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Rev. 01

DETAILED INVITATION FOR BIDS

THE SINGARENI COLLIERIES COMPANY LIMITED (A GOVERNMENT COMPANY)

(INVITATION FOR BIDS)

FOR BALANCE OF PLANT (BOP) PACKAGE

FOR SINGARENI THERMAL POWER PROJECT, (2X600 MW)

AT

PEGADAPALLI (V), JAIPUR (M) NEAR MANCHERIAL, DISTRICT ADILABAD, ANDHRA PRADESH 504216, INDIA

(International Competitive Bidding)

Ref. No.: C1511G0342 Date: 16.12.2011 1.0 The Singareni Collieries Company Limited (SCCL), (A Government Company),

Kothagudem Collieries, District. Khammam, Andhra Pradesh, India has decided to set up two coal based Units of 600 MW capacity each at Pegadapalli (V), Jaipur (M) near Mancherial, District Adilabad in the state of Andhra Pradesh in India.

SCCL invites sealed bids on Single Stage Two envelope bidding basis

(Envelope I: Techno-Commercial and Envelope II: Price Bid) from eligible bidders for execution on TURN-KEY BASIS for Balance of Plant (BOP) package for Singareni Thermal Power Project, (2x600 MW).

2.0 BRIEF SCOPE OF WORK

The brief scope of work is as under: Design, engineering, manufacture, shop fabrication, inspection & testing at manufacturer's works/ supplier's works, packing, despatch, port handling/port clearance & reconciliation with custom authorities(wherever applicable), inland transportation, transit insurance, delivery to site, receipt, unloading, handling, storage and in-plant transportation at site, fabrication at site, erection, supervision, pre-commissioning, testing, commissioning including successful completion of trial operation and performance and guarantee testing of entire Balance of Plant (BOP) package complete with all other electrical and allied system equipment including furnishing of mandatory spares and special maintenance tools and tackles at site as per specifications.

The detailed scope of work is specified in Technical Specifications.

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3.0 SCCL intends to finance Balance of Plant (BOP) package through External Commercial Borrowings / Own Resources.

4.0 Detailed scope of work, specifications and terms & conditions are given in the

Bidding Documents which are available for examination and sale at the address given at Sl. No.12.0. Other details and schedule are as follows:

Bidding Document No. : CW-CM-9596-C-O-M-001 Document Sale Date & : From 20.12.2011 to 16.01.2012 Timing : From 10:00 Hrs. to 15:00 Hrs. (IST) Bid Receipt Date & Time : Upto 10:30 Hrs.(IST) on 15.02.2012 Bid Opening Date, Time : On 15.02.2012 at 11:00 Hrs. (IST) at & Venue of Techno- NTPC Ltd., Consultancy Wing, Room No. Commercial Proposal 219, Engineering Office Complex Annexe,

A-8A, Sector-24, NOIDA -201307 (UP)

Cost of Bidding Document : Rs.22,500/- (Rupees Twenty two thousand five hundred only) per set for Indian Bidder and US $ 500 (US Dollar Five hundred only) per set for Foreign Bidders.

4.1 The date and venue of Pre-Bid Conference, in line with the provisions of the

bidding documents shall be intimated separately. 4.2 As per provisions of bidding documents, the bidders shall submit, in separate

sealed envelopes. "Techno-Commercial Proposal" and "Price Proposal", within the bid submission date and time as mentioned above. Only Techno-Commercial proposals will be opened on the same day (i.e. 15.02.2012) at 11:00 Hrs. (IST). The date of opening of Price Proposal shall be intimated separately by SCCL after completion of evaluation of Techno-Commercial Proposal.

5.0 All bids must be accompanied by Bid security for an amount equivalent to

Rs.26,10,00,000/- (Rupees Twenty Six Crore Ten Lac only) or in USD 5,220,000 (US Dollars Five Million Two Hundred Twenty Thousand only) in the form as stipulated in bidding documents. Any Bid not accompanied by the acceptable Bid Security in a separate sealed envelope shall be rejected by the Employer as being non-responsive and returned to the bidder without being opened.

6.0 DEEMED EXPORT BENEFITS

Bidders may note that Bids for Balance of Plant(BOP) Package for Singareni Thermal Power Project, 2x600 MW are being invited on International Competitive Bidding (ICB) basis. As such, the domestic supplier of Capital Goods and Spares for this Package may be eligible for certain Deemed Export Benefits subject to fulfillment of conditions as per extant Foreign Trade Policy of Govt. of India.

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Bidders may like to ascertain the availability of such benefits which they consider in their Bid as they themselves shall be responsible for obtaining the same.

7.0 Qualifying Requirements for Bidders 7.1 (i) The bidder should have executed contracts on Engineering, Procurement and

Construction (EPC) basis for atleast one no. Coal based / Lignite based / Gas based Combined cycle Power plant of installed capacity not less than 200 MW which has been commissioned during the last seven (7) years and has been in successful operation for at least one (1) year from Commercial Operation Date as on 7 days prior to the date of opening of the bid. The scope of work of such reference plant should have necessarily included Design, engineering, supply, erection and commissioning on turnkey basis (with all associated mechanical, electrical, civil & structural works) of either:

a) Main power plant equipment (Boiler-Turbine-Generator or Gas Turbine-

HRSG-STG) with all associated integral auxiliaries.

OR

b) Coal / lignite handling plant, ash handling plant, cooling tower and water system (water treatment / waste water treatment, DM Plant and Circulating water system) of a coal / lignite based power plant.

(ii) Alternatively, the bidder shall be a joint venture company incorporated in India

and registered under Companies Act 1956, provided that eligibility criteria mentioned at paragraph 7.1(i) above is met by one of the promoters or jointly by more than one promoter. Each promoter company on the basis of whom the joint venture company gets qualified shall have minimum 26% equity in the JV company. The equity shall be locked in at least for a period of 5 years from the date of bid opening or till the completion of the warranty period of the project whichever is later. The bidder and the promoter company(ies) on whose strength the JV company is qualified, shall be jointly and severally liable for the execution of the contract and an undertaking to this effect shall be submitted along with the bid. In case of award, the said promoter company(ies) shall be required to give separate on demand bank guarantee for an amount equal to 1% of the total contract price in addition to the contract performance guarantee of 10% of contract value to be furnished by the JVC. The JVC partner on whose experience the qualification is sought shall not be allowed to bid independently or as a member in a consortium for this bid.

7.2 The Bidder can submit the bid in his individual capacity or in consortium with

other partner(s). In case of consortium, number of consortium partners should be limited to four (4). International consortium partner is also acceptable. One of the consortium partners shall be the consortium leader. The consortium leader should either have executed any one of the items of paragraph 7.1 (i) (b) or EPC

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projects in the area of power, steel, fertilizer or any other process industry of contract value of at least Rs.200 Crore.

Each consortium partner should have experience of at least one of the following BOP packages in power plant or industries (Steel / Aluminium / Zinc or Copper plant / Gas or Nuclear plant / Municipal water treatment & distribution system) of capacity equivalent to that stipulated in the tender documents for individual BOP systems. However all the consortium partners should have collective experience in all the seven areas. 1. Coal handling plant

2. Ash handling plant

3. Induced draft cooling tower

4. Natural draft cooling tower

5. DM Plant

6. Pre-treatment plant

7. Effluent treatment plant

The consortium partners shall be jointly and severally responsible for the execution of the contract. The consortium agreement shall be furnished clarifying the split up of scope between consortium partners. Any of the members in a bidding consortium shall not separately participate as an independent bidder, as a member of any other consortium or as a promoter of JV company in the same bidding process.

7.3 The Performance bank guarantee shall be as under:

i. In case of individual firm including JVC: 10% of contract value.

ii. In case of consortium comprising two or more members (leader + one or more consortium partners): Total performance bank guarantee (PBG) shall be 15% of contract value which shall be divided between consortium leader and consortium partners as under:

a) Consortium leader shall give PBG for at least 10% of contract value. b) Balance 5% PBG shall be divided between consortium leader and

consortium partners at the discretion of consortium leader. However, each consortium partner shall give PBG for at least 1% of total contract value.

7.4 The average annual turnover of the bidder should be at least Rs.500 Crore (or its

equivalent in Foreign currency) and that of consortium leader should be at least Rs.100 Crore during the preceding three consecutive years, as applicable. Net

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worth of the bidder / consortium leader as on the last day of the preceding financial year shall not be less than 100% of the paid up share capital. In case, bidder is a JVC and does not meet these requirements, the financial capability (average annual turnover) of at least one of the JVC partners on whose experience the qualification is sought, shall meet the above turnover and net worth requirements.

*7.5 The bidder shall comply with following criteria for selection of sub-contractor:

i. Sub-contractors to be appointed by the successful bidder for executing various systems is required to meet the qualification requirements/provenness criteria as stipulated in technical specification of tender Documents. The selection of subcontractor by the successful bidder shall be subject to approval of the owner.

ii. The major equipment to be supplied shall be sourced from reputed

manufactures who shall meet the qualification/provenness criteria as stipulated in Technical specification of tender documents.

*Note: The paragraph 7.5 shall be included as part of sub-contractor/vendor

selection criteria in the specification and not as part of Qualifying Requirements for bidders of BOP package on EPC basis.

7.6 The bidder shall provide satisfactory evidence that he and /or, where applicable,

the consortium members:

i) have adequate financial stability and status to meet the financial obligations pursuant to the works covered in the bidding documents.

ii) have adequate capability and capacity to perform the work properly and

expeditiously within the time period specified. The evidence shall specifically cover, with written details, the installed manufacturing and /or fabrication capacities to meet the requirements appropriate to the works covered in his bid. The details of alternative arrangements to be organized by the bidder for this purpose and which shall meet the employer's approval shall be furnished.

iii) have an adequate field service organization to provide the necessary field

erection and management services required to successfully erect, test and commission the equipment / system as required by the bidding documents.

8.0 Notwithstanding anything stated above, the Employer reserves the right to

assess the capabilities and capacity of the Bidder / his collaborators / associates / subsidiaries / group companies to perform the contract, should the circumstances warrant such assessment in the overall interest of the Employer.

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

10.0 A complete set of Bidding Documents may be purchased by any interested

Bidder on submission of a written application and payment (non-refundable) of the cost of the Documents as mentioned at clause 4.0 above in the form of a Crossed Account Payee Demand Draft in favour of 'The Singareni Collieries Company Limited, Kothagudem' payable at Kothagudem.

The Bidding Documents can also be downloaded from http://www.scclmines.com

on confirmation of payment offline (non-refundable) towards cost of the bidding documents and the downloaded documents can be used for bidding purpose.

In case the Bidders who have downloaded the Bidding Documents require an

additional manual copy of the Documents then such bidders shall be required to purchase the manual copy of the Bidding Documents following the procedure detailed above.

11.0 Issuance of Bidding Documents to any bidder shall not construe that such Bidder

is considered to be qualified to bid. Bids shall be submitted and opened at the address given above in the presence of Bidder's representatives who choose to attend the bid opening.

12.0 Address for communication and for sale of Bid Documents:

1. Chief GM (Purchase): Sh. Ch. Venkateshwar Rao,

The Singareni Collieries Company Ltd., (A Government Company) Kothagudem Collieries, Dist. Khammam, Andhra Pradesh Pin 507 101

Telephone No.: 08744-243109 Fax No.: 08744-.245651 Visit us at www.scclmines.com

2. Office of AGM (Purchase)

The Singareni Collieries Company Ltd., (A Government Company) 1st Floor, Singareni Bhavan, Post Box No. 18, Red Hills, Khairathabad HYDERABAD - 500 004

Telephone No.: 040 - 233 16964 Fax No.: 040 - 233 01846