Professional Documents
Culture Documents
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TABLE OF CONTENTS
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1.0 INTRODUCTION
All the requirements of the Company for its operation at Fields are met
by the C&P Department situated at Duliajan. The requirement varies
from the procurement of indigenous and imported goods to hiring of rigs,
logging services, cementing services, vehicles and framing of works
contracts, labour contracts, man management contract etc. In addition,
requirement of other spheres may also be met from this office from time
to time as and when required against specific request.
All the Project offices and the Pipeline Headquarters at Guwahati are
having C&P set up primarily to cater for their needs for acquiring goods
and services / works.
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1.5 CONTRACT & PURCHASE DEPARTMENT AT CORPORATE OFFICE
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2.0 PROCUREMENT STRATEGY
(i) If the project is critical and OIL does not possess the requisite
experience in project management (including ability to manage
multiple interfaces) in the specific type of project then EPC /
LSTK contracts should be preferred.
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(ii) If the project is critical and OIL possesses the requisite experience
in project management (including ability to manage multiple
interfaces), then OIL should prefer Mixed type of contracting.
(iii) If the project is not critical and OIL possesses some reasonable
experience in project management (including ability to manage
multiple interfaces) in the specific type of project then Mixed
contracting should be considered subject to availability of the
professionals.
2.2.1 The objective of bid packaging is to divide the requirement of the project
into a manageable number of suitable bid packages so as to produce the
maximum competitive response from bidders. This exercise of dividing the
procurement in different packages is done in the interest of economy,
efficiency and timely completion/delivery. The packaging should be done
in such a manner that it does not limit the participation by bidders.
While doing this exercise apart from nature and value of goods, works
and services being grouped into packages, one must also know the
conditions of potential market of sources of supply of materials, works
and services.
(iii) The terminal points of each package should be clearly defined and
proper tie-ups of these terminal points between packages ensured.
(iv) While forming the packages it should be ensured that scope and
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specification of the package is made in such a manner that it
ensures enough participation by the bidders.
2.2.2 APPROVAL:
In order to have proper and competitive offers the specification and scope
of work for materials, goods, services /works should be complete and
unambiguous. Wherever necessary, the relevant drawings, data sheets,
samples in relation to the works involved should be provided.
3.5 In addition to above, in case of LSTK and civil works all necessary
information, service detail etc. which are available with OIL to be provided
in the tender documents.
4.1 The Bid Evaluation Criteria (BEC) is to be formulated while seeking the
bids on open tender basis. The purpose of BEC is that only the
competent bidders who can supply / execute the job and provide the
services as per technical and commercial criteria, scope of the tender
document, are shortlisted. The BEC shall have technical as well as
commercial criteria for examining the bids.
4.2 Utmost care should be taken in formulating BEC so that the ultimate
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objective of purchasing function, i.e. procuring the required materials /
services / works as per required specifications, delivery/completion
schedule at most competitive prices, is met.
4.5 The BEC and other relevant tender condition should be made in such a
manner that the competent bidders participate in the tender and there is
sufficient participation, the BEC should never be framed keeping in view
a particular bidder / bidders. As far as possible the BEC should be
general in nature meeting the job requirement ensuring adequate
competition without compromising on quality / competence of the
bidder.
4.7.1 Purchase:
In case of rate contract for supply of bulk materials / off the shelf items
/ consumables etc. the bidder should have executed at least 50% of the
annualized value of the estimate under the tender in one year, of the
preceding 5(five) years.
4.7.3 In case of tenders for Annual rate contracts / Maintenance and Service
contracts, if the prospective bidder is executing rate / maintenance /
service contract which is still running and the contract value / quantity
executed prior to due date of bid submission is equal to or more than
the minimum prescribed value in the BEC such experience will also be
taken in to consideration provided that the bidder has submitted
satisfactory work / supply / service execution certificate issued by end
user.
4.7.4 The above regarding the BEC are the general guidelines to be considered
while formulating bid evaluation criteria. The indenting department
concerned, with due reasoning, may suitably formulate the BEC
depending upon the job requirements and the same shall not be treated
as deviation to the procedure. While making BEC, the prime objective is
that only capable bidders are qualified. At the same time, there should
be sufficient participation.
4.7.5 A job executed by a bidder for its own organization / subsidiary cannot
be considered as experience for the purpose of meeting BEC.
i. Firm price
ii. EMD / Bid Bond
iii. Scope of work
iv. Specifications
v. Price Schedule
vi. Delivery / Completion Schedule
vii. Period of Validity of Bid
viii. Liquidated Damages
ix. Performance Bank Guarantee / Security deposit
x. Guarantee of material / work
xi. Arbitration / Resolution of Dispute
xii. Force Majeure
xiii. Applicable Laws
xiv. Integrity Pact, if applicable
xv. Any other condition specifically mentioned in the tender
documents elsewhere that non-compliance of the clause lead to
rejection of the bid.
4.11.1 In case there are certain foreseen acceptable deviations which can be
loaded financially, the same needs to be indicated in the tender
document along with quantum / rate of loading.
4.11.2 In case OIL opts to supply cement, steel etc. to the contractor, the
bidders are required to quote the consumption and OIL is to indicate in
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the tender upfront the rate for loading of price for such items in case of
turnkey packages.
4.11.3 The stipulation in case of OIL providing steam, power and other such
utilities for consumption by the contractor, the bidder to quote the
consumption and the tender should have the rate for loading such
consumption.
4.11.4 In addition to above, if there are any other factors which impact the
price evaluation, the same needs to be mentioned in the tender
document. Further the tender document should contain the method of
evaluation for such factors in unambiguous manner while evaluating
the price bid.
5.0 RAISING OF PR
ii) The estimate for the scope covered under the PR for goods, works
and services which shall be used for tendering purpose and
decision making process for award while comparing with the actual
price received against the tender.
iii) It is desirable that the indenter who shall frame qualifying criteria
(technical & experience) also indicate the numbers and names of
the prospective bidders who are likely to qualify under the
proposed BEC. However, it may happen that during the actual
tendering the response may be more or less as compared to
mentioned in the PR. This shall give fair idea about participation.
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Further procurement personnel may inform such bidders in
advance about the tender as proactive action.
x) The Purchase Requisition must indicate the type of budget with job
number.
vi) While drawing reference to the last purchase price, indices like
Wholesale Price Index (WPI), Consumer Price Index (CPI), Metal
indices, Foreign exchange fluctuation, oil price movement etc. may
also be considered for a realistic estimate.
b) Both the item wise and total cost estimates are important for taking
decision for procurement and are also important for evaluation of bids.
5.3.1 If in-house expertise is not available for estimation, service of the reputed
project management consultants who have the facilities for cost
estimation can also be availed for complex and major cases.
The variation between cost estimate and the lowest of evaluated bid
price shall call for review of the estimate. Such review needs to be done
more exhaustively where the variation of the price is more than 10% of
the cost estimate. This analysis is required to arrive at proper decision
for placing order as well as keeping in view the other aspects like
project schedule / operation etc.
In case, any excess over the sanctioned amount is known before bidding
or during bidding, the bidding process shall not be held up for want of
additional Budget sanction. However, LOI /Award of work/ Letter of
Award (LOA) shall not be issued without obtaining expenditure sanction
inclusive of additional sanction, if any. Parallel action shall be taken by
Indenting Department for additional budget sanction.
6.2 Generally the following methods of procurements for goods, works and
services are considered :
a. Procurement through DGS&D
b. Open Domestic Tender
c. Limited Domestic Tender
d. Open International Competitive Bidding (ICB)
e. Limited International Competitive Bidding (LICB)
f. Procurement on nomination basis
g. OEM / Proprietary procurement
h. Petty procurement of goods / works / services through hand
quotation
i. Annual Rate Contract
j. Purchase by a Board of Officers
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k. Emergency Purchases
l. Procurement from Govt. Cooperatives, such as Kendriya
Bhandar, State Emporium, Govt. Department, Central & State
PSUs.
6.3.3 In case such direct/referral supply orders are placed, OIL is liable to pay
a nominal fee as Departmental Charges (as informed by DGS&D from
time to time). Such departmental charges will be first deposited by
vendor to the concerned Controller of Accounts and then claimed for
reimbursement from OIL against supporting documents.
6.4.2 Open tender shall be advertised through Press Advertisement which shall
be published at least in two National Daily and in one Hindi Newspaper
and / or local language daily published locally in the state where the site
of work is located.
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6.4.3 The Notice inviting Tender (NIT) shall be published by the PR Department
who shall provide a copy of advertised NIT to the concerned tender
issuing department.
6.4.4 The concerned section of C&P Department shall forward the copy of
Invitation to Bid to PR Department for publishing Tender Notice in the
newspapers in the formats:
BID CLOSING/
TENDER NO ITEM & QTY
OPENING DATE
NOTE: All addenda, Corrigenda, time extension etc. to the tenders will be
hosted on above website and e- portal only and no separate notification shall be
issued in the press. Bidders should regularly visit above website and e-portal to
keep themselves updated.
6.4.5 Amendments to the NIT after its issue will be published on OIL’s website
only.
The following disclaimer to be included in all NITs :
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Revision, clarification, addendum, corrigendum, time extension etc. to
the tender will be hosted on OIL website only. No separate notification
shall be issued in the press. Prospective bidders are requested to visit
website regularly to keep themselves updated.
6.4.6 C&P In-charge shall designate an officer well conversant with the
procedure, who shall be responsible for correctness of NITs being
uploaded on the web-site or published in the newspaper.
6.4.8 Sale of document (in case of physical tendering) shall continue up to one
day prior to the Bid closing date as advertised in the NIT.
6.4.9 In case of e-tendering the bidder shall require User ID and Password for
online submission of Bid. The tender document should specify clearly
that in case of new prospective bidders who do not have User ID and
Password, the bidder shall request OIL for the issue of the same well in
advance and OIL will take up to 5 working days to issue the same.
Therefore bidder should not delay in making request till the last moment
in their own interest. In case of delay because of late request by the
bidders OIL shall not be responsible for non-submission of Bid in
absence of user ID and Password.
6.4.10 In cases where open tender is not resorted to for any procurement of
materials / works / services, even though the value exceeds the limit as
stated in para-6.4.1 and it is considered expeditious and appropriate,
the limited tender may be resorted to with due approval by the LMC /
Head of the Project concerned. While seeking approval for resorting to
limited tendering instead of open tendering the reasons for same shall
be recorded in writing. List of the supplier / contractor to whom the
tender is to be issued shall also be provided by indentor The cases, for
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which the competent approving authority is Director / CBC / Board,
the LMC / Head of Project or Sphere shall be competent authority for
approval to issue limited tender. In processing the limited tendering
cases it should be ensured that the parties meet the bid evaluation
criteria as the rejection of the bid on technical suitability grounds is not
desirable in such cases.
Such tender shall be hosted on the web site with qualifying criteria and
bidder, other than those to whom the tender enquiry is addressed, shall
request OIL with their credentials for enlistment for that specific
items/services for future procurement, which will be decided by OIL
after verifying the credentials.
6.5.3 In case, limited tenders are proposed to be invited (as against open
tender based on value of the tender) and the vendors for this specific
requirement are not empanelled, then the bidders should be identified
and short-listed by the indentor, who should also determine and certify
that short-listed bidders meet the pre-qualification criteria.
Such tender should contain the Bid Evaluation Criteria (BEC). The
tender should be hosted on website and any bidder who is interested can
download the tender document and submit the bid. Thus all bids
submitted by vendors suggested by the indentor or who had downloaded
the tender and quoted shall be evaluated in accordance with BEC for
qualification and award.
Approval for such limited tendering shall be taken from LMC / Head of
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Project or Sphere.
6.5.4 In case of limited tendering the enquiry shall be issued to all the vendors
who are on the empanelled list of OIL for the tendered item.
- The proposal shall include inter-alia the cost estimate and its basis.
If the cost estimate is based on the budgetary quotation from
proposed bidder then analysis shall be made by the proposer about
the reasonableness of the same.
6.6.3 The concerned user / indenter shall obtain the approval of competent
authority before resorting to procurement on nomination basis.
6.6.4 After approval by the Competent Authority a PR/SR will be raised for
processing the case for procurement and then forwarded to C&P
Department. The C&P Department shall issue the request for quotation
(RFQ) indicating specification and scope, delivery and completion
schedule and other terms and conditions.
6.6.5 Evaluation and Award : The technical evaluation will be done by the
user department and the commercial evaluation by C&P department.
6.7.3 The tools, equipment and spare parts for the machineries for which no
substitute are available are to be treated as proprietary and no
proprietary certificate is required. However, the indentor has to confirm
that no other substitute / spares can be used. These are to be procured
from original manufacturer (OEM) or from Dealer or Firm nominated by
OEM on exclusive basis.
6.8.1 It is desirable to procure spare parts directly from OEM. Further, in case
of imported supply OIL is entitled to import at zero customs duty once
Oil India Limited is the importer from overseas.
6.8.2 Spare Parts need to be procured directly from OEM only and not from
their dealer / distributor / stockist. In exceptional circumstances, if
OEM advises that the spare should be purchased from their authorised
distributor / dealer / stockist / supply house and as a principle they do
not supply spares directly, then procurement can be done from
authorised distributor / dealer / stockist / supply house.
6.8.3 In case of overseas supplier, if OEM has a joint venture in India or has
opened their own subsidiary then offer from such JV or subsidiary can
also be considered for procurement of spare subject to technical
suitability.
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6.8.4 In case overseas OEM supplier does not agree to directly supply the
spare parts then they may supply on high sea sales basis through their
authorised dealers / distributors / stockists.
6.8.5 Under no circumstances bids from Indian Agent for spares shall be
considered.
6.9.1 The items and spares which are continuously required throughout the
year for operation and maintenance of main equipment by the major
manufacturer, OIL should enter into the rate contract for supply of such
items with these OEMs. Duration of these contracts will not be more
than two years.
6.9.2 Items for which Rate Contract is existing, no tender is processed and
order is placed against PR based on the rate and terms &conditions of
the rate contract.
6.10.1 Spot purchase of stock and non-stock items are made by Materials
Department if the total value of the individual item does not exceed Rs.
25,000.00 or such limit as specified in DOP. The purchases are made
from parties as per the vendor list maintained by the Spot purchase
wing of Materials Department on rotation basis at the rate fixed for the
item by the Materials Department. Wherever the rate is not available,
the supplier has to submit Manufacturer's Price list/quotation for
justification of price.
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reasons should be recorded in writing for such cases.
6.13.4 For carrying out the purchase, the Committee of officers shall explore
the local markets as first priority, before seeking offers from outside the
city / town. Further, the Committee of officers shall obtain as many
quotations as possible (minimum 3) so as to determine the
reasonableness of rates. In case the supplier(s) do not agree to give the
hand quotations, the same should be recorded by the Committee of
officers in their proceedings.
6.14.1 The natural calamity, explosion, fire, flood, civil disturbances, war,
cyclones, blow out, and earthquake endangering the plant, property and
lives shall be referred to as emergency. Further operational emergency
which may result in safety hazard / loss of property if not attended /
repaired shall also be considered as emergency.
6.14.3 All actions shall be taken in accordance with Delegation of Power (DOP)
for emergency procurement.
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6.14.7 C&P departments in all spheres / projects need to ensure that the items
purchased as emergency procurement are issued and certified by user
that they have been put in utilisation. Delay in consumption of such
items, if any, are to be reported by the concerned Department to
concerned HOD / Project Head, with reasons.
7.1.1 This system of bidding requires that technical and price bids are
obtained in single envelope and opened for processing. The system
should be adopted in cases where specification, terms and conditions,
are firmed up and the bidder is required to strictly comply to the tender
conditions. Preferably this method should be adopted for standard
items.
The above are only guidelines, depending upon the requirement the C&P
Department can select any other value limit which suits the particular
procurement. In case higher value limit is selected for composite bid
system, it should be substantiated with proper justification.
7.2.3 Under Single Stage Two Bid System the bid should comprise of “Techno
Commercial – Unpriced Bid” – Part-I and “Priced Bid” – Part-II
separately, sealed in separate envelopes. The first inner sealed cover
will contain Techno Commercial – Unpriced bid having all details but
with price column blanked out. Part-I shall also contain EMD / Bid
Bond. This cover will clearly be super scribed with “Techno Commercial
– Unpriced Bid” along with party’s name, tender number, Bid closing
date and brief item description. The second inner sealed cover will
contain only the price schedule duly filled in and signed and will be
clearly super scribed with “Priced Bid” along with other details as
mentioned above. These two covers shall be put into an outer cover and
sealed. The outer cover should bear the Tender number and Bid closing
/ opening date along with the address of the office where tenders are to
be submitted.
7.2.4 In case of electronic bidding, bidders shall upload the copy of bid bond
/ security deposit while submitting the bid. However, original bid bond
must be received on or before the due date and time of bid submission
at the designated C&P department office.
The bids which are found acceptable as per Technical Scrutiny Report
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and Commercial Scrutiny Report shall be considered acceptable for
price bid opening.
(i) In the first stage bidding process, OIL shall invite bid containing
technical aspects and contractual terms and conditions of the
proposed procurement without price.
(ii) The tender committee shall examine the technical bid as per the bid
condition. If required the committee may hold discussion with
bidders giving equal opportunity to all bidders to participate in
discussion.
(iii) Pursuant to examination of bid and discussion with the bidders the
committee may, if considered essential, revise the relevant terms and
conditions / specification. However, at this stage the fundamental
nature of the procurement should not be changed / modified.
(iv) In the second stage of bidding process the prospective bidders shall
be asked to submit price bid only.
(v) Any bidder who has been invited to submit the bid at second stage
and is not in a position to supply / execute the job due to
modification in the specification or terms and condition may
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withdraw from the bidding process without forfeiting any EMD
submitted by him. However, the bidder shall be required to give
adequate justification for such withdrawal.
8.1.2 Enquiry Register (Not applicable for e-procurement and open tender)
ii. In case of limited enquiries the name of the firms to whom the
enquiries will be addressed will be entered in that register. This
will be signed by the concerned officer issuing the enquiry.
The bidder should be given reasonable time period for studying the
tender document and preparation of bid. Accordingly, depending upon
the nature of procurement like supply (indigenous/imported), ICB
tenders, LSTK, the different time slab should be given for submission of
bid.
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The following time period shall be allowed to bidder for submitting of
bid :
Indigenous:-
Limited Tenders : minimum 25 days (in case of physical
tender it shall be maximum 30 days)
Open Tenders : minimum30 days
Others:-
Limited ICB Tenders : minimum 30 days
EPC/LSTK/Open ICB Tenders : minimum 45 days
8.2.1 The time allowed for bidding is to be reckoned from the date of
publication of NIT in newspaper.
8.3.1 The bidders will be asked to keep their offers valid as under :
The tender should be finalized within the original bid validity. The
validity extension should be avoided; only in exceptional circumstances
after recording the reasons in writing the validity extension may be
sought. In response to a request for validity extension, a bidder may
extend the validity on the same terms, conditions and prices. A bidder
has option not to extend the bid validity, if he so desires, without
forfeiting the bid security.
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8.4 INVITATION TO BID:
a. The Invitation to bid will clearly indicate the place, date and time by
which tenders will be received and the place, date and the time at
which these will be opened. It will also provide a brief description of
the tender along with details of tender number, tender fee.
b. The date and city of the pre-bid conference (if any envisaged) also
must be clearly specified in the Invitation to Bid. The last date of
receipt of queries from prospective bidders for pre-bid conference
will also be mentioned.
d. All bids received by the notified closing date and time either through
post or through the tender box, will be entered in tender opening
register (Not applicable in case of e-tenders).
g. Invitation to bid will mention that bidders can visit OIL's tender
website for further details on the tenders.
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8.4.2 The Tender Inviting Authority (TIA) shall forward the Invitation to bid
both in soft and hard copy to the concerned department. The Invitation
to Bid must contain the official e-mail address of the TIA.
8.4.3 The Invitation to bid shall be signed by the dealing officer of the Tender
Inviting Authority (TIA) to ensure that the Invitation to Bid is in order
and to avoid any corrections after its appearance on the web.
8.4.4 The complete set of bid documents shall be uploaded on OIL’s website
well in advance of the specified date for commencement of tender sale
specified in NIT. The TIA will be responsible for ensuring the
correctness of the content of the Invitation to Bid uploaded on the site.
8.4.5 Bidders will have to download the tender document before the due date
of submission and use the same for participating in the tender. The
bidders downloading the tender document from the website should
ensure to submit tender fee along with the bids to the tender inviting
Sphere / Project before the deadline specified for submission of bids.
Bidders, who intend to claim exemption from payment of tender fee,
must furnish the documentary evidence along with bids.
Bidders shall be able to submit the Bid only after payment of the
Tender Fee. The payment of the Tender Fee can be made through OIL’s
electronic payment gateway.
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8.5 VARIATION IN QUANTITY AFTER INVITATION OF TENDER:
In case of supply tenders, the tender can have a provision for variation
of quantity at the time of placement of order up to +/- 20%.The bids,
however, shall be evaluated based on the tendered quantity to decide
the interse ranking of the bidder.
8.8.1 The tender fee will be acceptable in the form of crossed "Payee Account
only "Bank Draft/Bankers’ Cheque drawn by Bank and valid for 90
days from the date of issue of the same or in the form of Indian Postal
Orders payable to the OIL. In case of e-tender, tender fee shall be
payable through online payment gateway also.
8.8.3 The following tender fees will be charged from the bidders:
The tender fee shall be refunded to the concerned bidder in the event, a
particular tender is cancelled. In case of e-procurement tenders,
wherever tender fee is required to be refunded, refund of the same shall
be made to the bank account No. /card used for making payment
towards purchase of tender documents.
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8.8.8 Sale of tender document (in case of physical sale)
1. Tender No. :
2. Tender For :
3. Date and Time of Opening of Tender :
4. Tender uploaded in OIL’s website : Yes/No
8.9.2 The tender document should clearly indicate the city / location & date
for the pre-bid conference. The bidder should be given reasonable time
for bidding after the pre-bid conference. Accordingly, the pre-bid
conference should be scheduled in such a way as to allow the bidders
to bidders get 2/3 of the total bidding time for submission of their bids
proposal after the pre-bid conference.
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8.9.4 The pre-bid conference shall be organized by C&P department and shall
be attended by the indentor. The tender committee members or their
authorized representatives should necessarily attend the pre-bid
conference.
8.9.5 The bidders who have paid tender fee will only be authorized to attend
pre-bid conference. The bidder who does not attend the pre-bid
conference is also free to submit the bid.
8.9.6 The record note of the pre-bid conference shall be prepared by official
from C&P department which shall be signed by indentor as well.
10.4 For the bids received through courier or post, the Despatch Section of
C&P Department will maintain a separate register wherein details like
tender no., receipt date etc. would be recorded by them. After recording
the same in the register, the tenders are put inside the Indigenous or
Foreign Tender Boxes as the case may be.
10.5 Bids and samples hand carried by the bidders or received though
Post/Courier, which cannot be put in the tender boxes due to its
voluminous sizes will be received by Despatch section of C&P
department from the bidders directly. All such bids and samples
received in Despatch section will be forwarded through register to the
concerned C&P Section who will keep record in a separate register.
The register and the bids & samples so received will be kept in the safe
condition under lock & key. On the bid opening date, the tenders
falling due on that day are taken out after recording the same in the
register and brought to the tender opening room for opening of the
same.
10.7 In case of quotations received after the bid closing date/time, the same
shall be put in the respective Tender Box after recording date and time
of receipt on the cover of the quotation. At the time of subsequent
opening of the Tender Box, all such late tenders will be taken out and
stamped as under:
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"LATE OFFER Found in Tender Box on .........."
11.0 TENDER BOX AND ITS CUSTODY
11.1 The Tender Box shall have suitable provision at the top for dropping
envelopes. Two tender boxes should be there - One for International
Competitive Bidding (ICB)/Limited International Competitive Bidding
(LICB)/Other Foreign tenders and the other box will be for all Domestic
tenders.
11.2 The Tender Box shall be kept at a secured and safe place in the office
accessible to the public.
11.3 The Tender Box shall always be kept under lock and key under double
lock system, one key is to be kept in the custody of a C&P officer and
the other key in the custody of an Accounts Officer. The duplicate keys
are to be kept with the representatives of HEAD-C&P and Head-
Accounts.
An officer of C&P not below "Grade B" level will be nominated for
receipt of tenders each month. In addition, one Officer not below
"Grade B" level each from C&P and Finance & Accounts Department
will also be nominated for opening of tenders. Arrangements will also
be made for nominating Officers not below "Grade B" level as Leave
Reserve for above purpose.
13.1 The tender box shall be opened exactly at the time of bid closing on the
specified date, thus there should not be time lag in opening the tender
box and that of the closing time. On the day of Tender opening, after
the closing hours of the tender, the tender box shall be opened by the
Officer from C&P Department in presence of the Officer from the
Finance & Accounts Department. All the tenders are taken out from the
tender box and kept in a place for sorting. The tenders which are to be
opened on that specific day are kept while the tenders whose bid
closing dates are at a later date are then again put into the tender box.
The related tenders are then brought to the tender opening room of the
C&P Department. Late offers, if any, found in the Tender Box shall be
taken out and kept separately after due recording on the envelope. All
such late tenders shall be kept with the C&P department.
13.2 The voluminous tenders and samples which are kept separately in the
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safe custody of the respective C&P section shall also be brought to the
tender opening room for opening after recording the same in the
registrar maintained in the section.
The bidder, after submission of bid may withdraw their bid by written
request prior to bid closing date& time (only for physical tenders). Such
request is to be made to the dealing officer of OIL mentioned in the
tender document. In case the due date of submission is extended even
after receipt of some bids due to some special circumstances, the
bidder who has already submitted to bid has right either to withdraw or
revise his bids, without forfeiting the EMD.
15.1 Tenders are opened on the day and time as specified in the NIT in the
presence of a representative of the Accounts Department not below the
rank of an Accounts Officer and a representative of the Materials
Department not below the rank of a Purchase Officer. Bids for which an
acceptable request of withdrawal has been received from the bidder
shall not be opened.
15.2 Tenders shall be opened on next working day if the opening date
specified in NIT turns out to be an unscheduled holiday/ Bandh.
Accordingly, bid closing date / time will get extended upto the next
working day.
15.4 While opening the tenders, the names and addresses of all the bidders
are recorded in a Statement. The quotations are serially numbered. For
example, if four quotations are received, the first quotation opened will
be numbered 1/4, the second 2/4 and so on. If any regret letter is
received from any bidder, it is also recorded in the Statement. If
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authorized representatives of the bidders are present at the time of bid
opening, their names and names of firms they represent are recorded in
another Statement. Signatures of the representatives are also obtained
on this Statement against their respective names. Each page of both
the above Statements are signed by OIL's Tender Opening officers
opening the Tenders.
16.1 Extension of due date for bid submission shall be avoided. However,
where the corrigendum/modification to the tender document is issued,
suitable time extension may be given if required. In other circumstances,
a valid reason should be recorded and put up to the Head of the
department of C&P for approval and such extension shall be given.
16.2 There shall be no extension of due date after bid closing even if there is
insufficient participation (say 1 to 2 bids received). Even if there is only
1 bid that must be opened and evaluated and processed further without
resorting to due date extension.
While working out the EMD the closing B.C. selling market rates of
exchange declared by the State Bank of India as applicable on the date
of approval of BEC by competent authority will be taken in to account
for conversion of Indian Rupees to foreign currency. In case of stock
items or the cases where standard BEC is being used, the exchange
rate of date of PR approval shall be taken.
17.4.2 During the process of evaluation, if OIL seeks validity extension, bidder
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has option either to extend the bid validity on the terms and conditions
and corresponding extension of bid bond. In case the bidder opts for
not extending the validity, his EMD cannot be forfeited and the same
shall be returned within 10 days after the expiry of his bid.
All the bids must be accompanied by Bid Security for the amount as
mentioned in the NIT or an equivalent amount in freely convertible
currency and shall be in the OIL's prescribed format as Bank
Guarantee (BG) enclosed with the NIT or a Bank Draft/Bankers’ cheque
in favour of OIL or an irrevocable Letter of Credit (L/C) from any of the
following Banks –
All bid security received against a tender, after comparing the tender
no., amount of the bid security, validity of bid security and name of the
party on whose behalf it has been issued, the C&P department shall
send a copy of the same to Finance. The Finance department will check
the following:
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In order to know the authenticity of the bid security submitted by the
bidder, the Finance department shall take up the matter with the
issuing bank for verification of the BG.
In case of electronic bidding, bidders shall upload the copy of bid bond
/ security deposit while submitting the bid. However, original bid bond
must be received on or before the due date and time of bid submission
at the designated C&P department office.
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All cases valuing above Rs.10.00 Lakhs for procurement of goods /
services / works and rate contracts, shall be processed through tender
committee.
18.1.2 The Tender Committee will consist of 3(three) members one each from
C&P, Indenter / User and Finance Department. Wherever there is
technical complexity or user and indenter are different the member
from User Department can be co-opted for advice to the indentor.
However, the total number of tender committee will not exceed 3(three).
The time schedule for evaluation and processing of cases after receipt
of bids till award for different activities is mentioned hereunder:
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19.2 SINGLE STAGE TWO BID SYSTEM:
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20.0 EVALUATION OF BIDS
It must be ensured that the queries asked for shall not have any bearing
on the price.
20.2.2 The C&P department shall forward the technical and commercial
queries seeking clarifications from the bidders. On receipt of response
from the bidders on TQ and CQ, the replies to the technical queries will
be forwarded to the user department who will prepare the final
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Technical Scrutiny Report regarding acceptance or rejection of the
offers. The final Technical Scrutiny Report for tenders under Two-Bid
system should be submitted with the approval of the concerned General
Manager / Project Head. The technical scrutiny report shall clearly
mention the reason of rejection of any bid.
20.2.4 Price bids of unacceptable bidders, which remain unopened with OIL,
are to be returned to bidder after finalization of tender and award of
contract.
21.1 As a principle, the bid should be evaluated and processed based on the
information, details, documents etc. submitted by the bidder without
resorting to any communication with the bidder.
21.3 While seeking clarification from the bidders, it should not be pick and
choose and wherever required against any bidder, the clarification
should be sought from all such bidders. Any subsequent query can be
issued only after the tender committee deliberates and considers it
necessary for taking proper clarification. It is not allowed that bidder
should submit new documents which are not mentioned in the original
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submission.
21.4 While seeking clarification from the bidder and giving a reasonable time
for response a cut-off date should be indicated with a stipulation that in
case no response is received from the bidder, his bid will be evaluated
based on the submission.
The tender committee shall make final recommendation for award of job,
clearly deliberating all issues related to the subject tender during the
course of processing and evaluation.
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The tender committee recommendation shall be unambiguous for
consideration and acceptance by Competent Authority.
c) The procurement cases which exceed the power of CBC shall require
the approval of Board of Directors and the agenda for consideration
and approval by Board of Directors shall be put up as per guideline.
e) Such note shall be sent well in advance having sufficient bid validity.
Head of C&P and Head-F&A at Corporate office shall examine the
proposal(s) and put up for the approval by CBC. In the process of
examination, if necessary, Corporate office may seek clarification(s)
from the LMC / Head of the Sphere / Project.
f) The agenda containing all details of the case with a self contained
note shall be circulated to all Functional Directors as well as to CMD
in advance for perusal.
Once the minutes of CBC meeting are approved the Head of C&P at
Corporate Office shall communicate the decision to the concerned
Sphere / Project for further action like placement of order.
Wherever there are atleast 3 (three) acceptable bids, the tender shall be
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processed for award on L1 bidder. The variation between cost estimate
and the lowest of evaluated bid price shall call for review of the
estimate. Such review needs to be done more exhaustively where the
variation of the price is more than 10% of the cost estimate. This
analysis is required to arrive at proper decision for placing order also
keeping in view the other aspects like project schedule / operation etc.
Such review of cost estimate shall be done by indentor. The indentor
shall obtain additional financial sanction for increased amount and
revise the requisition for further processing of the case for award.
Alternatively if the procurement is for project, it should be confirmed
that the increased amount is covered under overall project.
24.0 NEGOTIATION
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iii. Where there is suspicion of cartel formation.
24.3 Justification and details of such negotiation shall be duly recorded and
documented without any loss of time.
24.5 Negotiations shall not be misused as a tool for bargaining with L-1 with
dubious intentions or lead to delays in decision-making. Convincing
reasons must be recorded by the authority recommending negotiations.
Competent Purchase Authority should exercise due diligence
while accepting a tender or ordering negotiations or calling for a re-
tender and the time taken for according requisite approvals for the
entire process of negotiation and award of order should not exceed 30
days from the date of submission of recommendations. In no case shall
the overall timeframe exceed the validity period of the tender and it
should be ensured that tenders are invariably finalised within their
validity period.
25.1 The cases where there is a possibility of splitting the order amongst
more than one bidder due to capacity constraint, such provision needs
to be pre-disclosed in the tender document to the effect that orders on
L-2 and L3 may be placed, subject to their matching the price with L-1
bidder and exhausting of the capacity of L1 bidder. This shall not be
deemed as negotiation. In case L2, L3 … bidders decline to match their
prices with L1 bidder, procurement of remaining quantity shall be
processed through re-tendering following the normal tendering
procedure.
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25.2 Where for critical services/supply more than one source is required,
the same should be pre-disclosed in the tender indicating the ratio on
which orders on L2, L3… bidders shall be placed subject to their
agreement of matching the prices offered by L-1 bidder. The ratio of
distribution shall be stipulated in such a way to offer comparatively
larger share to L-1 bidder. The above exercise shall not be considered
as negotiations.
25.3 Works / Services: In cases where entire work is divided into more than
one part and tender has provision for evaluation and award of the job
part wise, the entire work shall be finalized on least cost to OIL, if a
bidder happens to be the lowest in more than one part and has qualified
only for one or more than one of the parts and not for all parts, as the
case may be. Once certain part(s) is/are awarded to such L1 bidder, the
bidder ceases to be the lowest bidder for the remaining part(s). The
award of remaining part(s) on other bidders shall not be considered as
award on L2, L3 … bidder at differential price as capacity of L1 bidder
has already exhausted, resulting in placement of order on L2, L3…
bidders.
25.5 In the event, the lowest bidder against a tender back out, such tender
will be refloated.
P.S. For the purpose of determining the amount of Security deposit for
performance, the contract / order value shall be considered excluding
taxes and duties which are paid extra by OIL.
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27.4 MODE OF SUBMISSION OF PERFORMANCE SECURITY:
a) Full address.
b) Branch Code.
c) Code Nos. of the authorized signatory with full name and
designation.
d) Phone Nos., Fax Nos., E-mail address.
The domestic bidders will have to submit the Bank Guarantee from any
of the scheduled banks and on non-judicial stamp paper of requisite
value as per the Indian Stamp Act, purchased in the name of the
issuing banker.
The foreign bidder will submit the Bank Guarantee from Banks of
Indian origin situated in their country. In case no such bank of Indian
origin is situated in their country, the Bank Guarantee may be
submitted from the bankers as specified above.
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i) All concerned authorities shall ensure that details of all claims
which are to be recovered from the supplier / contractor are
promptly intimated to the respective payment authority, without
any loss of time, so that the claim can be recovered before
releasing the pending payment(s).
ii) Details of such claims shall also be forwarded to the authority who
has concluded the respective purchase order / contract / rate
contract and has obtained the Security Deposit. After completion
of the supplies / execution of the contract, the respective
authorities as mentioned below shall take prompt actions in
respect of the following:
iii) In all cases, wherever the claims are to be recovered from the
Security Deposit, it should be ensured that the claims with
complete details are forwarded to the concerned authority(ies) well
before the expiry of the validity of Performance Security.
28.1 The repeat order cannot be considered as a routine manner and can be
exercised in an exceptional circumstances. The procurement on repeat
order basis is not desirable as it does not meet the basic requirement of
competitive bidding for procurement and current market situation.
a) Service Contracts are awarded for a specific period at rate and other
terms and conditions. Generally such contracts have a provision for
extension of contract period by a specific time (maximum of 50% of the
original contract period) beyond the contract period on same terms and
conditions.
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b) In case of service contract for hiring of rigs & well services where the
original contract period is normally longer and generally requires further
extension, the original contract period at the time of tendering may be
envisaged in such a manner as to cover maximum operational time
requirement. The provision of extension up to 50% of the original
contract period needs to be incorporated in the tender document so that
the bidder quotes the prices accordingly.
30.1 Government of India, vide Gazette of India no. 503 dated 26.03.2012
has proclaimed the Public Procurement Policy on procurement of goods
and services (not applicable for Works/Contracts) from Micro & Small
Enterprises (MSEs) by all Central Ministries/Departments/PSUs for
promotion and development of Micro and Small Enterprises.
Accordingly, following provisions shall be incorporated in all tenders:
v) The quoted prices against various items shall remain valid in case of
splitting of quantities of the items as above.
vi) In case bidder is a Micro and Small Enterprise under the Micro,
Small and Medium Enterprises Development Act 2006, the bidder
shall submit the following:
30.2 In accordance with the provisions of the said policy, the HoD (C&P)
shall be the Nodal Officer for implementation of the policy and
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redressing grievances as notified vide Gazette of India no. 502 dated
26.03.2012.
30.4 A list of 358 items notified by the aforesaid Gazette of Govt. of India are
reserved for exclusive purchase from MSEs. Attempt may be made for
purchase of the listed items from MSEs.
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31.0 E-PROCUREMENT
31.2 E-TENDER:
E - Tendering is the process of floating tender and receipt of bids from
the bidders through internet portal. OIL is presently using MY SAP SRM
for e-tendering. Threshold value for E-tender is presently fixed at Rs. 10
Lakhs. Publications of tender in News papers/ OIL website/ Govt.
portals are to be done in the same manner as in case of physical
tenders.
iii. The replication date is greater than the Max. Delivery Date as per the
PR.
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31.3.3 The tender number is generated in SAP system and the same is to be
created in the e-Tender portal by linking the PR through carryout
sourcing. As the tender type cannot be changed after creation utmost
care must be taken while creating a tender in the portal.
31.3.4 Tenders are prepared as per the type and requirement and are
published through e-tender portal online. Before Tender publication,
Tender Documents Folder in the Technical Rfx folder shall be released.
Once the Tenders are published, no files from the Tender folders are
allowed to be deleted or modified. An Amendment shall be incorporated
in the Amendment folder only. This folder shall not be released. For
Limited Tenders, name of the bidders are maintained in the bidders
page of the e-tender portal and once the tender is published, system
generated automatic e-mail inviting bid from the bidders is sent
automatically by the system.
31.3.5 For press e-tender, a guest bidder is maintained and any bidder can
view and download the tender document through guest log in the OIL's
e-tender portal. Also registered vendors with OIL, who have a user ID
and password for OIL’s e-tender portal, can view any press tender
document by logging onto the e-portal using their user ID and
password. Dealing officer shall authorize the registered vendors to bid
against a tender after receipt of tender fee against the same.
Alternatively, tender fee can also be paid online through OIL's e-tender
portal. For waiver of tender Fee by any bidder on account of NSIC
register etc., to bid against any press e-tender, a bidder is required to
request the tender handling office with requisite document for waiver.
Tendering officer after getting requisite document can waived the tender
fee for the bidder. Unless the bidder's data is maintained and allowed,
bidders cannot bid.
31.3.6 Bidders can submit their bids any time before the bid closing date and
time. Bid modification and / or withdrawal after submission is allowed
before the due date and time of submission.
31.3.7 E-tender system has the in-built checks which controls and accepts
only bids submitted before the bid closing date and time. Similarly it
checks requisite digital certificate (presently it allows Class III digital
certificate only). The "time" is the SRM system Server's time which is
displayed on the e- Tendering screen.
31.3.8 Bids can be opened in the system by multiparty opening after the
opening Date and time maintained in the system are over. Therefore,
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unlike physical tender, at the time of bid opening, physical signature of
Tendering officer as well as Account officer is not required in the
document. However, about the important parameter like receipt of
tender sample, hard copy of original bid bond whenever required are to
be recorded at the time of bid opening.
31.3.9 The bid security, wherever applicable, is taken in physical form which
should be submitted before the bid opening date & time. Bid security
can also be submitted online through the e-tender portal.
31.4.1 Supplier shall have a valid User Id & Password to access OIL e-
Procurement site.
31.4.2 Supplier shall have a legally valid digital certificate as per Indian IT Act
2000 from the licensed Certifying Authorities operating under the Root
Certifying Authority of India (RCAI), Controller of Certifying Authorities
(CCA) of India. Class 3 digital certificate for the designated individual
with organization name & legally valid digital certificate in India is
required for online bidding.
31.5.1 In e-Tender system, in case of Composite bid system, Bid closing and
Opening Date are maintained same but a time gap of minimum 3 hours
shall be maintained between closing and opening of bids.
31.5.2 In e-Tender system, in case of two-bid system, Bid closing and Techno-
commercial Unpriced Bid Opening Date are maintained same but a time
gap of minimum 3 hours shall be maintained between closing and
opening of bids. However, to ensure that a commercial bid does not
open, a future date and time are maintained in the system under
Opening Date and time such as 2099. Once the technical opening date
and Time are past, Technical Bids can be opened in the system.
Therefore, a gap of minimum 3 hours is kept between bid closing and
bid opening time in order to check the number of offers received and to
take action for extension of bid closing date if required as per the
business process.
31.5.3 For e-tenders, unlike physical tender, at the time of bid opening,
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physical signature of Tendering officer as well as Account officer is not
required on the offers. However, about the important parameter like
receipt of tender sample, hard copy of original bid bond whenever
required are to be recorded at the time of bid opening.
32.1 Unlike in normal auction, where prices are auctioned from seller's point
of view & the highest price is awarded the auction, in reverse auction
prices are auctioned from purchaser's point of view & the most
competitive lowest price is awarded the auction. As a part of e-
Procurement tool, through Reverse Auction Process, competitive prices
of short listed bidders are auctioned online in fair & transparent
manner.
32.2.5 Bidders participating in the reverse auction are required to sign and
forward the agreement accepting OIL's Reverse Auction Process related
terms and condition along with offer.
ii. 'Rank Only' bid format In "Rank Only" bid format, during the process
of Reverse Auction, the short-listed bidders shall be able to see only
their respective ranks/position during the online bidding process in
the system, based on which they may reduce their prices. This type
of auction shall be adopted in case of tenders, where purchase
preference (for CPSU's/NSIC Registered companies), so as to take care
of purchase preference at the end of the Reverse Auction. OIL decide
on choice of the option i.e. "Rank with L-1 price" or "Rank Only" at the
time of short- listing of the bidders as composition of bidders are
known only after opening of bids. Bidders are informed in advance
about the type of auction.
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evaluation criteria shall be as under:
A. LCB (Local Competitive Bidding) The Price for the Reverse Auction
would be for the FOR Destination Price, which shall include all the
components of Taxes and Levies applicable, Freight, Insurance etc.
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32.2.10 CONVERSION RATE
While evaluating the bids, the closing B.C. selling market rates of
exchange declared by the State Bank of India on the day prior to the
price bid opening will be taken into account for conversion of foreign
currency in to Indian Rupees as per present practice.
Bid Decrement
Bid decrement is the fixed amount by which, or by multiples of which,
the next bid value can be decreased. Bid decrement shall be available to
the bidders during the start of the auction on the auction site.
Auction Duration
This process shall initially be held for a period of 60 minutes. In case
there is bidding by any bidder within last 5 minutes of closing of the
auction, the auction will be extended by another 5 minutes. Such
extension will be allowed to continue till no quote is placed within 5
minutes of last quote. As regards to the failure of Electricity /
Connectivity at OIL's end, the auction event will be extended suitably,
however in case of such events at bidder's end; they are responsible for
necessary alternate arrangements.
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32.5 In order to maintain the sanctity, unauthorized communication shall
not be allowed during the Reverse Auction process. Therefore, any
communication device like mobile phone etc. must not be carried by
anyone in the room where Reverse Auction is carried out. One or two
phone line connection (landline) shall be made available in the room for
authorized interaction with the bidders if necessary. The identified
numbers of OIL for this purpose shall be intimated to bidders well in
advance. Likewise, the telephone numbers of the bidders for the
authorized interaction with bidders should be obtained through bidders’
response sheet. Conversational communication with bidder should be
avoided during the online Reverse Auction process unless considered
inevitable/appropriate/necessary by the tender committee.
32.10 Once the process is complete, the tender shall be processed for award
based on L1 price received against Reverse Auction.
32.11 The price reasonableness will still be needed to establish even after
Reverse Auction.
33.1 EOI is normally used for exploring the market for new technology,
business diversification etc. The EOI is not an activity of tendering as
through this method we seek only the interest of the likely agencies
available in the market for a particular technology, consultancy and
diversification, and there is no commitment of entering into a commercial
contract out of this exercise. This method can also be used for identifying
the proper sources, suppliers and service providers for new technology,
latest equipment and best practices. This can also be used where the
owner is not reasonably sure on the specification / scope of work /
source of supply and would like to have the input from the prospective
agencies in the market.
35.1 The common items, consumables, spare parts and services should be
selected across Oil India Limited. The procurement of such items,
consumables, spare parts and services is preferred to be done from one
place. The appropriate place considering the logistic and other facilities
may be selected by C&P department. The selected unit /place shall seek
requirement from all spheres/projects at least once in a year with
projection of annual requirement. The procurement activities shall be
initiated from the centralized unit.
35.2 The user department shall provide support during the processing of the
procurement in respect of technical evaluation by deputing a
representative for technical scrutiny of the offers at the designated unit.
35.3 For the materials / items being procured from the centralized unit, the
tender shall have a provision for delivery of materials at various
locations.
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35.4 In case the evaluation on FOT site basis, all inclusive, the bid shall be
evaluated for respective quantity for each sphere / project, to decide the
interse ranking and the order shall be placed on the lowest price bids
only.
36.3 Such panel shall be valid for 2 (two) years and to be updated every year.
36.4 The empanelment should be done through open advertisement like the
process being followed for procurement for open tenders.
36.5 The qualifying criteria shall be same as being used for procurement of
such items / services / works in case of normal tendering.
36.7 Such panel shall be used for purpose of issuing limited tender on
domestic / limited ICB basis. In case of such limited tender no BEC is
required.
36.8 The limited tenders based on the above empanelled vendor list shall
also be posted on the website only for information and not for bidding.
37.1 There are certain items, materials, services / works which are repeatedly
in use. It is advised that for such items, materials, services / works the
bid evaluation criteria should be standardized. The standard BEC shall
be used across OIL at all spheres / projects so as to maintain uniformity
in procurement of similar items in OIL.
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37.2 The items, materials, services / works for which there are standard BEC,
we need not generate another BEC against each and every tender. The
standard BEC should be used.
In case of exceptional situation, due to certain operational requirement,
with reasons to be recorded, the standard BEC may be modified to the
minimal extent to meet the operational requirement of the particular case.
This shall be done with the approval of competent authority on
recommendation of the committee.
(iv) In case the Complaint Handling Committee takes the view that there
is merit in the complaint and feels that OIL may be required to take
any corrective action, the committee shall make recommendation for
putting the tender on hold till a detailed analysis and decision is
taken. Such recommendation requires the approval of the Head of
the Sphere / Project.
39.2 ARBITRATION
IP shall be applicable for all tenders valuing more than Rs. 50.00 Lakhs
or as decided by the competent authority from time to time. Bidder shall
be required to sign the Integrity Pact as per prescribed format, to be part
of the tender document. The proforma duly signed by OIL's competent
signatory shall be issued along with the tender document. The proforma
has to be returned by the bidder along with the bid (along with the
"Techno Commercial-Unpriced Bid" in case of two bid/two stage bidding)
duly signed by the same signatory who signed the bid.
40.1 Incomplete submission of IP documents with the bid should not lead to
disqualification of a bidder, who otherwise qualifies and agrees to abide
to IP. The bidder could be asked to comply to all IP guidelines
subsequently.
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40.2 OIL shall appoint competent and credible Independent External Monitor
/ Monitor (IEMs) for IP. The task of the Monitor is to review
independently and objectively, whether and to what extent the parties
comply with the obligations under this agreement.
(i) Description
(ii) IATA Name
(iii) IATA Class
(iv) UN No.
(v) Quantity
(vi) Nett weight
(vii) No. of packages
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(viii) Nett weight per package
Note: The covering letter as well as enclosures of the application must be
signed and stamped with official seal.
41.7 After import of the explosive items, details of import and dispatch
details to the destination are provided in forms RE-8 & RE-9 to CCE.
42.4 For procurement of medicines only the rate applicable to the Hospital/
Institutional sale shall be considered as per current price list.
42.5 The stockist / distributors who have offered highest discount over the
Hospital rate as stated above shall be recommended for placement of
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order subject to their fulfilment of other terms and conditions of the
NIT.
42.6 Medicines are to be supplied by the supplier as and when required basis
with a shelf life of half the total shelf life period at the time of receipt. The
payment against supplies shall be made as per current price list meant
for Hospital / Institutional sale at the time of delivery considering
discount offered by the supplier.
42.7 A copy of the Purchase Order shall be sent to the manufacturer. They
should also certify that the medicines supplied have been manufactured
by the manufacturer mentioned in the package and the medicines
covered in the supply lot have shelf life as mentioned above.
42.8 Medical Department shall also arrange to check the quality of the
supplied medicines periodically through reputed Laboratories on random
basis to ascertain genuineness and quality of medicines.
a) Advertisement on OIL Notice Board and in Local News Papers: The IFB
shall be put on the OIL notice board and attention drawn in one local
vernacular language news paper published from the place where the
award of work will be made, providing information that the details of the
Invitation for Bid (IFB) is available on the Notice Board of OIL, in case of
the following jobs:
i) Works (other than civil) whose estimated cost is below Rs.5 Lakhs;
ii) Hiring of light passenger vehicles (Cars, Sumo/Bolero, Utility
vehicles, Pick-ups) without any financial limit.
iii) Civil works whose estimated cost is below Rs.25 Lakhs.
i) All works whose estimated cost is between Rs.5 Lakhs and Rs.25
Lakhs.
ii) Civil works whose estimated cost is above Rs.25 Lakhs and below Rs.
1 Crore.
iii) All labour oriented works whose estimated cost is above Rs.5 Lakhs
(upto any value).
iv) Hiring different types of buses, truck, water tankers, crude oil
tankers without any financial limit.
OIL has been following class wise registered contractors for the civil
engineering related jobs. The class-wise tendering limits and the
amounts of one time security deposit are revised time to time and
accordingly the contractors deposit the one time security deposit to OIL.
Presently, the tendering limits and the one time security deposit
amounts are as follows:
Class of Contractor Maximum amount One time Security
Of Tender value Deposit
A -Class up to Rs. 160 Lakhs Rs. 1,60,000.00
B -Class up to Rs. 80 Lakhs Rs. 64,000.00
C -Class up to Rs. 40 Lakhs Rs. 32,000.00
D -Class up to Rs. 12 Lakhs Rs. 8,600.00
The above classified contractors are exempted from submitting Bid
Security for a tender whether enquiry issued to only registered
contractor or open tender for the value indicated against them.
i) Once in two years OIL enter into contracts with registered bidder for
different category of work in different zones.
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ii) Through display on the OIL Notice Board, all registered contractors
are given opportunity to offer for category of work and the zone.
iii) These contractors can be awarded work at a time maximum to a
value of Rs. 5 Lakhs.
iv) Out of the contractors, zone and category wise, with whom OIL has
entered into a contract, shall be allotted work by civil engineering
department as and when there is requirement in fair, transparent
and equitable manner.
iii) In case of i) and ii) above, there shall be tender fee of Rs. 500.00,
Performance guarantee shall be up to 10% of the contract value for
which contractor shall submit a performance security of 2.5% of
contract value at the time of award of contract and remaining 7.5%
shall be deducted from running bill.
iv) The tender beyond Rs. 25 Lakhs up to any value shall be floated as
open tender and shall also be an e-tender. The bid bond shall be
0.5% of the tender value, unless otherwise exempted. Performance
guarantee shall be up to 10% of the contract value for which
contractor shall submit a performance security of 2.5% of contract
value at the time of award of contract and remaining 7.5% shall be
deducted from running bill.
v) In open tender, for the tender above Rs. 25 Lakhs upto Rs. 40
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Lakhs, Class A, B & C, above 40 Lakhs upto 80 Lakhs, Class A & B,
and for above Rs. 80 Lakhs up to Rs. 1 Crore 60 Lakhs, Class A,
shall be exempted from experience criteria and financial criteria.
They shall also be exempted from submission of Bid security as
mentioned in clause 43.2 above.
vi) In case against a tender for a given job, there are more than one L1
bidders, the tender may have provision for tie break. In case this is
not possible the bid can be decided on draw of lots.
(i) Issue of NIT & application format, Contract Terms & Conditions.
(ii) Receipt of applications in separate counters if number of applicants
are more. Contract Department shall arrange for temporary
application receiving counters.
(iii) Draw of Lots for short listing of applicants. In Draw of Lots,
members from Indenting Department, Finance Department and
Contracts Department shall be present. Applicants’ notice shall be
drawn to attend the Draw of Lots and attending applicants or any
person (public) shall be randomly asked to pick up the number in
Draw of Lots. List of provisionally selected applicants including
waiting list applicants (if necessary) duly signed by company
representatives attending the Draw of Lots shall be displayed in
the Notice Board after the Draw of Lots.
(iv) Scrutiny of short listed applications with respect to application
rejection criteria by indenting department. The scrutiny report to be
vetted by Finance Department wherever necessary.
(v) The unemployed persons from OIL’s E&P area are not required to
submit Bid Security along with the application (only in specified
tenders). However, once short listed vide Draw of Lots they shall be
required to submit the bid security amount.
(vi) All the applicants short-listed vide Draw of Lots are required to
submit additional documents like Affidavits etc. which shall be
further scrutinized jointly by Indenting Department, Finance
Department and Contracts Department.
(vii) Contracts Department to process Tender Committee Resolution
recommending award of contract to the eligible short listed
applicants and place it before the competent authority for approval.
(viii) Issuance of LOA to the approved applicants (contractors).
(ix) Signing of Formal Contract Agreement by the contractors after
submission of Performance Security.
(x) Placement of vehicles at Indenting Department.
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44.5 BUSES (BIG &MINI & AC BUS) AT RATES OFFERED BY OIL
In case of hiring of Buses (Big & Mini & AC Bus), tenders shall be floated
at rates offered by OIL with financial and other eligibility criteria. In case
the number of acceptable bidders exceeds the required numbers, the
selection of bidders shall be done through Draw of Lots amongst the
bidders fulfilling the eligibility criteria.
In case of tenders where the no. of applicants / bidders are more than the
requirement, selection of short-listed applicants / bidders shall be done
through Draw of Lots.
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Finance Department and Contracts Department shall be involved. Draw
of Lots shall be conducted by Tombola cages and no. of Tombola cages to
be used shall depend upon the no. of participants in the Draw of Lots.
Attending applicants or any interested public shall be allowed to pick up
the numbers allotted for Draw of Lots against the applicants / bidders.
The list duly signed by company representatives attending the Draw of
Lots and approved by Head-Contracts of selected applicants / bidders
through Draw of Lots shall be displayed in the Notice Board after the
Draw of Lots. Audio & Video recordings of Draw of Lots proceedings shall
be done subject to availability of such systems.
44.11 In case of Hiring Transport Services in for the following categories the
normal tendering procedure shall be followed:
In case of deviation to the Policy itself, the same shall require the
approval of CMD based on the recommendation of the Tender
Committee to be routed through concerned Director and Director
(Finance).
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issued by Corporate C&P for compliance across OIL and this circular
shall be uploaded on OIL's intranet portal.
50.3 After above activities, wherever necessary, the Letter of Credit should be
issued as per approved and accepted format of LC so as to give effect to
the contract.
50.4 PRE-DESPATCH INSPECTION:
In case of supply contract, OIL has to organize placement of inspector at
the works of the supplier for inspection of the material and issuance of
release note for despatch. This activity should be done promptly on
receipt of intimation from the supplier regarding readiness of the
material and gives notice of inspection.
50.5 TRANSIT INSURANCE:
i) All supplies for equipment / materials are to be insured by OIL for
transit risk, unless specified otherwise in the contract, to cover
damages during the transportation.
ii) Any damage during the transportation shall be notified to the under-
writers as well as transporting agency for further necessary action in
order to recover the transit damage.
iii) In order to cover the insurance of the goods dispatched / shipped,
vendor are required to furnish the dispatch / shipping details to the
insurance company with complete dispatch details along with policy
no. etc.
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50.6 Wherever required, necessary clearance of the certificates like EC from
DGH needs to be obtained timely, so as to provide same to the
contractor.
50.7 In case of import cases, the necessary clearances from Transchart need
to be obtained, wherever necessary in accordance with the guidelines
issued from Govt of India expeditiously so as to communicate decision
to the supplier regarding terms of shipment (FOB, C&F or CIF).
The activities described in 41.4, 41.5, 50.6 & 50.7 shall be co-ordinated
by Corporate C&P at Noida. However, necessary details like purchase
order etc. shall be provided by the C&P department at the respective
Sphere / Project.
50.8 Custom clearance of imported goods, payment of custom duty and
inland transportation of the goods to respective spheres / projects.
These activities are carried out by Calcutta Shipping Office.
50.9 Retirement of shipping documents from bank for imported items for
custom clearance and payment of customs duty is organized by
Calcutta Shipping Department.
50.10 In case of indigenous supply, where documents are submitted through
bank by the supplier, the respective C&P department co-ordinates with
Finance for retirement of documents form bank.
50.16 In case there is a delay in supply of goods and services, except in case
of force majeure and reasons attributable to buyer, LD shall be levied as
per provision of the contract. In case the supplier does not reduce
proportionately the invoice value towards applicable LD as per the
provision of the contract, OIL has right to recover the same, from
payment due to the supplier.
50.17 Date of delivery / completion date shall be date of bill of lading, date of
RR / LR, date of successful commissioning and handing over as
provided in the contract. Under a supply contract, if the portion of
supply completed in all respect which can be used for commercial
operation shall not be considered for applying LD, if delivered within
contractual delivery period.
50.18 The LD shall not be leviable in case of force majeure and OIL’s default in
performance of its obligation in terms of contract. It is often experienced
that many a times owner accepts its default on its own account for
including but not limited to non-supply of issue material, non-
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availability of front, delay in providing drawing etc. leading to time
extension without LD. Since applicability of LD clause is a condition on
which bids were invited a detailed analysis shall be made to arrive at
default on part of the contractor and at the same time default on part of
the owner before arriving at the decision of levying LD or otherwise.
In case of works, where company (OIL) takes over certain facilities for
the envisaged objectives, which can be commissioned and can function
independently irrespective of the availability of balance work of the
project, OIL may issue part completion certificate by taking over such
facilities without imposing LD. Where such facilities cannot be
commissioned and cannot function independently, LD in that event
shall be levied on full value of the contract.
50.19 While working out the LD in case of supply contract, the contract value
is to be considered on FOB / CIF / FOR / Ex-works / FOT based on the
contract excluding statutory taxes, duties, levies etc.
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should be suitably extended without prejudice to right of levying price
reduction schedule / liquidated damages. This action is necessary so as
to keep the contract in continuation till the completion of the delivery.
The final time extension to the contract is to be given after analyzing all
aspects of delay, provision of levying LD at this stage, the default on part
of contractor as well as on the part of the owner needs to be critically
analysed to arrive at the decision.
Once the discrepancy report with respect to short supply, inferior quality
of material, defective and damaged material is prepared, immediately the
matter should be taken up with the supplier to supply replacement of
such items free of cost as per the terms of the contract.
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Once the supply and work is completed, the purchase order / contract
needs to be closed as per the provision of the contract. At this stage it is
to be settled and declared by both the parties that there is no
outstanding issue in relation to the contract.
The following may be ascertained as per the provision of the contract:
i) The supply has been made as per the specification and scope as
prescribed in the purchase order.
ii) In case of works / supply contract, the job has been performed at
work site as per the provision in the contract.
iii) The supply / work has been completed within the contractual
delivery / completion schedule. In case there is a delay due to
certain reason, the case has been properly analyzed and provision
of the LD has been applied.
iv) Payments in accordance with the provision of purchase order /
contract based on necessary inspections / joint measurements have
been made and any or all bank guarantees for performance /
security to cover the guarantee / warranty as provided for in the
purchase orders / contract have all been obtained from the vendor
/ contractor.
v) In case of free-issue material, all material issued have been
reconciled and any excess material issued has been returned to
OIL. Any excess consumption of the material or scrap generation
has been duly accounted for and recovery if any has been made
from the contractor.
vi) In case of shortage and damages observed in the material received,
either necessary replacement has been obtained from the contractor
or claim has been lodged for replacement as per the provision of the
contract. In case of works contract, for any damages or defects
noticed in the works executed by the contractor, necessary
rectification has been carried out and recovery if any made in that
regard from the contractor.
vii) In relation to any extra work, addition deletion, short supply,
necessary analysis has been done and either extra payment or
recovery has been affected for as per provision of the contract.
In case of purely a supply contract for goods, the purchase order can be
closed once the supply is affected and payment released as per the
provision of the contract. However, if there are issues related to
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applicability of LD, claim etc., this may require a recommendation of a
committee consisting of C&P, Finance and user department for approval
by competent authority.
In case of contracts which are little complex considering extra work,
delays, extra consumption of material, recoveries, claims etc. a
committee recommendation consisting of members from C&P, Finance
and user department will be necessary for approval by competent
authority.
The competent authority shall generally be the one who approved the
award. However, the cases which were awarded with the approval of
Director /CBC / Board of Directors, LMC may approve such cases.
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