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Prequalification Document for
Procurement of
An O&M Contractor for Siddhirganj Peaking Power Plant Projects
Issued on:
Invitation for Prequalification No.:
ICB No.:
Employer: Electricity Generation Company of BangladeshBTMC Bhaban (8th level)
7-9 Kawran BazarDhaka -1215, Bangladesh
Country: Bangladesh
INTERESTED APPLICANTS HAVE TO SUBMIT THE PQD UPON PAYMENT OF A NON-REFUNDABLE FEE OF BANGLADESH TAKA
7,000 (SEVEN THOUSAND), OR IN US$100 (ONE HUNDRED) AND AT PROPER ADDRESS MENTIONED IN THE IFP
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INVITATION FOR PRE-QUALIFICATION (IFP) Name of the Country: Bangladesh
Name of the Project: Siddhirganj Peaking Power Plant Project (Under Construction of Siddhirganj 2 x 150 MW Gas Turbine Peaking Power Plant)
Loan/Credit No.: Not available
The Government of Bangladesh has applied for a credit from the International DevelopmentAssociation (IDA) towards the cost of the Siddhirganj Peaking Power Plant Project, and itintends to apply part of the proceeds of this credit to payments under the contract for anO&M contractor.
The Electricity Generation Company of Bangladesh (EGCB) Ltd. intends to
pre-qualify domestic and/or foreign companies for operating and maintaining the peakingpower plants at Siddhirganj. The main scope of the O&M contractor will be for a period of six to eight calendar years: (i) the operation and maintenance of 2 x 120 MW and 2 x 150MW power plants; (ii) giving training to the EGCB employees; (iii) reporting and performingall other activities related to plant operation and maintenance under the relevant PowerPurchase Agreement (PPA) and the Gas Supply Agreement (GSA) including Long TermServices Agreement (LTSA) management; and (iv) managing spare parts/stores andconsumables for the power plants and ancillary services.
Pre-qualification will be conducted through pre-qualification procedures specified in thisPre-qualification Document (PQD), and is open to all bidders who can meet the eligibility
criteria outlined in the PQD.
Interested eligible applicants may obtain further information from and inspect and buy thePQD at the EGCB office (address below). A complete set of the PQD in English may bepurchased by interested applicants (a) on the submission of a written application to theaddress below and (b) upon payment of a non-refundable fee
of Bangladesh Taka 7,000
(seven thousand) or in US$ 100 (one hundred) from 1 November 2007. The PDF format of the PQD is available in the websites of Power Cell, Central Procurement Technical Unit(CPTU), Bangladesh Power Development Board (BPDB). Interested eligible applicant maydownload the document from the site http://www.powercell.gov.bd orhttp://www.cptu.gov.bd or http://www.bpdb.gov.bd in the procurement notice section, must
notify, immediately but no later than 6 December 2007, in writing to EGCB stating theirintention to participate in the qualification process, and submit the fees along with theStatement of Qualification. The method of payment will be through demand draft or payorder or direct deposit to EGCBs bank account: A/c # 13100000427, Sonali Bank, KawranBazar Branch, Dhaka, Bangladesh. If any party fails to notify within the abovementionedperiod and to submit the fees in the form mentioned above, their Statement of Qualificationwill be rejected immediately after opening.
Applications for prequalification should be submitted in sealed envelopes, delivered to theaddress below by 14:00 hours local time (GMT + 6:00) on 18 December 2007 and be clearlymarked Application to pre-qualify for the potential bidder of engaging an O&M contractorfor EGCBs Siddhirganj Peaking Power Plant Projects. No electronic submission of theApplications is acceptable.
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Attn: Company SecretaryKazi Nazrul Islam
Electricity Generation Company of Bangladesh BTMC Bhaban (8 th level), 7-9 Kawran Bazar Dhaka -1215, Bangladesh
Telephone: 880 2 911 6382, 812 4197 Fax: 880 2 911 8345
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Contents
PART 1 Prequalification Procedures....................................................................................... 4 Section I. Instructions to Applicants ............................................................................................... 5
Section II. Prequalification Data Sheet ......................................................................................... 15
Section III. Qualification Criteria and Requirements ................................................................... 18
Section IV. Application Forms ..................................................................................................... 25
Section V. Eligible Countries ....................................................................................................... 40
PART 2 Service Requirements ............................................................................................... 41 Section VI. Scope of Service ........................................................................................................ 42
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PART 1 Prequalification Procedures
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Section I. Instructions to Applicants
Table of ClausesA. General ....................................................................................................................................... 6
1. Scope of Application........................................................................................................ 62. Source of Funds................................................................................................................ 63. Fraud and Corruption........................................................................................................ 64. Eligible Applicants ........................................................................................................... 85. Eligible Goods and Related Services................................................................................ 9
B. Contents of the Prequalification Document ............................................................................... 9
6. Sections of Prequalification Document............................................................................. 9
7. Clarification of Prequalification Document .................................................................... 108. Amendment of Prequalification Document .................................................................... 10C. Preparation of Applications...................................................................................................... 11
9. Cost of Applications....................................................................................................... 1110. Language of Application ................................................................................................ 1111. Documents Comprising the Application......................................................................... 1112. Application Submission Form ....................................................................................... 1113. Documents Establishing the Eligibility of the Applicant ................................................. 1114. Documents Establishing the Qualifications of the Applicant ........................................... 1115. Signing of the Application and Number of Copies........................................................... 11
D. Submission of Applications ..................................................................................................... 1216. Sealing and Identification of Applications ....................................................................... 1217. Deadline for Submission of Applications ...................................................................... 1218. Late Applications ........................................................................................................... 1219. Opening of Applications ................................................................................................... 12
E. Procedures for Evaluation of Applications............................................................................... 12
20. Confidentiality ............................................................................................................... 1221. Clarification of Applications.......................................................................................... 1322. Responsiveness of Applications .................................................................................... 1323. Domestic Bidder Price Preference .................................................................................... 1324. Subcontractors................................................................................................................ 13
F. Evaluation of Applications and Prequalification of Applicants ............................................... 13
25. Evaluation of Applications ............................................................................................ 1326. Employers Right to Accept or Reject Applications...................................................... 1427. Prequalification of Applicants ....................................................................................... 1428. Notification of Prequalification ........................................................................................ 1429. Invitation to Bid ................................................................................................................ 1430. Changes in Qualifications of Applicants .......................................................................... 14
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Section I. Instructions to ApplicantsA. General
1. Scope of Application
1.1 In connection with the Invitation for Prequalification indicated inSection II, Prequalification Data Sheet (PDS), the Employer, asdefined in the PDS, issues this Prequalification Document (PQD)to applicants interested in bidding for the physical servicesdescribed in Section VI, Scope of Physical Services. The number of contracts and the name and identification of each contract, and theInternational Competitive Bidding (ICB) number corresponding tothis prequalification are provided in the PDS.
2. Source of Funds
2.1 The Borrower or Recipient (hereinafter called Borrower)indicated in the PDS has applied for financing (hereinafter calledfunds) from the International Development Association(hereinafter called the Bank) towards the cost of the projectnamed in the PDS. The Borrower intends to apply a portion of thefunds to eligible payments under the contract(s) resulting from thebidding for which this prequalification is conducted.
3. Fraud andCorruption
3.1 It is the Bank's policy to require that Borrowers (includingbeneficiaries of Bank loans), as well as bidders, suppliers, andcontractors and their subcontractors under Bank-financed contracts,observe the highest standard of ethics during the procurement andexecution of such contracts. 1 In pursuance of this policy the Bank:
(a) defines, for the purposes of this provision, the terms set forthbelow as follows:
(i) corrupt practice 2 is the offering, giving, receiving, orsoliciting, directly or indirectly, of anything of value toinfluence improperly the actions of another party;
(ii) fraudulent practice 3 is any act or omission,including a misrepresentation, that knowingly orrecklessly misleads, or attempts to mislead, a party to
obtain a financial or other benefit or to avoid anobligation;
(iii) collusive practice 4 is an arrangement between two or
1 In this context, any action taken by a bidder, supplier, contractor, or a sub-contractor to influence theprocurement process or contract execution for undue advantage is improper.2 "another party" refers to a public official acting in relation to the procurement process or contractexecution]. In this context, "public official" includes World Bank staff and employees of other organizationstaking or reviewing procurement decisions.3 a party refers to a public official; the terms benefit and obligation relate to the procurement processor contract execution; and the act or omission is intended to influence the procurement process or contract
execution.4 parties refers to participants in the procurement process (including public officials) attempting to establishbid prices at artificial, non competitive levels.
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more parties designed to achieve an improper purpose,including to influence improperly the actions of anotherparty;
(iv) coercive practice 5 is impairing or harming, or
threatening to impair or harm, directly or indirectly,any party or the property of the party to influenceimproperly the actions of a party;
(v) "obstructive practice" is
(aa) deliberately destroying, falsifying, altering orconcealing of evidence material to theinvestigation or making false statements toinvestigators in order to materially impede aBank investigation into allegations of a corrupt,fraudulent, coercive or collusive practice; and/or
threatening, harassing or intimidating any party toprevent it from disclosing its knowledge of matters relevant to the investigation or frompursuing the investigation; or
(bb) acts intended to materially impede the exercise of the Banks inspection and audit rights providedfor under sub-clause 3.1 (e) below.
(b) will reject a proposal for award if it determines that thebidder recommended for award has, directly or through anagent, engaged in corrupt, fraudulent, collusive, coercive orobstructive practices in competing for the contract inquestion;
(c) will cancel the portion of the loan allocated to a contract if itdetermines at any time that representatives of the Borroweror of a beneficiary of the loan engaged in corrupt, fraudulent,collusive, or coercive practices during the procurement orthe execution of that contract, without the Borrower havingtaken timely and appropriate action satisfactory to the Bank to address such practices when they occur;
(d) will sanction a firm or individual, including declaringineligible, either indefinitely or for a stated period of time, tobe awarded a Bank-financed contract if it at any timedetermines that the firm has, directly or through an agent,engaged in corrupt, fraudulent, collusive, coercive or obstructive practices in competing for, or in executing, aBank-financed contract; and
(e) will have the right to require that a provision be included inbidding documents and in contracts financed by a Bank loan, requiring bidders, suppliers, and contractors and theirsub-contractors to permit the Bank to inspect their accounts
5 a party refers to a participant in the procurement process or contract execution.
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and records and other documents relating to the bidsubmission and contract performance and to have themaudited by auditors appointed by the Bank.
4. Eligible
Applicants
4.1 An Applicant shall be a private, public or government owned legal
entity, subject to ITA 4.7, or any combination of them in the formof association(s) including Joint Venture (JV) with the formalintent, as evidenced by a letter of intent), to enter into an agreementor under an existing agreement. In the case of a JV, unlessotherwise specified in the PDS, (i) all parties shall be jointly andseverally liable, and (ii) there shall be no limit on the number of partners.
4.2 The eligibility criteria listed in this Clause 4 shall apply to theApplicant, including the parties constituting the Applicant, i.e., itsproposed partners, subcontractors or suppliers for any part of the
Contract including related services.4.3 An Applicant may have the nationality of any country, subject to the
restrictions pursuant to ITA 4.10. An Applicant shall be deemed tohave the nationality of a country if the Applicant is a citizen, or isconstituted, incorporated or registered and operates in conformitywith the provisions of the laws of that country, as evidenced by itsArticles of Incorporation or Documents of Constitution, and itsRegistration Documents.
4.4 Applicants and all parties constituting the Applicant shall not havea conflict of interest. Applicants shall be considered to have aconflict of interest, if they participated as a consultant in thepreparation of the design or technical specifications of thePhysical services that are the subject of this prequalification.Where a firm, or a firm from the same economic or financialgroup, in addition to consulting, also has the capability tomanufacture or supply goods or to construct works, that firm, or afirm from the same economic or financial group, cannot normally bea supplier of goods or works, if it provided consulting services forthe contract corresponding to this prequalification, unless it can bedemonstrated that there is not a significant degree of common
ownership, influence or control.4.5 An Applicant shall submit only one application in the same
Prequalification process, either individually as an Applicant or as apartner of a joint venture. No Applicant can be a subcontractor whilesubmitting an application individually or as a partner of a jointventure in the same Prequalification process. A Subcontractor in anyapplication may participate in more than one application, but only inthat capacity. An Applicant who submits, or participates in, morethan one application will cause all the applications in which theApplicant has participated to be disqualified.
4.6 A firm that has been determined to be ineligible by the Bank inrelation to the Bank Guidelines On Preventing and Combating
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Fraud and Corruption in Projects Financed by IBRD Loans andIDA Credits and Grants shall be not be eligible to be awarded acontract.
4.7 An Applicant that is under a declaration of ineligibility by the Bank
in accordance with ITA 3, at the date of submission of theapplication or thereafter, shall be disqualified. The Bank maintains alist of firms and individuals that have been sanctioned by the Bank pursuant to ITA 3.1 (d) and are not eligible to participate inprocurement financed by the Bank. The list is regularly updated; itsaddress is specified in the PDS.
4.8 Government-owned entities in the Employers Country shall beeligible only if they can establish that they are legally and financiallyautonomous, and operate under commercial law, and that they arenot dependent agencies of the Employer.
4.9 Applicants shall not be under execution of a BidSecuringDeclaration in the Employers Country.
4.10 Applicants and all parties constituting the Applicant shall providesuch evidence of their continued eligibility satisfactory to theEmployer, as the Employer shall reasonably request.
4.11 Applicants from an eligible country may be excluded if, (a) as amatter of law or official regulations the Borrowers countryprohibits commercial relations with that country, provided that theBank is satisfied that such exclusion does not preclude effectivecompetition for the supply of goods or the contracting of worksrequired; or (b) by an act of compliance with a decision of theUnited Nations Security Council taken under Chapter VII of theCharter of the United Nations, the Borrowers country prohibitsany import of goods or contracting of works or services from thatcountry, or any payments to persons or entities in that country.Section V, Eligible Countries provide lists of ineligible countriespursuant to this ITA 4.10.
5. Eligible Goodsand Related
Services
5.1 All goods and related services to be supplied under the Contract to befinanced by the Bank shall have as their origin in any country in
accordance with Section V, Eligible Countries.
B. Contents of the Prequalification Document
6. Sections of Prequalifica-tionDocument
6.1 The document for the prequalification of Applicants (hereinafter -prequalification document) consists of parts 1 and 2 whichcomprise all the sections indicated below, and should be read inconjunction with any Addendum issued in accordance with ITA 8.
PART 1 Prequalification Procedures
Section I. Instructions to Applicants (ITA)
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Section II. Prequalification Data Sheet (PDS) Section III Qualification Criteria and Requirements Section IV. Application Forms Section V. Eligible Countries
PART 2 Physical Service Requirements Section VI. Scope of Services
6.2 The Invitation for Prequalification Applications issued by theEmployer is not part of the prequalification document. A sampleform is provided as an attachment to this PrequalificationDocument for information only.
6.3 The Employer accepts no responsibility for the completeness of theprequalification document and its addenda unless they wereobtained directly from the Employer.
6.4 The Applicant is expected to examine all instructions, forms, andterms in the Prequalification Document and to furnish allinformation or documentation required by the PrequalificationDocument.
7. Clarificationof Prequali-ficationDocument
7.1 A prospective Applicant requiring any clarification of thePrequalification Document shall contact the Employer in writing atthe Employers address indicated in the PDS. The Employer willrespond in writing to any request for clarification provided that suchrequest is received no later than fourteen (14) days prior to the
deadline for submission of applications. The Employer shallforward copies of its response to all applicants who have acquiredthe prequalification document directly from the Employer includinga description of the inquiry but without identifying its source .Should the Employer deem it necessary to amend theprequalification document as a result of a clarification, it shall do sofollowing the procedure under ITA 8 and in accordance with theprovisions of ITA 17.2.
8. Amendmentof
Prequalifica-tionDocument
8.1 At any time prior to the deadline for submission of applications, theEmployer may amend the Prequalification Document by issuing
addenda.
8.2 Any addendum issued shall be part of the PrequalificationDocument and shall be communicated in writing to all who haveobtained the prequalification document from the Employer.
8.3 To give prospective Applicants reasonable time to take anaddendum into account in preparing their applications, theEmployer may, at its discretion, extend the deadline for thesubmission of applications.
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C. Preparation of Applications
9. Cost of Applications
9.1 The Applicant shall bear all costs associated with the preparation andsubmission of its application. The Employer will in no case beresponsible or liable for those costs, regardless of the conduct oroutcome of the prequalification process.
10. Language of Application
10.1 The application as well as all correspondence and documentsrelating to the prequalification exchanged by the Applicant and theEmployer, shall be written in the language specified in the PDS.Supporting documents and printed literature that are part of theapplication may be in another language, provided they areaccompanied by an accurate translation of the relevant passages inthe language specified in the PDS, in which case, for purposes of interpretation of the application, the translation shall govern.
11. DocumentsComprisingtheApplication
11.1 The application shall comprise the following:
(a) Application Submission Form, in accordance with ITA 12;
(b) documentary evidence establishing the Applicants eligibilityto pre-qualify, in accordance with ITA 13;
(c) documentary evidence establishing the Applicantsqualifications, in accordance with ITA 14; and
(d) any other document required as specified in the PDS.
12. ApplicationSubmissionForm
12.1 The Applicant shall prepare an Application Submission Sheet usingthe form furnished in Section IV, Application Forms. This Form must be completed without any alteration to its format .
13. DocumentsEstablishingthe Eligibilityof theApplicant
13.1 To establish its eligibility in accordance with ITA 4, the Applicantshall complete the eligibility declarations in the ApplicationSubmission Form and Forms ELI (eligibility) 1.1 and 1.2, includedin Section IV, Application Forms.
14. DocumentsEstablishingtheQualificationsof theApplicant
14.1 To establish its qualifications to perform the contract(s) inaccordance with Section III, Qualification Criteria andRequirements, the Applicant shall provide the informationrequested in the corresponding Information Sheets included inSection IV, Application Forms.
15. Signing of theApplicationand Numberof Copies
15.1 The Applicant shall prepare one original of the documentscomprising the application as described in ITA 11 and clearly mark it ORIGINAL . The original of the application shall be typed orwritten in indelible ink and shall be signed by a person duly
authorized to sign on behalf of the Applicant .
15.2 The Applicant shall submit copies of the signed original
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application, in the number specified in the PDS, and clearly mark them COPY. In the event of any discrepancy between the originaland the copies, the original shall prevail
D. Submission of Applications
16. Sealing andIdentificationof Applications
16.1 The Applicant shall enclose the original and the copies of theapplication in a sealed envelope that shall:
(a) bear the name and address of the Applicant;
(b) be addressed to the Employer, in accordance with ITA 17.1;and
(c) bear the specific identification of this prequalification processindicated in the PDS pursuant to ITA 1.1.
16.2 The Employer will accept no responsibility for not processing anyenvelope that was not identified as required.
17. Deadline forSubmission of Applications
17.1 Applicants may always submit their applications by mail or byhand. When so specified in the PDS, applicants shall have theoption of submitting their applications electronically, inaccordance with electronic application submission proceduresspecified in the PDS. Applications shall be received by theEmployer at the address and no later than the deadline indicated inthe PDS. A receipt will be given for all applications submitted.
17.2 The Employer may, at its discretion, extend the deadline for thesubmission of applications by amending the PrequalificationDocument in accordance with ITA 8, in which case all rights andobligations of the Employer and the Applicants subject to theprevious deadline shall thereafter be subject to the deadline asextended.
18. LateApplications
18.1 Any application received by the Employer after the deadline forsubmission of applications prescribed in accordance with ITA 17 willbe treated as indicated in the PDS.
19. Opening of Applications
19.1 Any specific electronic application opening procedures required if electronic submission of applications is permitted pursuant to SubClause 17.1 shall be as specified in the PDS. Employer shallprepare a record of the opening of applications that shall include, as aminimum, the name of the Applicant. A copy of the record shallbe distributed to all Applicants.
E. Procedures for Evaluation of Applications
20. Confidential-ity
20.1 Information relating to the evaluation of applications, andrecommendation for prequalification, shall not be disclosed to
Applicants or any other persons not officially concerned with suchprocess until the notification of prequalification is made to all
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Applicants.
20.2 From the deadline for submission of applications to the time of notification of the results of the prequalification in accordance withITA 28, any Applicant that wishes to contact the Employer on any
matter related to the prequalification process, may do so but only inwriting.
21. Clarificationof Applications
21.1 To assist in the evaluation of applications, the Employer may, at itsdiscretion, ask any Applicant for a clarification of its applicationwhich shall be submitted within a stated reasonable period of time.Any request for clarification and all clarifications shall be in writing.
21.2 If an Applicant does not provide clarifications of the informationrequested by the date and time set in the Employers request forclarification, its application may be rejected.
22. Responsive-ness of Applications
22.1 The Employer may reject any application which is not responsive tothe requirements of the prequalification document.
23. DomesticBidder PricePreference
23.1 Unless otherwise specified in the PDS, a margin of preference fordomestic bidders shall not apply in the bidding process resultingfrom this prequalification.
24. Subcontrac-tors
24.1 Applicants planning to subcontract any of the key activitiesindicated in Section III, Qualification Criteria, shall specify theactivity(ies) or parts of the physical services to be subcontracted inthe Application Submission Form. Applicants shall clearly identifythe proposed specialist subcontractors in Forms ELI-1.2 and EXP(experience)-4.2(b) in Section IV. Such proposed specialistsubcontractor(s) shall meet the corresponding qualificationrequirements specified in Section III, Qualification Criteria andRequirements.
24.2 At this time, the Employer does not intend to execute certainspecific parts of the physical service by subcontractors selected inadvance by the Employer (Nominated Subcontractors) unlessotherwise stated in the PDS.
F. Evaluation of Applications and Prequalification of Applicants
25. Evaluation of Applications
25.1 The Employer shall use the factors, methods, criteria, andrequirements defined in Section III, Qualification Criteria andRequirements to evaluate the qualifications of the Applicants. Theuse of other methods, criteria, or requirements shall not bepermitted. The Employer reserves the right to waive minordeviations in the qualification criteria if they do not materiallyaffect the capability of an Applicant to perform the contract.
25.2 Only the qualifications of subcontractors that have been identifiedin the application may be considered in the evaluation of an
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Applicant. However, the general experience and financial resourcesof subcontractors may not be added to those of the Applicant forpurposes of prequalification of the Applicant.
25.3 In case of multiple contracts, the Employer shall pre-qualify each
Applicant for the maximum number and types of contracts forwhich the Applicant meets the appropriate aggregate requirementsof such contracts, as specified in Section III, Qualification Criteriaand Requirements.
26. EmployersRight toAccept orRejectApplications
26.1 The Employer reserves the right to accept or reject any application,and to annul the prequalification process and reject all applicationsat any time, without thereby incurring any liability to Applicants.
27. Prequalifica-
tion of Applicants
27.1 All Applicants whose applications have met or exceeded (passed)
the specified threshold requirements will, to the exclusion of allothers, be prequalified by the Employer.
28. Notification of Prequalifica-tion
28.1 Once the Employer has completed the evaluation of the applicationsit shall notify all Applicants in writing of the names of thoseapplicants who have been prequalified.
29. Invitation toBid
29.1 Promptly after the notification of the results of the prequalificationthe Employer shall invite bids from all the Applicants that havebeen prequalified.
29.2 Bidders may be required to provide a Bid Security or a BidSecuring Declaration acceptable to the Employer in the form andan amount to be specified in the Bidding Documents, and thesuccessful Bidder shall be required to provide a Performance Securityto be specified in the Bidding Documents.
30. Changes inQualificationsof Applicants
30.1 Any change in the structure or formation of an Applicant afterbeing prequalified in accordance with ITA 27 and invited to bidshall be subject to a written approval of the Employer prior to thedeadline for submission of bids. Such approval shall be denied if asa consequence of the change the Applicant no longer substantiallymeets the qualification criteria set forth in Section III, Qualification
Criteria and Requirements, or if in the opinion of the Employer, asubstantial reduction in competition may result. Any such changesshall be submitted to the Employer not later than 14 days after the
date of the Invitation for Bids .
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Section II. Prequalification Data Sheet
A. GeneralITA 1.1 The Employer is: :
Electricity Generation Company of Bangladesh BTMC Bhaban (8 th level)7-9 Kawran Bazar, Dhaka -1215
Bangladesh
ITA 1.1 The list of contracts is: (i) Operations and Maintenance Contract for SiddhirganjPeaking Power Project (single contract), Identification # O&M S 01
ITA 1.1 ICB name and number are: O&M Contractor for Siddhirganj Peaking Power Project. Number # 01
ITA 2.1 The name of the Borrower is: Government of the Peoples Republic of Bangladesh
ITA 2.1 The name of the Project is: Siddhirganj Peaking Power Plant Project
ITA 4.1 (i) The parties in a JV shall be jointly and severally liable.
(ii) Maximum number of partners in the JV shall be: three (3)
ITA 4.6 The electronic address of firms debarred by the Bank is:http://www.worldbank.org/debarr.
B. Contents of the Prequalification Document
ITA 7.1 For clarification purposes, the Employer's address is:
Electricity Generation Company of Bangladesh BTMC Bhaban (8 th level)7-9 Kawran Bazar, Dhaka -1215
Bangladesh
Attention: Attn: Mr. Kazi Nazrul IslamCompany Secretary
Address: BTMC Bhaban (8 th level)7-9 Kawran Bazar
City: Dhaka
ZIP Code: 1215
Country: Bangladesh
Telephone: 880 - 2 - 812 4197, 911 6382
Facsimile number: 880 2 911 8345
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Electronic mail address: [email protected]
C. Preparation of Applications
ITA 10.1 The language of the application as well as of all correspondence is: English .
ITA 11.1 (d) The Applicant shall submit with its application, the following additional documents: Not required
ITA 15.2 In addition to the original, the number of copies to be submitted with th e applicationis: four (4) along with soft copy in compact disc
D. Submission of Applications
ITA 17.1 Applicants shall not have the option of submitting their applications electronically.
If electronic submission of applications shall be permitted, the electronic applicationsubmission procedures shall be: Not applicable
For application submission purposes only, the Employer's address is:
Electricity Generation Company of Bangladesh BTMC Bhaban (8th level)7-9 Kawran Bazar, Dhaka -1215
Bangladesh
Attention: Mr. Kazi Nazrul IslamCompany SEcretary
Address: BTMC Bhaban (8th level)7-9 Kawran Bazar
City: DhakaZIP Code: 1215Country: BangladeshTelephone: 880 - 2 - 812 4197, 911 6382Facsimile number: 880 2 911 8345Electronic mail address: [email protected]
The deadline for application submission is:
Date: 18 December 2007
Time: 14:00 hours (GMT + 6:00) local time
ITA 18.1 Late applications will be returned unopened to the Applicants.
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ITA 19.1 If electronic submission of applications shall be permitted, electronic applicationopening procedures are: Not applicable
E. Procedures for Evaluation of ApplicationsITA 23.1 A margin of preference shall not apply for eligible domestic bidders.
ITA 24.2 At this time the Employer does not intend to execute certain specific parts of thePhysical service by subcontractors selected in advance (Nominated Subcontractors).
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Section III. Qualification Criteria andRequirements
Contents
1. Eligibility.................................................................................................................................. 19 2. Historical Contract Non-Performance.................................................................................. 20 3. Financial Situation .................................................................................................................. 21 4. Experience ............................................................................................................................... 22
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Eligibility and Qualification
CriteriaCompliance Requirements Documentation
Joint VentureNo. Subject Requirement Single
EntityAll
PartiesCombined
EachPartner
OnePartner
Submission
Requirements
1. Eligibility1.1 Nationali
tyNationality inaccordance withITA Sub-Clause4.2
Must meetrequirement
Existing orintendedJV mustmeetrequirement
Mustmeetrequirement
N/A Forms ELI 1.1and 1.2, withattachments
1.2 Conflictof Interest
No conflicts of interest in ITASub-Clause 4.4
Must meetrequirement
Existing orintendedJV mustmeet
requirement
Mustmeetrequirement
N/A ApplicationSubmissionForm
1.3 BankIneligibility
Not having beendeclaredineligible by theBank, asdescribed in ITASub-Clause 4.6
Must meetrequirement
ExistingJV mustmeetrequirement
Mustmeetrequirement
N/A ApplicationSubmissionForm
1.4 GovernmentOwnedEntity
Applicantrequired to meetconditions of ITA Sub-Clause4.7
Must meetrequirement
Must meetrequirement
Mustmeetrequirement
N/A Forms ELI 1.1and 1.2, withattachments
1.5 UnitedNationsresolution orBorrowerscountrylaw
Not having beenexcluded as aresult of theBorrowerscountry laws orofficialregulations, orby an act of compliance withUN SecurityCouncilresolution, inaccordance with
ITA 4.10
Must meetrequirement
Must meetrequirement
Mustmeetrequirement
N/A Forms ELI 1.1and 1.2, withattachments
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Eligibility and Qualification
CriteriaCompliance Requirements Documentation
Joint VentureNo. Subject Requirement Single
EntityAll
PartiesCombined
EachPartner
OnePartner
Submission
Requirements
2. Historical Contract Non-Performance2.1 History
of Non-PerformingContracts
Non-performance of a contractdid not occurwithin the lastfive (5) yearsprior to thedeadline forapplicationsubmissionbased on all
information onfully settleddisputes orlitigation. Afully settleddispute orlitigation is onethat has beenresolved inaccordance withthe DisputeResolutionMechanism
under therespectivecontract andwhere all appealinstancesavailable to theapplicant havebeen exhausted.
Must meetrequirement by itself or aspartner topast orexistingJV
N/A Mustmeetrequirement byitself oras partnerto past orexistingJV
N/A Form CON-2
2.2 Failure toSignContract
Not being underexecution of aBid SecuringDeclarationpursuant to Sub-
Clause 4.8 fortwo (2) years
Must meetrequirement
Must meetrequirement
Mustmeetrequirement
N/A ApplicationSubmissionForm
2.3 PendingLitigation
All pendinglitigation shall intotal notrepresent morethan 20%,(twenty percent) of theApplicants networth and shallbe treated asresolved against
the Applicant
Must meetrequirement by itself or as apartner topast orexistingJV
N/A Mustmeetrequirement byitself oras apartner topast orexistingJV
N/A Form CON 2
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Eligibility and Qualification
CriteriaCompliance Requirements Documentation
Joint VentureNo. Subject Requirement Single
EntityAll
PartiesCombined
EachPartner
OnePartner
Submission
Requirements
3. Financial Situation3.1 Financial
Performance
Submission of audited balancesheets or if notrequired by thelaw of theApplicantscountry, otherfinancialstatementsacceptable to the
Employer, forthe last five (5)years todemonstrate:
Must meetrequirement
N/A Mustmeetrequirement
N/A Form FIN 3.1with attachments
(a) the currentsoundness of theapplicantsfinancialposition and itsprospective longtermprofitability, and
(a) Mustmeetrequirement
(a) N/A (a) Mustmeetrequirement
(a) N/A
(b) capacity to
have a cashflow6 amount of US$ 5 (five)millionequivalent
(b) Must
meetrequirement
(b) Must
meetrequirement
(b) N/A (b) N/A
3.2 AverageAnnualTurnover
Minimumaverage annualturnover of US$10 (ten) million,calculated astotal certifiedpaymentsreceived for
contracts inprogress orcompleted,within the lastfive (5) years,
Must meetrequirement
Must meetrequirement
Mustmeet25%,(twentyfivepercent)of therequireme
nt
Must meet50%, (fiftypercent) of therequirement
Form FIN 3.2
6 Cash flow means net profit + depreciation loan repayments increase in working capital
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Eligibility and Qualification
CriteriaCompliance Requirements Documentation
Joint VentureNo. Subject Requirement Single
EntityAll
PartiesCombined
EachPartner
OnePartner
Submission
Requirements
4. Experience4.1 General
Experience
Experienceunder O&Mcontracts tooperate andmaintain powerplants in the roleof lead O&Moperator, or leadOperations andlead
maintenancecontractorseparately, orowner cumoperator 7 for atleast the last five(5) years prior tothe applicationsubmissiondeadline.
Must meetrequirement
N/A Mustmeetrequirement
N/A Form EXP 4.1
4.2(a)
SpecificExperien
ce
Participation aslead O&M
operator, or leadOperations andleadmaintenancecontractorseparately, orowner cumoperator, in atleast two (2)contracts withinthe last ten (10)years, at leastone with a value
of at least ten(10) millionUS$ , that havebeensuccessfully andsubstantiallycompleted andthat are similarto the proposedphysical service.The similarityshall be based on
Must meetrequireme
nt
Must meetrequireme
nt
N/A Must meetrequire for
one contract(can be aspecialistsubcontractor
Form EXP 4.2(a)
7 Owner cum operator means directly holding a minimum of 26% equity stake in the project/ facility/ companyhaving such generating plant and have lead responsibility for operations and maintenance of the plant.
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Eligibility and Qualification
CriteriaCompliance Requirements Documentation
Joint VentureNo. Subject Requirement Single
EntityAll
PartiesCombined
EachPartner
OnePartner
Submission
Requirements
the physical size,complexity,methods/technology or othercharacteristics asdescribed inSection VI,Scope of Service
4.2(b)
For the above orother contractsexecuted duringthe periodstipulated in 4.2(a) above, aminimumoperatingexperience in thefollowing keyactivities: (i)operations andmaintenance of apower station of greater than 200MW capacityand at least oneunit open cyclegas turbine has acapacity of greater than 100MW, (ii)managingcommissioningand testing of similar facilitymentioned in (i),(iii) managingcontracts andemployees, (iv)conductingtraining onpower stationoperations andmaintenance onsimilar plantsand sizes. Theoperator willalso provide thesalientinformation onthe power plantduring thecontract period
Must meetrequirements
Must meetrequirements
N/A Must meetthefollowingrequirements for the keyactivitieslisted below(can be aspecialistsubcontractor) (i)operationsandmaintenanceof a powerstation of greater than200 MWcapacityand at leastone unitopen cyclegas turbinehas acapacity of greater than100 MW ,(ii)managingcommissioning andtestingmanagingcommissioning andtesting of similarfacilitymentionedin (i), (iii)conductingtraining onpowerstation
Form EXP 4.2(b)
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Eligibility and Qualification
CriteriaCompliance Requirements Documentation
Joint VentureNo. Subject Requirement Single
EntityAll
PartiesCombined
EachPartner
OnePartner
Submission
Requirements
as follows: (1)Type of planteach year, (2)availability of the plant eachyear, (3) Typesof maintenanceprovided, (4)Heat rates of theplant andefficiencyachieved, (5)yearlygeneration andspare partsconsumption, (6)commencementand completionof contract
operationsandmaintenanceon similarplants andsizes. Theoperatorwill alsoprovide thesalientinformationon thepower plantduring thecontractperiod asfollows: (1)Type of plant eachyear, (2)availabilityof the planteach year,(3) Types of maintenanceprovided,(4) Heatrates of theplant andefficiencyachieved,(5) yearlygenerationand sparepartsconsumption, (6)commencement andcompletionof contract
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Form ELI -1.1Applicant Information Form
Date: [insert day, month, year ]
ICB No. and title: [insert ICB number and title] Page [insert page number] of [insert total number] pages
Applicant's legal name:
In case of Joint Venture (JV), legal name of each partner:
Applicant's Actual or Intended country of constitution:
Applicant's actual or Intended year of constitution:
Applicant's legal address in country of constitution:
Applicant's authorized representative informationName:
Address:
Telephone/Fax numbers:
E-mail address:
Attached are copies of original documents of
Articles of Incorporation or Documents of Constitution, and documents of registration of the
legal entity named above, in accordance with ITA 4.2.(In case of JV, letter of intent to form JV or JV agreement, in accordance with ITA 4.1.
(In case of Government owned entity, documents establishing legal and financialautonomy and compliance with commercial law, in accordance with ITA 4.7.
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Form ELI -1.2
Applicant's Party Information Form
Date: ~insert day, month, yearICB No. and title: ~insert ICB number and title
Page ~insert page number of ~insert total number pagesJV applicant legal name:
Applicant's Party legal name:
Applicant's Party country of registration:
Applicant Party's year of constitution:
Applicant Party's legal address in country of constitution:
Applicant Party's authorized representative informationName:
Address:
Telephone/Fax numbers:
E-mail address:
Attached are copies of original documents of
(Articles of Incorporation or Documents of Constitution, and Registration Documents of the legal entity named above, in accordance with ITA 4.2.
In case of a Government owned entity, documents establishing legal and financialautonomy and compliance with commercial law, in accordance with ITA 4.7.
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Form CON 2
Historical Contract Non-Performance
Applicants Legal Name: [insert full name]Date: [insert day, month, year]
Joint Venture Party Legal Name:[insert full name]ICB No. and title: [insert ICB number and title]
Page [insert page number] of [insert total number] pages
Non-Performing Contracts in accordance with Section III, Qualification Criteria and
Requirements
(Contract non-performance did not occur during the five (5) years specified in Section III,
Qualification Criteria and Requirements, Sub-Factor 2.1.(Contract(s) not performed during the five (5) years specified in Section III, QualificationCriteria and Requirements, requirement 2.1
Year Nonperformedportion of contract
Contract Identification Total ContractAmount (current
value, US$equivalent)
[insertyear]
[insert amount and percentage]
Contract Identification:
Name of Employer:
Address of Employer:
Reason(s) for non performance:
[insert amount]
Pending Litigation, in accordance with Section III, Qualification Criteria and Requirements
No pending litigation in accordance with Section III, Qualification Criteria and Requirements,Sub-Factor 2.2..
Pending litigation in accordance with Section III, Qualification Criteria and Requirements, Sub-Factor 2.2 as indicated below.
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Year Outcome as
Percentageof Total
Assets
Contract Identification Total ContractAmount
(current value,
US$equivalent)[insert
year][insert
percentage]Contract Identification:Name of Employer:Address of Employer:Matter in dispute:
[insert amount]
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Form FIN 3.1
Financial Situation
Applicants Legal Name: Date: [insert day, month, year]Applicants Party Legal Name :[insert full name]ICB No. and title: [insert ICB number and title]
Page [insert page number] of [insert total number] pages
1. Financial dataFinancial information in(US$ equivalent in 000s)
Historic information for previous five (5) years(US$ equivalent in 000s)
Year 1 Year 2 Year 3 Year4 Year 5
Information from Balance Sheet
Total Assets (TA)
Total Liabilities (TL)
Net Worth (NW)
Current Assets (CA)
Current Liabilities (CL)
Information from Income Statement
Total Revenue (TR)
Profits Before Taxes (PBT)
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Form FIN - 3.2Average Annual Turnover
Applicant's/Joint Venture Partner's Legal Name: [insert full name]Date: [insert day, month, year]Applicant's Party Legal Name: [insert full name]ICB No. and title: [insert ICB number and title]
Page [insert page number] of [insert total number] pages
Annual turnover data (from O&M contract only)
Year Amount and Currency US$ equivalent
[indicate year] [insert amount and indicate currency] [insert amount in US$equiv.]
Average
AnnualTurnover *
* Average annual O&M turnover calculated as total certified payments received for work inprogress or completed, divided by the number of years specified in Section III,Qualification Criteria and Requirements, Sub-Factor 3.2.
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Form EXP - 4.1
General Experience
Applicant's/Joint Venture Partner's Legal Name: [insert full name]Date: [insert day, month, year]
Applicant JV Party Legal Name: [insert full name]ICB No. and title: [insert ICB number]
Page [insert page number] of [insert total number] pages
[Identify contracts that demonstrate continuous O&M work over the past five (5) years pursuant to Section III, Qualification Criteria and Requirements, Sub-Factor 4.1.List contracts chronologically, according to their commencement (starting) dates.]
StartingMonth /
Year
EndingMonth /
Year
Contract Identification Role of Applicant
[indicatemonth/ year]
[indicatemonth/ year]
Contract name:Brief Description of the Physical Servicesperformed by theApplicant:Amount of contract:Name of Employer:
Address:
Contract name:Brief Description of the Physical Servicesperformed by the Applicant: Amount of contract:Name of Employer:
Address:
Contract name:Brief Description of the Physical Servicesperformed by the Applicant:Amount of contract:Name of Employer:
Address:
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Form EXP - 4.2(a)
Similar Experience
Applicant's/Joint Venture Partner's Legal Name: [insert full name]Date: [insert day, month, year]
JV Party Name: [insert full name]ICB No. and title: [insert ICB number and title]
Page [insert page number] of [insert total number] pages
Similar Contract No.[insert number] of [insert number of similar contracts required]
Information
Contract Identification
Award date
Completion date
Role in Contract Lead O&MOperator
LeadOperations/Mainten
ance contractor
Owner cumoperator
Total Contract Amount [insert total contract amount inlocal currency]
US$ [insert total contract amount in US$equivalent]
If partner in a JV, or subcontractor,specify participation in totalcontract amount
insert a percentage
amount]
insert totalcontract amount in
local currency]
[insert total contract amount in US$equivalent]
Employer's Name:Address:
Telephone/fax number:
E-mail:
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Form EXP - 4.2(a) (cont.)Similar Experience (cont.)
Similar Contract No.[insert number] of [insert number of similar contracts required]
Information
Description of the similarity inaccordance with Sub-Factor 4.2(a)of Section III:
1. Amount[insert amount in US$ in words and inFigures]
2. Physical size[insert physical size of activities]
3. Complexity
[insert description of complexity]
4. Methods/Technology[insert specific aspects of the methods/technologyinvolved in the contract]
5. Other Characteristics[insert other characteristics as described in Section V,Scope of Works]
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Form EXP - 4.2(b)
Experience in Key Activities
Applicant's Legal Name: [insert full name]Date: [insert day, month, year]
Applicant's Party Legal Name: [insert full name]Nominated Subcontractor's Legal Name (as per ITA 24.2): [insert full name]
ICB No. and title: [insert ICB number and title]
Page [insert page number] of [insert total number]pages
All Subcontractors for key activities must complete the information in this form as per ITA
24.2 and Section III, Qualification Criteria and Requirements, Sub-Factor 4.2.
1. Key Activity No One: [insert brief description of the Activity, emphasizing itsspecificity]
Information
Contract Identification
Award date
Completion date
Role in Contract Lead O&MOperator
Lead Operations/ Maintenance
contractorseparately
Owner cumoperator
Total Contract Amount [insert total contract amount inlocal currency]US$ [insert Totalcontract amount in US$equivalent]
If party in a JV, specify participationof total contract amount
[insert a percentage
amount
[insert totalcontract amount
in local currency]
[insert totalcontract amount
in US$equivalent]
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Information
Employers Name:
Address:
Telephone/fax number:
E-mail:
2. Activity No Two
3.
Information
Description of the key activities inaccordance with Sub-Factor 4.2(b) of Section III:
[insert response to inquiry indicated in left column]
In addition to above description for each service, the Applicant must provide documentaryevidence in respect of such service and contract. The documentary evidence may be thecertificate of the performance of the contractor certified by the owner and then notarized orattested by any authorized officer of Bangladesh embassy/ high commission located in thatcountry and the relevant pages of the contract under which the services were/are performed.
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Section VI. Scope of Service
Contents
1. Description of the Service (indicative) .................................................................................. 43 2. Operation and Maintenance Period ...................................................................................... 52 3. Site and Other Data ................................................................................................................ 53
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1. Description of the Service (indicative)1.1 Project Background
(a) The government of Bangladesh has formed Electricity Generation Company of
Bangladesh (EGCB), a wholly owned power generation company of the BangladeshPower Development Board (BPDB) with the objective of setting up generating assets tomeet the electricity deficit in the country of Bangladesh.
(b) EGCB is currently mandated to develop 2 x 120 MW (power station A), 2 x 150 MW(power station B) peaking power stations in Siddhirganj site and 1 x 360 MW base loadpower stations in Haripur site. The Asian Development Bank (ADB) is financing the 2x 120 MW power plants and in this respect a loan agreement has been executedbetween the government of Bangladesh and ADB. The World Bank (WB) and JapanBank of International Cooperation plan to finance 2 x 150 MW and 1 x 360 MW powerplants respectively and execution of loan agreements are expected shortly.
(c) The procurement of 2 x 120 MW power plants is in advanced stage and theengineering, procurement and construction (EPC) contract has already been signed withBharat Heavy Electricals Limited and the EPC contractor has started the demolition of the existing thermal power station (currently producing 30 MW) from May 2007.
1.2 Objectives of O&M Contracting
The aims of engagement of an O&M contractor are to:
(a) operate and maintain the power plants in a prudent manner in order to fulfill theobligations of EGCB under the power purchase agreement (PPA) between EGCB andBPDB and the gas supply agreement (GSA) between EGCB and Titas GasTransmission and Distribution Company limited (TGTDCL);
(b) train the employees of EGCB during the O&M contracting period and apply bestpractices so that EGCB can maintain their power plants in the same prudent manner;and
(c) develop and set best practices of managing power generation in EGCB.
1.3 General Description
The 2 x 120 MW (power station A) and 2 x 150 MW (power station B) power stations atSiddhirganj site will be operated and maintained by a suitably qualified firm or joint venture(JV)which will operate and maintain the power stations. EGCB shall award a contract to thequalified bidder that submits the lowest bid. The scope of work, which will be covered by thisOperation and Maintenance Agreement, is as follows:
1.4 General scope
(a) Mobilisation of competent and skilled staff to attend the design reviews andcommissioning of the Power stations (as far as these have not been completed at timeof award) comprised under the engineering, procurement and construction (EPC)
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contract, and to put in place the infrastructure for the operating services andmaintenance activity.
(b) Providing competent and skilled staff and other resources to perform the specifiedO&M services of the power stations on successful completion of the performance
testing required under the EPC contract.
(c) Operating and maintaining the power stations along with the personnel of the EGCBin a manner such as to maximise the efficiency, output, availability and startingreliability of the power stations.
(d) Supervising LTSA for both power stations.
(e) Conducting classroom and on-the-job training of EGCBs personnel on an ongoingbasis.
1.5 General services to be providedThe Operators services during the period of the O&M contract should be aimed at ensuringmaximization of unrestricted and uninterrupted operation and maintenance of the powerstations. The scope of work should inter alia include, but is not restricted to the following:
(a) Providing assistance to EGCB in establishing contracts for the supplies and servicesrequired for the power stations.
(b) Undertaking all required statutory inspections and tests.
(c) Providing proper and adequate training for all personnel in all relevant disciplines andactivities for the operation, maintenance and management of the power stations.
1.6 Mobilization services
The scope of mobilization services for each power station is to:
(a) Review, comment and submit written report to EGCB, not less than 90 days prior toCommercial Operations Date, on any aspects of plant supply, construction andrecommended spares holdings, which could adversely impact upon safe, reliable andefficient maintenance and operation of the power stations.
(b) Not less than 90 days prior to Commercial Operations Date make comment on and, if necessary, amend operation and maintenance manuals, drawings, plant schedules andall other documentation called for under the EPC contract which are relevant to plantmaintenance and operation.
(c) Participate in joint commissioning work, witnessing tests on behalf of EGCB, makingrecommendations based on data related to plant acceptance or commercial operation.
(d) Assist EGCB in the staff selection process and participate in joint evaluation of theselected personnel as and when required by EGCB.
(e) Prepare operation and maintenance instructions and maintenance schedules for thecontract period of the O&M Agreement to a standard which will give the essential
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guidance to ensure that the plant is operated and maintained in such a way that theEPC contractors warranty requirements will be met and submit these to EGCB notless than 60 days prior to Commercial Operations Date.
(f) Prepare and submit to EGCB for approval, not less than 60 days prior to Commercial
Operations Date, the following Standing Instructions and Procedures to a standardwhich will give the essential guidance necessary to ensure that the Power Station isoperated and maintained in a safe and efficient way:
(i) Operating procedures which give effect to the manufacturers' instructions;
(ii) Maintenance procedures which give effect to the manufacturers' instructions;
(iii) Administration procedures, including budgetary control and human resources;
(iv) Performance monitoring procedures;
(v) Planned maintenance procedures;
(vi) Emergency procedures;
(vii) Emergency recovery plan;
(viii) Stock holding policies to support the availability requirements of the powerstations;
(ix) Procurement procedures; and
(x) Fuel management procedures.
(g) Prepare and implement from a date to be agreed a safety control system (rules andregulations) which will meet the requirements of health and safety regulations andgood industry practice and also for the sake of safe/ uninterrupted/ reliable operationof the machinery of the plant and safety of O&M personnel and the public as well.
(h) Start the setting up of site stores in the mobilization phase and complete it within 60days of the COD at the storage facility to be provided pursuant to the EPC contractwhich will contain in an orderly system spares and consumables as stipulated andprovided for under the EPC contract and stock the stores with all other items
identified by the Operator and agreed with EGCB to be necessary to operate andmaintain the power stations.
(i) Establish, not less than 60 days prior to the COD ,work management, technicalrecord, stores management, personnel, financial, environmental, safety and generaladministration systems in accordance with good industry practice and therequirements of the PPA and to a specification and programme agreed with EGCB.
(j) Set up site security, site grounds, buildings and general facilities maintenancecapability and general housekeeping arrangements not less than 30 days prior toCommercial Operations Date.
(k) Seek to establish with the site staff a site culture which will produce high staff
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productivity and good industrial relations.
(l) Prepare, not less than 30 days prior to the COD, a Site environmental managementprogramme which will adequately meet EGCB's requirements and will demonstratecompetence and care for the environment.
(m) Cooperate fully in the establishment of procedures for coordination of relationshipswith EGCB, the local authority and the other parties to the project contracts.
(n) Assist fully EGCB in development of working arrangements for the GSA
1.7 Operation services
During the operational period the Operator shall provide the following services to support theefficient and safe operation and maintenance of the power stations.
(a)
Operating and maintaining the power stations and the site to the requirements of, theinstructions prepared as required in Section 1.6 above, and, the EPC during thewarranty period after Commercial Operation Date (COD) and in a manner consistentwith the approved operating plan and maintenance programme in respect of therelevant calendar year.
(b) Ensuring that the Standing Procedures are in compliance with the requirements of thePPA.
(c) Undertaking periodic capacity demonstration tests on behalf of the EGCB to fulfillEGCBs obligations under the PPA and reporting results to EGCB in the nextmonthly report excluding the case of the capacity demonstration test under the PPAwhich will require reporting as per the PPA timeline.
(d) Maintaining operating instructions for the power station and operating the Site inaccordance with their requirements.
(e) Assisting EGCB in making Availability Declarations and submitting invoices underthe PPA and
(f) Assisting the EGCB in making nomination and declarations under the GSA.
(g) Carrying out the Dispatch Instructions in accordance with the principles set out in thePPA.
(h) On behalf of EGCB, conducting or attending and witnessing the reading and testing of the Meters required or permitted to be carried out or conducted pursuant to the PPAand where any such tests reveal the need for any such meter to be recalibrated (in thecase of EGCB's Meters) arranging for such recalibration and (in the case of any othermeter) witnessing such recalibration, in either case in accordance with the applicableprovisions of the PPA.
(i) Recommending to EGCB any remedial action which the Operator considers necessaryto maintain or improve performance or to correct any deficiencies revealed duringplant operation or arising from inspection or analysis of test results, provided that,such remedial action does not arise out of, or is not the outcome of the inappropriate
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actions or inactions of the Operator.
(j) Carrying out all planning and organisation of maintenance activities.
(k) Preparing, submitting and agreeing on an annual operating plan and Budget with
EGCB for each power station.(l) Being responsible for organising and managing such contracted and subcontracted
maintenance, repair and testing services as shall be required to carry out scheduledinspections, overhauls and major breakdown repairs including the statutory overhaulsand specifying the work, arranging the tendering process and letting and supervisingthe contract so as to achieve contract completion to best time, price, value for moneyand standards.
(m) Setting up and implementing a computer-based stock control system, and, controllingthe stores stock with a view to ensuring that plant performance is not jeopardized by
lack of spares availability.(n) Maintaining operational logs, operational and maintenance records and a register of
plant items and storing all records relevant to availability for the term of theagreement.
(o) Maintaining accounts, books, records and information systems relating to theoperation and performance of the Power stations including running hours and numberof starts, trips available to the EGCB on reasonable notice.
(p) Operating personnel policies in relation to operation and maintenance throughout theterm of the O&M contract.
(q) Supplying safety systems including personnel protective equipment (PPE) (such assafety shoes, safety helmet, safety goggles, ear defender, face mask, hand gloves, etc.)with a view to compliance with applicable laws, and maintaining of high safetyperformance and of an acceptable safety record.
(r) Keeping staff aware of and trained in fire, first-aid and emergency procedures,maintaining adequate site based first aid and fire fighting facilities and securing asthey become available any offsite emergency services.
(s) Maintaining the security of the site.
(t) Operating housekeeping and environmental care procedures.
(u) Promoting good relations with the local community and with relevant local authoritiesand agreeing with EGCB in a programme of community relations.
(v) Presenting a public profile of care for the environment by responsible management of all activities and reporting environmental performance to the authorities as requiredby the license or any relevant Consents on behalf of EGCB
(w) Providing the EGCB with the reports and information.
(x) Running administrative systems which will provide accurate records of fuel, power
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supplied, efficiency, plant records, stores, salaries, contracts and other administrativematters as required.
(y) Operating a comprehensive financial control system
(z)
Attending at meetings with EGCB and such other persons as EGCB may specify fromtime to time on reasonable advanced notice.
(aa) Maintaining staff training in all aspects of plant operation and conducting regularsafety training in order to create awareness among the O&M personnel of health andsafety related issues.
(bb) Updating the "as built" drawings considered as significant by the Operator for theoperation and maintenance of the power station as the same are modified.
1.8 Maintenance services
During the operational period the Operator shall provide the following services to support theefficient and safe operation and maintenance of the Power stations, subject to maintaininginstructions (if any) of the EPC during the warranty period:
(a) Routine periodic and visual inspection of the Power stations.
(b) Routine periodic testing of the power stations, including non-destructive testing.
(c) Routine scheduled and non-scheduled repairs and emergency repairs.
(d) Carrying out combustion inspection, hot gas path inspection, major inspection andmajor overhauling work according to manufacturers guidelines/ instructions of eachgas turbine (GT) unit in power stations.
(e) Preparing the inventory list of GT spares and other consumables after technical auditfor routine, preventive and major maintenance work.
(f) Ensuring availability of spares (supplied by EGCB) required for all maintenance work to be carried out as stated in (d) above.
(g) Replacement of parts and repairs of leaks and defects.
(h) Routine testing of safety systems.
(i) Housekeeping of the power stations and site.
(j) Keeping maintenance records of the generating equipment, control and protectionequipment at the Power stations which records shall be available to EGCB forinspection at all reasonable times.
(k) Maintaining a register of all equipment subject to statutory inspection includingrecords of all test dates and results of tests on each such equipment.
(l)
Maintaining a Power stations status report, which shall be updated at regular intervalsin which the current condition of all major items of the Power stations is recorded
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together with proposals and timing of major repair work and cost estimates.
(m) Reporting to EGCB with adequate notice those items and/or conditions necessary forinternal planning by EGCB and compliance with EGCB's guidelines in effect fromtime to time.
(n) Preparing and submitting for EGCB's approval the annual operating plan, detailing themaintenance envisaged for the specific agreement year, in accordance with theanticipated operating regime specified by EGCB.
(o) Establishing and operating a maintenance work control system and "permit to work"system approved by EGCB.
(p) Establishing and operating a stores and spares inventory and requisition systemapproved by EGCB.
(q)
Establishing and operating an approved sub-vendor control and supervision system.(r) Establishing and operating a system approved by EGCB for a review and updating the
operating and maintenance manuals for the power stations and for marking upchanges to as-built drawings, resulting from work carried out by the Operator.
1.9 Environmental compliance
The Operator shall commit to addressing environmental issues at the new Power stations site,in accordance with the Environmental Impact Assessment (EIA), all National EnvironmentalLegislation and good practice adopted by the international petrochemical industry and anycorporate guidelines of the Operator. The Operator shall:
(a) review the environmental design factors and concepts;
(b) employ an experienced Health, Safety and Environmental Manager in line with theimportance attached to the environmental protection;
(c) monitor exhaust emissions, noise and effluent of GT units in a scheduled manner andensure that they are in acceptable limit as per the EIA and environmental guidelines of Department of Environment;
(d) assist EGCB in maintaining environmental permit and renewing such permit fromtime to time as per statutory requirement; and
(e) make aware of the environmental interfaces of the plant among the O&M teammembers and maintain an overview of the operating and maintenance process andpractices as well as direct control of site environmental matters.
1.10 Supply of O&M Personnel
(a) The Operator shall have the full responsibility for the operation and maintenance of power station A and power station B during the contract period (as specified in thenext Section 2).
(b) The O&M personnel will consists of employees of the Operator and the employees of
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EGCB and all employees will work under the guidance, supervision and control of theOperator during the contract period.
(c) EGCB has a plan to supply approximately 75% of the total staff required for theoperation and maintenance of each power station in the first year of the contract and
this fraction will increase progressively throughout the duration of the contract,reaching full complement minus a small number at each power station at the end of the contract. The indicative plan of reducing Operators staff and increasing EGCBsstaff is shown below:
Human Resources Year 1 Year 3-5 Year 6
Operators key staff 25% X% 10%
EGCB staff 75% Y% 90%
Total staff 100% 100% 100%
(d) During the mobilization phase, the Operator will select the O&M personnel of EGCBfrom a list of available O&M personnel pre-selected by EGCB. The salary and otherbenefits of EGCB employees will be borne by EGCB.
1.11 Training of EGCB Employees
(a) The Operator shall prepare appropriate training modules for the EGCB
employees and provide continuous training from the mobilization phase to tillthe end of the contract period. There would primarily be two types of training:on-the-job training and the class room training. All class room trainings willbe conducted in Bangladesh.
(b) The indicative primary areas of training are listed below:
(i) Training on technical areas of plant operation and the philosophy of safe operation and familiarity of different parts of the power plants atleast thrice in a year for each power station separately;
(ii) Training on preventive, schedule and breakdown maintenance alongwith trouble shooting techniques at least two times in a year for eachpower station separately;
(iii) Training on safety management, quality management, andenvironmental management at least once in a year together for bothpower stations;
(iv) Training on managing stores, inventories and spares at least once in ayear together for both power stations;
(v) Training on commercial agreements at least once in a year together forboth power stations.
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(c) Training shall be judged effective on each area if the employees can handlethe relevant matters independently after completing three training courses onthe same topics.
1.12 Facilities to be provided by EGCB
(a) EGCB will provide office spaces in the plant site for O&M personnel of theOperator.
(b) EGCB may provide to the Operator the computers, printers, photocopiers, faxmachine, land telephones, office furniture and fixture and other officeequipment.
(c) EGCB may provide any residential accommodation for any staff of theOperator in the premises of EGCB staff colony.
(d)
EGCB will not provide any transport facility to any staff of the Operatorduring the contract period.
1.13 Compensation Structure
(a) The compensation package for the Operator consists of two components: (i)Mobilisation fee and (ii) Management fee. In the bidding phase, the Operatorwill have to quote Mobilisation fee and Management fee separately for eachpower station. For rendering services in the Mobilisation phase, the paymentwill be linked with specific milestones and paid as percentage of the quotedlump sum price for Mobilisation fee, subject to fulfilling the milestones. Forrendering services in the operation phase, the payment will be made quarterlybased on output performance measured within that quarter.
(b) Mobilisation fee and Management fee include the remuneration of theemployees of the Operator (other than the employees of EGCB as per Sections1.10(c) and 1.10(d)), traveling cost between Bangladesh and the place of theOperators head office located outside Bangladesh, overhead costs, profits,insurance costs and other similar costs including taxes and value added tax(VAT), etc.
(c) The Operator shall not consider any such costs which are paid by the Operatoron behalf of EGCB through a budget approved and provided by EGCB. Thecosts which are involved with the procurement of spare parts, consumables,office equipment and stationeries, etc will fall under this category. The detailsof such lists and items will be provided in the bidding document.
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2. Operation and Maintenance Period
2.1
The Operator shall be engaged through an O&M contract and the Contract shall beeffective six months before the commercial operations date of the first unit of powerstation A and continue 6 th anniversary of the commercial operations date of thesecond unit of the power station B.
2.2 The first unit of the power station A is expected to achieve commercial operation datebetween August and October 2008. The power station B may be operational one yearafter that period.
2.3 After completion of 6 th anniversary of commercial operations date of the second unitof power station A, the Operator shall withdraw its manpower from the power station
A and continue to operate only the power station B until the 6th
anniversary of thesecond unit of the power station B is completed.
2.4 The graphical presentation of indicative contract timeline is given below:
Start of MobilizationPhase for PS A
COD of 1 st and 2 nd Units of PS A
6 months 6 years
End of contractperiod for PS A
Start of MobilizationPhase for PS B
End of contractperiod for PS B
6 years
Notes:PS A stands for Power Station A (2 x 120 MW)PS B stands for Power Station B (2 x 150 MW)
COD stands for Commercial Operations Date
6 months
COD of 1 st and 2 nd Units of PS B
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3. Site and Other Data3.1 Siddhirganj peaking power project is located on the right bank of Sitalakhshya River, in
the district of Narayanganj; approximately 35 km from the Zia International airport and
20 km from the Dhaka city center. Siddhirganj is connected by road from Dhaka and itis the most convenient form of travel to Siddhirganj project site. Narayanganj Railwaystation is 5 km from this power station.
3.2 Total installed capacity of power station A is 240 MW. Power station A consists of 2 x120 MW units supplied by Bharat Heavy Electricals Limited (BHEL), will becommissioned between August and October in 2008. The appointment of ownersengineer for the power station B is in advance stage and it is expected that the projectwill be commissioned in the last quarter of 2009.
3.3 EGCB will have contract with BPDB to sell electricity from these power stations. The
power plants will run on natural gas supplied by Titas Gas Transmission andDistribution Company limited (TGTDCL) from the nearest gas field which isapproximately 85 km long from the power station site. Currently, there is gas pipe linefeeding the existing power station can be used to feed gas the power station A.However, an augmentation programme will be taken up along with this project to alsoupgrade the gas pipe line system to feed the power station B. EGCB will also have a gassupply agreement with TGTDCL.
3.4 The power station will be connected to the grid by 132 kV (for power station A) / 230 kV (for power station B) transmission lines through a switchyard. The 132 kV/ 230 kV grid substation is connected to Ullan and Maniknagar substation which feed
power to Dhaka city and has also some 33 kV feeders supplying power to Narayanganjarea and local area.
3.5 The power station A is being financed by the Asian Development Bank (ADB) whilepower station B will be financed by the International Development Association (IDA).Funds from ADB have been tied up while funds from IDA are expected to besanctioned by September 2007.
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