RAJASTHAN STATE HIGHWAYS

DEVELOPMENT PROGRAMME
(RSHDP)

Content
Sl. No./
Chapter
CHAPTER I
1.1
1.2
1.3
1.4
1.5
1.6
1.7
CHAPTER II
2.1
2.2
2.3
2.4
2.5
2.6
2.7
2.8
2.9
2.10
CHAPTER III
3.1
3.2
3.3
3.4
3.5
CHAPTER IV
4.1
4.2
4.3
4.4
4.5
4.6
CHAPTER V
5.1
5.2
5.3

Page
No.

Description
ABOUT THE PROJECT
Goal of the project
Overall objective
Project Components
Objective of the Manual
Scope of the Manual
Modification to Manual
Reference to the World Bank/IDA
PROCUREMENT POLICY, PLAN & STRATEGY
Procurement policy
The Procurement plan
Financial delegation
Invitation of bids
Opening of Bids
Evaluation of Bids-Constitution Of Evaluation
committee
Implementation Arrangement
Procurement Review
Fraud and Corruption
Misprocurement
METHODS OF PROCUREMENT OF GOODS &
WORKS
General
Scope of work & Options
Thresholds for Procurement Methods and prior
review
NCB Provisions
Different Mode of Procurement
PREPARATION PROCESS FOR BIDDING
General
Bidding documents
Clarification Process
Important Features of bid process
Fraud & Corruption
Qualification Criteria
PROCUREMENT PROCESS For RFQ
General
Prior Review Thresholds
Method of Procurement

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4
5
6
7
7
7
9
9-10
10-11
11
11
11
12-13
14-15
15
15-16

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17
18-20
20-21
21-28
29
29
29
29-31
31
30
32
32
32-33

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Sl. No./
Chapter
5.4
5.5
5.6
5.7
CHAPTER VI
6.1
6.2
6.3
6.4

Page
No.

Description

Opening and evaluation of applications of Bid

Qualification & bidding
Rejection of Applications
Procurement Process Flow Chart
PROCUREMENT PROCESS FOR RFP
General
Opening & evaluation of Bid
Evaluation report
Single Bids
Issue of Letter of Acceptance (LOA) and Signing
6.5
of Agreement
6.6
For feiture of Bid Security
Publication of Award of Contract & Debriefing by
6.7
the Borrower
6.8
Financial Closure of the Work
6.9
Rejection of Bids
6.10
Procurement Process flow chart
CHAPTER VII PROCUREMENT OF CONSULTING SERVICES
7.1
General
7.2
Prior-Review Thresholds
7.3
Methods of procurement
7.4
Quality & Cost Based Selection (QCBS)
7.5
Other method of selection
7.6
Least Cost Selection (LCS)
7.7
Single Source Selection (SSS)
7.8
Selection under Fixed Budget (FBS)
Selection Based on Consultants Qualification
7.9
(CQS)
7.10
Selection of Individual Consultants (IC)
Annexure - 1 Sample Bid Evaluation Report for Works
Annexure- 2 Method of Calculation of Available Bid Capacity
Illustrative Checklist to facilitate the bidders in
Annexure - 3
preparation & submission of bids

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33
33
34
35
35
36
36
36
37
37
37
38
38-39
40
40-41
41
41-50
50-51
51
51
52
52
52-53
54-60
61
62

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CHAPTER I
ABOUT THE PROJECT
1. Project description:
1.1

Goal of the project:

The Project Development Objective is strengthening, widening to two

lanes and improvement of 3000 km. State Highways and MDRs, to
enhance institutional capacity of PWD and strengthen road safety
management capacity of the State of Rajasthan.
1.2.

Overall objective:

Rajasthan, area wise (342,239 sq. km) is the biggest state of the
country. It has a population of 68.6 million and located in the Western
region. Rajasthan is lagging in many key socio-economic indicators and
is one of the low income states. Rajasthan stands at 17th place out of
29 states of the country in terms of the Human Development Index.
About 75 percent of the states population is rural and mainly depends
on agriculture for its livelihood.
The state has good potential for growth in agriculture and agro-based
industries, mining, minerals processing, tourism, handicrafts and
cottage industries. The states potential is underutilized due to
inadequate road infrastructure and market linkages. The need for high
quality road infrastructure is recognized to exploit the states potential.
The Govt. of Rajasthan has sought assistance from the World Bank for
preparing and implementing the Rajasthan State Highways
Development Program (RSHDP). The project objective is to assist the
Public Works Department, Rajasthan to improve the quality, capacity,
and management of its road network.
The project seeks to:
a. Widen all State Highways and MDRs to two lane standard.
b. Improve the geometrics of roads and avoid congestion in built
up section of highways.
c. Improve asset management as measured by savings in asset
value and other means; and
d. Increase in road safety ratings of Highways proposed for
development.
e. The proposed project seeks to improve PWDs institutional
structure and systems, staff capacities, and business processes
including those for procurement, environment and social
management, monitoring and controls, and grievance handling.

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This would help PWD to:

a. Enhance both the quality of delivery and value for money of
sector investments, specifically facilitating GORs efforts to
provide safe and improved State Highways network in Rajasthan
State.
b. Sustain its road assets build under various programs and realize
the huge savings in vehicle operating cost Improve road safety
management.
1.3

Project Components:

The project will have the following three components:

Component A:
Improvement of State Highways: (USD
million)
the component will support improvement / up gradation of
priority sections of SHs/ MDRs to improve the highway
environment, efficiency of road network, smooth flow of traffic
with optimum travel time. This in turn will facilitate regional
integration and enhance overall social and economic wellbeing of
the community.
This component will consist of rehabilitation / improvement
/ up gradation of state highways / MDRs through PPP (Annuity)
and EPC mode of procurement for about 3000 kms of highways.
The feasibility studies for most of the highways under this
component have been completed. The improvement standards
have been proposed to confirm IRC standards. Procurement for
construction activities will be carried out based on standard bid
documents prepared by planning commission, Government of
India, duly concurred by the World Bank. This will also include:
a) Demonstration of new technologies to promote cost
effective, modern, climate proof and environment friendly
road construction.
b) Project
preparation,
supervision,
management
and
monitoring support.
c) Resettlement and Rehabilitation assistance to projectaffected people.
One of the salient feature of this component will be assured
satisfactory maintenance of the road surface with
reasonable riding surface of the highway for the entire
concession period of 10 years.

Component B:
Institutional Development:

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The aim of this component is to increase the efficiency of

working of the Public Works Department. This will include the
capacity to design and implement PPP Projects for which PWD
needs job training and study tour opportunities for staff
implementing the project. In order to achieve this, a
comprehensive web portal would be required to strengthen the
institutional capacity of the PPP to efficiently manage the project.
Potentially the portal will have role-based access to multiple
application including an integrated Grievance Management
system that will help PPP Division capture grievances related to
all aspects of PPP Projects including land acquisition,
resettlement, vigilance, road issued from PPP concessionaires
etc., through an engagement process with citizens. The web
portal will also support e-RAP (Electronic Resettlement Action
Planning) application that would help PPP Unit better manage the
Land acquisition and resettlement process using mobile-based,
transparent, and holistic RAP Information in real-time. The third
major application to be supported on the Web portal would be the
PPP Contracts Management Tool (PCMT), a web used application
that is intended to be owned, operated, and maintained by
RSHDP PPP unit as a tool to measure the performance of
Concessionaires that would maintain the Project roads through
performance-based PPP contracts.
In the areas of Social and Environmental Management, the
capacity of the institution is proposed to be strengthened through
outsourcing of suitable skill set.

Component C:
Road Safety Management Plan: This component will
support the strengthening of road safety management systems in
Rajasthan with the objective of reducing the number of fatalities
and serious injuries from traffic accidents in the state. The
existing highway alignment will be technically evaluated for its
engineering design by the feasibility consultant during planning
stage, IE /AE at the construction phase with expert inputs from
the safety consultant. The intervention levels, type, adequacy and
the time lines will be decided and monitored for their
effectiveness regularly by the independent safety consultant
through periodic safety audits.
This will also be accomplished through:
1. Intelligent transportation systems (ITS)
2. Development of Road Accident Data Management System
(RADMS).

6 | Page

3. Developing Trauma Centers along the highways to provide

medical aid to the accident victims in golden hour thereby
reducing the number of fatalities.
4. Road Safety Education and Awareness Programs along the
highways.
5. Support to states other stakeholder department such as
Police Department. Transport Department for procurement
of Road safety Equipment and related training.
6. Development of ITS intervention in a coherent manner for
road safety with Police, Transport etc.
7. Rehabilitation of project affected persons (PAPs).

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1.4

Objective of the Manual

In view of aforesaid background, the Procurement Manual has

been framed setting forth the procedures and guidelines for
procurement of goods, works, Non-consulting services and consulting
services, which should be followed uniformly by all the Project
Implementation Units (PIUs).
1.5

Scope of the Manual

Procurement Manual is based on the World Banks Procurement and

Consultant Guidelines, January, 2011 Revision July 2014
for
procurement of goods, works, non-consulting services and consulting
services and will
be applicable to
the
stakeholders
in the
implementation of Rajasthan State Highways Development Programme
(RSHDP). The key stakeholders who are responsible for project
implementation and management include (i) Public Works Department
(PWD), Govt. of Rajasthan (ii) Additional Chief Engineer(PPP) and (iii)
Project Implementation Units (PIUs).
The Manual includes the procedures, guidelines and responsibilities for
the procurement of works, goods and services under the RSHDP project
and inter-alia covers preparation of bid documents (i.e. RFQ, RFP, DCA
etc.), invitation of bids, evaluation of bids, award of contract and
requirement of consultation with the World Bank at appropriate stages.
Banks Standard Bidding Documents and the Model Bidding Documents
agreed with the Bank shall be used for procurement of goods,
works and services for individual package or group of packages as
per Procurement Plan agreed with the Bank. In case any changes in the
approved Procurement Plan become necessary, the same should be
submitted to the Bank for review and no objection. The Departmental
Financial Rules/ Code, PWD Code, Manual and Accounts Code relating
to procurement of goods, works and services have been kept in view in
the preparation of this Manual to the extent they are consistent
with the Banks Guidelines.
1.6

Modification to Manual

The Manual shall be used as a reference tool for the project

implementation by the stakeholders, project authorities, related
agencies, Contractors, Concessioners and Suppliers for procurement of
goods, works and services. The Manual is, however, subject to
modification with the approval of Bank and the Government of
Rajasthan in case circumstances so warrant.

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1.7

Reference to the World Bank/IDA

The terms World Bank or Bank used in the manual refer to

The International Bank for Reconstruction and Development
(IBRD) which shall also include International Development
Association (IDA).

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CHAPTER II
PROCUREMENT POLICY, PLAN & STRATEGY
2.1

Procurement policy:

2.1.1 While in practice the specific procurement rules and procedures

to be followed in the implementation of a project depend on the
circumstances of the particular case, following principles will guide the
entire procurement process:

Economy and efficiency in implementation of the project;

Economy and efficiency in procurement of goods, works and
services involved;
Equal opportunity to all eligible bidders in providing goods
and works by providing timely and adequate notification of bid
documents;
Transparency in the procurement/selection process.

2.1.2 Overall Procurement Procedure: Under the RSHDP project,

development of State Highways & Road Safety works has been
planned. Implementation of these works will be the responsibility of
the PIU level officers of the PWD (Superintending/Executive Engineer).
This needs huge manpower with appropriate skill for effective
supervision and quality assurance in the execution and also adequate
storage facilities for the supplied equipment and materials. Therefore,
for the purpose of ease in contract management and implementation
supervision, it is proposed to group project road sections into suitable
packages with a view to reduce the number of bid packages and for
effective usage of heavy machinery deployed for faster construction.
2.2

Procurement Plan

In accordance with the Banks Procurement Guidelines, preliminary

Procurement Plan is to be prepared for the entire scope of the project.
However, the PMU(PPP Dn.) will also prepare a detailed and
comprehensive Procurement Plan including all contracts for which
procurement action is to take place in the first 18 (eighteen) months of
project implementation. An agreement with the Bank shall be reached
on this Procurement Plan for 18 months at the latest during loan
negotiations. PMU shall update Procurement Plans throughout the
duration of the project at least annually by including contracts
previously awarded and to be procured in the next 12 (twelve)
months. All procurement plans, their updates or modifications shall be
subject to Banks prior review and no objection before implementation.
After the loan negotiations, the Bank shall publish on its external
website the agreed initial procurement plan and all subsequent
updates once it has provided a no objection. Similarly, the PMU will

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also publish the agreed Procurement Plan and all updates/modifications

on its website.
The Procurement Plan will include the description of the contracts
for goods, works, non-consulting services and consulting services
required for the project. It will be consistent with the project
principles and estimates, technical and administrative approval and
the proposed methods for procurement over the total agreed
implementation period. It will also be consistent with the
budgetary allocations for the project.
Following the initial Procurement Plan for 18 months, Annual
Procurement Plans will be prepared in line with Annual Implementation
Plan and shared with the Bank for review and approval. Budgetary
allocation for the project will be made based on approved
Implementation and Procurement Plan.
The Procurement Plan is important for:

Facilitating timely decision making;

Ensuring satisfactory implementation of project;
Ensuring speedy transfer of resources by way of disbursements;
Achieving economy and efficiency;
Ensuring success of the project;

2.2.1 For procurement of works, goods, equipments etc. suitable

packages shall be framed which shall be determined by the following
factors:

Time limits for delivery/completion

Economies of scale
Nature of goods and works required
Geographic location
Capacity of Contracting Agencies

For procurement of similar but separate items of works, bids may be

invited under a slice and package procedure that would attract the
interest of both small and large firms, which could be allowed, at their
option, to bid for individual contracts (slices) or for a group of similar
contracts (package). All bids and combinations of bids shall be received
by the same deadline and opened and evaluated simultaneously so as
to determine the bid or combination of bids offering the lowest
evaluated cost to the Employer.
2.3

Financial delegation:

For implementation of the project in a time-bound manner, delegation

to various authorities shall be as under:

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I) Power For Technical Sanction

S.No.

Authority

Delegation

Additional Chief Engineer

(PPP)
Superintending Engineer
(PPP)

Full Power

Up to Rs 150 Lakh in each

case.

II) Power For acceptance of tender

S.No.

Authority

Delegation

CID

Any Amount

ECID

Up to Rs 500 Crores*

* If a single bid is received, recommendations of the Evaluation

Committee will require approval of the next higher authority.
2.4

Invitation of bids:

Bids for procurement of goods and works will be invited by the Project
Management Unit (PMU) i.e. PPP Dn. Headed by Additional Chief
Engineer (PPP).
2.5

Opening of Bids:

Bids will be opened at the specified place, date and time by the
Additional Chief Engineer (PPP) at Jaipur office.
2.6

Evaluation of Bids - Constitution of Evaluation Committee

Bids will be evaluated by an Evaluation Committee constituted for PPP

projects. The Evaluation Committee will comprise
1.
2.
3.
4.

Secretary PWD
Additional Chief Engineer(PPP)
Financial Advisor (PPP)
Superintending Engineer PPP (WB).

The Superintending Engineer-PPP (WB) will act as the Member

Secretary of the Committee.

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2.7.

Implementation Arrangement

2.7.1 State level implementation arrangement

The PMU will constitute of a dedicated team as per organizational Chart
as follows:

ORGANISATIONAL SETUP AT PMU

ADDITIONAL CHIEF
ENGINEER (PPP)
PWD RAJASTHAN

Ex.
Engineer
(HQ)

Executive
Engineer
(Procurement)

Asstt.
Engineers
(2 Nos)

Superintending EngineerPPP
(WB)

Executive
Engineer (road
safety)

Asstt.
Engineers
(2 Nos)

Executive
Engineer (Proposal
& monitoring)

Financial
Advisor

Sr.
Accountan
t
Accounts
officer

Asstt.
Engineers
(2 Nos)

PMC
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2.7.2 Field level implementation arrangement

Implementation of the project at the field level will be the responsibility
of the Project Implementation Unit (PIU), headed by Executive
Engineer (Project Director). Organizational chart indicating the set-up
of the PIUs under the over-all charge of the Additional Chief Engineer
(PPP), the PMU is described below.

ORGANISATIONAL SETUP OF EXECUTION WING

Additional Chief

Superintending Engineer (PPP)

World Bank

PIU-1
PIU-7

AEn

AEn

PIU-2

DAO

Cashier

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2.8
A.

Procurement Review:
Prior review of contracts for Goods and Works

Contracts for Goods and Works shall be subject to prior review by the
World Bank at following stages:

B.

Bidding Documents including the invitation to bid together with a

description of the advertising procedures to be followed for the
bidding;
Minutes of pre-bid conference and Amendments to Bidding
Documents;
Bid evaluation report together with the recommendations for
award (in the World Banks suggested format);
Extension of the bid validity for first request, if it is longer than 4
weeks, and all subsequent requests irrespective of the period;
One conformed copy of the contract, and of the advance payment
security and the performance security with checklist (in the World
Banks checklist format); and
Modification of the signed contract by way of (a) a material
extension of the stipulated time for performance of the contract;
(b) any substantial modification of the scope of services or other
significant changes to the terms and conditions of the contract;
(c) any variation order which, singly or combined with all variation
orders previously issued, increase the original contract amount by
more than 15 percent; or (d) the proposed termination of the
contract.
Post Review

The World Banks Procurement Guidelines and the Consultant

Guidelines require that the Project Implementing Agency (PWD) shall
retain all documentation with respect to each contract which is not
subject to a prior review by the Bank up to two years after the closing
date of the Loan Agreement. This documentation would include, signed
original of the contract, all subsequent amendments, the bids, the bid
evaluation report, and recommendations for award, the payment
invoices, as well as the certificates for inspection, delivery, completion
and acceptance of goods, works, non-consulting services and
consulting services, for examination by the Bank or by its
consultants/auditors. The PWD shall also furnish such documentation
to the Bank upon request. If the Bank determines that the goods,
works or consulting services were not procured in accordance with the
agreed procedures, as reflected in the Loan Agreement and further
detailed in the Procurement Plan approved by the Bank or that the
contract itself is not consistent with such procedures, it may declare
misprocurement.

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The Bank may also, depending on risks and the scope of the project
(e.g., involving many small value and simple contracts), agree with the
PMU that they appoint independent entities to carry out Post Reviews,
in accordance with terms, conditions and reporting procedures
acceptable to the Bank. In such cases, the Bank will review the reports
submitted by the PMU, and retains its right to directly conduct post
reviews during project implementation as may be needed.
2.9

Fraud and Corruption

It is the Banks policy to require that Borrowers (including beneficiaries

of Bank loans), as well as bidders, suppliers, contractors,
concessionaires and their agents (whether declared or not), personnel,
subcontractors, sub-consultants, service providers or suppliers, under
Bank-financed contracts, observe the highest standard of ethics during
the procurement and execution of such contracts. 1 In pursuance of
this policy, Banks Standard Bidding Document (SBD) Standard
Request for Qualification (RFQ) and standard Request for Proposal
(RFP) stipulate detail provisions of Fraud & corruption clauses, which
should be used without any changes.
2.10

Misprocurement

The provision of misprocurement, in paragraph 1.14 of the World

Banks Procurement Guidelines and paragraph 1.19 of World Banks
Consultant Guidelines, would apply to the procurement of Goods,
Works & Non-Consulting Services, and Consulting services respectively.
Paragraph 1.14 of the procurement Guidelines provides as under:
The Bank does not finance expenditures under a contract for goods,
works, and non-consulting services if the Bank concludes that such
contract: (a) has not been awarded in accordance with the agreed
provisions of the Loan Agreement and as further elaborated in the
Procurement Plan; (b) could not be awarded to the bidder otherwise
determined successful due to willful dilatory conduct or other actions of
the Project resulting in unjustifiable delays, the successful bid being no
longer available, or the wrongful rejection of any bid; or (c) involves
the engagement of a representative of the Borrower/Project in fraud
and corruption. In such cases, the Bank will declare misprocurement,
and it is the policy of the Bank to cancel that portion of the loan
allocated to the goods, works or non-consulting services that have
been misprocured. The Bank may, in addition, exercise other remedies
provided for under the Loan Agreement. Even once the contract is
awarded after obtaining a no objection from the Bank, the Bank may
still declare misprocurement if it concludes that the no objection was
1

In this context, any action taken by a bidder, supplier, contractor, or any of its personnel, or its agents, or its subconsultants, sub-contractors, service providers, suppliers and/or their employees to influence the procurement process
or contract execution for undue advantage is improper.

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issued on the basis of incomplete, inaccurate, or misleading

information furnished by the Borrower/Project or the terms and
conditions of the contract had been substantially modified without the
Banks no objection.
The Banks Consultant Guidelines also have a similar provision for
misprocurement in case of contract for consulting services.

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CHAPTER III
METHODS OF PROCUREMENT OF GOODS AND WORKS
3.1

General

3.1.1 Before undertaking procurement of goods & works as per

approved Procurement Plan it needs to be ensured that
allocations are made in the State Budget under appropriate
heads for meeting expenditure during the financial year for
implementation of the project.
3.1.2 In the implementation of projects, PMU shall act as a
Authority and the PIU shall have the responsibility for acquiring
licenses, permissions ,land acquisition for execution of works.
3.1.3 The technical and professional support shall be provided to the
PIU by PMU at all stages including preparation of bidding
documents, monitoring and implementation of works, financial
and technical audit.
3.2

Scope of work & Options

3.2.1 The procurement of goods, works and services under RSHDP

mainly includes below:
(a) Works
Request for Qualification (RFQ).
Request for Proposals(RFP)
(b) Goods:
Vehicles

Computers with Software, Photocopiers,

goods required for office establishment
Equipments & Goods for training.
(c)

Furniture and other

Services and consultancies

Feasibility & DPR Preparation for SH/MDRs

Project Management Consultancy (PMC)*

Independent Engineer
Authority Engineer
Consultancy services of Legal, Financial cum Transactional
advisors
Consulting services of Environmentalist, Social scientist

*PMC is being appointed under ADB which would also assist PMU
in World Bank funded projects.

3.3

Thresholds for Procurement methods and Prior-Review

Thresholds for procurement methods and Banks prior review, as

agreed with the Bank for Goods, Civil Works and Non-Consulting
Services are detailed in the Tables below. These thresholds shall be
reviewed periodically during the life of the project and revised based
on the risk assessments.
Table 1: Civil Works
Expenditure
Category

Value*
(Threshold per
contract)

Civil Works

(a) Civil Works

estimated to cost
equivalent to US$
100,000 or less
per contract.

Procurement
Method

Contracts subject
to Prior
Review/Post
Review
[i] Shopping [i] Post review only
(Minimum
3
[ii]Force Account
method
shall
be
quotations)
followed, if included
the
approved
[ii]
Force in
Procurement
Plan.
Account
Bank will provide
prior no objection to
the use of Force
account
for
the
works proposed if
justified in terms of
Para 3.9 of the
Procurement
Guidelines.
National
First
NCB
works
Competitive
contract
regardless
Bidding (NCB) of value. All other
contracts are subject
to post review.

(b) Rural roads

Civil
Works
estimated to cost
more than the
equivalent to US$
100,000
per
contract and less
than
US$
2.5
Million.
(c) Civil Works National
(other than Rural Competitive
Roads) estimated Bidding (NCB)
to cost more than
the equivalent to
US$ 100,000 per
contract and less
than
US$
40
Million.

(d) Civil Works International

estimated to cost Competitive

First
NCB
works
contract
regardless
of value and all
contracts above US$
15 Million equivalent
each will be prior
reviewed
by
the
Bank.
All other contracts
are subject to post
review.
All
ICB
contracts
irrespective of value
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more than US$ 40 Bidding (ICB)

Million

will be subject
prior review.

to

* If a transaction comprises several contracts, lots or slices, the

aggregate estimated value of all contracts, lots or slices will determine
the applicable threshold.
# Irrespective of the prior review thresholds, first NCB contract for
works and goods from will be subject to Banks prior review.
Table 2: Goods, IT Systems and Non-Consulting Services
Goods
Equipment,
Machinery,
Vehicles,
Furniture,
Learning
Materials,
IT Systems
and
NonConsulting
Services
etc.

Value Threshold

(i)
US$
100,000 Shopping
equivalent or less per (Minimum
3
contract.
quotations)
DGS&D
rate
#
contracts
(ii)
Proprietary
equipment; software;
print, audio or visual
educational
publications;
and
other
learning
resources irrespective
of value.
(iii) Contracts of more
than US$ 100,000
equivalent but less
than US$ 3 Million
equivalent.
(iv) Contracts of more
than US$ 3 Million
equivalent.
(v)
Framework
Agreement
(FA)^
Subject to inclusion of
FA as procurement
method for specific
items
in
the
procurement plan.

Methods

Direct
Contracting

National
Competitive
Bidding (NCB)

Review
Arrangements
Post review only

Prior review for

all
contracts
valued
US
$10,000 & above
with justification
as per Para 3.7 of
Procurement
Guidelines.
First contract will
be
subject
to
Prior review by
the Bank.

International
Competitive
Bidding (ICB)

All ICB contracts

are subject to
Prior review by
the Bank.
As per Par 3.6 All FAs except for
of GL
DGS&D
are
subject to review
for acceptance.

If a transaction comprises several contracts, lots or slices, the

aggregate estimated value of all contracts, lots or slices will be
considered to determine the applicable threshold.
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State Rate Contracts cannot be used at par with Shopping. If

state rate contract exists for an item, the same can be
considered as one of the 3 quotations to be sought under
shopping procedures.

use of DGS&D rate contracts under Framework Agreement (FA)

method can be used, provided that:
Use of DGS&D rate contracts as FA must be reflected on the
procurement plan agreed by the Bank for particular goods.
Before issuing the purchasing order, the borrower carries-out a
price analysis on the specific good that is intended to be
purchased. If after this due diligence the borrower concludes
(and Bank agrees) that the DGS&D rate contract is not suitable,
then the borrower will have to proceed with procurement through
NCB or shopping depending on the value.
To meet the Bank's requirements for right to audit and F&C,
these clauses may be included in the Purchase Orders (in case
the purchasers are directly placing the purchase orders to
DGS&D rate contract holders). On the other hand, if indent is
placed through DGS&D, the Purchaser has the option to sign a
separate undertaking with DGS&D rate contract holder, where
Banks right to audit and F&C clauses could be mentioned.

3.4

NCB Provision : National Competitive Bidding (NCB) method for

procurement of goods and works as per the above value
thresholds will be conducted in accordance with paragraphs 3.3
and 3.4 of the World Banks Procurement Guidelines and the
following provisions:

1) Only the model bidding documents for NCB agreed with the GOI
Task Force (and as amended for time to time), shall be used for
bidding.
2) Invitations to bid shall be advertised in at least one widely
circulated national daily newspaper (or on a widely used website or
electronic portal with free national and international access along
with an abridged version of the said advertisement published in a
widely
circulated
national
daily
inter-alia
giving
the
website/electronic portal details from which the details of the
invitation to bid can be downloaded), at least 30 days prior to the
deadline for the submission of bids.
3) No special preference will be accorded to any bidder either for price
or for other terms and conditions when competing with foreign
bidders, state-owned enterprises, small-scale enterprises or
enterprises from any given State.

21 | P a g e

4) Except with the prior concurrence of the Bank, there shall be no

negotiation of price with the bidders, even with the lowest
evaluated bidder.
5) Extension of bid validity shall not be allowed with reference to
Contracts subject to Bank prior review without the prior
concurrence of the Bank (i) for the first request for extension if it is
longer than four weeks; and (ii) for all subsequent requests for
extension irrespective of the period (such concurrence will be
considered by Bank only in cases of Force Majeure and
circumstances beyond the control of the Purchaser/ Employer).
6) Re-bidding shall not be carried out with reference to Contracts
subject to Banks prior review without the prior concurrence of the
Bank.
7) The system of rejecting bids outside a pre-determined margin or
"bracket" of prices shall not be used in the project.
8) Rate contracts entered into by Directorate General of Supplies and
Disposals will not be acceptable as a substitute for NCB procedures
unless agreed with the Bank on case to case basis. Such contracts
will be acceptable, however, for any procurement under the
Shopping procedures.
9) Two or three envelope system will not be used (except when using
e-Procurement system assessed and agreed by the Bank)
3.5. Different Modes of Procurement
3.5.1. International Competitive Bidding (ICB):
Provisions of Section II of World Banks Procurement Guidelines will
govern the ICB procurement. Important features of ICB process are as
under:

Timely notification of bidding opportunities is essential in

competitive bidding. The Borrower is required to prepare and
submit to the Bank a General Procurement Notice (GPN). The
Bank will arrange for its publication in UN Development Business
online (UNDB online) and on the Banks external website. The
General Procurement Notice shall contain information concerning
the Project, amount and purpose of the loan, scope of
procurement reflecting the Procurement Plan, and the name,
telephone (or fax) number, and addresses of the Implementing
agencies responsible for procurement and the address of a widely
used electronic portal with free national and international access
or website where the subsequent Specific Procurement Notices will
be posted.
22 | P a g e

The bidding documents shall not be released to the public earlier

than the date of publication of the General Procurement Notice.

Invitations to bid shall be advertised as Specific Procurement

Notices (SPN) in at least one newspaper of national circulation in
the country (or in the official gazette, or on a widely used website
or electronic portal with free national and international access).
Such invitations shall also be published in UNDB online.
Notification shall be given in sufficient time to enable prospective
bidders to obtain bidding documents and prepare and submit their
responses

SPN or the Invitation for Bid (IFB) will also be forwarded to

embassies and trade representatives of countries of likely
suppliers/contractors and also to those who have expressed
interest in response to the General Procurement Notice;

Project shall use the appropriate Standard Bidding Documents

(SBDs) issued by the Bank with minimum changes, acceptable to
the Bank, as necessary to address project-specific conditions.

For all contracts which are subject to World Banks prior review,
PMU shall forward the Bidding Documents for Banks review and
no objection. Various stages of prior review for such contracts are
detailed in Para 2.8 of Chapter II.

Sale of bidding documents should start only after publication of

invitation for bids in newspapers and/or UNDB online.

Bidding period shall be 45 days from the date of start of the sale
of bidding documents or publication of IFB in the newspaper
whichever is later.

Bidders shall be required to submit bids valid for a period specified

in the bidding documents which shall be sufficient to enable the
Project to complete the comparison and evaluation of bids, obtain
all the necessary approvals within the Borrower entity and the
Banks no objection to the recommendation of award in case of
prior review contracts.

The bidding documents shall specify any factors, in addition to

price, which will be taken into account in evaluating bids.

Bids for goods shall be invited on the basis of CIP (place of

destination) for all goods manufactured abroad and to be
imported. Bids for goods that were previously imported shall be
invited on the basis of CIP (place of destination) separately
indicating the actual amount of customs duties and import taxes
already paid. Bids for goods manufactured in the Borrowers
23 | P a g e

country shall be invited on the basis of EXW plus cost of inland

transportation and insurance to the place of destination.

Bidders for works and non-consulting services shall be required to

quote unit prices or lump sum prices for the performance of the
works or non-consulting services, and such prices shall include all
duties, taxes, and other levies.

Bidding documents shall state either that (a) bid prices will be
fixed or (b) that price adjustments will be made to reflect any
changes (upwards or downwards) in major cost components of the
contract, such as labor, equipment, materials, and fuel. Price
adjustment provisions are usually not necessary in simple
contracts involving delivery of goods or completion of works within
eighteen months, but shall be included in contracts which extend
beyond 18 (eighteen) months.

Bidding documents shall state that the bidder may express the bid
price in any currency. If the bidder wishes to express the bid price
as a sum of amounts in different foreign currencies, they may do
so, provided the price includes no more than three fully
convertible foreign currencies.

For the purpose of comparing prices, bid prices shall be converted

to a single currency selected by the Borrower (local currency or
fully convertible foreign currency) and stated in the bidding
documents. The Borrower shall make this conversion by using the
selling (exchange) rates for those currencies quoted by an official
source (such as the Central Bank) or by a commercial bank or by
an internationally circulated newspaper for similar transactions on
a date selected in advance, such source and date to be specified
in the bidding documents.

The Project shall arrange public opening of all bids received by the
deadline for bid submission at the designated place stipulated in
the bidding documents, irrespective of the number of bids
received by such deadline.

Before proceeding with evaluation, it should be ascertained

whether the bids:
o meet the eligibility requirements specified in Paras 1.8 to
1.10 of Procurement Guidelines;
o have been properly signed;
o are
accompanied
by
the
required
authorization/
undertakings (for signatories, agents and subsidiaries as
specified in the documents);
24 | P a g e

o are accompanied by the required securities;

o are substantially responsive to the requirements of the
bidding documents; and
o are otherwise generally in order.

If a bid is not substantially responsive, that is, it contains material

deviations from or reservations to the terms, conditions and
specifications in the bidding documents, it should not be
considered further. The bidder must not be permitted to correct or
withdraw material deviations or reservations once bids have been
opened.

A substantially responsive bid is one which conforms to all the

terms and conditions of the bidding document without material
deviations. The determination of a bid's responsiveness is to be
based on the contents of the bid itself without recourse to
extrinsic evidence.

All substantially responsive bids should be evaluated in detail as

per procedure stipulated in bidding documents.

Contract should be awarded to a bidder, whose bid has been

determined to be substantially responsive and who has offered the
lowest evaluated bid price provided further that the bidder is
determined to be qualified to perform the contract satisfactorily
and meets the qualification criteria specified in the bidding
document. If the lowest evaluated bidder (in the same name and
style) does not meet the qualification criteria, his bid should be
rejected and a similar determination should be made for the next
lowest evaluated bidder; the process will be continued, if
necessary.

If extension of bid validity is required, it should be sought from all

bidders before stipulated expiration date and not from the lowest
alone, and the Bank notified. The extension shall be for the
minimum period required to complete the evaluation. The project
shall seek the Banks prior no objection for the first request for
extension, if it is longer than four weeks, and for all subsequent
requests for extension, irrespective of the period.

In case of prior review contracts, evaluation report and

recommendations for award along with comparative statement
should be sent to World Bank for review and clearance before
communicating award of contract.

All decisions of award are to be published in UNDB-online as

detailed in Appendix 1 of the Procurement Guidelines. In the
25 | P a g e

publication of Contract Award, the PIU shall specify that any

bidder who wishes to ascertain the grounds on which its bid was
not selected, should request an explanation from the Employer.
The PMU shall promptly provide in writing an explanation of why
such bid was not selected. If a bidder requests a debriefing
meeting, they shall bear all their costs of attending such a
debriefing meeting.

A conformed copy of the contract agreement in respect of prior

review contracts should be forwarded to World Bank along with
the prescribed checklist duly filled in for clearance.

In the case of contracts subject to prior review, World Banks no

objection shall be obtained before granting a material extension of
the stipulated time for performance of a contract, or any
substantial modification of the scope of services or (c) any
variation order or amendment (except in cases of extreme
urgency) which, singly or combined with all variation orders or
amendments previously issued, increase the original contract
amount by more than 15 percent; or (d) the proposed termination
of the contract.

3.5.2 National Competitive Bidding (NCB)

All NCB contracts (Works and Goods) shall be awarded in accordance
with the
provisions
of Paragraphs 3.3 and 3.4 of the Guidelines for
Procurement of Goods, Works, Works and Non-Consulting Services
under IBRD Loans and IDA Credits & Grants, January 2011.
National competitive bidding for procurement of goods, works and
non-consulting services is
the most
appropriate method of
procurement, which by their nature or scope, are unlikely to attract
foreign competition because:

The size and value of contract are small;

The works are scattered geographically or spread over time;
Works are labour intensive; or
The goods, work and non-consulting services are available locally
at prices below the international market.

Important provisions relating to NCB procurement as specified in the

Banks Guidelines are as under:
The complete text of advertisement shall be published in a
national newspaper of wide circulation in English, or in the official
gazette provided that it is of wide circulation, or on a widely used
website or electronic portal with free national and international
access. For this purpose, PMU/PIU will place the IFB on their
26 | P a g e

electronic portal.

The Project may publish a shorter version of the advertisement

text, including the minimum relevant information, in the national
press.

Notification shall be given to prospective bidders in sufficient

time to enable them to obtain relevant documents.

The currency of the country, i.e. INR is to be used for the

purposes of bidding and payment.

The bidding documents shall provide clear instruction on

how bids should be submitted, how prices should be offered,
and the place and time of submission of bids. Adequate
response -time for preparation and submission of bids shall be
provided.
The
procedures
shall
provide
for adequate
competitions in order to ensure reasonable prices, and methods
used in the evaluation of bids and the award of contracts shall
be objective and made known to all the bidders in bidding
documents and not be applied arbitrarily.

The procedure shall also include public opening of bids,

evaluation of bids, publication of results of bid, award of contract
and provision of bidder to protest.

If foreign firms wish to participate in NCB they shall be allowed to

do so on the prevailing NCB terms and conditions that apply to
national bidders.

First NCB document for each type of work will be sent to the World
Bank for review and no objection, before commencing the procurement.
3.5.3 Shopping
Shopping is a procurement method based on the comparing price
quotations obtained from several suppliers (in the case of goods) or
from several contractors (in the case of civil works), or service
providers (in the case of non-consulting services), with a minimum of
three, to assure competitive prices. It is an appropriate method for
procuring readily available off-the-shelf goods or standard specification
commodities of small value, or simple civil works of small value when
more competitive methods are not justified on the basis of cost and
efficiency.
If the PMU/PIU has been unable to obtain at least three quotations, it
shall provide the Bank with the reasons and justification why no other
competitive method could be considered and obtain a no objection
before proceeding on the basis of the only responses already received.
27 | P a g e

The following procedure will be applicable for procurement through

shopping at the local level for each contract valued up to US$100,000
(Shopping threshold):
a. The procurement will be based on comparing price quotations
obtained from several suppliers (in case of goods) and several
contractors (in case of works), with minimum of three;
b. Request for quotation shall indicate descriptions and quantity of
goods or specification of works as well as delivery period and
place;
c. Quotation may be submitted by letter, fax or by electronic
means;
d. The evaluation shall follow the same principles as of open
bidding;
e. No special preference, price, or purchase will be accorded to any
bidder, state-owned enterprises, small-scale enterprises, or
enterprises from any given State;
f. There shall be no negotiation of price with the bidders;
g. There shall be no rate contracts.
into by DGS&D will be acceptable.

Only rate contracts entered

h. Selective exemption of bid security or performance security to

any class of bidders shall not be allowed;
i. Bids shall not be invited on percent rate basis and shall not be
rejected based on a ceiling on bid premium;
j. Complete records of all procurements made shall be retained up
to two years after the closing date of the project. A register for
contracts must be maintained and available for inspection;
k. Strict compliance for maintaining stock and asset register by the
participating agencies; and
Rate contracts finalized by the Director General of Supplies & Disposals
(DGS&D) will be accepted for any procurement under shopping. State
Government rate contract, if any, shall be treated as one of the three
quotations in the shopping process.
3.5.4 Direct Contracting
Direct contracting is contracting without competition, i.e. it refers to
procurement from a single source. The procedure for direct contracting
may be adopted if anyone of the following conditions is met:

28 | P a g e

Need for extension of an existing contract for goods, works and

non-consulting services awarded as per the prescribed
procedures and where no advantages could be obtained by
further competition.

The goods to be procured are proprietary and obtainable only

from one source.

The required items are spare parts to be compatible with existing

equipment. However existing equipment should be suitable and
the price of spare parts shall be reasonable.

Process design requires the purchase of critical items from a

particular supplier as a condition of a performance guarantee.

In cases of extreme emergency.

In RSHDP the value of each contract of such procurement should not

exceed the threshold prescribed in the Procurement Plan agreed with
the Bank and also reproduced in Para 3.3 above.

29 | P a g e

CHAPTER IV
PREPARATION PROCESS FOR BIDDING
4.1
4.1.1

General
Typical activities involved in procurement of development of
state highways and road safety plans are as under:
(i)
(ii)
(iii)
(iv)

Preparation of feasibility report/ DPR

Packaging of Projects and Preparation of Procurement Plans
Preparation and Approval of Bid Documents
Invitation and Receipt of RFQ and selection of qualified
bidders
(v)
Invitation and Receipt of RFP
(vi) Evaluation of RFP and Award of Works
(vii) Signing of agreement

4.1.2 After the scrutiny of the DPR has been completed, the PMU
should proceed to prepare the Bidding Documents i.e. RFQ, RFP
and DCA in consultation with PIU. The wordings and description
of these documents should match with the standard Book of
Specifications for two laning, i.e. SP-73:2015
4.2

Bidding Documents

Model Bidding Documents (RFQ, RFP, and DCA for PPP-annuity and
EPC) have been drawn up for procurement of projects included in the
RSHDP and the same have been agreed with the World Bank.
4.3

Clarification Process:

PMU are required to firm up the Sections relating to Instructions to

Bidders and General Conditions of Contract of the Model Bidding
Documents, schedules of DCA. Provisions specific to procurement of
individual packages should be incorporated in the relevant sections viz.
Bid Data Sheet, Qualification Information, Contract Data, apart from
incorporating the relevant drawings. Scope of work will be covered
through schedules of DCA.
4.4

Important features of the bidding process

4.4.1 Invitation for Bids (IFB)

This section provides the standard format for release of eProcurement Notice in the newspapers, and for uploading of the
IFB
on
the
website
www.eproc.rajasthan.gov.in
and
sppp.rajasthan.gov.in
The IFB provides that RFQs are being invited from the
interested persons, company or Joint ventures, complying the

criterions in bid documents for RFQ. For RFP stage only package
specific qualified bidders are allowed to participate.
4.4.2 RFQ applications/ RFP Bidding shall be carried out only through
electronic tendering system. Minimum bidding time of 45 days
should be allowed from the date of publication of e-Procurement
Notice in the press, or the date the bidding documents are
made available on the website, whichever is later with a pre-bid
meeting to be held midway.
4.4.3 A pre-bid meeting should be held for each invitation of bid at the
ACE (PPP) office to clarify the issues and to answer questions on
any matter that may be raised by the bidders. Minutes of the
meeting, including the text of the questions raised and the
response will be uploaded on the website. Any modification of
the bidding documents which may become necessary as a result
of the pre-bid meeting shall be made by the PMU exclusively
through the issue of an addendum which will also be uploaded
on the website.
4.4.4 Bidder shall be a private or an individual legal entity or a
combination of them with a formal intent to enter into an
agreement or under an existing agreement in the form of a
Joint Venture (JV).
4.4.5 Maximum number of partners in JV shall be three. In case of JV,
all the partners shall be jointly and severally liable for the
successful completion of the work.
4.4.6 The prospective bidder is required to have enrolment /
registration in the website which is free of cost. For submission
of bids, the bidder should have Digital Signature Certificate
(DSC) from one of the authorized Certifying Authorities (CA).
Bidders are required to obtain separate DSCs for signing and
encryption, issued by the same CA, for participating in the
electronic bid submission. (This holds good for domestic
bidders. However, is this provision applicable for international
bidders too?)
4.4.7 The bidder is required to enter details of the bid online in the
prescribed formats. In addition scanned copies of various
documents specified in ITB clause 13.2 of the Model Bidding
Documents are required to be uploaded on the website.
Submission of Original Documents: The bidder is also required
to submit to the Employer (a) original demand draft towards the
cost of bidding documents (b) original bid security in approved
form and (c) original affidavit regarding correctness of
information furnished with bid document, which shall reach on a
date not later than the date of opening of Bids. To facilitate
timely submission of original documents, the date for opening of
31 | P a g e

bids should be fixed two working days after the deadline for
submission of bids.
4.4.8 Bid validity shall be of 120 days and Bid security shall be valid in
accordance with the provision laid down under Section-2
Instructions to Qualified Applicants clause 2.20 of the RFP.
4.4.9 No later than 120 days from the date of signing of concession
agreement, the concessionaire shall provide an irrevocable and
unconditional Performance security in the form of guarantee
from a bank for a sum, specified under Article 9 of RFP, in the
form set forth in Schedule-F of DCA. The release of performance
security shall be as specified under Article 9.3 of DCA. Further,
the concessionaire shall provide Deemed Performance Security
as specified under Article 9.4 of DCA.
4.5

Fraud and Corruption:

Fraud and Corruption Clauses as provided in the World Banks

Procurement Guidelines (or the SBDs) have been incorporated in the
Model Bidding Documents.
4.6

Qualification Criteria

The evaluation criterions for Qualification of bidders are detailed under

Section-3 CRITERIA FOR EVALUATION of RFQ documents for the
Annuity/EPC projects.
4.6.1 The Technical and Financial capacity of the applicant (Either as a
single entity or Joint Venture or Intended Joint Venture) shall be
as per Clause 2.2.2, Instructions to Applicants of RFQ.

32 | P a g e

CHAPTER V
PROCUREMENT PROCESS FOR RFQ
5.1

General

Procurement of civil works through ICB is the most predominant part

of the entire procurement activity of this Project. Therefore, this
chapter is devoted to the process of procurement of civil works through
ICB.
The RFQ Document which have been agreed with the Bank for ICB
procurement of works have been referred to at a number of places in
the subsequent paragraphs of this chapter.
5.1.1 The PWD shall establish an Evaluation Committee for evaluation
of applications as brought out in Para 2.6 of Chapter II.
5.1.2 The invitation for Qualification shall be issued immediately on
approval of the projects from World Bank and in accordance
with the procurement plan formulated by the PWD as cleared
with the Bank. A minimum of 30 (thirty) days shall be provided
for submission of applications (from the date of publishing the
e-Procurement Notice in the newspaper or availability of bidding
documents on the website for downloading, whichever is later).
5.1.3 The process of approval and the time frame shall be defined
while constituting the Procurement Evaluation Committee. The
time frame should be such that generally the finalization of
qualified bidders gets completed within 30 days of the
application due date.
5.2

Prior review Thresholds:

E-Procurement Notice and Invitation for Qualification: The EProcurement Notice and the Invitation for RFQ shall be prepared as per
format provided in the RFQ and put up on the website as agreed with
the World Bank. The e-procurement notice will be published in at least
one widely circulated National English newspaper; it will also be
published in the local newspaper(s) to ensure wide publicity among the
local contractors; and the notice shall also be published on UNDB
online and state SPPP Portal.
5.3

Method of Procurement

Clarification process during bidding and issue of amendments: Bidding

will be conducted through e-tendering system. A prospective applicant
requiring any clarification may notify online the authority inviting the
applications. A pre-application conference will also be held not later
than two weeks prior to deadline of submission of application due date
33 | P a g e

as specified under clause 2.15 of RFQ. The ACE (PPP) has to respond to
the request(s) for clarifications received earlier than ten days prior to
the deadline for submission of bids. Description of clarification sought
and the response thereto will be uploaded for information of the public
or other applicants without identifying the source of request for
clarification. The corrigendum/addendum to RFQ document will be
issued online and It will appear on the web page of the website
www.eproc.rajasthan.gov.in; SPPP Portal; and UNDB online.
5.4

Opening and Evaluation of Applications

The applications shall be opened by the PPP Dn nominated

representative in accordance with clause 2.18 of RFQ. Prior to the
evaluation of applications, the authority shall determine whether each
Application is responsive to the requirement of the RFP in accordance
with clause 2.20 of RFQ. To facilitate evaluation of Applications, the
Authority may seek clarifications from any Applicant in accordance with
the clause 2.21 of RFQ.
5.5

Qualification and Bidding

5.5.1 After the evaluation of application, the Authority would

announce a list of qualified Applicants (the Bidder(s)) in
accordance with clause 2.22 of RFQ.
5.6

Rejection of Applications

5.6.1 Applications received by the Authority after the specified time on

the Application due date shall be rejected in accordance with clause
2.16 of RFQ. Similarly, Modification/Substitution/with drawl of
Applications by the Applicant shall be dealt in accordance with the
clause 2.17 of RFQ.

34 | P a g e

5.7

Procurement Process flow chart

Procurement steps are explained in the form of a flow chart as under:Flow chart of the procurement process

ASSESSMENT OF REQUIREMENTS

DECIDING PROCUREMENT STRATEGY

MODE OF PROCUREMENT

PREPARATION OF RFQ DOCUMENTS

ADVERTISEMENT FOR INVITING RFQ

ISSUE OF SALE OF RFQ DOCUMENT

PRE APPLICATION
CCONFERENCE
MEETING
RECEIPT AND OPENING OF
APPLICATIONS
EVALUATION OF
APPLICATIONS
SEEKING NO OBJECTION OF BANK WHEN APPLICABLE

NOTIFICATION OF QUALIFIED
APPLICANTS
ISSUANCE OF RFP

35 | P a g e

CHAPTER VI
PROCUREMENT PROCESS FOR RFP
6.1

Procurement of civil works through ICB is the most predominant

part of the entire procurement activity of this Project.
Therefore, this chapter is devoted to the process of
procurement of civil works through ICB.

The RFP Documents which have been agreed with the Bank for
ICB procurement of works have been referred to at a number of places
in the subsequent paragraphs of this chapter.
6.1.1 The PWD shall establish an Evaluation Committee for evaluation
of bids as brought out in Para 2.6 of Chapter II.
6.1.2 The Invitation for Bids (IFB) shall be issued to only pre-qualified
Applicants (the Bidder(s)) through e-procurement notice. A
minimum of 45 (forty five) days shall be provided for
submission of bids (from the date of publishing the eProcurement Notice in the newspaper or availability of bidding
documents on the website for downloading, whichever is later).
6.1.3 The process of approval and the time frame shall be defined
while constituting the Procurement Evaluation Committee. The
time frame should be such that generally the finalization of bids
gets completed within 90 days of the bid submission date.
6.1.4 Clarification process during bidding and issue of amendments
shall be dealt in accordance with Para 2.8, Clarifications of
RFP document and Amendment of RFP shall be dealt in
accordance with Para 2.9, Amendment of RFP.
6.2

Opening and evaluation of bids

6.2.1 The Authority shall open and evaluate the bids in accordance
with Para 3.1 of RFP. Prior to the evaluation of bids, the
authority shall determine whether each bid is responsive to the
requirement of the RFP in accordance with Para 3.2 of RFP. An
electronic summary of the opening of Bids is generated and
kept online. PPP Dn. will also prepare minutes of the Bid
opening, including the information disclosed in accordance with
Instructions to Qualified Applications and upload the same for
viewing online after seeking No Objection of the Bank.
6.2.2 The Evaluation Committee will arrange immediate verification of
the genuineness of the Bid security submitted by the bidders, so
as to ensure that the outcome of this verification is known at
the time of finalization of the Evaluation.
36 | P a g e

6.3

Evaluation Report

6.3.1 An evaluation report shall be prepared by the Evaluation

Committee, as per format in Annex - 1, which would include
chronologically events from the date of publication of the IFB till
award recommendations are made. The Report shall be
submitted for approval to the Authority competent to accept
recommendation as per financial delegation who will give his
decision within five days of receipt of report.
6.3.2 The Evaluation Report shall also discuss whether any complaints
were received during the bidding process and what action was
taken. If the Evaluation Committee suspects any fraudulent or
corrupt practices in connection with the bidding process, the
Evaluation Report will bring out details of the same along with
action proposed/recommended to be taken.
6.4

Single Bids

Where only one bid is received, efforts should be made to

ascertain the reasons. If it is determined that publicity was not
adequate, bid specification or any of the terms were restrictive or
unclear, the bid shall be cancelled and invited afresh after amending the
specifications/ terms. If however, it is determined that the bid was
satisfactorily advertised, qualification criteria were not unduly
restrictive, and prices quoted are reasonable in comparison to market
values, the single bid shall be considered for award.
6.5

Issue of Letter of Acceptance (LOA) and Signing of

Agreement

6.5.1 Issue of LOA

The qualified Bidder whose Bid has been accepted, the LOA will be
issued by the authority within 30 days but prior to expiration of the Bid
validity period in writing. After issuing the Letter of Acceptance of bid,
the selected bidder shall be asked to sign the contract agreement and
furnish the required performance security within the stipulated time.
The PPP Division will promptly notify the other bidders that their bids
have been unsuccessful, and arrange to return their Bid Securities
soon thereafter as per Cl. 2.20 of RFP.
6.5.2 Completion of Documentation for signing of contract agreement
The PMU shall complete all documentation for signing of the contract
agreement. This would include signing of each page of the contract
documents, and verification of the genuineness of the performance
security. With the signing of the agreement between the parties, the
contract shall come into existence and shall be enforceable by law.
37 | P a g e

6.6

For feiture of Bid Security

Failure of successful bidder to comply with the requirement of delivery

of Performance Security or signing the Contract Agreement within the
stipulated period shall constitute sufficient grounds for cancellation of
the award and forfeiture of the Bid Security and PPP Division may
resort to rebidding subject to the prior approval of the World Bank.
PWD shall also consider action to debar such successful bidder who
fails to comply with the above requirements from participating in bids
under RSHDP in conformance to the World Bank procurement
guidelines.
6.7

Publication of the Award of Contract and Debriefing by

the Borrower

PPP Division shall publish on the website of the e-tendering system and
the website of the PWD result of the bidding process. Following
information shall be published/ uploaded on the website(s):
a.
b.
c.
d.
e.

Name of each bidder who submitted the bid;

Bid prices as announced online during the bid opening;
Name and evaluated price of each bid that was evaluated;
Name of bidders whose bids were rejected and reasons for
their rejection; and
Name of the winning bidder as well as the price offered.

In the publication of Contract Award, the PMU shall specify that any
bidder who wishes to ascertain the grounds on which its bid was not
selected, should request an explanation from the Employer.
Following the publication of the award, if an unsuccessful bidder
requests an explanation, the PPP Division shall promptly provide in
writing an explanation of why its bid was not selected. If a bidder
requests a debriefing meeting, they shall bear all their costs of
attending such a debriefing meeting.
6.8

Financial Closure of the Work

6.8.1 After the contract has been signed between the parties and
performance security deposited by the Contractor, the PMU &
Concessionaire may proceed for satisfying the condition
precedent. On satisfying the condition precedent by both the
parties the financial close shall be achieved. The date of
achieving the financial closure shall be the date for
commencement of the concession i.e. the appointed date for
the agreement.
6.8.2 The authority may also require the Concessionaire to submit
through independent engineer necessary work programme
38 | P a g e

including the measures proposed by him for work zone safety

and mitigation of environment impact.
6.9

Rejection of Bids

6.9.1 The Authority reserves the right to reject any Bid and to annul
the Bidding Process and reject all Bids at any time without any
liability or any obligation for such acceptance, rejection or
annulment, and without assigning any reasons therefor. In the
event that the Authority rejects or annuls all the Bids, it may, in
its discretion, invite all eligible Qualified Applicants to submit
fresh Bids hereunder.
The Authority reserves the right not to proceed with the Bidding
Process at any time, without notice or liability, and to reject any Bid
without assigning any reasons.
6.10

Procurement Process flow chart

Procurement steps are explained in the form of a flow chart as under:Flow chart of the procurement process

ISSUE OF RFQ FOR PRE QUALIFY BIDDERS

DECIDING PROCUREMENT STRATEGY FOR RFP

MODE OF PROCUREMENT (ICB/NCB)

PREPARATION OF BID DOCUMENTS

ADVERTISEMENT FOR INVITING BIDS

ISSUE OF SALE OF BID DOCUMENT
PRE BID MEETING
RECEIPT AND OPENING OF BIDS
EVALUATION OF BIDS
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SEEKING NO OBJECTION OF BANK WHEN APPLICABLE

ISSUE OF LOA

SIGNING OF CONTRACT

FINANCIAL CLOSURE OF THE WORK

MONITORING BY INDEPEDENT ENGINEER

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CHAPTER VII
PROCUREMENT OF CONSULTING SERVICES
7.1

General

Implementation of the RSHDP will involve hiring of consultants as per

agreed Procurement Plan. The consulting services which are required
for this project include preparation of DPRs, Project Management, Road
Safety Management, Intelligent transport system, consultancy for
Environmental and Social Management Framework (ESMF), Financial
cum
Transaction
Advisor,
Legal
advisor,
Independent
Engineers/Authorities Engineer etc.
The PMU/PIUs will follow the selection procedures described by the
World Bank under the Guidelines Selection and Employment of
Consultants under IBRD Loans and IDA Credits & Grants, January 2011
Revision July 2014.
The following main considerations guide the Banks policy on the
selection process:

Need for high quality services,

Need for economy and efficiency,
Need to give all eligible consultants an opportunity to compete in
providing the services,
Encouraging the development and use of national consultants,
and
Need for transparency in the selection process.

7.2
Prior-Review Thresholds:
Prior-review and procurement
method thresholds agreed for the project are detailed below. These
thresholds shall be reviewed periodically during the life of the project
to bring in any changes as demanded by further risk assessments.
Table: Methods and Value thresholds for Consultancy Services
Consulting
(a) More than Quality and Cost First Contract of
Services
US$300,000
Based
Selection each methods of
(Firms)
equivalent per (QCBS) Or Quality selection
contract.
Based
Selection
irrespective
of
(QBS)
value and all
subsequent
(b)
up
to Quality and Cost contracts valued
US$300,000
Based
Selection above US$ 1
equivalent per (QCBS) Or
Million will be
contract
Quality
Based subject to Prior
Selection (QBS)
Review by the
Or Selection based
World Bank. All
on
Consultants
other contracts
41 | P a g e

Individual
Consultants

Qualification (CQ)
Selection based on
a Fixed Budget
(FBS) Or
Selection Based on
Least Cost (LCS)
Competitive
Selection based on
review
of
a
minimum
3
shortlisted
Consultants
in
accordance
with
Section V of the
Consultant
guidelines

will be subject
to post review.
Prior Review of
all
contracts
valued
above
$100,000
per
contract.
All
other contracts
will be subject
to post review

Short list comprising entirely of national consultants: Short list

of consultants for services, estimated to cost less than US$ 800,000
equivalent per contract, may comprise entirely of national consultants
in accordance with the provisions of the World Bank Consultant
Guidelines.
7.3

Methods of procurement:
For Consulting Services :

Quality and Cost Based Selection (QCBS);

Quality Based Selection (QBS);
Selection under a Fixed Budget (FBS);
Least Cost Selection (LCS);
Selection Based on Consultants Qualification (CQS);
Single Source Selection (SSS);
Individual Consultant (IC);

The PMU shall follow the method of selection for hiring a firm for
providing the consulting services as specified in the Procurement Plan
agreed with the Bank.
7.4

Quality & Cost Based Selection (QCBS)

QCBS uses a competitive process among short-listed firms that takes

into account the quality of the proposal and the cost of the services in
the selection of the successful firm. Cost as a factor of selection shall be
used judiciously. The relative weight to be given to the quality and cost
shall be determined for each case depending on the nature of the
assignment.
The various steps followed for selection under QCBS are:-

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Preparation of the Term of Reference (ToR);

Preparation of cost estimate and budget, and short-listing
criteria;
Advertising;
Preparation of short list of consultants;
Preparation and issue of Request for Proposal (RFP) which
includes:

Letter of invitation (LOI)

Information to Consultants (ITC)
Terms of Reference (TOR)
Proposed Draft Contract

Receipt of Proposal (Technical & Financial in separate envelopes);

Opening and evaluation of technical proposals i.e. consideration
of quality;
Public opening of financial proposals;
Evaluation of financial proposals i.e. cost;
Final Evaluation of quality and cost; and
Negotiations and award of the contract to the selected firm.

7.4.1 Preparation of the Terms of Reference (TOR)

The Terms of Reference (TOR) should include among the other things:

A precise statement of objectives:

An outline of the tasks to be carried out;
A schedule for completion of tasks;
The support in terms of infrastructure, knowledge pool/ inputs
provided by the procuring entity;
The key deliverables required from the consultant and
List of key positions whose CV and experience would be
evaluated.

The scope of the services described in the TOR shall be compatible with
the available budget. TOR shall define clearly the objectives, goals, and
scope of the assignment and provide background information (including
a list of existing relevant studies and basic data) to facilitate the
consultants preparation of their proposals. If transfer of knowledge or
training is an objective, it should be specifically outlined along with
details of number of staff to be trained, and so forth, to enable
consultants to estimate the required resources. However, the TOR
should not be too detailed and inflexible. Firms should be encouraged
to comment on the TOR in their proposals. The respective
responsibilities of the procuring entity and consultant should be clearly
defined in the TOR.

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7.4.2 Preparation of cost estimate (budget):

The cost estimates or budget should be based on the assessment of the
resources needed to carry out the assignment, staff time, logistical
support, and physical inputs (for example, vehicles, office space and
equipment, electricity charges, telephone /fax/photocopying etc.).
Costs shall be divided into two broad categories;

Fee or remuneration to the staff

Reimbursable items, and further divided into foreign and local
costs

The RFP shall indicate the estimated level of experts time inputs or the
estimated total cost of the contract, but not detailed estimates such as
fees.
7.4.3 Selection process only at PMU level
Procurement of consulting services for the RSHDP will be undertaken
only by the PMU. Accordingly, the Request for EOI (REOI) & the
Request for Proposal will be issued by the Additional Chief Engineer
(PPP). The entire process of evaluation of EOIs, short-listing the
Consultants and evaluation of the proposals, negotiations with the
highest ranked Consultant will be conducted by the Evaluation
Committee set up at the PMU/ECID/CID level.
7.4.4 Advertising REOI
Procurement in the Project should commence after the GPN has been
published in UN Development Business online (UNDB online) and on the
Banks external website. For procurement of each contract for
consulting firms included in the Procurement Plan, PMU will advertise
the request for expression of interest (REOI) in at least one national
newspaper having wide circulation. In addition, for assignments
expected to cost more than US$ 300,000 PMU will submit the REOI to
the Bank for publishing it in UNDB online.
The information requested in the REOI shall be the minimum required
to make a judgment on the firms suitability and not be so complex as
to discourage consultants from expressing interest. REOIs shall include
the following information applicable to the assignment: required
qualifications and experience of the firm but not individual experts bio
data; short listing criteria; and conflict of interest provisions.
The Format for the REOI prescribed by the Bank shall used for inviting
the EOI.

44 | P a g e

Not less than 14 days from date of posting on UNDB online shall be
provided for responses, before preparation of the short list. The late
submission of a response to a REOI shall not be a cause for its rejection
unless the SPU has already prepared a short list, based on received
EOIs, that meets the conditions of wide geographical spread discussed
in the next paragraph. The Bank will arrange the simultaneous
publication of all REOIs prepared and submitted by the Borrowers on
the Banks external website.
7.4.5 Short List of Consultants
If an advertisement has been issued calling the Expressions of
Interest, responses received shall be evaluated to arrive at a shortlist
of the consultants. In preparation of the shortlist, first consideration
shall be given to those firms expressing interest that possess the
relevant qualifications. The shortlist shall comprise six firms with a wide
geographic spread, with (i) no more than two firms from any one
country unless there are no other qualified firms identified to meet this
requirement; and (ii) and at least one firm from a developing country,
unless no qualified firms from developing countries could be identified.
When any of the above requirements cannot be met on the basis of
received EOIs, the Borrower may directly solicit interest from qualified
firms based on its own knowledge, or request Bank assistance in
providing the long list of firms that the Bank expects to be capable of
undertaking the assignment.
Exceptionally, the Bank may agree to short lists comprising a smaller
number of firms when there are not enough qualified firms having
expressed interest for the specific assignment, when enough qualified
firms could not be identified, or when the size of the contract or the
nature of the assignment does not justify wider competition.
For contracts valued below US$ 800,000 equivalent, the shortlist may
comprise entirely national consultants, if a sufficient number of
qualified national firms is available for having a short list of firms with
competitive costs, and when competition including foreign consultants
is prima facie not justified or foreign consultants have not expressed
interest.
The short list should preferably comprise consultants of the same
category, similar capacity, and business objectives, experience and field
of expertise, and that have undertaken assignments of a similar nature
and complexity.
7.4.6 Preparation and issue of Request for Proposal (RFP)
The RFP shall provide bidders with the information necessary to enable
them to participate in the selection process and to submit proposals
that are responsive to the needs of the procuring entity. PMU shall use
45 | P a g e

the Banks Standard RFP with minimum changes acceptable to the

bank. The RFP shall include (a) a Letter of Invitation, (b) Instructions to
Consultants and Data Sheet, (c) the TOR, and (d) the proposed type of
contract.

Letter of invitation (LOI): The LOI shall state the intention of the
procuring entity to enter into a contract for the provision of the
consulting services, the sources of fund, the details of the Client
and the date, time and address for submission of proposals.

Instruction to Consultants (ITC) : The ITC should state among the

other things:o Instructions for preparation and submission of proposals;
o The evaluation criteria and factors and their respective
weights to be used in evaluating proposals and the
minimum passing quality score;
o An estimate of the key staff inputs (in person months) or
the estimated budget, but not both; and
o Conflict-of-interest, anti-fraud and other rules for eligibility.

Terms of Reference (TOR): As discussed above

Draft proposed contract: Procuring Agencies shall use the

appropriate Standard From of contract provided in the Standard
RFP with minimum changes, acceptable to the Bank, as necessary
to address specific country and project issues. Any such changes
shall be introduced only through Special Conditions of Contract.

7.4.7 Receipt of Proposals

The PMU shall allow enough time for the consultants to prepare their
proposals. The time allowed shall depend on the assignment, but
normally shall not be less than four weeks or more than three months.
During this interval, the firms may request clarifications about the
information provided in the RFP. The Procuring entity shall provide
these clarifications in writing and copy them to all firms on the short list
(who intend to submit proposals). If necessary, the procuring entity
shall extend the deadline for submission of proposals. The technical and
financial proposals shall be submitted at the same time. No
amendments to the technical and financial shall be accepted after the
deadline. To safeguard the integrity of the process, the technical and
financial proposals shall be submitted in separate sealed envelope.
7.4.8 Opening and evaluation of technical Proposals
First the technical proposals are opened publicly and evaluated based
on the evaluation criteria given in the RFP.
While evaluating proposals, the Procuring Entity shall conduct the
evaluation solely on the basis of the submitted technical and financial
46 | P a g e

proposals, and shall not ask consultants for clarifications.

Evaluators of technical proposals shall not have access to the financial
proposals until the technical evaluation, including any Bank reviews and
no objection, is concluded. Financial proposals shall be opened only
thereafter. The evaluation shall be carried out in full conformity with the
provisions of the RFP.
Technical proposals shall be evaluated by an Evaluation Committee (EC)
of at least three, and normally no more than seven, members including
qualified specialists in the sector of the assignment under
consideration. Each member of the committee shall not be in a conflict
of interest situation and certify to that effect before participating in the
evaluation.
The EC shall evaluate each proposal on the basis of its responsiveness
to the TOR. A proposal shall be considered unsuitable and shall be
rejected at this stage if it fails to comply with important aspects
described in the RFP. Technical proposals containing any material
financial information shall be declared non-responsive.
The members of the EC shall evaluate proposals in accordance with the
evaluation criteria specified in the RFP, independently of each other. A
proposal shall be rejected if it fails to achieve the overall minimum
technical score specified in the RFP.
At the end of the evaluation process, the Evaluation Committee shall
prepare a Technical Evaluation Report using the Banks standard form of
evaluation report. The report shall substantiate the results of the
evaluation and justify the total technical scores assigned to each
proposal by describing the relative strengths and weaknesses of the
proposals. Large differences in the individual scores given to a proposal
for the same criterion or sub-criterion by different members shall be
addressed and a justification be provided in the technical evaluation
report.
In the case of contracts subject to prior preview, the technical
evaluation report including the detailed evaluation sheets of each
committee member shall be submitted to the Bank for its review and
no objection. All records relating to the evaluation, such as individual
score sheets, shall be retained until 2 years after the closing date of the
Loan Agreement.
7.4.9 Opening and Evaluation of financial proposals
After the evaluation of quality is completed (and for prior review
contracts after the Bank has issued its no objection), the PMU shall
inform consultants whose proposals did not meet the minimum
qualifying technical score or were considered nonresponsive to the RFP
47 | P a g e

and TOR that their financial proposals will be returned unopened after
the signature of the contract. In addition the PMU shall inform each of
the above consultants of their overall technical score as well as scores
obtained for each criterion and sub-criterion if any.
The PMU shall simultaneously notify the consultants that have secured
the minimum qualifying mark, the date, time, and place set for opening
the financial proposals. The opening date shall be set allowing sufficient
time for consultants to make arrangements to attend the opening of the
financial proposals. The financial proposals shall be opened publicly in
the presence of representatives of the consultants who choose to
attend. The name of the consultant, the technical scores, including the
break-down by criterion, and the offered total prices shall be read aloud
and recorded when the financial proposals are opened. The PMU shall
also prepare the minutes of the opening and a copy of this record shall
be promptly sent to the Bank and to all consultants who submitted
proposals.
The Borrower shall then evaluate and compare the financial proposals.
Prices shall be converted to a single currency using the selling
(exchange) rates for those currencies quoted by the official source as
stated in the RFP.
For a time-based contract, any arithmetical errors shall be corrected,
and prices shall be adjusted if they fail to reflect all inputs that are
included in the respective technical proposals. For a lump-sum contract,
the consultant is deemed to have included all prices in its financial
proposal; so neither arithmetical corrections nor price adjustments shall
be made, and the total price, net of taxes included in the financial
proposal shall be considered as the offered price.
For the purpose of evaluation, the offered prices shall exclude local
identifiable indirect taxes on the contract and income tax payable on
the remuneration of services rendered in India by non-resident experts
and other personnel of the consultant. The offered total price shall
include all consultants remuneration and other expenses such as
travel, translation, report printing, or secretarial expenses. The
proposal with the lowest offered total price may be given a financial
score of 100 and other proposals given financial scores that are
inversely proportional to their prices.
7.4.10 Combined Quality and Cost evaluation
The total score shall be obtained by weighting the quality and cost
scores and adding them. The proposed weightings for quality and costs
shall be specified in the RFP. The firm obtaining the highest total score
shall be invited for negotiations.
7.4.11 Negotiations and Award of Contract

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Negotiations shall include discussions of the TOR, methodology,

staffing, Clients inputs, and special conditions of the contract. These
discussions shall not substantially alter the original TOR or the terms of
the contract. The final TOR and the agreed methodology shall be
incorporated in Description of Services, which shall form part of the
contract.
The selected firm should not be allowed to substitute key staff, unless
both parties agree that undue delay in the selection process makes
such substitution unavoidable or that such changes are critical to meet
the objectives of the assignment. If this is not the case and if it is
established that key experts were included in the proposal without
confirming their availability, the firm may be disqualified and the
process continued with the next ranked firm.
Financial negotiations shall include clarification of the consultants tax
liability in India and how this tax liability has been or would be
reflected in the contract.
Payments under lump-sum contracts are based on the delivery of
outputs (or products), hence the offered price shall include all costs
(experts time, overhead, travel, hotel, etc.). Consequently, if the
selection method for a lump-sum contract included cost as a factor in
evaluation, the offered price shall not be negotiated.
In the case of time-based contracts, payment is based on inputs
(experts time and reimbursable) and the offered price shall include
experts rates and an estimation of the amount of reimbursable. When
the selection method includes price as a component, negotiations of
staff rates shall not take place, except in special circumstances, like for
example, staff rates offered are much higher than typically charged
rates by consultants for similar contracts.
Reimbursables are to be paid on actual expenses incurred at cost upon
presentation of receipts and therefore are not subject to negotiations.
After negotiations are successfully completed, the initialed negotiated
contract will be forwarded to World Bank for review and no objection.
After World Bank has issued its no objection, PMU shall promptly notify
other firms on the short list that they were unsuccessful.
7.4.12 Publication of Award of Contract
After the award of contract, PMU shall publish in UNDB online when the
short list included any foreign firm and in the PMUs website if the short
list comprised only National firms the following information:
(a) Names of all consultants in the short list, specifying those that
submitted proposals;
49 | P a g e

(b) The overall technical scores and scores assigned for each
criterion and sub-criterion to each consultant;
(c) The prices offered by each consultant as read out and as they
have been evaluated;
(d) The final combined scores and the final ranking of the
consultants;
(e) The name of the successful consultant and the total price,
duration, and summary scope of the contract.
The same information shall be sent to all consultants who had
submitted proposals.
The Bank will arrange the publication of the award of contracts under
prior review on its external web-site upon receipt from the PMU of a
conformed copy of the signed contract.
7.4.13 Debriefing
In the publication of contract award the PMU shall specify that any
consultant who wishes to ascertain the grounds on which its proposal
was not selected, should request an explanation from the Client. The
PMU shall promptly provide in writing an explanation of why such
proposal was not selected. If a consultant requests a debriefing
meeting, they shall bear all their costs of attending such a debriefing
meeting.
7.4.14 Review of the consultancy contracts by the World Bank
A.

Prior Review

Contracts for Consulting Services shall be subject to prior review by

the World Bank at following stages:

Cost estimate of the proposed Assignment

RFP along with the Short list;

Pre-proposal minutes along with Addendum to RFP;

Evaluation report of the technical proposals;

Combined Evaluation (technical and financial) Report after

evaluation of financial proposals, with its recommendation of
the successful consultant) [At this stage, Borrower shall invite
the highest ranked consultant for negotiations without
obtaining Banks no objection.]

If the Bank notes any discrepancies in the financial evaluation,

it shall promptly notify the PMU. The PMU shall address
promptly all issues to the satisfaction of the Bank before
50 | P a g e

proceeding for negotiations. In such cases, further action shall

not be taken until the Bank has given its no objection.
First request for extension of validity of proposals, if it is
longer than four weeks, and all subsequent requests for
extension, irrespective of the period.

Negotiated initialed draft contract; and

Signed contract (to be accompanied by Check List).

B.

Post Review

The requirements of post review as provided in paragraph 2.8 of

Chapter II shall apply mutatis mutandis to the procurement of
consulting services.
OTHER METHODS OF SELECTION
7.5

Quality Based Selection (QBS)

7.5.1

The Quality Based Selection (QBS) should be adopted for

assignment such as:

Complex or Highly Specialized Assignments for example,

country economic or sector studies

Assignments that have a high downstream impact and in which

the objective is to have the best experts (for example,
feasibility and structural engineering design of such major
infrastructure as large dams)

Assignments that can be carried out in substantially different

ways, such that proposals will not be comparable (for example,
management studies)

7.5.2

Under QBS the client may request for submission of technical

proposals only or request submission of both technical and
financial proposals at the same time, but in separate
envelopes. After evaluating the technical proposals using the
same methodology as in QCBS (and obtaining the Bankss no
objection to the technical evaluation report in case of prior
review contract), the consultant with highest ranked technical
proposal is invited to submit its financial proposal.

The Client and the consultant shall then negotiate the financial
proposal and the contract. All other aspects of the selection process
shall be identical to those of QCBS, including the publication of the

51 | P a g e

Award of Contract as described in paragraph 6.4.11 above except that

only the contract price of the winning firm is published.
If consultants were requested to provide financial proposals
initially together with the technical proposals, the financial proposal of
only the selected firm shall be opened and the rest returned unopened,
after the negotiations are successfully concluded.
7.6

Least Cost Selection (LCS)

7.6.1

Under Least Cost Selection (LCS) a minimum qualifying mark

for quality is established and indicated in the RFP. Short-listed
consultants have to submit their proposals in two separate
envelopes. The technical proposals are opened first and
evaluated. Proposals scoring less than qualifying mark are
rejected, and the financial proposals of the rest are opened in
the same manner as for QCBS selection. The consultant with
the lowest evaluated price is selected.

7.6.2

The LCS method is more appropriate for small assignments of

standard or routine nature (audits, engineering design of noncomplex works, etc.) where well established practices and
standards exist.

7.7

Single Source Selection (SSS)

Single source selection of consultants does not provide the benefits of

competition in regards of quality and cost, lacks transparency in
selection, and could encourage unacceptable practices, and therefore,
single-source selection shall be used only in exceptional cases.
Single-source selection may be appropriate only in the following cases,
and only if it presents a clear advantage over competition:
The tasks that represent a natural continuation of previous

work carried out by the firm

In exceptional cases, such as in response to natural disaster
and emergency situations
For very small assignments
Only one firm is qualified or has experience of exceptional

worth for the assignment

The justification for the single-source selection shall be
examined in the context of the overall interests of the client and
project. Therefore, the Client shall submit a sufficiently detailed
justification for the single-source selection to the Bank for review and
52 | P a g e

no objection, before commencing the selection process.

53 | P a g e

7.8

Selection under Fixed Budget (FBS)

This method is appropriate only when the assignment is simple and can
be precisely defined and when the budget is fixed. The RFP shall
indicate the available budget and request the consultants to provide
their best technical and financial proposals in separate envelops, within
the budget. TOR should be particularly well prepared to make sure that
the budget is sufficient for the consultants to perform the expected
tasks. Evaluation of all technical proposals shall be carried out first as
the QCBS method. Then the price proposals shall be opened in public
and prices shall be read out loud. Proposals that exceed the indicated
budget shall be rejected. The consultant who has submitted the highest
ranked technical proposal among the rest shall be selected and shall be
invited to negotiate a contract. The Award of Contract shall be
published as described in paragraph 6.4.11 above.
7.9

Selection Based on Consultants Qualification (CQS)

7.9.1

The selection based on Consultants Qualification (CQS) is used

for very small assignments for which the full-fledged selection
process is not be justified. CQS is considered for assignments
such as:-

7.9.2

Brief evaluation studies at critical decision points of project

Executive assessment of strategic plans
High level, short term, legal-expertise, and
Participation in project review expert panel
Under the CQS, the client shall prepare the TOR, and obtain
expressions of interest that include information on the
consultants experience and qualification relevant to the
assignment. Firms having the required experience and
competence relevant to the assignment shall be assessed and
compared, and the best qualified and experienced firm shall be
selected. Only the selected firm shall be asked to submit a
combined technical and financial proposal. If such proposal is
responsive and acceptable, the selected consultant shall be
invited to negotiate the contract. Both technical and financial
aspects of the proposal may be negotiated.

The Award of Contract shall be published as described in

paragraph 6.4.11 above.
7.10

Selection of Individual Consultants (IC)

7.10.1 Individual Consultants may be employed on assignment for

which:
Teams of personnel are not required
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 No additional outside (home office) professional support is

required, and
The experience and qualifications of the individual are the
paramount requirement.
When coordination, administration, or collective responsibility may
become difficult because of the number of individuals, it would be
advisable to employ a firm.
7.10.2 For hiring of individual consultants, it will be necessary to
finalise the job description, minimum qualifications, experience required
and terms of employment. Thereafter, request for Expression of
Interest (REOI) may be advertised (not essential) in the national and
regional newspapers, indicating the above details. The REOI should
specify selection criteria that are solely based on experience and
qualifications.
Individual consultants are selected on the basis of their relevant
experience, qualifications, and capability to carry out the assignment.
The selection shall be carried out through the comparison of the
relevant overall capacity of at least three qualified candidates among
those who have expressed interest in the assignment.
Individuals selected to be employed by the Client shall be the most
experienced and best qualified, and shall be fully capable of carrying
out the assignment. The Client shall negotiate a contract with the
selected individual consultant after reaching agreement on satisfactory
terms and conditions of the contract, including reasonable fees and
other expenses.
7.10.3 Single Source Selection
Individual consultants may be selected on a single-source basis with
due justification in exceptional cases such as (a) tasks that are a
continuation of previous work that the consultant has carried out and
for which the consultant was selected competitively; (b) assignments
with total expected duration of less than six month; (c) urgent
situations; and (d) when the individual is the only consultant qualified
for the assignment.
The PMU shall submit to the Bank for its review and no objection the
TOR of the assignment, a sufficiently detailed justification, including the
rationale for single source selection and the basis for recommending a
particular individual consultant in all such cases, except for contracts
below a threshold set forth in the Procurement Plan.

55 | P a g e

Annex-1
SAMPLE BID EVALUATION REPORT FOR CIVIL WORKS
NAME OF WORK:
DEVELOPMENT & UP GRADATION
PROJECT ROADS UNDER PPP SCHEME UNDER PACKAGE No
1.

OF

Scope of contract and estimated cost:

The works covered under this bid is for project Road Package No.
.., Work of Kilometers of various roads in Rajasthan state.
The estimated project cost of the work under package is of Rs.
Crore. This package of the work is included in SN of the
Procurement Plan which has been cleared by the Bank on
[insert date]
2.

Bidding document:

The bidding document used for this procurement is as per the model
bidding document cleared by the Bank.
Bids were invited through e-tendering System and NCB bidding
procedure.
Salient points of bidding document:
(a) Stipulated period of completion :
(b) Price adjustment

(c) Pre-bid conference

3.

.. Months
seasons.

including

rainy

Price Adjustment as per

Clause . of G.C.C. of Bid
Document.
Held on .

Bid invitation process:

Bids were invited by Chief Engineer, (), PWD Rajasthan on dated

. vide letter No. . The e-Procurement notice was
published on _____________and the deadline date and time for
submission of bids through e-Procurement was specified as ...............
up to........hrs. (Please mention if the deadline date and time of
submission of bids was revised, and necessary corrigendum was
issued. In that case, the Evaluation Committee should also indicate the
revised deadline date and time for submission of bids.)
The e-procurement notice and the Invitation for Bids (IFB) were
available on the website from (Mention the date). Copies of

56 | P a g e

e-Procurement Notice and the Invitation for Bids (IFB) are enclosed at
Attachments ..& .
The copy of the invitation to bid was also sent to all departments for
publication in their office notice boards and wide publicity. The
invitation for bid was also sent to all the formations of the Rajasthan
State Public Works Department for wide publicity.
The dates of publishing the e-Procurement notice and Corrigendum (if
applicable) in the press are as follows:
Publication of e-Procurement Notice
S.No.

Name of New
Paper

1
2
3
4
5

Level

Date of
Publication

National
State
State
State
State

Publication of Corrigendum to e-Procurement Notice

S.No.
1
2
3
4
5

Name of New
Paper

Level

Date of
Publication

National
State
State
State
State

Apart from publishing the Corrigendum in the newspapers, it was

uploaded on the website on........... (insert date) (Copy of the
Corrigendum is at Attachment ).
The bidding document for above works was made available on the
website www.pmgsytenders.gov.in from . to ..
(Mention dates).
The date and time for submission and opening of bids online were
specified as up to hours and ...up to -----hours
respectively. [Insert dates and time] Thus a minimum bidding period
of .. days (lower of the period from the date of publication of the
notice inviting bids in the press or from the date of making available
bidding documents for downloading from the website) was provided,
which is more than the stipulated minimum period of 30 days.
57 | P a g e

The following prospective bidders downloaded/purchased the bidding

document.
(1)
(2)
(3)
(4)

.
..
..
.

All the above purchasers are of .. nationality.

Requests for online clarifications were received from........... (Specify
nos.) bidders. Response to the request(s) for clarifications received till
10 days prior to the deadline for submission of bids was provided
online, by uploading the description of clarifications sought and the
response thereto for information of the public and all prospective
bidders without identifying the source of request.
Pre-bid conference was held on . as scheduled. Minutes of the
pre-bid conference incorporating clarifications and the Addendum to
the bidding documents (given as Attachment .......) were uploaded on
the website on..................... (Specify date), and adequate time was
available to the bidders for taking the Addendum into account in
preparing their bids.
4.

Bid response:

In all ... bids were received. All bidders are Indian.

5.

Bid opening:

The electronic files containing bids were opened online by the

Evaluation Committee/nominated representatives of the PIU (strike out
whichever is inapplicable) on .. at .. hours. The bidders
or their representatives attended the bid opening.
Bids were opened one by one. The bid security furnished by the
bidders, rates of the bidders, the discounts offered by them, the
modifications, if any, were read out at the time of bid opening. The
minutes of the bid opening were prepared (Copy of the minutes is
enclosed. Attachment 3)
Bid prices as read out at the time of bid opening are tabulated below.
S.No.

Name of
Bidder

Nationality

Bid price As
read out (Rs.)

Remarks

1.
2.

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6.

Evaluation of Bids

6.1

Clarifications obtained

7.

Preliminary examination of bids

7.1

Arithmetical errors:

S.
No.
1

7.2

Name of Bidder

Bid price as
Quoted

Bid price as
Corrected

Completeness and Legal validity:

All the bids are duly signed by the bidders and the name of the bidder
appearing in the bid form is the same as the name whose electronic
signature has been used for uploading the bid.
The following documents (in original) have been received from all
bidders before the specified date and time for opening of the bids (i. e.
before date ..Hour.):
(i)
(ii)
(iii)

the original Demand Draft towards the cost of bidding

document,
the original bid security in approved form, and
the original Affidavit regarding correctness of information
furnished with the bid.

[This sub paragraph should be suitably revised in case the documents

have not been received from all bidders within the stipulated time and
date. In case the bidder is a JV firm, please indicate that the bid meets
the requirements specified in the bidding documents.]
The bidders have quoted for all the items and the bids are thus
complete. Bids are signed by persons holding proper power of attorney
and hence are legally valid.
7.3

Bid Validity

As per Clause 2.17 of RFP bids shall remain valid for a period not less
than 120 days after the deadline for the submission of the bid
mentioned in Cl. 1.3 of RFP. The bids were submitted up to
and hence the bids are to be valid up to ...

59 | P a g e

7.4

Bid Security:

As per Clause 2.20 of RFP, the bid security should be Rs and

Bank guarantees and other instruments of fixed validity shall be valid
for 60 days after the validity the bid i.e. Up to . The details
of bid security furnished by the various bidders are as follows:
S.No.

Name of
Bidder

Amount Type

Bank

Validity

1.
2.
3.
Bank guarantees are in prescribed format and there are no additional
remarks making them conditional and unacceptable. Further, the
Evaluation Committee has arranged verification of the authenticity of
the Bank Guarantees by contacting the issuing banks, and obtaining
written confirmations in this regard.
7.5

Responsiveness to commercial conditions:

None of the bidders have stipulated any deviations from the

commercial conditions of the bidding documents, and all the bids are,
therefore, considered responsive to the commercial conditions.
7.6

Responsiveness to technical aspects:

None of the bidders have stipulated any deviations from the Technical
Specifications and all bids are considered technically responsive.
8.

Bids rejected as non-responsive to bidding documents:

S. No.

Name of
Bidder

Bid price (Rs.)

Brief reasons for

rejection

1.
2.
3.
9.

Substantially responsive bids:

In view of the above the bids of the following bidders are determined
as substantially responsive to the provisions in the bidding documents.
1.
2.
3.
10.

Evaluation of the substantially responsive bids:

60 | P a g e

Evaluation table showing ranking of the bids is as follows:

Rank

Name of
bidder

Bid Price

Remark

1st
2nd
3rd
The lowest evaluated responsive bid is that of M/s ..
and the bid price is Rs. .. This is ______% lower / excess
over the indicative project cost put up for bidding arrived at as the
outcome of the Detailed Project Report appended with the bid
document.
11.

Subcontracting: No/. subcontracting has been proposed by

the bidder.

12.

Check for Bid capacity (Only in the case of EPC Contracts):

The assessed Bid capacity of the lowest responsive bidder is computed

as follows:
Assessed available Bid Capacity = (A x N x M B)
A = Maximum value of civil engineering works executed in any one of
the last five years i.e. Rs
N = Number of years prescribed for the completion of works of the
package ie. 1 (One)
M= Multiplying Factor (2 for Rural connectivity works else 1.5)
B = Value of existing commitments and on-going works to be
completed = ..
So Bid capacity =
Assessed available Bid capacity of Rs. ...
The assessed Bid capacity is Rs. . which is more than bid
price of Rs. ... quoted by the bidder recommended for
award. Thus the lowest bidder M/s .. satisfies the
bid capacity criteria.
13.

Recommendation:

The Evaluation Committee recommends to award the Concession for

Package No of RSHDP-II (Name of work) to the lowest evaluated
responsive bidder M/s __________________________________ for
bid amount Rs. ________/- which is ______% lower / excess over
indicative project cost put up for bidding arrived at as the outcome of
the Detailed Project Report appended with the bid document.

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The following are the important features of the bid: (i)

(ii)
(iii)

Mobilization advance (.% of contract value)

Performance Security (% of Contract value)
Bid validity

[E.E.]

[S.E.]

[C.A.O.]

[ACE (PPP)]

Attachments:
1.

Copy of bidding documents RFQ, RFP & DCA as issued Attachment

1

2.

Copy of e-Procurement
Attachment 2

3.

Pre-bid Minutes &/or Clarifications provided to the Bidders against

their queries - Attachment 3

4.

Summary of Bid Opening Minutes - Attachment-4

5.

Arithmetical m correction or clarification sought from bidders Attachment-5

6.

Details of Recommended offer Attachment 6

7.

Copy of Bid security Attachment 7

Notice

(Press

Advertisement)

62 | P a g e

Annex-2
Method of calculating Available Bid Capacity
The available bid capacity of a single entity bidder will be calculated as
under:
Assessed Available Bid Capacity = (A*N*M-B)
Where:

A = Maximum value of civil engineering works executed in any one

year during the last five years (updated to the price level of the
financial year in which bids are received at the rate of 8 percent a
year) taking into account the completed as well as works in
progress.

N=
Number of years prescribed for completion of the works for
which bids are invited (period up to 6 months to be taken as half
year and more than 6 months as one year).

M=
The Multiplying Factor (2 for Rural connectivity works & 1.5
for all other works) The factor specified in the Bidding Documents
would then be applicable to the above mentioned formula.

B = Value, at the current price level, of existing commitments and

ongoing works to be completed during the period of completion of
the work for which bids are invited.

Bid Capacity of a JV
If the bidder is a Joint Venture firm, the available bid capacity of each
partner will be applied (using the above formula) to the extent of his
proposed participation in the execution of the work. The combined
available bid capacity of all partners shall be more than the total bid
value.
_________________________
Note:
The statements showing the value of existing commitments
and ongoing works as well as the stipulated period of completion
remaining for each of the works listed should be countersigned by the
Engineer in charge, not below the rank of an Executive Engineer or
equivalent.

63 | P a g e

Annex-3

Abbreviations and Acronyms

ADB

Asian Development Bank

AE

Assistant Engineer

BOQ

Bill of Quantities

CAG

Comptroller and Auditor General

CE

Chief Engineer

DPR

Detailed Project Report

EE

Executive Engineer

EMP

Environment Management Plan

ESMF

Environment and Social Management Framework

GCC

General Conditions of Contract

IA

Implementing Agency

IFB

Invitation for Bids

ITB

Instructions to Bidders

JE

Junior Engineer

JV

Joint Venture

MBD

Model Bidding Document

NIT

Notice Inviting Tender

PEC

Procurement Evaluation Committee

PIU

Project Implementation Unit

PMC

Project Management Consultant

PMU

Project Management Unit

PWD

Public Works Department

Rs

Rupees (Indian National Currency)

SE

Superintending Engineer

WB

World Bank

Units
Lakh

1,00,000

Crore

1,00,00,000

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