Pakistan Petroleum Limited

INSTRUCTION TO BIDDER FOR SUBMISSION OF QUOTATION ON FOR BASIS (LOCAL PURCHASE)

1.1. Quotation must be submitted in a Sealed Envelope (unless/ otherwise specified) mentioning the
Collective No. as mentioned in our RFQ on top of the envelope for identification. The quotation
must contain following details:
 Enquiry No.
 Minimum Delivery Period or as specified in RFQ
 Validity of bid should be 90 days from date of RFQ.
 GST Registration No. of the bidder
2. The quoted price would be for free delivery at PPL’s West Wharf Stores (unless rates are asked for
delivery at any of our field locations).
3. Items quoted must indicate the following:
 Country of Origin
 Make/ Model accompanied by Technical Literature/ Leaflets/ brochures (where applicable)
4. Payment Terms: Payment is to be made by PPL within 30 days from the date of delivery of material
upon submission of Sales Tax Invoice.
5. General:
5.1. Fax quotations will not be accepted, unless specified otherwise.
5.2. In case the bidder is unable to quote for any reasons, a regret letter must be faxed. A non-
response may be interpreted as if the bidder is not interested to deal with PPL.
5.3. Please mention on top of the envelope whether quotation value is more than or less than Rs.
500,000/=. If value is more than Rs. 500,000/= then our Liquidated Damages (LD) and
Performance Guarantee (PG) clause shall be applicable (details of the same can be obtained on
request).
5.4. PPL reserves the right to award a partial / split order, quotation. The bidder should clearly specify
if this condition is not acceptable. Otherwise, we will presume that partial/ split order is
acceptable to the bidder.
5.5. PPL reserves the right to accept or reject all bids.
5.6. Material/ Equipment Compliance Sheet (if provided) shall be duly filled and is to be submitted
along with the bidder’s quotation. It is mandatory for the bidder to submit the Material/
Equipment Compliance Sheet without which the quotation is liable to be disqualified.
5.7. The bid/ quote should have a minimum validity of 10 weeks.
6. Liquidated Damages (LD) and Performance Guarantee (PG):

It is imperative that you state in your quotation that terms of liquidated damages (LD) and performance
guarantee (PG) as stated below are acceptable to you. In case your quote does not stipulate acceptance
of LD & PG clauses, it will be construed as 'accepted'.

6.1. Liquidated Damages Terms (LD):

The Seller is required to undertake to effect shipment of the equipment as specified in order and
otherwise in conformity with the provisions of the contract resulting from this order. Should the Seller fail
to effect shipment by the quoted delivery period, due to any reason other than force majeure, the buyer
(Pakistan Petroleum Limited) shall be entitled to recover 1% of C&F Value of the delayed shipment for

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 Pakistan Petroleum Limited

each week of delay by way of liquidated damages subject to a maximum of 5% of the total value of order.
A part of a week shall be treated as whole week for determining the number of weeks under the above
clause.

6.2. Performance Guarantee Terms (PG):

The Seller is required to provide at his own cost, a Performance Guarantee (Text draft will be provided
with purchase order) in the form of a Bank Guarantee issued by a first-Class Bank operating in Pakistan
equivalent to 10% of the total CFR Value of the Purchase Order. This will serve to guarantee that the
material is delivered as per schedule of requirement and the performance of the equipment ordered. The
Performance Guarantee must remain valid for at least 18 months after the date of last shipment or 12
months after the commissioning of the equipment whichever is earlier.

7. Disclosure Clause (Integrity Pact):

The Disclosure Clause (Integrity Pact) shall be part of the Purchase Order if the purchase is above Pak
Rs.10 Million or equivalent. The draft format of Integrity Pact can be obtained on request.

8. Bid Opening:

Bids will be publicly opened for RFQ over Rs. 500,000 on the date of Quotation due date from 03:00PM
onward. Vendors are requested to bring authority letter to participate in the bid opening.

9. Bid Submission:

The sealed bid should be submitted on or before the closing date and time as specified in the RFQ to
address.

10. Evaluation Criteria:

10.1. Technically responsive as per the technical specifications provided in RFQ, compliance
sheet (if provided), financially compliant and lowest evaluated bidder will be awarded the
purchase order.
10.2. Domestic / local manufacturers need to submit all supporting documents mentioning
local value additions, foreign exchange components etc. as per the SRO 827(I)/2001, with
complete justification along with the bid to claim the benefit of SRO 827(I)/2001. The request for
price preference should be clearly mentioned in bold words.