NOTICE INVITING TENDER (NIT) Notice No. WAP/P/TH/ZIM/2014/ Provision of Specialist Consultancy Services for Hwange Stages I & II Plant Improvement at Hwange Power Station (HPS). Sub: Notice of Invitation for an Agency/Associate to assist WAPCOS for “Provision of Specialist Consultancy Services for Hwange Stages I & II Plant Improvement at Hwange Power Station (HPS) in Zimbabwe”. 1.0 INTRODUCTION WAPCOS LIMITED is Project Management Consultant for “Provision of Specialist Consultancy Services for Hwange Stages I & II Plant Improvement at Hwange Power Station”. In this context, WAPCOS Limited intends to engage associate company having experts having expertise in similar nature of work for the scope of work as given in Clause – 4. The company should also be capable for providing local experts from Zimbabwe as an associate/joint venture. 2.0 PROJECT DESCRIPTION ZIMBABWE is land locked country located in the South Central part of Africa. Hwange Thermal Power Station, in the North West of Zimbabwe, is about 800 Kms away from Harare, the capital of Zimbabwe and about 100 Kms from Victoria Falls. The power station was constructed in two stages. Stage 1 comprising 4x120 MW units was completed in 1986 and Stage 2 comprising 2x220 MW units was completed in 1987-88. Hwange Power Station is connected to the national grid through three 330 KV, 720 MW thermally rated transmission lines. Two transmission lines evacuate generated power to the country major substation situation in central region of Zimbabwe. Zimbabwe Power Company (ZPC) a subsidiary of Zimbabwe Electricity Supply Authority (ZESA) Holdings responsible for generation of electricity in Zimbabwe & operates a 920 MW pit head Coal Fired Thermal Power Station at Hwange. Hwange Power Station Plant Improvement and Life Extension Project - Zimbabwe Power Company intends to rehabilitate and upgrade the existing coal fired power station. The work shall include the implementation of findings of the plant improvement study carried out on stage one units, and stage 2 turbines. The studies did not include stage 2 boilers, their associate auxiliaries and balance of plant. NIT-RLA-ZIM Page 1 The desired outcome of the project is as follows: Increasing current generating capacity of stage 1 units, increase the availability of the units to optimum and extend the life of the plant by a further 20 years. The plant improvement study shall be extended to cover stage 2 units, i.e. the two boilers, their balance of plant, and the associated auxiliaries and integrating the outcome of the study carried out on the turbines. The desired outcome shall be: increasing the current output and extending life by 20 years, and improving the plant availability to 85 to 90%. 3.0 Modernizing the existing Hwange Power Station in the process. PROJECT DURATION/COMPLETION The completion period for the service shall be 31 months from the date of signing of the contract and it is broken as follow: a. Phase I: Preparation of the Feasibility Report and Tendering Stage (7 months) b. Phase II : Design Review, Project Management and Site Supervision (24 months) 4.0 SCOPE OF WORK The “Associate” shall assist WAPCOS Limited (The Client) in the following scope of work under the following two phases: 1) Phase I: Preparation of the Feasibility Report and Tendering Stage 2) Phase II: Design Review, Project Management and Site Supervision 4.1 Phase I : Preparation of Feasibility Report and Tendering Stage : A. Feasibility studies and EPC Proposal Phase. 1. Inception phase 2. Review of user requirements specifications 3. Review of the available plant improvement and life extension studies. 4. Performance Improvement Studies of boilers of Stage-II, Hwange TPS 5. Review of coal supply chain 6. Preparation of Plant Conceptual Design 7. Environmental Impact Assessment 8. Review of project agreements 9. Project cost computation 10. Economic and Financial Assessment 11. Preparation of proposal 12. Reporting and Documentation NIT-RLA-ZIM Page 2 4.2 Phase II : Design Review, Project Management and Site Supervision A. Design review & Project Management 1. General works including creation of site office, checking/review of designs/drawings etc. 2. Project Management 3. Review of Supplier’s Design 4. Review of Contractor’s Assurance Quality Procedures 5. Arranging Design review meetings 6. Arranging shop inspection and witnessing of testing process. B. Site supervision 1. Field Supervision Services 2. Site Quality Control 3. Site material control 4. Construction supervision services 5. Cost control 6. Commisioning and Testing 7. Completion and Guarantee Performance Tests 8. End of manufacture report 9. Reporting 10. As built drawings 11. Project completion report C. The “Associate” shall provide following man-power to WAPCOS for a period of 31 months on the following positions: 1) For Phase I: Preparation of the Feasibility Report and Tendering Stage: a) Project Director b) BOP Expert c) NDT Expert 2) For Phase II: Design Review, Project Management and Site Supervision a) Project Director b) Mechanical Engineer c) Electrical Expert (local) d) Mechanical Expert (local) e) Draftsmen (local) NIT-RLA-ZIM Page 3 f) Ministerial Staff (2 nos.) (local) 5.0 QUALIFYING CRITERIA The associate should fulfil the following minimum qualifying criteria: a) Company should be registered and incorporated in India. b) Key experts should have experience in Zimbabwe for more than 1 year and Project Director/Group Leader should have more than 5 years of experience in Zimbabwe. c) Key experts and their Local associate experts should have for more than 1 year experience in Thermal Power Station in Zimbabwe. 6.0 TECHNICAL EVALUATION CRITERIA S.No. Evaluation Criteria Marks 1. Approach & Methodology adopted 30 2 Local Association/Joint venture/consortium in Zimbabwe having experience in similar nature of work. 20 Experience of following key local experts: a) Electrical Expert (Local) Educational Qualification – 2 Marks Experience in Energy/ Power Sector in Zimbabwe – 3 Marks Relevant experience of more than 10 years in Thermal Power Stations in Zimbabwe – 5 Marks 3. a) d) f) g) NIT-RLA-ZIM b) Mechanical Expert (Local) Educational Qualification – 2 Marks Experience in Energy/ Power Sector in Zimbabwe – 3 Marks Relevant experience of more than 10 years in Thermal Power Stations in Zimbabwe – 5 Marks Experience of following key experts: Project Director Educational Qualification – 2 Marks Experience in Energy/ Power Sector of 5 years in Zimbabwe – 8 Marks Relevant experience of more than 20 years in Thermal Power Stations in India and abroad – 10 Marks BOP Expert Educational Qualification – 2 Marks Experience in Energy/ Power Sector of 3 years in Zimbabwe – 3 Marks Relevant experience of more than 20 years in Thermal Power Stations in India and abroad – 5 Marks Mechanical Expert Educational Qualification – 2 Marks Experience in Energy/ Power Sector of 3 years in Zimbabwe – 3 Marks Relevant experience of more than 20 years in Thermal Power Stations in India and abroad – 5 Marks NDT Expert Educational Qualification – 2 Marks 20 10 10 10 Page 4 Experience in Energy/ Power Sector of 3 years in Zimbabwe – 3 Marks Relevant experience of more than 20 years in Thermal Power Stations in India and abroad – 5 Marks GRAND TOTAL 100 NOTE: 1. The bidder who does not meet the minimum qualifying criteria as per Clause 5.0 shall not be considered for further evaluation. 2. The bidder should score minimum 80 marks in their technical proposal for consideration. 3. The bidder should be capable of organizing any other works and shall be responsible for the completion of entire project. 7.0 AWARD CRITERIA All the tenders scoring 80% and above will be considered at par and recommended for opening of commercial (price) tender. The contract shall be awarded to the lowest bidder. 8.0 SUBMISSION OF BID The following instructions must be carefully observed by all Bidders. Quotations/tenders not strictly in accordance with these instructions will be liable to be rejected. Failure to comply with any of the instruction or to offer explanation for non-compliance is likely to render effective comparison of the tender as a whole impossible and may lead to rejection of an otherwise apparently lowest offer. The offer should comply with the followings: i. The tender must be complete in all respects ii. Conditional tenders, telegraphic, through telex, fax tenders, tenders not on prescribed forms or tenders without earnest money in the shape of "Demand Draft" shall not be accepted. iii. The tender shall be submitted in three separate parts i.e. Part-I containing the ‘Earnest Money’, Part-II containing the ‘Technical Bid’ and Part-III ‘Price Bid’. While opening the tenders, the part containing Earnest Money shall be opened first and in case the deposit of Earnest Money is in accordance with the terms of Notice inviting Tender, only then the Part-II containing the ‘Technical Bid’ shall be opened. Subject to confirmation/verification of valid Earnest Money as per NIT, the bids will be taken up for evaluation with respect to the Information submitted by the tenderers regarding ‘technical bid. NIT-RLA-ZIM Page 5 iv. The bidders shall enclose copies of their Memorandum & Articles of Association alongwith their Technical bids. The person who is signing the bid should have authorization from the company for such purpose and notarized copy of such authorization shall be attached with the Technical proposal. 9.0 LIQUIDATED DAMAGES FOR DELAY IN COMPLETION Time is an important factor of the contract. In case the contractor fails to deploy the expert timely and continuously, he shall be liable to pay the WAPCOS, as liquidated damages and not as a penalty till the contractual obligation of completion of the Project. Associate shall mobilize all experts within the period of 2 weeks from the date of signing of the contract agreement. Also they should be present throughout the period of the contract agreement till the contractual obligation of completion of the Project. The losses incurred due to delay in deployment of the experts to Zimbabwe shall be recovered from the Associate. In cases where the Services are not completed on time regarding the execution time schedule, a penalty of 1 / 1000 of the total contract amount will be applied to the Consultant per calendar day of delay, except in cases of Force Majeure confirmed by all parties or in case the delay is otherwise due to reasons not attributable to the Consultant. However, late penalties will not exceed 10% of the total contract price. Above 10% penalties, the Agreement can be terminated without further proceedings. 10.0 TERMINATION CLAUSE In case of unsatisfactory performance by the associate, WAPCOS shall be entitled to terminate the contract & get the work done at the risk and cost of the associate. 11.0 SETTLEMENT OF DISPUTES Except as otherwise specifically provided in the Contract, all disputes concerning questions of facts under the contract shall be decided by CMD, WAPCOS subject to a written appeal by the associate to CMD, WAPCOS whose decision shall be final to the parties hereto. 12.0 FORCED MAJEURE “Force majeure” means an event beyond the control of the parties and not involving the concerned party’s fault or negligence and not reasonably foreseeable in the circumstances. Such events may include, but are not limited to acts of the party in its sovereign or NIT-RLA-ZIM Page 6 contractual capacity, wars or revolutions, fires, floods, epidemics, riot, civil disorder, earthquakes, explosion or other adverse weather conditions, strikes, lockouts or other industrial actions. If force Majeure situation affecting the Associate arises, the Associate shall promptly notify WAPCOS in writing of such condition and the cause thereof. Unless otherwise directed by WAPCOS in writing, the Associate shall continue to perform its obligations under the Contract as far as it is reasonably practical, and shall seek all reasonable alternatives means for performance not prevented by Force Majeure event. 13.0 INDEMNIFICATION The associate shall indemnify and hold WAPCOS harmless from and against any claim that may arise against WAPCOS in connection with the project work. 14.0 COURT OF JURISDICTION The courts of New Delhi will have the exclusive jurisdiction in all matters. 15.0 PAYMENT TERMS The payment to the associate shall be made on back-to-back basis after receipt of corresponding payment from client. Payment shall be released to the associate against certification by the authorized representatives of WAPCOS after affecting necessary deductions if any. The payment terms are as follows: S.No. Milestone Corresponding Payment (%) Phase-I Preparation of Feasibility Report and Tendering Stage 1. Mobilisation advance of Phase-I within 15 days of the 20 % for Advance receipt of invoice (2 copies) after signing of contract Bank Guarantee against matching Advance Bank Guarantee (reducing & value) and a Performance Bond of 5% of the contract 5% for Performance price (Phase-I value) with a validity of atleast 8 (eight) Bond months plus 2 (two) months claim period. 2. Within 30 (thirty) days after Submission of Draft 25 % Feasibility Report 3. Within 30 (thirty) days after Submission of Final 15 % Feasibility Report 4. Within 30 (thirty) days after Submission of Draft 25 % Technical Specification and Tender Documents/ Drawings 5. Within 30 (thirty) days after Submission of Final 15 % NIT-RLA-ZIM Page 7 Technical Specification and Tender Documents/ Drawings Phase-II Design Review, Project Management and Site Supervision 1. Mobilization Advance payment shall be paid within 30 20 % for Advance (thirty) days after award of contract to EPC Contractor Bank Guarantee against a matching Advance Bank Guarantee (reducing & value) and a Performance Bond of 5% of the contract 5% for Performance price (Phase-II value) with a validity of atleast 25 Bond (twenty five) months plus 6 (six) months claim period. 2. Shall be paid against running bills within 30 (thirty) 80 % days of raising of invoice at end of every month for Design Review, Project Management and Site Supervision. Payments shall be made within 30 days of receipt of the invoice and within 45 days in the case of final payment after receipt of the corresponding payment from the client. 16.0 BID VALIDITY The bid should be valid for six (6) months from the date of opening of financial bid. 17.0 EARNEST MONEY DEPOSIT Bidders have to furnish Earnest Money Deposit (EMD) for INR Two (2) Lakhs in the form of demand draft drawn towards WAPCOS Ltd. payable at New Delhi. 18.0 TAXES a) WAPCOS shall reimburse all the local taxes, duties, levies, fees etc as applicable in Zimbabwe, after the receipt of corresponding reimbursement from ZPC to the Associate. b) The Associate and its personnel shall be required to file tax returns on their own if required under local laws of Zimbabwe. c) Any amount of taxes which are not reimbursed by the ZPC and/or paid by WAPCOS shall be recovered from the payments due to the Associate. d) The payment shall be made after deduction of applicable taxes, duties, levies, fee etc. as per Indian Laws except for service tax which shall be paid by WAPCOS. 19.0 PRICE BID The bidder should quote for entire scope of work. Price Bid shall be furnished in Indian Rupees including all the logistic expenses towards international travel (from Delhi-Harare- NIT-RLA-ZIM Page 8 Delhi) and accommodation at Harare. The price schedule is also enclosed at Annexure-I. The bidder should quote firm price fixed till completion of contract. 20.0 The last date and time of receipt of quotations is …………at 11:30 Hours. The tender shall be opened on the same day at 12:00 hours in presence of the bidders who may like to be present. Tenders which are not received by 11:30 hours on the closing date whether by hand or by post will be treated as late tenders and will be rejected. 21.0 Tenders which are properly addressed to WAPCOS Limited in envelopes with the advertised tender number, the closing date and tender description endorsed on the outside are not opened until 1130 hours on the closing date. 22.0 The quotations must be enclosed in sealed envelopes, endorsed on the outside with the advertised tender number, the closing date and description of tender shall be addressed to:General Manager (Power) WAPCOS LIMITED (A Government of India Undertaking) 901, 9th Floor, Kailash Building, 26 K.G. Marg, Connaught Place New Delhi-110001 Tel.: +91-11-23324562 Fax: +91-11-23324561 E-mail: [email protected] 23.0 Any tender submitted that does not fully comply with the above terms and conditions will be rejected without further consideration as will tenders received after the published closing date. 24.0 Tenders must be submitted in duplicate with original clearly marked ‘ORIGINAL’ and each copy marked ‘COPY’. 25.0 Any clarifications from the bidder should be within 7 days from the date of NIT publication in writing to the General Manager (Power) at the contact details given above. 26.0 Any neglect, delay or failure on the part of the Bidder to obtain additional information upon the above or any other matters which the bidder considers necessary shall not relieve him from responsibility as a bidder. 27.0 Bidders are required to adhere to the instructions regarding preparation and submission of tenders as those who do not comply will be disqualified. 28.0 WAPCOS reserves the right to reject any one or all of the quotations without assigning any reason. D.V.S.N Raju General Manager (Power) NIT-RLA-ZIM Page 9
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