Botswana Power Corporation - BPC...Page 5 of 200 1. INTRODUCTION At its meeting of the 25th June...

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Botswana Power Corporation

PROCEDURES FOR THE IMPLEMENTATION OF THE

AMENDED TENDER REGULATIONS

Document Category Procurement Policies

Document Title Implementation Procedures for the Revised Tender Regulations

Revision Number Rev 2

Number of Pages 172

Date Compiled 1st March 2016

Review Date

Documentation Control Refer to Paragraph 21 of this Document

Document Reference

Electronic Archive Reference Number

Today Tomorrow

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CONTENTS

1. Introduction

2. Definitions

3. Scope

4. Objectives

5. Application

6. Responsibility

6.1 Chief Executive Officer

6.2 Chief Financial Officer

6.3 Heads of Business Units

7. Method of Procurement 7.1 Introduction

7.2 Open tender Method

7.3 Selective Tender Method

7.4 Quotations Procurement

7.5 Single Source Tender

7.6 Expression of Interest (EoI)

7.7 Unsolicited Proposals

8. Tender Advertisement and Opening 8.1 Tender Invitation Notices

8.2 Register of Tender Documents

8.3 Request for Proposal (RfP) Document

1. Economic Diversification Drive (EDD)

2. Contents of the Request for Proposal (RfP) Document

3. Alternative Bids

4. Types of Request for Proposal (RfP) documents

8.4 Bid Receipt and Opening

9. Evaluation of Tenders

9.1 Appointment of Tender Evaluation Committees

9.2 Composition of the Tender Evaluation Committee

9.3 Responsibilities of the Tender Evaluation Committee

9.4 Proceedings of the Tender Evaluation Committee

9.5 Evaluation and Comparison of Single Envelope Tenders

9.6 Evaluation and Comparison of Dual Envelope Tenders

9.7 Report on Evaluation of Tenders

10. Choice of Evaluation Method

10.1 Evaluation by Quality and Cost Based Selection

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10.2 Evaluation by Quality Based Selection

10.3 Evaluation by Fixed Budget Selection

10.4 Evaluation by Least Cost Selection-Supplies and Works

10.5 Evaluation by Least Cost Selection-Services

10.6 Evaluation by Qualification Selection

10.7 Presentations by Bidders

10.8 Clarification during the Evaluation


10.10 Determining the Best Buy

11. Tender Approval Authorities and Composition

11.1 Board Procurement and Tender Committee

11.2 Board of Directors

11.3 Chief Executive Officer

11.4 Executive Procurement and Tender Committee

11.5 Director Generation



11.8 Emergency Procurement

12. Tender Approval Financial Thresholds

12.1 Procurement Financial Limits

12.2 Delegation of the Supply Chain and Power Station Managers to Approve Purchase

Orders

12.3 Tender Approvals based on Subject Matter and Functional Responsibilities of

Business Units

12.4 Financial Limits for Distribution Works

12.5 Approval of Purchase and Stores Requisitions

13. Business Unit Procurement and Tender Committee

14. Procurement Preference and Reservation

14.1.1 Economic Diversification Drive (EDD)

14.1.2 Citizen Economic Empowerment (CEE)

14.1.3 Local Procurement Scheme

15. Statutory Requirements

16. Contract Award

17. Debriefing the Bidders

18. Tender Appeals Structure

19. Suspension and Delisting of Contractors

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20. Implementation Date

21. Review of Implementation Guidelines

22. Monitoring and Reviewing

23. Documentation Control

a) Related Documents

b) Document Change Control

c) Document Release Control

List of Annexure:

Annexure A Board Procurement and Tender Committee Terms of Reference

Annexure B Executive Procurement and Tender Committee Terms of Reference

Annexure C Business Unit Procurement and Tender Committee Terms of Reference

Annexure D Tender Invitation Notice Template

Annexure E Request for Proposal (RfP) Template (Goods, Tools and Equipment

Annexure F Request for Proposal (RfP) Template (Services)

Annexure G Appointment of Tender Evaluation Committee Template

Annexure H EPTC Submission Template (Services)

Annexure I Financial Evaluation with Application of CEE

Annexure J EPTC Submission Template (Goods, Tools and Equipment

Annexure K Delegation of Authority to Release Purchase Orders Template

Annexure L Citizen Economic Empowerment (CEE) Preference Margins

Annexure M Tender award Letter Template

Annexure N Letter to Unsuccessful Bidders Template

Annexure O Request for Quotation Template

Annexure P Register of Tenders Awarded on the basis of application of Price Preference

Annexure Q Nullification and Re-advertisement of Tenders Template

Annexure R Expression of Interest Template Notification of Tender Closing Date

Template

Annexure S Notification of Extension of Tender Closing Date

Annexure T EPTC Submission Tender Award Ratification

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1. INTRODUCTION

At its meeting of the 25th June 2015, the Botswana Power Corporation Board of

Directors approved the Corporate Revised Tender Regulations. The Board however

required management to put in place control measures aimed at ensuring prudent

implementation of the revised Tender Regulations.

2. DEFINITIONS

In this Policy unless the context otherwise requires:

Key Player Composition

“Board” Means the Members of the Botswana Power

Corporation Board of Directors who can, by

resolution, devolve to themselves the powers

and authority of the Board Procurement and

Tender Committee.

“ Board Procurement and

Tender Committee” Means a Sub-Committee of the Board

appointed to adjudicate tenders. The

Committee is appointed by the Chairman of the

Board of Directors

“Chief Executive Officer” Means the head of the Executive of the

Botswana Power Corporation who has the

mandate to appoint members of the Executive

Procurement and Tender Committee. The

Chief Executive Officer can be delegated (by

the Board of Directors) the mandate to approve

tenders.

“Executive Procurement and

Tender Committee” Means a Sub Committee of the Executive

Committee, which has been delegated

authority to adjudicate and approve tenders up

to the financial threshold that has been

determined by the Botswana Power

Corporation Board of Directors. The

Committee is appointed by the Chief

Executive Officer

“Business Unit Procurement

and Tender Committee”

Means a Sub Committee of the Executive

Procurement and Tender Committee that is

appointed by the Head of the Business Unit to

adjudicate tenders within the respective

Business Units.

“Director Generation” Means the head of the Generation Business

Unit who has been delegated by the Chief

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Executive Officer to approve tenders for the

procurement of spares, lubricants and other

materials required for the operations of the

power plant. The Director also has the mandate

to delegate to the power plant Manager powers

to approve tenders up to the tender approval

financial threshold that has been determined by

the Chief Executive Officer, which should not

be above the threshold that has been set for the

Heads of Business Units.

“Tender Evaluation

Committee”

Means a Committee appointed by the Head of

the procuring Business Unit to evaluate tenders

within the respective Business Units.

“Head of Business Unit” Means:

i) The head of a Strategic Business Unit which

is a ring-fenced profit centre and has its own

business plan, has a clear set of performance

targets, has its own set of financial reports;

forms part of the Corporation’s transfer

pricing value chain, has management and

staff specifically dedicated to the operation of

the unit and has its own internal governance

and reporting structures.

ii) The head of a Corporate Support Unit which

is a ring-fenced cost centre responsible for

centralised processes in support of Strategic

Business Units and other Support Units.

“Chief Financial Officer” Means the custodian of the Corporation’s

procurement policy who has the mandate to

approve

The Abbreviations used in this document are given below:

ABREVIATION Definition

BPC Botswana Power Corporation

BPTC Board Procurement and Tender Committee

BUPTC Business Unit Procurement and Tender Committee

EPTC EXECUTIVE Procurement and Tender Committee

SBU Strategic Business Unit and Corporate Support Units

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The Key Terms in this document are given below:

KEY TERM Definition

Dual Envelope

Tenders

This is a one stage-two envelope method of bid

submission in which a bid is submitted in an outer

sealed envelope, containing two separately sealed and

labelled envelopes, marked and containing separate

technical and financial proposals which are opened in

separate bid openings.

Open Tender A formal tender method that is open to all bidders

following internal and external advertisement of a bid

notice in the media, the Corporate website or any other

communication medium approved by the Head of the

Executive Procurement and Tender Committee.

Selective Tender This is a formal tender method that is used with prior

authority of the Executive Procurement and Tender

Committee where only selected suppliers are invited to

tender.

Single Source Tender

These are tenders that are only used where the selection

of supplier is conducted on a sole supplier basis without

competition

Quotations

Procurement

These are tenders that are lodged by hand, facsimile,

or electronic media with the Business Unit, for

evaluation and adjudicated after the specified date and

time. There is no public opening, but there is control

of the tenders until the closing date.

Use of Expression of

Interest (EoI

This tender method is used when there is a need to

enhance competitiveness by restricting the invitation to

tender to service providers who have the capability to

meet the requirements of the subject procurement.

3. SCOPE

The Scope of this document is to set out guidelines and procedures to be followed

during the implementation of the amended Tender Regulations that were approved

by the Board of Directors on the 25th June 2015.

4. OBJECTIVES

The objective of this document is to outline the critical requirements of the amended

Tender Regulations which need to be strictly adhered to by the respective Business

Units, as well as to put in place control measures that will ensure good governance

and controls in the procurement process at all times.

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5. APPLICATION

These Procedures are issued to guide the application of the amended Tender

Regulations that were approved by the BPC Board of Directors on the

25th June 2015.

The document is applicable to all concerned Business Units for the procurement and

disposal of the Corporation assets.

In the event of misalignment or conflict between these Procedures and the Tender

Regulations, the Tender Regulations shall take precedence.

6. RESPONSIBILITY

6.1 Chief Executive Officer: Appoints members of the Executive Procurement and

Tender Committee whose role is to authorise acceptance or otherwise of Tenders for

the Corporation’s requirements of supplies, works or services in accordance with

Tender Regulations, up to a value as delegated and amended from time to time by

the Board. The Terms of Reference of this Committee are outlined at Annexure B.

6.2 Chief Financial Officer: Being the head of the Centralised Supply Chain

Management and Procurement processes, the Chief Financial Officer shall execute

effective implementation of the Amended Tender Regulations by enforcing controls

as well as monitoring adherence to the requirements of the Regulations. The

Corporate Finance Business Unit shall be responsible for all aspects of the process

and is empowered to set business rules and practices.

6.3 Heads of Business Units: The Heads of Business Units shall execute the

procurement and disposal processes in accordance with the Tender Regulations and

the business rules and practices set by the Corporate Finance CSU, and put in place

adequate internal structures to address the requirements of this Procedure.

Furthermore, the Heads of Business Unit’s role is to appoint members of the

Business Unit Procurement and Tender Committee whose role is to adjudicate and

make appropriate recommendations for award of tenders whose values are within

the tender approval financial threshold of the Heads of Business Units. The Terms

of Reference of this Committee are outlined at Annexure C.

7. Methods of Procurement

7.1 Introduction

(1) In the execution of procurement of goods and services, appropriate procurement

methods shall be applied.

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(2) A procuring Business Unit shall use such procurement method as is provided

for in these Tender Procedures.

(3) Procurement method can either be Formal or Informal.

(4) The basis for selecting a procurement method shall be determined by:

(i) Estimated value of the requirements; or

(ii) The nature and scope of the proposed works, goods or services.

(5) Except as provided for in these Procedures, the default method shall be the Open

Tender method as defined in sub-paragraph 6:

7.2 Open Tender Method

(1) This is a formal tender method that is open to all bidders following internal and

external advertisement of a bid notice in the media, the Corporate website or any

other communication medium approved by the Head of the procuring Business

Unit.

(2) The Executive Procurement and Tender Committee shall determine the cost of the

bidding documents that are sold to prospective bidders.

(3) Nothing shall prevent a resident foreign or international bidder from

participating in the Open Tender.

(4) The tender advertisement shall only be used with prior written authority of the


7.3 Selective Tender Method

(1) This is a formal tender method that is used with prior authority of the Executive

Procurement and Tender Committee where:-

(i) The supplies, works or services are available only from a limited number of

known providers.

(ii) There is insufficient time for an open tender method due to an emergency

situation.

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(iii) Exceptional circumstances which the Executive Procurement and Tender

Committee may consider to be justifying a departure from the use of the

Open Tender method.

(iv) The Invitation to Bid shall be addressed to a limited number of providers

approved by the Executive Procurement and Tender Committee without

advertisement in any publication.

7.4 Quotations Procurement Method

(1) These are tenders that are lodged by hand, facsimile, or electronic media

with the Business Unit, for evaluation and adjudicated after the specified

date and time. There is no public opening, but there is control of the tenders

until the closing date.

(2) This may be used where the estimated value of the procurement falls within

the set tender financial threshold for Informal Tenders, where a minimum

of three (3) quotations are sourced from the market.

(3) The number of competitive quotations stipulated under sub-Procedure (ii)

does not give the procuring Business Unit the latitude to omit other known

manufacturers or suppliers. Where the number of known suppliers,

however, is excessive, the numbers invited can be limited to at least five

quotations.

(4) Responses to Requests for Quotations shall be evaluated by at least two

members of the procuring Business Unit prior to the raising of a Purchase

Requisition. A quotation evaluation report form should be completed and

signed by the evaluators.

(5) Documents used in the Quotations Procurement Method shall be securely

stored by the procuring entity for audit purposes.

(6) All other tender methods are therefore formal.

7.5 Single Source Tender

(1) The Single Source Tender method shall only be used where the selection of

supplier is conducted on a sole supplier basis without competition, such as

where;-

(a) The supplies, works or services are available from only one provider.

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(b) An existing contract could be extended for additional supplies, works or

services of a similar nature and no advantage could be obtained by further

competition, provided the prices on the extended contract are reasonable.

(c) Additional supplies, works or services are required to be compatible with

existing supplies, works or services, and it is advantageous or necessary

to purchase the additional supplies, works or services from the original

supplier, if the prices of the additional contract are reasonable.

(d) It is essential or preferable to purchase original supplies, works or

services from the original supplier, to ensure continuity for downstream

work, including continuity in technical approach, use of experience

acquired or continued professional liability, if the prices on the additional

contract are reasonable.

(2) The Business Unit shall not commence any procurement process under the

Single Source Procurement method prior to the Executive Procurement and

Tender Committee signifying its acceptance and approval of the full

justification advanced by the Business Unit for the necessity for the use of

this method.

7.6 Use of Expression of Interest (EoI)

(1) The Expression of Interest (EOI) shall be used where:

a) The local market cannot adequately service the requirements of the

Corporation

b) There is a need to enhance competitiveness by restricting the invitation

to tender to service providers who have the capability to meet the

requirements of the subject procurement.

(2) To obtain Expressions of Interest, the Corporation shall include a list of

expected assignments in the Tender Invitation Notice, which will be

advertised in local and (where applicable) international newspapers as well

as on the Corporation’s website.

(3) The information requested shall be the minimum required to make a

judgement on the firm’s suitability and should not be so complex as to

discourage companies from expressing interest.

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(4) A minimum of fourteen (14) calendar days from date of advertising in

newspapers and posting on website shall be provided for responses, before

preparation of the shortlist.

7.7 Unsolicited Proposals

(1) The Corporation may, in its absolute discretion, negotiate with a party that

presents an unsolicited proposal, where the Corporation considers that

circumstances warrant such an approach. Discretion shall be subject to

approval by the Executive Procurement and Tender Committee based on the

following considerations:

a) Whether the offered services or products address a specific business need

of the Corporation.

b) Whether the proposed solution or services cannot be offered by

competitors.

c) There are advantages to be derived from entering into exclusive

negotiations with the proponent.

d) Whether there are any impediments to the exclusive negotiations such as

for example intellectual property rights.

e) Whether there are any unique financial arrangements that support

implementation of the project.

f) The proponent’s ability to demonstrate unique elements or innovative

ideas that cannot be delivered by other parties within acceptable

timelines.

g) The proponent’s possession of exclusive skills and experience that are

requisite to effective project implementation.

(2) An exclusive negotiation with a proponent will be solely limited to the

proponent for the purposes of developing the specific unsolicited proposal.

Moreover, exclusivity will only be granted by the Corporation on a project

by project basis.

(3) During a period of negotiation, the Corporation will not grant similar rights

to the proponent of another proposal relating to substantially the same subject

matter of the negotiations.

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The Corporation may do so, however, if it has received multiple unsolicited

proposals before engaging in any negotiations and wishes to negotiate on two

or more such proposals

(4) In the event that the Corporation may enter into an exclusive negotiation with

a proponent, it shall retain the right to withdraw its interest or offer at any

stage, provided the proponent has been given sufficient notice.

(5) The following shall be the key features of an exclusive negotiation with a

proponent:

a) The sanctioning of the negotiations being at the Corporation’s sole

discretion, subject to specific terms and conditions, having regard to the

particular characteristics of the proposal.

b) Maximisation of value for money and minimization of risk shall be

prioritized when assessing and dealing with such proposals. In this

context, Value for Money shall be based not only on the minimum

purchase price but also on the maximum efficiency and effectiveness of

the purchase;

c) The proponent will be responsible for its own costs in developing and

lodging the proposal;

d) Exclusivity may be given on a stage by stage basis, with the Corporation

entering (at its discretion) into exclusive negotiations with the proponent

to develop a proposal for any subsequent stages.

e) During the assessment process the Corporation will not be precluded

from engaging with other parties during the stage one assessment of

initial proposals. This will enable the Corporation to ascertain whether

there are competing proposals and the potential for alternative value for

money propositions.

(6) This Procedure does not negate or vary the need for proposals to comply with

other relevant corporate procurement policies.

8. TENDER ADVERTISEMENT AND OPENING

8.1 Tender Invitation Notices.

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Approval of The Executive Procurement and Tender Committee must be obtained

prior to advertisement of tenders. The Tender Invitation Notice should reflect the

following:

(i) Tender Number.

(ii) Closing date and time.

(iii) The address to be used for Tender Submissions.

(iv) The Bidder’s address to be stated on back of envelope. This will be required

in the event the tender is to be returned to the bidder

(v) The appointed time and place of the public opening.

(vi) The tender documentation fee (if applicable)

The Tender Invitation Notice Template is at Annexure D.

Notices calling for Tenders must be available to the general public and therefore

should be placed in the Media and the corporate website as well as other foreign

publications as deemed appropriate by the Executive Procurement and Tender

Committee.

The minimum period for floating tenders shall be as follows;

PROCUREMENT METHOD BIDDING PERIOD (MINIMUM)

Formal Open Tender Twenty one (21) calendar days

Selective and Single Source tendering. Fourteen (14) calendar days

Pre-qualification tendering or Expression of

Interest (EOI)

Twenty one (21) calendar days

Tenders involving pre-determined rates. Seven (7) calendar days

8.2 Register of Tender Documents

The Supply Chain Department shall maintain a register of all tender documents

issued following a tender invitation which should reflect:

i) Name(s) of the Company or Individual purchasing/collecting the tender

documents

ii) Name(s) of the company representative

iii) Contact details (Facsimile, Telephone, e-mail, Postal Address)

The register should be stored in a secure area since the information therein shall form

part of the compliance criteria during the tender evaluations.

8.3 Request for Proposal Document

1. Economic Diversification Drive (EDD)

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Presidential Directive CAB 34 (b) /2014, requires that the Botswana Power

Corporation should purchase locally produced products from locally based

manufacturers, and service providers.

In line with this Directive, Business Units are required to seek approval of the

designated tender approval authority to purchase locally produced products and

services from other sources locally or outside the country, where there is need and

only in exceptional circumstances upon compelling justification being given.

To ensure compliance, the tender evaluation sub-section of the Request for Proposal

Terms of Reference, shall be crafted to reflect amongst others the following:

Preference will be given to locally manufactured products in line with the requirements

of the Economic Diversification Drive (EDD) Revised Guidelines.

Stage 3 Financial Evaluation

a) Bids for locally produced products submitted by bidders registered under the

following initiatives shall be evaluated and award made on the basis of price

and delivery competiveness. Bidders are required to provide proof of eligibility

to the procurement preference initiatives:

i) Economic Diversification Drive (EDD) and

ii) Local procurement Scheme (LPS)

b) Bids for products that are to be imported shall be considered where bids at (a)

are not competitive or where part of the quantities to be procured is considered

to be above the capacity of the local producers.

2. Contents of the Request for Proposal (RfP) Document

(1) The Request for Proposal document shall consist of Parts 1, 2, 3 and 4 which

include all the Sections indicated below:

Section 1 Instructions to Tenderers (ITT)

Section 2 Terms of Reference (ToR) which should include the tender

evaluation criteria in line with Paragraph 8.3 (1) of these Procedures

Section 3 Conditions of Tendering

Section 4 Schedules (if applicable).

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(2) Other information should include;

(i) A paragraph reflecting the location where tenders are to be placed/deposited,

and that tenders placed/deposited elsewhere shall not be accepted.

(ii) A paragraph that indicates that the wall clock that is installed in the tender

opening room shall be used to determine the closing time for tender

submissions.

(iii) Instructions on the method of tender submission which shall be:

a) One envelope submission, in which a tender document containing the

Tenderer’s financial and technical offer is submitted together in one

envelope.

b) A two envelope submission in which the financial offer from the

tenderer is placed in one sealed envelope marked “Financial Offer” and

the technical offer is placed into a second sealed envelope marked

“Technical Offer” and both envelopes are placed onto a third envelope.

The Request for Proposal documents shall state that bids shall be

submitted in outer envelopes securely sealed in such a manner that

opening and resealing cannot be achieved undetected.

(iii) The applicable Taxes as per the Botswana Tax Regulatory Framework.

(iv) That tenders are to be submitted in two or more copies. The Original copy

shall after tender opening, be kept in the custody of the Supply Chain

Department, and can be used thereafter for verification of the authenticity

and correctness of the tender evaluation.

(v) The requirements to be submitted by prospective bidders. These shall

include but not limited to Statutory and Policy requirements. On

establishing compliance during adjudication, bidders will be instantly

disqualified for not meeting the statutory requirements.

(vi) The Scope of Services to be provided under this tender.

(vii) The tender validity period preferred with the minimum being 60 calendar

days.

(viii) The criteria that will be used to evaluate the tender. This should be crafted

in the following stages:

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a) Stage 1: Technical Evaluation where tenders will be evaluated or

scored against criteria to meet the technical requirements of the

specifications.

b) Stage 2: Financial Evaluation where tenders are evaluated on the basis

of either the lowest price or in the case of quality and cost based

evaluation a formula will be used to determine the scores.

c) Stage 3: Compliance to General Requirement of the Tender where

bids will be evaluated to determine submission that bidders were

required to submit.

In the event that the preferred bidder(s) may not have submitted any

of the required documentation then the evaluation committee shall

require such bidder to submit the documentation within three (3)

working days of notification. Failure to submit within the stipulated

period shall disqualify the bid.

Compliance to these requirements,

The following shall where applicable, form part of the documentation

bidders shall be required to submit.

a) Submission of Valid Tax Clearance/Exemption Certificate

b) Submission of Type Test Certificates

c) Submission of Trading Licence/Accreditation/Certification

d) Submission of proof of PPADB registration

e) Submission of Delivery/Completion period

f) Submission of Company Share Certificates

g) Non-completion of the Tender Form

h) Non-completion of the Conflict of Interest Schedule

i) Non-disclosure of source/manufacturer of goods/services to be

supplied

The ITT shall clearly reflect submission of the applicable documentation

shall be a condition for award of a tender.

ix) The document should reflect a non-returnable checklist to be completed by

bidders as a means of ascertaining that all the required documentation has

been included in their respective bids

(3) Alternative Bids

1) The Request for Proposal document may indicate whether alternative bids are

allowed.

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Where alternative bids are allowed, the Request for Proposal document will also

indicated whether they are permitted in accordance with sub-Regulation 18.3

below, or are invited in accordance with sub-Regulation 18.2 and/ or 18.4.

2) When alternatives to the Time Schedule are explicitly invited, a statement to that

effect will be included in the Request for Proposal, and the method of evaluating

different time schedules will be described in the Evaluation Criteria.

3) Except as provided under sub-Regulation 18.4 below, Bidders wishing to offer

technical alternatives to the Corporation’s requirements as described in the Request

for Proposal document must also provide (i) a price at which they are prepared to

offer a product meeting the Corporation’s requirements and (ii) all information

necessary for a complete evaluation of the alternatives by the Corporation,

including drawings, design calculations, technical specifications, breakdown of

prices, proposed installation (as applicable) and other relevant details. Only the

technical alternatives (if any) of the lowest priced bidder conforming to the basic

technical requirements shall be considered by the Corporation.

4) When bidders are invited in the Request for Proposal to submit alternative technical

solutions for specified parts of a facility, such parts shall be prescribed in the

Corporations requirements that should be detailed in the Request for Proposal

document. Technical alternatives that comply with the performance and technical

criteria specified for the facility shall be considered by the Corporation on their own

merits.

(5) Types of Request for Proposal documents

There are two Request for Proposal templates to be used depending on the services

being procured. The templates are reflected at Annexure E and F

i) Request for Proposal (RfP) (Goods, Tools and Equipment)

ii) Request for Proposal (RfP) (Services)

8.4 Bid Receipt and Opening

8.4.1 In the case of Formal Tenders, bids received will be placed, and shall

remain, in the Tender Box until the appointed time of the tender opening.

The Tenders will be opened at the designated time in the presence of a

member of the Internal Audit department and those Bidders who may wish

to attend. The wall clock that is installed in the tender opening room shall

be used to determine the closing time for tender submissions.

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8.4.2 Prior to opening of envelopes, tender responses shall be reconciled against

the register of all received bids that shall be maintained by the Supply

Chain Department. Any bids that have not been registered shall not form

part of the tenders that are to be opened.

8.4.3 All opened tenders shall be sequentially numbered and where feasible the

bid documents should be reinserted in the respective submission envelope.

8.4.4 Total tendered prices (in the case of single envelope tenders), delivery or

completion periods, discounts offered and the names of the Bidders will

be disclosed. In the event that both fixed and variable prices are offered,

these are to be announced.

8.4.5 In the case of tenders involving procurement of multiple components that

are to be evaluated separately, only names of the bidders will be disclosed

during the tender opening session. Bidders can thereafter obtain (on

request) bid prices for the individual components from the procuring

Business Unit.

8.4.6 In the case of Dual Envelope Tenders, only the technical tenders will be

opened and the names of the Bidders will be disclosed along with delivery

or completion periods where applicable. Technical proposals shall

immediately be handed to the procuring Business Unit to facilitate

evaluation.

8.4.7 Financial proposals shall be securely stored by the EPTC Secretariat and

only those submitted by bidders that have been approved by the EPTC to

proceed to the financial evaluation stage, shall be released to the procuring

Business Unit.

8.4.8 Financial proposals from bidders who did not progress to the financial

evaluation stage of the tender, will be returned unopened to the respective

bidders by the EPTC Secretariat.

8.4.9 A Tender Summary Schedule will be compiled, signed and dated by those

present on behalf of the Corporation and held by the Supply Chain

Manager or the Projects Manager, as applicable, for safekeeping and

record. The Tender Summary Schedule shall be availed to interested

bidders.

8.4.10 Under no circumstances will tenders that are submitted after the closing

time be accepted.

8.4.11 Bidders who wish to withdraw their submissions shall be allowed to do so

on prior to the tender closing time.

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9. EVALUATION OF TENDERS

9.1 Appointment of Tender Evaluation Committees

Tender Evaluation Committees shall be appointed in writing by:

i) Heads of procuring Business Units.

ii) Power Station Manager in respect of tenders that have been floated by

the power station, subject to the value of such tenders being within the

delegated tender approval financial threshold of the Power Station

Manager.

iii) Supply Chain Manager in respect of tenders that have been floated by

the Supply Chain Department, subject to the value of such tenders being

within the delegated tender approval financial threshold of the Supply

Chain Manager.

9.2 Composition of the Tender Evaluation Committee

9.2.1 The Committee shall comprise:

i) Three members from the procuring Business Unit one of whom shall be

the Chairman

ii) The Secretary who shall be appointed from the procuring Business Unit,

to keep minutes and record decisions and recommendations of the

Committee.

iii) A member of a Business Unit other than the one that originated the

procurement.

iv) If applicable, Co-opted member(s) whose technical expertise may be

considered essential to the evaluation process. In the event that co-opted

additional members may require remuneration, their remuneration shall

be subject to prior approval by the Executive Procurement and Tender

Committee. The Co-opted member shall be required to sign a Declaration

of Secrecy Form.

v) A representative of the Supply Chain Department shall be assigned by

the appointing authority to offer support and guidance to the tender

evaluation committee on the application of the Tender Regulations.

9.3 Responsibilities of the Tender Evaluation Committee

9.3.1 The Committee shall be responsible for:

i) Evaluation of bids in accordance with the Tender Regulations.

ii) Ensuring that all tenders are in order, and contain no material errors.

iii) Ensuring that all tenders are compliant with the tender specifications.

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iv) Preparation of the Tender evaluation report.

v) Applying procurement preference margins to eligible Botswana

registered and citizen owned manufacturers and service providers in

accordance with Tender Regulations 44 and 45.

vi) Where members of the Evaluation Committee disagree on the results of

an evaluation, the findings and recommendations of the majority shall be

stated in the evaluation report. The evaluation report shall contain a

statement of any disagreement and the reasons therefore, further

discussions held on the issue and the names of those holding alternative

views.

vii) The evaluation report shall be signed by all members of the Evaluation

Committee including those who disagreed at sub-Procedure vi.

viii) Formulating recommendations for presentation to the Executive

Procurement and Tender Committee through the Business Unit

Procurement and Tender Committee and the Head of the Business Unit.

ix) In the event of disagreement between the evaluation committee and the

Head of the procuring Business Unit/Supply Chain Manager/Power

Station Manager (as applicable), which the two parties are unable to

amicably resolve, then such will be referred for arbitration by the


x) In the event of disagreement between the Head of the Business Unit and

the Executive Procurement and Tender Committee, which the two parties

are unable to amicably resolve, then such will be referred for arbitration

by the Board Procurement and Tender Committee through the Chief

Executive Officer.

xi) In the case of projects managed by a Nominated Consultant, the

committee evaluation need not apply. It will, however, still be

responsible for formulating recommendations for presentation to the

Head of the Business Unit through the Business Unit Procurement and

Tender Committee. The Business Unit shall remain be accountable for

the evaluation.

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9.4 Proceedings of the Tender Evaluation Committees

9.4.1 Recommendations for award of contracts shall be made solely on the basis

of information and evaluation criteria provided in the tender documents, and

without influence by personal or political or other preferences.

9.4.2 In the event that a member of the Tender Evaluation Committee should find

that they have a conflict of interest in the tender evaluation, he/she shall

declare his/her interest in the tender and leave the meeting and shall not

participate further in the deliberations, or decision-making process, of the

committee, in relation to the said submission. The individual, who no longer

takes part in the evaluation, is still sworn to confidentiality (though a

conflict of interest should have been discovered much earlier).

9.4.3 All the evaluation team members will assemble together at an agreed time

and date. Team members may not conduct the evaluation outside of the

designated room, nor are any of the documents allowed to be removed from

the room unless an alternative arrangement has been approved by the Head

of the Business Unit.

9.4.4 Arrangements should be made to provide light refreshments and regular

breaks for the participants. Complex evaluations may take up to one week,

or more, to complete, therefore the members must be prepared to dedicate

sufficient time to complete the task.

9.4.5 The Evaluation Team members will sign a Declaration of Secrecy Form

committing them to secrecy and confidentiality.

9.4.6 The evaluation room must be kept locked between the evaluation sessions,

the key being kept in the custody of the Committee Secretary.

9.4.7 The evaluation shall be conducted on the basis of predetermined and

publicly published evaluation criteria.

9.4.8 The points recorded on the evaluation forms should be kept secret and

hidden from the other committee members. Discussion about the merits, or

otherwise, of the bids are strictly not allowed. The Committee should work

in silence apart from scheduled breaks. Cross-talking, or asking opinions of

the other panel members, is not allowed.

9.4.9 The committee members will record their points on the form provided,

including a statement as to the strengths and weaknesses of each bidder’s

proposal.

9.4.10 The Chairman shall act as an Invigilator and shall organise and advise the

Committee, during its deliberations.

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If the evaluation is to be seen as fairly appraised, it will be expected that the

points awarded to each criteria should be reasonably close to one another.

Where some points clearly diverge from the points of other assessors, the

Invigilator will ask for an explanation. The member may have

misunderstood the criteria, or the proposal. Without any pressure, the

Invigilator will explain any misconception and request the member to re-

examine that particular section of the tender submission, once again. The

member may, or may not, revise their points.

9.4.11 The recommendations of the Tender Evaluation Committee shall normally

be unanimous, but any divergent views shall be recorded in the evaluation

report to be submitted to the BUPTC and other applicable tender approval

authority.

9.4.12 The individually scored points shall be summed together to arrive at an

aggregate score, the basis on which a recommendation report for the

contract award shall be made. The Secretary will prepare a formal

evaluation report for each evaluation conducted and the report shall be

signed by all participating members of the Evaluation Committee. The

evaluation report and the written justification of the recommendations, is

sent to the Tender Adjudication authority for decision on the contract award.

9.5 Evaluation and comparison of Single Envelope Tenders

9.5.1 For a single envelope system, both technical and financial bids are submitted

in a single envelope but separately marked. The technical proposals are

evaluated first but there is no need for the EPTC’s authority to evaluate the

financial proposals.

9.5.2 The evaluation shall follow the following stages:

i) The primary stage of evaluation is to verify the accuracy of Tender prices,

and to identify those tenders which meet the technical requirements of the

specification and conditions set forth in the tender document.

ii) The secondary stage of evaluation should place the remaining tenders in

order of merit, in consideration of both technical and financial aspects,

including, but not limited to:

a) The efficiency and compatibility of the equipment offered.

b) Availability of after-sales service and spare parts.

c) The plant, equipment and resources available to the Bidder.

d) Reliability of construction methods proposed.

e) Assessment of any qualifications that may be introduced by a

Bidder i.e. Terms & Conditions specified by a Bidder. The factors

should, to the extent practicable, be expressed in monetary terms,

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or given a relative weight in the evaluation process of the tender

documents.

f) Relevant experience and technical expertise.

g) Competitiveness of price on a Net Present Value basis, including

life cycle operating costs.

h) Time of delivery or completion.

i) Past performance of the Bidder in terms of quality, delivery and

price adherence.

j) For comparison of all tenders, the currency or currencies of tender

prices for each tender should be converted to and valued in terms

of Pula. Where not so specified in the documents the exchange rate

to be used in such evaluation shall be the selling rates published

by any Botswana registered Commercial Bank on the tender

opening date as follows:

Tenders submitted in foreign currency denominations shall be

converted to Pula at the ruling selling price for that currency

as published by a locally registered Commercial Bank, on the

day of tender opening.

Tenders submitted in Pula but indexed to a foreign currency at

a specific rate different to the quoted rate on the tender opening

date, shall be adjusted to correlate with the exchange rate

applicable on the tender opening date.

Where tenders are either quoted in or indexed to a foreign

currency or foreign currencies or indexed to commodity price

indices, a provision should be made for variations in exchange

rates or commodity prices.

Tenders shall normally be awarded to the lowest priced and

technically acceptable tender, unless conditions prevailing

justify otherwise.

9.6 Evaluation and Comparison of Dual Envelope Tenders

9.6.1 for the dual two envelope system:

i) The technical and financial proposals shall be submitted in separate

sealed envelopes clearly labelled technical and financial proposal

respectively and enclosed in an outer large envelope. The two

envelopes shall indicate the tender identification details, name and

address of the Bidder while the outer envelope shall only indicate the

tender details.

ii) The evaluation will start with the technical proposal and secondly the

financial proposal after the EPTC authority to open and evaluate the

financial proposals. The criteria used, to determine which financial

proposals to open and evaluate shall be stated in the ITT.

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The bids that fail to acquire the specified minimum technical

requirements shall be eliminated from further evaluation and possible

recommendation for award of the tender. Their financial proposals will,

therefore, be returned to them unopened.

iii) The relative weight to be given to the quality and cost components of

the evaluation shall depend on the nature of the assignment and shall be

stated in the Request for Proposal. The preferred weighting shall be

Technical Score 80%, Financial Score 20% with a minimum

weighted technical score of 70%.

iv) The financial proposals for those bids that meet the specified minimum

technical requirements will be publicly opened, after the EPTC’s

approval that they should be opened. Subject to the Head of Business

Unit approval, short listed bidders shall be invited at least two (2) weeks

(international), or one (1) week (local), prior to the opening of the

financial proposals and the proposals ranked according to the quoted

prices.

v) The use of a method that determines the financial score for each bidder

to be applied as follows:

Financial Score = Lowest Price/ Bidder’s Price X 20

The lowest financial proposal shall be given a financial score of 20

points.

10. CHOICE OF EVALUATION METHOD

(1) Each evaluation shall be performed in accordance with such procedure as is set out

in Procedures 10.1 to 10.6 as may be relevant to the particular evaluation.

(2) A Business Unit shall seek the authority of the Executive Procurement and Tender

Committee to use an evaluation method other than one given in these Procedures.

10.1 Evaluation by quality and cost based selection

(1) The quality and cost based selection method shall be conducted as follows;

(i) Both the quality and the cost of bids shall be taken into account in a process

under which technical bids are evaluated without access to financial bids:

and

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(ii) The relative weight to be given to the quality and cost components of the

evaluation shall depend on the nature of the assignment and shall be stated

in the Request for Proposal. The preferred weighting shall be Technical

Score 80%, Financial Score 20% with a minimum weighted technical score

of 70%.

(2) A bid submitted under the quality and cost based selection evaluation method shall

be submitted under the dual envelope submission method and evaluated to

determine the:

(i) Quality with regard to the technical bid, in accordance with-

(a) An evaluation against set criteria on a merit point system to

determine the total technical score for the technical bid received, and

(b) The total scores determined compared to the minimum technical

score;

(ii) The total weighted cost score, with regard to a financial bid, where the

bidder reached the minimum technical score; and

(iii) The bidder who obtained the highest total combined technical and financial

score, who shall be recommended for award of the contract.

(3) The procedure for the quality and cost based evaluation of a technical bid shall be

conducted in the stages detailed under Procedure 9.6 (dual envelope tender).

(4) In this Procedure, quality and cost based selection means an evaluation

methodology that takes into account both the quality and the cost of the bids in a

process under which the technical bids are evaluated without access to financial

bids.

10.2 Evaluation by quality based selection

(1) Under the quality based selection evaluation method the evaluation of-

(a) A technical bid shall be conducted against set criteria on a merit point system

to determine the best technical bid without access to financial bids;

(b) The quality of a bid shall be the primary factor to be considered; and

(c) Cost shall apply only to the best technical bid.

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(2) The procedure for the quality based evaluation of a technical bid shall be

conducted in the stages detailed under Procedure 9.6 (dual envelope tender).

(3) In this Procedure, quality based selection means an evaluation method that uses

quality as the primary factor in a process under which technical bids are evaluated

without access to financial bids and a financial evaluation is undertaken only for

the best technical bid which is within the budget.

10.3 Evaluation by fixed budget selection

(1) Under the fixed budget selection evaluation method, the Business Unit shall

indicate its available budget, and evaluation shall be considered as follows-

(a) A bidder shall be required to provide, within the stated budget, the best

possible technical and financial bids, in separate envelopes; and

(b) The bidder with the evaluated technical bid of the highest quality, which is

within the stated budget, shall be recommended to be awarded the contract.

(2) The schedule of requirements (otherwise referred to in the Request for Proposal as

the Terms of Reference) prepared by the Business Unit, shall contain all the

necessary detail to portray the sufficiency of the budget for the performance, by a

bidder, of the expected tasks as shall be contained in the contract.

(3) The procedure for the fixed budget selection of a technical and financial bid shall

be conducted in the stages detailed under Procedure 9.6 (dual envelope tender).

(4) In this Procedure, fixed budget selection means an evaluation method that

recommends the bidder with the best technical bid which is within the budget.

10.4. Evaluation by least cost selection-Supplies and Works

(1) The least cost selection-supplies and works evaluation method shall be used to

identify the lowest bid, which meets all the commercial and technical requirements


(2) Unless otherwise specifically stated in the Request for Proposal document, a bid

for the least cost selection-supplies and works method shall require the use of a

single envelope submission method.

(3) Recommendation shall be made for the award of the contract to the bid which is-

(a) Qualified

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(b) Technically compliant

(c) Lowest priced and

(d) Responsive

(4) The procedure for the least cost selection-supplies and works evaluation of bids

shall be in the stages detailed under Procedure 9.5 (single envelope tender).

10.5 Evaluation by least cost selection-Services

(1) The least cost selection-Services evaluation method shall be used to identify the

lowest bid, which meets all the commercial and technical requirements of the

Business Unit.

(2) The least cost selection-services evaluation method shall require the use of separate

sealed envelopes for submission of technical and financial bids.

(3) The procedure for the least cost selection-services evaluation of a technical bid shall

be in the stages detailed under Procedure 9.6 (dual envelope tender).

10.6 Evaluation by qualification selection

(1) The qualification selection evaluation method shall be used as may be determined

by the Business Unit.

(2) For the purpose of soliciting bidders under the qualification selection method, the

Business Unit shall-

(a) Follow a two stage process.

(b) Prepare the Terms of Reference.

(c) Request bidders to supply expressions of interest and information concerning

their experience and competence relevant to the assignment; and

(d) Obtain Executive Procurement and Tender Committee approval of the

shortlist.

(3) The procedure to be followed for the qualification selection method shall be

conducted in the following two stages-

(a) Floating of the request for Expression of Interest (EoI)

(b) Short listing of bidders.

(c) Request for proposals from shortlisted bidders

(4) In this Procedure, qualification selection means a method of procurement used in

the selection of bidders based exclusively on the quality of the proposal without

reference to the price.

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10.7 Presentations by Bidders

(1) Under certain circumstances, usually for major contracts, it may be deemed

necessary to call for presentations to be made by the bidders as part of the

evaluation process.

10.8 Clarification during the Evaluation

(1) Should an issue arise that requires clarification from one or more of the bidders a

letter of clarification may be drafted by the Tender Evaluation Committee for this

purpose subject to:

i) Such decision being approved by a majority of the members of the Tender

Evaluation Committee and so minuted; and

ii) The letter being sent to all compliant bidders regardless whether or not

clarification is required from some of the bidders.


(1) A concise report on evaluation, comparison and adjudication of tenders setting

forth the recommendation(s) and specific reasons on which the decision for the

award of the contract is based, should be prepared for consideration by the

appropriate Approval Authority.

(2) This report shall be compiled generally in accordance with the format set by the

Executive Procurement and Tender Committee at Annexure G and H.

10.10 Determining the Best Buy

(1) It is the duty of the Tender Evaluation Committee to ensure the best buy (most

economical value) is obtained by taking into account the optimum combination of

costs, which will include the total life cycle costs of the goods, works or services.

Cost is directly related to the performance requirements stipulated in the TOR

and/or the specification. The higher the performance requirements that are

demanded, then the costs will increase proportionally.

This type of analysis is called obtaining the most economically advantageous offer.

(2) When determining the most economically advantageous offer, it is necessary to

look at all those costs that will contribute to the running or operational costs of the

project that will be reasonable to expect, over the lifetime of the project.

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It is not just the cost of the items, goods or services in the bid, but the inclusion

of all the costs, both direct and indirect, for example:-

THE ITEM COST + THE OPERATIONAL COSTS + OTHER

CONSIDERATIONS OF COSTS

a) Examples Of Typical Operational Costs

i) Costs of Disposable items (items used with the equipment)

ii) Costs of Consumable items (items used with the equipment)

iii) The running cost (operational cost)

iv) The human resources involved (labour costs)

v) Cost of a recommended spare parts list

vi) Maintenance costs / servicing costs (weekly, monthly)

vii) Repair costs

viii) Inclusion of rental or lease costs

ix) Excise taxes (import duties)

x) Value added tax

xi) Withholding tax

xii) Insurance cover

b) Other Considerations Of Cost

i) Additional man-hours required

ii) Additional security needed (security guards)

iii) Depreciation value (over set period of time)

iv) Replacement cost

v) Re-sale value, or scrap value vi) Environmental Impact considerations vii) Any other additional resources needed in the operation viii) Any other cost savings, or additional expenditure

ix) Health and Safety considerations x) Cost of Disposal of the item

*Note: If the above examples are going to be used to assess the true cost of the offer, then they should be clearly stated in the Quotation / Tender documents

(3) It is important to be aware of all those additional costs and ensure that where

appropriate, they are included with the main tender items and that it truly

reflects the total costs involved. Comparison should be made of each offer,

side by side, in a table format. Without full cost analysis it is often possible

to commit the Corporation to very high costs over a number of years, as

suppliers will often omit to include the full operating costs of systems, or to

include excessively high consumable/disposable items.

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(4) All procurement decisions must be based on vigorous assessment of all the

available options in each set of circumstances, throughout the expected life of

a project, by employing effective contract monitoring and measurement

controls.

11. TENDER APPROVAL AUTHORITIES AND COMPOSITION

11.1 Board Procurement and Tender Committee (BPTC)

11.1.1 This is a sub-committee of the Board that is appointed by the Board

Chairman, with a mandate to approve tenders which are within the following

financial thresholds:

i) Goods and Services above P2.5million

ii) Distribution Works above P2million

11.1.2 Adjudication and approval of tenders by this Committee shall be subject to

recommendations by the Executive Procurement and Tender Committee

(EPTC).

11.1.3 The Terms of Reference of this Committee are outlined at Annexure A.

11.2 Board of Directors

11.2.1 In the case of strategic projects the Board of Directors can devolve to

themselves the mandate and authority of the BPTC. The tender approval

financial threshold shall be dependent on the value of individual projects.

11.2.2 Adjudication and approval of tenders by the Board may be subject to

recommendations by the BPTC.

11.3 Chief Executive Officer (CEO)

11.3.1 The Chief Executive Officer may be delegated by the Board of Directors

to, approve tenders up to a financial threshold that has been determined by

the Board.

11.3.2 Approval of tenders by the CEO shall be subject to recommendations by

the EPTC.

11.4 Executive Procurement and Tender Committee (EPTC)

11.4.1 This is a sub-committee of the Executive Committee that is appointed by

the CEO, with a mandate to approve tenders which are within the

following financial thresholds:

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i) Goods and Services up to P2.5million

ii) Distribution Works up to P2million

11.4.2 Adjudication and approval of tenders by this Committee shall be subject to

recommendations by the Business Unit Procurement and Tender Committee

(BUPTC).

11.4.3 The Terms of Reference of this Committee are outlined at Annexure B.

11.5 Director Generation

11.5.1 The Director Generation shall be delegated in writing by the CEO the mandate

to approve tenders for the procurement of spares, lubricants and other

materials required for the operations of the power plant, up to a financial

threshold that has been determined by the CEO. The written delegated

authority shall not be equal to or exceed the tender approval financial

threshold of the EPTC.

11.5.2 The Director Generation may delegate (in writing) part of the delegated to the

Power Station Manager. Such delegation shall be equal to the tender approval

financial threshold of the Heads of Business Units.

11.5.3 Approval of tenders by the Director Generation or the Power Station

Manager (as delegated) shall be subject to recommendations by the BUPTC.


11.6.1 The Chief Financial Officer shall be delegated in writing by the CEO the

mandate to approve tenders for the procurement of stock items required for

distribution works, up to a financial threshold that has been determined by the

CEO. The written delegated authority shall not be equal to or exceed the

tender approval financial threshold of the EPTC.

11.6.2 The Chief Financial Officer may delegate (in writing) part of the delegated to

the Supply Chain Manager. Such delegation shall be equal to the tender

approval financial threshold of the Heads of Business Units.

11.6.3 Approval of tenders by the Director Generation of the Power Station

Manager (as delegated) shall be subject to recommendations by the BUPTC.

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11.7.1 The Head of the Business shall be delegated the authority to approve tenders

up to the threshold that has been approved by the Board, subject to prior

adjudication and recommendation by the Business Unit Procurement and

Tender Committee.

11.8 Emergency Procurement

11.8.1 In the event of an emergency situation that in the opinion of the Head of

Business Unit places the health and safety of the Corporation’s employees

and assets, a special delegation is made to the Heads of Business Units and

the Power Station Manager, to approve operationally urgent Tenders where

the value exceeds the tender approval financial threshold of the Head of the

Business Unit/Power Station Manager. The value of such procurement shall

not exceed the tender approval financial threshold of the Executive

Procurement and Tender Committee

11.8.2 Emergency procurement shall not apply in instances where the procurement

is a result of the procuring Business Unit’s failure to anticipate the need.

11.8.3 The procurement is to be ratified by the Executive Procurement and Tender

Committee within ten (10) working days.

12. TENDER APPROVAL FINANCIAL THRESHOLDS

12.1 The procurement financial limits have been revised as follows:

LEVEL FINANCIA

L LIMIT

TENDERING PROCESS

FOR APPROVAL

CONTROL MEASURES

Materials

Controller

P5, 000.00 The limit is based on an

enquiry of a minimum of

three quotations. The

Materials Controller

responsible for procurement

will have delegated authority

to authorise/release

Purchase Orders up to this

amount

1. Quotations shall be

evaluated by at least two

members of the Business

Unit and approved by a staff

member at the level of Band

5.

2. The Materials Controller-

Procurement is authorized to

authorise and release

Purchase Orders for tenders

approved under this

dispensation.

Principal

Supplies

Officer

P10, 000.00 The limit is based on an

enquiry of a minimum of

three quotations. The

1.Quotations shall be

evaluated by at least three

members of the Business

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LEVEL FINANCIA

L LIMIT

TENDERING PROCESS

FOR APPROVAL

CONTROL MEASURES

Principal Supplies Officer

will have delegated authority

to authorise/release


amount up to this amount

Unit and approved by a staff

member at the level of Band

4

2.The Principal Supplies

Officer is authorized to

authorise/release Purchase

Orders up to this amount

Business

Units

P300, 000.00 Heads of Business Units shall

have the authority to approve

tenders up to the value of

P300, 000.00 subject to the

following:

1. Tenders up to the value

of P75, 000.00: Based on

an approved Purchase

Requisition the

procurement office shall

obtain at least three

quotations, and a

Purchase Order shall be

raised in favor of the most

competitive bidder.

2. Tenders up to the value

above P75, 000.00

but not more than

P300 000.00: Based on

an approved Purchase

Requisition the

purchasing office shall

obtain a minimum of

three or more quotations.

1. The SBU’s to extend

enquiries to a sizeable

number of bidders for

competitiveness.

2. Quotations shall be

evaluated by at least

three members of the

Business Unit.

3. The Supply Chain

Manager/Power Station

Manager (as applicable) is

authorized to

authorise/release


amount for tenders

approved under this

dispensation

1. The SBU’s to extend

enquiries to a sizeable

number of bidders for

competitiveness.

2. The quotations shall be

adjudicated by the

BUPTC and an award

recommendation made

for approval by the Head


3. The recommendation for

award of the tender shall

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LEVEL FINANCIA

L LIMIT

TENDERING PROCESS

FOR APPROVAL

CONTROL MEASURES

follow the template

reflected under

Annexure G and H of

these Procedures.

4. Award of the tender shall

be made by the Head of

the Business Unit.

5. The Supply Chain

Manager/Director

Generation (as

applicable) is authorized

to approve and sign all

Purchase Orders for

tenders approved under

this dispensation.

The Supply Chain

Manager and the Director

Generation shall ensure

that the requirements of

Tender Regulations have

been adhered to and that

fairness and transparency

were applied prior to

approving Purchase

Orders

Executive

Procurement

and Tender

Committee

(EPTC)

P2.5million Based on an approved

Purchase Requisition an

Informal or Formal Tender

method shall be used to

obtain bids valued above

P300, 000.00 but not

exceeding P2.5million.

1. Submissions from the

Tender Evaluation

Committee shall be quality

checked by the BUPTC

and award

recommendations

submitted for adjudication

and approval by the EPTC

through the Head of the

Business Unit.

2. The award recommendation

shall follow the template

reflected under Annexure 4

of the Tender Regulations.

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LEVEL FINANCIA

L LIMIT

TENDERING PROCESS

FOR APPROVAL

CONTROL MEASURES

3. Selective Tenders and

Single Source Tenders

shall be approved by

EPTC prior to quotations

being obtained

4. The Supply Chain

Manager/Director

Generation (as



Purchase Orders for


this dispensation.

Board

Procurement

and Tender

Committee

(BPTC)

Above

P2.5million

Based on an approved

Purchase Requisition a

Formal/Informal/Selective/Si

ngle Source Tender method

shall be used to obtain bids

valued above P2.5million.

1. Submissions from the

Tender Evaluation

Committee shall be

quality checked by the

BUPTC and award

recommendations

submitted (through the

Head of the Business

Unit) for consideration by

the EPTC prior to final

adjudication and approval

by BPTC.

2. The award recommendation

shall follow the template

reflected under Annexure

4 of the Tender

Regulations.

3.Selective and Single Source

Tenders shall be

approved by EPTC prior

to quotations being

obtained

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LEVEL FINANCIA

L LIMIT

TENDERING PROCESS

FOR APPROVAL

CONTROL MEASURES

4. The Supply Chain

Manager/Director

Generation (as



Purchase Orders for


this dispensation.

Special

Delegation for

urgent repair

and

maintenance

orders

P2.5million This is restricted to Heads of

Business Units and should be

used strictly for emergency

procurement that in the

opinion of the Head of

Business Unit places the

health and safety of the

Corporation’s employees and

assets

Emergency procurement

shall not apply in instances

where the procurement is a

result of the procuring

Business Unit’s failure to

anticipate the need.

The procurement is to be

ratified by the Executive

Procurement and Tender

Committee within ten (10)

working days.

12.2 Delegation of the Supply Chain Manager and Power Station Manager

Authority to approve Purchase Orders

12.2.1 The authority of the Supply Chain Manager and the Power Station Manager

shall not be delegated. In the event of absence from duty of the two officials,

written delegated authority shall be extended to their immediate subordinates.

In the absence of written delegated authority the Chief Financial Officer and

the Director Generation shall be signatories’ to Purchase Orders.

12.2.3 The template to be used for the delegation of authority to staff who have been

appointed to act on behalf of the Supply Chain Manager and the Power

Station Manager is at Annexure I.

12.3 Tender approvals based on subject matter and functional responsibilities

of Business Units

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12.3.1 Paragraph 54 of the Tender Regulations allow for certain categories of tenders

to be approved based on the subject matter rather than the financial limits

referred to at 8.1 above

12.3.2 The underlying criteria of approvals are as follows:

1) GENERATION SBU

ITEM ACTIVITY APPROVAL

AUTHORITY

1 Scheduled Plant Maintenance

a) 18 Months Statutory Outages-

b) 5-7 Years General Overhaul- Boiler Turbine,

Generator Works

Budget Approval…………………………………

Prequalification of contractors…………………....

Prequalification of consultants………………..........

Allocation of work to consultants………………

Award to contractors for small works…………......

Award to contractors for negotiated tenders….........

Award to contractors for major tenders...................

Outage & Project Management...............................

Board

BPTC

BPTC

SBU

SBU

EPTC

BPTC

SBU

2 Bulk Chemical Purchases

Budget Approval………………………………......

Award to preferred supplier……………………......

Board

EPTC

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2) TRANSMISSION SBU


AUTHORITY

1 Infrastructure Development Projects

Budget Approval....................................................

Prequalification of Consultants.............................

Allocation of work to Consultants.........................

Award to Contractors...........................................

Board

BPTC

SBU

BPTC

2 Transmission Equipment and Tools

Refurbishment/Procurement/Spares

Budget Approval....................................................

Award to contractor...............................................

Board

EPTC

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3) CUSTOMER SERVICES AND SUPPLY SBU


AUTHORITY

1 Customer Services and Supply Projects

BPC funded projects budget approval………….......

Consumer financed Projects (budget approved by

Customer)

Prequalification of Consultants…………………

Prequalification of Contractors………………….....

Allocation of work to Consultants …………..........

Award to Contractors for small works…………...

Award to contractors for negotiated tenders……....

Award to contractors for major tenders…………...

Board

BPTC

BPTC

SBU

SBU

EPTC

BPTC

2 DSWC Phase Rates

Approval of rates for Consultants………………....

Approval of rates for Contractors………………...

BPTC

BPTC

3 Repairs and Maintenance

Tools and equipment procurement approvals

Budget Approval………………………………….

Award to preferred supplier……………………….

Board

EPTC

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4) CORPORATE SERVICES SBU


AUTHORITY

1 CoS SBU Projects

BPC funded projects budget approval...............

Prequalification of Consultants………….........

Prequalification of Contractors………….........

Appointment of Consultants…………….........

Award to Contractors………………………..

Board

BPTC

BPTC

SBU

EPTC

5) CORPORATE FINACE CSU


AUTHORITY

1 STOCK REPLENISHMENT (Including

Projects Materials)

Budget Approval………………………………

Award for long term contracts (up to 3 years)…

Award for once off supply of materials ……….

Board

BPTC

EPTC

12.4 FINANCIAL LIMITS FOR DISTRIBUTION WORKS CONTRACTS

DESCRIPTION EXISTING FINANCIAL

THRESHOLD

Fixed Assets CAPEX P6, 000

Distribution Small

Works

P750, 000 Value inclusive of provisions

but exclusive of VAT.

Distribution Works

Negotiated Contracts

P2, 000,000 Value inclusive of provisions


Distribution Works

Major Tenders

Above P2, 000, 000 Value inclusive of provisions


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12.5 APPROVAL OF PURCHASE AND STORES REQUISITIONS

In terms of the Financial Policy reference POL – G110, Heads of Business Units are

required to submit on an annual basis/at the beginning of each financial year, a list of

officials delegated to authorize Purchase/Stores Requisitions and Service Entry Sheets to

the Supply Chain Department.

The maximum financial authorisation levels are as follows:

SIGNATORY MAXIMUM FINANCIAL

AUTHORISATION

Level 4’s P100, 000

Level 3’s

P250, 000

Heads of Business Units above P250, 000

GENERATION SBU AND CORPORATE FINANCE STOCK ITEMS

Principal Supplies Officers up to P250 000

Power Station Manager/Supply Chain

Manager (Stock)

above P250 000

13 BUSINESS UNIT PROCUREMENT AND TENDER COMMITTEES (BUPTC):

13.1 Business Unit Procurement and Tender Committees shall be established within each

Business Unit. The Terms of Reference of these Committees are attached as

Annexure C.

13.2 Business Unit members of these Committees shall be appointed by the Head of the

Business Unit. The Chief Financial Officer shall provide the Heads of Business

Units with names of the Supply Chain representatives to be appointed as members

of the respective BUPTC’s.

13.3 Corporate Finance CSU shall regularly conduct workshops to enlighten the

Committees on their roles and responsibilities.

14. PROCUREMENT PREFERENCE AND RESERVATION

14.1. The following are the procurement preference and reservation policies that have

been approved for implementation by the Board of Directors:

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14.1.1 Economic Diversification Drive (EDD) Preference Margins

i) Eligibility

The EDD initiative is one of Government’s priority areas in promoting domestic

production, and consumption of local products. In December 2014, Government

issued a Directive to reinforce EDD by instructing all parastatal organisations to

prioritise procurement of locally produced goods and services, in addition to

awarding price preference to local enterprises.

Through this initiative, the Government of Botswana endeavours to utilise its

purchasing power to drive economic diversification and growth by ensuring that

Parastatals and other Government entities purchase all their products and services

from locally based manufacturers and service providers, provided that the goods and

services are locally available, competitively priced and meet tender specifications.

In addition to prioritisation of locally produced goods, the programme ensures

preference through the application of preference margins on the basis of the

following turnover thresholds:

EDD Price preference margins

Turnover Threshold Margin %

Up to P5 million 15%

P5, 000, 001 to P19, 999, 999 10%

P20, 000, 000 and above 5%

The eligibility criteria is determined by the Ministry of Trade and Industry which

issues certificates of eligibility to manufacturers and service providers who will have

complied with the set requirements. The certificate will reflect the %margin eligible

to the respective company.

Only products that are listed on the EDD Certificate should benefit from the

preference margins indicated on such Certificate.

Tenders should clearly indicate that preference will first be given to locally based

manufacturers and service providers.

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Tenders should be unbundled to open up business opportunities for local

manufacturers and service providers. Where tenders have multiple products, those

products that are locally manufactured (items that qualify for preferential margins)

as identified by the bidders must be removed from the bundles/groups and evaluated

alone. The remaining products shall compete at their own quoted prices.

In terms of BPC Tender Regulations the Request for Proposal should require eligible

prospective bidders to submit the eligibility certificates and the applicable margin

reflected on the certificate will be applied at the financial evaluation stage of the

tender.

This will be applied in accordance with Paragraph 8.3 of these Procedures.

ii) Application in procurement of Works or Construction related Projects

The bidder must be required to provide the returnable document in the tender which

is an undertaking to apply/procure from local producers or to use locally

manufactured goods and services.

The bidder must provide a list of local suppliers who will be contracted to supply the

materials.

Each product to be used in the construction must be produced in Botswana locally in

accordance with Industrial Development Act definition of manufacturing. The

supplier must show on each priced Bill of Quantities (BOQ) the items to be procured

locally and should show an agreement which confirms that the contractor is going to

use the product manufactured by the local producer. The production capacity of the

producer must be provided and the alternative supplier to make up the quantity must

be provided. The agreement must stand for the duration of the contract and should

not be varied unless if the procuring Business Unit consents to changes.

For the Design and Build projects, the bidders have to have access to the technical

information of the locally produced products such that they use those products in

their designs.

The current engagement of the local producer must be declared so that the demand

can be balanced with the level of production to avoid very long waiting for

production of products.

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iii) Reporting

The Corporation (through the Supply Chain Department) shall provide monthly

reports to the Ministry of Trade and Industry on the total purchases from local

manufacturers, service providers and traders as well as foreign suppliers.

For each procurement undertaken, an End of Activity Report (EOAR) shall be

submitted to the applicable tender approval authority, indicating the completion of

the procurement and also to provide feedback on the performance of the contracted

enterprise.

14.1.2 Citizen Economic Empowerment (CEE) Preference Margins

The policy intends to equip citizens with the necessary competencies which would

enable them to take better advantage of economic opportunities and thereby have a

stake in the process of economic growth.

Annexure 1 of Government Paper No. 1 of 2012 reflects the revised reservation and

price preference for citizen consultancy and construction Companies as well as for

consultancy and supply of information technology.

Annexure K reflects the Reservation and Price Preference Schemes for Citizen

Consultancy Companies and Information Technology (IT) Providers (Designers)

In the event that the procuring Business Unit may wish to include citizen

empowerment initiatives other than the ones at Annexure K. These should be reflected

as part of the Technical Evaluation components and can also form part of the

Compliance to General Tender Requirements.

14.1.3 Local Procurement Scheme

This initiative aims at supporting local manufacturers and producers through the

procurement (by public entities) of goods and services from businesses domiciled

within different localities. It specifies the point system preferential scheme that aims

at empowering businesses owned and controlled by the youth, women and people with

disabilities and those situated in rural areas.

One other intention of the initiative is to facilitate localisation of some procurement

activities by restricting participation and or allowing preferential treatment of citizen

bidders who are resident within certain localities or defined catchment areas in rural

areas. This would in turn enable access to the Corporation’s procurement spending by

rural local service providers directly involved in production and manufacturing of

goods and services within those defined localities and ownership (including

employment) by defined target groups.

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The initiative comes at a cost to the Corporation since it will be applied within the

framework of EDD and CEE policies.

The application of the initiative may have challenges on trade requirements such as

trading licences, tax clearance certificates etc. which most of the target groups may

not possess. The procuring Business Unit may target only those that are already in

business and have the requisite documentation to allow for proper processing of

transactions.

Procurement under Micro Procurement Threshold (Quotation Procurement below

P300, 000.00)

According to the Tender Regulations micro procurement is an informal method of

procurement. Procuring Business Unit Heads will therefore be required to apply the

eligibility criteria to restrict an applicable micro procurement tender to the target

groups within the locality.

Procurement above Micro Procurement Threshold

Formal Open/Selective/Single Source Tenders that are above micro procurement will

be floated with preference margins favouring the target groups within the locality of

the project. Preference margins would then be applied in line with the set margins. A

bidder who falls within the target group will be given an outright 15% price preference

in the Open Tender.

In instances where capacity has been determined to be adequate within the locality,

the Open/Selective Tender may be out rightly reserved for the target group.

Cumulative preference margin may thereafter be applied as follows to allow for

competition:

Local Procurement Scheme Preference Margins

Woman 3%

Youth 3%

People with disability 3%

Rural Setting 3%

Employment 3%

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The Supply Chain Manager shall maintain a record of all awards made on the basis

of application of procurement preference initiatives, which should be included in the

quarterly EPTC report to be submitted to the Executive Committee. The record

should be maintained in the format at Annexure N.

15. STATUTORY REQUIREMENTS

15.1 Presidential Directive CAB. 32/2003 made it a necessary requirement that

companies or bidders should be in possession of valid Tax Clearance Certificates,

in order to be eligible for award of Government tenders. This requirement was

included in the Income Tax (Amendment) Bill 2011.

15.2 The Botswana Unified Revenue Services has furthermore made it a requirement that:

i) Tax Clearance Certificates should be issued to eligible local companies.

ii) Tax Exemption Certificates should be issued to foreign companies

15.3 The Request for Proposal document should indicate that submission of the

Certificates referred to at 15.2 shall be a condition for award of tenders.

15.4 In the case of Quotation Procurement bidders may be required to submit the

Certificates annually.

16. CONTRACT AWARD

16.1 The award of the contract shall be effected by the issue of a formal letter of award

to the successful Bidder, issued by the Head of the Business Unit in the case of

Formal Open, Selective and Single Source procurement tenders. This shall be

followed by a formal Agreement signed by the Head of Business Unit and the

successful bidder.

The generic contract terms and conditions of the formal Agreement shall be

approved by the General Corporate Counsel.

In the case of Request for Quotation procurement a contract shall be in the form

of a Purchase Order authorised by the Supply Chain Manager/Power Station

Manager/Principal Supplies Officer/Materials Controller.

16.2 The Letter of Award template is at Annexure K.

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17. DEBRIEFING THE BIDDERS

17.1 In the interest of transparency and openness, each participating bidder will, after

contract award and conclusion of the procurement, be debriefed (on request) of

the results of their bid. This will include debriefing on the accuracy of the

evaluation report, the range of the allocated points and how the points were

awarded.

17.2 Debriefing notes shall be prepared in advance in a framework that can be shared

with the requesting bidder(s) and other appropriate stakeholders.

17.3 Verbal or written debriefing shall take place after award of the tender and

acceptance of contract terms by the successful bidder and the Corporation.

17.4 Debriefing shall be done by the Chairman of the Tender Evaluation Committee

that adjudicated the subject tender in the presence of at least one member of the

committee that evaluated the subject tender. Written debriefing shall also be the

responsibility of the Tender Evaluation Committee Chairman.

18. TENDER APPEALS STRUCTURE

18.1 Dispute Resolutions

18.1.1 The Business Units shall have the obligation to carry out the tender

proceedings in accordance with the principles and procedures stated in the

Tender Regulations, and this obligation is duly owed also to the contractor,

supplier or service provider. Any contractor, supplier or service provider who

claims to have suffered a loss of rights or damage or is likely to suffer loss or

damage resulting from alleged breach or contravention of the tender process,

can make a written request for review in accordance with the structures

specified below:

18.2 Establishment of the Exco Procurement Complaints Adhoc Committee

18.2.1 The Chief Executive Officer shall appoint a Committee comprising three

members of the executive (one of who shall be the chairperson), whose

mandate shall be to deal with complaints arising from tender adjudication

processes and tender award decisions. The Committee shall not have

permanent members, but shall be appointed as and when complaints are

received by the Corporation. In carrying out the appointments, the Chief

Executive Officer shall ensure that the appointed members have not at any

stage been involved either directly or indirectly in the adjudication of the tender

that is the subject of the complaint.

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18.2.2 The Committee shall reserve the right to co-opt technically competent

person(s) to assist in its work, but shall not allow such persons to vote or take

decisions. The Exco Procurement Complaints Adhoc Committee shall meet

when necessary, and at such time and place as the Chairperson determines.

18.2.3 The Exco Procurement Complaints Adhoc Committee shall deal with;

18.2.3.1 Allegations raised by contractors/suppliers arising at any point in the

tendering process for tenders that are within the approval limits of the

Heads of Business Units and the Exco Procurement and Tender

Committee.

18.2.3.2 Issues within the scope of the Tender Regulations, upon which a

written petition has been received from the public and which it is

deemed in the Corporation interest to be sufficient to compromise the

guiding principles of fairness and transparency.

18.2.4 Out of its findings the Committee may recommend to the Chief Executive

Officer any amendments to the Tender Regulations, which may become

necessary in consequence of its consideration of disputes and its detection of

weaknesses, or as a way of strengthening the Tender Regulations to prevent

recurrence of such challenges and the likely loss of reputation.

18.2.5 Where the purchase was subject to approval by the Head of the Business Unit

or the Exco Procurement and Tender Committee, written complaints shall be

submitted to the Chief Executive Officer within thirty (30) days of the award

of the tender. Any complaint submitted after this period shall not be considered

18.2.6 The Chief Executive Officer through the Supply Chain Manager shall

acknowledge receipt of the complaint and assure the Complainant of a response

within thirty (30) days.

18.2.7 A written complaint submitted under Paragraph 16.2.5 to the Chief Executive

Officer, shall contain a declaration of contents, of which, if proven,

demonstrates that if the procurement proceedings are not suspended-

a) The bidder will suffer irreparable harm.

b) It is probable that the complaint shall succeed; and

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c) Disproportionate harm shall be caused to the procuring entity or to the

other bidders.

182.8 When a contract has been concluded by a Business Unit based on an award

decision by either the Head of the Business Unit, and implementation of

the contract has commenced following the issuing of a letter of instruction

to this effect by the Head of the Business Unit to the contractor, supplier

or service provider, such a contract shall be irrevocable and its execution

shall proceed without interruption, even though the award decision may in

itself remain disputable by a contractor/supplier through either the Exco

Procurement Complaints Adhoc Committee.

18.2.9 However, the Exco Procurement Complaints Adhoc Committee may

suspend the execution of such a contract if an aggrieved party, has, in their

judgement, substantiated sufficient evidence to demonstrate to the

satisfaction of the Exco Procurement Complaints Adhoc Committee that

the execution of such a contract may cause substantial financial loss or that

it will prejudicially affect the Corporation’s interest.

18.2.10 The Chief Executive Officer shall appoint an Exco Complaints Procurement

Adhoc Committee within a period of seven (7) days of the receipt of the

complaint.

18.2.11 The Exco Procurement Complaints Adhoc Committee based on their

investigations may:

a) Uphold the complaint and invoke the application of Paragraph 16.2.9.

b) Dismiss the complaint

18.2.12 The Exco Procurement Complaints Adhoc Committee shall (through the

Supply Chain Manager) communicate the decision to the Complainant

within thirty (30) days of the receipt of the complaint.

18.2.13 The complainant(s) will be advised of the right to appeal to the Board

Chairperson within 14 days, if they consider the decision to be

unsatisfactory.

18.2.14 Any decision taken by the Exco Procurement Complaints Adhoc

Committee and the grounds and circumstances of such decision shall be

made part of the record of procurement proceedings to be kept by the

Business Unit and the Supply Chain Manager.

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18.3 Establishment of the Board Procurement Complaints Adhoc Committee

18.3.1 The Board Chairperson shall appoint and Chair a Committee comprising a

minimum of three members of the BPC Board of Directors whose mandate

shall be to deal with complaints arising from tender adjudication processes

and tender award decisions. The Committee shall not have permanent

members, but shall be appointed as and when complaints are received by

the Corporation. In carrying out the appointments, the Board Chairperson

shall ensure that the appointed members have not at any stage been involved

either directly or indirectly in the adjudication of the tender that is the

subject of the complaint.

18.3.2 The Committee shall reserve the right to co-opt technically competent

person(s) to assist in its work, but shall not allow such persons to vote or take

decisions. The Board Complaints Adhoc Committee shall meet when

necessary, and at such time and place as the Chairperson determines.

18.3.3 The Board Procurement Complaints Adhoc Committee shall deal with

a) Allegations raised by contractors/suppliers arising at any point in the

tendering process for tenders that are within the approval limits of the

Board Procurement and Tender Committee.

b) Complaints by electrical construction contractors at any point of the

prequalification process.

c) Appeals by contractors/suppliers on the verdict of the Exco Procurement

Complaints Adhoc Committee, arising from complaints submitted under

Paragraph 16.2.11 of these Regulations.

c) Issues within the scope of the Tender Regulations, upon which written

petition has been received from the public which in the Corporation

interest it is deemed to be sufficient to compromise the guiding principles

of fairness and transparency.

d) The Committee may recommend to the Board, any amendments to the

Tender Regulations, which may become necessary in consequence of its

consideration of disputes and its detection of weaknesses, or as way of

strengthening the Tender Regulations, then preventing recurrence of such

challenges and the likely loss of reputation.

18.3.4 Where the tender was subject to the approval by the Board Procurement and

Tender Committee, or falls outside the scope of the Exco Procurement

Complaints Adhoc Committee mandate, written complaints shall be

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submitted to the Board Chairperson within thirty (30) days of the award of

the tender. Any complaint submitted after this period shall not be considered

18.3.5 The Board Chairman (through the Chief Executive Officer) shall

acknowledge receipt of the complaint and assure the Complainant of a

response within thirty (30) days.

18.3.6 A written complaint submitted under Paragraph 1503.4 to the Board

Chairman, shall contain a declaration of contents, of which, if proven,

demonstrate that if the procurement proceedings are not suspended-

a) The bidder will suffer irreparable harm.

b) It is probable that the complaint shall succeed; and

c) Disproportionate harm shall be caused to the procuring entity or to the

other bidders.

18.3.7 The Board Chairperson shall appoint a Board Complaints Adhoc Committee

within a period of fourteen (14) days.

18.3.8 The Board Procurement Complaints Adhoc Committee based on their

investigations may:

a) Uphold the complaint and invoke the provisions of Paragraph 16.3.13.

b) Dismiss the complaint.

18.3.9 The Board Procurement Complaints Adhoc Committee (through the Chief

Executive Officer) shall communicate the decision to the Complainant

within thirty (30) days of the receipt of the complaint.

18.3.10 The Board Procurement Complaints Adhoc Committee shall be the final

Arbiter.

18.3.11 Any decision taken by the Board Procurement Complaints Adhoc

Committee and the grounds and circumstances of such decision shall be

made part of the record of procurement proceedings to be kept by the

Business Unit and the Supply Chain Manager.

18.3.12 When a contract has been concluded by a Business Unit based on an award

decision by the Approval Authority, and implementation of the contract has

commenced following the issuing of a letter of instruction to this effect by

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the Head of the Business Unit to the contractor, supplier or service provider,

such a contract shall be irrevocable and its execution shall proceed without

interruption, even though the award decision may in itself remain disputable

by a contractor/supplier through either the Exco Procurement Complaints

Adhoc Committee or the Board Procurement Complaints Adhoc

Committee.

18.3.13 However the Board Procurement Complaints Adhoc Committee may

suspend the execution of such a contract if an aggrieved party, has, in their

judgement, substantiated sufficient evidence to demonstrate to the

satisfaction of the Board Procurement Complaints Adhoc Committee that

the execution of such a contract may cause substantial financial loss or that

it will prejudicially affect the Corporation’s interest.

18.3.14 The following matters shall not be subject to the review by either the Exco

Procurement Complaints Adhoc Committee or the Board Procurement

Complaints Adhoc Committee:

a) The selection of a method of procurement.

b) The choice of a tender evaluation procedure/method.

c) A decision by the Board or any of its committees to reject all bids, and

d) A refusal by the Corporation to respond to an unsolicited offer to bid.

19 SUSPENSION AND DELISTING OF CONTRACTORS

19.1 Introduction

19.1.1 This section outlines the punitive measures that should be taken against

contractors who engage in mediocre or poor performance including

dishonorable business practices.

19.2 Establishment of the Suspension and Delisting Committee (Disciplinary

Committee)

19.2.1 The Chief Executive Officer shall establish a Suspension and Delisting

Committee (Disciplinary Committee) whose mandate will be to

investigate complaints lodged before the Committee and make

recommendations to the Board Procurement and Tender Committee, as to

a proper and informed decision to be taken against a contractor, including

appropriate penalties to be imposed if any.

19.2.2 The Committee shall be composed of three members of the executive one

of whom shall be the Chairperson, with the Corporation Secretary serving

as the Secretary and advisor to the Committee.

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The Secretary shall have no voting rights. The Committee shall reserve the

right to co-opt the services of relevant expert advisors to assist in its

deliberations.

19.3 Lodging of a Complaint

19.3.1 Any Business Unit with a financial or contractual interest in a contract or

the terms of a contract in which the contractor is a party, can lodge a

complaint under this Chapter of the Regulations.

19.3.2 Complaints shall be lodged to the Committee and shall be addressed to the

Corporation Secretary. Due to the serious nature of the suspension and

delisting process, complaints shall be made under the hand of the Head of

the Business Unit or any other officer of such senior ranking who has been

duly authorized by the Chief Executive Officer. The appointment of such

officers shall be restricted to those who are accountable for project

implementation within the Business Units, and therefore answerable to the

accuracy and adequacy of all information arising from the complaint.

19.3.4 All complaints made to the Committee must be accompanied by a factual

brief which should include the objective factual circumstances and

background of the complaint, as well as any attempts that were made to

resolve the matter. The specific allegations made against the contractor

shall be highlighted including areas of non-compliance to the code of the

terms of the contract. All relevant documentary evidence must be attached.

19.3.4 In the event of there being more than one incident of non-compliance

alleged, each of the specific allegations shall be addressed separately.

19.3.5 Where possible, the provisions of any specific law or policy that has been

violated must be disclosed.

19.4 Responsibilities of the Committee

19.4.1 The primary responsibility of the Committee is to investigate allegations

laid against the contractor. In doing so, the Committee may seek and call

for documentary evidence which may be in the form of records of the

procurement activity in question or any decisions made on the matter

19.4.2 The Complainant shall at all times cooperate fully with the Committee,

and act with promptitude to all instructions and requests from the

Committee.

19.4.3 After receipt of a complaint, the Committee shall notify the contractor in

writing of the complaint as well as the particular grounds of the allegations

against such contractor, and of the investigations that have been instituted

against such contractor. The Contractor shall be invited to respond to the

Committee in writing to the allegations within the set time limits.

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19.4.4 The Committee may hold a formal hearing with the Contractor at any stage

during the course of the investigations. Legal representation before the

Committee shall be prohibited. Contractors requested to appear before the

Committee shall appear in person.

19.4.5 The Committee may, if it deems fit, call upon any staff member of the

Corporation involved in the matter to make oral representation in order to

provide any clarification on any issue before the Committee or to reply to

the defence raised by the Contractor or to any counterclaim made against

the Business Unit, if any. It is the responsibility of the Head of the Business

Unit to ensure such staff members are released and available to the

Committee.

19.5 Compliance with the Decisions of the Committee

19.5.1 Decisions of the Committee in respect of the suspension and delisting

process must be complied with by both the Contractor and the Business

Unit in question. In addition, decisions of the Committee must be observed

by all Business Units, Contractors intending to do business with the

Corporation as well as by the Corporation’s tender approval authorities.

19.5.2 In the exercise of its powers under these Tender Regulations, the Board

Procurement and Tender Committee (BPTC) may in consideration of a

recommendation from the Suspension and Delisting Committee impose

any of the following measures against a Contractor:

i) Reprimand the Contractor in writing.

ii) Suspend the Contractor from participating in any of the

Corporations tenders for a specified period. The minimum period

shall be twenty four (24) months and a maximum of thirty six (36)

months.

iii) Conditionally suspend the Contractor on terms.

iv) Issuance of a remedial order

v) Delist the Contractor

vi) Find in favour of the Contractor and dismiss the complaint.

19.6 Where the Board Procurement and Tender Committee has suspended a

Contractor either conditionally or on terms or for a specified period without any

conditions, or to delist the contractor, efforts shall be made by the relevant

Business Unit to inform all other parties or stakeholders who may have a

contractual or financial interest in the project, of the decision relating to the

Contractor in question.

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20. IMPLEMENTATION DATE

20.1 The Tender Procedures shall be implemented effective from the

1st March 2016.

21. REVIEW OF IMPLEMENTATION GUIDELINES

The Supply Chain Department shall regularly conduct workshops for all Business

Unit staff members with the view to enhancing their knowledge on the requirements

of the Amended Tender Regulations and the review of the guidelines.

22. MONITORING AND REVIEWING

The Chief Financial Officer shall submit a report to the EPTC at the end of each

financial year quarter, detailing the level of adherence to the requirements of the

Tender Regulations.

23. DOCUMENTATION CONTROL

a. Related Documents

This procedure must be read in conjunction with the following documents:

Document Document Reference Version Date Version Rev

Tender Regulations February 2016 2

b) Document Change Control

Revision Nr 2

Document Submitted By Patrick Lewanika

Designation Supply Chain Manager

Date Prepared February 2016

Changes Original

c. Documentation Release Control

Name Title Date Signature

Governance

Authorisation

Rebecca

Mgadla

Chief

Financial

Officer

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ANNEXURE A

TERMS OF REFERENCE

BOARD PROCUREMENT AND TENDER COMMITTEE

Motlakase House, Macheng Way, Industrial Sites, Gaborone, Botswana

BOARD PROCUREMENT AND TENDER COMMITTEE TERMS OF

REFERENCE

Document Category Committee Terms of Reference

Revision Number 1

Number of Pages 200

Date Compiled 1 June 2016

Review Date

Document Reference

Electronic Archive Reference

Number

Electronic Archiving

Repository

Authorised by Chairman of the Board of Directors

Date Authorised

Signature

1. Committee Name

Board Procurement and Tender Committee

2. Abbreviation BPTC

3. Parent Committee Board of Directors

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4. Governance Level The Board Procurement and Tender Committee is an arrangement that

focuses on:

(1) Authorising acceptance or otherwise of tenders for the Corporation’s

requirements of supplies, works and services in accordance with

Tender Regulations up to a value as delegated from time to time by the

Corporation’s Board of Directors.

(2) Ensuring that specific budget/expenditure approval has been granted

in accordance with the Corporation’s Financial Regulations prior to

acceptance of tenders.

(3) Recommending approval of the Corporation’s Tender Regulations.

5. Type Sub-Committee of the Board of Directors.

6. Role The role of the Board Procurement and Tender Committee is to expedite

procurement of goods and services by authorising acceptance of tenders

that fall within the set financial limit.

7. Accountabilities The Board Procurement and Tender Committee does not supplant the

accountabilities of the Board of Directors who shall be held accountable

for decisions of the Committee. Members have the duty to observe the

Committee Mandate as well as the limits of the Delegation of Authority

Policy

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8. Mandate The Board Procurement and Tender Committee is mandated to:

(1) Authorise acceptance or otherwise of tenders up to the value exceeding

P2.5million (Pula two million five hundred thousand), as delegated by

the Corporation’s Board of Directors.

(2) Ensure a clear and concise report on comparison of tenders is

produced during each tender evaluation. The report should encompass

appropriate supplier details, comparison of bidders in terms of

capacity and conformity to set product specifications, the tender value

inclusive of any applicable taxes and contingencies as well as any

applicable premiums.

(3) Approve amendments and variations to contracts up to a maximum

stipulated at Paragraph 58 of the Tender Regulations.

(4) Authorise pre-contract negotiations with bidders, where a comparison

with previous prices paid, or prevailing market conditions indicate

that the bidder(s) prices are higher than justified.

(5) Ensure Government Procurement Preference and Reservation

Policies are applied in tender evaluations and adjudications.

(6) Reviewing and recommending approval of the Corporation’s Tender

Regulations by the BPC Board of Directors.

(7) Delisting and Suspension of Contractors on the basis of

recommendations from the Suspension and Delisting Committee.

(8) Authorise the determination or resiling of Agreements/Contracts

based on an earlier award by the Board Procurement and Tender

Committee or any of the tender approval authorities.

(8) Submit quarterly reports of all approved tenders to the Board of

Directors.

(9) Require attendance of Committee meetings by any Staff Member

whose knowledge and technical expertise is considered essential to

the Committee’s deliberations.

9. Appointment of the

Committee Chair

Appointment of the Chairperson is the prerogative of the Chairman of the

Board of Directors.

10. Appointment of

Committee

Members

Appointment of Committee Members is the prerogative of the Chairman

of the Board of Directors.

11. Chairperson To be appointed by the Chairman of the Board of Directors.

12. Committee Secretary General Corporate Counsel as stipulated in the Tender Regulations

13.Committee Members (1) The number of Members shall be determined by the Corporation’s

Board of Directors

(2) A part time Member to be appointed by the Board of Directors.

(3) All Members of the Executive shall be required to attend the

Committee meetings

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14. Role of the

Chairperson

The Chairperson shall be responsible for:

(1) Chairing meetings of the Committee

(2) Ensuring the application of good corporate governance practices in the

adjudication and award of tenders.

(3) Providing leadership to the Committee by ensuring collective

responsibility for Committee decisions

(4) Ensuring confidentiality of tender documentation and Committee

deliberations and resolutions.

(5) Ensuring that the Full Board is kept fully informed of any

circumstances which may affect the Corporation.

15. Duties of the

Committee

Members

Members shall:

(1) Be committed to the Committee, act in the best interest of the

Corporation and shall not serve their personal interests in the

acceptance or otherwise of tenders.

(2) Ensuring confidentiality of Committee deliberations and resolutions.

(3) Be prepared and able, where necessary, to express disagreement in a

civil, courteous and constructive manner during Committee meetings

(4) Declare their interest where there exists a conflict of interest between

themselves and the Corporation. Should such a conflict arise, the

affected Member(s) may be required to recuse themselves from the

deliberations.

(5) Exercise good faith, honesty and integrity during Committee

deliberations and act independently of any outside fetter, influence or

instruction.

16.Duties of the

Committee

Secretary

The Committee Secretary shall be the custodian of the Committees’

Minutes and Resolutions including other related documentation recording

important Committee decisions. The primary functions of the Secretary

shall be to:

(1) Guide Members as to their duties and responsibilities and make them

aware of all Legislation and Tender Regulations and other legal

requirements relevant to the award of tenders.

(2) Record Minutes which shall detail the Committee resolutions.

(3) Ensure that Committee Minutes are issued to Members within ten (10)

working days.

(4) Ensure that Committee decisions and instructions are clearly

communicated to the Chief Executive Officer, the Business Unit

Directors, the Internal Audit Manager and the Supply Chain Manager

within two (2) working days.

(5) Assist in availing information required by Members to enable them to

discharge their duties effectively

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17. Committee

Procedures

(1) The conduct of the Committee shall always be consistent with its duties

and responsibilities to the Corporation and shall at all times promote

the Stakeholder interests and value.

(2) The Committee shall be disciplined, focused and always act in a

prudent manner when carrying out its role, with emphasis on strategic

issues and policy matters.

(3) The Committee’s discussions shall be open, constructive, civil and

orderly. The Chairperson will seek a consensus in the Committee, but

may where considered necessary take a final decision in respect of the

matter being discussed.

(4) Discussions at Committee meetings shall remain confidential unless a

specific directive has been issued to the contrary.

(5) The Committee Members shall be entitled to have access, at reasonable

times and notice, to all relevant tender documents or information

18. Ordinary Meetings The Committee shall meet once every month.

19. Special Meetings Notwithstanding the requirements in respect of ordinary meetings, the

Chairperson may call a Special Meeting, subject to members being given

notice of the meeting five (5) days before the scheduled date

20. Emergency Meetings Notwithstanding the requirements in respect of ordinary meetings, the

Chairperson may call an Emergency Meeting at short notice

21. Quorum The quorum for Ordinary, Special and Emergency meetings shall be at

least two Board Members including the Chairperson.

22. Acting Chairperson The Chairperson in his absence may appoint an Acting Chairperson to

preside over meetings

23. Agenda The meeting Agenda shall comply with the prescribed Template and shall

be circulated at least seven (7) calendar days prior to a meeting.

24. Submissions for

Consideration

Submissions for consideration shall comply with the prescribed

Submissions Template at Annexure H and Annexure I and shall be

circulated at least seven (7) calendar days prior to a meeting.

25. Confidentiality of

Meeting’s Papers

(1) All information and papers intended for meetings or acquired during

meetings shall be treated as confidential and shall only be disclosed to

any other person through a lawful order or as decided by the

Committee.

(2) A record of Committee deliberations, resolutions, minutes and

documentation of material importance to meetings will be maintained

and kept by the Committee Secretary who shall allow access thereto to

Members at all reasonable times.

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26. Committee Minutes (1) The Committee Secretary shall within ten (10) working days from the

date of the meeting produce minutes of the Committee Meeting for

review by the Chairperson for verification of decisions taken at the

meeting and accuracy of information including confirmation that the

Minutes reflect a true and proper record of the proceedings

(2) Minutes of meetings shall be circulated to Members within ten (10)

working days of the date of the meeting for their record and

information.

(3) The Committee Secretary shall keep records of Minutes properly

bound in Minute books and labelled for each month indicating the

periods of meetings in each Minute book.

(4) The Chairperson shall be responsible for authentication of Minutes or

extracts of Minutes and or Resolutions of the Committee

27. Communication with

Committee

Communication with Committee Members shall take place through the

Chairperson of the Committee.

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ANNEXURE B

TERMS OF REFERENCE

EXECUTIVE PROCUREMENT AND TENDER COMMITTEE

Botswana Power Corporation Motlakase House, Macheng Way, Industrial Sites, Gaborone, Botswana

EXECUTIVE PROCUREMENT AND TENDER

COMMITTEE TERMS OF REFERENCE


Revision Number 1

Number of Pages 200


Review Date

Document Reference


Electronic Archiving Repository

Authorised by Chief Executive Officer

Date Authorised

Signature

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8. Committee Name Executive Procurement and Tender Committee

9. Abbreviation EPTC

10. Parent Committee Executive Committee

11. Governance Level The Executive Procurement and Tender Committee is an

arrangement that focuses on:

(1) Authorising acceptance or otherwise of tenders for the

Corporation’s requirements of supplies, works and services in

accordance with Tender Regulations up to a value as delegated

from time to time by the Board of Directors.

(2) Ensuring that specific expenditure approval has been granted in

accordance with the Corporation’s Financial Regulations prior to

acceptance of tenders, as well as the Request for Proposal/

Instructions to Tenderers.

(3) Reviewing and recommending to the Board Procurement and

Tender Committee all tenders above the delegated authority.

(4) Recommending appropriate procurement policy issues for

consideration by the Board Procurement and Tender Committee.

(5) Authorising in special cases:

i) Variations in the Formal Tender Procedure

ii) Waiver of the Formal Tender Procedure

12. Type Sub-Committee of the Executive Committee

13. Role The role of the Executive Procurement and Tender Committee is to

expedite procurement of goods and services by authorising acceptance

of tenders that fall within the set financial limit.

14. Accountabilities The Executive Procurement and Tender Committee does not supplant

the accountabilities of the Executive Committee who shall be held

accountable for decisions of the Committee. Members have the duty

to observe the Committee Mandate as well as the limits of the

Delegation of Authority Policy

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8. Mandate

The Executive Procurement and Tender Committee is mandated to:

(1) Authorise acceptance or otherwise of tenders up to a value as

delegated from time to time by the Board.

(2) Review and recommend to the Board Procurement and Tender

Committee all tenders above the delegated authority.


produced during each tender evaluation. The report should

encompass appropriate supplier details, comparison of bidders in

terms of capacity and conformity to set product specifications, the

tender value inclusive of any applicable taxes and contingencies

as well as any applicable premiums.

(4) Approve amendments and variations to contracts up to a

maximum of 15% for orders or contracts valued up to the

delegated authority. The Committee shall refer all variations and

amendments of orders or contracts above the delegated authority

to the Board Procurement and Tender Committee

(5) Authorise pre-contract negotiations with bidders, where a

comparison with previous prices paid, or prevailing market

conditions indicate that the bidder(s) prices are higher than

justified.

(6) Ensure the standardization and rationalization of procurement

items in the interest of cost reduction, ease of maintenance and

technological effectiveness.

(7) Advocate for the aggregation of procurement for items that are

common to the Corporation’s Business Units in order to benefit

from economies of scale.

(8) Facilitate the development of local entrepreneurship through the

application of the Government Procurement Reservation and

Preference Programmes.

(9) Authorise the determination/resiling of Agreements/Contracts

based on an earlier award by both the Business Unit Procurement

and Tender Committees or the Executive Procurement and

Tender Committee.

(10) Authorise in special cases variations and waivers from Formal

Tender Procedure.

(11) Submit monthly returns of all approved tenders to the Board

Procurement and Tender Committee.

9 Appointment of the

Committee Chair Appointment of the Chairperson is the prerogative of the Chief

Executive Officer.

10. Appointment of

Committee Members Appointment of Committee Members is the prerogative of the Chief

Executive Officer. .

11. Chairperson Appointed by the Chief Executive Officer.

12. Committee Secretary Supply Chain Manager as stipulated in the Tender Regulations.

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13. Committee Members (1) At least four Members of the Executive (Including the Chief

Financial Officer) appointed by the Chief Executive Officer , one

of whom (with the exception of the Chief Financial Officer) shall

be the Chairperson

14. Role of the

Chairperson The Chairperson shall be responsible for:


(2) Ensuring the application of good governance practices in the

adjudication and award of tenders.

(3) Providing leadership to the Committee by ensuring collective

responsibility for Committee resolutions.

(4) Ensuring confidentiality of tender documentation and Committee

deliberations and decisions.

(5) Ensuring that the Board Procurement and Tender Committee and

the Chief Executive Officer are kept fully informed of any

circumstances which may compromise the effectiveness and

integrity of the Corporation.

15. Duties of the

Committee Members Members shall:



adjudication and acceptance of tenders.

(2) Ensuring confidentiality of Committee deliberations and decisions

as well as tender documentation.

(3) Be prepared and able, where necessary, to express disagreement

in a civil, courteous and constructive manner during Committee

meetings.

(4) Declare their interest where there exists a conflict of interest

between themselves and the Corporation. Should such a conflict

arise the affected Member(s) may be required to recuse themselves

from the deliberations.

(5) Exercise good faith, honesty and integrity in their tender

adjudication deliberations, and must act independently of any

outside fetter, influence or instruction.

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16. Duties of the

Committee Secretary The Committee Secretary shall be the custodian of the Committees’

Minutes and Resolutions including other related documentation

recording important Committee decisions. The primary functions of

the Secretary shall be to:

(1) Guide Members as to their duties and responsibilities and make

them aware of all Legislation and Tender Regulations and other

legal requirements relevant to the adjudication and award of

tenders.

(2) Record Minutes which shall detail the resolutions of the

Committee.

(3) Ensure that Committee Minutes are issued to Members and the

Business Unit Director within 48 hours.

(4) Notify the Corporation of the decision of the Committee by

inserting in the appropriate “Public Folder” details of all

approved tenders.

(5) Assist in availing information required by Members to enable

them to discharge their duties effectively

17. Committee

Procedures (1) The conduct of the Committee shall always be consistent with its

duties and responsibilities to the Corporation and shall at all times

promote the Stakeholder interests and value.


prudent manner when carrying out its role, with emphasis on

strategic issues and policy matters.


orderly. The Chairperson will seek a consensus of the Committee,

prior to passing Committee resolutions.

(4) Discussions at Committee meetings shall remain confidential

unless a specific directive has been issued to the contrary.

(5) The Committee Members shall be entitled to have access, at

reasonable times and notice, to all relevant tender documents or

information

18. Ordinary Meetings The Committee shall meet once every week.


Chairperson may call a Special Meeting, subject to members being

given notice of the meeting one (1) working day before the scheduled

date



21. Quorum The quorum for Ordinary, Special and Emergency meetings shall be

at least three members including the Chairperson.

22. Acting Chairperson The Chairperson in his absence may appoint an Acting Chairperson

to preside over meetings

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23. Agenda The meeting Agenda shall comply with the prescribed Template and

shall be circulated at least two (2) working days prior to a meeting.

24. Submissions for

Consideration Submissions for consideration shall comply with the prescribed

Submissions Template and shall be circulated at least two (2) working

days prior to a meeting.


Meeting’s Papers (1) All information and documents intended for meetings or acquired

during meetings shall be treated as confidential and shall only be

disclosed to any other person through a lawful order or as decided

by the Committee.

(2) A record of Committee resolutions, minutes and documentation of

material importance to meetings will be maintained and kept by

the Committee Secretary who shall allow access thereto to

Members at all reasonable times.

26. Committee Minutes (1) The Committee Secretary shall within one (1) working day from

the date of the meeting produce minutes of the Committee Meeting

for review by the Chairperson as confirmation that the Minutes

reflect a true and proper record of the proceedings.

(2) Minutes of meetings shall be circulated to Members within four (4)


information.


bound in Minute books and labelled for each year indicating the


(4) The Chairperson shall be responsible for authentication of

Minutes or extracts of Minutes and or Resolutions of the

Committee


Committee Communication with Committee Members will take place through

Chairperson of the Committee.

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ANNEXURE C

TERMS OF REFERENCE

BUSINESS UNIT PROCUREMENT AND TENDER COMMITTEE

Botswana Power Corporation Motlakase House, Macheng Way, Industrial Sites, Gaborone, Botswana

BUSINESS UNIT PROCUREMENT AND TENDER COMMITTEE TERMS OF REFERENCE


Revision Number 1

Number of Pages 200


Review Date

Document Reference


Electronic Archiving Repository

Authorised by Chief Executive Officer

Date Authorised

Signature

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15. Committee Name Business Unit Procurement and Tender Committee

16. Abbreviation BUPTC

17. Parent Committee Executive Procurement and Tender Committee

18. Governance Level The Business Unit Procurement and Tender Committee is an

arrangement that focuses on:

(1) Adjudication of procurement tenders up to a value as delegated

from time to time by the Board of Directors.

(2) Submitting tender adjudication recommendations for approval by

the Head of the Business Unit/Supply Chain Manager/Power

Station Manager (as applicable)

(3) Developing Requests for Proposals (RfP) which detail Product

specifications/quantities as well as the Scope of work/services.

(4) Advising (through the Business Unit Director) on procurement

policy issues for consideration by the Executive Procurement and

Tender Committee.

19. Type Sub-Committee

20. Role The role of the Business Unit Procurement and Tender Committee is

to adjudicate tenders for procurement of goods and services for the

Business Unit within the set financial limit in compliance with the

Tender Regulations.

21. Accountabilities The Business Unit Procurement and Tender Committee does not

supplant the accountabilities of the Executive Procurement and

Tender Committee who shall be held accountable for decisions of the

Committee. Members have the duty to observe the Committee

Mandate as well as the limits of the Delegation of Authority Policy

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8. Mandate

The Business Unit Procurement and Tender Committee is mandated

to:

(1) Adjudicate tenders for procurement of goods and services

required by the Business Unit.

(2) Ensuring that the Business Unit derives economies of scale

through the aggregation of procurement items that are common

to Departments falling under the Business Unit.

(3) Facilitate the development of local entrepreneurship through the

application of the Government Procurement Reservation and

Preference Programmes.

(4) Make appropriate tender adjudication recommendations for

approval by the Business Unit Director.

(5) Submitting approved tender awards together with Purchase

Requisitions to the Supply Chain Manager for the generation of

Purchase Orders.

(6) Reviewing and recommending to the Head of the Business Unit

all tenders above the delegated authority of the Head of Business

Unit, for submission to the Executive Procurement and Tender

Committee.


produced during each tender evaluation. The report should

encompass appropriate supplier details, comparison of bidders in

terms of capacity and conformity to set product specifications, the

tender value inclusive of any applicable taxes and contingencies

as well as any applicable premiums.

(8) Recommend to the Director of the Business Unit amendments

and variations to contracts up to a maximum of 15% for orders

or contracts valued up to the delegated authority. The Committee

shall refer all variation and amendments of orders or contracts

above the delegated authority to the Executive Procurement and

Tender Committee.

(9) Recommend to the Director of the Business Unit approval of pre-

contract negotiations (for orders and contracts within the

delegated authority ) with bidders, where a comparison with

previous prices paid, or prevailing market conditions indicate

that the bidder(s) prices are higher than justified.

(10) Submit Quarterly Reports of all approved tenders to the


9. Appointment of the

Committee Chair Appointment of the Chairperson shall be the prerogative of the Head


10. Appointment of

Committee Members Appointment of Committee Members shall be the prerogative of the

Head of the Business Unit.

11.Committee Secretary To be appointed by the Business Unit Director from amongst the

Business Unit staff members.

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12.Committee Members The Committee shall comprise a minimum of 3 Officers drawn from

the respective Departments within the Business Unit, and 1 member

representing the Supply Chain Department.

13.Role of the

Chairperson The Chairperson shall be responsible for:


(2) Ensuring that tenders are adjudicated in a fair and transparent

manner thus enabling the Corporation to obtain value for money.

(3) Providing leadership to the Committee by ensuring that the final

tender adjudication decisions represent the views of the majority

of the members.

(4) Ensuring confidentiality of tender adjudication documentation

and deliberations.

(5) Ensuring that the Head of the Business Unit is informed of any

circumstances that may compromise the integrity and

effectiveness of the Corporation.

14.Duties of the

Committee

Members

Members shall:



adjudication of tenders.

(2) Ensure the confidentiality of tender documents, deliberations and

resolutions.

(3) Own the tender adjudication decisions of the Committee

regardless of whether or not they are contrary to the ones they held

during deliberations.

(4) Exercise utmost good faith, honesty and integrity in their dealings

and must act independently of any outside fetter or instruction.

(5) Be prepared and able, where necessary, to express disagreement

in a civil, courteous and constructive manner with Members of the

Committee

(6) Avoid a conflict of interest between themselves and the

Corporation. Should such a conflict arise the affected Member

shall declare the conflict, and where appropriate, recuse

themselves from the tender adjudication.

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15. Duties of the

Committee Secretary The Committee Secretary shall be the custodian of the Committees’

Minutes and Resolutions including other related documentation

recording important Committee decisions. The primary functions of

the Secretary shall be to:

(1) Guide Members as to their duties and responsibilities and make

them aware of the Corporation’s Tender Regulations and other

legal requirements relevant to the Corporation’s business and

operations.

(2) Record Minutes of the meetings which shall capture the

substance and resolutions of the Committee.

(3) Ensure that Committee resolutions are submitted to the Business

Unit Director within Forty Eight (48) hours.

(4) Notify the Corporation of the decisions of the Committee by

inserting in the appropriate “Public Folder” details of all tenders

approved.

(5) Assist in availing information required by Members to enable them

to discharge their duties effectively

16. Committee

Procedures (1) The conduct of the Committee shall always be consistent with its

duties and responsibilities to the Corporation and shall at all times

promote the Stakeholder interests and value.


prudent manner when carrying out its role, with emphasis on fair

and transparent tender adjudication.


orderly. The Chairperson will seek a consensus prior to passing

Committee resolutions.

(4) Discussions at Committee meetings shall remain confidential

unless a specific directive has been issued to the contrary.

(5) The Committee Members shall be entitled to have access, at

reasonable times and notice, to all relevant tender documents or

information

17. Ordinary Meetings The Committee shall meet once every week.


Chairperson may call a Special Meeting, subject to members being

given notice of the meeting one (1) working day before the scheduled

date



20. Quorum The quorum for Ordinary, Special and Emergency meetings shall be

at least three Members including the Chairperson.

21. Acting Chairperson The Chairperson in his absence may appoint an Acting Chairperson

to preside over meetings

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22. Agenda The meeting Agenda shall comply with the prescribed Template and

shall be circulated at least two (2) working days prior to a meeting.

23. Submissions for

Consideration Submissions for consideration shall comply with the prescribed

Submissions Template and shall be circulated at least two (2) working

days prior to a meeting.


Meeting’s Papers (1) All information and papers intended for meetings or acquired

during meetings shall be treated as confidential, and shall only be

disclosed to any other person through a lawful order or as decided

by the Committee.

(2) A record of Committee submissions, resolutions, minutes and

documentation of material importance to meetings will be

maintained and kept by the Committee Secretary who shall allow

access thereto to Members at all reasonable times.

25. Committee Minutes (1) The Committee Secretary shall within two (2) working days from

the date of the meeting produce minutes of the Committee Meeting

for review by the Chairperson for verification of decisions taken

at the meeting and accuracy of information including confirmation

that the Minutes reflect a true and proper record of the

proceedings

(2) Minutes of meetings shall be circulated to Members within four (4)


information.


bound in Minute books and labelled for each month indicating the


(4) The Chairperson shall be responsible for authentication of

Minutes or extracts of Minutes and or Resolutions of the

Committee.

(5) Minutes shall be adopted and approved by Members in the

subsequent meeting.


Committee Communication with Committee Members shall take place through

the Chairperson of the Committee.

27.

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ANNEXURE D

TENDER INVITATION NOTICE TEMPLATE

TENDER NOTICE

TENDER No. ……./2016

PROJECT TITLE …………………….

The Botswana Power Corporation (BPC) invites Tenders for ………….

Tender documents shall be collected from the office of:

Supply Chain Manager at

Plot 1222

Nkrumah road,

Light Industrial site

Gaborone

Upon payment of a non-refundable document fee of P……. per copy inclusive of VAT

Sealed tenders are to be submitted on or before 10:00am on the ……..201…… and should be

placed in the tender box situated in the Supply Chain Procurement Office at the above address.

Enquiries: ……@bpc.bw

Telephone: + (267) 3603239/446

(Include only if applicable)

A compulsory site visit shall be held on the ………2015 from ……AM to …….PM.

(Please bring along the following protective clothing)

(External companies should confirm visa requirements)

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ANNEXURE E

Request for Proposal (Goods/Tools/Equipment/Spares)-Template

BOTSWANA POWER CORPORATION

TENDER No. ...../15

Request for Proposal (Goods/Tools/Equipment/Spares)

For

(Insert Title of Project in Bold Capital Letters)

Issue Date:............../2015

This document and all the information it contains are confidential. It is the property of the Botswana Power

Corporation whose details are shown below. It must not be disclosed to any third party without the written

consent of the Botswana Power Corporation, Motlakase House, Macheng Way, Light Industrial Sites, Plot

1222, and Gaborone, Botswana. Tel. (267) 360 3000 Fax. (267) 308 674/3953018.

TABLE OF CONTENTS

INSTRUCTIONS TO TENDERERS

1. Invitation to Tender

2. Enquiries

3. Timetable

4. General Requirements

5. Requests for Information

6. Amendments to Request for Proposal

7. Minor Departures

8. Tariffs or Charges

9. Conditions of Tendering

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10. Tender Preparation

11. Tender Copies

12. Tender Content

13. 13 Schedules

14. Tender Lodgement

15. Delivery and Packaging


17. Delivery by Post

18. Acceptance of Tenders

19. Joint Ventures

20. Assessment and Evaluation

21. Tender Validity

TERMS OF REFERENCE

1. Background

2. Technical Requirements


CONDITIONS OF TENDERING

1. Definitions and Interpretations

2. Request for Proposal Documents

3. Tenderer’s Warranties

4. No Collusion of Commissions

5. Tender to Constitute Offer

6. Acceptance of Tender

7. Execution of Formal Tender Instrument

8. Inconsistencies in Documents

9. Assessment and Selection Criteria

10. Rights of the Botswana Power Corporation

11. Unsuccessful Bidders

12. Appeals


ANNEXURE

Annexure A Schedule 1 Tender

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(Title of Tender in Bold Capital Letters)



1.0 The Botswana Power Corporation (BPC) invites the lodgement of Tenders in accordance

with this Request for Proposal for (Title of Tender and brief scope of tender)

1.1 The Scope of this Request for Proposal is more fully detailed in the Terms of Reference

for this Request for Proposal.

1.2 All tenderers must be prepared in accordance with the instructions specified in these

Request for Proposal Documents.

2. Enquiries

All enquiries relating to this Request for Proposal are to be in writing and directed to:

Botswana Power Corporation Officer: (Project Officer’s Name)

Telephone: +267 3......

Cell phone: +267 7........

Facsimile: +267 3..........

Email: [email protected]

3. Timetable

Relevant Dates for this Request for Proposal are:

Invitation to Tender issued: ............/ 2015

Closing Date for Tenders: ........../ 2015

*1Compulsory site visit (if applicable) on ........../2015

*2Closing Time for Tenders on Closing Date: 10:00am (The preferred closing

date should be either on Wednesday or Friday)

Validity Date: 60 days

*1 Indicate specific requirements for the site visit e.g. Protective Clothing/Equipment

*2 Where a dual envelope tendering method (separate submission of technical and financial proposals) the

Request for Proposal should indicate that only names of bidders shall be read out on the tender closing

date.

mailto:[email protected]

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Bidders shall be required to record on the Register maintained by the Botswana Power

Corporation, when collecting tender documents. Bidders not appearing on the Register

shall be disqualified. Bidders who are unable to physically record on the Register shall be

recorded by the BPC Supply Chain Department subject to availability of documentary

evidence of payment for the documents by the subject bidders.

4. General Requirements (Delete items that are not applicable to the subject tender)

4.1 Tenderers are required to provide profiles of their respective Company, Organisation or Firm

along with trade references, which among other things, outlines the following:

4.1.1 Name of the Company, Organisation or Firm

4.1.2 The Company, Organisation or Firm’s history in the industry

4.1.3 The key shareholders of the Company, Organisation or Firm

4.1.4 The Company, Organisation or Firm’s client portfolio and relevant experience.

4.2 Failure to comply with the requirements at 4.1 may result in the immediate disqualification of the

bid

4.3 The Tenderer’s Proposal should demonstrate their knowledge of the BPC as well as the Assignment

requirement and their understanding of the requisite tasks set forth in the Terms of Reference and

the Scope of Work incorporated therein. Provision of the requested information, in full, must be

set forth in the following sequence:

4.3.1 General approach proposed by the Tenderer for provision of the services including such

detailed information as is deemed relevant;

4.3.2 Work programme including an organisation chart for the Assignment team.

4.3.3 Name, age, nationality, background, employment records and detailed professional

experience of each expert to be assigned for providing the proposed services, with

particular reference to the kind of experience required for the project along with their

proposed role in the project implementation. A copy of the Bio data format is attached as

Schedule 8.

4.3.4 Proposed association arrangement with other Firms (if any).

4.3.5 Clarifications, if any, on the Terms of Reference.

4.4 In order to allow proper evaluation of Tenders, all Schedule(s) contained in this Request for

Proposal should be fully completed and signed where required. Tenders in which the detailed

prices and/or particulars are not fully completed may not be considered.

4.5 All costs relating to the preparation and submission of the Tender are to be borne by the Tenderer.

The BPC will not be responsible for losses, or pay expenses which may be incurred by the

Tenderer in the preparation of their Tender.

4.6 All tenders shall be subject to the Corporation’s General Conditions of Tendering for the

purchase of goods and services, which are attached hereto.

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4.7 Tenders are to be marked as follows:

Tender No. ......../14

(Insert Title of Tender)

The Company Name should be prominently reflected on the packaging as well as on each

copy of the tender documents

4.8 Failure to comply with the requirements at 4.7 shall result in the immediate disqualification

of the bid.


5.1 If the Tenderer has any doubt as to the meaning or intent of any of the provisions in this Invitation

to Tender or if a Firm identifies any discrepancies or contradictions they must seek the BPC’s

clarification as soon as possible, whose interpretation shall be final. Such request for advice or

decision shall be referred via signed facsimile correspondence for the attention of the Botswana

Power Corporation Officer whose details are at Paragraph 4, with e-mail correspondence as a

back-up to [email protected]

5.2 It is important that any such request is made in sufficient time to enable any interpretation or

amendment to the Request for Proposal to be given without prejudice to the date for receipt of

Tenders. Tenderers are therefore required to submit such Requests for Information at least 10

(ten) calendar days prior to the Tender return date. The BPC will not entertain any extensions

of time which arise from a circumstance that should have been clarified by the Tenderer in

accordance with this requirement before submitting their Tender.

5.3 The Tenderer calling for any sub-tenderer(s) shall inform their sub-tenderer(s) that all queries

shall be submitted not to the person designated in Paragraph 5.1 but to the Tenderer who, if not

already in possession of the information, shall themselves obtain the necessary advice or decision

in accordance with the above procedure.

5.4 All responses to requests for information will be distributed by e-mail and by facsimile to all

prospective Tenderers who have purchased or collected the Request for Proposal documents for

the subject tender.

6. Amendments to the Request for Proposal

6.1 The BPC has the right at its sole discretion to issue amendments to the Invitation to Tender

documentation at any time during the tender period. Such amendments will as far as possible

take due consideration of the remaining tender period and will be distributed by e-mail and by

facsimile to all prospective Tenderers who have purchased or collected the Request for Proposal

documents for the subject tender.

6.2 No alterations shall be made to the Request for Proposal documentation unless amendments to

the Invitation to Tender are issued by the BPC during the tendering period which will be issued

and numbered as "Amendments to the Invitation to Tender Documentation".

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7. Minor Departures

7.1 The Tender shall fully comply with this Request for Proposal. However, it is recognised that minor

departures may be acceptable subject to prior BPC approval.


8.1 The Tenderer shall submit the Schedule of charges per Schedule 2 Schedule of Tariffs or

Charges.

8.2 Withholding tax, or any other taxes, related to this project shall be for the account of the

Tenderer.

8.3 Value Added Tax (VAT) that is levied by the Botswana Unified Revenue Services (BURS) shall

be for the account of the Botswana Power Corporation.

9. Conditions of Tendering and Conditions of Contract

9.1 The tender shall be submitted in accordance with the Conditions of Tendering and Conditions of

Contract specified in this Request for Proposals. Any subsequent contracts will be drawn in

accordance with the Laws of the Republic of Botswana and based on this documentation.

10. Tender preparation

10.1 All Tenders must be prepared in accordance with the instructions specified in these Request for

Proposal documents.

11. Tender copies

11.1 The Tenderer shall submit (insert number of required copies) completed copies of the Tender

proposals, in one sealed envelope, which shall be marked clearly with the title and number of the

tender, and a covering letter or accompanying documentation. Tenderers that are not compliant

shall not be considered.

12. Tender content

12.1 The Tender and supporting documentation shall be submitted in the English language.

12.2 Should there be any discrepancies between entries in the copy marked “Original” and those

marked “Copy” the entries contained in the “Original” copy shall prevail.

12.3 Tenders and accompanying documents shall be completed as indicated together with the

necessary copies and shall be enclosed in a sealed cover marked as follows:

Confidential

For the attention of The Chief Executive Officer

(Insert BPC Tender No. and Title of Project in Bold Capital Letters)

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The Chief Executive Officer


P O. Box 48

Plot No. 1222,

Nkrumah Road

Light Industrial Sites

Gaborone

Botswana

12.4 Failure to comply with the requirements at 123 shall result in the immediate disqualification

of the bid

13. Schedules (Refer Annexure A)

All tenders must comprise the following:

(Include this sub-paragraph if the Tender Form is applicable) This statement should not be

included in the copy that is to be handed to bidders

Schedule 1 Tender Form


13.1 Tenders, no matter how submitted MUST BE RECEIVED to the Botswana Power Corporation

before the Closing Time on the Closing Date shown in Paragraph 3 of this Request for

Proposals. The Tenderer is advised that incomplete or late information will not be considered.

13.2 Any company that decides not to submit a tender, after collecting and studying the tender

documentation, is requested to communicate the reasons for withdrawal.

13.3 Prior to opening of envelopes, tender responses shall be reconciled against the register of all

received bids that shall be maintained by the Botswana Power Corporation. Any bids that

have not been registered shall not form part of the tenders that are to be opened.

15. Delivery and packaging

15.1 Tenders must be clearly marked with the name of the Tenderer appearing on each page

of the tender. The Tender must be enclosed in sealed envelopes bearing:

a) The name of the Tenderer;

b) The Botswana Power Corporation Tender Number;

c) The name or description of the services being tendered for; and

d) The Closing Date for the Tender.

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of the bid

16. Delivery of Tenders

16.1 Tenders must be placed in the Tender Box located at:


Supply Chain (Procurement) Office

Plot 1222

Nkrumah Road


Gaborone

16.2 Tenders submitted by other means will not be considered by the Botswana Power

Corporation.

17. Delivery by post

17.1 Tenders delivered by courier post MUST be received in the Tender Box by the Closing

Time on the Closing Date. The Botswana Power Corporation shall not be responsible for

delays by couriers to deposit tenders in the designated tender box.


18.1 The BPC does not bind itself to accept the lowest, or any, Tender.

18.2 BPC reserves the right to accept/award the tender in full or in part at its sole discretion.

18.3 Unsuccessful tenders will not be returned by BPC.

19. Joint Ventures etc.

19.1 Tenders submitted by a joint venture of two or more companies as partners shall comply

with the following requirements:

19.2 The Tender shall be signed so as to be legally binding on all partners,

19.3 One of the partners shall be authorised to act as Leader and this authorisation shall be

evidenced by submitting a power of attorney signed by legally authorised signatories of

all the partners,

19.4 By this power of attorney, the Leader shall be authorised to incur liabilities and receive

instructions for and on behalf of any and all partners of the joint venture. The partners

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shall be considered bound by all things done by the Leader and the BPC and/or his

authorised representative need not deal with any other persons in this respect.

19.5 All partners of the joint venture shall be liable jointly and severally for the performance

of the Contract in accordance with the Contract terms, and a statement to this effect shall

be included in the authorisation mentioned under Paragraph 17.3 above.

19.6 An original and three copies of the agreement entered into among the joint venture

partners shall be submitted along with the Tender


20.1 Assessment and evaluation of Tenders will be based on the criteria set out in the Terms of

Reference Document.

21. Tender Validity

21.1 The Tender validity shall be 60 calendar days from the tender opening date. In the event that

the BPC wishes to extend the validity period, the BPC shall request such extension from the

Tenderer in writing prior to the expiration of the original tender validity period.

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TERMS OF REFERENCE

For

(Insert Title of Project)

1 Background

This section provides background information on BPC for appreciation by prospective Tenderers.

Below is an example of the Background information:

BACKGROUND

Botswana Power Corporation deals with high and low voltage electrical equipment such as circuit

breakers, transformers, isolators, etc. which needs to be tested periodically to ensure efficient

operation. If such equipment is not tested, then their effectiveness of may be compromised, and

hence this could result in loss of electricity to valued customers.

The provision of proper test equipment and training will provide a basis for remedial action to be

taken before equipment fails in service and thus improving the reliability and efficiency of the entire

network.


(This section should provide details and specifications of the goods/tools/equipment/spares that

are being procured as per example given below)

This tender is for the supply of high voltage test equipment and training on their use at Francistown

Transmission Offices.

All tender responses must meet the Corporation’s minimum requirements as indicated in the

example below:

(a) Winding Resistance Tester

i) Auto Current Ranging from 10 MA to 40 Amps

ii) Digital Resistance Reading from 1 micro-ohm to 500 ohms

iii) Auto discharge circuit for operator safety

iv) Built-in 2.5" Thermal Printer, computer interface

v) Stores 48 records of 63 readings

vi) Weighs less than 15kg

(b) Transformer Turns Ratio Tester

i) Fully automatic operation ii) Measures three phases simultaneously iii) Highest ratio measurement (45,000:1) iv) Highest accuracy (0.1%) v) Built-in storage and downloading capabilities

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3. EVALUATION OF TENDERS

Preference will be given to locally manufactured products in line with the

requirements of the Economic Diversification Drive (EDD) Revised Guidelines.

3.1 Evaluation Process

The evaluation of the tender shall be in the stages outlined below.

Stage 1: Compliance to General Tender Requirements

a) Valid Tax Clearance Certificate or Tax Exemption Certificate obtainable from the Botswana Unified

Revenue Services (BURS) (Applicable to all bidders as follows:

i) Local bidders Tax Clearance Certificate only

ii) Foreign bidders Tax Exemption Certificate.

BURS require the following from foreign bidders:

Certificate of Incorporation of foreign country

Tax Clearance Certificate of foreign country

Letter requesting exemption certificate (from BURS) for tender purposes.

BURS contact details are as follows:

Botswana Unified Revenue Services

Private Bag 0013

Gaborone

Telephone: (267) 363 8000

Fax: (267) 363 9999

E-mail: burs.org.bw

b) Submission of Trading Licence or authorisation to trade in goods or services that are being

procured under this tender (Applicable to foreign and local bidders).

c) Submission of Shareholders Certificate

d) Proof of Attendance of compulsory site visit (if applicable).

e) Proof of Accreditation to a body that regulates the provision of goods or services that are being

procured under this tender (if applicable).

f) *Proof of purchase of tender documents (if applicable).

Salient Point

Non submission (b) (d) and (e) shall result in immediate disqualification of the tender. BPC reserves

the right to seek clarity where (c) has not been submitted,

Bidders who have not included tax clearance or exemption certificates in their response to tender

documents, shall not be disqualified at the compliance stage of the tender evaluation. Such bidders

shall then be required to produce the Certificates in the event that the outcome of the tender

evaluation considers them to be the most technically and commercially competitive.


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Stage 2: Technical Evaluation

The Least Cost Selection method shall be used to identify the lowest bid, which meets the technical and

commercial requirements.

The following shall be the technical requirements that bidders shall have to comply with in order to progress

to the financial evaluation stage:

a) Submission of Type Test Certificate (if applicable)

b) Submission of proof of product certification by the South African Bureau of Standards (SABS)

or the Botswana Bureau of Standards (BOBS) in line with the SRDS specifications at Annexure

1. Bidders who may wish to submit standards other than the ones specified at Annexure 1, shall

be required to provide:

i) Proof of equivalence to the Annexed standards issued by BOBS.

ii) Submit copy of the substitute standard

c) Alignment of the tenderers delivery period to the timelines outlined in the Request for

Proposal.

d) Conformance to technical specifications outlined at Paragraph 2 of the Terms of Reference.

Evaluation will be on the basis of conformance or non-conformance.


a) Bids for locally produced products submitted by bidders registered under the following

initiatives shall be evaluated and award made on the basis of price and delivery competiveness.

Bidders are required to provide proof of eligibility to the procurement preference initiatives:

i) Economic Diversification Drive (EDD) and

ii) Local procurement Scheme (LPS)

b) Bids for products that are to be imported shall be considered where bids at (a) are not competitive

or where part of the quantities to be procured is considered to be above the capacity of the local

producers.

CHECK LIST

All tenders must comprise the following (as applicable to the tender being floated): The check

list is to be enclosed with the bid documents.

Certificate of

Incorporation

Tax Clearance

Certificate

Shareholders

Certificate

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Trading Licence

Proof of Attendance

of Site Visit

Proof of

Accreditation

EDD Certificate (if

applicable)

CEE Requirements

(if applicable)

LPS Requirements (if

applicable)

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These conditions of tendering apply to all Requests for Proposal (RfP) issued by the Botswana Power

Corporation. They should be read in conjunction with all other Request for Proposal documents. All

tenderers are bound by these conditions of tendering and they should be read carefully.

1. DEFINITIONS AND INTERPRETATIONS

1.1 Defined terms

1.1.1 Unless otherwise defined in these Conditions of Tendering, defined terms used in the Request for

Proposal documents have the meaning given to them in the Conditions of Contract and/or the

Specifications. In the event of inconsistency in meaning between defined terms in different

documents, a defined term will have the meaning given to that term in the relevant document.

1.2 Definitions

1.2.1 Unless the contrary intention appears the following words used in the Request for Proposal

Documents have the following meanings:

“Acceptance Date” means the date of service of the Notice of Acceptance.

“Business Day” means a day which is not a Saturday, Sunday or Public Holiday in the Republic of

Botswana.

“Closing Date” means the date identified in the Request for Proposal Documents as the date of closing

of the Request for Proposal or such other date as is determined by The

Botswana Power Corporation and notified to Tenderers as an addenda to the


“Closing Time” means the time specified in the Request for Proposal Documents as the closing time

on the Closing Date for the lodgement of Tenders, or if no time is specified,

10.00 hours on the Closing Date.

“Conditions of Contract” means the General Conditions of Contract per the Conditions of Contract

document as well as the Special Conditions of Contract specific to this tender,

if any Special Conditions are included.

“Conditions of Tendering” means the terms and conditions of tendering as set out in this document and

includes the Instructions to Tenderers.

“Contract” means the contract evidenced by:

a) The Letter of Acceptance of Offer or Formal Instrument of Agreement duly executed

by The Botswana Power Corporation;

b) the Request for Proposal Documents;

c) the Tender;

d) any other documents evidencing modifications to the Request for Proposal Documents;

and

e) Any other documents evidencing negotiated matters agreed between The Botswana

Power Corporation and the Successful Tenderer.

“Formal Instrument of Agreement” means the duly executed instrument of agreement that constitutes

the Contract in relation to the Successful Tenderer’s written offer to supply

and deliver goods or perform services in response to this Request for

Proposals.

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“General Conditions” means the general terms and conditions of contract, to be applicable to the

Contract to be awarded to the Successful Tenderer, as set out in the Request

for Proposal Documents, including the Conditions of Contract.

“Instructions to Tenderers” means the Request for Proposals and the Instructions to Tenderers set out

in these Request for Proposal Documents.

“Letter of Acceptance of Offer” means the notice sent by the Botswana Power Corporation to the

Successful Tenderer giving details of the agreed terms of the acceptance and

other relevant information in relation to the Successful Tenderer’s written

offer to supply and deliver goods or perform services.

“Notice of Acceptance” means the notice to the Successful Tenderer comprising either a Letter of

Acceptance of Offer or a Formal Instrument of Agreement duly executed by

The Botswana Power Corporation.

“Request for Proposals” means the request for tenders constituted by the Request for Proposal

Documents.

“Request for Proposal Documents” means the documents comprising this Request for Proposals and

includes the Instructions to Tenderers, the Conditions of Tendering, the

Terms of Reference, the Conditions of Contract, the Tender Form and Tender

Schedules and any addenda issued by The Botswana Power Corporation.

“Special Conditions” means the special terms and conditions of contract, if any, applicable to the


for Proposal Documents.

“Specifications” means the Terms of Reference per the Invitation to Tender Document which describes

the Services to be provided by the Contractor and any variations thereof made

pursuant to Condition 10.of the Conditions of Contract

“Successful Tenderer” means the Tenderer in receipt of a Notice of Acceptance.

“Tender” means the documents to be lodged by a Tenderer in response to the Request for Tenders

constituted by these Request for Proposal Documents.

“Tender Form” means the tender form forming part of the Request for Proposal Documents, which is

required to be completed and returned as part of the Tender.

“Tender Schedules” means the schedules included with the Tender Form and required to be completed

and submitted by each Tenderer in accordance with these Conditions of

Tendering or, as the context requires, the Tender Schedules completed by the

Tenderer and lodged as part of their Tender.

“Tenderer” means a person lodging a Tender pursuant to the Request for Proposals.

“Validity Date” means the date specified in the Request for Proposals and Instructions to Tenderers to

which Tenders must remain valid and capable of acceptance; or if no date is

specified, the date which is sixty days from the Closing Date.

1.3 Interpretation

1.3.1 Unless expressed to the contrary words importing:

i) the singular include the plural and vice versa;

ii) any gender includes the other gender;

If a word or phrase is defined cognate words and phrases have corresponding definitions;

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A reference to:

i) a person includes a firm, unincorporated association, corporation and a

government or statutory body or authority;

ii) a person includes its legal personal representatives, successors and assigns;

iii) a statute, ordinance, code or other law includes regulations and other statutory

instruments under it and consolidations, amendments, re-enactments or

replacements of any of them;

iv) a right includes a benefit, remedy, discretion, authority or power;

v) an obligation includes a warranty or representation and a reference to a failure to

observe or perform an obligation includes a breach of warranty or representation;

Provisions or terms of this document or another document, agreement, understanding or arrangement

include a reference to both express and implied provisions and terms;

Time is to local time in Republic of Botswana;

Writing includes any mode of representing or reproducing words in tangible and permanently visible

form, and includes facsimile transmissions; and

Anything (including, without limitation, any amount) is a reference to the whole or any part of it and a

reference to a group of things or persons is a reference to any one or more of them;

A reference to this document includes all schedules, annexure and appendices referred to in it.

Headings do not affect the interpretation of this document.

2. REQUEST FOR PROPOSAL (RfP) DOCUMENTS

2.1 Discrepancies in Tender Documents

Should the Tenderer find any discrepancy, error or omission in any of the Tender Documents,

it should notify the Botswana Power Corporation in writing as soon as possible.

2.2 No obligation to notify discrepancy

The Botswana Power Corporation is under no obligation to notify Tenderers of any

discrepancy, error or omission in the Request for Proposal documents discovered by or notified

to The Botswana Power Corporation before or after the Closing Date.

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2.3 Right to amend Tender Documents

The Botswana Power Corporation may amend the Tender Documents (including the date or

time for closing of the Tender) at any time by written addendum issued in identical form to each

Tenderer. Any addendum issued will become part of the Request for Proposal documents.

2.4 Addenda

No explanation, elaboration of, or amendment to the Request for Proposal documents will be

effective unless it is in the form of a written addendum issued by the Botswana Power

Corporation nominated contact Officer stated under Paragraph 2 of this Request for Proposal.

3. TENDERER’S WARRANTIES

3.1 By lodging a Tender, a Tenderer represents and warrants to The Botswana Power Corporation that,

as at the date of the Tender:

i) There is no legal or other impediment to the Tenderer entering into an Agreement with the

Botswana Power Corporation and meeting the terms and conditions of such Agreement.

ii) All information and records to be supplied by the Tenderer in relation to its Tender are and

will be true and accurate in all material respects;

iii) The Tenderer is a solvent legal entity and is under no form of insolvency, administration or

legal disability to contract of any kind;

iv) The Tenderer has no conflict of interest or anticipated conflict of interest in entering into the

Contract and doing all things required of it under the Contract which has not otherwise been

disclosed in writing to The Botswana Power Corporation prior to or at the time of lodging its

Tender;

v) The Tenderer has after diligent inquiry and investigation fully disclosed to The Botswana

Power Corporation in its Tender all information (within its knowledge or which should have

been within its knowledge) which could reasonably be regarded as affecting in any way the

decision of The Botswana Power Corporation to accept or reject the Tenderer’s response to

the tender invitation;

vi) All authorisations, registrations, consents, approvals, licences or permits required by any

governmental body or under any government legislation or regulations which are or will be

required in connection with the execution and delivery of, performance of obligations under

or validity or enforceability of the Tenderer’s offer if accepted, have been or will be obtained

or effected and are or will be in force and effect;

vii) No litigation, arbitration or administrative proceeding is presently taking place, pending, or to

the knowledge of the Tenderer threatened against the Tenderer which could have an adverse

effect on the business, assets or financial condition of the Tenderer;

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viii) The Tenderer will immediately notify The Botswana Power Corporation of the occurrence of

any event which may constitute a breach of any of the representations, warranties or covenants

made in connection with the Tender, including, without limitation any event which may result

in material adverse change in the business of the Tenderer;

ix) All accounts, balance sheets and other accounting and financial information furnished or to be

furnished to the Botswana Power Corporation are true and correct in every material particular,

as at the date to which they respectively relate and are not misleading or deceptive in any

respect; and

x) The Tenderer is not aware of any act, matter or thing or circumstance by reason of which the

Tenderer will not be able to perform any obligations arising out of the Contract.

3.2 If at, or at any time after the date on which it lodges its Tender, the Botswana Power Corporation

requests, or it is necessary to obtain, any authorisations, registrations, consents, approval,

licences, permits or independent legal or financial opinions on which the Botswana Power

Corporation can rely, the Tenderer will obtain same.

3.3 The Tenderer agrees that the representations, warranties and undertakings set out above are

continuing and are deemed to be repeated on the date on which an Agreement is entered into

by the Botswana Power Corporation and the Tenderer.

4. NO COLLUSION OR COMMISSIONS

4.1 No agreements

Tenderers must not enter into any agreement, arrangement or understanding with any other Tenderer

or any other party which relates to practices such as collusion in tendering, inflation of tender prices,

compensation if unsuccessful, Tenderers’ costs or commissions or any other such matters. Evidence

of collusive tendering will result in the disqualification of the Tender. Tenderers involved in such

practices may be suspended or delisted from tendering for future contracts with the Botswana Power

Corporation.

The procedure for delisting and suspension of contractors has been posted in the BPC Website

www.bpc.bw .

4.2 Bid Rigging

Tenderers should note that in terms of Section 25 (c) of the Competition Act, two or more companies

which are owned by the same individual(s) shall not be used to bid for the same product within the

same tender, since this amounts to bid rigging. However, Competition Law allows for the companies

to bid for different products in the same tender.

4.3 Warranty by Tenderer as to collusion/commission

By lodging a Tender, a Tenderer warrants to The Botswana Power Corporation that it has not

included in its Tender and shall not be or become entitled to receive any payment from or be or

become obliged to make any payment to any other Tenderer or any trade industry or professional

organisation or any other third party or person in respect of the lodgement of or outcome of the

submission of, its Tender.

http://www.bpc.bw/

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4.4 No commissions payable by The Botswana Power Corporation

The Botswana Power Corporation will not be liable to pay any commission or brokerage to any

agent or broker responsible for introducing any Successful Tenderer to The Botswana Power

Corporation. Any such agent involved in any Tender is agreed to be the agent of the Successful

Tenderer and not the Botswana Power Corporation.

5. TENDER TO CONSTITUTE OFFER

5.1 Irrevocable offer

Any Tender lodged will constitute an irrevocable offer by the Tenderer. The Tenderer agrees that

the contents of its Tender (subject to any post tender alterations agreed in writing by the Botswana

Power Corporation) will form a binding description of the offer by the Tenderer.

5.2 Time limit

Each Tender lodged with The Botswana Power Corporation remains open and shall be capable of

acceptance until the Validity Date.

5.3 No revocation, withdrawal or variation

Except with the prior written consent of The Botswana Power Corporation, a Tenderer may not

withdraw or revoke its Tender before the Validity Date but may withdraw its Tender after the

Validity Date provided the Tender has not been accepted by The Botswana Power Corporation.

5.4 Compensation

The Botswana Power Corporation may seek compensation for the withdrawal of a Tender prior to

the expiry of the Validity Date. Compensation will be the cost involved in the evaluation of the

Tender until the date of notification of withdrawal and any subsequent evaluation of other Tenders

caused by the withdrawal.

5.5 Exclusion of variations etc.

No purported variation, alteration or amendment to or of the Request for Proposal Documents by a

Tenderer shall bind the Botswana Power Corporation, provided always that the Botswana Power

Corporation may in its absolute discretion accept any form of Tender.

6. ACCEPTANCE OF TENDER

6.1 Time of acceptance and manner

A Tender shall not be deemed to be accepted unless and until The Botswana Power Corporation

serves the Tenderer with a Notice of Acceptance.

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6.2 Service

The Notice of Acceptance may be delivered to the address for service of the Successful Tenderer

nominated in its Tender, or sent by prepaid post to such address.

6.3 Date of service

6.3.1 The date of service of the Notice of Acceptance will be:

i) Where the Notice of Acceptance is served personally on the Successful Tenderer or left at the

address for service of the Tenderer specified in its Tender, the date upon which the Notice of

Acceptance is handed to the Tenderer or left at the address for service of such Tenderer, as the

case may be; or

ii) Where the Notice of Acceptance is sent by prepaid post to the Successful Tenderer, the date

of posting of the Notice of Acceptance.

6.4 Qualifications to acceptance

The Botswana Power Corporation is entitled to accept any Tender on a qualified basis (including,

without limitation, that acceptance is subject to resolution of identified issues and items).

6.5 Parties bound

Upon acceptance of a Tender by the Botswana Power Corporation (by service of a Notice of

Acceptance, and whether as originally submitted or as varied following negotiations after

submission of the Tender), the Successful Tenderer is bound by the Contract.

7. EXECUTION OF FORMAL INSTRUMENT OF AGREEMENT

7.1 Formal Instrument of Agreement

If a Formal Instrument of Agreement is sent to the Successful Tenderer then the Successful Tenderer

must execute the Formal Instrument of Agreement and deliver it to the Botswana Power Corporation

within 14 days of the date of the Notice of Acceptance. If the Successful Tenderer is unable to

comply with this time period, then the Successful Tenderer is bound to supply the Goods to, or

perform the Services for, the Botswana Power Corporation pursuant to the Agreement as if it had

been executed by both parties on the Acceptance Date.

8. INCONSISTENCIES IN DOCUMENTS

8.1 Inconsistencies in the Agreement

If there are any inconsistencies between any of the documents forming the Contract they will prevail

one against the others to the extent of such inconsistencies in the following order and priority:

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i) First: any negotiated matters;

ii) Second: any documents evidencing modifications to the Request for Proposal Documents;

iii) Third: the Request for Proposal Documents; and

iv) Fourth: the Tender.

8.2 Inconsistencies in Request for Proposal Documents

8.1.1 In the event of an inconsistency between the documents in the Request for Proposal Documents

they will prevail one against the others to the extent of such inconsistency in the following order

and priority:

i) First: any Addenda to the Request for Proposal Documents;

ii) Second: the Specifications;

iii) Third: the Conditions of Tendering;

iv) Fourth: the Special Conditions of Contract;

v) Fifth: the General Conditions of Contract;

vi) Sixth: the Tender Form and Tender Schedules; and

vii) Seventh: the Instructions to Tenderers.

9. ASSESSMENT AND SELECTION CRITERIA

9.1 Tender Evaluation and Award Process

The following factors will form the basis of the selection criteria used in the evaluation process.

Tenderers should note that the criteria listed below are not in any particular order, are not necessarily

exhaustive and do not imply any relative weighting. Many factors will contribute to the assessment,

and the information supplied in response to the various sections of this document will contribute to

the assessment against each criterion.

9.2 The BPC may call on the assistance of an Independent Consultant in carrying out its evaluation.

All information declared by the Tenderer will be adopted in the Tender evaluation and the tender

will be awarded to the Tenderer whose submission offers the best quality and most technically

competent service whilst paying due attention to economy and efficiency and will be assessed

against

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i) BPC’s satisfaction that the Technical Proposal is compliant with the Terms of Reference

and the Conditions of Contract. This will include the quality and suitability of the approach

and methodology, technical competence and experience of personnel and previous relevant

experience of similar work.

ii) The Financial Proposal will be used to assess the Tenderer’s commercial efficiency, extent

of resources proposed, programme duration and ultimate tariffs and charges.

iii) Following receipt and opening of Tenders the selection process will comprise:

a) Opening and ranking of all Tender Proposals;

b) Limited high level clarification may be sought from Tenderers

c) The Tenderers may be invited to make further oral presentations.

d) Final evaluation and selection of the Preferred Bidder based on the Tender Proposals

submitted and other information contained in the response to the Invitation to Tender.

e) The final adjudication/evaluation report, along with the resultant recommendation, is then

submitted first to the Executive Procurement and Tender Committee and finally, where

required by the Tender regulations, to the Board Procurement and Tender Committee for

approval before the successful bidder is invited to negotiate the contract.

f) For the purpose of valuation of these tender, all foreign currencies will be translated to

Botswana Pula at the spot bank selling rate ruling on the tender opening date as quoted by

the Bank of Botswana. Any other foreign currency rates used by the tenderer in the tender

submission will not be considered.

9.3 Primary Qualification Criteria

i) Experience in successful Equipment Procurement and Construction plus ongoing operation

and maintenance of this type of power plant.

ii) Experience and capacity to undertake this particular Project.

iii) The effective all charge required to make the project successful, which charge will be paid

by the Tenderer.

iv) Own resources and other referrals available to the tenderer.

v) Capacity to meet the likely financial and contractual obligations for full completion of this

project as well as the future operation and maintenance for the term of the power supply

contract.

vi) Demonstrated understanding of the Botswana Power Corporation’s Requirements.

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9.4 Technical, operations, financial and legal criteria

9.4.1 Ability to meet specified objectives of the Project.

9.4.2 Compliance with the various Republic of Botswana regulations and codes or practice.

9.4.3 Proposed approach towards the Project, including any hardware, software development,

design, testing, installation, integration and migration processes.

9.4.4 Demonstrated quality management systems including project management, systems

assurance, integrated support and quality assurance.

9.4.5 Demonstrated management and functional processes for all facets of contract delivery.

9.4.6 Viability and likely risk to be transferred to the Botswana Power Corporation.

9.4.7 Overall cost to the Botswana Power Corporation.

9.4.8 Ability to meet the overall timeframe outlines in the request documents.

9.4.9 Compliance with the Contract terms and conditions.

9.5 Selection of Successful Tenderer

Following assessment of the proposals, the Botswana Power Corporation may select one or more

Successful Tenderers whose proposals are considered to best meet the assessment criteria, and, after

any clarifications or negotiations required, may proceed to execute Contracts with one or more of

them.

9.6 The Botswana Power Corporation’s discretion

The Botswana Power Corporation may use such method of determination or selection process as it

deems appropriate in its absolute discretion. In particular, without limitation the Botswana Power

Corporation is under no obligation to accept the lowest price in respect of any Tender, or any Tender.

10. RIGHTS OF THE BOTSWANA POWER CORPORATION

10.1 Right to cancel/revoke a Request for Proposal

The Botswana Power Corporation reserves the right at any time, whether before or after the Closing

Date, to cancel or revoke its Request for Proposal and in that event no prospective Tenderer has any

right to claim or demand against The Botswana Power Corporation.

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10.2 Separate Tenders

The Botswana Power Corporation reserves the right to accept a separate Tender or separate Tenders

for any one or more separable parts of the goods or services which are the subject of the Request for

Proposal. The Botswana Power Corporation may also accept all or any part of a Tender subject to

satisfaction of stipulated conditions to which the Tenderer may be asked to agree.

10.3 Right to negotiate

The Botswana Power Corporation reserves the right to negotiate with Tenderers after the Closing

Date and completion of the tender evaluation and adjudication. The Botswana Power Corporation

may negotiate with Tenderers to vary their Tenders on any grounds relevant to The Botswana Power

Corporation obtaining the best commercial and technical result from the Request for Proposal. The

Botswana Power Corporation may withdraw from such negotiations at any time and commence

negotiations with any other Tenderer without any obligation to invite proposals, tenders, offers or

submissions from any other Tenderer in respect of the terms which are the subject of such

negotiation or variation.

10.4 Request for further information

The Botswana Power Corporation may request any Tenderer to supply further information if the

particulars supplied by the Tenderer in the Tender Form and the Tender Schedules are insufficient

to enable The Botswana Power Corporation to evaluate the Tender to its satisfaction. Tenderers

must supply any further information requested by The Botswana Power Corporation within 5 days

or as otherwise agreed with the Botswana Power Corporation Officer after receipt of a written

request for that information. The Botswana Power Corporation may also request the Tenderer to

attend an interview. Any information supplied by the Tenderer in response to a request for further

information or at an interview will, if so required by The Botswana Power Corporation, be deemed

to form part of the Tenderer’s Tender.

10.5 The Botswana Power Corporation’s right to correspond

The Botswana Power Corporation reserves the right to discuss, or correspond in respect of; any

matter pertaining to a Tender with any relevant person or company or to request clarification of any

matter from any relevant person or company at any time.

10.6 Right to alter terms and conditions

The Botswana Power Corporation may negotiate with any Tenderer and may alter or accept

alterations to any of the terms and conditions of a Contract to be entered into by The Botswana

Power Corporation with a Tenderer at any time, without, in its absolute discretion, notice to any

other Tenderer.

11. UNSUCCESSFUL BIDDERS

11.1 Debriefing

In the interest of transparency and openness each participating bidder may, after contract award

(acceptance of contract terms by both parties) be debriefed (on request) of the results of their bid.

The debriefing shall cover the evaluation process particularly scores allocated as per the evaluation

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criteria. The information that will be released by BPC shall only pertain to the requesting bidder’s

tender.

11.2 No redress

Any person lodging a Tender which is unsuccessful is not entitled to any redress against the

Botswana Power Corporation, and the Botswana Power Corporation’s decision in relation to the

Request for Proposal will be final and (subject to legal rights which cannot be excluded, released or

modified) no unsuccessful Tenderer has any redress against the Botswana Power Corporation as a

result of the Botswana Power Corporation exercising any or all of its rights in relation to the Request

for Proposal.

12. APPEALS

Bidders/Tenderers who may claim that they have suffered a loss as a result of the tender award

decision may lodge written appeals through the BPC Tender Appeals Structure details of which are

posted (as Chapter 16 of the Tender Regulations) in the Corporation’s website www.bpc.bw .


13.1 Tax Clearance Certificate

(1) In order to ensure compliance with Tax Law, all Tenderers (local and foreign based) are

required to submit Tax Clearance Certificates or Tax Exemption Certificate, issued by the

Botswana Unified Revenue Service. Where the Bidder has submitted its Tax Returns and delays

are experienced in issuing the certificate, then confirmation in writing by Tax Authorities that

the Tenderer has submitted Tax Returns shall be considered as sufficient proof. The Clearance

or Exemption Certificate forms part of the condition for award of the Tender.

(2) In respect of Consortiums that have been established with the objective of participating in the

tender, it is critical that all partners to the consortium should be tax compliant by submitting a

valid tax clearance certificate or tax exemption certificate. Failure by any of the partners to

submit proof of their tax compliance shall result in the disqualification of the response to the

tender invitation submitted by the consortium.

http://www.bpc.bw/

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ANNEXURE A

SCHEDULE 1 - TENDER FORM (if applicable)

To: The Botswana Power Corporation

Tender Committee

Plot 1222

Nkrumah Road

Gaborone

Botswana

1. In this Tender, terms used have the meanings given to them in the Conditions of Tendering, the General

Conditions of Contract, or as otherwise defined in this Tender.

2. The Tenderer:

(a) offers to *2 carry out/supply and deliver or provide services for ............................................ [Insert

title of assignment] to Botswana Power Corporation on the terms and conditions set out in the Request

for Proposal Documents and the Tender Schedules attached to this Tender Form;

*2 delete whichever is not applicable

(b) acknowledges that this Tender is irrevocable until the Validity Date;

(c) undertakes to be bound by and to duly observe and perform the terms and conditions of the Request

for Proposal Documents and, if this Tender is accepted, to enter into a Contract to carry out/supply

and deliver or provide services for .............................................to Botswana Power Corporation as

set out in the Request for Proposal Documents and the Tender Schedules attached to this Tender Form

and

(d) confirms that each of the Tender Schedules listed in the attached Tender Form Schedule Checklist

have been completed and are attached to this Tender Form.

Name of Tenderer(s):

Address:

Phone Number: Fax Number:

Email address:

Contact Person: Phone Number:

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Signature of authorised signatory:

Name and Position of authorised signatory:

Date:

Signature of Witness:

Name of Witness:

Date:

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ANNEXURE F

Request for Proposal (Services)-Template


TENDER No. ...../15

Request for Proposal (Services)

For

(Insert Title of Project in Bold Capital Letters)

Issue Date:............../2015

This document and all the information it contains are confidential. It is the property of the Botswana Power

Corporation whose details are shown below. It must not be disclosed to any third party without the written

consent of the Botswana Power Corporation, Motlakase House, Macheng Way, Light Industrial Sites, Plot

1222, and Gaborone, Botswana. Tel. (267) 360 3000 Fax. (267) 308 674/3953018.

TABLE OF CONTENTS



23. Enquiries

24. Timetable

25. General Requirements


27. Amendments to Request for Proposal

28. Minor Departures


30. Conditions of Tendering

31. Tender Preparation

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32. Tender Copies

33. Tender Content

34. 13 Schedules




38. Delivery by Post


40. Joint Ventures


42. Tender Validity

TERMS OF REFERENCE

4. Background




14. Definitions and Interpretations

15. Request for Proposal Documents

16. Tenderer’s Warranties

17. No Collusion of Commissions

18. Tender to Constitute Offer

19. Acceptance of Tender

20. Execution of Formal Tender Instrument

21. Inconsistencies in Documents

22. Assessment and Selection Criteria

23. Rights of the Botswana Power Corporation

24. Unsuccessful Bidders

25. Appeals


ANNEXURE


Schedule 2 Charge Schedule

Schedule 3 Tenderer’s Structure Schedule

Schedule 4 Conflict of Interest Schedule

Schedule 5 Tenderer’s Technical Proposal Schedule

Schedule 6 Compliance Statement Schedule

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(Title of Tender in Bold Capital Letters)


Invitation to Tender

1.3 The Botswana Power Corporation (BPC) invites the lodgement of Tenders in accordance with this

Request for Proposal for (Title of Tender)

1.4 The Scope of this Request for Proposal is more fully detailed in the Terms of Reference

for this Request for Proposal.

1.5 All tenderers must be prepared in accordance with the instructions specified in these


2.0 Enquiries

All enquiries relating to this Request for Proposal are to be in writing and directed to:

Botswana Power Corporation Officer: (Project Officer’s Name)

Telephone: +267 3......

Cell phone: +267 7........

Facsimile: +267 3..........

Email: [email protected]

3. Timetable

Relevant Dates for this Request for Proposal are:

Invitation to Tender issued: ............/ 2015

Closing Date for Tenders: ........../ 2015

*1Compulsory site visit (if applicable) on ........../2015

*2Closing Time for Tenders on Closing Date: 10:00am (The closing date

should be either on Wednesday or Friday)

Validity Date: 60 days

*1 Indicate specific requirements for the site visit e.g. Protective Clothing/Equipment

*2 Where a dual envelope tendering method (separate submission of technical and financial proposals) the

Request for Proposal should indicate that only names of bidders shall be read out on the tender closing

date.

Bidders shall be required to record on the Register maintained by the Botswana Power Corporation, when

collecting tender documents. Bidders not appearing on the Register shall be disqualified. Bidders who are

unable to physically record on the Register shall be recorded by the Supply Chain Department subject to

availability of documentary evidence of payment for the documents by the subject bidders.


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4. General Requirements (Delete items that are not applicable to the subject tender)

4.1 Tenderers are required to provide profiles of their respective Company, Organisation or Firm along with

trade references, which among other things, outlines the following:

4.1.1 Name of the Company, Organisation or Firm

4.1.2 The Company, Organisation or Firm’s history in the industry

4.1.3 The key shareholders of the Company, Organisation or Firm

4.1.4 The Company, Organisation or Firm’s client portfolio and relevant experience.

4.2 Failure to comply with the requirements at 4.1 may result in the immediate disqualification of the

bid

4.3 The Tenderer’s Proposal should demonstrate their knowledge of the BPC as well as the Assignment

requirement and their understanding of the requisite tasks set forth in the Terms of Reference and the

Scope of Work incorporated therein. Provision of the requested information, in full, must be set forth

in the following sequence:

4.3.1 General approach proposed by the Tenderer for provision of the services including such

detailed information as is deemed relevant;

4.3.2 Work programme including an organisation chart for the Assignment team.

4.3.3 Name, age, nationality, background, employment records and detailed professional

experience of each expert to be assigned for providing the proposed services, with

particular reference to the kind of experience required for the project along with their

proposed role in the project implementation. A copy of the Bio data format is attached as

Schedule 8.

4.3.4 Proposed association arrangement with other Firms (if any).

4.3.5 Clarifications, if any, on the Terms of Reference.

4.4 In order to allow proper evaluation of Tenders, all Schedules contained in this Request for Proposal

should be fully completed and signed where required. Tenders in which the detailed prices and/or

particulars are not fully completed may not be considered.

4.5 All costs relating to the preparation and submission of the Tender are to be borne by the Tenderer. The

BPC will not be responsible for losses, or pay expenses which may be incurred by the Tenderer in the

preparation of their Tender.

4.6 All tenders shall be subject to the Corporation’s General Conditions of Tendering for the purchase of

goods and services, which are attached hereto.

4.7 Tenders are to be marked as follows:

Tender No. ...........

(Insert Title of Tender)

The Company Name should be prominently reflected on the packaging as well as on

each copy of the tender documents

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4.8 Failure to comply with the requirements at 4.7 shall result in the immediate disqualification of

the bid.


5.1 If the Tenderer has any doubt as to the meaning or intent of any of the provisions in this Invitation to

Tender or if a Firm identifies any discrepancies or contradictions they must seek the BPC’s clarification

as soon as possible, whose interpretation shall be final. Such request for advice or decision shall be

referred via signed facsimile correspondence for the attention of the Botswana Power Corporation

Officer whose details are at Paragraph 4, with e-mail correspondence as a back-up to [email protected]

5.2 It is important that any such request is made in sufficient time to enable any interpretation or amendment

to the Request for Proposal to be given without prejudice to the date for receipt of Tenders. Tenderers

are therefore required to submit such Requests for Information at least 10 (ten) calendar days prior to the

Tender return date. The BPC will not entertain any extensions of time which arise from a circumstance

that should have been clarified by the Tenderer in accordance with this requirement before submitting

their Tender.

5.3 The Tenderer calling for any sub-tender(s) shall inform their sub-tenderer(s) that all queries shall be

submitted not to the person designated in Paragraph 5.1 but to the Tenderer who, if not already in

possession of the information, shall themselves obtain the necessary advice or decision in accordance

with the above procedure.

5.4 All responses to requests for information will be distributed by e-mail and by facsimile to all prospective

Tenderers who have purchased or collected the Request for Proposal documents for the subject tender.

6. Amendments to the Request for Proposal

6.1 The BPC has the right at its sole discretion to issue amendments to the Invitation to Tender

documentation at any time during the tender period. Such amendments will as far as possible take due

consideration of the remaining tender period and will be distributed by e-mail and by facsimile to all

prospective Tenderers who have purchased or collected the Request for Proposal documents for the

subject tender.

6.2 No alterations shall be made to the Request for Proposal documentation unless amendments to the

Invitation to Tender are issued by the BPC during the tendering period which will be issued and

numbered as "Amendments to the Invitation to Tender Documentation".

7. Minor Departures

7.1 The Tender shall fully comply with this Request for Proposal. However, it is recognised that minor

departures may be acceptable subject to prior BPC approval.


8.1 The Tenderer shall submit the Schedule of charges per Schedule 2 Schedule of Tariffs or Charges.

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8.2 Withholding tax, or any other taxes, related to this project shall be for the account of the Tenderer.

8.3 Value Added Tax (VAT) that is levied by the Botswana Unified Revenue Services (BURS) shall be for

the account of the Botswana Power Corporation.

9. Tenderer’s Conditions of Tendering and Conditions of Contract

9.1 The tender shall be submitted in accordance with the Conditions of Tendering and Conditions of

Contract specified in this Request for Proposals. Any subsequent contracts will be drawn in accordance

with the Laws of the Republic of Botswana and based on this documentation.

10. Tender preparation

10.1 All Tenders must be prepared in accordance with the instructions specified in these Request for Proposal

documents.

11. Tender copies

11.1 The Tenderer shall submit (insert number of required copies) completed copies of the Tender proposals,

in one sealed envelope, which shall be marked clearly with the title and number of the tender, and a

covering letter. Tenderers that are not compliant shall not be considered.

12. Tender content

12.1 The Tender and supporting documentation shall be submitted in the English language.

12.2 Should there be any discrepancies between entries in the copy marked “Original” and those marked

“Copy” the entries contained in the “Original” copy shall prevail.

12.3 Tenders and accompanying documents shall be completed as indicated together with the necessary

copies and shall be enclosed in a sealed cover marked as follows:

Confidential

For the attention of The Chief Executive Officer

(Insert BPC Tender No. and Title of Project in Bold Capital Letters)



PO. Box 48

Plot No. 1222,

Nkrumah Road


Gaborone

Botswana

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12.4 Failure to comply with the requirements at 123 shall result in the immediate disqualification

of the bid

13 Schedules

13.1 All tenders must comprise the following (in order):

(Only Schedules that are relevant to the subject tender should be included) This statement should

not be reflected in the copy that is to be handed to prospective bidders


Schedule 2 Charge Schedule



Schedule 5 Tenderer’s Technical Proposal Schedule



14.1 Tenders, no matter how submitted MUST BE RECEIVED to the Botswana Power Corporation

before the Closing Time on the Closing Date shown in Paragraph 3 of this Request for Proposals.

The Tenderer is advised that incomplete or late information will not be considered.

14.2 Any company that decides not to submit a tender, after collecting and studying the tender

documentation, is requested to communicate the reasons for withdrawal.

14.3 Prior to opening of envelopes, tender responses shall be reconciled against the register of all received

bids that shall be maintained by the Botswana Power Corporation. Any bids that have not been

registered shall not form part of the tenders that are to be opened.

15. Delivery and packaging

15.1 Tenders must be clearly marked with the name of the Tenderer appearing on each page of the tender.

The Tender must be enclosed in sealed envelopes bearing:

c) The name of the Tenderer;

d) The Botswana Power Corporation Tender Number;

e) The name or description of the services being tendered for; and

f) The Closing Date for the Tender.

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of the bid

16. Delivery of Tenders

16.1 Tenders must be placed in the Tender Box located at:


Supply Chain (Procurement) Office

Plot 1222

Nkrumah Road


Gaborone

16.2 Tenders submitted by other means will not be considered by the Botswana Power Corporation.

17. Delivery by post

17.1 Tenders delivered by courier post MUST be received in the Tender Box by the Closing Time on the

Closing Date. The Botswana Power Corporation shall not be responsible for delays by couriers to

deposit tenders in the designated tender box.


18.1 The BPC does not bind itself to accept the lowest, or any, Tender.

18.2 BPC reserves the right to accept/award the tender in full or in part at its sole discretion.

18.3 Unsuccessful tenders will not be returned by BPC.

19. Joint Ventures etc.

19.1 Tenders submitted by a joint venture of two or more companies as partners shall comply with the

following requirements:

19.2 The Tender shall be signed so as to be legally binding on all partners,

19.3 One of the partners shall be authorised to act as Leader and this authorisation shall be evidenced by

submitting a power of attorney signed by legally authorised signatories of all the partners,

19.4 By this power of attorney, the Leader shall be authorised to incur liabilities and receive instructions

for and on behalf of any and all partners of the joint venture. The partners shall be considered bound

by all things done by the Leader and the BPC and/or his authorised representative need not deal with

any other persons in this respect.

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19.5 All partners of the joint venture shall be liable jointly and severally for the performance of the

Contract in accordance with the Contract terms, and a statement to this effect shall be included in

the authorisation mentioned under Paragraph 17.3 above.

19.6 An original and three copies of the agreement entered into among the joint venture partners shall be

submitted along with the Tender


20.1 Assessment and evaluation of Tenders will be based on the criteria set out in the Terms of Reference

Document.

21. Tender Validity

21.1 The Tender validity shall be 60 calendar days from the tender opening date. In the event that the

BPC wishes to extend the validity period, the BPC shall request such extension from the Tenderer

in writing prior to the expiration of the original tender validity period.

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TERMS OF REFERENCE

For

(Insert Title of Project)

TERMS OF REFERENCE

(With the exception of the Background all other sections should be included only if they are applicable to

the subject tender)

Background

This section provides background information on BPC for appreciation by prospective Tenderers.

Below is an example of the Background information:

6.1. BACKGROUND (INFORMATION BELOW IS AN EXAMPLE. THE BACKGROUND SHOULD REFLECT ON

THE PROJECT OR SERVICES BEING PROCURED)

The Botswana Power Corporation (BPC) is a Government owned National Electricity Utility

which was formed in 1970 by an Act of Parliament. In its 43 years in existence the BPC developed

from a small oil-fired power station in Gaborone, (which was commissioned in 1970 and

dismantled in 1989) to more efficient thermal power stations in Selibe-Phikwe and Morupule

using locally mined coal. The Selibe-Phikwe power station was decommissioned in 1995 leaving

in operation only the more technologically advanced Morupule Power Station, which is adjacent

to the colliery. The Morupule Power Station provides approximately 30% of the country's power

requirements while the remainder is imported mostly from the SAPP and in particular Eskom in

South Africa

6.2. CORPORATION’S MANDATE

The legal mandate of the Corporation as defined in Part V of the Act, in particular section 13

thereof, is primarily the “generation, transmission, supply and distribution” of electricity.

Botswana Power Corporation is constrained by statute and may only do what it is mandated to

do in terms of its founding legislation i.e. the BPC Act, read with other legislation that applies to

it, e.g. the Electricity Supply Act [CAP 73:01]. The Corporation’s mandate is the generation,

transmission, distribution and supply of electricity to domestic, commercial and industrial

customers in Botswana

6.3. THE CORPORATION’S MISSION STATEMENT

“To provide efficient, reliable, safe and environmentally sensitive electricity services that are

commercially viable and sustainable’’

6.4. THE CORPORATION’S VISION

“A Leading Power Utility in the Region by 2018”

6.5. THE CORPORATION’S VALUES

The Corporation’s aspired value set is:

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Business Excellence

Service Excellence

Personal Growth

Ethical Business Conduct (including Botho)

Valued Citizen

6.6. THE CORPORATION’S BUSINESS MODEL

6.6.1. The Corporation is currently structured into Strategic Business Units and Corporate Support

Units

6.6.2. A Strategic Business Unit is a ring-fenced profit centre and has its own business plan, has a

clear set of performance targets, has its own set of financial reports; forms part of the

Corporation’s transfer pricing value chain, has management and staff specifically dedicated

to the operation of the unit and has its own internal governance and reporting structures. The

Director of a Strategic Business Unit has a significant amount of autonomy in contracting both

internally within the Corporation and with external parties. The Corporation’s Strategic

Business Units are:

6.6.2.1. Generation

6.6.2.2. Transmission

6.6.2.3. Customer Service and Supply

6.6.2.4. Rural

6.6.2.5. Corporate Services

6.6.3. Corporate Support Units are ring-fenced cost centres responsible for centralised processes in

support of Strategic Business Units and other Support Units. They have their own budgets, but

their Managers do not have the same authority as Strategic Business Unit Directors. The

Corporation’s Corporate Support Units are:

6.6.3.1. Corporate Finance

6.6.3.2. Corporate Human Resources

6.6.3.3. Office of Strategy and Transformation

6.6.3.4. Internal Audit

6.6.3.5. Corporate Counsel

6.6.4. A Strategic Projects Department has been established in the Office of the Chief Executive

Officer to project manage the Morupule Power Station Expansion Programme

6.7. GOVERNANCE

Botswana Power Corporation is a corporate body capable of suing and being sued in its own

name. The accountability for the actions the Utility undertakes is vested in the Corporation Board

of Directors (Board Members)

The Corporation is governed in terms of a three tier governance model, being Tier 1 the Board,

Tier 2 the Executive Committee and Tier 3 the Business Unit Management Teams

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6.8. TRANSFER PRICING/INTERNAL PRICING

Internal revenue flows are managed by means of transfer pricing and internal pricing

mechanisms, where transfer pricing covers the pricing of electricity through the value chain and

internal pricing is used for pricing of services from Corporate Support Units.

6.9. GEOGRAPHIC FOOTPRINT OF OPERATIONS

Electricity distribution covers the full geographic area of Botswana.

Objective

(The project objectives should be detailed in this section)

Scope of Services

(This section should outline the tasks that Tenderers shall be required to undertake in order to

meet the project objectives. This should amongst others include any reviews, studies, assessments,

financial and economic analysis, capital costs and financial planning to be conducted as well as

reports that will be produced.).

Skills Transfer

(This section should require Tenderers to outline or demonstrate how they will impart skills to

citizens or local firms).

Expenses

The Botswana Power Corporation shall not be responsible for or accept any cost involving the

preparation and submission of bids. All such costs will be for the account of the Tenderer.

Costs resulting from a misinterpretation of the Request for Proposals Document shall be borne by

the bidder and shall not constitute grounds for the successful bidder to lodge claims for additional

compensation after the award.

5 Duties and Responsibilities of BPC

The BPC shall be responsible for providing information and assistance where reasonably possible

to the Tenderers.

Key Professional Staff Qualifications and Competence for the Project

(This section should inform the Tenderers of the qualifications and experience requirements for

key professional staff. This allows all Tenderers to appreciate the actual requirements of the

tender.

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An example of the required information is reflected below)

Position Qualifications Relevant Experience (years)

Team Leader Minimum relevant degree 20 years experience in power

system environment projects with

focus on feasibility studies

O & M Engineer(s) Minimum electrical or mechanical

engineering degree

15 years in operation &

maintenance of power block and

energy block

Mechanical Plant Engineer(s) Minimum mechanical engineering

degree

15 years in design of power plant

structures

Civil Engineer(s) Minimum civil or mechanical

engineering degree

15 years in design of power plant

(steel infrastructure), and

geotechnical engineering

Electrical Engineer(s) Minimum electrical engineering

degree

15 years experience in design and

operation of turbines,

transformers and generators

Water Resources Specialist(s) Minimum geology/hydrology or

other relevant degree

15 years in water resources

including ground and surface

water abstraction

Environmental Specialist(s) Minimum natural resources/

environmental science or other

relevant degree

15 years in Environmental and

Social Impact Assessments in the

energy sector

Control and Instrument

Engineer(s)

Minimum electrical or electronics

engineering degree

15 years experience in control of

power block and energy block

systems

Economist(s) Minimum bachelors of arts degree 15 years in financial and

economic modelling in energy

sector

S C H E D U L E S ( R E F E R A N N E X U R E A )

EVALUATION OF TENDERS

6 10.1 Evaluation Process

10.1 The following tender evaluation method shall be applied

(Business Units shall select any of the following tender evaluation methods and the chosen method

should be the one reflected on these Terms of Reference)

10.1.1 Evaluation by quality and cost based selection

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(5) Quality and cost based selection means an evaluation methodology that takes into account

both the quality and the cost of the bids in a process under which the technical bids are

evaluated without access to financial bids.

(6) The quality and cost based selection method shall be conducted as follows;

(a) Both the quality and the cost of bids shall be taken into account in a process under

which technical bids are evaluated without access to financial bids: and

(b) The relative weight to be given to the quality and cost components of the evaluation

shall depend on the nature of the assignment and shall be stated in the Request for

Proposal. The preferred weighting shall be Technical Score 80%, Financial Score

20% with a minimum weighted technical score of 70%.

(7) A bid submitted under the quality and cost based selection evaluation method shall be

submitted under the dual envelope submission method and evaluated to determine the:

(a) Quality with regard to the technical bid, in accordance with-

(iv) An evaluation against set criteria on a merit point system to determine

the total technical score for the technical bid received, and

(v) The total scores determined compared to the minimum technical score;

(b) The total weighted cost score, with regard to a financial bid, where the bidder reached

the minimum technical score; and

(c) The bidder who obtained the highest total combined technical and financial score,

who shall be recommended for award of the contract.

10.1.2 Evaluation by quality based selection

(1) The Quality based selection means an evaluation method that uses quality as the primary

factor in a process under which technical bids are evaluated without access to financial

bids and a financial evaluation is undertaken only for the best technical bid which is within

the budget.

(2) Under the quality based selection evaluation method the evaluation of-

(d) A technical bid shall be conducted against set criteria on a merit point system to

determine the best technical bid without access to financial bids;

(e) The quality of a bid shall be the primary factor to be considered; and

(f) Cost shall apply only to the best technical bid which is within the budget.

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10.1.3. Evaluation by fixed budget selection

(5) The Fixed budget selection means an evaluation method that recommends the bidder with

the best technical bid which is within the budget.

(6) Under the fixed budget selection evaluation method, the Business Unit shall indicate its

available budget, and evaluation shall be considered as follows-

(c) A bidder shall be required to provide, within the stated budget, the best possible

technical and financial bids, in separate envelopes; and

(d) The bidder with the evaluated technical bid of the highest quality, which is within the

stated budget, shall be recommended to be awarded the contract

(7) The schedule of requirements (otherwise referred to in the Request for Proposal as the

Terms of Reference) prepared by the Business Unit, shall contain all the necessary detail

to portray the sufficiency of the budget for the performance, by a bidder, of the expected

tasks as shall be contained in the contract.


a) Submission of Valid Tax Clearance Certificate or Tax Exemption Certificate obtainable from

the Botswana Unified Revenue Services (BURS) (Applicable to all bidders as follows:

i) Local bidders Tax Clearance Certificate only

ii) Foreign bidders Tax Exemption Certificate.







Private Bag 0013

Gaborone

Telephone: (267) 363 8000

Fax: (267) 363 9999

E-mail: burs.org.bw

b) Submission of Trading Licence or authorisation to trade in services that are being procured

under this tender (Applicable to foreign and local bidders).

c) Submission of Shareholders Certificate

d) Proof of Attendance of compulsory site visit (if applicable).

e) Proof of Accreditation to a body that regulates the provision of goods or services that are

being procured under this tender (if applicable).

f) Proof of purchase of tender documents (if applicable).


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Salient Point

Non submission (b) (d) and (e) shall result in immediate disqualification of the tender. BPC

reserves the right to seek clarity where (c) has not been submitted,

Bidders who have not included tax clearance or exemption certificates in their response to

tender documents, shall not be disqualified at the compliance stage of the tender evaluation.

Such bidders shall then be required to produce the Certificates in the event that the outcome

of the tender evaluation considers them to be the most technically and commercially

competitive.


The Request for Proposal shall detail the tender evaluation method that has been chosen at

10.1 of these Terms of Reference and indicate the evaluation components (including allotted

scores) to be applied.

An example of the Technical Evaluation Criteria and scores is as follows.

(NB: This may be varied depending on the technicality of the services being procured)

CRITERIA Total

Possible

1 Overall depth of the experience in terms of years of service and competency of

the firm in undertaking projects of comparable size, complexity and technical

speciality in large organizations

15

2 Overall depth of experience in terms of years of service and competency of the

key Professional Team assigned to BPC

15

3 Clear understanding of the Scope of Terms of Reference 10

4 Methodology to be adopted in executing the mandate during the period i.e.

quality management systems including project management, systems

assurance, integrated support and quality assurance

15

5 Proposed approach to new developments in terms of conducting the Human

Resource Utilization Audit as well as change in client business conditions

15

6 Ability to meet the overall timeframe outlines in the request documents 10


NB: Tenderers are required to provide proof of eligibility to procurement preference initiatives such

as:

a) Economic Diversification Drive (EDD).

b) Citizen Economic Empowerment (CEE) and

c) Local procurement Scheme (LPS)

The applicable preference initiative shall be applied at the Financial Evaluation Stage (This should

not form part of the Compliance to Tender Requirements or Technical Evaluation criteria)

Where scores were awarded at the technical stage of the evaluation, the following formula will be

used to determine the financial scores:

Financial Score (Sf) = Lowest Price/ Bidder’s Price X 20%, where 20 is the financial weighting

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STAGE 4: RECOMMENDATION FOR TENDER AWARD

(This will be dependent on the tender evaluation method chosen at 10.1 of these Terms of

Reference)

CHECK LIST

All tenders must comprise the following (as applicable to the tender being floated): The check

list is to be enclosed with the bid documents.

Certificate of

Incorporation

Tax Clearance

Certificate

Shareholders

Certificate

Trading Licence

Proof of Attendance

of Site Visit

Proof of

Accreditation

EDD Certificate (if

applicable)

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These conditions of tendering apply to all Requests for Proposal (RfP) issued by the Botswana Power

Corporation. They should be read in conjunction with all other Request for Proposal documents. All

tenderers are bound by these conditions of tendering and they should be read carefully.

DEFINITIONS AND INTERPRETATIONS

1.1 Defined terms

1.1.1 Unless otherwise defined in these Conditions of Tendering, defined terms used in the

Request for Proposal documents have the meaning given to them in the Conditions of

Contract and/or the Specifications. In the event of inconsistency in meaning between

defined terms in different documents, a defined term will have the meaning given to that

term in the relevant document.

1.2 Definitions

1.2.1 Unless the contrary intention appears the following words used in the Request for Proposal

Documents have the following meanings:

“Acceptance Date” means the date of service of the Notice of Acceptance.

“Business Day” means a day which is not a Saturday, Sunday or Public Holiday in the Republic of

Botswana.

“Closing Date” means the date identified in the Request for Proposal Documents as the date of closing

of the Request for Proposal or such other date as is determined by The Botswana Power

Corporation and notified to Tenderers as an addenda to the Request for Proposal

Documents.

“Closing Time” means the time specified in the Request for Proposal Documents as the closing time

on the Closing Date for the lodgement of Tenders, or if no time is specified, 10.00 hours

on the Closing Date.

“Conditions of Contract” means the General Conditions of Contract per the Conditions of Contract

document as well as the Special Conditions of Contract specific to this tender, if any

Special Conditions are included.

“Conditions of Tendering” means the terms and conditions of tendering as set out in this document and

includes the Instructions to Tenderers.

“Contract” means the contract evidenced by:

a) The Letter of Acceptance of Offer or Formal Instrument of Agreement duly executed

by The Botswana Power Corporation;

b) the Request for Proposal Documents;

c) the Tender;

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d) any other documents evidencing modifications to the Request for Proposal Documents;

and

e) Any other documents evidencing negotiated matters agreed between The Botswana

Power Corporation and the Successful Tenderer.

“Formal Instrument of Agreement” means the duly executed instrument of agreement that constitutes

the Contract in relation to the Successful Tenderer’s written offer to supply

and deliver goods or perform services in response to this Request for

Proposals.

“General Conditions” means the general terms and conditions of contract, to be applicable to the


for Proposal Documents, including the Conditions of Contract.

“Instructions to Tenderers” means the Request for Proposals and the Instructions to Tenderers set out

in these Request for Proposal Documents.

“Letter of Acceptance of Offer” means the notice sent by the Botswana Power Corporation to the

Successful Tenderer giving details of the agreed terms of the acceptance and

other relevant information in relation to the Successful Tenderer’s written

offer to supply and deliver goods or perform services.

“Notice of Acceptance” means the notice to the Successful Tenderer comprising either a Letter of

Acceptance of Offer or a Formal Instrument of Agreement duly executed by

The Botswana Power Corporation.

“Request for Proposals” means the request for tenders constituted by the Request for Proposal

Documents.

“Request for Proposal Documents” means the documents comprising this Request for Proposals and

includes the Instructions to Tenderers, the Conditions of Tendering, the

Terms of Reference, the Conditions of Contract, the Tender Form and Tender

Schedules and any addenda issued by The Botswana Power Corporation.

“Special Conditions” means the special terms and conditions of contract, if any, applicable to the

Contract to be awarded to the Successful Tenderer, as set out in the Request for

Proposal Documents.

“Specifications” means the Terms of Reference per the Invitation to Tender Document which describes

the Services to be provided by the Contractor and any variations thereof made

pursuant to Condition 10.of the Conditions of Contract

“Successful Tenderer” means the Tenderer in receipt of a Notice of Acceptance.

“Tender” means the documents to be lodged by a Tenderer in response to the Request for Tenders

constituted by these Request for Proposal Documents.

“Tender Form” means the tender form forming part of the Request for Proposal Documents, which is

required to be completed and returned as part of the Tender.

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“Tender Schedules” means the schedules included with the Tender Form and required to be completed

and submitted by each Tenderer in accordance with these Conditions of Tendering

or, as the context requires, the Tender Schedules completed by the Tenderer and

lodged as part of their Tender.

“Tenderer” means a person lodging a Tender pursuant to the Request for Proposals.

“Validity Date” means the date specified in the Request for Proposals and Instructions to Tenderers to

which Tenders must remain valid and capable of acceptance; or if no date is specified,

the date which is sixty days from the Closing Date.

1.3 Interpretation

1.3.1 Unless expressed to the contrary words importing:

j) the singular include the plural and vice versa;

iii) any gender includes the other gender;

if a word or phrase is defined cognate words and phrases have corresponding definitions;

1.4 A reference to:

viii) a person includes a firm, unincorporated association, corporation and a

government or statutory body or authority;

ix) a person includes its legal personal representatives, successors and assigns;

x) a statute, ordinance, code or other law includes regulations and other statutory

instruments under it and consolidations, amendments, re-enactments or

replacements of any of them;

xi) a right includes a benefit, remedy, discretion, authority or power;

xii) an obligation includes a warranty or representation and a reference to a failure to

observe or perform an obligation includes a breach of warranty or representation;

1.5 Provisions or terms of this document or another document, agreement, understanding or

arrangement include a reference to both express and implied provisions and terms;

1.6 Time is to local time in Republic of Botswana;

1.7 Writing includes any mode of representing or reproducing words in tangible and permanently

visible form, and includes facsimile transmissions; and

1.8 Anything (including, without limitation, any amount) is a reference to the whole or any part of it

and a reference to a group of things or persons is a reference to any one or more of them;

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1.9 A reference to this document includes all schedules, annexure and appendices referred to in it.

1.10 Headings do not affect the interpretation of this document.

2. REQUEST FOR PROPOSAL (RfP) DOCUMENTS

2.1 Discrepancies in Tender Documents

Should the Tenderer find any discrepancy, error or omission in any of the Tender Documents,

it should notify the Botswana Power Corporation in writing as soon as possible.

2.2 No obligation to notify discrepancy

The Botswana Power Corporation is under no obligation to notify Tenderers of any

discrepancy, error or omission in the Request for Proposal documents discovered by or notified

to The Botswana Power Corporation before or after the Closing Date.

2.3 Right to amend Tender Documents

The Botswana Power Corporation may amend the Tender Documents (including the date or

time for closing of the Tender) at any time by written addendum issued in identical form to each

Tenderer. Any addendum issued will become part of the Request for Proposal documents.

2.4 Addenda

No explanation, elaboration of, or amendment to the Request for Proposal documents will be

effective unless it is in the form of a written addendum issued by the Botswana Power

Corporation nominated contact Officer stated under Paragraph 2 of this Request for Proposal.

3. TENDERER’S WARRANTIES

3.1 By lodging a Tender, a Tenderer represents and warrants to The Botswana Power Corporation that,

as at the date of the Tender:

xi) There is no legal or other impediment to the Tenderer entering into an Agreement with the

Botswana Power Corporation and meeting the terms and conditions of such Agreement.

xii) All information and records to be supplied by the Tenderer in relation to its Tender are and

will be true and accurate in all material respects;

xiii) The Tenderer is a solvent legal entity and is under no form of insolvency, administration or

legal disability to contract of any kind;

xiv) The Tenderer has no conflict of interest or anticipated conflict of interest in entering into the

Contract and doing all things required of it under the Contract which has not otherwise been

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disclosed in writing to The Botswana Power Corporation prior to or at the time of lodging its

Tender;

xv) The Tenderer has after diligent inquiry and investigation fully disclosed to The Botswana

Power Corporation in its Tender all information (within its knowledge or which should have

been within its knowledge) which could reasonably be regarded as affecting in any way the

decision of The Botswana Power Corporation to accept or reject the Tenderer’s response to

the tender invitation;

xvi) All authorisations, registrations, consents, approvals, licences or permits required by any

governmental body or under any government legislation or regulations which are or will be

required in connection with the execution and delivery of, performance of obligations under

or validity or enforceability of the Tenderer’s offer if accepted, have been or will be obtained

or effected and are or will be in force and effect;

xvii) No litigation, arbitration or administrative proceeding is presently taking place, pending, or to

the knowledge of the Tenderer threatened against the Tenderer which could have an adverse

effect on the business, assets or financial condition of the Tenderer;

xviii) The Tenderer will immediately notify The Botswana Power Corporation of the occurrence of

any event which may constitute a breach of any of the representations, warranties or covenants

made in connection with the Tender, including, without limitation any event which may result

in material adverse change in the business of the Tenderer;

xix) All accounts, balance sheets and other accounting and financial information furnished or to be

furnished to the Botswana Power Corporation are true and correct in every material particular,

as at the date to which they respectively relate and are not misleading or deceptive in any

respect; and

xx) The Tenderer is not aware of any act, matter or thing or circumstance by reason of which the

Tenderer will not be able to perform any obligations arising out of the Contract.

3.2If at, or at any time after the date on which it lodges its Tender, the Botswana Power Corporation

requests, or it is necessary to obtain, any authorisations, registrations, consents, approval,

licences, permits or independent legal or financial opinions on which the Botswana Power

Corporation can rely, the Tenderer will obtain same.

3.3 The Tenderer agrees that the representations, warranties and undertakings set out above are

continuing and are deemed to be repeated on the date on which an Agreement is entered into

by the Botswana Power Corporation and the Tenderer.

4. NO COLLUSION OR COMMISSIONS

4.1 No agreements

Tenderers must not enter into any agreement, arrangement or understanding with any other Tenderer

or any other party which relates to practices such as collusion in tendering, inflation of tender prices,

compensation if unsuccessful, Tenderers’ costs or commissions or any other such matters. Evidence

of collusive tendering will result in the disqualification of the Tender. Tenderers involved in such

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practices may be suspended or delisted from tendering for future contracts with the Botswana Power

Corporation.

The procedure for delisting and suspension of contractors has been posted in the BPC Website

www.bpc.bw .

4.2 Bid Rigging

Tenderers should note that in terms of Section 25 (c) of the Competition Act, two or more companies

which are owned by the same individual(s) shall not be used to bid for the same product within the

same tender, since this amounts to bid rigging. However, Competition Law allows for the companies

to bid for different products in the same tender.

4.3 Warranty by Tenderer as to collusion/commission

By lodging a Tender, a Tenderer warrants to The Botswana Power Corporation that it has not

included in its Tender and shall not be or become entitled to receive any payment from or be or

become obliged to make any payment to any other Tenderer or any trade industry or professional

organisation or any other third party or person in respect of the lodgement of or outcome of the

submission of, its Tender.

4.4 No commissions payable by The Botswana Power Corporation

The Botswana Power Corporation will not be liable to pay any commission or brokerage to any

agent or broker responsible for introducing any Successful Tenderer to The Botswana Power

Corporation. Any such agent involved in any Tender is agreed to be the agent of the Successful

Tenderer and not the Botswana Power Corporation.

5. TENDER TO CONSTITUTE OFFER

5.1 Irrevocable offer

Any Tender lodged will constitute an irrevocable offer by the Tenderer. The Tenderer agrees that

the contents of its Tender (subject to any post tender alterations agreed in writing by the Botswana

Power Corporation) will form a binding description of the offer by the Tenderer.

5.2 Time limit

Each Tender lodged with The Botswana Power Corporation remains open and shall be capable of

acceptance until the Validity Date.

5.3 No revocation, withdrawal or variation

Except with the prior written consent of The Botswana Power Corporation, a Tenderer may not

withdraw or revoke its Tender before the Validity Date but may withdraw its Tender after the

Validity Date provided the Tender has not been accepted by The Botswana Power Corporation.

5.4 Compensation

http://www.bpc.bw/

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The Botswana Power Corporation may seek compensation for the withdrawal of a Tender prior to

the expiry of the Validity Date. Compensation will be the cost involved in the evaluation of the

Tender until the date of notification of withdrawal and any subsequent evaluation of other Tenders

caused by the withdrawal.

5.5 Exclusion of variations etc.

No purported variation, alteration or amendment to or of the Request for Proposal Documents by a

Tenderer shall bind the Botswana Power Corporation, provided always that the Botswana Power

Corporation may in its absolute discretion accept any form of Tender.

6. ACCEPTANCE OF TENDER

6.1 Time of acceptance and manner

A Tender shall not be deemed to be accepted unless and until The Botswana Power Corporation

serves the Tenderer with a Notice of Acceptance.

6.2 Service

The Notice of Acceptance may be delivered to the address for service of the Successful Tenderer

nominated in its Tender, or sent by prepaid post to such address.

6.3 Date of service

6.3.1 The date of service of the Notice of Acceptance will be:

i) Where the Notice of Acceptance is served personally on the Successful Tenderer or left at

the address for service of the Tenderer specified in its Tender, the date upon which the Notice

of Acceptance is handed to the Tenderer or left at the address for service of such Tenderer,

as the case may be; or

ii) Where the Notice of Acceptance is sent by prepaid post to the Successful Tenderer, the date

of posting of the Notice of Acceptance.

6.4 Qualifications to acceptance

The Botswana Power Corporation is entitled to accept any Tender on a qualified basis (including,

without limitation, that acceptance is subject to resolution of identified issues and items).

6.5 Parties bound

Upon acceptance of a Tender by the Botswana Power Corporation (by service of a Notice of

Acceptance, and whether as originally submitted or as varied following negotiations after

submission of the Tender), the Successful Tenderer is bound by the Contract.

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7. EXECUTION OF FORMAL INSTRUMENT OF AGREEMENT

7.1 Formal Instrument of Agreement

If a Formal Instrument of Agreement is sent to the Successful Tenderer then the Successful Tenderer

must execute the Formal Instrument of Agreement and deliver it to the Botswana Power Corporation

within 14 days of the date of the Notice of Acceptance. If the Successful Tenderer is unable to

comply with this time period, then the Successful Tenderer is bound to supply the Goods to, or

perform the Services for, the Botswana Power Corporation pursuant to the Agreement as if it had

been executed by both parties on the Acceptance Date.

8. INCONSISTENCIES IN DOCUMENTS

8.1 Inconsistencies in the Agreement

If there are any inconsistencies between any of the documents forming the Contract they will prevail

one against the others to the extent of such inconsistencies in the following order and priority:

i) First: any negotiated matters;

ii) Second: any documents evidencing modifications to the Request for Proposal Documents;

iii) Third: the Request for Proposal Documents; and

iv) Fourth: the Tender.

8.2 Inconsistencies in Request for Proposal Documents

8.2.1 In the event of an inconsistency between the documents in the Request for Proposal

Documents they will prevail one against the others to the extent of such inconsistency in

the following order and priority:

i) First: any Addenda to the Request for Proposal Documents;

ii) Second: the Specifications;

iii) Third: the Conditions of Tendering;

iv) Fourth: the Special Conditions of Contract;

v) Fifth: the General Conditions of Contract;

vi) Sixth: the Tender Form and Tender Schedules; and

vii) Seventh: the Instructions to Tenderers.

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9. ASSESSMENT AND SELECTION CRITERIA

9.1 Tender Evaluation and Award Process

The following factors will form the basis of the selection criteria used in the evaluation process.

Tenderers should note that the criteria listed below are not in any particular order, are not necessarily

exhaustive and do not imply any relative weighting. Many factors will contribute to the assessment,

and the information supplied in response to the various sections of this document will contribute to

the assessment against each criterion.

9.2 The BPC may call on the assistance of an Independent Consultant in carrying out its evaluation.

All information declared by the Tenderer will be adopted in the Tender evaluation and the tender

will be awarded to the Tenderer whose submission offers the best quality and most technically

competent service whilst paying due attention to economy and efficiency and will be assessed

against

i) BPC’s satisfaction that the Technical Proposal is compliant with the Terms of Reference and

the Conditions of Contract. This will include the quality and suitability of the approach and

methodology, technical competence and experience of personnel and previous relevant

experience of similar work.

ii) The Financial Proposal will be used to assess the Tenderer’s commercial efficiency, extent

of resources proposed, programme duration and ultimate tariffs and charges.

iii) Following receipt and opening of Tenders the selection process will comprise:

a) Opening and ranking of all Tender Proposals;

b) Limited high level clarification may be sought from Tenderers

c) The Tenderers may be invited to make further oral presentations.

d) Final evaluation and selection of the Preferred Bidder based on the Tender Proposals

submitted and other information contained in the response to the Invitation to Tender.

e) The final adjudication/evaluation report, along with the resultant recommendation, is

then submitted first to the Executive Procurement and Tender Committee and finally,

where required by the Tender regulations, to the Board Procurement and Tender

Committee for approval before the successful bidder is invited to negotiate the contract.

f) For the purpose of valuation of these tender, all foreign currencies will be translated to

Botswana Pula at the spot bank selling rate ruling on the tender opening date as quoted

by the Bank of Botswana. Any other foreign currency rates used by the tenderer in the

tender submission will not be considered.

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9.2 Primary Qualification Criteria

a) Experience in successful Equipment Procurement and Construction plus ongoing operation

and maintenance of this type of power plant.

b) Experience and capacity to undertake this particular Project.

c) The effective all charge required to make the project successful, which charge will be paid

by the Tenderer.

d) Own resources and other referrals available to the tenderer.

e) Capacity to meet the likely financial and contractual obligations for full completion of this

project as well as the future operation and maintenance for the term of the power supply

contract.

f) Demonstrated understanding of the Botswana Power Corporation’s Requirements.

9.7 Technical, operations, financial and legal criteria

9.7.1 Ability to meet specified objectives of the Project.

9.7.2 Compliance with the various Republic of Botswana regulations and codes or practice.

9.7.3 Proposed approach towards the Project, including any hardware, software development,

design, testing, installation, integration and migration processes.

9.7.4 Demonstrated quality management systems including project management, systems

assurance, integrated support and quality assurance.

9.7.5 Demonstrated management and functional processes for all facets of contract delivery.

9.7.6 Viability and likely risk to be transferred to the Botswana Power Corporation.

9.7.7 Overall cost to the Botswana Power Corporation.

9.7.8 Ability to meet the overall timeframe outlines in the request documents.

9.7.9 Compliance with the Contract terms and conditions.

9.8 Selection of Successful Tenderer

Following assessment of the proposals, the Botswana Power Corporation may select one or more

Successful Tenderers whose proposals are considered to best meet the assessment criteria, and, after

any clarifications or negotiations required, may proceed to execute Contracts with one or more of

them.

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9.9 The Botswana Power Corporation’s discretion

The Botswana Power Corporation may use such method of determination or selection process as it

deems appropriate in its absolute discretion. In particular, without limitation the Botswana Power

Corporation is under no obligation to accept the lowest price in respect of any Tender, or any Tender.

g) RIGHTS OF THE BOTSWANA POWER CORPORATION

10.1 Right to cancel/revoke a Request for Proposal

The Botswana Power Corporation reserves the right at any time, whether before or after the Closing

Date, to cancel or revoke its Request for Proposal and in that event no prospective Tenderer has any

right to claim or demand against The Botswana Power Corporation.

10.2 Separate Tenders

The Botswana Power Corporation reserves the right to accept a separate Tender or separate Tenders

for any one or more separable parts of the goods or services which are the subject of the Request for

Proposal. The Botswana Power Corporation may also accept all or any part of a Tender subject to

satisfaction of stipulated conditions to which the Tenderer may be asked to agree.

10.3 Right to negotiate

The Botswana Power Corporation reserves the right to negotiate with Tenderers after the Closing

Date and completion of the tender evaluation and adjudication. The Botswana Power Corporation

may negotiate with Tenderers to vary their Tenders on any grounds relevant to The Botswana Power

Corporation obtaining the best commercial and technical result from the Request for Proposal. The

Botswana Power Corporation may withdraw from such negotiations at any time and commence

negotiations with any other Tenderer without any obligation to invite proposals, tenders, offers or

submissions from any other Tenderer in respect of the terms which are the subject of such

negotiation or variation.

10.4 Request for further information

The Botswana Power Corporation may request any Tenderer to supply further information if the

particulars supplied by the Tenderer in the Tender Form and the Tender Schedules are insufficient

to enable The Botswana Power Corporation to evaluate the Tender to its satisfaction. Tenderers

must supply any further information requested by The Botswana Power Corporation within 5 days

or as otherwise agreed with the Botswana Power Corporation Officer after receipt of a written

request for that information. The Botswana Power Corporation may also request the Tenderer to

attend an interview. Any information supplied by the Tenderer in response to a request for further

information or at an interview will, if so required by The Botswana Power Corporation, be deemed

to form part of the Tenderer’s Tender.

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10.5 The Botswana Power Corporation’s right to correspond

The Botswana Power Corporation reserves the right to discuss, or correspond in respect of; any

matter pertaining to a Tender with any relevant person or company or to request clarification of any

matter from any relevant person or company at any time.

10.6 Right to alter terms and conditions

The Botswana Power Corporation may negotiate with any Tenderer and may alter or accept

alterations to any of the terms and conditions of a Contract to be entered into by The Botswana

Power Corporation with a Tenderer at any time, without, in its absolute discretion, notice to any

other Tenderer.

h) UNSUCCESSFUL BIDDERS

11.3 Debriefing

In the interest of transparency and openness each participating bidder may, after contract award

(acceptance of contract terms by both parties) be debriefed (on request) of the results of their bid.

The debriefing shall cover the evaluation process particularly scores allocated as per the evaluation

criteria. The information that will be released by BPC shall only pertain to the requesting bidder’s

tender.

11.4 No redress

Any person lodging a Tender which is unsuccessful is not entitled to any redress against the

Botswana Power Corporation, and the Botswana Power Corporation’s decision in relation to the

Request for Proposal will be final and (subject to legal rights which cannot be excluded, released or

modified) no unsuccessful Tenderer has any redress against the Botswana Power Corporation as a

result of the Botswana Power Corporation exercising any or all of its rights in relation to the Request

for Proposal.

i) APPEALS

Bidders/Tenderers who may claim that they have suffered a loss as a result of the tender award

decision may lodge written appeals through the BPC Tender Appeals Structure details of which are

posted (as Chapter 16 of the Tender Regulations) in the Corporation’s website www.bpc.bw .


13.1 Tax Clearance Certificate

(3) In order to ensure compliance with Tax Law, all Tenderers (local and foreign based) are

required to submit Tax Clearance Certificates or Tax Exemption Certificate, issued by the

Botswana Unified Revenue Service. Where the Bidder has submitted its Tax Returns and delays

are experienced in issuing the certificate, then confirmation in writing by Tax Authorities that

the Tenderer has submitted Tax Returns shall be considered as sufficient proof. The Clearance

or Exemption Certificate forms part of the condition for award of the Tender.

http://www.bpc.bw/

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(4) In respect of Consortiums that have been established with the objective of participating in the

tender, it is critical that all partners to the consortium should be tax compliant by submitting a

valid tax clearance certificate or tax exemption certificate. Failure by any of the partners to

submit proof of their tax compliance shall result in the disqualification of the response to the

tender invitation submitted by the consortium.

ANNEXURE A

SCHEDULES

(Use only if applicable to the subject tender. If not applicable the Schedules should be

deleted)

For

(Insert the Title of the Project)

SCHEDULE 1 - TENDER FORM

To: The Botswana Power Corporation

Tender Committee

Plot 1222

Nkrumah Road

Gaborone

Botswana

3. In this Tender, terms used have the meanings given to them in the Conditions of Tendering, the General

Conditions of Contract, or as otherwise defined in this Tender.

4. The Tenderer:

(e) offers to *2 carry out/supply and deliver or provide services for ............................................ [Insert

title of assignment] to Botswana Power Corporation on the terms and conditions set out in the Request

for Proposal Documents and the Tender Schedules attached to this Tender Form;


(f) acknowledges that this Tender is irrevocable until the Validity Date;

(g) undertakes to be bound by and to duly observe and perform the terms and conditions of the Request

for Proposal Documents and, if this Tender is accepted, to enter into a Contract to carry out/supply

and deliver or provide services for .............................................to Botswana Power Corporation as

set out in the Request for Proposal Documents and the Tender Schedules attached to this Tender Form

and

(h) confirms that each of the Tender Schedules listed in the attached Tender Form Schedule Checklist

have been completed and are attached to this Tender Form.

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Name of Tenderer(s):

Address:

Phone Number: Fax Number:

Email address:

Contact Person: Phone Number:

Signature of authorised signatory:

Name and Position of authorised signatory:

Date:

Signature of Witness:

Name of Witness:

Date:

TENDER FORM

SCHEDULE CHECKLIST

Attached

(please tick)


Schedule 2 Schedule of Tariffs and Charges



Schedule 5 Tenderer's Technical Proposal Schedule


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SCHEDULE 2 - SCHEDULE OF TARIFFS AND CHARGES

Financial Proposal Standard Forms shall be used for the preparation of the Financial Proposal.

FIN-1 Financial Proposal Submission Form

FIN-2 Summary of Costs

FIN-3 Breakdown of Costs by Activity

FIN-4 Breakdown of Remuneration

FIN-5 Reimbursable expenses

FORM FIN-1 FINANCIAL PROPOSAL SUBMISSION FORM

To: [Name and address of Client]

Dear Sirs:

We, the undersigned, offer to *2carry out/supply and deliver/provide services for

............................................. [Insert title of assignment] in accordance with your Request for Proposal dated

[Insert Date] and our Technical Proposal. Our attached Financial Proposal is for the sum of [Insert amount(s)

in words and figures1]. This amount is exclusive of the local taxes, which shall be identified during

negotiations and shall be added to the above amount.


Our Financial Proposal shall be binding upon us subject to the modifications resulting from Contract

negotiations, up to expiration of the validity period of the Proposal.

We understand you are not bound to accept any Proposal you receive.

We remain,

Yours sincerely,

Authorized Signature [In full and initials]:

Name and Title of Signatory:

Name of Firm:

Address:

1 Amounts must coincide with the ones indicated under Total Cost of Financial proposal in Form FIN-2.

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FORM FIN-2 SUMMARY OF COSTS

Item

Costs

[Indicate Foreign

Currency # 1]1

[Indicate Foreign

Currency # 2]1

[Indicate Foreign

Currency # 3]1

[Indicate

Local Currency]

Total Costs of Financial Proposal 2

1 Indicate between brackets the name of the foreign currency. Maximum of three convertible currencies; use as many columns as needed, and delete the

others.

2 Indicate the total costs, net of local taxes, to be paid by the Client in each currency. Such total costs must coincide with the sum of the relevant Subtotals

indicated in all Forms FIN-3 provided with the Proposal.

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FORM FIN-3 BREAKDOWN OF COSTS BY ACTIVITY1

Group of Activities (Phase):2

Description:3

Cost component

Costs

[Indicate Foreign

Currency # 1]4

[Indicate Foreign

Currency # 2]4

[Indicate Foreign

Currency # 3]4

[Indicate

Local Currency]

Remuneration5

Reimbursable Expenses 5

Subtotals

1 Form FIN-3 shall be filled at least for the whole assignment. In case some of the activities require different modes of billing and payment (e.g.: the

assignment is phased, and each phase has a different payment schedule), the Asset Manager shall fill a separate Form FIN-3 for each group of activities. For

each currency, the sum of the relevant Subtotals of all Forms FIN-3 provided must coincide with the Total Costs of Financial Proposal indicated in Form

FIN-2.

2 Names of activities (phase) should be the same as, or correspond to the ones indicated in the second column of Form TECH-8.

3 Short description of the activities whose cost breakdown is provided in this Form.

4 Indicate between brackets the name of the foreign currency. Use the same columns and currencies of Form FIN-2.

5 For each currency, Remuneration and Reimbursable Expenses must respectively coincide with relevant Total Costs indicated in Forms FIN-4, and FIN-

5.

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FORM FIN-4 BREAKDOWN OF REMUNERATION1

(This Form FIN-4 shall only be used when the Lump-Sum Form of Contract has been included in the RFP.

Information to be provided in this Form shall only be used to establish payments to the Asset Manager for possible

additional services requested by the Client)

Name2 Position3 Staff-month Rate4

Foreign Staff

[Home]

[Field]

Local Staff

[Home]

[Field]

1 Form FIN-4 shall be filled in for the same Professional and Support Staff listed in Form TECH-7.

2 Professional Staff should be indicated individually; Support Staff should be indicated per category (e.g.:

draftsmen, clerical staff).

3 Positions of the Professional Staff shall coincide with the ones indicated in Form TECH-5.

4 Indicate separately staff-month rate and currency for home and field work.

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FORM FIN-5 BREAKDOWN OF REIMBURSABLE EXPENSES

(This Form FIN-5 shall only be used when the Lump-Sum Form of Contract has been included in the RFP.

Information to be provided in this Form shall only be used to establish payments to the Asset Manager for possible

additional services requested by the Client)

N° Description1 Unit Unit Cost2

Per diem allowances Day

International flights3 Trip

Miscellaneous travel expenses Trip

Communication costs between [Insert

place] and [Insert place]

Drafting, reproduction of reports

Equipment, instruments, materials,

supplies, etc.

Shipment of personal effects Trip

Use of computers, software

Laboratory tests.

Subcontracts

Local transportation costs

Office rent, clerical assistance

Training of the Client’s personnel 4

1 Delete items that are not applicable or add other items according to Paragraph Reference 3.6 of the Data

Sheet.

2 Indicate unit cost and currency.

3 Indicate route of each flight, and if the trip is one- or two-ways.

4 Only if the training is a major component of the assignment, defined as such in the TOR.

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Financial Negotiations - Breakdown of Remuneration Rates

(Not to be used when cost is a factor in the evaluation of Proposals)

1. Review of Remuneration Rates

1.1 The remuneration rates for staff are made up of salary, social costs, overheads, fee that is profit, and

any premium or allowance paid for assignments away from headquarters. To assist the firm in

preparing financial negotiations, a Sample Form giving a breakdown of rates is attached (no financial

information should be included in the Technical Proposal). Agreed breakdown sheets shall form part

of the negotiated contract.

1.2 The Client is charged with the custody of the Botswana Power Corporation funds and is expected to

exercise prudence in the expenditure of these funds. The Botswana Power Corporation is, therefore,

concerned with the reasonableness of the firm’s Financial Proposal, and, during negotiations, it expects

to be able to review audited financial statements backing up the firm’s remuneration rates, certified by

an independent auditor. The firm shall be prepared to disclose such audited financial statements for

the last three years, to substantiate its rates, and accept that its proposed rates and other financial

matters are subject to scrutiny. Rate details are discussed below.

(i) Salary

This is the gross regular cash salary paid to the individual in the firm’s home office. It shall not

contain any premium for work away from headquarters or bonus (except where these are included

by Law or Government Regulations).

(ii) Bonus

Bonuses are normally paid out of profits. Because the Botswana Power Corporation does not

wish to make double payments for the same item, staff bonuses shall not normally be included in

the rates. Where the Asset Manager’s accounting system is such that the percentages of social

costs and overheads are based on total revenue, including bonuses, those percentages shall be

adjusted downward accordingly. Where national policy requires that 13 months’ pay be

given for 12 months’ work, the profit element need not be adjusted downward. Any discussions

on bonuses shall be supported by audited documentation, which shall be treated as confidential.

(iii) Social Costs

Social costs are the costs to the firm of staff’s non-monetary benefits. These items include, inter

alia, social security including pension, medical and life insurance costs, and the cost of a staff

member being sick or on vacation. In this regard, the cost of leave for public holidays is not an

acceptable social cost nor is the cost of leave taken during an assignment if no additional staff

replacement has been provided. Additional leave taken at the end of an assignment in accordance

with the firm’s leave policy is acceptable as a social cost.

(iv) Cost of Leave

The principles of calculating the cost of total days leave per annum as a percentage of basic salary

shall normally be as follows:

Leave cost as percentage of salary 1 = total days leave x 100

[365 - w - ph - v - s]

1 Where w = weekends, ph = public holidays, v = vacation, and s = sick leave.

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It is important to note that leave can be considered a social cost only if the Client is not charged

for the leave taken.

(v) Overheads

Overhead expenses are the firm’s business costs that are not directly related to the execution of

the assignment and shall not be reimbursed as separate items under the contract. Typical items

are home office costs (partner’s time, non-billable time, time of senior staff monitoring the project,

rent, support staff, research, staff training, marketing, etc.), the cost of staff not currently employed

on revenue-earning projects, taxes on business activities and business promotion costs. During

negotiations, audited financial statements, certified as correct by an independent auditor and

supporting the last three years’ overheads, shall be available for discussion, together with detailed

lists of items making up the overheads and the percentage by which each relates to basic salary.

The Botswana Power Corporation does not accept an add-on margin for social charges, overhead

expenses, etc., for staff who are not permanent employees of the firm. In such case, the firm shall

be entitled only to administrative costs and fee on the monthly payments charged for

subcontracted staff.

(vi) Fee or Profit

The fee or profit shall be based on the sum of the salary, social costs, and overhead. If any bonuses

paid on a regular basis are listed, a corresponding reduction in the profit element shall be expected.

Fee or profit shall not be allowed on travel or other reimbursable expenses, unless in the latter

case an unusually large amount of procurement of equipment is required. The firm shall note that

payments shall be made against an agreed estimated payment schedule as described in the draft

form of the contract.

(vii) Away from Headquarters Allowance or Premium

Some Asset Managers pay allowances to staff working away from headquarters. Such allowances

are calculated as a percentage of salary and shall not draw overheads or profit. Sometimes, by

law, such allowances may draw social costs. In this case, the amount of this social cost shall still

be shown under social costs, with the net allowance shown separately. For concerned staff, this

allowance, where paid, shall cover home education, etc.; these and similar items shall not be

considered as reimbursable costs.

(viii) Subsistence Allowances

Subsistence allowances are not included in the rates, but are paid separately and in local currency.

No additional subsistence is payable for dependentsthe subsistence rate shall be the same for

married and single team members.

Botswana Power Corporation standard rates for the particular country may be used as reference

to determine subsistence allowances.

2. Reimbursable expenses

2.1 The financial negotiations shall further focus on such items as out-of-pocket expenses and other

reimbursable expenses. These costs may include, but are not restricted to, cost of surveys,

equipment, office rent, supplies, international and local travel, computer rental, mobilization and

demobilization, insurance, and printing. These costs may be either unit rates or reimbursable on the

presentation of invoices, in foreign or local currency.

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3. Bank Guarantee

3.1 Payments to the firm, including payment of any advance based on cash flow projections covered by

a bank guarantee, shall be made according to an agreed estimated schedule ensuring the firm regular

payments in local and foreign currency, as long as the services proceed as planned.

Sample Form

Firm: Country:

Assignment: Date:

Representations Regarding Costs and Charges

We hereby confirm that:

(a) the basic salaries indicated in the attached table are taken from the firm’s payroll records and reflect the

current salaries of the staff members listed which have not been raised other than within the normal

annual salary increase policy as applied to all the firm’s staff;

(b) attached are true copies of the latest salary slips of the staff members listed;

(c) the away from headquarters allowances indicated below are those that the Asset Managers have agreed

to pay for this assignment to the staff members listed;

(d) the factors listed in the attached table for social charges and overhead are based on the firm’s average

cost experiences for the latest three years as represented by the firm’s financial statements; and

(e) said factors for overhead and social charges do not include any bonuses or other means of profit-sharing.

[Name of Company]

Signature of Authorised Representative Date

Name:

Title:

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Representations Regarding Costs and Charges

(Expressed in [insert name of currency])

Personnel 1 2 3 4 5 6 7 8

Name Position

Basic Salary per

Working

Month/Day/Year

Social

Charges1 Overhead1 Subtotal Fee2

Away from

Headquarters

Allowance

Proposed Fixed

Rate per Working

Month/Day/Hour

Proposed Fixed

Rate per Working

Month/Day/Hour1

Home Office

Field

1. Expressed as percentage of 1

2. Expressed as percentage of 4

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SCHEDULE 3 - TENDERER’S STRUCTURE SCHEDULE

The Tenderer is required to provide a comprehensive statement of its financial capabilities and structure.

Supporting material/documents can be submitted as part of the statement.

The Tenderer’s statement must include, and is not limited to, the following information.

1 IDENTIFICATION OF TENDERER

1.1 Full name

1.2 Trading or business name

1.3 Office address

1.4 Date Established

1.5 Main Business Address:

City State Post Code.

Telephone: Fax Email address

1.6 Other Office Address:

City State Post Code.

Telephone: Fax Email address

1.8 Contact Person:

Name:

Position:

Address:

Telephone: Facsimile:

Email address:

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2 STRUCTURE/PROFILE OF TENDERER

2.1 Constituent Documents

Tenderers should provide copies of all relevant constituent documents including:

a) If the Tenderer is a corporation and a participant in a joint venture is a corporation - certified copies

of Constitution (Memorandum and Articles of Associations) and Certificate of Incorporation

(including evidence of change of name);

b) If Tenderer is a partnership or consortium - certified copies of constituent or governing documents

binding those entities; and

c) If Tenderer is a Trust or Trustee of Trust - copies of relevant Trust Deeds and appointments.

Details of copies of documents provided

2.2 Corporate Details

Provide details of Tenderer:

Directors

Chief Executive Officer (or equivalent)

Shareholders

Holding Company or Companies

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SCHEDULE 4 - CONFLICT OF INTEREST SCHEDULE

After due enquiry the Tenderer is not aware of any conflict or potential conflict of interest which the Tenderer

has or may have in providing the Services offered in this Tender.

...........................................................

Authorised signatory

...........................................................

Date

OR

For the purposes of this Schedule a conflict of interest includes but is not limited to the Tenderer providing

goods or services of any kind to a competitor of The Botswana Power Corporation.

Particulars of conflict or potential conflict are:-

Tenderer’s proposed processes to protect sensitive operational or commercial data of The Botswana Power

Corporation are:-

SCHEDULE 5 - Technical Proposal - Standard Forms

TECH-1 Technical Proposal Submission Form

TECH-2 Organization and Experience

A Organization

B Experience

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TECH-3 Comments or Suggestions on the Terms of Reference and on Counterpart Staff and Facilities

to be provided by the Client

A On the Terms of Reference

B On the Counterpart Staff and Facilities

TECH-4 Description of the Approach, Methodology and Work Plan for Performing the Assignment

TECH-5 Team Composition and Task Assignments

TECH-6 Curriculum Vitae (CV) for Proposed Professional Staff

TECH-7 Staffing Schedule

TECH-8 Work Schedule

FORM TECH-1 TECHNICAL PROPOSAL SUBMISSION FORM

[Date]

To: [Name and address of Client]

Dear Sirs:

We, the undersigned, offer to carry out [Insert title of assignment] in accordance with your Request for

Proposal dated [Insert Date] and our Proposal. We are hereby submitting our Proposal, which includes this

Technical Proposal, and a Financial Proposal.

We are submitting our Proposal in association with: [Insert a list with full name and address of each

associated Member]1

We hereby declare that all the information and statements made in this Proposal are true and accept that any

misinterpretation contained in it may lead to our disqualification.

Our Proposal is binding upon us and subject to the modifications resulting from Contract negotiations.

We undertake, if our Proposal is accepted, to initiate the consulting services related to the assignment not

later than XXX 2014.

We understand you are not bound to accept any Proposal you receive.

We remain,

Yours sincerely,

Authorized Signature [In full and initials]:

Name and Title of Signatory:

Name of Firm:

Address:

1 [Delete in case no association is foreseen.]

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FORM TECH-2 ORGANIZATION AND EXPERIENCE

A - Organization

[Provide here a brief (two pages) description of the background and organisation of your firm/entity and

each associate for this assignment.]

B - Experience

[Using the format below, provide information on each assignment for which your firm, and each associate

for this assignment, was legally contracted either individually as a corporate entity or as one of the major

companies within an association, for carrying out consulting services similar to the ones requested under

this assignment.]

Assignment name:

Approx. value of the contract (in current US$ or Euro):

Country:

Location within country:

Duration of assignment (months):

Name of Client:

Total No of staff-months of the assignment:

Address:

Approx. value of the services provided by your firm

under the contract (in current US$ or Euro):

Start date (month/year):

Completion date (month/year):

No of professional staff-months provided by associated

Asset Managers:

Name of associated Asset Managers, if any:

Name of senior professional staff of your firm

involved and functions performed (indicate most

significant profiles such as Project

Director/Coordinator, Team Leader):

Narrative description of Project:

Description of actual services provided by your staff within the assignment:

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Firm’s Name:

FORM TECH-3 COMMENTS AND SUGGESTIONS ON THE TERMS OF REFERENCE AND ON COUNTERPART STAFF AND

FACILITIES TO BE PROVIDED BY THE BOTSWANA POWER CORPORATION

A - On the Terms of Reference

[Present and justify here any modifications or improvement to the Terms of Reference you are proposing to

improve performance in carrying out the assignment (such as deleting some activity you consider

unnecessary, or adding another, or proposing a different phasing of the activities). Such suggestions should

be concise and to the point, and incorporated in your Proposal.]

B - On Counterpart Staff and Facilities

[Comment here on counterpart staff and facilities to be provided by the Botswana Power Corporation.]

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FORM TECH-4 DESCRIPTION OF APPROACH, METHODOLOGY AND WORK PLAN FOR

PERFORMING THE ASSIGNMENT

[Technical approach, methodology and work plan are key components of the Technical Proposal. You are

suggested to present your Technical Proposal (inclusive of charts and diagrams) divided into the following

three chapters:

a) Technical Approach and Methodology,

b) Work Plan, and

c) Organisation and Staffing,

a) Technical Approach and Methodology.

In this chapter you should explain your understanding of the objectives of the assignment, approach to

the services, methodology for carrying out the activities and obtaining the expected output, and the

degree of detail of such output. You should highlight the problems being addressed and their importance,

and explain the technical approach you would adopt to address them. You should also explain the

methodologies you propose to adopt and highlight the compatibility of those methodologies with the

proposed approach.

b) Work Plan.

In this chapter you should propose the main activities of the assignment, their content and duration,

phasing and interrelations, milestones (including interim approvals by the Client), and delivery dates of

the reports. The proposed work plan should be consistent with the technical approach and methodology,

showing understanding of the TOR and ability to translate them into a feasible working plan. A list of

the final documents, including reports, drawings, and tables to be delivered as final output, should be

included here. The work plan should be consistent with the Work Schedule of Form TECH-8.

c) Organization and Staffing.

In this chapter you should propose the structure and composition of your team. You should list the main

disciplines of the assignment, the key expert responsible, and proposed technical and support staff.]

FORM TECH-5 TEAM COMPOSITION AND TASK ASSIGNMENTS

Professional Staff

Name of Staff Firm Area of Expertise Position Assigned Task Assigned

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FORM TECH-6 CURRICULUM VITAE (CV) FOR PROPOSED PROFESSIONAL STAFF

1. Proposed Position [only one candidate shall be nominated for each position]:

2. Name of Firm [Insert name of firm proposing the staff]:

3. Name of Staff [Insert full name]:

4. Date of Birth: Nationality:

5. Education [Indicate college/university and other specialized education of staff member, giving names of institutions, degrees obtained, and dates of

obtainment]:

6. Membership of Professional Associations:

7. Other Training [Indicate significant training since degrees under 5 - Education were obtained]:

8. Countries of Work Experience: [List countries where staff has worked in the last ten years]:

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9. Languages [For each language indicate proficiency: good, fair, or poor in speaking, reading, and writing]:

10. Employment Record [Starting with present position, list in reverse order every employment held by staff member since graduation, giving for each

employment (see format here below): dates of employment, name of employing organization, positions held.]:

From [Year]: To [Year]:

Employer:

Positions held:

11.Detailed Tasks Assigned

[List all tasks to be performed

under this assignment]

12. Work Undertaken that Best Illustrates Capability to Handle the Tasks Assigned

[Among the assignments in which the staff has been involved, indicate the following information for those

assignments that best illustrate staff capability to handle the tasks listed under point 11.]

Name of assignment or project:

Year:

Location:

Client:

Main project features:

Positions held:

Activities performed:

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12. Certification:

I, the undersigned, certify that to the best of my knowledge and belief, this CV correctly describes myself, my qualifications, and my experience. I understand

that any wilful misstatement described herein may lead to my disqualification or dismissal, if engaged.

Date:

[Signature of staff member or authorised representative of the staff] Day/Month/Year

Full name of authorised representative:

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FORM TECH-7 STAFFING SCHEDULE1

N° Name of Staff Staff input (in the form of a bar chart) 2 Total staff-month input

1 2 3 4 5 6 7 8 9 10 11 12 n Home Field3 Total

Foreign

1

[Home]

[Field]

2

n

Subtotal

Local

1 [Home]

[Field]

2

n

Subtotal

Total

1 For Professional Staff the input should be indicated individually; for Support Staff it should be indicated by category (e.g.: draftsmen, clerical staff, etc.).

2 Months are counted from the start of the assignment. For each staff indicate separately staff input for home and field work.

3 Field work means work carried out at a place other than the Asset Manager's home office.

Full time input

Part time input

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FORM TECH-8 WORK SCHEDULE

N° Activity1 Months2

1 2 3 4 5 6 7 8 9 10 11 12 n

1

2

3

4

5

N

1 Indicate all main activities of the assignment, including delivery of reports (e.g.: inception, interim, and final reports), and other benchmarks

such as Client approvals. For phased assignments indicate activities, delivery of reports, and benchmarks separately for each phase.

2 Duration of activities shall be indicated in the form of a bar chart.

SCHEDULE 6 - COMPLIANCE STATEMENT SCHEDULE

1 CONTRACT COMPLIANCE

The Tenderer confirms that in all respects it intends to be bound to the Conditions of

Contract and the Conditions of Tendering. Yes/No

If NO what are proposed variations/departures*:

*Attach clearly referenced annexure if insufficient space.

2 STATEMENT OF TENDER COMPLIANCE

The Tenderer confirms it has complied with the Request for Proposal and Instructions to Tenderers and

Conditions of Tendering in completing the relevant Schedule and confirms that it will be bound by and will

comply with all matters set out in each of the following:

Schedule 1 Tender Form Yes/No.

Reason if not complying*:

Schedule 2 Schedule of Tariffs and Charges Yes/No.


Schedule 3 Tenders Structure Schedule Yes/No.



Yes/No.


Schedule 5 Tenderer's Technical Proposal Schedule Yes/No.



Yes/No.


ANNEXURE G

APPOINTMENT OF TENDER EVALUATION

COMMITTEE TEMPLATE

Tel: (+267) 360 3000 Fax: (+267) 3913915

Motlakase House, Macheng Way, Industrial Site, Gaborone

P.O. Box 48 Gaborone, Botswana

TO: See below

Our ref: 1010/15 ref: Date: ……………. 2015

SUBJECT: APPOINTMENT AS MEMBER OF THE TENDER EVALUATION COMMITTEE-

TENDER ……/15 FOR THE PROVISION OF CONSULTANCY SERVICES FOR THE

…………PROJECT

This serves to inform you that you have been appointed Chairman and Members of the Tender Evaluation

Committee that has been mandated to evaluate the following tender. This appointment is made in line with the

requirements of Paragraph 406.8 (ii) of the Tender Regulations.

i) Tender No. ……/15 for the Provision of Consultancy Services for the ………..Project.

By copy hereof the Chairman of this Committee is requested to ensure that an invitation is extended to you to

attend meetings, as well as to guide you on the mandate of this Committee.

Your role as a Member of this Committee shall be as follows:

i) Attendance of meetings of the Committee.

ii) Commitment to the Committee at all times acting in the best interest of the Corporation.

iii) Ensuring that the Tender is evaluated in a fair and transparent manner thus enabling the Corporation

to obtain value for money.

iv) Ownership of the tender evaluation decisions of the Committee.

v) Exercising utmost good faith, honesty and integrity and acting independent of outside fetter or

instruction.

vi) Where necessary, expressing disagreement in a civil, courteous and constructive manner with other

Members of the Committee.

vii) Ensuring confidentiality of tender evaluation documentation and deliberations.

ix) Submission of a comprehensive evaluation recommendations in line with the Governance

structures, within the timeframes stipulated in the Tender Regulations implementation procedures

………………………………………………

g) Head of Business Unit

To: Mr/s ………………. - Chairman

Mr/s. ………………. – Secretary

Mr/s…………………-Member

ANNEXURE H

EPTC SUBMISSION TEMPLATE (PROCUREMENT OF

SERVICES)


EXCO PROCUREMENT AND TENDER COMMITTEE

TENDER No. ……../15

PROVISON OF CONSULTANCY SERVICES FOR PROCUREMENT OF MATERIALS

PART 1 TECHNICAL EVALUATION

1. SCOPE OF TENDER

This paper seeks approval for the approval of the Technical Evaluation component of the Tender for

Provision of Consultancy Services for the implementation of the Procurement of Materials. The consultancy

services to be provided entail the following:

i) Assisting in the development of the Request for Proposal (RfP) for the pre-qualification of suppliers as

well as the evaluation of the responses to the tender invitation.

ii) Offering technical advice to pre-qualified suppliers on the appropriate materials procurement methods

to be applied during the pre-qualification period.

iii) Drafting of the Service Level Agreements that will determine the performance of the BPC, prequalified

suppliers and contractors during the respective pre-qualification periods.

iv) Monitoring and evaluation of the efficiency of implementation of Distribution Works post

decentralisation.

2. VALUE OF TENDER

The value of the tender will be advised after approval of the Technical Evaluation by the Executive

Procurement and Tender Committee and conclusion of the second stage (financial) of the evaluation.

3. BUDGETARY PROVISION

Funds are available in the 2015/16 Financial Year budget under Cost Code E001 6551 “Consulting Fees”

4. METHOD OF TENDER

This was an Open/Selective/Single Source (as applicable) Tender and bids were opened on the 17th July 2015.

5. TENDER VALIDITY

Tenders are valid for 60 days from the tender opening date until the 16th September 2015.

6. BRIEF BACKGROUND

In an effort to facilitate the development of local entrepreneurship particularly in the electricity infrastructure

construction sector, Botswana Power Corporation (BPC) has been responsible for the procurement of

materials that are requisite to the efficient implementation of distribution works projects countrywide. This

involves bulk procurement of materials which are thereafter sold on credit to contractors who would have

been pre-qualified (by BPC) to undertake such works.

As part of the financial turnaround strategy, in 2012 Management resolved on outsourcing non-core

activities, which included the procurement and warehousing of Distribution Works (DW) materials to the

private sector.

Management’s initiatives have since been complimented by a study by the World Bank group titled “Doing

business in Botswana roadmap with a detailed and comprehensive implementation plan” which revealed that

Botswana was performing unfavorably at the global level and was slightly better at regional level in the

“getting electricity” indicator, and that the country could benefit significantly if it improved the process of

getting electricity.

The medium to long term recommendations of this study indicated that the biggest room for improvement

existed in the reduction of the number of days needed for the connection to the electricity grid. The study

therefore recommended that as a matter of priority, the BPC should decentralize the management of the

getting electricity process by allowing companies to procure and manage the stock of the materials needed

for the connection works. This would in turn reduce the waiting time significantly and would have a positive

impact on the price level, due to the increased competition and higher efficiency in the procurement process.

The study also concluded that the risks of substandard work performance and materials used in the connection

works could be addressed by the pre-qualification of suppliers as well as by the clear definition of the

standards of the materials to be used.

Management’s review of the study recommendations concluded that Decentralization of the process by

allowing companies to procure and manage the stock of the materials needed for connection works would

not only be aligned to the Corporate financial turnaround strategy but would also provide an opportunity for

improvement

In order to effectively manage the project, as well as to minimise the risks associated with project

implementation, management has decided to engage the services of a consultant to support the

implementation of the outsourcing project.

7. TENDERS RECEIVED

This was a dual envelope tender and Technical Proposals were received from the following:

Table 1: List of Companies that submitted Technical Proposals

Company Country

Cesar Botswana

Raphuti Consulting Botswana

Naledi Consulting Botswana

Bodiba Botswana

Gilck Consult Botswana

Dinokwe Botswana

8. TENDER EVALUATION

8.1 Evaluation Panel

A committee comprising the following evaluated the tender:

Table 2-Tender evaluation committee members

The tender was evaluated on the basis of the criteria that was stipulated in the Request for Proposal (RfP) document.

9. EVALUATION DETAILS


Table 3-Scores awarded to bidders against the set evaluation criteria

Criteria Achievable

Score

Naledi Bodiba Cesar Dinokwe Raphuti Gilck

Technical and professional

ability of Firm-Previous

record on similar

assignments:

a) Previous Experience in

similar assignments

(include references)

(10)

20 15.75 15 12.25 12.25 5.5 11.75

NAME DESIGNATION POSITION BUSINESS UNIT

b) Overall depth of

experience in terms of

years of service and

competency of the key

Professional Team

assigned to BPC (10)

Execution of requirements

as set out in the RfP:

a) Methodology to be

adopted in executing

the mandate during the

period i.e. project

management, systems

assurance, integrated

support and quality

assurance (30)

b) Project Execution and

Evaluation (20)

50 29.5 40.5 40.25 38 21 30.25

Quality Control and

Contract Management

10 4.25 7.25 6.5 6.75 4.5 6

Total Score 80 49.5 62.75 59 57 31 48

Total Weighted Score 62% 78% 74% 71.25 38.75 60

Salient Point

The Request for Proposal (RfP) document had indicated that bidders who achieved a minimum weighted score of 70%

would proceed to the financial evaluation stage.

Naledi, Raphuti and Gilck achieved scores that were below the set minimum threshold and therefore did not proceed

to the next stage of the tender evaluation.

Salient Points

Table 4-Strengths and Weakness of the Bidders

Company Strengths Weaknesses

Cesar The Company has been engaged by BPC as one of

the prequalified consultants, and therefore have

good understanding of the Distribution Works

Projects. Its staff has requisite post qualification

experience with an understanding of the BPC

requirements

The company submitted a detailed proposal on the

methodology they would apply in the execution of

the project

Do not have the total experience of

the key Distribution Works processes

such as derivation of rates (or

linkages between input/output costs)

Raphuti The company was established in 2013, and has a part

time owner who is employed by one of the bidders

Gilck. The company does not have requisite

experience on Distribution Works projects

The company did not provide a

detailed and relevant proposal on the

methodology that they would apply

in the execution of the project as well

as the management of the contract;

they think the consultant is the one to

run the BPC stores

As a company they do not have the

relevant experience at all

Naledi The Company has been engaged by BPC as one of


extensive understanding of the Distribution Works



requirements

The company did not provide a detailed

proposal on the methodology that they

would apply in the execution of the

project as well as the management of

the contract.

Bodiba The Company has been engaged by BPC as one of


extensive understanding of the Distribution Works



requirements

The company submitted a detailed proposal on the

methodology (including a Gantt Chart) they would

apply in the execution of the project

In addition Scales Associates have proposed to sub-

contract a second company being Amacebo Project

Controls (Pty) Ltd who will provide specialist

services to the project including running the

proposed data gathering workshops and to advise on

appropriate monitoring and evaluation systems.

The company did not provide details of

their sub-contractor KE Shared

Services

Gilck The Company has been engaged by BPC as one of


reasonable understanding of the Distribution Works



requirements

The company has submitted

proposals that are an alternative to

the one stipulated on the RfP. They

propose the transfer of BPC

procurement processes to the private

sector, sale of BPC warehouses etc





Dinokwe The Company has been engaged by BPC as one of


good understanding of the Distribution Works



requirements

The company did not provide a

detailed proposal on the

methodology that they would apply

in the execution of the project as well

as the management of the contract.





Stage 1: General Compliance

Table 5-Compliance to tender requirements

COMPANY Submission of Valid Tax

Clearance Certificate

Submission of Trading

Licence

Submission of

Shareholders Certificate

Cesar Yes Yes Yes

Raphuti Yes Yes Yes

Naledi Yes Yes Yes

Bodiba Yes Yes Yes

Gilck Yes Yes Yes

Dinokwe Yes Yes Yes

10. CONCLUSION

Three tenderers Bodiba, Cesar and Dinokwe provided technically compliant bids and were assessed to be competent

to provide the required services and to be considered for the next stage of the evaluation.

11. RECOMMENDATIONS

It is recommended that, the Executive Procurement and Tender Committee approve the technical evaluation and to

facilitate the opening of the Financial Proposals of the following bidders:

i) Bodiba

ii) Cesar

iii) Dinokwe

PART 2- To be completed after opening and evaluation of financial proposals

12. EPTC APPROVAL OF THE TECHNICAL EVALUATION

On the 14th September 2015 the three tenderers Bodiba, Cesar and Dinokwe were approved by the Executive

Procurement and Tender Committee to proceed to the Financial Evaluation Stage.

13. FINANCIAL EVALUATION

Financial Proposals of the three bidders were received as detailed at Table 5 below:

Table 6: Financial Proposals

Total

Cesar 2, 949, 661.44

Bodiba 2, 256, 600.00

Dinokwe 2, 037, 679.04

The following formula was used to determine the financial scores:

Sf = 100 x Fm / F

where Sf is the financial score

Fm is the lowest price

F is the price of the proposal under consideration

Table 7: Financial Score

Company Financial

Score

Application Methodology Financial Score

Dinokwe 20 2, 037, 679.04 20

Bodiba 20 2, 256, 600.00 18.06

Cesar 20 2, 949, 661.44 13.82

Table 8: Combined Technical and Financial Evaluation Scores

Company Technical Score Financial Score Total Ranking

A B C (B+C)

Bodiba 62.75 18.06 80.81 1

Dinokwe 57 20 77 2

Cesar 59 13.82 72.82 3

166

14. CONCLUSION

Bodiba submitted a technically acceptable bid and their combined technical and financial scores were above those of

the other bidders.

15. RECOMMENDATIONS

It is recommended that, the Executive Procurement and Tender Committee approve as follows:

i. The award of the tender for Provision of Consultancy Services for the implementation Consultancy

Services for the implementation of the Procurement of Materials to Bodiba at their tendered amount of

P2, 256, 600.00

ii. Provision for VAT @ 12% P 270, 792.00

Total amount for which approval is sought is therefore P2, 527, 392.00

APPROVED NAME SIGNATURE DATE

Director Transmission

Chief Financial Officer

Director, Corporate Services (A)

Director Customer Services and Supply

167

COMPANY PROFILES

a. Bodiba

i) Physical Address:

ii) Postal Address: P.O. Box

iii) Contact Details: Tel : + 267

Fax : +267

iv) Share Holding: Management Structure –

Joyce Bodiba Majority Shareholder (99%) Botswana Citizen

Bashi Bodiba Minority Shareholder (1%) Botswana Citizen

b. Cesar

i) Physical Address:



Fax : +267


Bokamoso Sepatela 136, 000 shares

Bolekane Moiteela 10, 000 shares

c. Dinokwe

i) Physical Address: Plot



Fax : +267


Matshidiso Motloutse 95%

Makomoto Fooley 5%

i.

168

ANNEXURE I

FINANCIAL EVALUATION WITH APPLICATION OF

CITIZEN ECONOMIC EMPOWERMENT (CEE)

PREFERENCES

Adjusted Prices for Adjudication

The three lowest tenders were considered for adjudication in the table below

Corrected Tendered

Amount Excluding VAT

Adjustment for CEE Adjusted Price for

Adjudication

TNT 44,216,501.46 -48,0000.00 44,168,501.46

TSB 37,429,637.93 -600,000.00 36,829,637.93

KSB 43,025,757.92 -48,000.00 42,977,757.92

Salient Points on Adjusted Prices

TNT

The company is a minority citizen owned association and in terms of the Government Citizen Economic

Empowerment Policy (CEE Policy) is entitled to 3% of the total price tendered as a preference with a cap of P48,

000.00 (refer to Section 2.1 in the Annexure to the Government Paper No. 1 of 2012).

TSB

The company is non-citizen owned and in terms of the Government Citizen Economic Empowerment Policy (CEE

Policy) is entitled to a price preference for work sub-contracted to 100% citizen owned companies in accordance with

Section 3 in the Annexure to the Government Paper No. 1 of 2012. TSB has stated in their tender that GSP (Pty) Ltd

which is a 100% citizen owned company will be sub-contracted to do all the civil works for the project. The value of

the civil works is P7, 423,407.83 which is equivalent to 19.8% of the total price. Section 3 in the C.E.E Policy paper

shows that this would mean a price preference of 4% of the total price tendered with a cap of P600,000.00 (for civil

works).

KSB

The company is 100% citizen owned and in terms of the Government Citizen Economic Empowerment Policy (CEE

Policy) is entitled to 5% of the total price tendered as a preference with a cap of P48, 000.00 (refer to Section 2.1 in

the Annexure to the Government Paper No 1 of 2012). This amount has been calculated and the adjustment is shown

in the table above.

169

ANNEXURE J

EPTC SUBMISSION TEMPLATE (Procurement of

Goods, Tools, Spares)


EXECUTIVE PROCUREMENT AND TENDER COMMITTEE

TENDER NO: 9581/14

SUPPLY AND DELIVERY OF CREOSOTE TREATED WOODEN POLES & CROSS-ARMS FOR

FRANCISTOWN AND GABORONE WAREHOUSES

SCOPE

This tender is for the supply and delivery of the following items to Francistown and Gaborone Warehouse, with

delivery scheduled to commence in June 2015.

ITEM DESCRIPTION QTY REQ. F/TOWN QTY REQ.

GABORONE

7m Creosote Treated Poles 80 -

13m Creosote Treated Poles 80 50

Cross-arm Wood Inter 2.5m 1000 -

Cross-arm Wood Strain 2.5m 1000 -

VALUE OF TENDER

Value of this tender: P 309 844.60

Provision for ROE Variation @ 3% P 9 295.30

VAT Provision @ 12%: P 38 296.70

Total Amount for Approval: P 357 436.60

BACKGROUND

This item forms part of the stock range and the quantity being purchased is required for maintenance and Distribution

Small Works projects and 9 Villages Projects and is equivalent to six months stock cover.

170

METHOD OF TENDER

This was an Open Tender which closed on the 12th March 2015

TENDER VALIDITY

.Tenders are valid for 60 days up to. 13th May 20.15

TENDERS RECEIVED

The table below shows the tendered amounts as at tender opening.

Table: Tenders Received

1 Supplier

Country Tendered Amount

Fixed

2

Brown Timbers

South Africa

R486 286-75

3

Timber Industries

South Africa

R414 840.00

4

Mapping

Botswana

P475 880.00

5

Build Erect

Botswana

P475 880.00

6

Mooiplek

South Africa

R87 650.00

7

BSM

Botswana

P341 320.40

8

Carp

Botswana

P530 040.65

9

MBT

Botswana

P476 732.48

10 PCN

Botswana

P 780 960.00

11

Openyard

Botswana

P 483 360.00

12

Laduma

Botswana

P481 264.00

13

BMF

Botswana

P261 760.00

14 Masakhe

South Africa

R380 284.40

15

Man

Botswana

P485 000.00

16 Jammie Botswana P510 360.00

171


A committee comprising of the following evaluated the tender:


The following factors, as reflected on the ITT, were the criteria upon which the assessment of tenders was based:


Stage 1:1 Statutory Compliance check

Stage 2: Conformance to specification

Stage 3: Price - competitiveness of the tendered price and Delivery

Tender No. 9581/14 Supply and Delivery of Creosote Treated Poles & Cross-arms Originator: Corporate Finance -Supply Chain Department Date – 15-05-2015

172

STAGE 3-COMPLIANCE TO GENERAL REQUIREMENTS OF THE TENDER

SUPPLIER Tax Clearance or Tax

Exemption Cert

Submission of

Trade License

Local & Foreign

Co.

Submission of

Share Certificates

Proof of accreditation to

a body that approves

goods procured under

tender

Proof of

Purchase of

tender

Comments

Brown

Timbers

No Yes Yes Yes Yes Disqualified bidder did not submit

Tax Exemption Certificate

Timber

Industries

Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Mapping Yes Yes Yes No Yes Disqualified bidder does not have

accreditation from Certification

Bodies.

Build Erect Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Mooiplek Yes Yes Yes Yes Yes Proceed to the next evaluation stage

BSM Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Carp Yes Yes Yes Yes Yes Proceed to the next evaluation stage

MBT Yes Yes Yes No Yes Disqualified bidder does not have

accreditation from Certification

Bodies.

PCN Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Openyard Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Laduma Yes Yes Yes Yes Yes Proceed to the next evaluation stage

BMF Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Masakhe Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Man Yes Yes Yes Yes Yes Proceed to the next evaluation stage

Jammie Yes Yes Yes Yes Yes Proceed to the next evaluation stage


173

SUPPLIER Submission of Type Test

Certificate

Certification by

certification Body

Alignment of tenderers

with delivery with

request

Conformance Comments

Timber Industries Yes Yes Yes Yes Proceed to the next evaluation stage

Build Erect No Yes Yes No Disqualified did not submit type test

certificate SA754.

Mooiplek Yes Yes Yes Yes Proceed to the next evaluation stage

BSM Yes Yes Yes Yes Proceed to the next evaluation stage

Carp Yes Yes Yes Yes Proceed to the next evaluation stage

PCN Yes Yes Yes Yes Proceed to the next evaluation stage

Openyard Yes Yes Yes Yes Proceed to the next evaluation stage

Laduma No Yes Yes No Disqualified did not submit type test

certificate SA754.

BMF No Yes Yes No Disqualified did not submit type test

certificate SA754.

Masakhe Yes Yes Yes Yes Proceed to the next evaluation stage

Man Yes Yes Yes Yes Proceed to the next evaluation stage

Jammie Yes Yes Yes Yes Proceed to the next evaluation stage


174

Table 3.2: 100000002703 – 7m Creosote Treated Poles – QTY REQ 80 (Gaborone)

SUPPLIER TOTAL TENDERED

AMOUNT

SOURCE RANKING

Masakhe 29 008.10 Manufacturer 1

BSM 33 312.00 Low Creek Timbers 2

Timber Industries 34 802.80 Manufacturer 3

Man 40 800.00 Vuka Treated Poles 4

Openyard 42 240.00 Brits Pale 5

PCN 62 720.00 Brits Pale 6

Carp 66 305.34 Vuka Treated Poles 7


175

100000002706 – 13m Creosote Treated Poles – QTY REQ 80 (Gaborone)

SUPPLIER TOTAL AMOUNT

GABORONE

TOTAL AMOUNT

FRANCISTOWN

TOTAL AMOUNT SOURCE RANKING

Masakhe 88 787.80 56 346.60 145 134.40 Manufacturer 1

Timber Industries 106 471.40 - 106 471.40 Manufacturer

2

BSM 98 294.40 61 434.00 159 728.40 Low Creek Timbers 3

Openyard 135 040.00 84 400.00 219 440.00 Brits Pale 4

Man 137 200.00 92 000.00 229 200.00 Brits Pale 5

Carp 138 869.86 103 863.76 242 733.60 Tshifire Timbers 6

PCN 170 240.00 106 400.00 276 640.00 Vuka Treated Poles 7

100000002707 – 2.5m Intermediate X – Arm – QTY REQ 1000 (Gaborone)

2: 100000002708 – 2.5m Strain X – Arm – QTY REQ 1000 (Gaborone)


AMOUNT

SOURCE RANKING

Masakhe 61 562.10 Manufacturer 1

BSM 74 140.00 Low Creek Timbers 3

Timber Industries 87 339.80 Vuka Treated Poles 4

Openyard 93 880.00 Tshifire Timbers 5

Man 95 000.00 Brits Pale 6

De Carp Pty Ltd 98 957.55 Tshifire Timbers 7

PC Net 168 000.00 Brits Pale 8


AMOUNT

SOURCE RANKING

BSM 74 140.00 Manufacturer 1

Masakhe 80618.00 Low Creek Timbers 2

Timber Industries 116 453.10 Vuka Treated Poles 3

Man 120 000.00 Brits Pale 4

Carp 122 018.14 Tshifire Timbers 5

Openyard 127 800.00 Tshifire Timbers 6

PCN 201 600.00 Brits Pale 7

CONCLUSION

Masakhe, a South African based manufacturer of this product, submitted the lowest priced and technically acceptable

bid for the supply and delivery of 7m Creosote Treated Poles, 13m Creosote Treated Poles and 2.5m Intermediate

Cross- arm.

BSM, a locally based company, submitted the lowest priced and technically acceptable bid for the supply and delivery

of 2.5m Strain Cross- arm.

RECOMMENDATION

It is recommended that the EXECUTIVE Procurement and Tender Committee approve as follows:

i) The award of the tender for the Supply and Delivery of 80 x 7m Creosote Treated Poles, 80 x 13m

Creosote Treated Poles and 1000 x 2.5m Intermediate Cross- arm. to Francistown and Gaborone

warehouse to Masakhe at their variable price of P235 704.60

ii) The award of the tender for the Supply and Delivery of 1000 x 2.5m Strain Cross- arm to Gaborone

warehouse to BSM at their variable price of P74 140.00

iii) Provision for ROE Variation @ 3% P 9 295.34

iv) VAT Provision @ 12%: P 38 296.79

v) Total Amount for which approval is sought is: P357 436.73 vi)

APPROVED NAME SIGNATURE DATE

Director Transmission


Director, Corporate Services (A)

Director Customer Services and Supply

COMPANY PROFILE

Masakhe

Physical Address:

Postal Address :

Contact: Tel: Fax:

Year of Incorporation:

Share Holding:

Details of company owners:

Core Business: Manufacturer

COMPANY PROFILE

1. BSM

Physical Address:

Postal Address:

Contact: Tel: Fax:

Year of Incorporation:

Share Holding:

Details of company owners:

Core Business: Distributor

ANNEXURE K

PURCHASE ORDER RELEASE DELEGATED AUTHORITY

TEMPLATE

Mr/Mrs ………………………..

………………………………….

………………………………….

Gaborone

________________________________________________________________

Our ref: Your ref: Date:

Dear Sir/Madam (as applicable),

SUBJECT: DELEGATION OF AUTHORITY TO RELEASE PURCHASE ORDERS-YOURSELF

The Supply Chain Manager/Power Station Manager (as applicable) will not be available from the …….2015

to the …….2015.

You are therefore delegated the authority to release Purchase Orders up to the level of the Supply Chain

Manager’s/Power Station Manager’s delegated financial threshold from the …….2015 to the …….2015.

This delegated authority has been made in line with the requirements of Paragraph 60(6) of the Tender

Regulations.

Yours Sincerely

……………………………

Chief Financial Officer/Director Generation (as applicable)

cc: General Manager Internal Audit

Supply Chain Manager/Power Station Manager (as applicable)

ANNEXURE L

CITIZEN ECONOMIC EMPOWERMENT PREFERENCE MARGINS

A. Building Construction Consultancy Services (Designers)

Projects up to P75 million Reserved for 100% citizen owned consultancies

Projects more than P75 million Price preference of up to maximum P240, 000.00

(Used in conjunction with % price preference at Table 3.1)

B. Civil Works Consultancy Services

Projects up to P48.0 million Reserved for 100% citizen owned consultancies

Projects more than P48.0 million Price preference of up to maximum P240, 000.00


C. Electrical and Mechanical Consultancy Services




D. Water Engineering Services




E. Water Exploration Services




F. Information Technology Suppliers of Consultancy Services




G. Information Technology Suppliers of Hardware/Software




H. Accountancy Related Services




I. Other Consultants (Economic, Marketing etc.)

Projects up to P720, 000 Reserved for 100% citizen owned consultancies

Projects more than P720, 000 Price preference of up to maximum P72, 000.00


Table 3. Price Preference Schemes for Citizen Consultancy Companies

A. % points to be awarded to Citizen Consultancy Companies

Company Structure Preference Method (% points awarded)

100% citizen owned JV’s1 10

100% citizen owned associations/consortia2 10

100% citizen owned companies3 9

Majority citizen owned JV’s4 7

Majority citizen owned associations/consortia5 6

Majority citizen owned companies6 5

Minority citizen owned JV’s7 4

Minority citizen owned associations/consortia8 4

Majority citizen owned companies9 3

1100% citizen owned associations/consortia refers to individual companies which come

together in the form of an association in order to do a particular project/projects, and the

shareholding of these companies is 100% owned by citizens. 3100% citizen owned companies refers to companies whose shareholding is 100% owned by

citizens. 4Majority citizen owned JV’s refers to joint ventures which are formed by individual companies

whose shareholding is 51% or more are owned by citizens, or where out of a total aggregated

shareholding of all these companies, 51% or more are owned by citizens. This includes joint

venture companies as well as joint ventures that are specifically formed to do a particular

project/projects and are not permanent 5Majority citizen owned associations/consortia refers companies which come together in the

form of an association/consortium in order to do a particular project/projects, and the

shareholding of these individual companies are 51% or more owned by citizens, or where out

of the total shareholding of all these companies, 51% or more is owned by citizens 6Majority citizen owned companies refers to companies whose shareholding is 51% or more

owned by citizens 7Minority citizen owned JV’s refers to joint ventures which are formed by individual companies

whose shareholding ranges from 25% to 50% or where out of the total aggregated shareholding

of these individual companies the citizen owned shareholding ranges from 25% to 50%. This

includes joint venture companies as well joint ventures that are specifically formed to do

particular project/projects and are not permanent. 8Minority citizen owned associations/consortia refers to companies which come together in the

form of an association/consortium in order to do a particular project/projects, and the citizen

owned shareholding of these individual companies ranges from 25% to 50%, or where out of

the total aggregated shareholding of these companies the citizen owned shareholding ranges

from 25% to 50%. 9Minority citizen owned companies refers to companies whose shareholding by citizens ranges

from 25% to 50%

Table 4: Reservation and Price Preference Scheme for Citizen Construction Companies

(Contractors)

A. Building Construction Works

Projects up to P7.2 million (OC, A and

B) reserved for Batswana only

Reserved

30% of projects is reserved for 100% citizen owned companies


B. Electrical and Mechanical Works

Projects up to P960, 000 (OC, A and B) Reserved

30% of projects is reserved for 100% citizen owned companies

Projects more than P960,000.00 (C, D and E) Price preference of up to maximum P48, 000.00

C. Civil Engineering Works (Roads, Bridges, Dams etc.

Projects up to P20 million (OC,

A and B)

Reserved

30% of projects is reserved for 100% citizen owned companies at Grades D & E


D. Water Engineering and Drilling

Projects up to P800, 000 (OC, A

and B)

Reserved

30% of projects is reserved for 100% citizen owned companies contractors Grades D and E

Projects more than P800, 000.00

(D & E)

Price preference of up to maximum P150, 000.00

E. Roads and Ancillary Works

Fully reserved for 100% citizen owned contractors (Grade A to E)

F. Fencing Building

Fully reserved for 100% citizen owned contractors (Grade OC to E)

Table 5. Citizen Preference for Construction Companies

Company Structure Preference Method (% points awarded)

100% citizen owned JV’s10 6

100% citizen owned associations/consortia11 6

100% citizen owned companies12 5

Majority citizen owned JV’s13 4

Majority citizen owned associations/consortia14 4

Majority citizen owned companies15 3.5

Minority citizen owned JV’s16 3

Minority citizen owned associations/consortia17 3

Majority citizen owned companies18 2.5

10100% citizen owned JV’s refers to joint ventures which are formed by individual companies

whose shareholding is 100% owned by citizens. This includes joint venture companies as well

as joint ventures that are formed specifically to do a particular project/projects 11100% citizen owned associations/consortia refers to individual companies which come

together in the form of an association in order to do a particular project/projects, and the

shareholding of these companies is 100% owned by citizens. 12100% citizen owned companies refers to companies whose shareholding is 100% owned by

citizens. 13Majority citizen owned JV’s refers to joint ventures which are formed by individual

companies whose shareholding is 51% or more are owned by citizens, or where out of a total

aggregated shareholding of all these companies, 51% or more are owned by citizens. This

includes joint venture companies as well as joint ventures that are specifically formed to do a

particular project/projects and are not permanent 14Majority citizen owned associations/consortia refers companies which come together in the

form of an association/consortium in order to do a particular project/projects, and the

shareholding of these individual companies are 51% or more owned by citizens, or where out

of the total shareholding of all these companies, 51% or more is owned by citizens 15Majority citizen owned companies refers to companies whose shareholding is 51% or more

owned by citizens 16Minority citizen owned JV’s refers to joint ventures which are formed by individual

companies whose shareholding ranges from 25% to 50% or where out of the total aggregated

shareholding of these individual companies the citizen owned shareholding ranges from 25%

to 50%. This includes joint venture companies as well joint ventures that are specifically formed

to do particular project/projects and are not permanent. 17Minority citizen owned associations/consortia refers to companies which come together in

the form of an association/consortium in order to do a particular project/projects, and the

citizen owned shareholding of these individual companies ranges from 25% to 50%, or where

out of the total aggregated shareholding of these companies the citizen owned shareholding

ranges from 25% to 50%. 18Minority citizen owned companies refers to companies whose shareholding by citizens ranges

from 25% to 50%

Table 6: Price Preference for Non-Citizen Owned Construction and ICT Companies

Incentives to sub-contract Batswana (New Initiative)

Percentage of work sub-contracted to 100%

citizen owned contractors by the non-citizen

contractor (in terms of project cost)

Percentage price preference to be

awarded (% of the bid price)

24-30% 6%

16-22% 4%

10-15% 2%

5-9% 1%

Notes

1. Maximum to be sub-contracted is 30% of the total cost of the project (project cannot be wholly

sub-contracted).

2. The above price preferences are up to a maximum as follows:

a) Building Works P720, 000.00

b) Electrical and Mechanical Works P 48, 000.00

c) Civil Engineering Works P600, 000.00

d) Water Engineering & Drilling Works P 90, 000.00

d) Information Technology P 72, 000.00

3. It must be ascertained that indeed the work has been sub-contracted to the 100% citizen owned

contractor in order to award these price preferences

Tender Regulations Implementation Procedures-Revised 2016

Originator: Corporate Finance CSU

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ANNEXURE M

TENDER AWARD LETTER TEMPLATE

Tel: (+267) 360 3000 Fax: (+267) 3913915



The Managing Director

…………. (Pty) Ltd

PO Box

Gaborone

________________________________________________________________

Our ref: 1056/15 Your ref: Date: 14th August 2015

Dear Sirs,

SUBJECT-RE: AWARD OF TENDER ……./15 FOR (Insert Title of

Project of Tender)

1. Your response to the above mentioned tender refers.

2. This serves to inform you that the BPC Executive Procurement and Tender Committee at its meeting

of the 3rd August 2015 approved to award your firm the tender for the (Insert Title of Project or

Tender) subject to the following conditions;

2.1 Your confirmation of acceptance of the award by signing a duplicate copy of this letter as

acknowledgment of receipt and acceptance of the offer within two (2) days of receipt.

2.2 The Award letter is not binding on BPC until the contract for works is signed.

2.3 The tender award is based on your tender submission which was closed on the 26th June 2015.



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2.4 The contract amount shall be agreed between yourselves and BPC after negotiations which are

to be done in good faith. The contract amount shall however not exceed the following quoted

sums which are exclusive of VAT only:

You are required to sign the duplicate copy of this letter and return it to BPC within two (2) days of receipt

as acknowledgment of receipt and acceptance of the offer subject to agreement of contractual conditions that

will be communicated to yourselves at a later stage.

Yours Sincerely

…………………..

For/Botswana Power Corporation

I ………………………ID/Passport No. ……………on behalf of Sharitt Group (Pty) Ltd acknowledge

receipt of this letter from the Botswana Power Corporation.

Signature………………………….. Date……………………..



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ANNEXURE N

LETTER TO UNSUCCESSFUL BIDDERS TEMPLATE

Tel: (+267) 360 3000 Fax: (+267) 3913915



The Managing Director

Investments Pty Ltd

Po Box 211

Francistown

Our ref: Tender 9573/14 Your ref: Date: 15th June 2015

RE: BPC TENDER NO. 1111/15- SUPPLY AND DELIVERY OF VARIOUS CABLES TO GABORONE

AND FRANCISTOWN WAREHOUSES

Reference is made to your response to the above mentioned tender.

We wish to kindly inform you that in this instance your tender was not successful. The tender has been awarded as

follows:

ITEM DESCRIPTION SUCCESSFUL BIDDER TENDERED AMOUNT

GABORNE

TENDERED AMOUNT

FRANCISTOWN

Cable Concentric Service 16mmX3

core

Shimane Engineering (Pty) Ltd P 6 630 000.00 P 6 600 000.00

Cable Underground 35mmsqx4core Mokoto Reticulation (Pty) Ltd P 363 000.00

Cable XLPE 35mm SQ X 3Core Molelo Pty Ltd P 460 620.00

We however wish to take this opportunity to thank you for showing interest in doing business with the Corporation

and assure you of our cooperation at all times.

Yours faithfully

……………

For/ Botswana Power Corporation



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ANNEXURE O

REQUEST FOR QUOTATION TEMPLATE

Tel: (+267) 360 3000 Fax: (+267) 3913915



REQUEST FOR QUOTATION

This enquiry schedule is used for all items whose value is not subject to a public tender.

Bidders are required to read the instructions carefully, as failure to comply with the requirements may lead to the

immediate disqualification of the bid.

Enquiry Number…………………………………

Date: …………………………. Closing Time: ……………………….

Closing Date: ………………………………… Fax::………………………………….

Vendor: ……………………………… Tel: ……………………………………

For the Attention of: …………………………………………. Page… ................of…………………….

PLEASE SEND REPLY TO:

Name: ……………………………………… E-mail address: ………………………………….

Fax No: +267 397 2367/3953 018

Tel: ...........................................

Prices Quoted are: Fixed and Firm

Subject to metal Escalation (Include Variation Factor)

Subject Currency Exchange variation

Valid for a period of …………………….. Days.

Items Quoted will be manufactured by: ………………………………………….in

……………………………………. (State name of Country)


The evaluation of bids will be in three stages as follows.

1. Compliance to General Requirements of the Request for Proposal.

2. Compliance to Technical specification

3. Price and Delivery competitiveness



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Bidders are required to comply with the following in order for their submission to be considered.

1. General Requirements of the Request for Proposal.

d) Valid Tax Clearance Certificate or Tax Exemption Certificate obtainable from the Botswana Unified

Revenue Services (BURS) (Applicable to all bidders as follows:

e) Local bidders Tax Clearance Certificate only

f) Foreign bidders Tax Exemption Certificate.







Private Bag 0013

Gaborone

Telephone: (267) 363 8000

Fax: (267) 363 9999

g) Submission of Trading Licence or authorisation to trade in goods that are being procured under this

tender (Applicable to foreign and local bidders).

c) Proof of EDD registration relevant to the goods required under this tender, for eligibility to price preference.

(Local eligible bidders only)

d) Submission of Shareholders Certificate and Names of Company Directors. (Applicable to foreign and local

bidders).

e) Disclosure of the manufacturing source from whom the goods will be obtained-if applicable (Applicable to

foreign and local bidders).

Failure to meet any of the above criteria will result in the bid disqualification.

2. Technical Compliance

i. Type Test Certificates (if applicable)

ii. A letter from the manufacturing source from whom the goods will be obtained, indicating that they

would be in a position to provide the necessary technical backup support.

iii. Submission of proof of product certification by Certification Bodies such as SABS, BOBS etc.

Other(s) Please Specify



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ANNEXURE P

REGISTER OF TENDERS AWARDED ON THE BASIS OF PROCUREMENT PREFERENCE INITIATIVES

TENDERS AWARDED ON THE BASIS OF EDD/CEE/LPS (as applicable) PRICE PREFERENCE MARGINS 20…

AWARDED TO

DESCRIPTION MANUFACTURER/SERVICE

PROVIDER

F

D E F1 F2 F3 G

(F2-F3)

NAME EDD/CEE/LPS

% (indicate

applicable

preference)

TENDERED AMOUNT

BWP

AMOUNT AFTER

APPLICATION

OF

CEE/EDD/LPS

BWP

LOWEST

TENDERED

AMOUNT BWP

PURCHASE PREMIUM

PAID BY BPC BWP



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ANNEXURE Q

EPTC TEMPLATE FOR NULLIFICATION AND RE-ADVERTISEMENT OF

TENDERS



TENDER 9420/14

NULLIFICATTION FOR CONSTRUCTION OF GUARD HOUSE AT DUKWI SUB STATION

SCOPE OF TENDER

This submission seeks approval for the:

i) Nullification of the tender for construction of Guard house at Dukwi Sub station.

ii) Re-advertisement of the tender for construction of Guard house at Dukwi Sub station.

VALUE OF TENDER

N/A

BUDGETARY PROVISION

Budgetary provision was made in 2015/16 under Corporate Risk code CSCR1204_15 Construction of guard houses

METHOD OF TENDER

The Open Tender Method was used with advertisements placed in the Local press and tenders received were opened

on the 15th December 2014.

BRIEF BACKGROUND

The construction of guard houses has been identified as priority after assessment of the non-availability of such

facilities in Sub Stations. The contracted security staff has no shelter nor do they have proper toilet facilities in the sub

stations. At times of bad weather they do not have a place to shelter them. It is against this background that the

construction of guard house with toilet facilities has been viewed as vital.



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TENDERS RECEIVED

Tenders received are as per the table below.

Item Tender Name Price (BWP)VAT Inclusive

1 Mosiile Investments 81,760.00

2 Uzikhalele Construction 85,680.00

3 Thamalakane (Pty) Ltd 160,179.04

4 Anointing Oil Investments 211,971.20

TENDER VALIDITY

Tenders are valid for 60 days ending 09th March 2015.

TENDER EVALUATION

The Evaluation committee comprised of:


A. General compliance evaluation

Tender Name

PPAD

B

license

Tax

clearanc

e

certificat

e

Declaration

form

Company

Registration

Copy of

receipt

Proceed

1 Mosiile Investments x

x

2

Uzikhalele

Construction

3

Thamalakane (Pty)

Ltd

4

Anointing Oil

Investments x x



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Two companies being Mosiile Investments and Anointing Oil Investments did not meet the compliance criteria by

not completing the declaration form and the proof of purchase of tender document respectively.

B. Technical Evaluation

Tender Name Experience Bill Completion Site Visit Proceed

1 Uzikhalele Construction x x

2 Thamalakane (Pty) Ltd x

x

All the companies did not meet the technical requirement being the experience in the last three years and Bill

Completion.

C. Financial Evaluation

No company was assessed for financial compliance.

CONCLUSION

Based on the agreed selection criteria, none of the bidders was recommended.

RECOMMENDATION

It is recommended that the EXCO Procurement and Tender Committee approve as follows:

1. Nullification of the Tender 9420/14 for the construction of Guard house Dukwi Sub station

2. Re-advertisement of the tender for the construction of Guard house Dukwi Sub station

APPROVED

NAME

SIGNATURE

DATE

Director - Transmission


Director Corporate Service – (A)

Director Customer Services & Supply



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ANNEXURE R

EXPRESSION OF INTEREST TEMPLATE


REQUEST FOR EXPRESSIONS OF INTEREST

SUPPLY AND DELIVERY OF REFRACTORY MATERIALS AND PROVISION OF MAINTENANCE SERVICES OF

REFRACTORY AT MORUPULE B POWER STATION

Tender Number No. 1049/15 -1

EXPRESSIONS of INTEREST (EoI):

The Botswana Power Corporation (BPC), as the National Power utility of the Republic of Botswana has completed

the erection and construction of the Morupule B Power Station 4 x 150 MW units. The station is located about 270

km North East of the capital city, Gaborone at a place called Palapye in the Central District.

Morupule B Power Station Boilers employ a Circulating Fluidized Bed (CFB) technology with External Fluidized Bed

Heat Exchangers(FBHE). These were designed by Hitachi Europe and manufactured by Wuxi Huaguang. The

installation and commissioning was done by China Civil Electric Engineering Company (CNEEC) of China. The

station is fully operational with all four units commissioned and handed over to the BPC.

The Boilers comprises of the Furnace, Cyclones, Seal ports, FBHE`s induct burners and the Convective section which

all constitute deferent refractory layers for heat insulation and protection of boiler pressure parts against abrasion.

Since commissioning after a diminutive period of time the boilers have been experiencing refractory failures in more

pronounced areas of the cyclones, seal ports and the induct burners.

The BPC requires a company to provide both services in “supply of refractory materials and provision of

maintenance services of refractory” to assist the Corporation to manage the refractory defects and maintenance

requirements.

The BPC now invites eligible competent and experienced companies dealing in both supply of coal fired CFB boiler

refractory materials and refractory maintenance to indicate their interest in providing the above mentioned refractory

services. Interested companies must provide information indicating their capability, experience and qualification to

perform the services by submitting brochures, firm profile, description of similar assignments, relevant experience, at

least three references from customers / employers where similar services have been offered in the past 5-8 years and

availability of personnel to carry out the required services.

The Corporation will shortlist (pre-qualify) companies based on assessment of the received expressions of interest using

the information requested above. Short listed service providers would be invited to tender for the required services by

responding to a detailed Request for Proposal (RfP).

Clarifications pertaining to this call for expression of interest may be obtained from the Mechanical Engineer email

address: Phone: +267 4930253 or [email protected] Cell: + 267 71 961 050 during office hours [07:00 to 16:30 hours

Monday to Friday].




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Expressions of Interest (EoI) should be deposited in the TENDER BOX situated in the Botswana Power Corporation,

Supply Chain (Procurement) Office, Nkrumah Road, Gaborone, Botswana by 19th June 2015 on or before 10:00 Hrs

and should be marked as follows:-



Morupule B O&M Power Plant Management Consultant

Tender Number 1049/15-1

Motlakase House, Macheng Way, P.O. Box 48

Gaborone, Botswana.



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ANNEXURE S

NOTIFICATION OF EXTENSION OF TENDER CLOSING DATE

TEMPLATE



TENDER NO 9153/14 and 9153/14/1:

SUPPLY, DELIVERY, INSTALLATION AND COMMISSIONING OF RAKOLA 220/132 kV

SUBSTATION & ISANG-RAKOLA 2x220 kV LINES

Extension of tender submission date from 18th July 2014 to 18th August 2014

SCOPE OF TENDER

This tender is for the supply, delivery, installation and commissioning of Rakola 220/132 kV substation and Isang –

Rakola 2 x 220kV lines

BRIEF BACKGROUND

An Engineering consultancy firm (Norconsult) was appointed in August 2011 to provide consultancy services for

the Rakola project which consists of the construction of a 220/132 kV substation in a place called Rakola and 2 x

220 kV lines from Isang substation to Rakola substation. The project will also involve the construction of the

Metsimotlhabe 132/33/11 kV substation and a 132 kV line from Rakola to Metsimotlhabe.

To date, the designs, specifications and tender documents for the procurement of an EPC (Engineering Procurement

and Construction) contractor have been accomplished and the two tenders for the project (9153/14 and 9153/14/1)

were advertised on the 19th May 2014 with a closing date of 18th July 2014. So far twenty three (23) companies have

collected the tender documents as listed below.

1. Star Express CC

2. Lamperini Construction CC

3. E-Square Engineering

4. Symbian - PNC

5. Pinole (Prop) Limited

6. CONCO

7. Partners Electrical

8. SSB

9. ABB

10. KPT CRD

11. ZISMO

12. Acute Engineering

13. Babcock

14. National Contracting Company – Saudi Arabia

15. KEC International

16. Kalpataru,



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17. Jyoti Structures

18. Eltel Networks,

19. EFACEC (Pty) Ltd

20. Gammon

21. SAE Power lines

22. EMCO limited

23. Galaxy Electrical

NEED FOR TENDER CLOSING DATE EXTENSION

Six of the twenty three (23) companies namely KEC International, Kalpataru, Jyoti Structures, Eltel Networks,

EFACEC (Pty) Ltd and ZISMO have requested the closing date to be extended by a month (from 18th July 2014 to

18th August 2014). The reason they advanced was that they needed more time to enable them to submit quality

submissions considering the high number of affected existing transmission substations and transmission lines.

The Transmission SBU has found it crucial to extend the closing date by one month as requested since the reasons

advanced by the bidders are deemed valid. There have also been numerous clarifications received from the bidders

which will also require time to be adequately addressed.

FINANCIAL AND SCHEDULE IMPLICATIONS

The extension of the tender closing date has no financial implications.

In terms of the schedule, the extension moves the anticipated target date of adjudication and appointment of the

Contractor by at least one month which could ultimately impact on the project delivery date. Nonetheless, the project

team will investigate ways of accelerating the project progress during the construction stage to make up for the lost

time.

RECOMMENDATION

It is recommended that EXCO Procurement and Tender Committee notes the extension of the tender closing date from

18th July 2014 to 18th August 2014.

APPROVED SIGNATURE DATE

Director – Transmission


Director – Corporate Services

Director Customer Services & Supply



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ANNEXURE T

EPTC SUBMISSION-TENDER AWARD RATIFICATION TEMPLATE



TENDER NO. 1204/15

REQUEST FOR RATIFICATION FOR OIL LEAKS REPAIRS ON 2 x25MVA 132/33kV TRANSFORMERS AT JWANENG SUBSTATION

SCOPE

This is a request for ratification for the award of an Informal Single Source Tender to carry out emergency oil leak

repairs on 2 x 25MVA 132/33kV transformers at Jwaneng Substation.

VALUE OF TENDER

Value of this Tender: BWP 336, 697.15

Provision for ROE @5% BWP 16, 834.86

Subtotal BWP 353, 532.01

Provision for VAT at 12%: BWP 42, 423.84

Total Tender Amount for Approval: BWP 395, 955.85

BUGDETARY PROVISION

Budgetary Provision has been made under the 2015/16 Transmission Business Unit OPEX Budget under Code

T213/5543

Budget amount: BWP 2,500,000.00

Expenditure: BWP 1,752,231.13

Available: BWP 747,768.87

This Tender: BWP 353,532.01

Balance: BWP 394,236.86

BRIEF BACKGROUND

Jwaneng Substation has an installed capacity of 4 x 25MVA 132/33kV transformers connected in parallel to supply

Debswana Diamond mine. The Debswana distribution system is mostly at 33 kV; which makes these four transformers

critical to the operations of the mine. When one of these transformers is out of service, the mine firm supply is highly

compromised.



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Currently two of these transformers are leaking badly resulting in one of them being switched off due to the seriousness

of the leaks. This loss of the transformer has seriously compromised the installed capacity to the mine at 33kV bus

bar. Due to this breach, a decision was taken to engage Mosomane (Pty) Ltd to carry out emergency repairs on the

transformers hence the need to ratify the arrangement.

Failure to carry out this project would result in breach of agreement and may also bring issues of litigations against

BPC due to the environmental degradation from the leaking oil.

METHOD OF TENDER

This was an Informal Single Sourcing Tender restricted to Mosomane (Pty) Ltd for the repairs of oil leaks on 2 x

25MVA transformers at Jwaneng Substation, which comprises: drainage of oil, replacement of all gaskets, vacuum

creation, replacement of Buchholz relays and circulation of oil using an oil plant.

Mosomane (Pty) Ltd has previously carried out repairs on BPC Transmission and Distribution transformers and have

previously carried out oil regeneration on transmission network transformers. Engaging them would assist BPC to

rectify the anomaly at Jwaneng Substation in the shortest possible time and with minimal interruption of supply as

they possess the necessary experience.

TENDERS RECEIVED

The quotation received is as depicted below:

SUPPLIER

SERVICE TENDERED PRICE

[ZAR]

TENDERED PRICE

[BWP]

Mosomane (Pty) Ltd Oil leaks repairs on 2 x 25MVA

132/33kV transformers

471 275.00 336 697.15

The tender price quoted in South African Rand was converted to Botswana Pula at an exchange rate of BWP

1.00 = ZAR 1.3997 as on the 07/01/2016.

TENDER VALIDITY

The tender validity for 30 days from 07th January 2016 to 7th February 2016.

TENDER EVALUATION

This was an Informal Single Sourcing tender restricted to Mosomane (Pty) Ltd.

MOTIVATION FOR INFORMAL SINGLE SOURCING TENDER

An informal Single Sourcing Tender restricted to Mosomane (Pty) Ltd was considered the most appropriate method

of securing the required services for the following reasons:

i) The required services, especially for large transformers, are only provided by external service providers

not domiciled in Botswana as the works require service providers with the requisite skills, experience and

equipment.



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ii) Mosomane (Pty) Ltd have carried out leak repair works on BPC transformers before with excellent

workmanship.

iii) Other service providers who were contacted for the provision of leak repair services indicated that they

would not be immediately available to offer the required services.

iv) The urgency of the required services necessitates the expedited engagement of a service provider and

other methods of tendering would have delayed the process leading to protracted failure to serve

Debswana Jwaneng, leading to loss of revenue.

CONCLUSION

The Business Unit concluded that the tender be offered to Mosomane (Pty) Ltd (Pty) Ltd as they possess the necessary

experience to execute this project. Moreover, their price was considered to be reasonable and they will also deliver

the services within a reasonable period.

RECOMMENDATION

It is recommended that the EXCO Procurement and Tender Committee ratify the following:

1. The award of a tender for the Oil Leaks Repairs on 2 x 25MVA Transformers at Jwaneng Substation to Mosomane

(Pty) Ltd (Pty) Ltd at their tendered amount of BWP 336 697.15

2. An amount of BWP 16, 834.86 being provision for ROE at 5%.

3. An amount of BWP 42, 423.84 being provision for VAT at 12%

4. The total amount sought for approval is therefore BWP 395, 955.85

APPROVED NAME SIGNATURES DATE

Director - Transmission


Director – Corporate Services (A)

Director – Customer Services and Supply

ANNEXURE A: Mosomane (Pty) Ltd Company Profile

ANNEXURE B: Mosomane (Pty) Ltd Quotation

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