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Himachal Pradesh

National PPP Policy 2011 - Draft for Consultation


CHAPTER VII: REQUEST FOR QUALIFICATION
Rule

Rule 60: Request for Qualification
Rule 61: Preparation of the RFQ
Rule 62: Contents of RFQ
Rule 63: Eligibility of Applicants
Rule 64: Number of applications
Rule 65: Qualifying criteria
Rule 66: Schedule of RFQ
Rule 67: Removal of Conflict of Interest
Rule 68: Opening of Applications
Rule 69: Evaluation of Applications
Rule 70: Notification of qualification
Rule 71: Registration of Potential Participants in Tender Proceedings
Rule 60: Request for Qualification
Request for Qualification Stage shall be undertaken to:
  1. make public the information on the PPP Project and the services/infrastructure that the Contracting Authority seeks to obtain;
  2. communicate the proposed timeframes and the qualification criteria;
  3. ascertain the level of interest in the PPP Project and provide an avenue through which Respondents can comment on the proposed PPP Project; and
  4. allow the Contracting Authority to qualify Applicants for the RFP Stage who are most capable of meeting project objectives over the project term.
Rule 61: Preparation of the RFQ
  1. The Project Officer shall prepare the RFQ;
  2. The Project Officer shall ensure that:
    1. the RFQ contains sufficient information to allow potential Respondents to form a view on whether they have sufficient capabilities and identify potential partners for the PPP Project; and
    2. the information requested from the Applicants is such that the Contracting Authority can qualify the Applicants.
Rule 62: Contents of RFQ
  1. The Project Officer shall adopt the Model Request for Qualification for PPP Projects in infrastructure dated May 18, 2009 issued by PF-II Section, Department of Expenditure, Ministry of Finance, as amended from time to time. The Contracting Authority shall deviate from the model documents referred in this sub-Rule only for the purpose of making the model documents suitable for a particular sector or PPP Project. All such deviations from the model tender documents shall be with the approval of PPPAC for Type I PPP Projects and relevant Approving Authority for Type II PPP Projects.
  2. The RFQ document shall contain the following:
    1. a description of the PPP Project, the estimated project cost 1 and the project structure. This section shall also have the description and schedule of the Tender Proceedings;
    2. the conditions of eligibility of Applicants, the information sought from Applicants for qualification and the form and procedure of the Application; 1 The estimated project cost shall form the basis for quantifying the financial criterias in RFQ document
    3. a description of the parameters and method of evaluating qualification of Applicants, the objective of the evaluation should be to identify Qualified Applicants that have the requisite capability to take up the PPP Project; and
    4. the criteria or conditions, if any, for the disqualification of Applicants, such as, Conflict of Interest, national security and other relevant considerations.
  3. The Contracting Authority shall seek registration of interested parties prior to the issue
  4. of the RFQ document.
Rule 63: Eligibility of Applicants
For determining the eligibility of Applicants for their qualification here under, the following shall apply:
  1. The Applicant may be a single entity or a consortium. However, no Applicant applying
  2. individually or as a member of a consortium, as the case may be, can be member of
  3. another Applicant;
  4. (b) An Applicant may be a natural person, or a private entity, or a combination thereof, or a
  5. combination with a government owned entity (provided that such government owned
  6. entity(ies) do not have a controlling interest in such combination) with a formal intent
  7. to enter into an agreement or under an existing agreement to form a consortium.
Rule 64: Number of applications
No Applicant shall submit more than one Application for the PPP Project. An Applicant applying individually or as a member of a consortium shall not be entitled to submit more than one application either individually or as a member of any consortium, as the case may be.
Rule 65: Qualifying criteria
  1. The qualifying criteria used by the Contracting Authority to evaluate the responses to the RFQ shall be objective, equitable, unambiguous, and shall be clearly stated in the RFQ.
  2. The qualifying criteria shall cover the following aspects of the Applicant:
    1. The Applicants experience and track record in delivering projects of similar nature:
    2. The Applicantss ability to deliver against the physical aspects of the PPP Project and, importantly, its ability and track record in delivering services under longterm contractual arrangements. Criteria for evaluation of experience shall be defined in terms of any or all of the following, based on the nature of the PPP Project:
      1. Minimum number of projects of more than a specified capacity developed/ constructed/ operated;
      2. Minimum number of projects of more than a specified Project Value developed/ constructed/ operated;
      3. minimum number of contracts for operation and maintenance of similar facility; and
      4. any other criteria suitable for the need of the PPP Project.
    3. the capability of the Applicant to invest the capital that would be needed for the PPP Project:
    4. the ability of the Applicants to secure adequate funds, since PPP Projects normally require the Concessionaire to finance a substantial part of the Project Value, if not the whole. A private entity with marginal profits and a weak balance sheet will be unlikely to secure the required finance on competitive terms or terms acceptable to the Appropriate Government.
    5. the ability of the Applicant to support the contractual arrangements over the contract term.
  3. Criteria for evaluation of financial capability shall be defined in terms of any or all of the following:
    1. net worth of the Applicant defined as the sum of subscribed and paid up equity and reserves from which shall be deducted the sum of revaluation reserves, miscellaneous expenditure not written off and reserves not available for distribution to equity share holders;
    2. average annual turnover defined as the simple average of sales figures of the Applicant for the immediately preceding three years derived from audited financial statements;
    3. average net cash accrual defined as the sum of profit after tax and depreciation for the immediately preceding three years derived from audited financial statements; and
    4. Any other criteria suitable for the need of the PPP Project.
  4. Based on the nature of the PPP Project, the Contracting Authority may, in addition to the above, specify qualifying criteria in relation to the following areas:
    1. Existing commitment of the Applicant and capacity to deliver on the PPP Project in addition to the existing commitments;
    2. Proposed team of experts, if the PPP Project requires specialised technical expertise; and
    3. Experience of Applicant or the proposed team for working in local conditions. This aspect is critical if the local conditions have a material impact on the technical solution or operation of the proposed facility or service.
  5. The Independent Monitor shall review the qualifying criteria.
Rule 66: Schedule of RFQ
The following minimum periods shall be followed by the Contracting Authority while determining the schedule of the qualification process:
  1. The Due Date shall be no later than 6 (six) weeks from the date of advertisement/notification of the RFQ;
  2. The Pre-application meeting shall be held not less than 2 (two) weeks before the Due Date;
  3. The clarifications on their queries of Applicants shall be issued not less than 2 (two) weeks before the Due Date; and
  4. Corrigenda or notifications of amendments in the RFQ shall be issued not less than 2 (two) weeks before the Due Date.
Rule 67: Removal of Conflict of Interest
The Contracting Authority may allow an Applicant, within 10 (ten) days after the Due Date, to remove from its consortium any member who suffers from a Conflict of Interest, and such removal shall be deemed to cure the Conflict of Interest arising in respect thereof.
Rule 68: Opening of Applications
  1. Subject to sub-Rule (2) of Rule 68:, the Contracting Authority shall open the Applications on the Due Date, and at the time and place and in the manner and procedure specified in the RFQ in the presence of Applicants who choose to attend.
  2. The Contracting Authority may in exceptional circumstances defer the date for opening of the Applications and record in writing the reasons therefor.
  3. Until the opening of the Applications, the Project Officer shall ensure that the Applications remain unopened and are stored in secure location.
  4. All Applicants who have submitted Applications, or their representatives, shall be permitted by the Contracting Authority to participate in the opening of Applications.
Rule 69: Evaluation of Applications
  1. Submitted RFQ Applications shall be evaluated by the Tender Evaluation Committee using the qualifying criteria as specified in the RFQ.
  2. The Applicants shall be assessed on the basis of their respective aggregate experience scores and Applicants attaining aggregate experience scores beyond the pre-specified minimum threshold shall be qualified for submission of Bids or the next stage of the Tender Proceedings, as the case may be.
Rule 70: Notification of qualification
  1. The Contracting Authority shall promptly notify each Applicant in writing whether or not it has been qualified.
  2. The Contracting Authority shall make available to any person, the names of all Applicants that have been qualified.
  3. Only Applicants who have qualified are entitled to participate further in the Tender Proceedings.
Rule 71: Registration of Potential Participants in Tender Proceedings
  1. The Contracting Authority, may, at its discretion, singly or in conjunction with another Contracting Authority, register potential participants in Tender Proceedings ( Registerees ) and maintain a database of their technical, financial and other such capacities as may be prescribed by the Contracting Authority ( the Database ).
  2. As and when the Contracting Authority initiates the Tender Proceedings for a PPP Project, if a Registeree intends to participate in the Tender Proceedings, it shall indicate such intention to the Contracting Authority.
  3. At the time of indicating its intention in accordance with sub-Rule (2) of Rule 71:, the Registeree shall furnish an undertaking to the effect that there has been no material change in its technical, financial or other capacities, as the case may be, and that it is not otherwise disqualified or barred from participating in the Tender Proceedings.
  4. Subject to sub-Rule (3) of Rule 71:, the Registeree shall not have to resubmit information that is already maintained on the Database.
  5. Provided that registration in accordance with sub-Rule (1) of Rule 71: shall not be a prerequisite for participating in the Tender Proceedings for a PPP Project.
  6. Subject to the condition that a Reigsteree shall not be eligible to avail of the benefit under sub-Rule (4) of Rule 71:, a Registeree may be free to participate in the Tender Proceedings:
    1. if registered as a consortium, as an individual entity; and
    2. if registered as an individual entity, as a member of a consortium
  7. The Contracting Authority shall call upon Registerees to update the information on the Database once every year, but no later than 12 (twelve) months from the date on which such information was furnished, failing which the information on the Database shall no longer be valid for the purpose of Tender Proceedings.
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