Contract to Bidder. A negative determination will result in rejection of Bidders Bid, in which event ADHPL will proceed to the next lowest evaluated Bid to make a similar determination of Bidders capabilities to perform satisfactorily.

2.24 Award Criteria

ADHPL will award the Contract to the successful Bidder whose Bid has been determined to be substantially responsive and has been determined as the lowest evaluated Bid, provided further that Bidder is determined to be qualified to perform the Contract satisfactorily and on turnkey basis. The decision taken by ADHPL shall be final and binding on all the Parties.

2.25 ADHPLs right to vary Quantities at Time of Award

The quantities mentioned in the Schedule of Requirements under Section VII are indicative of the approximate quantum of work (based on walkover survey) involved in this package. This will form the basis for tender evaluation. Detailed Survey is being done. The short listed Contractor shall be informed about the quantities based on detailed survey report at order stage. However, these quantities are also subject to change during detailed engineering (post award). Hence, the Contractor shall furnish the unit rates of all the equipment as asked for in the price schedules. These unit rates shall be applicable while calculating the total Price during execution of the Contract for billing purpose.

ADHPL reserves the right to split the Contract at his discretion to suit his requirement among the various Bidders who have participated in this Bid.

2.26 ADHPLs Right to Accept Any Bid and to Reject Any or All Bids

ADHPL reserves the right to accept or reject any Bid, and to annual Bid process and reject all Bids at any time prior to award of Contract, without thereby incurring any liability to the affected Bidder or Bidders or any obligation to inform the affected Bidder or Bidders of the grounds for ADHPLs action.

2.27 Notification of award

2.27.1 Prior to the expiration of the period of Bid validity, ADHPL will notify the successful Bidder in writing by registered letter or by fax to be confirmed in writing by registered letter that its Bid has been accepted.

2.27.2 Acceptance of Bid and issuance of LOIs does not constitute a binding agreement inter se till such time as the Contracts are duly executed.

2.27.3 Upon the successful Bidders furnishing of Performance Security, ADHPL will promptly notify each unsuccessful Bidder and will discharge its Bid Security. ADHPL shall not be under any obligation to inform the unsuccessful Bidders, the reasons or grounds for ADHPL's action.

2.28 Signing of Contracts

2.28.1 Simultaneous with the communication of the LOIs, ADHPL will send the Bidder(s) the Contract Forms provided in Bid Documents, incorporating all agreements between the parties.

2.28.2 Within 21 days of the receipt of the Contract Forms, the successful Bidder shall sign and date the Contracts and return it to ADHPL.

2.29 Performance Security

2.29.1 Within 21 days of the receipt of LOI from ADHPL, the successful Bidder shall furnish the Performance Security in accordance with Clause 5.8 of the General Conditions of Contract, by furnishing Performance Security Form provided in the Bid documents or another form acceptable to ADHPL.

2.29.2 Failure of the successful Bidder to comply with the requirement of Clause 2.28 or Clause 2.29 herein shall constitute sufficient grounds for the annulment of the award and forfeiture of the Bid Security, in which event ADHPL may make the award to the next lowest evaluated Bidder or call for new Bids at the risk and cost of the Contractor.

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Patel Hydro Power Pvt. Ltd.DescriptionPage No.

Volume I, Part A, Section 1Instructions To Bidders (ITB)Pg. 1 of 19