20110120 Clarification Annex Vi by Dol

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    ANNEX VI

    Clarification Form ( Refer Part I, Section 4.4.1)

    To:

    [_______________________________________________]

    Copy to:

    [_______________________________________________]

    CLARIFICATIONS FOR THE REQUEST FOR PROPOSALS (RFP) PART 2FOR THE DEVELOPMENT OF THE KALTENG-1 COAL FIRED POWER PLANT IPP

    PROJECT 2 x 100 MW

    RFP Document No: Date: ........ January 2012

    Sent by: Consortium KPM Fax No:

    No. Volume Section Clarifications sought

    1. 1.4 & 3.1 Clause 1.4 and Clause 3.1 :These two clauses are inconsistent. Please PLN confirm that thisProject is financed with government support.

    2. App. S &2.1.5.

    From Appendix S, for Kalteng-1 IPP Project, coal delivery (CIF) will beat the coal jetty at site while in Clause 2.1.5. the Plant will be locatednear the river. Please clarify that CIF coal price include delivery up tothe Plant located on the land near the river (upstream direction ofKatingan river or Rungan/Kahayan river).

    3.

    4.

    2.1.5.

    App. S

    In Central Kalimantan area, the prospective Plant site with distanceradius of maximum 20 km from the PLNs 150 kV Substation

    (Kasongan or P Raya) is hardly available. Could PLN extend thedistance up to max. 50 kms?

    Coal characteristic :According to App. S, Att. A, coal to be used for this Plant shall haveCV (gar/HHV) min. 4000 kCal/kg. This implies that coal for the Plantsoperation has to be imported from other area or other Province, i.e.South Kalimantan, due to the most available coal in CentralKalimantan is HHV (gar) approx. 3000 kCal/kg. Please clarify.

    5.

    6. 2.1.5.

    For this IPP Kalteng-1, has PLN conducted Feasibility Study (FS) orPre FS including the site selection? If yes, could PLN provide thereport for Bidder (our) reference? Has the FS considered the coalresources for this IPP for the selected sites and distance to theSubstation?

    With 20 km distance from Kasongan S/S or P Raya S/S, the expectedPlant site will be in the Katingan river side or Rungan river side.

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    Distance from this Plant site to the sea (estuary) is more than 100 km.Therefore, with pass through scheme, the coal CIF price (includetransportation cost up to Plant site) will be covered by PLN. Thissituation would not be economic for the operation point of view.Please clarify.

    7.

    8.

    2.1.4 &App. S

    2.1.4

    Power Plants boiler design shall be based on 4200 kCal/kg (Gar),with the operation range of 3800 4300 kCal/kg. While, the mostabundant coal currently available in Central Kalimantan (or other areain Indonesia) is LRC (Lignite) with HHV of 2700 3800 kCal/kg. Toassure that the Plant can be operated long term as per PPA, pleasePLN to consider to use Low Rank Coal with typical HHV of less than3800 kCal/kg.

    For evaluation purposes, PLN will use coal CV of 4200 kCal/kg.Bidder need more information about coal characteristic such as CoalProximate & Ultimate Analysis, so that Bidder is able to calculate andoptimize the guaranteed Heat Rate. Please clarify.

    9. 2.3. & App. N Appendix N :Air Emissions :State of Minister Environment Decree No. 13/MenLH/3/1993 is nomore valid. According to our review, it has been replaced with No. 21Year 2008. Please clarify.

    Water Discharges :State Minister Enviornment Decree No. Kep-51/MenLH/10/1995 is nomore valid. It has been replaced with Decree No. 08 Year 2009 dated7 April 2009. Please clarify.

    Stack Emission Limits :According to the newest decree (No. 21/2008), NO2 limit is 750mg/Nm3 instead of 850 mg/Nm3 and Total Particulates is 100mg/Nm3 instead of 150 mg/Nm3. Please clarify.

    3. Environmental Procedures :A. Governing Authorities :Please clarify the applicable government regulation related to the IPPin Central Kalimantan area. In this document, you refer to regulationthat relates to the North Sumatera province regulation.

    10. 4.2.2. The COD is on 36 months from Financing Date (approx. on October2016), please confirm that the PLN 150 kV Substation & TransmissionLines is already finished by month 26 after Financing Date (Dec2015).

    4.4.3. In Para 3, Bidder may propose minor deviations to the Model PPA,

    but in Para 6, it is mentioned that any deviation in any form to ModelPPA will be rejected. Please clarify what kind of minor deviations willbe acceptable?

    11. 1 2.1.4 Fuel Supply

    C.V : 3800 - 4300kcal/kg

    T.M : 28 % - 37 %

    Kindly to open the lower limit of C.V in such a way to accommodatethe LRC (Low Rank Coal) having HHV 2900 kcal/kg.

    12. 1 2.1.5 Generating PlantLocation .

    subjected a hot, saltyand humid climate

    Does the Generating Plant should consider a salty condition, though itis located nearby river side in Central Kalimantan?

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    13. 1 4.2.1 Selection Processvii. Provide

    ESCROWAccount USD 5million.

    ( Approximately %of EPC Cost ) .

    To check consistency :Clause I-2 Definitions.ESCROW Account means not less than 10 % of the Capital Cost ofthe Project

    14. 1 4.3.1 Pre Bid Meeting Which is the preferred Site to be visited for IPP KALTENG -1? Pleaseclarify.

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    4.4.1 ClarificationRequest forClarification orInterpretation shall bereceived by PLNTender Committee nolater than two (2) monthprior to Bid Closing

    6.6.2 PLN LevelizedTariff Estimate PLNsLevelized TariffEstimate at 100 % HRmay be informed by theTender Committee tothe Bidders not laterthan 3 (three) weeksprior to Bid Closing

    ANNEX I Form of BidSecurity (Refer toSection 4.9.1)

    * This Bid Security shallbe valid and bindingand shall remain in fullforce and effect. Up toand including (insertdate which is seven (7)months from BidClosing)

    **

    FORM C Project

    Milestone Schedule

    *Signing ofPPA(month)

    **Completion ofInstallation of 500 kVSwitchyard

    ***Note :

    2. Required CODwhich in 36 month from

    Signing Date

    Request for Clarification or Interpretation shall be received by PLNTender Committee no later than one (1) month prior to Bid Closing

    Clause 4.2.2 Solicitation Time table:

    Announcement PLN Estimate23 May 2012

    We propose to be one (1) month prior to Bid Closing.

    FORM A Proposal Letter

    This Proposal shall remain irrevocable for a period of six (6) monthfrom Bid Closed of Step One.Proposed :

    The Bid Security validity follows the Proposal validity , six (6) months

    Refer also to :FORM G Price Proposal Letter for a period of six (6) months.

    To be read as:

    Installation of 150 kV Switchyard and 150 kV T/L

    Note :

    Required COD which in 36 month from the F/D (Financing Date)

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    D4 TECHNICALDATA

    Mechanical Equipment

    2.23 WaterTemperatureEntering the WaterHeater

    5.2 Closed CycleCooling Tower (CC) orOnce Through SeaWater (OT)

    8.19 Type of Start UpCoal

    5.13 Heat Rejection to

    Sea (blow down etc.)

    6.0 Water DesalinationPlant

    14.A 150 kVTransmission Line to beinterconnected toBontang Substation(SS) through a radialinterconnection

    Article 4,Clause 5.7.3

    Article 6,Clause 6.1

    Appendix I,Clause D.

    Appendix A,Clause 7.

    Part 12.1.3

    Second be read as:

    2.23 Water TemperatureEntering the Economizer

    5.2 Closed Cycle Cooling Tower (CC) or Once Through River Water(OT)

    8.19 Type of Start Up Fuel

    Since the Plant Location would be limited within 20 km radius to

    Kasongan City, hence the Power Plant Site will in no way close to thesea shore line.

    The shortest distance Kasongan City to the sea shore line is 100km.

    Therefore, it is proposed to open the Plant Site Location (not to limitthe radius 20 km from Kasongan Substation).

    To be interconnected to Kasongan S/S.

    Please clarify and specify the content of material basic design will beprovided by PLN clearly.

    Please also inform the basiccommunication for processing of designreview.

    SELLER shall not energize or back feed through 150 kV. ShallSELLER prepare another incoming feeder from difference voltagelevel system?

    If it is so, please specify voltage level to be prepared.

    The connection for exporting power to the system will be connected tothe nearest substation, its mean there is land extension shall be

    prepared, it will provided by PLN or SELLER.

    Boiler control system do not consider Burner Control System, causethe boiler type is CFB.

    In regard to specified location of 150 KV Kasongan or PalangkarayaSubstation where Transmission line shall be connected to. Pleaseadvice the coordinate of those Substations.

    Location of The proposed Plant :The maximum distance from the proposed Plant location to specified

    Substation shall be 20 Km and this requirement will limit Bidder toselect the most feasible Site in regard to technical and economicaspects, therefore we propose that limit distance would be better of

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    2.1.5

    Part 3Form C

    2.1.5

    50 Km instead of 20 Km.

    Seismic Requirement:The specification says that for structure, the seismic design force is

    determined from a dynamic analysis ................ With reference toInternational Seismic Code in particularly Indonesian Seismic CodeSNI 03-1726 - 2002 ( the latest), the dynamic analysis shall beconducted for specific structures or buildings which are defined asIrregular Structures, therefore the dynamic analysis is proposed to beconducted strictly in accordance with the Specified Code and astechnically required such as Boiler Structure, Turbine-Generator setFoundation and Chimney.

    In this Form, milestone of Steel Structure is specified and shall befilled in, however please clarify what the specific steel structure shallbe adressed for.

    Water Availability

    Please clarify the availability data of maximum and minimumdischarge of Katingan river for the last ten years.

    Please clarify maximum flood data of Katingan river for 50 year returnperiod.