Annexure-A-6 (Part of Bid Document)

Reply to Questions/Queries
Received after Pre-bid Meeting .Date 30.01.2019
ICB No REA/WB/2017-2018/036
Design, Supply and Installation of 1175 kW AC (1410 kWp DC) Solar Photovoltaic Plants
with Associated Power Distribution Network (Mini-Grids) in Selected Un-Electrified
Locations in Lake Victoria Region (Lot-1), Coastal and Northern Kenya Region (Lot-2) in
Kenya with 15 Years O&M Services and Reliable Supply of Power to Consumers .

S. Reference Question / Queries Answer / Clarifications

No
1 Reference In the first Para.
Section III on RC is mentioned as the annual I) Please refer section –III at 1.4
Evaluation and O&M and other recurrent costs to be para f) and g) Page1-48)
Qualification paid by the Client (which is 2% of
Criteria, Item 2 contract price for the first 10 years II) At item -1 Page1-49) under the
under the and 4% of contract price for the next heading “Determination
heading 5 years), yet the last line in that item of Evaluated Bid Price (EBP) ,
Determinatio says SIC and RC are the values
n quoted by the bidders... Please “to be paid by client” be deleted
of Evaluated clarify which is it? III) Sr. no. 3 be added before “The
Bid Price Evaluated bid price (EBP)
(EBP). IV) These are quoted prices by bidders
in schedules.
V) And to avoid confusion of
submission in Price schedule
following stands deleted ( Note to
Para -2 on Page1-49) :
The bidder need not limit the bid price
for Phase I to 60% and for Phase II to
40%.

2 Appendix 1 The breakdown of payment terms Please refer Sr no 1 above for deletion.
(Terms and for Schedules 1,2 ,3 and 4 all add up
Procedures of to 100 percent of the respective In first para Appendix Iclearly
Payment), to quoted prices by the bidder, indicatesthe payment to be made to the
the Contract Contractor as detailed in para (a) &
Agreement (b):
(Part-1). As per Appendix –I Supply and EPC
cost as per Schedules 1 to 4 has been
treated as 60% Of Contract price
yet it is also mentioned that payment (Phase -1 payment).Bidderis also
for Supply and EPC (which is the should quote according.
 sum of Schedules 1-4) will be only
60 percent. Please clarify. Similarly Recurring Cost for O&M
period has been treated as 40 % of
contract price ( Phase-2 payment ) in
Schedules -5. Bidder is also required
to quote accordingly.
Contract The draft Contract Agreement is Clause no 21.1“Role of REA and
3 Agreement given for Part - 1 which is to be KPLC as Employer” of ERTS clearly
Part – 1& draft signed by REA. Draft Contract states the responsibility of REA and
Contract Agreement (part - 2) is also given KPLC. AlsoContract Agreement part -
Agreement but which will be signed with 2, Page 1-4 clearly states these.
(part - 2) KPLC. Yet both contract documents Particular Conditions (PC) are to be
have General Conditions that refer read with GTC so GTC is also detailed
to Supply and Installation, as well as out in contract Part-2 to make it
O and M. Who will in fact be legally independent.
responsible for each part? After incorporating fill in the blanks,
Attachments referred in Draft contract
it will be a proper legal document.
Contract Part -2 will be signed by
KPLCand Recurrent Cost (payment
during O&M Period) is to be made
only by KPLC.
4 All the Schedule 5's for O and M As per Sr no -13 above following line
indicate the annual payments as 2% in at 2 Note on Page1-49 stands
(first 10 years) and 4% (next 5 deleted:
years) of the Contract Price. Where The bidder need not limit the bid price
is the bidder supposed to quote his for Phase I to 60% and for Phase II to
own annual prices for O and M? 40%.
Recurring Cost/O&M Cost Charges
(40% of the contract price): During
first ten years it will 2% of the contract
price ; and 4% of the contract price will
be paid from Year 11 to Year 15.
Bidders are to Quote the Prices
accordingly

5 There is no indication of the Please refer page 10 of contract part -2

Payment terms and Schedule in the (Draft).Payment terms for O&M as per
draft Contract Agreement to be Appendix -1 of Contract part-1 shall be
signed with KPLC (part 2) - it onlygiven at page 10 of contract part -2
makes reference to Part 1 contract along with price schedule -5.
that is signed with REA. How will Draft Contract Part-2 will be
that work legally? supplemented with all the details of
equipment, completion date, all
applicable attachments etc and Final
Contract-Part -2 will be legally a
complete document in all respect.
6 PC-8 of Part 1 document specify that 50% of In line with PC-8 of Contract-Part-1,
Contract-Part- the connections should be achieved PC -8, Contract Part 2 be corrected as:-
1, PC -8, within one year of commissioning,  In 1 month from commissioning of
 Contract Part-2 but Part - 2 mentions 75%. Which is SPGP and PDN - Connections to be
applicable? made to at least 20% Consumers
 In 3 months from commissioning of
SPGP and PDN - Connections to be
made to at least 30% Consumers.
 In 6 months from commissioning of
SPGP and PDN:- Connections to
be made to 40% Consumers.
 In 12 months commissioning of
SPGP and PDN:- Connections to be
made to 50% Consumers.

7 In my opinion, the 60-40% split in No.

the payment plan (proposed by the The bidder should know that what will
Client) should be kept separate from be paid by Employer and what they are
the quotation of bid prices for the quoting.
various schedules, including O&M. If bidder quotes according to 60%
If the Client is bent on paying 40% (SIC) and 40% (RC) of total contract
of total bid price over 15 years as price then there will be no need of any
indicated, then the bidder should modification in all the schedules 1 to 5
only be asked to quote his total (over for payment purpose while finalising
15 years) price for O&M (Schedule contract part -1.
5) and not as an annual stream. The
Borrower should then calculate 40
% of the total bid price (Schedule 6,
which is sum of Schedules 1-5) and
take the Present Value of the
payment stream as proposed by the
Borrower, add it to the 60% of total
bid price to determine the bid price
for evaluation purposes. The way it
is currently stated is convoluted and
confusing at best, especially
considering the payment breakdown
given in Appendix 1 to the draft
Contract Agreement..
8 Further to earlier discussion The design consultants have not been
regarding above subject, I have able to furnish the Transaction Advisor
talked with Mr. Tom and with the route maps in DWG or
expressed the difficulties that we editable PDF format. We advise the
are experiencing as far as bidders on best endeavour to work with
distribution network is the information availed to them.
concerned.

He has however promised that he

will liaise with the design
consultant and procure drawings
in either DWG format or editable
 PDF format.

Notice:

This is the last clarification and answers to queries that is issued on this specific invitation to
bid.