CHETTINAD POWER CORPORATION PRIVATE LIMITED

2X660MW SUPER CRITICAL THERMAL POWER PLANT AT THARANGAMBADI-NAGAPATTINAM DIST.-TAMIL NADU

BID SPECIFICATION NO. : 11Z02-BOP-SPC-G-001

BALANCE OF PLANT PACKAGE INTERNATIONAL COMPETITIVE BIDDING

VOLUME : I CONDITION OF CONTRACT

FOR ENGINEERING, PROCUREMENT AND CONSTRUCTION OF BALANCE OF PLANT

CONSULTANT

DEVELOPMENT CONSULTANTS PRIVATE LIMITED 191, ANNA SALAI, CHENNAI 600006

VOLUME: I SECTION-1 NOTICE INVITING TENDER (NIT)

(International Competitive Bidding) 1.0 INTRODUCTION Chettinad Power Corporation Private Limited (CPCPL) (hereinafter referred to as the Owner) invites eligible National and International Bidders with requisite technical capability and sound financial position, to bid on Lump sum fixed price basis for the BOP (Balance of Plant excluding Boiler, Turbine, Generator and associated equipment/auxiliaries) with associated Civil & Structural works on Engineering, Procurement and Construction (EPC) basis for Coal Fired Super-critical Thermal Power Project (2x660 MW) at Tharangambadi, Nagapattinam District, Tamil Nadu, India as described below. 2.0 2.1 DETAILS OF TENDER Bid Specification No: 11Z02-BOP-SPC-G-001 Cost of S oft c opy of Bid D ocum ents 2500 0/ - (Ind i an Rupe es T w enty Fi ve T housand onl y) p er s et f or Ind ian Bidd ers and US $ 55 0. 00 (US D oll ar fi ve hundred and f if ty on ly ) per se t f or f or eign Bidd ers. T he Bid D ocum ent s sh a ll a ls o be ava i lab le onl in e, how ever in s uch a case, t o d ow nl oad the d ocum ent, the af ore sa id sum m ay a l s o be pa id thr ough E le ctr on ic Fund T ransfe r t o ICICI A/c No-603805023671. Im m ediat e ly aft er d ow nload ing the d ocum ent s, the bidder s sh al l in f orm C PC PL thr ough em ai l g iv ing in f orm a ti on ab ou t the B idd er s org an iz at i on d eta i ls a l ong w ith c onta ct de ta i ls and c once rned pers on. DD/ P ay Orde r payab le to Docum ents sa le dat e & T im ing Pre Bi d Bidd ers quer i es by Chet t inad P ow er C orp ora ti on P ri va te Lim i ted pay ab le at Chenna i, T am ilnadu , Ind ia From M arch 20, 2 012 t o Mar ch 31, 20 12 fr om 1100 hr s t o 17 00 hrs ( IS T ) Ap ri l 1 8, 201 2 by 17 00 h ours

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Pre -b id c onf erenc e Par t- I ( C ove r 1, 2, 3 ) & I I (C over 4 )(T echn o Com m erc ia l ) & ( Pr ic e) Bid R ece ip t Da te & T im e Par t- I (T echn o Com m erc ia l ) Bid Open ing D at e & T im e Bid S ecu ri ty

Ap ri l 3 0 & May 1, 2 012 a t 10 00 hrs. Up t o M ay 31, 2 012 b y 110 0 hrs ( IS T ).

Con ta ct Pers on

June 02, 2 012 at 113 0 hrs ( IS T ) Date of open ing of Pa rt I I ( Pr ice ) Bi d sh al l be int im at ed l at er. Rs. 120 Mi l l i on ( Ind ian Rupe es One Hundred T w enty M il l i on on ly) or US $ 2. 4 M i ll i on ( US $ Tw o M il l i on and F our Hundred T hou sand on ly ) b y Bank Guarant ee va l id f or 18 0 days f r om date of b id open ing (f orm at at p er Annexu re I- I I I). Chi ef E xe cut iv e Off i cer ( CE O) Chet t inad P ow er C orp orat i on Pr iv ate Lim i ted 9th Fl oor, Ran i S ee tha i Ha l l Bui ld ing, 603, Anna S a la i, Chenna i - 60 0 00 6

T elephon e N os. +91- 044 -42 988 671 Fax N o. +91- 044 -42 988 661 E m ail ID ce o@che tt in adp ow er. com For detai l s vi si t web si t e www. ch et ti nad power . co m 2.2 Earnest Money Deposit (EMD)/Bid Security Earnest money shall be submitted in a separate sealed envelope as per following: i.) By Bank Guarantee 120 Million (US$ 2.4 Million) issued by an Indian Branch of any scheduled Bank or reputed Bank licensed to do business in India in the Form of Bank Guarantee outlined in Annexure- I-III. Bank Guarantee should remain valid for a period of 180 days from the date of opening of the Cover-3 of the Techno-Commercial Bid. Provided, however that, in case the bank guarantee is issued by an overseas bank/foreign bank, such bank guarantee shall be duly endorsed/ confirmed up by an Indian Scheduled Bank to the satisfaction of the Owner.

Details of EMD mentioned above and the other terms and conditions have been specified in the Instruction to Bidders (ITB). Companies not having the branches in India may submit the above in US Dollars. The bank guarantee submitted by an overseas bank shall be endorsed/ backed up an Indian Bank.

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3.0 3.1

Qualification Requirements Technical Qualification Requirements: The bidder should meet at least one of the following Technical Qualifying Requirement (A or B) and submit end Users certificate establishing his credentials. A. The Bidder should have executed/executing contracts on Engineering, Procurement and Construction (EPC) basis of the Total Plant / Balance of Plant for at least one number coal based / lignite based plant of installed unit capacity of not less than 500 MW, in which site erection work has commenced in a period of not less than one year, as on the bid opening date. The scope of work of such a reference plant should have necessarily included design, engineering, supply, erection, testing and commissioning including all associated major packages such as civil, structural, mechanical and electrical works on Turn Key basis. The agency executing the work for different packages of BOP shall meet the Qualifying Criteria under Annexure- A. OR B. The Bidders, who has executed only a part of Balance of Plant Package, can submit the bid in Consortium and all consortium partners (not exceeding 5 including consortium leader) should jointly meet the requirement of clause 1.1 above. The consortium leader and the consortium partners shall be jointly and severally responsible for execution of the contract. The legally valid and binding consortium agreement shall be furnished clearly identifying clarifying the split-up of scope between consortium partners. In case of award of contract to the consortium, each partner other than consortium leader shall be required to furnish a demand bank guarantee for two (2.0) percent of contract price (allocable to the respective consortium partner) in addition to the contract performance security to be given by the consortium leader. The selection criteria for qualification of consortium partners is enclosed as per Annexure- A. Bidders qualifying under either of A or B above are allowed to source a part of the Balance of Plant package from a sub contractor meeting the criteria specified under Annexure-A.

3.2

FINANCIAL QUALIFICATION REQUIREMENT (a) The Tangible Net Worth of the Bidder as on the last day of the preceding financial year shall not be less than 50% of the paid-up share capital. For the purpose of evaluation, the annual turnover in foreign currency will be converted to equivalent Indian Rupees based on the TT selling exchange rate as on two days prior to the bid opening date. A Bidder who does not satisfy the net worth criteria, stipulated in clause 3.2 (a) above on its own would be required to furnish along with the bid, a letter of Undertaking from the holding company, if applicable, pledging unconditional and irrevocable financial support for the execution of the Contract by the Bidder in case of award, provided that the net worth of such holding company as on the last day of the preceding financial

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year should be at least equal to or more than the paid-up share capital of the Subsidiary company. (b) The average annual turnover of the Bidder or the major equity holders (together) of the bidder, in the preceding three (3) financial years as on the date of bid opening, shall not be less than Rs. 7500 million or in equivalent foreign currency. For a consortium, the lead member or the consortium shall have an annual average turnover of Bidder, in the preceding three (3) financial years as on the date of bid opening, shall not be less than Rs. 7500 million or in equivalent foreign currency. For the purpose of evaluation, the annual turnover in foreign currency will be converted to equivalent Indian Rupees based on the TT selling exchange rate as on two days prior to the bid opening date. (c) Notwithstanding anything stated above, the Owner reserves the right to assess the Financial capabilities and capacity of the Bidder/his collaborators/associates/ subsidiary companies, to perform the contract, should the circumstances warrant such assessment in the overall interest of the Owner and the Project Note: In all the above Technical and Financial Pre Qualification Requirement, the following interpretations are to be taken note of a) Collaboration refers to technical collaboration between two parties in the field of Engineering Procurement and Construction (EPC) basis valid atleast till the completion of warranty period of the project under consideration. b) Association refers to a condition where the parties are associated with the approval of the Board of Directors of the respective companies who decide irrevocably to work together and discharge all the obligations till the warranty completion period of the project under consideration substantially. For this purpose, the parties involved will produce, as the part of the bid, an undertaking to the effect on Indian Judicial Stamp Paper in the Form and in the manner as set out in Annexure-I-I Format for Advance Payment Bond hereto. c) Bidder should also submit original copy of NOC from technical licensor / collaborator / associate for participating in the project along with the bid documents in the Form and in the manner as set out in Annexure I -VI. d) Owner does not bind itself to accept the lowest or any of the bids and reserves the right to accept any bid or reject any or all bids without assigning any reasons thereof. e) Bidders are required to submit, along with the bid, sufficient and satisfactory documentation establishing their credentials to meet the qualification requirements . CONDITIONS FOR CONSORTIUM: i. The bidder along with his associate manufacturer shall furnish a legally valid and binding undertaking jointly executed for the successful commissioning and performance of the above plant and in such case the bidder and his associate manufacturer shall be jointly and severally liable to the CPCPL to perform all the
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contractual obligations. The agreement of association in such case should have been executed prior to the date of bid opening. ii. No member can be a member in other consortium who take part in this tender or put in a bid independently. A company, if acting in the capacity of Subcontractor in any Bid, may participate in more than one Bid, but only in that capacity. The bid and the contract agreement between CPCPL and the consortium shall be signed by all the members of the consortium. The consortium agreement in original duly certified by a Notary Public confirming the intent of all the members to form the consortium should be submitted along with the bid. It should also distinctly show the financial participation of each member of the consortium scope of work and responsibilities of each member as regard to planning, execution and performance guarantee of the work under the entire scope of contact between CPCPL and the consortium. In case of foreign bidder, the consortium agreement should be duly certified by the Consulate General of India in Foreign country. The signatory of the agreement shall be only those holding a valid power of attorney. A certified copy of the Company Secretary or legal manager to the respective member shall be attached as evidence of authentication One of the member in the consortium shall be nominated as the leader of the consortium and this authorization shall be evidenced by submitting a power attorney signed by legally authorized signatories of all the members. The leader of the consortium shall abide by the general terms and conditions specified by the owner and agreed notes discussed and signed during subsequent meetings. The leader of the consortium is the only one who will be authorized to receive instructions for and on behalf of the consortium, primarily responsible for the total execution of the contract including all contractual obligations and receipt of payment due in accordance with the provisions of the contract. All the members of the consortium shall be liable jointly and severally for the execution of the contract in accordance with the terms and conditions of the contract and statement to his effect shall be included in the consortium agreement as well as in the contract document. There shall be no conditional offer in the consortium agreement with regard to this project. The consortium formed for the purpose of this project shall be valid till the plant is finally handed over and till the completion of the warranty period as stated in the contract.

iii. iv. v.

vi.

vii.

viii.

ix.

x.

xi. xii.

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xiii.

The average annual turnover of the consortium leader should be at least Rs . 750 crore during the preceding three consecutive years. Net worth of the bidder/ consortium leader as on the last day of the preceding financial year shall not be less than 100% of the paid up share capital. Selection Criteria for Sub Contractors The bidder shall comply with the following criteria for selection of sub- contractor:

3.3

3.3.1 Sub- contractors to be appointed by the successful bidder for executing various systems should have executed/executing at least one project of similar type of capacity (as per Annexure -A for individual BOP package) which should be in successful operation for at least one year as on bid opening date. The selection of subcontractor by the successful bidder shall be subject to approval of the Owner. 3.3.2 The major equipment to be supplied shall be sourced from reputed manufacturers who have supplied minimum one number of such equipment of at least 75% of specified capacity during last five years from the date of bid opening which should be in successful operation for at least one year as on bid opening date. Notwithstanding anything stated above, the Owner reserves the right to assess and approve the capabilities and capacity of the bidder / his collaborators/ associates/consortium partners to perform the contract, should the circumstances warrant such assessment in the overall interest of the Owner.

4.0

THE PROJECT Chettinad Power Corporation Private Limited (CPCPL) has planned to install Supercritical Thermal Power Project, Stage-1 (2x660 MW) at Tharangambadi.

5.0 5.1

SITE General The proposed Power Plant will be installed at the coastal villages of Kaliyappanallur, Sattankudi, Erukkattancherri, Manikkappangu in Tharangambadi taluka, Nagaipattinam District of Tamilnadu, India.

5.2

Approach to Site Proposed site near Tharangambadi, in Nagaipattinam District of Tamilnadu, India is on the National Highway 45A connecting Thirukadaiyur and Karaikal. A separate captive coal jetty shall be made by owner for movement of Coal and later if required it will brought by rail from nearest port Karaikal 10 km away from the site The nearest Major Town is Karaikal which is connected by National Highway (NH45A). Nearest railway head is Karaikal approx 10 km away from the site. The railway track is broad gauge.

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Nearest Airport is Thiruchirapalli at a distance of about 126 KM from Karaikal. 5.3 Plant Grade Level The proposed plant will be located on leveled land. Considering HTL of the sea, site will have an efficient disposal of storm water drainage. 5.4 Source of Water The cooling water required by the Power Plant will be drawn from the sea water intake water system of proposed near the jetty about 1.5 Km away from proposed power plant. Sweet Water required for the power plant shall be obtained from sea water desalination Plant. 6.0 SCOPE OF WORK Single point responsibility EPC contract including design, engineering, procurement, manufacture, fabrication, assembly, testing at works, supply, transportation and comprehensive insurance up to handing over, storage, and erection of Balance of Plant and Equipments (excluding Main Plant equipments comprising of Steam Generator, Steam Turbine & Generator, Fuel Oil forwarding System, with associated integral auxiliaries, Transformers GT,UT,ST with associated Bus ducts and Station Control & Instrumentation) inclusive of Mechanical, Electrical, Control & Instrumentation, all civil & structural works and all other systems/facilities required for BOP package Plant, testing and successful commissioning, putting into operation and establishing the successful performance during the performance guarantee tests of the Balance of Plant including all other incidental services required for the satisfactory completion and performance of the 2x660 MW Coal Fired Supercritical Thermal Power Project , at the proposed site as per applicable codes and standards. 7.0 The Balance of Plant is to be successfully completed and hand over as per the schedule given under Clause 9.1 of Instructions to Bidders (ITB). On the basis of a written application, tender documents (soft copy in PDF format) can be purchased from the office of the CPCPL, Chennai 600 006 on working days as per the price and other payment details indicated or alternatively it can be downloaded from the website given in the instruction to bidder (ITB). Accredited agents/representatives of foreign bidders in India are also permitted to purchase the tender documents(soft copy in PDF format) on behalf of the foreign bidder on presentation of valid document and on payment of requisite tender document price/cost as indicated above. No tender paper/ document will be sent by post. The Bid Documents shall also be available online on owners website, however in such a case, to download the document, a sum of Rs. 25000/- towards cost of bid documents may also be paid through Electronic Fund Transfer to ICICI A/c No-603805023671. Immediately after downloading the documents, the bidders shall inform CPCPL through email giving information about the Bidders organization details along with contact details and concerned person.
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8.0

9.0

CPCPL-Super Critical TPP-Tharangambadi [2 x 660 MW] Balance of Plant Package

10.0 The offer must accompany the Earnest Money Deposit (EMD) as indicated above in a separate cover failing which the same shall be rejected by CPCPL as being non responsive and returned to the Bidder without being opened. 11.0 12.0 13.0 14.0 15.0 Any offer received after the expiry of the time prescribed for receiving completed tenders, will not be considered. CPCPL reserves the right to reject any tender or all tenders received at its discretion without assigning any reason whatsoever. CPCPL is not necessarily bound to accept the lowest offer. Issuance of bidding document will not be construed to mean that such bidders are automatically considered qualified and eligible. The Bidders should note that the payments will be made in Indian Rupees/ Foreign Currencies as applicable as per the contract. The bidders shall be required to submit Bid Security equivalent to .120million (Rupees One Hundred Two Million only) or US $ 2.4 million (US $ Two Million and Four Hundred Thousand only) in the form prescribed in Annexure -I-III the Bid Specification along with the bid. The bidder shall be required to submit a contract performance security, in form an unconditional and irrevocable bank guarantee as per the format attached along with the specification, for 10% of the contract price in the event of the contract being awarded to him. The contract performance security shall be valid till end of Warranty Period. The bidder shall be required to keep his offer valid for acceptance for at least 180 days from the date of bid opening. Bidders, who have purchased the Bid Documents, are requested to submit their queries on bid specification, if any, on or before the stipulated date through e-mail ID ceo@chettinadpower.com with a hard copy by post/courier service. All the pre-bid queries shall be furnished in the following format through E-mail as a MS EXCEL editable document along with a post confirmation copy thereof as per the schedule prescribed by CPCPL in this NIT.
Sl. No. Volume / Section Page No. Clause No. Bid Specification Bidders Query Clarification by CPCPL/ Consultant

16.0

17.0

18.0 19.0

1 A. B.

2 Commercial Technical i) Mechanical

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Sl. No.

Volume / Section

Page No.

Clause No.

Bid Specification

Bidders Query

Clarification by CPCPL/ Consultant

ii) Electrical iii) C&I iv) Civil Works

20.0

Interested eligible bidders may obtain bidding document (soft copy in PDF format) from the office of CPCPL, 9th Floor, Rani Seethai Hall Building, 603, Anna Salai, Chennai - 600006, Tamil Nadu (India) from 11.00 Hrs. to 15.00 hrs. (IST) on all working days between the days mentioned above on payment of the specified amount by Crossed Demand Draft / Pay Order payable to Chettinad Power Corporation Private Limited , payable at Chennai, Tamilnadu India and furnishing the cash receipt of the same to Chief Executive Officer, Alternatively the Bidder can download the forms from the website by making payment through Electronic Fund Transfer to ICICI A/C No 603805023671. Immediately after downloading the documents, the bidders shall inform CPCPL through email giving information about the Bidders organization details along with contact details and concerned person . In case the bidder wishes to authorize somebody to collect the documents on his behalf, the appropriate authorization letter from the bidder should be presented along with the request letter. The bidder who has purchased or down loaded the Bid Document shall only be eligible for submission of the Bid Proposal. Address, Fax and Phone No. of CPCPL are: Chief Executive Officer (CEO) Chettinad Power Corporation Private Limited 9th Floor, Rani Seethai Hall Building, 603, Anna Salai, Chennai - 600 006 Phone No. Fax No. Em ai l : +91-044 -42 988 671 : +91-044 -42 988 661 : c eo@c h et t i n ad p ow er. c om

21.0 22.0

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Annexure A SELECTION OF EXECUTING AGENCY / SUB-CONTRACTOR / CONSORTIUM PARTNER 1.0 1.1 COAL HANDLING PLANT Executing Agency / Sub contractor / Consortium Partner should have executed one number integrated bulk material handling plant of minimum 1000 TPH of coal, (essentially comprising of crushing. screening, stacker / reclaimers, travelling tripper, conveying etc. ) including mechanical and electrical and control and Instrumentation works involving design, manufacture / procurement, supply, erection and commissioning which has been commissioned during last ten years which has been in successful operation for at least one year as on bid opening date. ASH HANDLING PLANT Executing Agency / Sub contractor / Consortium Partner should have executed at least one ash handling plant during last 10 years involving design, engineering, manufacture / procurement, supply, erection and commissioning comprising the following systems which should be in successful operation for at least one year as on bid opening date: a) Bottom ash handling system comprising jet pump system or scraper conveyor system in conjunction with water impounded bottom ash hopper designed for at least one (1) No. of a minimum 500 MW capacity unit of pulverized Indian Coal fired boilers And b) Pneumatic fly ash handling system for conveying fly ash from ESPs by either Pressure conveying system or vacuum conveying system designed for at least one (1) No. of a minimum 500 MW capacity unit of pulverized Indian Coal fired boilers. Also, the transportation system for transporting fly ash over distance of not less than 500 m including fly ash storage silos. And c) Wet type ash (bottom ash & fly ash) disposal system comprising ash slurry pumps and piping for 50% of specified capacity of the plant in TPH. 3.0 INDUCED DRAFT COOLING TOWER Sub contractor should have designed, constructed and commissioned during last 10 years at least one number induced draught cooling tower with cross flow splash / film type fill or counter flow splash / film type fill in RCC construction with cooling water flow not less than 50,000 m3/hr. which is in successful operation for at least one year as on bid opening date. 4.0 SEA WATER RO & DM PLANT Sub contractor should have designed, supplied, erected and commissioned during last 10 years at least one number DM plant of minimum capacity of 60m3/hr
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2.0 2.1

consisting of maximum two streams capable of producing outlet water quality with total silica and conductivity not more than 0.02 ppm as SiO2 and 0.1 micro mho/cm respectively which is in successful operation for at least one year as on bid opening date. 5.0 PLANT CW SYSTEM INCLUDING PUMP HOUSE & PIPING Sub contractor should have designed, supplied, erected and commissioned during last 10 years at least one number CW System of minimum capacity for 500 MW Coal Based Thermal Power Plant which is in successful operation for at least one year as on bid opening date. 6.0 CHIMNEY Sub-contractor should have designed, constructed and commissioned during last 10 years at least one number RCC multi flue chimney using slip form shuttering for at least 220m height, which is in successful operation for at least at least one year as on bid opening date. 7.0 SWITCHYARD Sub-contractor should have designed, supplied, erected and commissioned at least one number 400 kV Switchyard during last 10years which should be in successful operation for at least one year as on bid opening date. 8.0 GENERAL CIVIL WORKS & PILING The Sub Contractor should have engineered and designed and executed at least one number coal based / lignite based Power Plant of installed unit capacity not less than 500 MW which has been commissioned during last ten years, and which is in successful operation for a period not less than one (1) year as on the bid opening date

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