KPPRA

Template Procurement Manual

November 18, 2019

Table of Contents
1 Introduction .............................................................................................................. 3
1.1 Use of this template ............................................................................................................................... 3
1.2 Revisions ................................................................................................................................................ 3
2 Procurement Principles ............................................................................................ 4
2.1 Procurement Principles ......................................................................................................................... 4
2.2 Code of ethics ......................................................................................................................................... 4
2.3 Procurement Cycle ................................................................................................................................. 4
3 Steps in a Procurement Cycle .................................................................................... 5
3.1 Procurement Planning ........................................................................................................................... 5
3.2 Constitution of Procurement Committee ............................................................................................. 7
3.3 Developing Bid Solicitation Documents (BSDs) .................................................................................. 8
3.4 Prequalification/Short-Listing .............................................................................................................17
3.5 Advertisement/Solicitation of Bids .....................................................................................................20
3.6 Bid Opening and Evaluation ............................................................................................................... 22
3.7 Announcement of Bid Evaluation ....................................................................................................... 25
3.8 Grievance Redressal............................................................................................................................. 25
3.9 Contract Administration ...................................................................................................................... 27
4 General Provisions .................................................................................................. 30
4.1 Enlistment ............................................................................................................................................ 30
4.2 Unsolicited Proposal ............................................................................................................................ 31
4.3 Record Keeping .................................................................................................................................... 32
4.4 Blacklisting of suppliers, contractors and consultants ...................................................................... 33
4.5 Community Participation .................................................................................................................... 34
Annexure A: Procedure for Alternate Method of Procurement of Goods – Petty Purchases
through Single quotation. .................................................................................................. 35
Annexure B: Procedure for Alternate Method of Procurement of Goods – Request for
Quotation. .......................................................................................................................... 36
Annexure C: Hiring of Individual Consultants. ...................................................................37
Appendix D: Annual Procurement Plan Format ................................................................. 38
1 Introduction
The objectives of this manual are to provide procedural guidance on managing procurements in
compliance with the regulatory framework in Khyber Pakhtunkhwa.

This manual should be read in conjunction with the following:

1. Khyber Pakhtunkhwa Public Procurement Regulatory Authority Act, 2012 (“KPPRA Act”)
2. Khyber Pakhtunkhwa Public Procurement of Goods, Works and Services Rules, 2014 (“KPPRA
Rules” or “the Rules”)
3. Khyber Pakhtunkhwa Public Procurement Grievance Redressal Rules, 2017. (“GR Rules”)
4. Guidelines for Grievance Redressal in Public Procurement published by KPPRA. (“GR
Guidelines”)
5. Guidelines for preparation of annual procurement plans published by KPPRA. (“APP
Guidelines”)
6. Regulation VIII about Procurement Committees published by KPPRA.
7. Other notifications and circulars published by KPPRA from time to time.

This manual is issued at June 21, 2019, and any changes in the regulatory environment since then
are not covered. Where there is a conflict between KPPRA Rules and this manual, KPPRA Rules
shall prevail.

1.1 Use of this template

This manual contains placeholders for the following:

[Procuring Entity(PE)]
[Head of PE]
[Procuring Officer TBD]
[Finance Officer TBD]

It is the procuring entity’s responsibility to replace the placeholders with assigned designations.
After approval from competent authority at the level of procuring entity. The competent authority
at Procuring Entity level may submit the customised manual to KPPRA for vetting.

1.2 Revisions

<procuring entity> would need to update this manual in line with amendments in KPPRA Rules or
to reflect changes in business processes. Any change shall not be in contravention with KPPRA Act,
KPPRA Rules or Regulations.

The authority for approval of revision shall rest with the competent authority within procuring
entity who approved the manual.
 2 Procurement Principles
2.1 Procurement Principles
All procurements carried out by <procuring entity> shall comply with the Khyber Pakhtunkhwa
Public Procurement of Goods, Works and Services Rules, 2014 and other instructions issued by
KPPRA from time to time, and will be guided by the following key principles:

“Procurement process shall promote principles of transparency, value for money,

accountability and swift grievance handling” (KPPRA Act Section 3)

These founding principles serve as overarching framework and values to be applied throughout
the procurement process. In applying these principles, procurement function supports the
activities of the organization by avoiding waste of time and resources, producing the most
appropriate/ economical solution at all times, and safeguarding the interest of the organization
while also ensuring compliance with the requirements of KPPRA Act, Rules, Regulations and
instructions issued.

2.2 Code of ethics

Code of ethics issued by KPPRA and other laws & rules for the time being enforced, shall be
followed. Any deviation or non-compliance may lead to investigation or disciplinary procedures of
[PE].

2.3 Procurement Cycle

The procurement cycle consists of the following stages:

1. Procurement Planning
2. Constitution of Procurement Committee
3. Developing SBDs (Specs, SOR/SOW & Evaluation)
4. Enlistment/Prequalification/Post-qualification (if required)
5. Advertisement/Solicitation of bids
6. Bid opening and evaluation
7. Announcement of Bid evaluation report
8. Grievance redressal
9. Contract administration

The next part (part 3) of this manual contains step by step procedure in a complete procurement cycle,
while part 4 of this manual contains general provisions related to the procurement process as a whole.
3 Steps in a Procurement Cycle
3.1 Procurement Planning
References:
Reference Brief description
Rule1 30 Requirement for Procurement Planning
Rule 31 Limitation on splitting or regrouping of proposed procurement
Guidelines for preparation of Guidelines
Annual Procurement Plans
KPPRA Act, Section 22 Procurement Planning is mandatory

In accordance with Section 22 of the KPPRA Act, <procuring entity> shall prepare an annual
procurement plan (APP) linked with the annual approved budget by <14 th July> each year. All goods,
works and services required in the coming financial year, keeping in view budget estimates and
allocations for the purpose will be included in the APP. The APP shall be prepared on the format
prescribed under “Guidelines for preparation of Annual Procurement Plans” (reproduced here as
Appendix A).

Responsibility Procedure Reference

[Procuring Step # 1: The [Procuring Officer TBD] shall collect information from the KPPRA APP
Officer TBD] following sources for preparation of APP: Guideline 7
 Coordination with user sections within the procuring entity to obtain
& forecasts of future procurement, usage or consumption (budgets, project
plan)
User Sections  Records of past procurement, usage or consumption, turnaround time
 Estimates for requirements to meet recurring natural calamities and
emergencies
 Market survey reports (available suppliers, pricing etc.)
 Changes in technology or specifications of procurement items or objects
 Requirements of development projects and programs, including both on-
going and new
 Information on inflation and price trends
 Information on budget trends
 Stock records where stock of items to be procured is maintained

[Procuring Step # 2: The [Procuring Officer TBD] after having received data will adjust KPPRA APP
Officer TBD] the list of procurement items or objects and quantities required against stock Guideline
inventory position, if any, to determine requirement for fresh procurement.
6,7,8,9,10
The required items and quantities may be grouped into packages where
required as per guidance provided in KPPRA APP guidelines 7(4)-7(8). The KPPRA Rule
costs of the individual items/packages may be estimated as per guidance 31A
provided in APP guideline 8. Further guidance on timeline assessment is given
in APP guideline 10.

Then based on the estimated cost the appropriate procurement method (such
as Open Competitive Bidding / Petty Purchases etc.) and procedure (such as
single stage one envelope etc.) to be used may be recommended to the
approving authority by inclusion in the APP format given in Appendix A.

The APP shall show the start date of the procurement cycle, the type of
procurement method to be adopted, and the target date for award of contract.

1 References to Rules are references to Khyber Pakhtunkhwa Public Procurement of Goods, Works and Services Rules, 2014
Responsibility Procedure Reference

The estimated cost may be redacted from the APP in case of procurement of
goods.

[Finance Officer Step # 3: The APP shall be submitted for a budgetary check to the [Finance
TBD] Officer TBD], who will check each category of items against the relevant
annual budget line items. If there is any discrepancy, APP will be sent back to
[Procuring Officer TBD] for amendment. If the APP is within budget it shall be
signed by [Finance Officer TBD]

[Head of PE] Step # 4: The APP shall be submitted for the approval of [Head of PE]. KPPRA APP
Guideline 5

[Procuring Step # 5: The APP shall be posted on <procuring entity>’s web site and on KPPRA APP
Officer TBD] KPPRA website, before 31st July of the current financial year (CFY) where it Guidelines
shall remain posted till completion of its execution. The PE may like to modify notified by
/ amend APP as per budget allocation / releases during the fiscal year. the
Authority

Rule 31

[Procuring Step # 6: [Procuring Officer TBD] shall record actual dates and amounts
Officer TBD] against their planned timelines to facilitate the comparison between planned
and actual execution, and form a basis for quarterly revision.

[Head of Step # 7: The [Head of procurement Section of PE] shall monitor KPPRA APP
procurement implementation of the APP using Gantt charts or other suitable techniques on Guidelines
Section of PE] a quarterly basis and revise the procurement plan if required. notified by
the
Further guidance: Rule 31 imposes limitations on splitting or regrouping of
Authority
proposed procurement while revising annual procurement plan except under
limited conditions stated in the rule. Rule 31
 3.2 Constitution of Procurement Committee
References:
Reference Brief description
Rule2 32 Procurement Committee

Responsibility Procedure Reference

[Head of PE Step # 1: [Head of PE] shall notify Procurement Committees for Goods, Works Rule 32
and Services. Procurements shall be approved by the [Head of PE] in line with
the delegation of financial powers. See 3.2.1 for further detail below.

The Procurement Committees shall have at least one member either from
Accounts, Finance or Planning Sections of PE. The [Head of PE], shall include a
technical member from the relevant line department of Government or hire a
technical expert, in all procurement of works, and a technical member can also
be hired for complex procurements in any category.

If the situation so warrants, in accordance with Section 6 Chapter IV of Khyber

Pakhtunkhwa Prevention of Conflict of Interest Act 2016, any committee
member so appointed is required to inform the appropriate authority and
recuse themselves from responsibilities.

[Head of PE] Additional Note: For convenience and efficiency’s sake [Head of PE] may
notify separate sub committees for bid opening, bid evaluation etc. These
subcommittees, if any, shall perform their function in subordination to the
procurement committee notified for the purpose.

The [Head of PE] shall constitute a committee for inspection. As per best
procurement practice, the Inspection committee shall have composition
different from the composition of Procurement Committee.

2 References to Rules are references to Khyber Pakhtunkhwa Public Procurement of Goods, Works and Services Rules, 2014
 3.3 Developing Bid Solicitation Documents (BSDs)
For this step, please see the relevant part of this manual below, depending on the nature of item/object
being procured:
3.3.1 Procurement of Goods
3.3.2 Procurement of Works and Non-Consulting Services
3.3.3 Procurement of Consulting Services

3.3.1 Procurement of Goods

References:
Reference Brief description
KPPRA Act Position of fund availability / anticipatory approval of the competent authority or
Section 22 (3) forum
KPPRA Act Adoption of standard bidding documents
Section 23
KPPRA Act Bid Documents to detail the evaluation methodology
Section 28 (d)
Rule 6(2) Goods: Select method of solicitation - Stages and no. of envelopes
Rule 6(3) Goods: Option to prequalify or post qualify
Rule 9 Goods: Guidance on post qualification
Rule 10(a) Goods: Alternate methods for procurement of goods method for ≤Rs.50,000
Rule 10(b) Goods: RFQ3 method for Rs. 50,000 – Rs. 100,000
Rule 4 Language
Rule 5 Code of ethics and integrity pact
Rule 12 Bid security
Rule 13 Goods warranty
Rule 33(1)-(4) Bid solicitation documents
Rule 35(1) Bid validity
Rule 40 Discriminatory and difficult conditions
Rule 41(a),(d),(e) International Competitive Bidding

Responsibility Procedure Reference

[Procuring Step # 1: The [Procuring Officer TBD] shall initiate procurement process KPPRA Act
Officer TBD] according to the procurement plan. As per KPPRA Act Section 22(3), a Section
procuring entity may proceed with the procurement proceedings except for 22(3) and 23
award of contract when the availability of funding in the full amount over the
required period remains to be confirmed/approved by the competent authority,
provided that the project has been approved or has received anticipatory
approval from the competent authority/forum or is otherwise within the
competence of the procuring entity and budget provision exists.

3 Request for Quotation

Responsibility Procedure Reference

[Procuring Step # 2: [Procuring Officer TBD] shall choose solicitation method based on
Officer TBD] the thresholds in Rules:

1. Petty Purchases through single quotation / invoice - for purchases up

to Rs. 50,000. For step by step process, refer Annexure A.
2. RFQ Method through minimum three quotations– for purchases
between Rs. 50,000 to Rs. 100,000. For step by step process, refer
Annexure B.
3. Open Competitive Bidding through advertisement on PE and KPPRA
website and PE may like to advertise in print media if deemed
appropriate for wider circulation at local level, for purchases between
Rs. 100,000 and Rs. 2,500,000.
4. Open Competitive Bidding through advertisement/tender on PE and
KPPRA website and print media (at least one English and Urdu daily
newspaper with nationwide circulation) – for purchases above Rs.
2,500,000.

[Procuring Officer TBD] shall move a note to the [Head of PE] with
recommendation about the method of procurement, for further processing.

User section Step # 3: User section will define requirements in the form of technical
specification and forward them to the Procurement Committee for Goods:

(i) a detailed description of goods sought;

(ii) quantity to be procured;
(iii) required delivery date;
(iv) delivery location;
(v) estimated price, and
(vi) any additional information (e.g. standardization, preferred method of
shipment, etc.)
(vii) whether warranty required

Note1: No condition shall be introduced which discriminates between bidders

or that is considered to be met with difficulty.
Rule 40
Note2: While doing this they would consider whether there is a need for
International Competition, and if so define the technical specifications using
terms as per international standards or commonly used in International trade.

Note3: All bid solicitation documents shall fully and comprehensively detail
the evaluation methodology and criteria relevant to the particular Rule 28(d)
procurement

Procurement Additional Note: Procurement Committee for Goods shall recommend

Committee for whether pre/post qualification is required.
Goods
Post qualification is mandatory if prequalification not done, and the
procurement is of goods of a complex nature and valuing Rs. 15 million or
above.

When the Procurement Committee decides to go for prequalification / post

qualification they would define the criteria for prequalification / post
Responsibility Procedure Reference

qualification and provide to [Procuring Officer TBD] at this stage. (further steps,
if prequalification is chosen, are given in part 3.4 of this manual)

Procurement Step # 5: Procurement Committee for Goods shall recommend procurement

Committee for procedure in case of Open Competitive Bidding:
Goods
1. Single stage – one envelope (for goods of standard nature with cost
being the only determining factor)
2. Single stage – two envelope (for specialised goods, where technical bid
will be evaluated first and financial bid evaluated later, for those bids
that are technically responsive. Financial bids of technically
responsive bidders shall be opened only.)
3. Two stage – two envelope (for specialised goods where multiple
solutions are possible; in the first stage technical and financial
proposal are invited, the technical proposal will be opened and the
bidders invited one by one to discuss the solution provided by them.
On the basis of discussion, due to change in scope/specifications, the
bidders will be allowed to submit a revised technical proposal and if
need be a supplementary financial proposal.)
4. Two stage – one envelope, post qualification (for specialised goods.
Technical proposal invited first. Financial proposal invited from
technical responsive bidders. Post-qualification criteria checked for
best evaluated bidder i.e. lowest financial bid that is technically
responsive. If the bidder meets criteria, letter of acceptance shall be
issued. In case the bidder does not qualify on the criteria, then the
next lowest financial bid shall be checked against post qualification
criteria, until a bidder is qualified and contract is reached.)

[Procuring Step # 6( only for prequalification) [Procuring Officer TBD] shall prepare Rule 36
Officer TBD] a Notice for prequalification, which will include subject matter of procurement
(without detailed specifications), instructions for preparation and submission
of the pre-qualification documents, the prequalification criteria and the list of
documentary evidence required from suppliers. (further steps, if
prequalification is chosen, are given in part 3.4 of this manual)

[Procuring Step # 7: [Procuring Officer TBD] will use one of the following standard
Officer TBD] bidding documents notified by KPPRA for goods depending on the threshold:

- SBDs for goods (small procurements up to Rs. 10 million)

- SBDs for large goods (above Rs. 10 million)

Procuring Officer (TBD) will customise the SBDs to include:

- procurement requirements/specifications,
- whether prequalification required,
- information required in technical proposal & financial proposal
- detailed criteria of evaluation of proposals,
- procedure for submission of bids (as decided in Step # 5)
- date up to which bids can be submitted and mode of submission
- post/pre qualification criteria (if any)
- bid validity period required by [PE] Rule 35
- bid security required by [PE] Rule 39
- Currency of evaluation
Responsibility Procedure Reference

Note: In case of International Competitive Bidding the bidding documents

shall be in English.

Procurement Step # 8: Procuring Officer TBD] shall submit the revised SBDs for the
Committee for recommendation of the Procurement Committee for goods.
goods
 3.3.2 Procurement of Works and Non-Consulting Services
References:
Reference Brief description
Rule 14 Works and Services: Select method of solicitation - Stages and no. of envelopes
Rule 18(a) Works and Services: Alternate methods for procurement of works ≤Rs.50,000
Rule 18(b) Works and Services: RFQ method for Rs. 50,000 – Rs. 100,000
Rule 4 Language
Rule 5 Code of ethics and integrity pact
Rule 17 Post qualification of contractors
Rule 20 Bid security
Rule 21 Performance guarantee
Rule 33 Bid solicitation documents
Rule 35 Bid validity
Rule 37A Registration with KPRA
Rule 40 Discriminatory and difficult conditions
Rule 41(a),(d),(e) International Competitive Bidding

Responsibility Procedure Reference

[Procuring Step # 1: The [Procuring Officer TBD] shall initiate procurement process KPPRA Act
Officer TBD] according to the procurement plan. As per KPPRA Act Section 22(3), a Section 22(3)
procuring entity may proceed with the procurement proceedings except for
award of contract when the availability of funding in the full amount over
the required period remains to be confirmed/approved by the competent
authority, provided that the project has been approved or has received
anticipatory approval from the competent authority/forum or is otherwise
within the competence of the procuring entity and budget provision exists.

[Head of PE] Step # 2: [Head of PE] shall choose solicitation method based on the
thresholds in Rules (recommendations to [Head of PE] may be made by
procurement committee) :

1. Alternate methods for procurement of works (Petty Purchases) -

for procurement up to Rs. 50,000 by obtaining a single quotation /
invoice. For step by step process, refer Annexure A.
2. Alternate methods for procurement of works (RFQ Method) – for
procurement between Rs. 50,000 to Rs. 100,000, by obtaining
minimum 3 quotations. For step by step process, refer Annexure B.
3. Open Competitive Bidding – for procurement above Rs. 100,000

[Procuring Officer TBD] shall move a note to the [Head of PE] with
recommendation about the method of procurement, for further processing.

User Section Step # 3: User Section will define scope of works (SoW) and forward it to Rule 33(2)
the Procurement Committee for works, the SoW may include:

(i) Description of the works required, and the location,

(ii) Drawings and designs of works required, if any;
(iii) Bill of quantities (BoQ) and estimated costs;
(iv) Time period for completion / required delivery date;
(v) any additional information (e.g. preferred material used etc.)
(vi) defect liability period
Responsibility Procedure Reference

(vii) requirements should state that contractor must be registered with

KPRA, if supplying services that are taxable under Schedule II, of KP
Rule 37A
Finance Act 2013, as per Rule 37A.

Note1: No condition shall be introduced which discriminates between

Rule 40
bidders or that is considered to be met with difficulty.

Note2: While doing this they would consider whether there is a need for
Rule 41
International Competition, and if so define the Scope of Works (SoW)
using terms as per international standards or commonly used
internationally.

Procurement Step # 4: Procurement Committee for Works shall recommend whether

Committee for pre/post qualification is required, or if bidding should be from enlisted
Works contractors.

When Procurement Committee decides to go for prequalification / post

qualification they would define the prequalification / post qualification
criteria and provide it to [Procuring Officer TBD] at this stage.

Note1: Further guidance on pre-qualification / post-qualification criteria is

Rule 16
available in Rule 16, and Rule 17. (further steps, if pre-qualification is chosen,
are given in part 3.4 of this manual) Rule 17

Note2: As per Rule 37A, the contractor must be registered with KPRA if Rule 37A
supplying services that are taxable under Schedule II, of KP Finance Act 2013.

Procurement Step # 5: Procurement Committee shall also choose procurement

Committee for procedure in case of Open Competitive Bidding:
works
1. Single stage – one envelope (for minor standard works with cost
the only determining factor)
2. Single stage – two envelope (for large and complex contracts,
where prequalification is mandatory, and technical bid will be
evaluated first and financial bid evaluated later, for those bids that
are technically responsive). Further information on the Single
Rule 14(2)
stage – two envelope process is given in Rule 14(2) (b).
3. Two stage – two envelope (for turnkey contracts where multiple
solutions possible; usually large and complex projects to ensure
that all technical proposals conform same technical standards
which are required by [PE]. In the first stage technical and
financial proposal will be invited, the technical proposal will be
opened and the bidders invited one by one to discuss the solution
provided by them. On the basis of discussion due to change in
scope/specifications, the bidders will be allowed to submit a
revised technical proposal and if need be a supplementary financial
proposal, or they might choose to withdraw. Further
information on two stage – two envelope process is available in
Rule 14(2)(c).

[Procuring Step # 6(only for prequalification) [Procuring Officer TBD] shall Rule 36
Officer TBD] prepare a Notice for prequalification, which will include subject matter of
Rule 16(2)
procurement (without detailed specifications), instructions for preparation
Responsibility Procedure Reference

and submission of the pre-qualification documents, the shortlisting criteria

and the list of documentary evidence required from contractors.

For examples of shortlisting criteria for prequalification, see Rule 16 (2).

[Procuring Step # 7: [Procuring Officer TBD] will use one of the following standard
Officer TBD] bidding documents notified by KPPRA for works depending on the
threshold:
- SBDs for works (for smaller contracts under Rs. 45 million)
- SBDs for works (for large contracts over Rs. 45 million)

Procuring Officer (TBD) will customise the SBDs to include:

- Technical specifications (including drawings, BOQs, estimated
costs , default liability period)
- Expected commencement of contract and time period of
completion,
- information required in technical proposal & financial proposal
(For single stage-two envelope it is mandatory to require the
information contained in Rule 14(2)(b)(v) for technical proposals) Rule 14(2)
- detailed criteria of evaluation of proposals,
- post qualification criteria (if any),
- procedure for submission of bids (as decided in Step # 5),
- date up to which bids can be submitted and method of submission
- bid validity period required by [PE] Rule 35
- bid security required by [PE] Rule 39
- Currency of evaluation Rule 50(3)
- Close of contract, and payment of final bills as per Rule 50.

Note: In case of International Competitive Bidding the bidding documents

shall be in English.

Procurement Step # 8: Procuring Officer TBD] shall submit the draft BSDs for the
Committee for recommendation of the Procurement Committee for works.
works
 3.3.3 Procurement of Consultancy Services
This part of the manual applies only to “consulting services which are of an intellectual and
advisory nature and differ from the other types of services directly connected with the
procurement of goods and works in which the physical component of the activity is the main
function and often involves equipment-intensive assignments” – Rule 22

References:
Reference Brief description
Rule 23(a) Consultancy Services: Quality Based Selection
Rule 23(b) Consultancy Services: Quality and Cost based Selection
Rule 23(c) Consultancy Services: Least Cost
Rule 23(d) Consultancy Services: Direct Procurement
Rule 23(e) Consultancy Services: Fixed Budget
Rule 4 Language
Rule 5 Code of ethics and integrity pact
Rule 26 Criteria for shortlisting consultants
Rule 27(2) Request for proposal
Rule 28 Hiring of individual consultants
Rule 33(1)-(4) Bid solicitation documents
Rule 35(1) Bid validity
Rule 37A Registration with KPRA
Rule 40 Discriminatory and difficult conditions
Rule 41(a),(d),(e) International Competitive Bidding

Responsibility Procedure Reference

[Procuring Step # 1: The [Procuring Officer TBD] shall initiate procurement process Section
Officer TBD] according to the procurement plan. As per KPPRA Act Section 22(3), a 22(3)
procuring entity may proceed with the procurement proceedings except for
award of contract when the availability of funding in the full amount over the
required period remains to be confirmed/approved by the competent
authority, provided that the project has been approved or has received
anticipatory approval from the competent authority/forum or is otherwise
within the competence of the procuring entity and budget provision exists.

[Procuring Step # 2: [Procuring Officer TBD] shall move a note to the procurement
Officer TBD] committee for defining TORs and selection of procurement method, and
further processing.

User Section Step # 3: User Section will define requirements in the form of Terms of
Reference(ToRs), and forward it to the Procurement Committee for Services.
The ToRs may include:

(i) Description of the objectives, goals and scope of the assignment.

(ii) Services and surveys necessary to carry out the assignment
(iii) Expected outputs,
(iv) Evaluation Criteria
Rule 40
Note1: No condition shall be introduced which discriminates between
bidders or that is considered to be met with difficulty.
Responsibility Procedure Reference

Note2: While doing this they would consider whether there is a need for
International Competition, and if so define the TORs using terms as per
international standards.

Procurement Step # 4: Procurement Committee for Services shall choose whether short-
Committee for listing is required (required where experience of the entity/consultant is of
Services importance). For procurement of services from individual consultant, please
refer to Annexure C.

If the Procurement Committee decides to go for shortlisting they would define

the criteria for shortlisting and provide it to [Procuring Officer TBD] at this
stage.

Procurement Step # 5: Procurement Committee shall also choose system of selection:

Committee for
(i) quality based selection (QBS
Services
(ii) quality and cost based selection (QCBS)
(iii) least cost
(iv) single source or direct selection
(v) fixed budget

More information on when to use which method is available in Rule 23.

[Head of PE] Step # 6 (Single source only): Where single source is deemed the best Rule 28(3)
method for procurement, the approval of [Head of PE] is required to be
obtained. As per Rule 28(3) single source procurement of an individual
consultant may be selected on a single-source basis (with due justification) in
exceptional cases; such as for a task that is a continuation of previous work
that the consultant has carried out and for which the consultant was selected
competitively

[Procuring Step # 6(where shortlisting is required) [Procuring Officer TBD] shall Rule 25
Officer TBD] prepare an EOI-Expression of Interest request, which would include:

(i) the name and address of procuring entity

(ii) an appropriate description of the assignment providing scope of the
intellectual and professional services required
(iii) deadline and place of the submission of expression of interest; and
(iv) criteria for short-listing

For further details regarding shortlisting criteria , see Rule 26 (2) & (4)
Rule 26

[Procuring Step # 7: [Procuring Officer TBD] will use Standard Bidding Documents Rule 27
Officer TBD] notified by KPPRA for procurement of consultancy services. The Standard
Rule 27 (3)
Request for Proposal (SRFP) will be modified to include:
Rule 27
- Name and address of [PE]
(2)(e)
- Terms of reference (defined in Step # 3)
- Criteria of evaluation of proposals (as decided in Step # 5)
- Instructions to consultants about information required in technical
proposal & financial proposal
- Any other instructions to consultants, such as date up to which bids
can be submitted (at least 2 weeks) and method of submission,
- Type of contract (lump sum, or time based, or hourly rates). For
details about types of contract see Rule 27(2)(e).
 Responsibility Procedure Reference

- Bid validity period required by [PE] Rule 39

- Currency of evaluation

Note: In case of International Competitive Bidding the bidding documents

shall be in English.

Procurement Step # 8: Procuring Officer TBD] shall submit the RFP for the
Committee for recommendation of the Procurement Committee for Services.
Services

3.4 Prequalification/Short-Listing
References:
Reference Brief description
Rule 8 Prequalification (Goods)
Rule 16 Prequalification of contractors (Works)
Rule 36 Prequalification process
Rule 26 Criteria for short-listing of consultants

3.4.1 Prequalification in the procurement of Goods

Responsibility Procedure Reference

[Procuring Step #1 [Procuring Officer TBD] shall advertise the Notice for prequalification Rule 8
Officer TBD] prepared in 3.3.2 (Step#6), in accordance with the rules of advertisement in
public procurement (ref: 3.5 Solicitation). The response time from the date of
publication of advertisement would not be less than fifteen (15) days for
National Competition and thirty (30) days for International Competition.

[Procuring Step #2: Procuring Officer TBD] shall provide any prospective bidder with the Rule 36
Officer TBD] set of prequalification documents, after collecting payment fee (which is not in
excess of printing costs)

[Procuring Step #3: : The responses from bidders would be received in accordance with the
Officer TBD] rules of public procurement (refer to the procedure for receiving in Step #1, of
part 3.6 of this manual)

Procurement Step #4: Procurement Committee of Goods would evaluate the responses in
Committee of line with the pass/fail thresholds of criteria pre-determined in 3.3.2 (Step#3)
Goods and published in the Notice for prequalification.

[Procuring Step # 5: [Procuring Officer TBD] shall promptly notify each prospective Rule 36
Officer TBD] bidder whether or not they have been pre-qualified.

[Procuring Step #6: [Procuring Officer TBD] will provide Bid Solicitation Documents
Officer TBD] (customised in 3.3.1 (Step#7)) to the short listed suppliers by following the
steps in 3.5 Solicitation.
 3.4.2 Prequalification in the procurement of Works and Non-Consultancy Services

Responsibility Procedure Reference

[Procuring Step #1: [Procuring Officer TBD] shall advertise the notice for prequalification Rule 34
Officer TBD] prepared in 3.3.2 (Step#6), in accordance with the rules of advertisement in
public procurement (ref: 3.5 Solicitation). The response time from the date of
publication of advertisement would not be less than fifteen (15) days for
National Competition and thirty (30) days for International Competition.

[Procuring Step #2: [Procuring Officer TBD] shall provide any prospective bidder with the Rule 36
Officer TBD] set of prequalification documents, after collecting payment fee (which is not in
excess of printing costs)

[Procuring Step #3: The responses from bidders would be received in accordance with the
Officer TBD] rules of public procurement (refer to the procedure for receiving in Step #1, of
part 3.6 of this manual).

Procurement Step #4: Procurement Committee for Works would evaluate the responses in Rule 16
Committee for line with the pass/fail thresholds of short listing criteria pre-determined in
Works 3.3.2 (Step#4) and published in the Notice for Prequalification. These might
include:
a. legal status along with proof of registration with PEC and enlistment
with the concerned provincial Government PE;
b. proof of valid or renewed relevant registration;
c. proof of being a taxpayer; registration with KPRA is mandatory if
providing services mentioned in Schedule-II of the KP Finance Act,
2013. And this is a mandatory prequalification requirement under
Rule 37A.
d. organizational profile, relevant experience, past performance, list of
clients and references;
e. existing capabilities with respect to technical personnel, computing
and engineering equipment, machinery and plant as may be the case
f. financial position for the last three years including bank statements
and audited reports by an external auditor
g. proof of possessing appropriate managerial capability;
h. any other factor that a procuring entity may deem relevant, and is duly
included in the bid solicitation documents, depending on the nature
and complexity of the contract but not inconsistent with the Act and
Rules.

[Procuring Step # 5: [Procuring Officer TBD] shall promptly notify each prospective Rule 36
Officer TBD] bidder whether or not they have been pre-qualified.

[Procuring Step #6: [Procuring Officer TBD] will provide Bid Solicitation Documents Rule 16(3)
Officer TBD] (customised in 3.3.2 (Step#7)) only to the pre-qualified bidders by following
steps in 3.5 Solicitation.
 3.4.3 Shortlisting in the procurement of Consultancy Services

Responsibility Procedure Reference

[Procuring Step #1: [Procuring Officer TBD] shall advertise the Expression of Interest Rule 25
Officer TBD] (EOI) prepared in 3.3.3 (Step#7), in accordance with the rules of advertisement
in public procurement (ref: 3.5 Solicitation). The minimum time given to
consultants to submit their interest to provide consultancy services would be at
least fifteen (15) days for national competition and thirty (30) days for
international competition.

[Procuring Step #2: [Procuring Officer TBD] shall provide any prospective consultant with Rule 36
Officer TBD] the set of short-listing documents.

[Procuring Step #3: The expression of interest (EOI) from consultants would be received
Officer TBD] in accordance with the rules of public procurement (refer to the procedure for
receiving in Step #1, of part 3.6 of this manual).

Procurement Step #4: Procurement Committee for Services would evaluate Expressions of Rule 26(2)
Committee for Interest (EOIs) in line with the short listing criteria pre-determined in 3.3.3 Rule 26 (4)
Services (Step#4) and published in the EOI request. The criteria that may be taken into Rule 26 (1)
consideration: Rule 37A
a. qualification;
b. general experience; or
c. specific experience, particularly of the last five years; or
d. registration with KPRA is mandatory if providing services mentioned
in Schedule-II of the KP Finance Act, 2013. And this is a mandatory
prequalification requirement under Rule 37A.
e. enlistment in contracts less than Rs. 100 million;
f. any other factor that a procuring entity may deem relevant, not
inconsistent with the Rules
Procurement Committee will shortlist minimum 3 and maximum 6 consultants.
However, if less than 3 candidates apply, their proposals may be considered on
merit.

[Procuring Step # 5: [Procuring Officer TBD] shall inform the consultants whether they Rule 26(3)
Officer TBD] have been shortlisted or not.

[Procuring Step # 6: [Procuring Officer TBD] will provide Requests for Proposal
Officer TBD] (customised in 3.3.3 (Step#8)) only to the short listed consultants by following
steps in 3.5 Solicitation.
3.5 Advertisement/Solicitation of Bids
References:
Reference Brief description
Section 24 of the KPPRA Requirement by procuring entity to call for bids
Act
Rule 3 Exemptions from advertisement and response time
Rule 3(2)(a) Emergency
Rule 3 (2)(b) National Security
Rule 3(2)(c) Direct sourcing from Government organization
Rule 10(d) Negotiated tendering
Rule 11 Method of advertisement (goods)
Rule 19 Method of advertisement (works)
Rule 25 Expression of interest
Rule 27 Request for proposal
Rule 27(3) Response time
Rule 33(5)-(7) Availability of bid solicitation documents
Rule 34 Response time
Rule 41(b)-(c) International Competitive Bidding

Responsibility Procedure Reference

[Procuring Step #1: [Procuring Officer TBD] shall prepare an advertisement with the Section 24
Officer TBD] requirements in short form but sufficient to be able to understand the object of and 25 of the
procurement. As per Rule 34 and Rule 27, response time shall not be less than 15 KPPRA Act
days for national competitive bidding or less than 30 days for international
Rule 11
competitive bidding. As per Section 24(2) of KPPRA Act the method for submission
of bids shall be determined by the type, complexity and evaluation method of the Rule 19
procurement in accordance with the rules
Rule 3
Note: Response time will be calculated from later date of publishing
Rule 10 (d)
advertisement in newspaper or on Authority’s website.
Rule 23(d)
The [Procuring Officer TBD] shall define minimum qualification requirements
for each bidder and include the same in the advertisement as defined in Section Rule 34
25 of the KPPRA Act.
Rule 27
Exceptions:

 Advertisement requirement might be foregone, in emergency, for sensitive

procurement, or in case of direct procurement from government
organisation. For details see Rule 3.
 Advertisement requirement may also be foregone in the case of petty
purchase (≤Rs. 50,000), request for quotation method (≤Rs. 100,000), or
negotiated tendering from a supplier allowed in circumstances as per Rule
10(d), alternate methods for procurement of goods allowed in the limited
circumstances defined in Rule 18(c), and single sourcing as per Rule 23(d)
with approval of [Head of PE].

[Head of PE] Step # 2: Advertisement will be approved by the [Head of PE]. For up to Rs. 2.5
million [Head of PE] will specify if advertisement in print media is required.
Responsibility Procedure Reference

Exception: Response time requirement might be foregone, in emergency, for Rule 3

sensitive procurement, or in case of direct procurement from government
organisation. For details see Rule 3.

As per Step # 3: Approval will be obtained for advertisement expense as per

delegation of delegation of financial powers.
financial powers

[Procuring Step # 4 (<Rs. 2.5 million): [Procuring Officer TBD] shall submit the Rule 11
Officer TBD] advertisement to IT Section for uploading on PE and KPPRA website.

Step # 4 (>Rs. 2.5 million): [Procuring Officer TBD] shall submit the
advertisement to at least one English and one Urdu daily with National
Coverage (for procurement above Rs. 2.5 million, or where required by [Head Rule 19
of PE] in Step # 2)

Step # 4 (International Competitive Bidding): [Procuring Officer TBD]

shall place advertisement in English language in a newspaper of sufficient Rule 41
circulation to attract foreign competition and may also place it on international
web pages famous for international bidding advertisement. In addition, a
procuring entity may transmit such invitations to embassies and trade
representatives of potential supplier countries.

[Procuring Step # 5: Prospective Suppliers / Contractors/ Consultants would collect the Rule 33
Officer TBD] bidding documents from the [Procuring Officer TBD] after paying a fee, either
in person or requested through courier (with additional postage charges
supplied as demand draft with the request)

As per Rule 33 they should be available from issuance date to a specified date.
The specified date could be closing date or earlier than the closing date of
tender, provided that it is not less than the minimum response time per Rule
34/Rule 27.

Procurement Step # 6: On instruction of the relevant Procurement Committee, [Procuring Rule 37

Committee Officer TBD] may call a pre-bid conference with the prospective bidders at least
(relevant) five working days before the last day for submission of bids if the procurement
is of complex nature and high value. The purpose of the pre-bid conference
would be to explain requirements to bidders so that comparable bids are
received.

[Procuring Additional Note(optional): If modification of solicitation documents is Section

Officer TBD] required it can be made by issuing an addendum or corrigendum. 23(9)

And Step # 8(optional):The addendum or corrigendum would be approved by the

[Head of PE].
[Head of PE]
Step # 9(optional): The bidders will have to be intimated publicly or
individually, at least five (5) days before the closing date.

Note: In case, the changes are substantial, the time for submission may be
extended proportionately, by issuing timely intimation to all bidders,
3.6 Bid Opening and Evaluation
Bid Opening
References:
Reference Brief description
Rule 14 (2)(b)(viii) Financial proposal of technically non-responsive bids to be returned
unopened
Rule 37(7)-(8) Bid Opening

Responsibility Procedure Reference

[Procuring Step #1: The [Procuring Officer TBD] shall receive sealed bids from the Rule 37
Officer TBD] bidders, in person at the place specified or receive by post at the address
specified in the bidding documents. (The method of submission previously
decided and communicated through the bidding documents)

The [Procuring Officer TBD] shall issue the bidder with a receipt showing the
date and time when the bid was received, if bid is submitted in person.

Note: Bids received after the prescribed time and date (as per BSDs or
subsequent corrigendum) shall not be entertained.

Procurement Step #2: Technical bids will be opened first by the Procurement Committee
Committee where required by the method of procurement chosen. These will be evaluated
(relevant) as per Section 4.7 of this manual, after which the Steps #3 to 4 will be followed
for opening financial proposal.

Note2: A bid once opened in accordance with the prescribed procedure shall be Rule 39
subject to only those rules, regulations and policies that are in force at the time
of issuance of notice for invitation of bids.

[Procuring Step #2: The financial bids will be opened on the closing date for submission of Rule 37 (7)
Officer TBD] & bids at the pre-specified time and place, in the presence of the procurement
Procurement committee, and bidders who choose to be present.
Committee Rule
Note: The financial proposals found technically non-responsive shall be
(relevant) 14(2)(b)
returned un-opened to the respective bidders
(viii)

Procurement Step #3:The name of the bidder, bid modifications, discounts or withdrawals, Rule 37 (8)
Committee presence of bid security or affidavit as the case may be and the total amount of
(relevant) each bid will be announced by a member of the Procurement Committee.
Rule 37(10)
Note: Procuring entity may ask bidder for clarification of the bid to assist in
the evaluation.

Note: Registration with KPRA is mandatory if providing services mentioned in Rule 37A
Schedule-II of the KP Finance Act, 2013. And bids would be rejected from
suppliers who do not conform with this requirement.

[Procuring Step # 4: Minutes of the Bid Opening meeting (announcements in Step # 3) Rule 37 (8)
Officer TBD] and an attendance sheet of all persons present (incl. bidders) will be
maintained by the [Procuring Officer TBD].

Note: A copy of the record will be made available to any bidder on request.
 Bid Evaluation
References:
Reference Brief description
Section 28(a), Available methods of procurement
KPPRA Act
Section 29, KPPRA Disqualification and debarment of bidders
Act
Rule 6A Single bid in goods
Rule 9 Post qualification
Rule 10 (b) (v) Tax amount to be added before comparison
Rule 10 (b) (vi) Evaluation of items against specifications
Rule 14 (2) (b) (vii) Single stage two envelope method for works
Rule 14 (2) (b) (ix) Two stage two envelope method for works
Rule 14A Single bid in works and non-consulting services
Rule 17 Post qualification of contractors
Rule 23A Single bid in consulting services
Rule 24 Conflict of interest (Consultancy services)
Rule 35 Bid validity
Rule 37A Registration with KPRA
Rule 38 Confidentiality
Rule 39 Bid evaluation
Rule 43 Disqualification of suppliers, contractors and consultants
Rule 47 Rejection of bids
Rule 48 Rebidding
As per Section 29 of the KPRRA Act and Rule 43 of the KPPRA Rules, the procuring entity shall
disqualify a supplier or contractor or consultant if it finds, at any time, that the information submitted
by him concerning his qualification as supplier or contractor was false and materially inaccurate or
incomplete.

As per Section 30 of the KPRRA Act and Rule 47 of the KPPRA Rules, the Procurement Committee, might
at any time prior to declaring a successful bid, reject any or all the proposals/bids. [Procuring Officer
TBD] should communicate the notice of rejection to all bidders, if a request is made by any bidder,
communicate the reason for rejection. ([PE] may decide to call for rebidding under Rule 48 with the
same or different specifications, evaluation criteria or other condition as deemed fit)

Responsibility Procedure Reference

[Procuring Step #1: The Procuring Officer TBD shall convey all the bids received in Rule 6A
Officer TBD] response to the advertisement to the relevant Procurement Committee.
Rule 23A
Note: If a single bid is received in response to advertisement, it may be
Rule 14A
considered if it meets the evaluation criteria, and is not in conflict with the
principles of procurement i.e. transparency, accountability, economy and value Section 3,
for money. The single bid shall be in conformity with best evaluated bid. KPPRA Act

[Procuring Step 1A(bid validity extension-optional): Generally the procurement Rule 35(2)-(3)
Officer TBD] process should be completed within the bid validity period specified in the
bidding documents. However if the period is expiring, the [Procuring Officer
TBD] might ask bidders to extend the validity of their bids, and also extend
their bid security, in writing. (If any bidders want to withdraw they may do so
without forfeiting bid security)
Responsibility Procedure Reference

Procurement Step #2: The Procurement Committee would check if the bidders are registered Rule 37A
Committee with KPRA in case the services being provided are of a nature that are taxable under
(relevant) Schedule 2 of the KP Finance Act, 2013. The fate of their bid would be dealt with
according to prevalent instructions issued by KPPRA.

Procurement Step #3: The Procurement Committee would evaluate the technical bids against Rule 39
Committee the evaluation criteria and would either give marks (e.g. for QCBS in consultancy
Rule 14 (2) (b)
(relevant) services), or a “pass” / “fail” for meeting specifications, depending on the method
(vii)
of procurement adopted.
Rule 14 (2) (c)
Note1: In single stage two envelope method for works, goods and services, during
First stage (vi)
the technical evaluation, no amendment in the technical proposal shall be
permitted. The procurement committee can however communicate, correspond Rule 14 (2) (c)
with the bidder subject to prior approval of [Head of PE] and can remove minor Second stage
anomalies, but not to the extent that it changes the status of the bidder. In no case (i)
shall additional / supportive documents can be sought during the evaluation
process.

Note2: In two stage two envelope method for goods, the technical proposal is
discussed with bidders for clarity and they are allowed to revise it, and submit a
revised technical proposal and a supplementary financial proposal, if required by
them. Bidders not willing to conform to technical specifications are allowed at this
stage to withdraw their bids, without forfeiting their bid security.

Note3: The committee shall disqualify a consultant, if there is a conflict of interest

e.g. if related goods or works are supplied by the same consultant, or if another
assignment of the consultant is in conflict with this assignment.

Note4: The procuring entity shall keep all information regarding the bid
evaluation confidential until the time of the announcement of the evaluation
report.

[Procuring Step #4: The [Procuring Officer TBD] shall announce the result of technical
Officer TBD] evaluation by appropriately publicising the report on [PE]’s website, or by
communication with all the bidders.

[Procuring Step #5: For financial bid, after bid opening, the [Procuring Officer TBD] shall Rule 10(b)(v)
Officer TBD] compile the amounts in a summary. The summary will be prepared at the item
level to enable item by item comparison. This will then be presented to the
&
Procurement Committee for approval of best evaluated bid.
Procurement
Committee Note1: Where applicable tax, is not added in the quotation, comparison of
(relevant) price is made after adding the amount of applicable tax.

Note2: If bids are in different currencies, price shall be converted to a single

currency, mentioned in the bidding documents at rate notified by State Bank of
Pakistan seven (7) working days before bid opening.

Procurement Step #6 (post qualification only): The Procurement Committee shall Rule 9
Committee engage in post qualification, where deemed necessary. (goods)
(relevant)
This will determine if the bidder, with the best-evaluated bid, has the capability Rule 17
and resources to effectively carry out the proposed contract. (works)

If the lowest evaluated responsive bidder is not found to be qualified on all the
post-qualification criteria provided in the bidding documents, then credentials
 Responsibility Procedure Reference

of the next lowest evaluated responsive bidders shall be checked, until the
criteria is met and contract reached.

3.7 Announcement of Bid Evaluation

References:
Reference Brief description
Rule 45 Announcement of evaluation reports

As per Rule 5 of of KPPRA Rules, the [Procuring Officer TBD] shall announce the results of technical bid
evaluation in the form of a report before opening of the financial bids, to all bidders. The [Procuring
Officer TBD] shall also announce the final results of a bid evaluation giving justification for acceptance
or rejection of bids at least ten days prior to the award of a contract and place the same on procuring
entity’s and Authority’s website

Responsibility Procedure Reference

[Procuring Officer Step #1: The [Procuring Officer TBD] shall announce the final results of a Rule 45
TBD] bid evaluation, including the bids rejected and reason thereof, at least ten
days prior to the award of a contract.

The result will be announced by publishing on [PE]’s and on KPPRA’s

website.

3.8 Grievance Redressal

References:

Reference Brief description

KPPRA Act Section 35 Grievance Redressal Mechanism
KP Grievance Redressal Grievance Redressal Procedure
Rules, 2017
Guidelines for Grievance Guidelines
Redressal
Rule 44 (2) Blacklisting
Rule 43 Disqualification

Responsibility Procedure Reference

Aggrieved Step 1: Aggrieved bidder/contractor registers the complaint in writing, Rule 44(2)
Bidder with the [Head of PE], stating the grounds, and relief sought along with
Rule 32A
certified copies of documents, if any, relied on.
Responsibility Procedure Reference

Note1: If the bidder does not have a copy of order against which appeal is Rule 43
being made due to reasons beyond the control of bidder, an affidavit
stating this, would be submitted with the complaint.
GR Rule 4
Note2: Grievance might relate to:

- Blacklisting of supplier under Rule 44(2).

- Refusal of enlistment under Rule 32A.
- Disqualification of supplier under Rule 43.
- Grounds of contract under Rule 4 of GR Rules which includes
 mis-procurement by the procuring entity
 violation of merit in any order of the procuring entity,
pertaining to enlistment and pre-registration, short-
listing, pre-qualification, qualification, post-
qualification, disqualification and debarment or
blacklisting
 challenging that the evaluation of bids or award of the
contract is based on incorrect presentation in the bid,
expression of interest, proposals or any other
documents furnished to the procuring entity
 irregularity in the award of contract or its content
 violation of confidentiality by the procuring entity
 any specific non-adherence or violation of the
contractual provisions by the procuring entity,
including non-payment within the stipulated period,
delay caused by the procuring entity that is hindering
the bidder in execution of the contract and delay in
discharge of securities

Note3: Complaint is allowed to be filed, against any decision in the

procurement process, within 10 days of the award of contract under Rule
46 to the successful bidder; and pertaining to execution of the contract
until closure of the contract.

[Head of PE] or Step #2: [Head of PE] or authorised representative shall issue a receipt for GR Rule 3(4)
authorised having received the complaint.
representative

[GR Officer Step #3: The complaint is handled at the level of [PE] where [Grievance GR Rule 5
TBD] Redressal Officer TBD] or Grievance Redressal Committee constituted by the
[GR Officer].
or
They shall invite the aggrieved bidder to attend proceedings at specified
Grievance
venue, date and time, in person or through representative and shall be given
Redressal
the opportunity of being heard
Committee
[GR Officer] or [GR Committee] shall call for relevant documents and
records.

[GR Officer Step #4: They shall decide the case by consensus or majority; trivial cases of
TBD] <Rs. 100,000 within 3 days, and other cases within 5 days.

or Grievance Note: If complaint is upheld the [GR Officer] or [GR Committee] may
Redressal provide specific relief to the aggrieved bidder or order rectification or
Committee annulment of the procurement process.
Responsibility Procedure Reference

[GR Officer Step #5: [Grievance Redressal Officer TBD] or Grievance Redressal
TBD] Committee record the decision in writing along with reasons and
conveyed to the aggrieved bidder within three (3) days of its finalization.
or

Grievance
Redressal
Committee

[GR Officer Step #6: If the aggrieved bidder/contractor doesn’t file an appeal with Guidelines for
TBD] KPPRA against the decision of <Procuring entity>, then [Grievance Grievance
Redressal Officer TBD] enters the complaint in the complaint log and Redressal in
or Appeal by
closes the complaint. Public
Aggrieved
Procurement
Bidder The aggrieved bidder can appeal to KPPRA, on the following grounds:

(i) the [PE] failed to decide the matter without merit

(ii) the [PE] failed to communicate its decision to aggrieved bidder
(iii) the [PE] failed to decide complaint within the stipulated time.

For appeal to KPPRA, the guidelines for grievance redressal in public

procurement published by KPPRA will be followed.

3.9 Contract Administration

References:
Reference Brief description
Section 31, KPPRA Act Conditions to be fulfilled for award of contract
Rule 18(c)(v) Variation Order
Rule 29 Liability of consultants
Rule 31A Framework contract
Rule 35 Bid validity
Rule 37 Submission of bids and bids opening
Rule 42 Post bid negotiations
Rule 46 Approval of contract award
Rule 49 Payments
Rule 50 Entry into force of procurement contract
Rule 51 Closing of contract
Rule 53 Public access and transparency

Responsibility Procedure Reference

Procurement Step #1: Procuring Committee may give directions for negotiation with the Rule 42
Committee highest ranked bidder regarding methodology, work plan, staffing and special
(relevant) conditions of the contract. Price cannot be negotiated.

Note: In case of failure of negotiations with the [Head of PE]’s approval, the
second highest ranked bidder may be invited for negotiations.
Responsibility Procedure Reference

Procurement Step #2: The Procurement Committee shall submit the bid evaluation report Rule 46
Committee with its recommendations for award of contract, to the approving authority in
(relevant) accordance with the Delegation of Financial Powers Rules, 2018 in an
expeditious manner, so that the award can be notified before expiry of the bid
validity period.
[Procuring Step #3: [Procuring Officer TBD] shall issue a notice/letter of award to the Section 31
Officer TBD] successful bidder within 15 days of approval/selection in Step #2. In case
Rule 50
signing of contract is not required, this would serve as the procurement
contract.

For contracts in which signing is required, signatures will be affixed, to a

contract prepared in accordance with Step #6, within 15 days of the letter of
award, and signing of contract would cause the contract to come into force.
[Head of PE] Step #4: The procuring entity, shall issue a letter of acceptance and may seek
submission of performance guarantee as per Rule 21. The procuring entity can
fix the percentage of performance guarantee up to any ratio of contract price
but not exceeding 10 percent of the value.

In case of failure of bidder to furnish performance guarantee within stipulated

time, resorting to delaying tactics, and endeavour to repudiate the contract, the
Procuring Entity shall forfeit their bid security and shall offer the award the
contract to the next best evaluated bidder in accordance with the general
principles of procurement or may call for new bids.

[Procuring Step #5: The [Procuring Officer TBD] shall make the award of contract public Rule 46
Officer TBD] by publication on [PE]’s website and on KPPRA’s website.

Note: [PE] is allowed to refrain from publishing information of a proprietary Rule 53

nature, or if disclosure against public interest, subject to prior approval of
administrative department.
[Procuring Additional Note: The following things may be considered in the contract:
Officer TBD]
(i) Framework contracts are allowed, if so chosen by procurement Rule 31A
committee at the time of procurement/solicitation for procurement of
goods, services and for works.
(ii) Contract should contain provision for professional liability of Rule 29
consultants, for errors and omissions and delays. This should be between
the value of remuneration(excl. out of pocket) and two times the value of
remuneration under the contract.
Note: This may be secured through insurance arranged by the
consultant, and premium/costs reimbursed by [PE] as out of pocket
expenses.
(iii) In case of consulting services contract should not permit substitution of Rule 42
key staff, unless substitution had become unavoidable due to undue
delay in selection process.
(iv) For international bidding, general and special conditions of contract Rule 41
shall be of a kind generally used in international trade.
(v) General Conditions of contract and standard format as per the SBDs
shall be used. Special conditions would include the Scope of Works,
Technical Specifications, or Terms of Reference.
Responsibility Procedure Reference

User Section / Additional Note (variation orders for works only): On request of User Rule 18 (c)
[Head of PE] Section, forwarded through [Procuring Officer TBD], [Head of PE] may (v)
approve a variation only if the following circumstances exist:
(a) There is tangible reason for it (economy, compatibility or efficiency)
(b) the original contract is still in force;
(c) the variation order is cost effective;
(d) variation order value is not more than fifteen percent of the original
contract;
Note: There may be more than one variation orders as long as the total value of
all the variation orders remains within 15 percent of the original contract.

User Section / Additional Note (repeat Order for goods only): On request of User Rule 10 (c)
[Head of PE] Section, forwarded through [Procuring Officer TBD], [Head of PE] may (i)
approve a repeat order for goods if the following circumstances exist:

(a) the repeat order is within a period of six months; and

(b) value does not exceed 15 percent of the original contract value.

[PE]/ Relevant Step #8: [PE] shall make prompt payment against invoices or running bills Rule 49
Department within the time given in the conditions of the contract.

Relevant Section Step #9: Defect liability certificate, if applicable, shall be issued within thirty Rule 51
of [PE] days of the expiry of the defect liability period enabling the contractor or
consultant to submit the final bill.

Final bill shall be paid within sixty (60) days, of the close of contract or as per
contract if a shorter time period than sixty (60) days agreed.
4 General Provisions
4.1 Enlistment
References:
Reference Brief description
Rule4 32A Enlistment
As per Rule 32A (7) bidding shall be restricted to enlisted bidders only.
Responsibility Procedure Reference

[Head of PE] An enlistment sub-committee will be notified by the [Head of PE], Rule 32A(1)
consisting of five members with the terms of reference to conduct a
weekly meeting for scrutiny of the enlistment applications submitted by
prospective suppliers, contractors and consultants.
As per Rule 32A, the Chairperson of this committee cannot be below the
rank of BPS-19.
Enlistment In their first meeting, the Enlistment Committee will meet to determine Rule 32A(4)
Committee “criteria for enlistment of prospective bidders”, which will be a technical
and financial criteria, that shall at least include:
- Registration with KPRA where required
- Registration with tax authorities
The Enlistment Committee shall also decide the applicable fee for
registration and renewal.
[Procuring Procuring Officer TBD shall make sure to have the enlistment criteria Rule 32A(5)
Officer TBD] uploaded on the PE website and and Authority’s website and shall also
display on a notice board placed in the respective procuring entity at an
accessible site for public viewing
[Procuring Any potential supplier, contractor, consultant desirous of participating in Rule 32A(6)
Officer TBD] Government procurement would receive forms from reception of the PE/
[Procuring Officer TBD] and submit their credentials along with the form to
[Procuring Officer TBD], who shall issue a receipt and make a note of the
form received in a register maintained for the purpose.
Enlistment [Procuring Officer TBD] shall submit the forms to the Enlistment Rule 32A(2)
Committee Committee at their next scheduled weekly meeting, with a note of the
total number of forms submitted to the committee. The Committee will
scrutinise the applications and shall mark each application with either,
“Recommend Rejection”, “Recommend Renewal” or “Recommend
Registration”. If rejection is recommended the reasons will be recorded
by the Enlistment Committee on the form.
[Procuring [Procuring Officer TBD] shall receive the forms back and count them
Officer TBD] make sure that that all forms are accounted for and submit them
onwards to the Provincial Enlistment and Pre-registration Committee
for final decision.
Provincial As per Rule 32A, the Provincial Enlistment and Pre-registration Rule 32A(2)
Enlistment and Committee will give its final decision within 5 working days.
Pre-registration
Committee

4 References to Rules are references to Khyber Pakhtunkhwa Public Procurement of Goods, Works and Services Rules, 2014
 4.2 Unsolicited Proposal
References
Reference Brief description
Rule5 37B Unsolicited proposal

Responsibility Procedure Reference

[Procuring Note: This mode might be used in a public private partnership type Rule 37B(1)
Officer TBD] setting where a citizen brings a proposal to the governments notice.
Usually something of mutual benefit to public and to the entrepreneur
citizen, but with limited cost to government.
[Procuring Officer TBD] shall receive unsolicited proposal from a
prospective bidder. [Procuring Officer TBD] shall make a note of this
and forward it on to the [Head of PE]. The Head of PE shall notify a
procurement committee for evaluation of the proposal.

Procurement Procurement Committee shall technically and financially evaluate the Rule 37B(1)
Committee proposal to ascertain if it is viable or not. If found viable they will forward
it to GoKP (Chief Minister and Cabinet) for approval.

[Head of PE] After approval of the Government, the [Head of PE] shall advertise the
proposal for open competition without disclosing the name of initiator of
the proposal.

[Procuring Procuring Officer TBD shall design Solicitation Documents, and coordinate
Officer TBD] with the User Section/ Technical Section for Terms of reference /
Specifications. Procuring Officer shall include a requirement to prequalify
and with the help of User Section define shortlisting criteria. [Note: As per
37B(c), the initiator would be exempt from prequalification]

[Head of The solicitation documents will be reviewed and approved by the Head
procurement of procurement Section of PE] or [Head of PE].
Section of PE] or
[Head of PE]

Procurement Bid received shall be evaluated by the notified Procurement Committee. Rule 37B(f)
Committee Note: As per Rule 37B(f) five percent additional weightage will be
awarded to the initiator of the proposal from the combined score of
technical and financial evaluation.

[Procuring If lowest bid received is lower than the initiator [Procuring Officer TBD] Rule 37B(e)
Officer TBD] shall communicate with the initiator to give first right of refusal to match
price with the lowest bidder.

[Head of PE] [Head of PE] on recommendation of Procurement Committee will award

approval for procuring from a bidder.

[Procuring The approval for the unsolicited proposal granted by Government, shall Rule 37B(2)
Officer TBD] be published in the print media prior to the award of contract

5 References to Rules are references to Khyber Pakhtunkhwa Public Procurement of Goods, Works and Services Rules, 2014
4.3 Record Keeping
References:
Reference Brief description
Rule 52 Record keeping requirements

Responsibility Procedure Reference

[Procuring All procuring entities shall maintain a record of their respective procurement Rule 52
Officer TBD] proceedings along with all associated documentation. Procuring Officer TBD
shall be responsible for filing the procurement proceedings record. This should
include:

1. Administrative Approvals.
2. Record of Procurement Planning.
3. Notification of Procurement Committee constituted for procurement.
4. NIT/IFB/EOI/RFP including complete Bidding Documents based on
the SBDs issued by this Authority.
5. Screen short of KPPRA website and PE website where tender
uploaded.
6. List of prospective bidders to whom bidding documents are issued.
7. Names and addresses of prospective bidders submitted bids,
proposals, offers or quotations including Pre-qualification process.
8. Name and address of supplier / contractor / consultants with whom
the procurement contract is entered into and the contract price.
9. All correspondence (Internal / External) if any, related to the specified
procurement.
10. Bids received in response to NIT/IFB/EOI/RFP.
11. Minutes of Bid Opening meeting and Attendance of the day (Technical
/ Financial).
12. Bid Evaluation Report (Technical).
13. Bid Evaluation Report (Financial).
14. Financial Approval.
15. Purchase /Work Order/Supply Order.
16. Contract Agreement copy.
17. Inspection Committee Notification.
18. Inspection Report.
19. Payment Record
4.4 Blacklisting of suppliers, contractors and consultants
References:
Reference Brief description
Rule 44 Blacklisting of suppliers, contractors and consultants

Responsibility Procedure Reference

Procurement Step #1: The Procurement Committee may permanently or temporarily bar, Rule 44
Committee suppliers contractors and consultants who either consistently fail to provide
(relevant) satisfactory performances or are found to be indulging in corrupt or fraudulent
practices or abandon the work prematurely resulting in loss to Government .
and any act or omission, including a misrepresentation, that knowingly or
recklessly misleads, or attempts to mislead, a party to obtain a financial or
other benefit or to avoid an obligation;

For details of ground for blacklisting, refer to Rule 44.

[Procuring Step #2: [Procuring Officer TBD] shall invite the contractor, supplier or Rule 44
Officer TBD] consultant, for personal hearing in front of the Procurement Committee.

Procurement Step #3: Procurement Committee after hearing arguments shall give its Rule 44
Committee decision about bar on participation, its extent and duration.
(relevant)
Note: The bidder will have a right to complain to the administrative Secretary
of the procuring entity or to file an appeal to the Authority in accordance with
Section 35 of the Act and regulations or guidelines framed under it.

[Procuring Step #4: [Procuring Officer TBD] shall communicate to KPPRA, and shall also Rule 44
Officer TBD] publish a notice on the website of [PE], or in the absence of website shall
publish in a newspaper.
4.5 Community Participation
References:
Reference Brief description
Rule 49A Community participation in procurement

Responsibility Procedure Reference

[GoKP] Government may, in order to achieve certain specific social objects, call for the Rule 49A
participation of the local community or philanthropic organizations to-

(a) perform civil works and the delivery of non-consulting services;

(b) increase the utilization of local know-how, goods, and materials; and

(c) employ labour-intensive and other appropriate technologies, the

procurement procedures, specifications, and contract packaging shall be
suitably adapted to reflect these considerations; provided that these are
acceptable to the Authority
Annexure A: Procedure for Alternate Method of
Procurement of Goods – Petty Purchases through
Single quotation.

Responsibility Procedure

[Procuring Officer TBD] For purchases of goods, works and non-consulting

services up to Rs. 50,000, the [Procuring Officer
TBD] shall identify the appropriate supplier for
sourcing based on past orders, market research.

[Head of PE] Shall approve the procurement from the vendor

Annexure B: Procedure for Alternate Method of
Procurement of Goods – Request for Quotation.

Responsibility Procedure

[Procuring Officer TBD] For purchases above Rs. 50,000 and up to Rs.
100,000, the [Procuring Officer TBD] shall prepare a
request for quotation document and circulate to at
least three prospective bidders simultaneously, with
full contents and same information, which is duly
acknowledged to be received as per Rule 10(b).

Receive the quotations and a minimum of three

quotations, provided that if despite soliciting, less
than three quotations are received, it would be
acceptable.

[Procurement Committee] Evaluate the quotations received and provide a

recommendation to the [Head of PE]

[Head of PE] Provide approval for procurement based on

recommendation of [Procurement Committee]
Annexure C: Hiring of Individual Consultants.

Responsibility Procedure

[Procuring Officer TBD] Prepare a list of individual consultants based on

recommendation from user section, who are qualified
to perform the assignment and present to
Procurement Committee.

Prepare a comparison of qualifications of at least

three consultants who have expressed interest.

Additional Note: An individual consultant may be

selected on a single-source basis (with due
justification) in exceptional cases; as given in Rule
28(3).

[Procurement Committee] Evaluate the quotations received by comparing the

qualifications of at least three consultants among
those who have expressed interest in the assignment
and provide a recommendation to the [Head of PE]

[Head of PE] Provide approval for procurement based on

recommendation of [Procurement Committee]
Appendix D: Annual Procurement Plan Format

Annual procurement plan for the period ______________

Name of Procuring Entity___________________________

Serial Brief description Estimated Procurement Pre/ Post Expected Expected Expected Remarks
No. of procurement Cost Method qualification/ date of date of date of (if any)
items / objects / Enlistment initiation of award of completion
package Yes/No) procurement contract of contract
process

Note1: The APP may be prepared on the assumption that total allocated budget will be released.
Note2: Legend Procurement method: PP-Petty Purchase (<=Rs.50,000), RFQ-Request for Quotation (Rs. 50,000 to Rs.
100,000), OCB-Open Competitive Bidding (>Rs.100,000).

Note3: Legend Prequalification /Enlistment: PRQ/ENL-Both prequalification and enlistment required, ENL-Enlistment
required only, POQ/ENL-Post Qualification and Enlistment required.

Note3: Dates mentioned are

tentative

Prepared by Approved by

Name: Name:
Designation: Designation:
Procuring Officer TBD Head of Procuring Entity