Lahore Waste Management CompanyCity District Government Lahore

Progress for Outsourcing of Solid Waste Management Functions in

Six Cities of Punjab

TIME LINES FOR BIDDING PROCESS

Sr. No

Activity Time Line Activity Days

Remarks

1 Preparation of Prequalification Documents & Submission to the Companies for Approval of BODs

Jul 20, 2013 02

2 Publication of Pre-qualification Advertisement in Local & International Newspapers and PPRA Web

Jul 22, 2013 02

3 Approval of prequalified documents by the Respective BODs July 26, 2013 05

4 Issuance of Prequalification Documents to Potential Applicants/Bidders

Jul 27, 2013 02

5 Submission of Technical Proposals by Potential Bidders and Opening of Technical Proposals

Aug 22, 2013 25

6 Technical Evaluation by LWMC(Consultant) Aug 30, 2013 08

7 Submission to the Respective Companies for BODs Approval Sep 03, 2013 03

8 Preparation of Bid Documents & Submission to Companies for BODs Approval

Sep 06, 2013 03

9 Invitation to Bid to Prequalified Bidders Sep 10,2013 04 Issued for FSD, SKT

TIME LINES FOR BIDDING PROCESS

Sr. No

Activity Time Line Activity Days

Remarks

10 Issuance of Bid Documents to Prequalified Bidders

Sep 12, 2013 02 Being issued as per approvals received from respective

BODs

11 Pre-Bid Meeting Sep 15, 2013 03 Expected on Sep 25, 2013

12 Submission of Financial Proposals & Opening

Sep 21, 2013 06 Expected Sep 30, 2013

13 Financial Evaluation by LWMC Sep 24, 2013 03 Will be done till Oct 05, 2013

14 Appraisal by Finance Department Sep26, 2013 01 Oct 07, 2013

15 Final Negotiation by the Committee

Sep28, 2013 05 Oct 08, 2013

14 Approval of Financial Bid by Respective BODs

Oct 03, 2013 05 Oct 12, 2013

15 Award and Signing of Contract 7th Oct, 2013 - Oct 14, 2013

Cont’d...

PREQUALIFICATION CRITERIAAND QUALIFYING MARKS

• RFP( International) advertised on 22nd July 2013

Submission Date was 22 August , 2013.

• Pre-qualification Criteria• Business experience and certification (25

marks)• Personnel capabilities (20 marks)• Equipment & machinery (30 marks)• Financial capability (25 marks)• Total Qualifying Marks = 60%Criteria encourage local contractors for bidding, the marks were allocated proportionate to capabilities

Prequalification Results

Name of Firms/ Cities/Marks Obtained

FSD GJW MUL RWP SKT BHWL Result

M/s. Albayrak 100 100 100 100 100 100 Qualified

M/s. Ozpak 100 100 100 100 100 100 Qualified

M/s. Cevre 98 98 98 98 100 100 Qualified

M/s. GHS N/A 51.5 N/A N/A 62 62 Qualified in SKT, BHWL)

M/s. Waste Buster 30 30 30 30 39 39 Disqualified

1. For small cities ( Sialkot, Bahawalpur)2. For large cities ( Faisalabad, Gujranwala, Rawalpindi, Multan)

The criteria was relaxed to encourage the local firms.

1. BID SECURITY

The amount of Bid Security for Large city

Local Rs 100 Million

International USD 1 Million

(Count….)

BIDDING DATA

The amount of Bid Security for Small city (Bahawalpur & Sialkot)

Local Rs 50 Million

International USD 0.5 Million

4. PERFORMANCE SECURITY

10 % of Contract Price in form of Bank Guarantee for 7 Years.

5. SUB CONTRACTING

Contractor may execute subcontract for services up to 30% of total services.

6. PENALTIES (right click to see the detail)The amount of penalty to be imposed during one month shall not, in any case, exceed 15 % of the monthly progress payment.

7 Price Escalation The amounts payable to the Contractor, pursuant shall be adjusted in respect of the rise or fall in the cost of labor and fuel by applying to such amount the formula prescribed in this.

i) Pn = A + b Ln + c Fn

Lo Fo

where, “Pn” is the Price Adjustment factor. “n” (excluding Fixed Cost, Reimbursable Cost and Provisional Sums). “A” is a constant or the Non-Adjustable Portion of the Price Adjustment

Factor to be specified, representing the Non-Adjustable Portion of the Contract Price.

“b, c, are Coefficients or weightages of the order of 0.xx “Lo, Fo, are the Base Date Indices for the Labor and Fuel are adjustable

elements.

ii) Coefficients: A = 0.70b = 0.10Laborc = 0.20 Fuel

iii) Base and Current Dates Prices and Source of Prices  The prices of elements subject to Price Adjustment shall be to the extent possible as given in the Statistical Bulletins published by the Federal Bureau of Statistics (FBS), Statistical Division Government of Pakistan. Statutory notifications and official price from public sector organizations, where available, may be used at the option of the Employer. The source for prices of High Speed Diesel (HSD) shall be either be Statistical Bulletins or Pakistan State Oil (PSO). However, for a particular adjustable element, the same source shall be used throughout the currency of contract as also stipulated in the tender documents before issuing the tender documents.

Cont….

8.MOBILIZATION ADVANCE

(Option 1)An amount up to 10% of the contractor value shall be granted as an advance in two equal installments, upon request of the applicant, before starting the work and after signing the Contract. This advance payment shall be deducted, from monthly performance payments of the Applicant in 24 installments, within 36 months period from commencement of work subject to Bank guarantee letter from schedule Bank of Pakistan.

(Option 2)Mobilization advance shall be payable for meeting local duties & taxes and will be payable on phase wise arrival of imported machinery in Pakistan. Mobilization advance shall not exceed 15% of initial investment amount (pertaining only to imported vehicles and other imported equipment) as per the signed contract. This advance payment shall be deducted, from monthly performance payments of the Applicant in 24 installments, within 36 months period from commencement of work subject to Bank guarantee letter from schedule Bank of Pakistan.