INVITATION FOR BIDS (IFB)

NTPC LIMITED

(A GOVERNMENT OF INDIA ENTERPRISE)

CORPORATE CONTRACTS, NOIDA

INVITATION FOR BIDS (IFB)

FOR

STARTER ASH DYKE FOR LAGOON-III AND AUGMENTATION & STRENGTHENING OF

EXISTING ASH DYKE FOR LAGOON-I&II PACKAGE FOR MUZAFFARPUR TPS (2X110

MW)

OF

KANTI BIJLEE UTPADAN NIGAM LIMITED

(A JOINT VENTURE OF NTPC LIMITED AND BSEB)

LOCATED AT

KANTI, DISTT. MUZAFFARPUR, STATE OF BIHAR, INDIA

(Domestic Competitive Bidding)

Bidding Document No.: CS-0350-331A-9

Bid Document No: CS-0350-331A-9

1.0Kanti Bijlee Utpadan Nigam Limited (KBUNL), a Joint Venture of NTPC Limited and Bihar State Electricity Board (BSEB), was constituted to operate & maintain the existing 2x110 MW units at Muzaffarpur Thermal Power Station (MTPS), PO Kanti, Distt. Muzaffarpur, State of Bihar, India.

NTPC Ltd. on behalf of Kanti Bijlee Utpadan Nigam Ltd. invites e-Bids on Single Stage

Two Envelope Basis (i.e. Envelope-I : Techno-Commercial Bid and Envelope-II: Price Bid) from eligible Bidders for the “STARTER ASH DYKE FOR LAGOON-III AND

AUGMENTATION & STRENGTHENING OF EXISTING ASH DYKE FOR LAGOON-I&II”

Package for Muzaffarpur Thermal Power Project Stage-I (2x110 MW)”.

2.0BRIEF SCOPE OF WORK

The scope of works involves the earthen Starter Ash Dyke for Lagoon-III and

Augmentation & Strengthening of existing Ash Dyke for Lagoon-I&II along with over flow lagoons in the ash disposal area which is about 2.0 kms from plant

INVITATION FOR BIDS (IFB)

boundary. The Starter ash dyke for Lagoon-III includes one storage lagoon & one over flow lagoon which will be constructed with earth as main construction material and will be first priority to complete. The Augmentation & Strengthening of Existing Ash Dyke for Lagoon-I & II includes strengthening of existing lagoon-I & II by installation of stone columns using dry vibro displacement technique/rammed method and construction of two storage lagoon & one common over flow lagoon which will be constructed with earth as main construction material. The work also involves a well type water escape structure for discharging decanted water into the overflow lagoon (OFL). Construction of spillways is also envisaged for discharging excess water from OFL & storage lagoon. Impervious lining with Bentonite blended soil for Starter ash dyke for Lagoon-III & its OFL is also envisaged. An RCC channel connecting Spillway from OFL of Lagoon-I & II to near OFL of Lagoon-III is also covered in the package.

The detailed scope and description of work covered under this package has been specified in relevant clauses of Part-A of Technical specifications.

3.0KBUNL intends to finance the subject Package through Domestic Commercial Borrowings.

4.0Detailed specification, scope of work and terms & conditions are given in the bidding documents, which are available for examination and sale at the address given below and as per the following schedule:

Date for opening of Price Bid (Envelope-II) shall be intimated separately after opening of Techno–Commercial Bid (Envelope-I).

4.1Prospective bidders from U.P State are compulsorily required to provide TIN number at the time of purchase of bidding documents from office of NTPC.

INVITATION FOR BIDS (IFB)

5.0All bids must be accompanied by Bid Security for an amount of ₹ 4,23,15,000/- (Indian Rupees Four Crore Twenty Three Lakh Fifteen Thousand Only) in the form as stipulated in the Bidding Documents.

ANY BID NOT ACCOMPANIED BY AN ACCEPTABLE BID SECURITY IN A

SEPARATE SEALED ENVELOPE SHALL BE REJECTED BY THE EMPLOYER AS

BEING NON-RESPONSIVE AND RETURNED TO THE BIDDERS WITHOUT BEING

OPENED.

6.0Qualifying Requirements for Bidders (QR):

1.0.0In addition to the satisfactory fulfillment of the requirements stipulated under Section ITB (Instructions to Bidders), the following shall also apply:

1.1.0Bidder should have executed the following works within the preceding seven (7) years reckoned as on the date of Techno-Commercial bid opening:

1.1.1At least one earthen dam work or ash dyke work or reservoir embankment work of maximum height not less than 6.4 m, in one contract and,

1.1.2A cumulative progress of at least 5.2 Lacs Cu.M of earthwork in earthen dam work or ash dyke work or reservoir embankment or canal embankment work in any one (1) year period, in one (1) or maximum two (2) concurrently running contracts.

Notes: The following notes (a to j) explain in detail the intention of various terms in qualifying requirements:

a)Earth dams, ash dykes, and reservoir embankments, which are designed as water retaining structures, shall be qualified for this work. However, canal embankments, guide bunds along water courses shall be considered for qualification under clause 1.1.2 only. All other types of earth works such as road embankments, railway embankments, site leveling works etc. shall not be qualified.

b)Sand / substitute filter media as filter either in chimney or in blanket or both; used in embankment shall be considered in earthwork quantity calculations. Rock toe shall not be considered.

c)For embankments/reservoir/dyke, the height and quantities shall be considered above formation level upto dyke top for qualifying requirements purpose. However, in case of ash dyke raising works, for both inward/upstream & outward/center line methods, the height of dyke shall be considered from the stripped level of ash inside the lagoon for qualifying requirement purpose.

Formation level means bottom of stripped level for the dyke formation. The earth work in cut off trench (COT) shall be included for quantity estimation for qualifying requirement under clause 1.1.2.

However, the depth of COT shall not be considered for the height calculation for qualifying requirement under clause 1.1.1.

INVITATION FOR BIDS (IFB)

d)Wherever the ash dykes and other embankments are constructed in different contracts, the height applicable to individual contract only and not the cumulative effect shall be considered for the purpose of determining compliance of clause 1.1.1. For example where the contract is for raising an embankment, only the raising portion shall be considered and not the earlier starter dyke.

e)In clause 1.1.0 above, the word “executed” means the Bidder should have achieved the criteria specified in the qualifying requirements within the preceding seven (7) year period even if the contract has been started earlier and /or is not completed / closed.

f)In clause 1.1.1 above, Bidder should have constructed full 6.4m height of embankment work specified in the qualifying requirements, within the preceding seven (7) years period, even if the contract has been started earlier and/or is not completed /closed.

g)The “one (1) year period” means any continuous 12 months period. However, for two

(2) concurrent works the same 12 months period shall be considered.

h)In case of works stipulated in clause 1.1.2 above the word “earthwork” shall mean earth /ash. The quantity of earth work in filling only will be considered for qualification.

i)Reference works executed by the Bidder, as a member of Joint Venture / Consortium/ Associate can also be considered provided:

The allocation of scope of work between the partners of the Joint Venture / Consortium/ Associate is clearly defined in the executed Joint Venture agreement/ Consortium Agreement/ Deed of Joint Undertaking and Bidder’s scope of work and break-up of quantities executed by them as individual contribution in the Joint Venture / Consortium/ Associate, duly authenticated by the Project Authority, meet the relevant provisions of qualifying requirement.

In case the reference work has been executed by the Bidder in an integrated Joint Venture wherein allocation of scope of work and break-up of quantities between the partners is not clearly specified in the integrated Joint Venture Agreement, then for Clause 1.1.2 above, the credit of executed quantities can be claimed by the bidder in the ratio of bidder’s share in the integrated Joint Venture Agreement, provided the bidder establishes that it regularly undertakes works as at Clause 1.1.2 above. The executed works/ quantities by integrated Joint Venture shall be duly authenticated by the Project Authority. However, the bidder will not be eligible to claim the credit of executed work by integrated Joint Venture for Clause 1.1.1 above, unless the bidder has individually executed the work meeting the requirement of Clause 1.1.1 above and which has been duly authenticated by the Project Authority.

j)Reference work executed by a Bidder as a sub-contractor may also be considered provided the certificate issued by main contractor is duly certified by Project Authority specifying the scope of work executed by the sub-contractor in support of qualifying requirements.

INVITATION FOR BIDS (IFB)

2.0.0Financial criteria:

(a)The average annual turnover of the Bidder, should not be less than Rs. 705 Millions (Indian Rupees seven hundred five Millions only) during the preceding three (3) completed financial years as on date of Techno-Commercial bid opening.

In case a Bidder does not satisfy the annual turnover criteria, stipulated above on its own, its Holding Company would be required to meet the stipulated turnover requirements as above, provided that the Net Worth of such Holding Company as on the last day of the preceding financial year is at least equal to or more than the paid-up share capital of the Holding Company. In such an event, the Bidder would be required to furnish along with its Techno-Commercial bid, a Letter of Undertaking from the Holding Company, supported by the Holding Company’s Board Resolution, as per the format enclosed in the bid documents, pledging unconditional and irrevocable financial support for the execution of the Contract by the Bidder in case of award.

(b)Net worth of the bidder as on the last day of the preceding financial year (reckoned on the date of techno-commercial bid opening) should not be less than 100% of the bidder’s paid up share capital. In case the Bidder does not satisfy the Net worth criteria on its own, it can meet the requirement of Net worth based on the strength of its Subsidiary(ies) and/or Holding Company and/or Subsidiary(ies) of its Holding Companies wherever applicable, the net worth of the Bidder and its Subsidiary(ies) and or Holding Company and/or Subsidiary(ies) of the Holding Company, in combined manner should not be less than 100% of their total paid up share capital. However individually, their Net worth should not be less than 75% of their respective paid up share capitals.

Net worth in combined manner shall be calculated as follows: Net worth (combined) = (X1+X2+X3) / (Y1+Y2+Y3) X 100

Where X1, X2, X3 are individual Net worth which should not be less than 75% of the respective paid up share capitals and Y1, Y2, Y3 are individual paid up share capitals.

(c)In case the Bidder is not able to furnish its audited financial statements on stand-alone entity basis, the unaudited unconsolidated financial statements of the Bidder can be considered acceptable provided the Bidder further furnishes the following documents for substantiation of its qualification.

(i)Copies of the unaudited unconsolidated financial statements of the Bidder along with copies of the audited consolidated financial statements of its Holding Company.

(ii)A Certificate from the CEO/CFO of the Holding Company, as per the format enclosed in the bid documents, stating that the unaudited unconsolidated financial statements form part of the Consolidated Annual Financial Statements of the company.

In cases where audited results for the last financial year as on the date of Techno Commercial bid opening are not available, the financial results certified by a practicing Chartered Accountant shall be considered acceptable. In case, Bidder

INVITATION FOR BIDS (IFB)

is not able to submit the Certificate from a practicing Chartered Accountant certifying its financial parameters, the audited results of three consecutive financial years preceding the last financial year shall be considered for evaluating the financial parameters. Further, a certificate would be required from the CEO/CFO as per the format enclosed in the bidding documents stating that the Financial results of the Company are under audit as on the date of Techno-commercial bid opening and the Certificate from the practicing Chartered Accountant certifying the financial parameters is not available.

NOTES FOR CLAUSE 2.0.0 ABOVE:

(i)Net worth means the sum total of the paid up share capital and free reserves. Free reserves means all reserves credited out of the profits and share premium account but does not include reserves credited out of the revaluation of the assets, write back of depreciation provision and amalgamation. Further any debit balance of Profit and Loss account and miscellaneous expenses to the extent not adjusted or written off, if any, shall be reduced from reserves and surplus.

(ii)Other income shall not be considered for arriving at annual turnover.

8.0NTPC reserves the right to reject any or all bids or cancel/withdraw the Invitation for Bids without assigning any reason whatsoever and in such case no bidder / intending bidder shall have any claim arising out of such action.

9.0A complete set of Bidding Documents may be downloaded by any interested Bidder on payment (non-refundable) of the cost of the documents as mentioned above in the form of a crossed account Payee demand draft in favour of NTPC Ltd., Payable at New Delhi or directly through the payment gateway at our SRM Site (https://etender.ntpclakshya.co.in). For logging on to the SRM Site, the bidder would require vendor code and SRM user id and password which can be obtained by submitting a questionnaire available at our SRM site as well as at NTPC tender site (www.ntpctender.com). First time users not allotted any vendor code are required to approach NTPC at least three working days prior to Document Sale Close date along with duly filled in questionnaire for issue of vendor code and SRM user id/password.

Note: No hard copy of Bidding Documents shall be issued.

9.1Issuance of Bid Documents to any Bidder shall not construe that such Bidder is considered to be qualified. Bids shall be submitted and opened at the address given below in the presence of Bidder's representatives who choose to attend the bid opening. Bidder shall furnish Bid Security, Integrity Pact and Power of Attorney and Deed of Joint Undertaking (if applicable) to be executed by the bidder alongwith associate/ collaborator separately offline as detailed in Bidding Documents by the stipulated bid submission closing date and time at the address given below.

10.0Address for communication:

DGM (CS-I) / Dy. Manager (CS-I) NTPC Limited,

Sixth Floor, Engineering Office Complex, A-8A, Sector-24, NOIDA,

Distt. Gautam Budh Nagar, (UP), INDIA Pin - 201301

Fax No.: 0120 – 2410335 / 2410011 Tel. No.: 0120 – 4948656 / 4948660