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					     EVALUATION GUIDE
            FOR
PREQUALIFICATION AND BIDDING
   UNDER JBIC ODA LOANS




    Procurement of Goods and Services
       (except Consulting Services)




 Japan Bank for International Cooperation
                  (JBIC)

               June 2000

       (Amended in January 2007)
                                                                                               i




                                           Preface

        This Evaluation Guide has been prepared by Japan Bank for International Cooperation,
hereinafter and throughout these documents referred to as JBIC, for use by the Borrowers of
JBIC ODA Loans (The term ―Borrower‖ as used in this document also refers to the Executing
Agency of a project financed by JBIC ODA Loans.) in the evaluation of prequalifications and
bids, in accordance with the provisions of Guidelines for Procurement under JBIC ODA
Loans, dated October 1999 (hereinafter called Procurement Guidelines).

       This document is intended specifically for assisting the Borrowers in the evaluation of
prequalifications and bids procured through International Competitive Bidding (ICB), as well
as bids through Limited International Bidding (LIB). It should also prove useful, with
appropriate modifications, to the Borrowers for bid evaluation under Local Competitive
Bidding (LCB) procedures. Its use is encouraged as the procedures it incorporates have been
developed through broad international experience and practice and it complies with
Procurement Guidelines. In case of ambiguities or discrepancies between this Evaluation
Guide and the provisions of the Loan Agreement or the provisions of the prequalification /
bidding documents, the provisions of the Loan Agreement or the prequalification / bidding
documents prevail over the Evaluation Guide.

       It should be noted that, in accordance with the conditions of the Loan Agreement, JBIC
is authorized to publish a description of the contract, the names and nationalities of the
bidders, the bid prices, the name and nationality of the contract awardee and the contract price.

       Permissions from the World Bank and the Asian Development Bank to use its standard
evaluation forms and guides for prequalification and bidding as the bases for this Evaluation
Guide is herewith acknowledged.

       All users are invited to submit comments on their experience with this Evaluation
Guide to:

Procurement Policy and Supervision Division
Project Development Department
Japan Bank for International Cooperation
4-1, Ohtemachi 1-chome, Chiyoda-ku, Tokyo 100-8144, Japan
Telephone: +81 3 5218-9611
Facsimile: +81 3 5218-9640
URL: http://www.jbic.go.jp
E-mail: pdds@jbic.go.jp
                                                                                            ii




January 2007 amendment


       This amendment dated January 2007 has been made in light of the present operational
policy of JBIC on the evaluation of prequalification and bid, and for clarity of the Evaluation
Guide to promote a better understanding.


       In addition, Sample Forms for Prequalification Evaluation Report are incorporated
and some editorial corrections are made.
                                                                                                                                             iii




                                                    Table of Contents
          Preface ............................................................................................................................ i
          January 2007 amendment .............................................................................................. ii

How to Use This Guide............................................................................................................ 1

Section I. Evaluation Principles ............................................................................................ 3

Section II. Prequalification Evaluation ................................................................................ 6

Section III. Bid Evaluation ................................................................................................. 11

          GENERAL................................................................................................................... 11
          BID EVALUATION PROCEDURE
          1. Basic Information and Bidding Process................................................................... 13
          2. Preliminary Examination of Bids ............................................................................ 15
          3. Determination of Substantial Responsiveness ......................................................... 17
          4. Detailed Examination of Bids.................................................................................. 20
          5. Determination of Award .......................................................................................... 25

Annex I. Prequalification Evaluation Report Sample Forms........................................ 29
      Table 1. Identification ................................................................................................. 34
      Table 2. Prequalification Process ............................................................................... 35
      Table 3. Preliminary Pass-Fail Examination of Applicant ......................................... 36
      Table 4. Qualification Evaluation Summary .............................................................. 37
      Table 5. Proposed Prequalification Decision ............................................................. 39
Annex I-1. Prequalification Evaluation Summary Checklist ........................................... 40

Annex II. Bid Evaluation Report Sample Forms............................................................. 41
      Table 1. Identification ................................................................................................. 46
      Table 2. Bidding Process ............................................................................................ 47
      Table 3. Bid Submission and Opening ....................................................................... 48
      Table 4. Bid Prices (as Read Out) .............................................................................. 49
      Table 5. Preliminary Examination .............................................................................. 50
      Table 6. Corrections and Unconditional Discounts .................................................... 51
      Table 7. Exchange Rates ............................................................................................ 52
      Table 8. Currency Conversion ................................................................................... 53
      Table 9. Additions, Adjustments, and Priced Deviations ........................................... 54
      Table 10. Proposed Contract Award........................................................................... 55
Annex II-1. Bid Opening Checklist ..................................................................................... 56
Annex II-2. Preliminary Examination ................................................................................ 57
Annex II-3. Bid Evaluation Summary Checklist ............................................................... 58
How to Use This Guide                                                                                1




                                    How to Use This Guide


1.      The evaluation guide and forms contained in this document provide typical
organizational structures and step-by-step procedures for the evaluation of prequalification and
bids solicited through ICB. In all instances, the procedures of prequalification and bidding,
including evaluation, shall follow the Instructions to Applicants (ITA) for prequalification and
the Instructions to Bidders (ITB) for bidding of the actual prequalification / bidding documents
used.

2.      JBIC issued Sample Prequalification Documents (SPD) and Sample Bidding
Documents (SBD) which are encouraged to be used by the Borrowers in conducting
Prequalification and ICB procedures under JBIC ODA loans. The following SPD and SBD
are currently available1

        (a)     Prequalification (PQ)
        (b)     Procurement of Goods (Goods)
        (c)     Procurement of Civil Works (Works)
        (d)     Procurement of Civil Works – Smaller Contracts (Small Works)
        (e)     Supply and Installation of Plant and Equipment (Plant)

3.    The guide and sample forms in this document are based on ITA in the SPD and ITB in
the SBD.

4.      Readers are expected to note that evaluation and the resulting report need not
necessarily be lengthy. Procurement of ordinary goods can usually be quickly and easily
evaluated. In general, the complexity of the evaluation lies with larger civil works and with
the supply and installation of industrial plants and equipment. The Evaluation Report should
accompany the forms, attached in Annex I and Annex II, but they may be modified to suit
specific requirements of the prequalification / bidding documents. The report should include a
number of attachments to explain details of the evaluation of prequalification and bid or to
show specific controversial wording or numbers in an application and a bid. Cross-
referencing should be used extensively, as well as references to relevant clauses in the
prequalification / bidding documents.

5.     If a large project is sliced into smaller similar contracts, applications and bids are
offered on individual contracts (slices or lots) or on a group of similar contracts (packages).
Award is made to the combination of bids offering the lowest cost to the Employer.



1
 Sample Documents for Selection of Consultants is available for employment of consultants under JBIC ODA
Loans.
How to Use This Guide                                                                      2




6.     The Borrowers are expected to study these guide and evaluation forms during project
preparation, in order to properly assess the managerial and administrative capacity needed for
evaluation of prequalification and bid. JBIC encourages the employment of experienced
consultants to help in evaluations for complex contracts. The role of consultants for
evaluation of prequalification and bidding is explained in this document. Cost for employing
the consultant can be a part of JBIC ODA Loan funds, if agreed so in the Loan Agreement.
Section I. Evaluation Principles                                                                    3




Section I. Evaluation Principles

1) Basic Principles                The evaluation work must be strictly conducted on a basis of
                                   impartiality and fairness, with due attention to considerations of
                                   economy, efficiency, transparency and non-discrimination
                                   among eligible bidders, which are general principles laid down
                                   by Procurement Guidelines (Section 1.01(c)).

2) Evaluation                      The evaluation organizations are expected to be set up by the
   Organizations                   Borrower of JBIC ODA Loans. For example the organization
                                   may consist of three tiers: (1) a responsible Department or Unit
                                   in charge, at Executing Agency; (2) an authorized Evaluation
                                   Committee set up within or outside of Executing Agency; (3) a
                                   higher government authority, if necessary.       However, it is
                                   noted that the establishment and authority of evaluation
                                   organizations must be in full accordance with laws and
                                   regulations of the Borrower country.

                                   It is desirable that the Borrower clearly specifies the roles and
                                   responsibilities for evaluation procedures, taken by each party
                                   of: the Executing Agency, the Evaluation Committee and the
                                   higher authority, and also of the consultant involved in the
                                   evaluation work.

                                   Members of the Evaluation Committee are to be selected in full
                                   accordance with laws and regulations of the Borrower country.
                                   The members usually include, but not limited to, the
                                   representative of Executing Agency, technical authority, and
                                   the consultant involved in the evaluation work is strongly
                                   recommended to be present in the evaluation process.

3) Role of                         When a consultant is employed for the purpose of assisting the
   Consultant                      Borrower in evaluation of prequalification and bid under
                                   projects financed by JBIC ODA Loans, the consultant is
                                   expected to support and assist the evaluation process, and the
                                   Borrower is required to maintain sufficient communication
                                   with the consultant, during evaluation procedure.          The
                                   Evaluation Report prepared by the consultant must be fully
                                   understood by members of Executing Agency and Evaluation
                                   Committee, and a clarification can be made by the consultant to
                                   the Evaluation Committee members, if requested. For this
Section I. Evaluation Principles                                                                     4




                                   purpose, it is strongly recommended for the consultant to be
                                   present to the Evaluation Committee.

                                   In the case of difference of opinion, for evaluation results,
                                   between the Borrower and the consultant, a final evaluation
                                   report must clearly state those differences. The consultant is
                                   allowed to submit a copy of their evaluation report directly to
                                   JBIC (Guidelines for the Employment of Consultants under
                                   JBIC ODA Loans, Section 2.02(3)).

4) Record of                       It is desirable that the Borrower keeps a record of the
   Meeting                         Evaluation Committee Meeting for concluding the evaluation
                                   results and includes the record into the evaluation report.

5) Auditing                        In order to secure transparency in the procurement procedure
                                   under JBIC ODA Loans, it is desirable for the Borrower to
                                   adopt an authorized audit system, which enables to prove the
                                   fair and impartial procurement procedure, in accordance with
                                   the Procurement Guidelines as well as laws and regulations of
                                   the Borrower country. The auditing function can be provided
                                   by the Borrower’s authorized government agency or third party
                                   professional organizations.

6) Observation of                  The scheduled bid invitation date indicated on the
   Evaluation                      prequalification documents should be observed.          The
   Schedule                        prequalification result must be informed to the Applicants
                                   within the number of days of the date of submission, as
                                   indicated on the ―Instructions to Applicants‖. The desirable
                                   prequalification evaluation period from deadline of proposal
                                   submission to authorization of evaluation result by the
                                   Borrower is within two to three months.

                                   The scheduled award date indicated on the bidding documents
                                   should also be observed, and any extension of bid validity
                                   should be avoided.        The desirable evaluation period from
                                   tender opening to authorization of evaluation result by the
                                   Borrower is within two to three months at maximum, even in
                                   the case of very large sized projects.
Section I. Evaluation Principles                                                               5




                               Box 1 Involvement of Consultants

           In projects financed by JBIC ODA Loans, there have been cases in which the
         Borrower prepared their own Evaluation Reports, which were not necessarily in
         accordance with the Evaluation Reports prepared by the Consultants.              In
         addition, there have been cases that the consultants were not allowed to be
         present in the Evaluation Committee Meetings organized by the Borrower, in
         which a conclusion different from the one that the consultant proposed is
         agreed.
           When there is a difference in evaluation conclusions between the Borrower
         and the consultant, JBIC requires clarification for reasons behind, which are to
         be carefully reviewed before concurrence is given to the contents of Evaluation
         Report.
           It is imperative for the consultants to be fully involved in the prequalification
         and bidding evaluation procedures. The Evaluation Report should thoroughly
         explain the difference in conclusion by the Borrower and the consultants, if any.
Section II. Prequalification Evaluation                                                              6




Section II. Prequalification Evaluation
1) Objectives of                      A prequalification procedure is, in principle, required for
   Prequalification                   selecting potential contractors and suppliers for large scale
                                      contracts or contracts with complex and highly specialized
                                      services under JBIC ODA Loans. (Procurement Guidelines
                                      Section 3.02) The objectives of prequalification are:

                                  -       To ensure that invitations to bid are extended only to
                                      technically and financially qualified bidders, and to prevent
                                      unqualified bidders from winning the bid as a result of
                                      superficial evaluation;

                                  -        To enable prospective bidders, who may be insufficiently
                                      qualified on their own, to avoid the expense of bidding; to give
                                      an incentive for these potential bidders to form a joint venture
                                      that may give them a better chance of success; and

                                  -        To limit the number of bidders, in advance, to a manageable
                                      size for the Borrower in conducting bidding procedure and
                                      evaluation, when a large number of bidders are expected to
                                      participate.

                                      The prequalification procedure must be conducted strictly in
                                      order to secure quality in the procurement.

2) Eligibility                        The eligibility of the bidder is to be examined mainly on the
                                      following three points:

                                      -     The bidder must be from eligible source country as
                                          stipulated in the Loan Agreement;

                                      -     The bidder or any of its associates must be free from
                                          conflict of interest for the project (Procurement Guidelines
                                          Section 1.04); and

                                      -     A firm shall submit only one bid either individually or as a
                                          partner in a joint venture. No firm can be a subcontractor
                                          while submitting a bid individually or as a partner of a joint
                                          venture in the same bidding process. A firm, if acting in the
                                          capacity of subcontractor in any bid, may participate in more
                                          than one bid, but only in that capacity.
Section II. Prequalification Evaluation                                                              7




3) Evaluation                       It is desirable that the Prequalification Criteria are prepared at
   Criteria of                      the same time as the Prequalification Documents are prepared.
   Prequalification                 The Criteria must be prepared before the closing date of
                                    prequalification submission at the latest, and the Criteria should
                                    not be changed during the Prequalification Evaluation process.
                                    The Prequalification Evaluation Criteria are required to be
                                    reviewed and concurred by JBIC, if it is stipulated so in the
                                    Loan Agreement.

4) Evaluation                       Stage-1, ―Preliminary Examination‖, is to assess the document
   Procedure                        formality required in the Prequalification Documents, for each
                                    bidder with pass-or-fail criteria. It is necessary to confirm one
                                    by one, whether the submitted documents and its format are in
                                    conformity with the requirement. In case of no submission or
                                    missing of any of required documents deemed as important,
                                    such Applicant is to be disqualified at this stage

                                    Stage-2, ―Qualification Evaluation‖ is to examine whether
                                    submitted documents comply with the qualification requirement
                                    by using pass-or-fail criteria.       If the level of qualification
                                    requirement is too high, it tends to limit the number of bidders,
                                    and in the reverse case it tends to allow unqualified bidders to be
                                    passed through for the bidding.             Thus the qualification
                                    requirement must be set up carefully for each project.            In
                                    principle, an Applicant is to be disqualified if it does not satisfy
                                    any of the qualification requirements.
                                    The evaluation work must be done by following the criteria set
                                    up beforehand, and the method must be based on absolute
                                    evaluation, not by comparative evaluation. The following items
                                    are to be noted in setting up criteria and conducting evaluation.

                                   (1)     General Experience
                                          The Prequalification Documents usually indicate the
                                          minimum qualification requirements for
                                            Annual turnover
                                            Successful project experience of similar nature and
                                            complexity (Annual production rate for the key
                                            construction activity; Project experience in the country
                                            concerned and in similar countries, if applicable)

                                   (2)     Personnel Capabilities
                                           Experience of prime candidate and alternative for key
Section II. Prequalification Evaluation                                                               8




                                              management and specialist positions

                                   (3)     Equipment Capabilities
                                           Type, characteristics, minimum number and availability
                                           of key equipment

                                   (4)     Financial Positions
                                            Cash flow capacity (Procurement Guidelines Annex I,
                                           Paragraph 4 (1))
                                           Soundness of financial position

                                  (5)      Litigation History
                                           Accurate information on any litigation or arbitration
                                           resulting from contracts completed or under execution
                                           (Procurement Guidelines, Annex I, Paragraph 5)

5) Evaluation of                    The evaluation for joint ventures and consortium is to be
   Joint-Venture,                   conducted based on Procurement Guidelines Annex I,
   Consortium and                   Paragraph 6.
   Subcontractors
                                    The subcontractors or suppliers/manufacturers in charge of
                                    major critical components in the contract shall be subject to
                                    evaluation.

                                    Joint ventures, consortium or sub-contracting arrangement for
                                    major critical component announced at the time of
                                    prequalification, shall not be changed in principle.      The
                                    alteration is subject to approval by the Borrower prior to the
                                    deadline for submission of bids (Procurement Guidelines Annex
                                    I, Paragraph 6).

6) “Slice and                       In case of prequalification for ―slice and package‖ contracts, each
   Package”                         Applicant shall be prequalified for the maximum number and
   Contracts                        types of contracts for which the Applicant meets the appropriate
   Evaluation                       aggregate requirements of such contracts. (refer to How to Use
                                    This Guide 5. for ―slice and package‖).

7) Prequalification                 In principle, no          bidder   should   be   prequalified   with
   with                             conditionality.
   Conditionality
Section II. Prequalification Evaluation                                                              9




8) Limiting the                     It is not permissible to set a limit on the number of successful
   Number of                        Applicants prior to the evaluation of prequalification. All
   Bidders                          Applicants meeting the prequalification criteria specified shall
                                    be allowed to bid. However, it is also important to set the
                                    criteria so that a reasonable number of Applicants, normally no
                                    more than ten, shall be qualified.          Excessive number of
                                    Applicants taking part in the bid is not preferable, because it will
                                    increase the burden of the Borrower when evaluating the bid
                                    proposals.

9) Review and                       The result of prequalification is subject to review and
   Concurrence by                   concurrence of JBIC, if stipulated so in the Loan Agreement.
   JBIC                             The Prequalification Evaluation Report will be submitted to
                                    JBIC with the authorized signature of the Borrower.




                     Box 2 Contractors with Inadequate Capability for
                                    Implementation

             There have been cases in which the Borrower relaxed the evaluation criteria
           for prequalification and bidding with the intention to favor a particular
           contractor, resulting in awarding contractors with insufficient experience.
           Similarly, there have been cases in which subjective technical evaluation of
           contractors without sufficient implementation capability was conducted,
           simply because their price proposals were low. Since JBIC sets a basic policy
           to maintain non-discrimination among bidders, as stated in Procurement
           Guidelines, the details of the Evaluation Reports whose conclusion is to award
           bidders without sufficient capability will be strictly examined.
             When these types of evaluation take place, it tends to end up in a lengthy bid
           evaluation and delayed contract award. Furthermore, incapable contractors
           tend to have many troubles during implementation, due to lack of technical
           capability, poor site management and short of fund for implementation, etc.
           The Borrower finally tends to face with delay in implementation and increase
           in contract amount, which are neither efficient nor economical.
             Therefore, the prequalification and bid evaluation must be conducted
           carefully with due attention to specification and technical requirement in the
           bidding documents, and the Borrower should avoid evaluation which would
           result in selecting cheap but low quality bid.
Section II. Prequalification Evaluation                                                            10




         Typical Prequalification Procedure for Contracts under JBIC ODA Loans



                   Stage-1 Preliminary Examination (pass-or-fail)

                  1)    Formality of Application
                  2)    Completeness of Information
                  3)    Eligibility of Application
                  4)    Legal Status of Application


                                                                               No
                                          Satisfied?

                                                       Yes
                       Stage-2 Qualification Evaluation (pass-or-fail)

        1) General Experience
           Annual Turnover
           Successful Project Experience of Similar Nature and Complexity
            - Annual Production Rate for the Key Construction Activity
            - Project Experience in the Country Concerned and in Similar
               Countries
        2) Personnel Capabilities
           Experience of Prime Candidate and Alternative for Key Management
            and Specialist Positions
        3) Equipment Capabilities
           Type, Characteristics, Minimum Number and Availability of Key
            Equipment
        4) Financial Position
           Cash Flow Capacity
           Soundness of Financial Position
        5) Litigation History
           Accurate Information on Any Litigation or Arbitration Resulting From
            Contracts Completed or Under Execution


                                                                               No
                                          Prequalified?

                                                          Yes
                              Selection of Prequalified Applicants
                            Submission of Evaluation Report to JBIC


                                      Concurrence by JBIC?
                                                                                    Disqualified
                                                          Yes
                            Determination of Prequalified Applicants
Section III Bid Evaluation Guide                                                                  11




Section III. Bid Evaluation
GENERAL
1. Purpose of Bid Evaluation

  The main purpose of bid evaluation is to determine the lowest evaluated substantially
  responsive bid among the bids submitted before the bid closing time on the date specified in
  the bidding documents. The lowest evaluated substantially responsive bid may or may not
  necessarily be the lowest priced bid. In order to determine accurately the lowest evaluated
  substantially responsive bid in accordance with the terms and conditions of the bidding
  documents, a systematic evaluation procedure designed to cover all aspects of the
  evaluation process should be followed.

2. Bidding Procedures under International Competitive Bidding

  JBIC has adopted three international bidding procedures which may be selected by the
  Borrower to suit the nature of the particular procurement: (1) Single-Stage: One-Envelope,
  (2) Single-Stage: Two-Envelope, and (3) Two-Stage. The use of Single-Stage: Two-
  Envelope and Two-Stage bidding procedures must be agreed upon by JBIC and the
  Borrower (Procurement Guidelines, Section 2.03).

1) Single-Stage:                   In the Single-Stage: One-Envelope bidding procedure, the bidders
   One-Envelope                    submit bids in one envelope containing both the price and the
   Bidding Procedure               technical proposal, which are opened in public at the date and
                                   time advised in the bidding documents. The bids are evaluated
                                   and, following review and concurrence by JBIC, the contract is
                                   awarded to the lowest evaluated bidder.

2) Single-Stage:                   Single-Stage: Two-Envelope bidding procedure is applied in the
   Two-Envelope                    case of works, machinery and equipment for which complete
   Bidding Procedure               technical specifications are prepared in advance.

                                   In the Single-Stage: Two-Envelope bidding procedure, the
                                   bidders submit simultaneously two sealed envelopes, one
                                   containing the technical proposal and the other the price proposal.
                                   Initially, only technical proposals are opened at the date and time
                                   advised in the bidding documents. The price proposals remain
                                   sealed and are held in custody by the Borrower. The technical
                                   proposals are evaluated by the Borrower, while no amendments
                                   or changes to the technical proposals are permitted.            The
                                   objective of this exercise is to allow the Borrower to evaluate the
Section III Bid Evaluation Guide                                                                 12




                                   technical proposals without reference to price. Bids of bidders
                                   who do not conform to the specified technical requirements
                                   and/or are not acceptable in terms of performance, technical or
                                   service factors may be rejected, with the review and concurrence
                                   of JBIC.     The technical evaluation result will be subject to
                                   review and concurrence by JBIC.          Following the technical
                                   evaluation, the price proposals of the technically responsive
                                   bidders are opened in public, the price proposals are evaluated
                                   and, following review and concurrence by JBIC, the award of
                                   contract is made to the lowest evaluated bidder.       The price
                                   proposals of the bidders whose technical proposals have been
                                   determined not to conform to the technical specifications shall
                                   promptly be returned unopened to the bidders concerned.
                                   (Procurement Guidelines, Section 2.03)

3) Two-Stage                       Two-Stage bidding procedure is applied in the case of turnkey
   Bidding                         contracts, contracts for large and complex plants or procurement
   Procedure                       of equipment, which is subject to rapid technological advances,
                                   for which it may be undesirable or impractical to prepare
                                   complete technical specifications in advance. In the Two-Stage
                                   bidding procedure the bidders first of all submit their technical
                                   proposals, on the basis of the minimum operating and
                                   performance requirements, but without prices. The technical
                                   proposals are opened at the date and time advised in the bidding
                                   documents.       The technical proposals are evaluated by the
                                   Borrower and discussed with the bidders. Any deficiencies,
                                   irrelevant provisions and unsatisfactory technical features are
                                   pointed out to the bidders whose comments are carefully
                                   evaluated. The bidders are allowed to revise or adjust their
                                   technical proposals to meet the requirement of the Borrower.
                                   Bids of bidders who are unable to amend their technical bids so
                                   as to conform to the technical requirement may be rejected, with
                                   the review and concurrence of JBIC. After the evaluation of
                                   technical proposals and amended bidding documents, if any,
                                   being reviewed and concurred by JBIC, the second stage is to
                                   invite bidders to submit revised technical proposals and to submit
                                   price. The price proposals and revised technical proposals are
                                   opened in public at a date and time advised by the Borrower.
                                   The price proposals and revised technical proposals are evaluated
                                   and, following review and concurrence by JBIC, the award of
                                   contract is made to the lowest evaluated bidder.
Section III Bid Evaluation Guide                                                                              13




BID EVALUATION PROCEDURE
The evaluation procedure described below is generally adequate for an efficient evaluation of
bids to determine the lowest evaluated substantially responsive bid in accordance with the
terms, conditions and specifications stipulated in the bidding documents. Furthermore, the
evaluation procedure, if strictly followed, will provide fairness to all bidders, as it will produce
a transparent, fair and accurate outcome of the bidding. There are five stages in the bid
evaluation process, which should be followed, in a logical sequence. These procedures are
described based on Single-Stage: One-Envelope bidding, but they are also applicable for
Single-Stage: Two-Envelope and Two-Stage bidding. See the previous part of Section III for
difference in the procedures.

A detailed report on the evaluation and comparison of bids setting for the specific reasons on
which determination of the lowest evaluated bid was based shall be prepared by the Borrower
(Procurement Guidelines, Section 5.08).       Such report should include information and
documentation to establish to the satisfaction of JBIC that principles pursuant to the Loan
Agreement and Procurement Guidelines are satisfied in the bidding and bid evaluation
process, and the proposed award of contract. Annex II is a set of tables recommended to be
included in the bid evaluation report, which are in accordance with the following evaluation
procedures.

1. Basic Information and Bidding Process

1) Identification,                 The basic information such as name of the Borrower, Executing
   Bidding Process,                Agency, Project Name and other information to identify the bid
   and Bid                         must be filed. The Record of bidding process starting from
   Submission                      General Procurement Notice, Prequalification and contents of
                                   Bidding Documents are to be summarized, then information of
                                   Bid submission and Opening is to be recorded on the format.
                                   This information is necessary to monitor compliance with the
                                   Loan Agreement as well as Procurement Guidelines. (Annex II,
                                   Tables 1, 2 and 3)

2) Bid Opening2                    All bids received prior to the deadline fixed for submissions shall
                                   be opened at the time, date and place specified in the bidding
                                   documents.      All bidders that have submitted bids and their
                                   representatives shall be permitted to be present at the opening of
                                   bids, and all those present at the bid opening shall be required to
                                   sign the attendance sheet.


2
    See Procurement Guidelines, Section 5.02. The record should be sent promptly to JBIC after bid opening.
Section III Bid Evaluation Guide                                                                    14




                                   A record of bid opening is prepared for prompt transmittal to
                                   JBIC, in accordance with Procurement Guidelines (Section 5.02).
                                   The copies should be sent to all bidders. To assist in carrying out
                                   the opening and preparing of the record, a checklist is provided in
                                   Annex II-1. The checklist should be filled out for each bid during
                                   the actual reading out at the meeting. The reading should be from
                                   the original version of each bid, and the actual amounts and other
                                   key details read out should be circled for later verification. If bids
                                   are expressed in multiple currencies, the amount expressed in each
                                   currency should be recorded.

                                   Any envelopes containing modifications, or withdrawals must be
                                   subject to the same level of scrutiny, including the reading out of
                                   critical details, such as price changes. Failure to read out such
                                   information and include it in the written record may result in
                                   denial of its inclusion in bid evaluation.      If a bid has been
                                   withdrawn by cable, it should nonetheless be read out and should
                                   not be returned to the bidder until the authenticity of the
                                   withdrawal notice has been confirmed.

                                   Bids received after the deadline for receipt of bids should be
                                   rejected as stated in Procurement Guidelines (Section 5.02).
                                   Such bids shall be returned unopened to the bidder. A summary
                                   of the read-out bid prices, bid security, name of representatives of
                                   bidders and their signature should be provided in Annex II, Table
                                   4.

3) Bid Validity                    The duration of the validity of each bid should be the one
                                   specified in the ITB and should be confirmed in the signed (form
                                   of) bid. If exceptional circumstances occur in which award
                                   cannot be made within the validity period, extensions in writing
                                   should be requested of bidders, in accordance with the ITB.
                                   Extensions to the validity of bid security should also be requested
                                   of bidders. The Borrower is advised to consult with JBIC before
                                   requesting such extension. Note any extensions in Annex II,
                                   Table 3.

4) Principles of                   After the public opening of bids, information relating to the
   Evaluation                      examination, clarification, and evaluation of bids shall not be
                                   disclosed to bidders or other persons not officially concerned with
                                   this process until the successful bidder is notified of the award of
                                   contract (Procurement Guidelines, Section 5.04).          No bidder
Section III Bid Evaluation Guide                                                                   15




                                   shall be requested or permitted to alter its bid after the bids have
                                   been opened. Only clarifications not changing the substance of
                                   the bid are acceptable. The Borrower may ask any bidder for a
                                   clarification of the bid, but shall not permit any bidder to change
                                   the substance or price of the bid (Procurement Guidelines,
                                   Section 5.03).

5) Rejection of Bids               Bidding documents usually provide that the Borrower may reject
                                   all bids. However, all bids shall not be rejected solely for the
                                   purpose of obtaining lower prices on the same specifications,
                                   except in cases where the lowest evaluated bid substantially
                                   exceeds the cost estimates. Rejection of all bids may also be
                                   justified when (a) no bid is substantially responsive to the bidding
                                   documents or (b) there is a lack of competition. If all bids are
                                   rejected, the Borrower shall review and consider either revision
                                   of the specifications or modification of the project, before
                                   inviting new bids. (Procurement Guidelines, Section 5.10)




2. Preliminary Examination of Bids

The purpose of Preliminary Examination is to confirm whether the bids received were
complete as required by the bidding documents before conducting further detailed evaluation.
An examination must be made on whether the required securities have been provided, whether
documents have been properly signed and whether the bids are otherwise generally in order.
If a bid does not substantially conform to the specifications, or contains inadmissible
reservations or is otherwise not substantially responsive to the bidding documents, it shall be
rejected. A preliminary examination shall then be made to evaluate each responsive bid and
to enable bids to be compared (Procurement Guidelines, Section 5.05). The following items
should be carefully examined.

1) Verification                    Verification is required toward deficiencies that, if accepted,
                                   would provide unfair advantages to the bidder. The points to be
                                   covered by verification are (i) whether bid documents have been
                                   properly signed or not; (ii) whether power of attorney for the
                                   authorized person has been submitted or not; (iii) whether joint
                                   venture agreements, if required, are submitted or not; (iv) whether
                                   documents, required to assess the post qualification of a bidder
                                   with respect to its financial and technical capability to undertake
                                   the contract, have been provided or not. All copies of the bid
Section III Bid Evaluation Guide                                                                   16




                                   should be compared with the original and corrected accordingly,
                                   if necessary. Thereafter, the original should be kept in a safe
                                   location, and only copies should be used in evaluation.

2) Eligibility                     The bidder must be a national from or a juridical person
                                   incorporated and registered in eligible source countries as defined
                                   in the relevant Loan Agreement. All partners to a joint venture
                                   shall be from an eligible source country. Bidders shall declare the
                                   percentage of combined costs of goods and services procured
                                   from eligible source countries and show that their bids are in
                                   accordance with Procurement Guidelines (Section 1.04(a)),
                                   unless a different arrangement is clearly made in the relevant
                                   Loan Agreement. If prequalification has taken place, only bids
                                   from prequalified bidders can be considered.             A bidder
                                   (including all members of a joint venture and subcontractors) may
                                   be disqualified if affiliated with a firm that has provided related
                                   consulting services on the project in accordance with
                                   Procurement Guidelines (Section 1.04(b) and (c)).

3) Bid Security                    The bidding documents generally require submission of a bid
                                   security. The bid security must conform to the requirements of
                                   the ITB, and it must be accompanied with the bid. If the bid
                                   security is issued as a bank guarantee, it must be consistent with
                                   the wording of the bid security form provided in the bidding
                                   documents. Furthermore, securities for an amount smaller or for
                                   a period shorter than the one specified in the ITB are not
                                   acceptable. The security for a bid submitted by a joint venture
                                   should be in the name of the joint venture.

4) Completeness of                 Unless the bidding documents have specifically allowed partial
   Bid                             bids—permitting bidders to quote for only selected items or for
                                   only partial quantities of a particular item—bids not offering all
                                   of the required items should ordinarily be considered
                                   nonresponsive. However, under civil works contracts, missing
                                   prices for occasional work items are considered to be included in
                                   prices for closely related items elsewhere.       If any erasures,
                                   interlineations, additions, or other changes have been made, they
                                   should be initialed by the bidder. They may be acceptable if they
                                   are corrective, editorial, or explanatory. If they are not, they
                                   should be treated as deviations and should be analyzed in the next
                                   step for Substantial Responsiveness.        Missing pages in the
                                   original copy of the bid may be a cause for rejection of the bid, as
Section III Bid Evaluation Guide                                                                     17




                                   may contradictions in model numbers or other designations of
                                   critical supply items.




3. Determination of Substantial Responsiveness

The scrutiny of bids for substantial responsiveness to the provisions of the bidding documents
is one of the most important aspects of the evaluation of bids.            A bid is considered
substantially responsive if it does not contain any ―Major Deviations‖ from the bidding
documents or conditions which cannot be determined reasonably in terms of monetary value
for financial adjustment.     The purpose of this exercise is to reject bids which are not
substantially responsive to major commercial and technical requirements.

1) Substantial                     All bids must be checked for substantial responsiveness to the
   Responsiveness                  commercial terms and conditions of the bidding documents.
   to Commercial                   Examples of nonconformity to commercial terms and conditions,
   Terms and                       which are justifiable grounds for rejection of a bid are discussed
   Conditions                      below:

                                   (a) failure to sign the Bid Form and Price Schedules by the
                                       authorized person or persons;

                                   (b) failure to satisfy eligibility requirements, (e.g., bidder or
                                       contractor are not from an eligible source countries, as
                                       defined in the Loan Agreement);

                                   (c) failure to submit a bid security as specified in the bidding
                                       documents;

                                   (d) failure to satisfy the bid validity period (e.g., the bid validity
                                       period is shorter than specified in the bidding documents);

                                   (e) inability to meet the critical delivery schedule or work
                                       schedule clearly specified in the bidding documents, where
                                       such schedule is a crucial condition with which bidders must
                                       comply;

                                   (f) failure to comply with minimum experience criteria as
                                       specified in the bidding documents;
Section III Bid Evaluation Guide                                                                    18




                                    (g) conditional bids, i.e., conditions in a bid which limit the
                                        bidder’s responsibility to accept an award (e.g., acceptance of
                                        the award is subject to government’s approval for export,
                                        prior sale or availability of critical material available in the
                                        market, or a bid submitted with a price escalation condition
                                        when a fixed price bid is specified, or qualifications to the
                                        Conditions of Contract);

                                    (h) inability to accept the price adjustment formulae of the
                                        bidding documents;

                                    (i) failure to submit major supporting documents required by the
                                        bidding documents to determine substantial responsiveness of
                                        a bid.

2) Substantial                     All bids must be checked for substantial responsiveness to the
   Responsiveness                  technical requirements of the bidding documents. Example of
   to Technical                    nonconformity to technical requirements, which are justifiable
   Requirements                    grounds for rejection of a bid are as follows:

                                    (a) failure to bid for the required scope of work (e.g., for the
                                       entire civil works or a complete package or a complete
                                       schedule) as instructed in the bidding documents and where
                                       failure to do so has been indicated as unacceptable;

                                    (b) failure to quote for a major item in the package;

                                    (c) failure to meet major technical requirements (e.g., offering
                                       completely different types of equipment or materials from the
                                       types specified, plant capacity well below the minimum
                                       specified, equipment not able to perform the basic functions
                                       for which it is intended, etc).

                                     (d) presentation of absolutely unrealistic and inadequate
                                         implementation plans and schedules regarding performance,
                                         technical or service factors (refer to 7) Adjustment, 4.
                                         Detailed Examination of Bids for examples of performance,
                                         technical or services factors.).

                                   If alternative bids are acceptable, the bidding documents shall
                                   specify the conditions governing such bids. The methodology of
Section III Bid Evaluation Guide                                                                  19




                                   bid evaluation and comparison for alternative bids should be
                                   specified clearly in the bidding documents and these alternative
                                   bids should be included in the bid evaluation and evaluated as
                                   specified in the bidding documents. Where bidding documents
                                   are silent in respect of the alternative bids, often, some bidders
                                   submit alternative bids in addition to their main bids. In such a
                                   case, bid evaluation should be among main bids only to determine
                                   the lowest evaluated bidder. If the alternative bid of the lowest
                                   evaluated bidder is considered more advantageous than its main
                                   bid, such an alternative bid may be accepted.

                                   Bids that offer deviations may be considered substantially
                                   responsive if the deviations, which are classified as minor
                                   deviations, would be acceptable in the eventual contract. The
                                   nature of such deviations varies from contract to contract and
                                   depends on the specific requirements, materials or civil works.

                                   Minor deviations that will affect the cost should be expressed in
                                   monetary terms and added to the evaluated bid price during
                                   detailed examination. Other minor deviations that will not have
                                   any effect on price or quality of the goods, civil works and other
                                   services offered may be accepted for evaluation purposes without
                                   price adjustments.      The results of preliminary examination,
                                   including substantial responsiveness, should be presented in
                                   Annex II, Table 5.         For a bid failed in the preliminary
                                   examination including substantial responsiveness, the reasons
                                   must be clearly explained in footnotes or in an attachment, as
                                   necessary. An example is shown in Annex II-2. The Borrower
                                   may find it useful to include additional tables for itemization of
                                   responsiveness to a list of technical or commercial specifications.
                                   These should be attached to Annex II, Table 5.
Section III Bid Evaluation Guide                                                                 20




                          Box 3 Determination of Number of Bids for
                                     Detailed Evaluation

                After determination of the substantially responsive bids and the
             nonresponsive bids, a decision must be made as to how many of the
             remaining substantially responsive bids should be further evaluated in detail
             to determine the lowest evaluated bid. An examination of the number of
             bids remaining valid and the spread of bid prices may help determine the
             course of action. Where, for example, a fairly large number of substantially
             responsive bids remain and some of the bid prices are clustered around the
             lowest, the lower priced bids in the cluster, irrespective of the number,
             should be further evaluated. Where there is no cluster of lower priced bids,
             experience shows that detailed evaluation of the three lowest priced
             substantially responsive bids is generally adequate.
                The governing principle is that no bid should be excluded from further
             detailed evaluation if there exists a possibility that, as a result of various
             financial adjustments, it could become the lowest evaluated bid. Therefore,
             detailed evaluation should include all substantially responsive bids, which
             have a reasonable chance of becoming the lowest evaluated bid.




4. Detailed Examination of Bids

Only those bids surviving preliminary examination and determined to be substantially
responsive need to be examined in this phase.

1) Corrections for                 Any arithmetic errors must be rectified, as being described in the
   Errors                          ITB. The read-out bid prices and their corrections should be noted
                                   in Annex II, Table 6, column (d). The corrections are considered
                                   binding on the bidder. Unusual or large corrections that could
                                   affect the comparative ranking of bids should be explained in
                                   footnotes.

2) Corrections for                 Bids may contain provisional sums set by the Borrower for
   Provisional                     contingencies or for nominated subcontractors, etc. As these
   Sums                            sums are the same for all bids, they should be subtracted from the
                                   read-out prices in Annex II, Table 6, column (e) to allow for a
                                   proper comparison of bids in subsequent steps. However, those
Section III Bid Evaluation Guide                                                                   21




                                   provisional sums set aside for Daywork, 3 where priced
                                   competitively, should not be included in the deductions.

3) Modifications                   In accordance with the ITB, bidders are allowed to submit, prior to
   and Discounts                   bid opening, modifications to their original bid. The impact of
                                   modifications should be fully reflected in the examination and
                                   evaluation of the bids. These modifications may include either
                                   increases or discounts to the bid amounts that reflect last-minute
                                   business decisions. Accordingly, the original bid prices should be
                                   modified at this point in the evaluation. Discounts offered in
                                   accordance with the ITB that are conditional on the simultaneous
                                   award of other contracts or lots of the contract package (cross-
                                   discounts) shall not be incorporated until the completion of all
                                   other evaluation steps. The effect of unconditional discounts (or
                                   alternatively, increases) should be shown as in Annex II, Table 6
                                   column (g) and (h). Any discount expressed in percent must be
                                   applied to the appropriate base specified in the bid (i.e., check to
                                   see if it applies to any provisional sums).

4) Currency                        The remaining bids as corrected for arithmetic errors and as
   Conversion                      adjusted for discounts shall be converted to a single currency
                                   selected by the Borrower and stated in ITB. The exchange rates
                                   to be used in the calculations must be specified in ITB and are to
                                   be listed in Annex II, Table 7.       The conversion to a single
                                   currency should be shown in Annex II, Table 8. (Procurement
                                   Guidelines, Section 4.10 )

5) Additions and                   (a) Additions
   Analysis of
   Prices                          Omissions to the bid should be compensated for by adding the
                                   estimated costs for remedying the deficiency.       Where items
                                   missing in some bids are present in others, an average of quoted
                                   prices could be used to compare competitors’ bids.
                                   Alternatively, external sources, such as published price lists,
                                   freight tariff schedules, etc., may be appropriate.    The cost
                                   determined should be expressed in the evaluation currency and
                                   shown in Annex II, Table 9, column (c).
                                   However, under civil works contracts, missing prices for
                                   occasional work items are considered to be included in prices for
                                   closely related items elsewhere.


3
    Refers to unforeseen work. For details, see SBD (Civil Works).
Section III Bid Evaluation Guide                                                                                   22




                                    (b) Analysis of Prices

                                    Analysis of unit rates and prices provided by bidders, which are
                                    generally components of the Bill of Quantities for civil work
                                    contracts, is carried out to verify that the rates and/or prices are
                                    not seriously unbalanced4 in relation to or substantially below the
                                    cost estimate.      After evaluation of the price analyses, the
                                    Borrower may require that the amount of the performance
                                    security be increased at the expense of the successful bidder to a
                                    level sufficient to protect the Borrower against financial loss in
                                    the event of default of the contractor.

6) Priced                           As discussed under Determination of Substantial Responsiveness,
   Deviations                       bids with minor deviations may be considered substantially
                                    responsive if their further consideration assigns a monetary cost or
                                    penalty to the bid for the purpose of bid comparison, as described
                                    in the followings:

                                    (i) Requests for deviations that are expressed by the bidder in
                                        vague terms, such as ―we would like an increase in the amount
                                        of mobilization advance‖ or ―we wish to discuss changes in
                                        the completion schedule‖ should ordinarily be ignored in bid
                                        evaluation. However, a categorical statement by the bidders
                                        taking exception to a requirement in the bidding documents
                                        should be treated as a deviation;

                                    (ii) If a bid requires a faster payment stream than specified in the
                                         bidding documents, the penalty is based on the prospective
                                         benefit to the bidder.       This situation assumes use of a
                                         discounted cash flow using the prevailing commercial interest
                                         rates for the currencies of the bid, unless the ITB foresees the
                                         eventuality and specifies a rate;

                                    (iii) If a bid provides for a delivery or completion that is beyond
                                         the date specified in the bidding documents but that is
                                         nonetheless technically acceptable to the Borrower, the time
                                         advantage given should be assessed a penalty specified in the

4
  An ―unbalanced‖ or ―frontloaded‖ bid is one in which some prices are relatively high and others low in relation
to the Engineer’s estimate of the cost of work to be performed. The imbalance may be due to error or
misconception by the bidder, but more often it is due to the bidder’s attempt to increase its cash flow over the
early part of the contract, or to increase profits by inflating the unit rates of the items which it feels will be used
more than scheduled.
Section III Bid Evaluation Guide                                                                 23




                                      ITB or, if one is not provided, based on the rate of liquidated
                                      damages specified in the bidding documents.

                                   The deviations should be priced in the evaluation currency in
                                   Annex II, Table 9, column (d).

7) Adjustments             The bid evaluation may take into account of performance, technical or
                           service factors. The Borrower shall examine plans and schedules of
                           these factors to determine whether they are acceptable or not. These
                           factors shall comprehensively be well arranged for smooth and prompt
                           project implementation. For example:

                           For plant and equipment contract (see SBD (Plant), ITB 25.3);
                           - Time schedule (program of performance)
                           - Operating and maintenance costs
                           - Functional Guarantee of the facilities
                           - Work, services, facilities, etc., to be provided by the Borrower
                           For goods contract;
                           - Delivery Schedule
                           - Operating Costs
                           - Functional Guarantee of Goods
                           - Local Handling and Transportation

                           In case some factors can be converted to monetary terms, the
                           methodology used in evaluation of these factors should be precisely
                           described in the bid evaluation report and should be fully consistent
                           with the ITB provisions. Bonuses and additional credits that reduce
                           the evaluated bid price will not be given in the bid evaluation for
                           features that exceed the requirements stated in the bidding documents,
                           unless specifically provided for in the ITB. The value of adjustments
                           will be expressed in terms of cost, for all works, plant and equipment
                           and most goods contracts, and should be shown in Annex II, Table 9,
                           column (e) and expressed in the evaluation currency.

8) Domestic                Some Borrowers wish to employ the so-called Preferential Margin /
   Preference              Domestic Preference measures (to give preference to domestic
                           companies in the Borrower’s country, a certain percentage for customs
                           duties and so on is added to bid prices by foreign companies so that
                           domestic companies are awarded the contract), when comparing bids,
                           with a view to promoting (or giving preference to) domestic
                           businesses, but this is not permitted by JBIC. Furthermore, it is not
                           permitted to take indirect preferential measures favouring domestic
Section III Bid Evaluation Guide                                                                24




                           businesses, where, for example, more than a certain ratio of domestic
                           production or specification of a domestic production ratio is required
                           in the bidding.




               Box 4 Evaluation for Construction Methods, Implementation
                     Schedule, Manpower and Equipment Allocation

           Inexperienced contractors tend to propose unrealistic construction method, schedule,
        and manpower and equipment allocation, due to lack of understanding for the required
        construction contents. The evaluation of those subjects is often difficult to be based on
        quantitative figures, but can be done on qualitative basis. However, such contractors
        often make irresponsible positive answer, in order to win the contract, even if the
        Borrower requests a clarification.
           It is obvious that the results of employing such contractors often end up in delay of
        construction and increase in the contract amount. A careful consideration is required in
        evaluating construction method, schedule and manpower/equipment allocation.              It
        would be also effective to refer to the past construction performance of the contractor in
        question, in case of difficulty in judging its capability.
Section III Bid Evaluation Guide                                                               25




                     Box 5 Use of Merit Point System for Bid Evaluation

          Recently, there are some cases where Borrowers apply so-called ―Merit Point System‖
        in bid evaluation, following relevant procurement practice of the Borrower’s country.
        The evaluation score under this system is a combined sum of technical and price
        evaluation by a given weight percentage for each part, e.g., 50% for technical and 50%
        for price, or 30% and 70%.
          The problem of this system is difficulty in making fair evaluation on technical part,
        since the methodology is not yet established to secure impartiality and objectivity. For
        procurement of goods and services, the technical part of evaluation should be by pass-
        or-fail method, where the purchaser must be on principle to clearly indicate the required
        technical specifications to bidders. The bidders are expected to offer the lowest price
        while satisfying the technical requirement given by the bidding documents. Under the
        Merit Point System, it seems there exists an ambiguity, for the technical requirement,
        and method of technical evaluation thus tends to be unclear and unfair to bidders.
        Furthermore, there is no established rule for the allocation of weights to price and non-
        price factors. Thus, JBIC considers that the Merit Point System is not desirable to be
        applied for bid evaluation under JBIC ODA Loans.




5. Determination of Award

In the comparison of bids for most contracts procuring goods and services, except for
consulting services, the corrected and discounted bid prices, together with adjustments for
omissions, deviations, and specified evaluation factors, have been noted in Annex II, Table 9.
The bidder with the lowest total is the lowest evaluated cost bidder at this stage, subject to:

         Application of any discounts, contingent on the simultaneous award of multiple
          contracts or lots; and

         Postqualification evaluation, or, if prequalification has occurred, confirmation of
          prequalification information.

1) Cross-Discounts                 These are conditional discounts offered in the event that more
                                   than one contract or lot will be awarded to the same bidder. Bid
                                   evaluation in such cases can be quite complicated. The sizes of
                                   cross-discounts offered by each bidder may vary with the
                                   potential number of contracts awarded. The ITB may also limit
Section III Bid Evaluation Guide                                                                     26




                                    the number or total value of awards to a bidder on the basis of its
                                    financial and technical capacity. 5 Thus, a bidder offering the
                                    lowest evaluated bid on a particular contract may be denied award
                                    because of such a restriction. The Borrower shall select the
                                    optimum combination of awards on the basis of least overall cost
                                    of the total contract package, consistent with the qualification
                                    criteria. Presentations of the calculations should be made on an
                                    attachment to the report, which should include the bid
                                    evaluation(s) for the other contracts, if they have been evaluated
                                    separately.

2) Qualification                    If prequalification was conducted, the bidder whose bid is the
                                    lowest evaluated should receive the award, unless the bidder’s
                                    qualifications have since materially deteriorated or the bidder has
                                    since received additional work that overstresses its capacity. The
                                    Borrower should satisfy itself fully on both accounts.         The
                                    Borrower is recommended to request bidders to update
                                    information concerned as necessary.

                                    Where prequalification has not occurred, the prospective awardee
                                    should be subjected to postqualification, the procedures for which
                                    are described in the ITB in accordance with Procurement
                                    Guidelines (Section 5.07).6

                                    If the lowest evaluated bidder fails in postqualification
                                    examination, its bid should be rejected, and the next ranked bidder
                                    should then be subject to postqualification examination.         If
                                    successful, this bidder should receive the award, otherwise the
                                    process continues.

                                    The rejection of a bid for reasons of qualification requires
                                    substantial justification, which should be clearly documented in
                                    attachments to the report. A history of poor performance may be
                                    considered as a substantial justification.

3) Alternative Bids                 The ITB may request or allow the Borrower to accept alternative
                                    bids under the stipulation that only the alternative submitted by the
                                    lowest evaluated bidder and conforming to the bidding documents
                                    will be considered.

5
    This restriction may originate with prequalification.
6
    SPD provides useful information for postqualification evaluations.
Section III Bid Evaluation Guide                                                                  27




                                   Calculations for the evaluation of alternatives should be provided
                                   in an attachment to the report.

4) Proposed Award                  The amount of the proposed award shall be the bid price as
                                   submitted by the winning bidder and adjusted as described in the
                                   ITB for corrections, any discounts (including cross-discounts), and
                                   acceptance by the Borrower of alternative offers from the lowest
                                   evaluated bidder. Adjustments to the final price and scope of the
                                   contract to correct for acceptable omissions and quantity
                                   variations in the bid may be negotiated with the lowest evaluated
                                   bidder. Prior concurrence of JBIC with the proposed award is
                                   required before such negotiations may be started. Annex II, Table
                                   10 should be filled out to establish the actual amount of the
                                   contract award.

                                   The Borrower may consider rejection of all bids, with prior
                                   concurrence by JBIC, if (a) none of the bids are found to be
                                   responsive, (b) bids are unreasonably high in price compared with
                                   earlier estimates, or (c) none of the bidders are qualified.
                                   (Procurement Guidelines, Section 5.10)

5) Report                    (i) Prior Review: The Borrower, if required in the Loan Agreement,
   Submission                    must submit the completed bid evaluation report containing the
                                 required summary to JBIC as soon as possible after the bid
                                 evaluation, preferably no later than one (1) month prior to the
                                 expiration of the bid validity period. The report should include
                                 the appropriate items listed in Annex II.

                                   The Borrower is encouraged to communicate as needed with JBIC
                                   about the evaluation of bids. However, JBIC will not participate
                                   in the evaluation itself.

                             (ii) Other Instances: For bid evaluation reports not subject to prior
                                  review, the Borrower may award the contract upon completion of
                                  bid. Subsequent submission of the bid evaluation report to JBIC
                                  may be required after award, in order to review its compliance
                                  with Procurement Guidelines.        The Borrower is advised to
                                  prepare the bid evaluation report in the same manner as they do
                                  when prior review is required.
Section III Bid Evaluation Guide                                                                             28




6) Review of Bid                   Upon receipt by JBIC, all bid evaluations subject to prior review
   Evaluation                      will be reviewed. The Borrower may be requested to provide
   by JBIC                         additional information and justification for the proposed contract
                                   award. The Borrower also may be requested to contact bidders
                                   for necessary clarifications. When JBIC is satisfied with the
                                   evaluation of bids and the proposed award, a written notice of
                                   ―concurrence‖ will be issued by the JBIC official designated for
                                   such correspondence.

                                   For bid evaluation not subject to prior review, any doubts about
                                   the justification for award should be raised with JBIC prior to
                                   award signing.         The Borrower should ensure that all
                                   correspondence received from bidders concerning evaluation has
                                   been taken into account.

7) Award of                        Promptly after executing a contract, the Borrower, if required in
   Contract                        the Loan Agreement, must submit to JBIC a duly certified copy of
   and                             the contract for JBIC’s review and concurrence. When JBIC
   Review of                       determines the contract to be consistent with the Loan Agreement,
   Contract                        a written notice of ―concurrence‖ will be issued by the JBIC
   by JBIC                         official designated for such correspondence.

                                   JBIC reserves the right to reject to finance contracts that have not
                                   been procured in accordance with the Loan Agreement.7

                                   Bid securities of unsuccessful bidders should be returned promptly
                                   after award has been made. However, if contract effectiveness is
                                   contingent on the receipt of a performance security or other
                                   condition, the Borrower may consider seeking an appropriate
                                   extension of time for the bid validity and the accompanying bid
                                   security of other bidders.

                                   As mentioned in the Preface, JBIC is authorized to publish a
                                   description of the contract, the names and nationalities of the
                                   bidders, the bid prices, the name and nationality of the contract
                                   awardee and the contract price. Any further information on the
                                   bids or on their evaluation, including the bid evaluation report, is
                                   held in confidence by JBIC. In anticipation of any post reviews
                                   by JBIC, the Borrower should ensure that bidding and evaluation
                                   documents are to be securely stored.
7
    If funds from the loan have already been disbursed, it must be reimbursed. Refer to Procurement Guidelines,
    Section 1.05.
                                     29




              Annex I.

Prequalification Evaluation Report
          Sample Forms
                                     30




Prequalification Evaluation Report




Name of Project:

Loan No.:

Contract Name:

Identification Number:

Date of Submission to JBIC:
                                                                                     31




Introduction

1. This Annex is intended specifically to assist in reporting the results of the
   evaluation of the applications for prequalification. The Borrower should evaluate
   the applications received and prepare a detailed analysis of them. A summary
   report of this analysis should be submitted to JBIC for review; the summary should
   address each of the pass-fail criteria set in the prequalification documents.
   Disqualification of the Applicants who fail to meet the criteria should be explained.

2. Tables 1-5 should invariably accompany the summary, but they may be adapted to
   suit specific requirements of the prequalification documents. The summary should
   include a number of attachments and additional tables to explain details of the
   individual evaluation of Applicants who were not prequalified. References to
   pertinent clauses in the prequalification documents should be uses as necessary.

3. The summary should make special mention of Joint Venture Applicants in regard to
   the completeness of their documentation, eligibility requirements including sharing
   provision and liability of the JV partners.

4. In case the prequalification evaluation includes ―slice and package‖ requirements
   (refer to How to Use This Guide 5.), the summary should mention the procedure
   used in the evaluation and show the aggregate total of contract value for which
   Applicants are considered prequalified by the Borrower.

5. A checklist for the evaluation summary is presented in Annex I-1.
                                                                            32



                  SAMPLE TABLE OF CONTENTS


SUMMARY

1.   INTRODUCTION
     1.1  Prequalification Identification and Prequalification Evaluation
          Committee
     1.2  Prequalification Process

2.   PRELIMINARY EXAMINATION
     2.1  Prequalification Documents
     2.2  Verification
          2.2.1 Authorized Sign
          2.2.2 Power of Attorney for Authorized Person
          2.2.3 Joint Venture Agreements
     2.3  Completeness of Application
     2.4  Eligibility

3.   QUALIFICATION EVALUATION
     3.1 General Experience
         3.1.1 Annual Turnover
         3.1.2 Successful Project Experience of Similar Nature and Complexity
                a) Annual Production Rate for the Key Construction Activity
                b) Project Experience in the Country Concerned and in Similar
                   Countries
     3.2 Personnel Capabilities
         3.2.1 Experience of Prime Candidate and Alternative for Key
                Management and Specialist Positions
     3.3 Equipment Capabilities
         3.3.1 Type, Characteristics, Minimum Number and Availability of Key
                Equipment
     3.4 Financial Position
         3.4.1 Cash Flow Capacity
         3.4.2 Soundness of Financial Position
     3.5 Litigation History
         3.5.1 Accurate Information on Any Litigation or Arbitration Resulting
                From Contracts Completed or Under Execution

4.   PROPOSED PREQUALIFICATION DECISION

5.   CONCLUSIONS
                                                                     33




APPENDICES

Table 1      Identification
Table 2      Prequalification Process
Table 3      Preliminary Pass-Fail Examination of Applicants
Table 4      Qualification Evaluation Summary (Pass-Fail Criteria)
Table 5      Proposed Prequalification Decision
                                                                              34




                             SAMPLE FORMS

                          Table 1. Identification

1.1   Name of Borrower
1.2   Loan Agreement (L/A) number
1.3   Date of effectiveness of L/A
1.4   Closing date of Application Submission
      (a) original
      (b) revised
1.5   Name of project
1.6   Executing Agency (or other
      organization responsible for purchase
      or employment)
      (a) name
      (b) address
1.7   Contract number (identification)
1.8   Contract type                          Lump-sum      Unit-price     Other
1.9   Contract description

1.10 Method of procurement (check one)       ICB            LIB           Other
1.11 Fixed price contract                    Yes            No
1.12 Cofinancing for the Contract, if any:
     (a) agency name
     (b) percent financed by agency
1.13 Bidding Procedures                      Single-Stage: One-Envelope
                                             Single-Stage: Two-Envelope
                                             Two-Stage
                                                          35




                 Table 2. Prequalification Process

2.1 Invitation for prequalification
    (a) first issue date
    (b) latest update
    (c) name of newspaper
    (d) date of copy sent to JBIC
2.2 Prequalification Document
    (a) title, publication date
    (b) date of JBIC’s concurrence, if
          necessary
    (c) date of issue to Applicants
2.3 Number of firms issued documents
2.4 Amendments to documents (if any)
    (a) list all issue dates             1.   2.     3.
    (b) date(s) of JBIC’s concurrence    1.   2.     3.
2.5 Applicants’ submission deadline
    (a) original date, time
    (b) extensions, if any
2.6 Number of applications submitted
                                                                                                                                                                                 36




                                      Table 3. Preliminary Pass-Fail Examination of Applicant

     Name of              Country1              Date of                     Completeness2,                    Eligibility4                JV                   Explanation6
     Applicant                               Submission of                  Verification3 of                                         Requirements5
                                              Application                   Documentation




1.   Place of incorporation and place of registration (for firms).
2.   Completeness of documentation: Are the applications offering all of the items and essential information requested? Major deviations to the requirements such as
     no presentation of financial statements or balance sheets, or failure to present sufficient information on financial means to meet the specified cash requirements
     may be a basis for a ―fail‖ mark.
3.   Verification: Attention should be directed toward deficiencies related to the validity of the application itself. For example: Is the letter properly signed? Are the
     applications of Joint Ventures signed by each partner in the joint venture? Has a copy of the JVA or Letter of Intent been signed by all JV partners and submitted
     with the application?
4.   Eligibility: In addition to the eligibility of nationals from eligible source country as stipulated in the Loan Agreement, Applicants shall be eligible to participate in
     the bidding of the works in reference to the ―Fraud and Corruption‖ policy of JBIC. (See ITA 1.2 for details.)
5.   JV requirements: Is the lead partner of the JV clearly identified and properly authorized? Are the JV’s sharing provisions in compliance with the minimum
     participation specified in ITA 5.1? Are all partners in the JV legally liable, jointly and severally, during bidding and execution of the contract?
6.   If the application fails preliminary acceptance in one of the column topics, the reasons shall be clearly explained in this Explanation column or in an attachment,
     as necessary.
                                                                                                 37



             Table 4. Qualification Evaluation Summary
                            (Pass-Fail Criteria)

  Qualification Topic                     Specified Criteria             Application      Explanations
                                          (as stated in ITA)            1    2     etc.
General Experience
Annual Turnover
- ITA 4.3(a):                * As prime contractor over the
  Average annual               last       years
  turnover                   * Minimum average turnover        Amount
                               US$         equivalent.         US$
Successful Project
Experience
- ITA 4.3(b):                * As prime contractor within
  Successful project           the last       years
  experience of similar      * Experience includes
  nature and complexity        execution of

                             * Minimum annual production
                               rate for the key construction
                               activity (if applicable)

                             * Project experience in the
                               country concerned and in
                               similar countries as required
                               (if applicable)

                             * Required number of projects     Number

Personnel Capabilities
- ITA 4.4:                   * Position 1:
  Experience of prime          - Required number of years      Years
  candidate and                  of work experience
  alternative for key          - Required number of years      Years
  management and                 of similar work experience
  special positions            etc.
                             * Position 2:
                               - Required number of years      Years
                                 of work experience
                               - Required number of years      Years
                                 of similar work experience
                               etc.
Equipment Capabilities
- ITA 4.5:                   Type, characteristics,
  Ownership of               minimum number and
  equipment or the ability   availability of key equipment
  to hire or lease           required
  equipment needed to                             Minimum
  perform the works                  Type          Number

                             1                                 Number
                             2                                 Number
                             etc.
                                                                                                         38



               Table 4. Qualification Evaluation Summary
                              (Pass-Fail Criteria)
                                    (cont’d)

    Qualification Topic                    Specified Criteria                   Application      Explanations
                                           (as stated in ITA)                  1    2     etc.
 Financial Position
 - ITA 4.6                    * Construction cash flow for a
   Cash flow capacity           period of       months
                              * Minimum required amount         Amount
                                US$        equivalent           US$

 - ITA 4.7                    Sound financial statements for    Pass-Fail
   Soundness of financial     the last     years
   position
 Litigation History
 - ITA 4.8                    Accurate information on any       Pass-Fail
   History of litigation or   litigation or arbitration
   arbitration                resulting from contracts
                              completed or under execution
                              over the last        years
 Subcontracting
 - ITA 4.2                    Required highly specialized       Pass-Fail
   Specialist                 inputs (essential for execution
   subcontractors (if any)    of the contract)




1. If the Applicant fails a specific criterion or if ―pass‖ has been given, accepting a minor deviation (ITA
   4.1), the reasons shall be clearly explained in the Explanation column or in a separate attachment, as
   necessary.
                                                              39



            Table 5. Proposed Prequalification Decision

1.   Prequalified Applicants
     i)


     ii)


     iii)


     etc.


2.   Rejected Applicants
                                      Reasons for rejection
     Applicant’s name
     i)




     ii)




     iii)




     etc.
                                                                                     40



     Annex I-1. Prequalification Evaluation Summary Checklist


1.     Attach Identification and Prequalification Process data (Tables 1, 2).

2.     Provide a list of Applicants and place of incorporation and registration as well
       as the date of submission of their applications (first three columns of Table 3).

3.     Provide details on eliminating any applications during preliminary examination
       (Table 3). Particular attention should be given to issues related to eligibility
       and JV requirements.

4.     Attach copies of any letters to Applicants requesting clarifications or
       substantiation of information. Provide copy of responses.

5.     Provide explanations for giving a ―fail‖ mark to an Applicant in any of the
       specified criteria (Table 4). If necessary, include a separate attachment with
       explanations.

6.     Provide detailed reasons for rejecting an Applicant (Table 5).
                                     41




            Annex II.

Bid Evaluation Report Sample Forms
                                   42




      Bid Evaluation Report
               and
Recommendation for Award of Contract




  Name of Project:

  Loan No.:

  Contract Name:

  Identification Number:

  Date of Submission to JBIC:
                                                                                    43


                  Request for Review and Concurrence by JBIC


        If the contract is subject to prior review, the bid evaluation report should be
attached with a letter of Request for Review and Concurrence by JBIC, in accordance
with the form specified in the relevant Loan Agreement, if any, from the Borrower
ministry, department, or agency responsible for communications with JBIC. The letter
should highlight conclusions and offer any additional information that would help to
expedite review by JBIC. In addition, any unresolved or potentially contentious issues
should be highlighted. The letter should be sent to the responsible official of JBIC
specified in the Loan Agreement.
                                                                             44



                 SAMPLE TABLE OF CONTENTS


SUMMARY

1.   INTRODUCTION
     1.1  Bid Identification and Bid Evaluation Committee
     1.2  Bid Process
     1.3  Bid Submission and Opening


2.   PRELIMINARY EXAMINATION OF BIDS
     2.1  Bid Documents
     2.2  Verification
          2.2.1 Authorized Sign
          2.2.2 Power of Attorney for Authorized Person
          2.2.3 Joint Venture Agreements
          2.2.4 Qualification Information
     2.3  Eligibility
     2.4  Bid Security
     2.5  Completeness of Bid


3.   DETERMINATION OF SUBSTANTIAL RESPONSIVENESS
     3.1 Substantial Responsiveness to Commercial Terms and
         Conditions
         3.1.1 Authorized Sign to Bid Form and Price Schedules
         3.1.2 Eligibility
         3.1.3 Bid Security
         3.1.4 Bid Validity
         3.1.5 Time for Completion
         3.1.6 Conditionality
         3.1.7 Price Adjustment Formulae
         3.1.8 Others
     3.2 Substantial Responsiveness to Technical Requirements
         3.2.1 Scope of Work
         3.2.2 Quotation for Items in Package
         3.2.3 Technical Requirements
         3.2.4 Plans and Schedules of Performance, Technical or Service
               Factors
               [Example for Civil works]
                a) Construction Time Schedule and Sequence of Construction
                    Activities
                b) Construction Method (Site Organization, Key Field
                    Personnel, Construction Facilities)
                c) Quality Control System
                d) Labour and Materials (Subcontracting, Cash Flow)
                e) Safety Measures
                                                                        45


             3.2.5 Alternative Offers
             3.2.6 Minor Deviations


4.    DETAILED EXAMINATION OF BIDS
      4.1  Corrections for Errors
      4.2  Corrections for Provisional Sums
      4.3  Modifications and Discounts
      4.4  Currency Conversion
      4.5  Additions and Analysis of Prices
           4.5.1 Additions
                  a) Omissions
                  b) Missing Items in Bill of Quantities
           4.5.2 Analysis of Prices: Examination of Unbalanced Prices
      4.6  Priced Deviations
           4.6.1 Categorical Statements by Bidders
           4.6.2 Terms of Payment
           4.6.3 Time for Completion
      4.7  Adjustments


5.    DETERMINATION OF AWARD
      5.1 Cross-Discounts
      5.2 Qualification
      5.3 Alternative Bids
      5.4 Proposed Award


6.    CONCLUSIONS

APPENDICES
Table 1    Identification
Table 2    Bidding Process
Table 3    Bid Submission and Opening
Table 4    Bid Prices (as Read Out)
Table 5    Preliminary Examination
Table 6    Corrections and Unconditional Discounts
Table 7    Exchange Rates
Table 8    Currency Conversion
Table 9    Additions, Adjustments, and Priced Deviations
Table 10   Proposed Contract Award
                                                                                  46



                             SAMPLE FORMS

                          Table 1. Identification

1.1   Name of Borrower
1.2   Loan Agreement (L/A) number
1.3   Date of effectiveness of L/A
1.4   Closing date of Bid Submission
      (a) original
      (b) revised
1.5   Name of project
1.6   Executing Agency (or other
      organization responsible for
      purchase or employment)
      (a) name
      (b) address
1.7   Contract number (identification)
1.8   Contract type                          Lump-sum      Unit-price     Other
1.9   Contract description

1.10 Method of procurement (check one)       ICB            LIB           Other
1.11 Fixed price contract                    Yes            No
1.12 Cofinancing for the Contract, if any:
     (a) agency name
     (b) percent financed by agency
1.13 Bidding Procedures                      Single-Stage: One-Envelope
                                             Single-Stage: Two-Envelope
                                             Two-Stage
                                                                            47



                                Table 2. Bidding Process

    2.1 Invitation for Bids
        (a) first issue date
        (b) latest update
        (c) name of newspaper
        (d) date of copy sent to JBIC
    2.2 Prequalification (if required)
        (a) number of firms prequalified
        (b) date of JBIC’s concurrence to
              evaluation result8
    2.3 Bidding Document
        (a) title, publication date
        (b) date of JBIC’s concurrence, if
              necessary
        (c) date of issue to bidders
    2.4 Number of firms issued documents
    2.5 Amendments to documents (if any)
        (a) list all issue dates                        1.        2.   3.
        (b) date(s) of JBIC’s concurrence               1.        2.   3.
    2.6 Date of pre-bid conference (if any)




8
    Cite the date for amendment and JBIC’s concurrence, if any.
                                                                                                   48



                  Table 3. Bid Submission and Opening

3.1 Bid submission deadline
    (a) original date, time
    (b) extensions, if any
3.2 Bid opening date, time
3.3 Record of bid opening, date sent to
    JBIC
3.4 Number of bids submitted
3.5 Bid validity period (days or weeks)
    (a) originally specified
    (b) extensions, if any

Note: Contracts under one-stage: two-envelope bidding and two-stage bidding will require the information
      requested for each stage to be filled out.
                                                                                                                                                                    49




                                                    Table 4. Bid Prices (as Read Out)

                Bidder Identification                        Read-out Bid Price(s)            Bid Security      Modifications         Name of          Signature
                                                                                                Amount          or Comments1        Representative
    Name of          City/State or        Country         Currency(ies)      Amount(s)
     Bidder           Province
       (a)                (b)                (c)                (d)               (e)              (f)                 (g)                (h)                 (i)




etc.



1
    Describe any modifications to the read-out bid, such as discounts offered, withdrawals, and alternative bids. Note also the absence of any required bid
    security or other critical items. Refer also to Section III, para. 1 herein.
                                                                                                                                                               50




                                                    Table 5. Preliminary Examination

          Bidder             Verification1        Eligibility      Bid Security       Completeness             Substantial               Acceptance for
                                                                                        of Bid               Responsiveness           Detailed Examination
             (a)                    (b)               (c)                (d)                 (e)                     (f)                         (g)




etc.



Note: For explanations of headings, see Section III, para. 2 herein. Additional columns may be needed, such as for responsiveness to technical conditions. See
      example in Annex II-2.
1
    Verification: The points to be covered by verification are (i) whether bid documents have been properly signed or not; (ii) whether power of attorney for the
    authorized person has been submitted or not; (iii) whether joint venture agreements, if required, are submitted or not; (iv) whether documents, required to
    assess the post qualification of a bidder with respect to its financial and technical capability to undertake the contract, have been provided or not.
                                                                                                                                                                       51




                                       Table 6. Corrections and Unconditional Discounts

    Bidder        Read-out Bid Price(s)                       Corrections                 Corrected Bid             Unconditional  Corrected/Discounted
                                                                                            Price(s)                  Discounts2       Bid Price(s)
               Currency(ies)       Amount(s)        Computational Provisional                                    Percent Amount(s)
                                                       Errors1       Sums
      (a)             (b)               (c)                (d)                (e)        (f) = (c) + (d) - (e)     (g)          (h)               (i) = (f) – (h)




etc.



Note: Only bids accepted for preliminary examination (Table 5, column g) should be included in this and subsequent tables. Columns a, b, and c are from
      Table 4 (columns a, d, and e, respectively).
1
    Corrections in column d may be positive or negative.
2
    If the discount is offered as a percent, column h is normally the product of the amounts in columns f and g. Refer to Section III para. 4-3). If the discount is
     provided as an amount, it is entered directly in column h. A price increase is a negative discount.
                                                                                      52




                            Table 7. Exchange Rates

Currency Used for Bid Evaluation:

Effective Date of Exchange Rate:

Authority or Publication Specified for Exchange Rate:



Note: Attach copy of exchange rates provided by specified authority or publication.
                                                                                                                      53




                                       Table 8. Currency Conversion
                                           Specify Evaluation Currency:


       Bidder   Currency(ies) of Bid    Corrected/Discounted      Applicable            Evaluation Currency
                                            Bid Price(s)       Exchange Rate(s)   Bid Price(s)      Total Bid Price
        (a)             (b)                     (c)                       (d)     (e) = (c) x (d)         (f)




etc.
                                                                                                                                                               54




                                  Table 9. Additions, Adjustments, and Priced Deviations
                                                     Specify Evaluation Currency:


             Bidder                Corrected/Discounted             Additions2         Priced Deviations2         Adjustments2               Total Price
                                        Bid Price1
                (a)                            (b)                       (c)                    (d)                     (e)            (f) = (b) + (c) + (d) + (e)




    etc.



1
    Column b is from either Table 8, column f.
2
    Each insertion in columns c, d, or e should be footnoted and explained in adequate detail, accompanied by calculations. Refer to paras. 4-5), 4-6), and 4-7)
    respectively of Section III.
                                                                                                    55




                          Table 10. Proposed Contract Award

    1.    Lowest evaluated responsive bidder
          (proposed for contract award).
          (a) name
          (b) address
    2.    If bid from joint venture, list all
          partners, nationalities, and estimated
          shares of contract.
    3.    Principle country(ies) of origin of
          goods/materials.
    4.    Estimated date (month, year) of
          contract signing.
    5.    Estimated delivery to project
          site/completion period.
                                                              Currency(ies)             Amount(s)
                                     1
    6.    Bid Price(s) (Read-out)
    7.    Corrections for Errors2
    8.    Discounts3
    9.    Other Adjustments4
    10.   Proposed Award5
    11.   Disbursement Category6
1
    From Table 6, columns b and c.
2
    From Table 6, column d.
3
    From Table 6, column h. Include any cross-discounts. See Section III, para. 5-1).
4
    All adjustments should be explained in detail.
5
    Sum of the prices in Items 6–9.
6
    From the Loan Agreement.
                                                                                                                   56




                            Annex II-1. Bid Opening Checklist
                                 (To be filled out for each bid as it is read out)


Contract Reference:

Bid Opening Date:                                                                  Time:

Name of Bidder:


(a)         Is outer envelope of bid sealed?

(b)         Is bid form completed and signed?

(c)         Expiration date of bid:

(d)         Is documentary authority for signing enclosed?

(e)         Amount of bid security (if required):                                               (state currency)

(f)         Describe any ―Withdrawal‖ or ―Modification‖ submitted

(g)         Describe any alternative bid made:

(h)         Describe any discounts or modifications offered:

(i)         Additional comments:9

(j)         Name of bidder or representative present:

(k)         Total bid price:                                (list currencies and amounts or percentages)10



Signature of responsible official:                                                          Date:




9
     Read out and record model numbers of equipment.
10
     If bid is for a package of contracts, the price for each lot or item should be read out.
                                                                                                                                        57




                                               Annex II-2. Preliminary Examination
         Bidder               Verification       Eligibility        Bid Security       Completeness     Substantial    Acceptance for
                                                                                         of Bid       Responsiveness      Detailed
                                                                                                                        Examination
Bidder A                           Yes               Yes                 Yes               Yes             Yes             Yes

Bidder B                           No1               Yes                 Yes               Yes             Yes              No

Bidder C                           Yes               Yes                 Yes               Yes             Yes              Yes

Bidder D                           Yes               Yes                 No2               No3             Yes              No

Bidder E                           Yes                No                 No4               Yes             Yes              No

Bidder F                           Yes               Yes                 Yes               Yes             Yes              Yes

Bidder G                           Yes               Yes                 Yes               Yes             Yes              Yes

Bidder H                           Yes               Yes                 Yes               Yes             Yes              Yes

1
  Joint venture agreement missing.
2
  Bid security not in freely convertible currency.
3
  Does not include cost for required disposal of hazardous wastes found at the site.
4
  Required validity period of security not met (8 weeks instead of 12 weeks).
                                                                                           58




        Annex II-3. Bid Evaluation Summary Checklist

1.    Attach bid opening record, if not previously submitted (Section III, para. 1, 2).

2.    Explain any inconsistencies between prices and modifications to prices read out at bid
      opening (and written into the record) and presented in Table 4.

3.    Provide details on eliminating any bids during preliminary examination (Table 5).
      Copy select pages from bids, as desirable, to show examples of objectionable features.

4.    If provisional sums in Table 6 vary among bidders, explain. Explain any substantial
      corrections for computational errors that may affect the ranking of bidders.

5.    Provide a copy of the rates requested for Table 7 and used in Table 8.

6.    The additions, adjustments, and priced deviations in Table 9 require detailed
      explanations where they may affect the ranking of bidders.

7.    Explain any cross-discount (Section III, para. 5.1)) not read out and recorded at bid
      opening. In addition, attach copies of any evaluation reports for the other related
      contracts awarded to the same bidder.

8.    Provide detailed reasons for refusing to award a contract to a party other than the
      lowest evaluated bidder (Section III, para. 5. 2)).

9.    If an alternative bid is accepted, provide a detailed explanation of the reasons for its
      acceptance, addressing issues of timeliness, performance, and cost implications
      (Section III, para. 5. 3)).

10.   An attachment to Table 10 should explain adjustments to the price provided on line 9,
      ―the Adjustment‖. Explain any changes to scope of bid and contract conditions.

11.   Attach copies of any letters to bidders requesting clarifications. Provide copies of
      responses.

12.   Submit bid evaluation with separate evaluation report from the consultant, if one was
      commissioned.
                                                                                        59




13.   Ensure that the bid evaluation report is double-checked, paginated, and complete, and
      includes a letter of Request for Review and Concurrency by JBIC. JBIC will only
      review reports that are sent to it by the proper authorities.

14.   Send by courier or by other swift means.

				
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