KENYA ELECTRICITY GENERATING COMPANY LTD KGN-GRD

Transcription

1 1 KENYA ELECTRICITY GENERATING COMPANY LTD KGN-GRD TENDER FOR DESIGN, SUPPLY & INSTALLATION OF ELECTRICAL POWER SUPPLY FROM OLKARIA II POWER PLANT TO OLKARIA GEOTHERMAL SPA. Kenya Electricity Generating Company Ltd, Stima Plaza Phase III, Kolobot Rd, Parklands, P.O Box NAIROBI KENYA. March, 2015

2 SECTION Page SECTION Page... 2 Section A: Invitation for Tenders... 3 Section B: Instructions to Tenderers... 4 Section C: General Conditions of Contract Section D: Special Conditions of Contract Section E: Schedule of Requirements A. GENERAL B. SCOPE OF THE ACTUAL WORK: C. TECHNICAL REQUIREMENTS: D. SCHEDULE OF MATERIAL QUANTITIES AND PRICES Section F: Tender Form Section G: Tender Security Form Section H: Mandatory Confidential Business Questionnaire Section I: Contract Form Section J: Performance Security Form Section K: Manufacturer s Authorization Form Section L: Site Visit Certificate... 38

3 SECTION A INVITATION FOR TENDERS Kenya Electricity Generating Company Limited (KenGen) invites sealed tenders from eligible candidates who are registered in Electrical installations class C1 and above for design, supply and installation of electrical power supply from Olkaria II power plant to Olkaria Geothermal Spa whose specifications are detailed in this Tender Document. Interested firms may obtain further information from, and inspect the Tender Document at the office of the Supply Chain Director, Tel: (254) (020) , tenders@kengen.co.ke; jtheuri@kengen.co.ke on normal working days beginning date of advert Where the tender document may be collected upon payment of a non-refundable fee of KShs.1, paid in cash or through a bankers cheque at any KenGen finance office. The document can also be viewed and downloaded from the website and the Bidders who download the tender document from the website must forward their particulars immediately to facilitate any further tender clarifications and addenda to tenders@kengen.co.ke. Downloaded copies are FREE. Tenders MUST be accompanied by a Bid Security in the form and amount specified in the Tender Document. The tender must be delivered in plain sealed envelope clearly marked KGN-GRD TENDER FOR DESIGN, SUPPLY& INSTALLATION OF ELECTRICAL POWER SUPPLY FROM OLKARIA II POWER PLANT TO OLKARIA GEOTHERMAL SPA and addressed to; Company Secretary & Legal Affairs Director Kenya Electricity Generating Company Ltd 7 th Floor, Stima Plaza Phase III Kolobot Road, Parklands P.O. Box NAIROBI, KENYA On or before: 27 th March 2015 at a.m. There shall be a MANDATORY SITE VISIT on 18 th March 2015 starting a.m. at the Olkaria Geothermal spa. Tenders will be opened on 27 th March 2015 at a.m. in the presence of tenderers' representatives who choose to attend in the Executive Room, 7 th Floor, Stima Plaza Phase III. SUPPLY CHAIN DIRECTOR

4 SECTION B INSTRUCTIONS TO TENDERERS Introduction 1. Eligible Tenderers 1.1 This Invitation for Tenders is open to National tenderers eligible as described in the tender documents. The successful tenderer shall complete the supply and installations of goods by the intended completion date specified in the tender document. 1.2 Tenderers shall provide the qualification information statement that the tenderer (including all members of a joint venture and subcontractors) have been licensed in Electrical installations of Class B and above for the last three years 1.3 Tenderers shall not be under a declaration of ineligibility for corrupt and fraudulent practices 2. Cost of Tendering 2.1 The Tenderer shall bear all costs associated with the preparation and submission of its tender, and KenGen, will in no case be responsible or liable for those costs, regardless of the conduct or outcome of the tendering process. The Tender Document 3 Contents 3.1 The tender document comprises the document listed below and addenda issued in accordance with Clause 5 of the Instructions to Tenderers. (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) Invitation for Tenders Instructions to Tenderers General Conditions of Contract Special Conditions of Contract Technical Specifications and Price Schedules Tender Form Tender Security Form Mandatory Confidential Business Questionnaire Contract Form Performance Security Form Manufacturer s Authorization Form Site Visit Certificate 3.2 The Tenderer is expected to examine all instructions, forms, terms, and specifications in the tender document. Failure to furnish all information required by the tender document or to submit a tender not substantially responsive to the tender document in every respect will be at the tenderer s risk and may result in the rejection of its tender. 4. Clarification of Tender Document 4.1 A prospective tenderer requiring any clarification of the tender document may notify KenGen in writing ( in PDF format or by facsimile) at the following address:

5 Supply Chain Director Kenya Electricity Generating Company Ltd (KenGen) Ground Floor, Stima Plaza, Phase III Kolobot Road, Parklands P.O Box NAIROBI, KENYA Fax: (254)(020) ; ; KenGen will respond in writing to any request for clarification received no later than five (5) calendar days prior to the deadline of submission of tenders. 5. Amendment of Tender Document 5.1 At any time prior to the deadline for submission of tenders, KenGen, for any reason, whether at its own initiative or in response to a clarification requested by a prospective tenderer, may modify the tender document by amendment. 5.2 All prospective tenderers that have received the tender document will be notified of the amendment in writing ( in PDF format or by facsimile), and will be binding on them. 5.3 In order to allow prospective tenderers reasonable time in which to take the amendment into account in preparing their tenders, KenGen, at its discretion, may extend the deadline for the submission of tenders. Preparation of Tenders 6. Language of Tender 6.1 The tender prepared by the tenderer, as well as all correspondence and document relating to the tender exchanged by the tenderer and KenGen, shall be written in English. Supporting document and printed literature furnished by the tenderer may be written in another language provided they are accompanied by an accurate English translation of the relevant passages in which case, for purposes of interpretation of the tender, the English translation shall govern. 7. Document Comprising the Tender 7.1 The tender prepared by the tenderer shall comprise the following components: (a) a Tender Form and a Price Schedule completed in accordance with Clauses 8, 9 and 10 below; and (b) tender security furnished in accordance with Clause Tender Form 8.1 The tenderer shall complete the Tender Form and the Price Schedule furnished in the tender document, indicating the goods to be supplied, a brief description of the goods, their country of origin, quantity and prices. 9. Tender Prices 9.1 The tenderer shall indicate on the appropriate Price Schedule the unit prices and total tender price of the goods it proposes to supply under the contract.

6 9.2 The price schedules should include Price of goods including installation works and issuing of completion certificates. 9.3 Prices quoted by the tenderer shall be fixed during the tenderer s performance of the contract and not subject to variation on any account. A tender submitted with an adjustable price quotation will be treated as non-responsive and will be rejected, pursuant to Clause Tender Currencies 10.1 Prices shall be quoted in Kenya Shillings or in another freely convertible currency. 11. Tenderers Eligibility and Qualifications The tenderer shall furnish, as part of its tender, documents establishing the tenderer s eligibility to tender and its qualifications to perform the contract if its tender is accepted The documentary evidence of the tenderer s eligibility to tender shall establish to KenGen s satisfaction that the tenderer, at the time of submission of its tender, is from a registered Electrical Contractor with prerequisite certifications of Class C1 and above The documentary evidence of the tenderer s qualifications to perform the contract if its tender is accepted shall establish to KenGen s satisfaction: (a) (b) (c) That, in the case of a tenderer offering to supply goods under the contract which the tenderer did not manufacture or otherwise produce, the tenderer has been duly authorized by the goods s Manufacturer or producer to supply the goods; That the tenderer has the financial, technical, and production capability necessary to perform the contract. That in the case of a tenderer not doing business within Kenya, the tenderer is or will be (if awarded the contract) represented by an Agent in Kenya equipped, and able to carry out the Tenderer s work. 12. Goods Eligibility and Conformity to Tender Document The tenderer shall furnish, as part of its tender, documents establishing the eligibility and conformity to the tender documents of all goods, which the tenderer proposes to supply under the contract The documentary evidence of the eligibility of the goods shall consist of a statement in the Price Schedule of the country of origin of the goods offered, which shall be confirmed by a certificate of origin issued at the time of shipment and a certificate of competence for services offered The documentary evidence of conformity of the goods to the tender documents may be in the form of literature, drawings, and data, and shall consist of: (a) a detailed description of the essential technical and performance characteristics of the goods; (b) A detailed description of the works to be carried out. (c) a clause-by-clause commentary on KenGen s Technical Specifications demonstrating substantial responsiveness of the goods to those specifications, or a statement of deviations and exceptions to the provisions of the Technical Specifications.

7 13. Tender Security 13.1 The tenderer shall furnish, as part of its tender, a tender security in the amount of KShs. 200, The tender security is required to protect KenGen against the risk of tenderer s conduct, which would warrant the security s forfeiture, pursuant to Clause The tender security shall be denominated in Kenya Shillings or in another freely convertible currency, and shall be in the form of a bank guarantee, bank draft issued by a reputable bank located in Kenya or abroad or an insurance company approved by the Public Procurement Oversight Authority (PPOA), in the form provided in the tender document or another form acceptable to KenGen and valid to 25 th July Any tender not secured in accordance with Clause 13.1 and 13.3 will be rejected by KenGen as non-responsive, pursuant to Clause Unsuccessful tenderers tender security will be discharged or returned as promptly as possible but not later than thirty (30) days after the expiration of the period of tender validity prescribed by KenGen The successful tenderer s tender security will be discharged upon the tenderer signing the contract, pursuant to Clause 28, and furnishing the performance security, pursuant to Clause The tender security may be forfeited: (a) (b) or if a tenderer withdraws its tender during the period of tender validity specified by KenGen on the Tender Form; or in the case of a successful tenderer, if the tenderer fails: (i) to sign the contract in accordance with Clause 28 (ii) to furnish performance security in accordance with Clause Validity of Tenders 14.1 Tenders shall remain valid for 90 days or as specified in the tender document after date of tender opening prescribed by KenGen, pursuant to Clause 19. A tender valid for a shorter period shall be considered as non-responsive and shall be rejected by KenGen In exceptional circumstances, KenGen may solicit the tenderer s consent to an extension of the period of validity. The request and the responses thereto shall be made in writing ( in PDF format or by facsimile). The tender security provided under Clause 13 shall also be suitably extended. A tenderer may refuse the request without forfeiting its tender security. A tenderer granting the request will not be required nor permitted to modify its tender. 15. Format and Signing of Tender 15.1 The tenderer shall prepare an original and two copies of the tender, clearly marking each ORIGINAL TENDER and COPY OF TENDER, as appropriate. In the event of any discrepancy between them, the original shall govern.

8 15.2 The original and copy of the tender shall be typed or written in indelible ink and shall be signed by the tenderer or a person or persons duly authorized to bind the tenderer to the contract The tender shall have no interlineation, erasures, or overwriting except as necessary to correct errors made by the tenderer, in which case such corrections shall be initialed by the person or persons signing the tender. Submission of Tenders 16. Sealing and Marking of Tenders 16.1 The tenderer shall seal the original and copies of the tender in separate envelopes, duly marking the envelopes as ORIGINAL and COPY. The envelopes shall then be sealed in an outer envelope The inner and outer envelopes shall: (a) be addressed to: Company Secretary & Legal Affairs Director Kenya Electricity Generating Company Limited 7 th Floor, Stima Plaza Phase III Kolobot Road, Parklands P.O. Box NAIROBI (b) bear, "TENDER NO. KGN-GRD TENDER FOR DESIGN, SUPPLY AND INSTALLATION OF ELECTRICAL POWER SUPPLY FROM OLKARIA II POWER PLANT TO OLKARIA GEOTHERMAL SPA", and the statement: DO NOT OPEN BEFORE 27 TH MARCH 2015 AT A.M The inner envelopes shall also indicate the name and address of the tenderer to enable the tender to be returned unopened in case it is declared late If the outer envelope is not sealed and marked as required by Clause 16.2, KenGen will assume no responsibility for the tender s misplacement or premature opening. 17. Deadline for Submission of Tenders 17.1 Tenders must be received by KenGen at the address specified under Clause 16.2 not later than 27 th March 2015 at a.m KenGen may, at its discretion, extend this deadline for the submission of tenders by amending the tender document in accordance with Clause 5, in which case all rights and obligations of KenGen and tenderers previously subject to the deadline will thereafter be subject to the deadline as extended. 18. Modification and Withdrawal of Tenders 18.1 The tenderer may modify or withdraw its tender after the tender s submission, provided that written notice of the modification, including substitution or withdrawal of the tenders, is received by KenGen prior to the deadline prescribed for submission of tenders.

9 18.2 The tenderer s modification or withdrawal notice shall be prepared, sealed, marked, and dispatched in accordance with the provisions of Clause 16. A withdrawal notice may also be sent by cable, but followed by a signed confirmation copy, postmarked not later than the deadline for submission of tenders No tender will be modified after the deadline for submission of tenders No tender will be withdrawn in the interval between the deadline for submission of tenders and the expiration of the period of tender validity specified by the tenderer on the Tender Form. Withdrawal of a tender during this interval may result in the tenderer s forfeiture of its tender security, pursuant to Clause Alternative Proposals by Tenderers 19.1 Alternative tenders and options shall not be accepted. In case of offered alternatives, only that item which is marked as being the alternative or the first of several alternative items shall be evaluated. Opening and Evaluation of Tenders 20. Opening of Tenders 20.1 KenGen will open all tenders in the presence of tenderers representatives who choose to attend on 27 th March 2015 at a.m.the tenderers representatives who are present shall sign a register evidencing their attendance The tenderers names, tender modifications or withdrawals, tender prices, discounts, and the presence or absence of requisite tender security and such other details as KenGen, at its discretion, may consider appropriate, will be announced at the opening KenGen will prepare minutes of the tender opening. 21. Clarification of Tenders 21.1 To assist in the examination, evaluation and comparison of tenders KenGen may, at its discretion, ask the tenderer for a clarification of its tender. The request for clarification and the response shall be in writing ( in PDF format or by facsimile), and no change in the prices or substance of the tender shall be sought, offered, or permitted. Any effort by the tenderer to influence KenGen in its decisions on tender evaluation, tender comparison or contract award may result in the rejection of the tenderers tender. 22. Preliminary Examination 22.1 KenGen will examine the tenders to determine whether they are complete, whether any computational errors have been made, whether required sureties have been furnished, whether the documents have been properly signed, and whether the tenders are generally in order Arithmetical errors will be rectified on the following basis. If there is a discrepancy

10 between the unit price and the total price that is obtained by multiplying the unit price and quantity, the unit price shall prevail, and the total price shall be corrected. If the tenderer does not accept the correction of the errors, its tender will be rejected, and its tender security may be forfeited. If there is a discrepancy between words and figures, the amount in words will prevail KenGen may waive any minor informality or non-conformity or irregularity in a tender which does not constitute a material deviation, provided such waiver does not prejudice or affect the relative ranking of any tenderer Prior to the detailed evaluation, pursuant to Clause 23, KenGen will determine the substantial responsiveness of each tender to the tender document. For purposes of these paragraphs, a substantially responsive tender is one, which conforms to all the terms and conditions of the tender document without material deviations. KenGen s determination of a tender s responsiveness is to be based on the contents of the tender itself without recourse to extrinsic evidence If a tender is not substantially responsive, it will be rejected by KenGen and may not subsequently be made responsive by the tenderer by correction of the nonconformity 22.6 Mandatory Preliminary Evaluation Criteria Valid manufacturer s authorization to submit tender if goods to be supplied are not manufactured by the Tenderer. Valid Copy of Electrical Contractor s License Valid ERC Certificate Minimum Class B Electrical Engineering Services Contractors NCA 8 License Filled, signed and stamped tender form Audited financial statements for the past two (2) years Valid Tax Compliance Certificate issued by Kenya Revenue Authority (K.R.A) for Local Bidders. Evidence of incorporation in the country of domicile i.e. Certificate of Incorporation/ Registration Tender Security in the amount of Ksh 200, or equivalent in a freely convertible currency. The Tender validity period shall be 90 days. Tender Security has to be valid to 25 th July 2015 Delivery period offered in the tender. The delivery period should not exceed 2 months after the date of signing the Contract Notarized Power of Attorney for the person(s) signing the tender on behalf of the Tenderer. Duly signed Site Visit Certificate 23. Evaluation and Comparison of Tenders 23.1 KenGen will evaluate and compare the tenders, which have been determined to be substantially responsive, pursuant to clause A technical evaluation will be carried out prior to financial evaluation. Tenders that will be determined to be technically non-compliant will be rejected KenGen s evaluation of a tender will exclude and not take into account any allowance for price adjustment during the period of execution of the contract, if provided in the tender.

11 24. Contacting KenGen 24.1 Subject to Clause 21, no tenderer shall contact KenGen on any matter relating to its tender, from the time of the tender opening to the time the contract is awarded Any effort by a tenderer to influence KenGen in its decisions on tender evaluation, tender comparison, or contract award may result in the rejection of the tenderer s tender. Award of Contract 25. Award Criteria 25.1 Subject to Clauses 7, 8, 9, 11, 13, 22 and 23 KenGen will award the contract to the successful tenderer(s) whose tender has been determined to be substantially responsive and has been determined to be the lowest evaluated tender. 26. KenGen s Right to Vary Quantities 26.1 KenGen reserves the right at the time of contract award to increase or decrease the quantity of goods originally specified in the Schedule of Requirements without any change in unit price or other terms and conditions. 27. KenGen s Right to Accept or Reject Any or All Tenders 27.1 KenGen reserves the right to accept or reject any tender, and to annul the tendering process and reject all tenders at any time prior to contract award, without thereby incurring any liability to the affected tenderer or tenderers or any obligation to inform the affected tenderer or tenderers of the grounds for its action. 28. Notification of Award 28.1 Prior to the expiration of the period of tender validity, KenGen will notify the successful tenderer in writing that its tender has been accepted Upon the successful tenderer s furnishing of the performance security pursuant to Clause 30, KenGen will promptly notify each unsuccessful tenderer and will discharge its tender security, pursuant to Clause Signing of Contract 29.1 At the same time as KenGen notifies the successful tenderer that its tender has been accepted, KenGen will send the tenderer the Contract Form provided in the tender document, incorporating all agreements between the parties Within fourteen (14) days of receipt of the Contract Form, the successful tenderer shall sign and date the contract and return it to KenGen. 30. Performance Security 30.1 Within fourteen (14) days of receipt of the notification of Contract award, the successful Tenderer shall furnish to the Purchaser the performance security in accordance with the Performance Security Form provided in the tender document, or in another form acceptable to KenGen Failure of the successful tenderer to comply with the requirement of Clause 29 or Clause 30 shall constitute sufficient grounds for the annulment of the award and forfeiture of the tender security, in which event KenGen may make the award to the next lowest evaluated

12 tenderer or call for new tenders. 31. Corrupt or Fraudulent Practices 31.1 KenGen requires that tenderers observe the highest standard of ethics during the procurement process and execution of contracts. In pursuance of this policy, KenGen:- (a) defines, for the purposes of this provision, the terms set forth below as follows: (i) (ii) corrupt practice means the offering, giving, receiving or soliciting of any thing of value to influence the action of a public official in the procurement process or in contract execution; and fraudulent practice means a misrepresentation of facts in order to influence a procurement process or the execution of a contract to the detriment of KenGen, and includes collusive practice among tenderers (prior to or after tender submission) designed to establish tender prices at artificial noncompetitive levels and to deprive KenGen of the benefits of free and open competition; (b) (c) will reject a proposal for award if it determines that the tenderer recommended for award has engaged in corrupt or fraudulent practices in competing for the contract in question; will declare a firm ineligible, either indefinitely or for a stated period of time, to be awarded any contract if it at any time determines that the firm has engaged in corrupt or fraudulent practices in competing for, or in executing, a contract Furthermore, tenderers shall be aware of the provision stated in the General Conditions of Contract.

13 SECTION C GENERAL CONDITIONS OF CONTRACT 1. Definitions 1.1 In this Contract, the following terms shall be interpreted as indicated: (a) (b) (c) (d) The Contract means the agreement entered into between KenGen and the Supplier, as recorded in the Contract Form signed by the parties, including all attachments and appendices thereto and all documents incorporated by reference therein. The Contract Price means the price payable to the Supplier under the Contract for the full and proper performance of its contractual obligations. The Supplier means the individual or firm supplying the goods under this Contract. The Goods means all of the equipment, machinery, and/or other materials, which the Supplier is required to supply to KenGen under this Contract. 2. Application 2.1 These General Conditions shall apply in all Contracts made by KenGen for the procurement of goods and services. 3. Country of Origin 3.1 For purposes of this Clause, origin means the place where the Goods were manufactured or produced. 3.2 The origin of the Goods is distinct from the nationality of the Supplier. 4. Standards 4.1 The Goods supplied under this Contract shall conform to the standards mentioned in the Technical Specifications. 5. Use of Contract Documents and Information 5.1 The Supplier shall not, without KenGen s prior written consent, disclose the Contract, or any provision thereof, or any specification, plan, drawing, pattern, sample, or information furnished by or on behalf of KenGen in connection therewith, to any person other than a person employed by the Supplier in the performance of the Contract. 5.2 The Supplier shall not, without KenGen s prior written consent, make use of any document or information enumerated in Clause 5.1 above. 5.3 Any document, other than the Contract itself, enumerated in Clause 5.1 shall remain the property of KenGen and shall be returned (all copies) to KenGen on completion of the Supplier s performance obligations under the Contract if so required by KenGen. 6. Patent Rights 6.1 The Supplier shall indemnify KenGen against all third-party claims of infringement of patent, trademark, or industrial design rights arising from use of the Goods or any part thereof in Kenya.

14 7. Performance Security 7.1 Within fifteen (15) days after signing of the Contract award, the Tenderer shall furnish to KenGen the Performance Security in the amount specified in Special Conditions of Contract. 7.2 The proceeds of the Performance Security shall be payable to KenGen as compensation for any loss resulting from the Supplier s failure to complete its obligations under the Contract. 7.3 The Performance Security shall be denominated in the currency of the Contract, or in a freely convertible currency acceptable to KenGen and shall be in the form of a bank guarantee or an irrevocable letter of credit issued by a reputable bank located in Kenya or abroad, acceptable to KenGen, in the form provided in the tender document. 7.4 The Performance Security will be discharged by KenGen and returned to the Supplier not later than thirty (30) days following the date of completion of the Supplier s performance obligations under the Contract, including any warranty obligations, under the Contract. 8. Inspection and Tests 8.1 KenGen or its representative shall have the right to inspect and/or to test the Goods to confirm their conformity to the Contract specifications. KenGen shall notify the Supplier in writing, in a timely manner of the identity of any representatives retained for these purposes. 8.2 The inspections and tests may be conducted on the premises of the Supplier or its subcontractor(s), at point of delivery, and/or at the Goods final destination. If conducted on the premises of the Supplier or its subcontractor(s), all reasonable facilities and assistance, including access to drawings and production data, shall be furnished to the inspectors at no charge to KenGen. 8.3 Should any inspected or tested Goods fail to conform to the Specifications, KenGen may reject the Goods, and the Supplier shall either replace the rejected Goods or make alterations necessary to meet specification requirements free of cost to KenGen. 8.4 KenGen's right to inspect, test and, where necessary, reject the Goods after the Goods arrival shall in no way be limited or waived by reason of the Goods having previously been inspected, tested, and passed by KenGen or its representative prior to the Goods delivery and commencement of the works. 8.5 Nothing in Clause 8 shall in any way release the Supplier from any warranty or other obligations under this Contract. 8.6 All consignments subject to Pre-Export Verification of Conformity (PVoC) to Standards Programme must obtain a Certificate of Conformity (CoC) issued by PvoC Country Offices Prior to shipment. The Certificate is a mandatory Customs Clearance document in Kenya; Consignments arriving at Kenyan Ports without this document will be denied entry into the Country. Since PVoC is a conformity assessment process to verify that products imported to Kenya are in compliance with the applicable Kenya standards or approved equivalents, regulations and technical requirements before

15 shipment, it is the sole responsibility of the supplier (i.e. exporter) to demonstrate the same and hence meet any associated costs of verification. 9 Packing 9.1 The Supplier shall provide such packing of the Goods as is required to prevent their damage or deterioration during transit to their final destination, as indicated in the Contract. 9.2 The packing, marking, and documentation within and outside the packages shall comply strictly with such special requirements as shall be expressly provided for in the Contract. 10. Delivery and Documents 10.1 Delivery of the Goods shall be made by the Supplier in accordance with the terms specified by KenGen in its Schedule of Requirements and the Special Conditions of Contract. 11. Insurance 11.1 The Goods supplied under the Contract shall be fully insured against loss or damage incidental to manufacture or acquisition, transportation, storage, and delivery in the manner specified in the Special Conditions of Contract 12. Warranty 12.1 The Supplier warrants that the Goods supplied under the Contract are new, unused, of the most recent or current models, and that they incorporate all recent improvements in design and materials unless provided otherwise in the Contract. The Supplier further warrants that all Goods supplied under this Contract shall have no defect, arising from design, materials, workmanship, or from any act or omission of the Supplier, that may develop under normal use of the supplied Goods in the conditions prevailing in the country This warranty shall remain valid for twelve (12) months after the Goods, or any portion thereof as the case may be, have been delivered to and accepted at the final destination indicated in the Contract KenGen shall promptly notify the Supplier in writing of any claims arising under this warranty Upon receipt of such notice, the Supplier shall, within a period of 30 days, and with all reasonable speed, repair or replace the defective Goods or parts thereof, without costs to KenGen If the Supplier, having been notified, fails to remedy the defect(s) within the period specified in 12.4 above, within a reasonable period, KenGen may proceed to take such remedial action as may be necessary, at the Supplier s risk and expense and without prejudice to any other rights which KenGen may have against the Supplier under the Contract.

16 13. Payment 13.1 The method and conditions of payment to be made to the Supplier under this Contract shall be specified in Special Conditions of Contract Payments shall be made promptly by KenGen as specified in the Contract. 14. Prices 14.1 Prices charged by the Supplier for Goods delivered and services offered under the Contract shall not, with the exception of any price adjustments authorized in Special Conditions of Contract, vary from the prices quoted by the Supplier in its tender. 15. Assignment 15.1 The Supplier shall not assign, in whole or in part, its obligations to perform under this Contract, except with KenGen s prior written consent. 16. Subcontracts 16.1 The Supplier shall notify KenGen in writing of all subcontracts awarded under this Contract if not already specified in the tender. Such notification, in the original tender or later, shall not relieve the Supplier from any liability or obligation under the Contract. 17. Termination for Default 17.1 KenGen may, without prejudice to any other remedy for breach of Contract, by written notice of default sent to the Supplier, terminate this Contract in whole or in part: (a) (b) (c) if the Supplier fails to deliver the Goods within the period(s) specified in the Contract, or within any extension thereof granted by KenGen. if the Supplier fails to perform any other obligation(s) under the Contract. if the Supplier, in the judgment of KenGen has engaged in corrupt or fraudulent practices in competing for or in executing the Contract In the event KenGen terminates the Contract in whole or in part, it may procure, upon such terms and in such manner, as it deems appropriate, Goods similar to those undelivered, and the Supplier shall be liable to KenGen for any excess costs for such Goods. 18. Liquidated Damages 18.1 If the Supplier fails to deliver the Goods within the period(s) specified in the Contract, KenGen shall, without prejudice to its other remedies under the Contract, deduct from the Contract Price, as liquidated damages, a sum equivalent to 0.5% of the delivered price of the delayed Goods for each week of delay until actual delivery, up to a maximum deduction of 10% of the delivered price of the delayed Goods. After this KenGen may consider termination of the Contract. 19. Resolution of Disputes 19.1 KenGen and the Supplier shall make every effort to resolve amicably by direct informal negotiation any disagreement or dispute arising between them under or in connection with the Contract If, after thirty (30) days from the commencement of such informal negotiations both parties have been unable to resolve amicably a Contract dispute, either party may require that the dispute be referred for resolution to formal mechanisms. These mechanisms

17 include, but are not restricted to, conciliation by a third party, adjudication in an agreed national or international forum, and/or international arbitration. 20. Language and Law 20.1 The language of the Contract and the law governing the Contract shall be English language and the Laws of Kenya respectively unless otherwise stated. 21. Force Majeure 21.1 The Supplier shall not be liable for forfeiture of its performance security, or termination for default if and to the extent that its delay in performance or other failure to perform its obligations under the Contract is the result of an event of Force Majeure.

18 SECTION D SPECIAL CONDITIONS OF CONTRACT 1. Definitions The Purchaser is Kenya Electricity Generating Company Limited of Stima Plaza, Kolobot Road, Parklands, and P.O. BOX GPO, Nairobi. Kenya and includes its legal representatives, successors or assigns. Goods means TENDER FOR DESIGN, SUPPLY, INSTALLATION, TESTING AND COMMISSIONING OF POWER SUPPLY FROM OLKARIA II POWER PLANTS AUXILIARY CIRCUITS TO OLKARIA GEOTHERMAL SPA" 2. Application The following Special Conditions of Contract shall supplement the General Conditions of Contract. Whenever there is a conflict, the provisions herein shall prevail over those in the General Conditions of Contract. 3. Performance Security The Performance Security shall be in the amount of 10% of the Contract Price. 4. Site Visit It is a MANDATORY requirement that the contractor/ tenderer visits the site to get well acquainted with the actual working and other prevalent conditions, position of materials and labour requirements. The bidder is advised to visit and examine the site and its surroundings and obtain for himself on his own responsibility all the information that may be necessary for preparing the bid. The bidders shall ask for necessary clarifications required for clearly understanding the scope and technical/ commercial requirements of the tender from KenGen before submitting their bids. A representative of KenGen will be available to meet the intending tenderers at the Site on the date specified in the Tender Document. The representative will not be available at any other time for site inspection visits. Tenderers must provide their own transport and cater for the applicable park entry charges. 5. Delivery Period / Time for Completion The time for completion shall be the time for completion of the works as tendered by the contractor in the Schedule of Delivery and included in the Letter of Award. This period shall include up to the date of the issue of the Taking- Over Certificate and shall be within 2 months after the date of the contract Subject to Clause 23.3, section B. 6. Working Hours The normal working hours at the site are between 7.30a.m and 5.00p.m on weekdays (five days per week). The Contractor may arrange to work any other periods he wishes between

19 7.00a.m and 7.00p.m to meet the contract programme. Work outside this period and weekend or public holiday working shall only be carried out where specifically approved by the Engineer. Where the Contractor chooses to work in excess of eight hours a day or to work at weekends there shall be no additional cost added to the contract price. 7. Equipment, Labour, Materials, Transport, Storage and security The Contractor shall be responsible for all equipments required to carry out the works, labour, materials required and transportation of his staff during the Project. The Contractor shall also provide Storage facility for all the materials and Equipments used during the Project implementation. It is the sole responsibility of the Contractor to ensure/ provide security and ensure safety of these materials and Equipments. 8. Defects Liability Period The Defects Liability period is thirty (30) calendar days. In these Conditions the expression Defects Liability Period shall mean a period of 30 days calculated from the date of Taking- Over. 9. Tests on Completion The tests on Project Completion shall include 48hrs Reliability Run where various parameters agreed upon shall be monitored and a detailed report prepared thereafter. 10. Taking Over Certificate On satisfactory completion of the Tests on Completion and the Reliability Test period, KenGen shall issue a Taking over Certificate. This shall show the effective date of Taking Over which shall be the date of completion of the successful reliability test period. This shall also be the date of commencement of the Defects Liability Period. 11. Use before Taking Over The Employer shall not use any part of the Works prior to the commencement of the Tests on Completion. The Employer may use any part of the Works during its Tests to suit the Tests. Such use shall not imply Taking Over. 7. Warranty A Warranty Certificate must be provided with the Goods. The warranty period shall be 6 (Six) months from date of acceptance of the Goods. The period for correction of defects in the warranty period is 14 days. 8. Payment Terms and Conditions Local Suppliers KenGen s payment terms are; 30 days upon receipt of certified invoices and delivery notes confirming that the invoiced material has been delivered and is in accordance with the contract.

20 Payment shall be made through KenGen s cheque or telegraphic transfer for the amount of contract. The terms shall be strictly Delivered and Duty Paid (DDP) to Olkaria. Foreign Suppliers Payment shall be through an LC under the following conditions:- i. Payment shall be effected upon presentation of a complete set of shipping documents to the advising bank as will be stipulated in the Letter of Credit (LC). ii. The Supplier shall be required to meet all LC bank charges incurred in their country; while KenGen will meet those incurred in Kenya. iii. Any extension and or amendment charges and other costs that may result from the Supplier s delays, requests, mistakes or occasioned howsoever by the Supplier shall be to the Supplier s account. iv. The number of LC extensions shall be limited to a maximum of two (2) only, but not exceeding one quarter (3 months) each, at the cost of the Supplier. v. Should the Supplier require a confirmed LC, then all confirmation and any other related charges levied by both the Supplier s and KenGen s bank shall be to the Supplier s account. vi. The LC shall be opened only for the specific order within the validity period of the contract. vii. LCs shall be partial for partial deliveries or full for one delivery as per the contract. viii. The Supplier shall be required to submit a Proforma Invoice for each lot or schedule for use in the placement of order and opening of the LC. The Proforma Invoice shall be on total Cost and Freight (CFR) basis showing the freight charges separately from the Free on Board (FOB) cost. KenGen will meet the Freight Insurance cost. ix. A copy of the Performance Security, stamped and certified as authentic by KenGen, whose expiry date should not be less than 30 days from the LC expiry date, shall form part of the documents to be presented to the bank before any payment is made. Advance Payment Advance payment is not applicable. 9. Prices Prices shall be fixed during the Supplier s performance of the Contract and not subject to variation on any account.

21 Notes Applicable to All Schedules: SECTION E SCHEDULE OF REQUIREMENTS A. GENERAL This Tender is for Design, Supply, Installation, Testing and Commissioning of power supply from Olkaria II power plant auxiliary circuits to Olkaria Geothermal Spa which is about 130 km from Nairobi and 40km from Naivasha town. 1. Tenderers must indicate on the specifications sheets whether the materials offered comply with the specified requirement. Relevant descriptive literature of the Goods showing conformity to technical specification Must be provided with the bid. Irrelevant literature downloaded from the Internet is not acceptable. 2. All the dimensions and ratings of the materials to be supplied shall not be less than those required in these specifications. Any variations in the material sizes and quantities found by the tenderer during the mandatory site visit should be clearly indicated in the offer. The tenderer should quote for the materials to complete the job. The procuring entity reserves the right to reject the products, if such deviations shall be found critical to the use and operation of the products. 3. The tenderers are requested to present information in a Gantt chart along with their offers as follows; i. Work commencement period after the signing of the contract. ii. Expected duration to complete the job(s) quoted. 4. The Goods to be supplied must be new, unused and of the latest design. 5. A tenderer Must quote for the complete quantities including delivery to Olkaria Rig Store in order to qualify as responsive. A tender with an incomplete schedule will be rejected. 6. If there is a discrepancy between words and figures, the amount in words shall prevail. If there is a discrepancy between the unit price and the total price that is obtained by multiplying the unit price and quantity, the unit price shall prevail, and the total price shall be corrected. 7. The delivery period shall be within Two (2) months after the date of signing the Contract. Delivery must be for the complete schedule. Partial delivery shall not be accepted. I. SCOPE OF WORK: Scope of works includes supply, laying, termination, testing and commissioning of 120 mm square, 4-core, XLPE, SWA electrical power cable from Olkaria II auxiliary power units to Olkaria Geothermal Spa, together with the entire electrical supply outdoor power supply distribution panels needed (earth leakage circuit breakers, incoming MCCB, Isolator,

22 insulated copper bus bars, copper wiring etc enclosed in a panel fabricated from stainless steel 2mm thick CRCA steel sheet, flats, angles etc. with 3P&N 415v, 400Amps incomer breaker, 2No. 3P&N 415v, 200Amps, outgoing terminals, three phase CT-connected digital energy meter and protection circuits). All bare copper terminations have to be protected against H 2 S attack by either tinning or any other method approved by the KenGen Engineer SCOPE OF THE ENTIRE JOB: The scope of this job covers the design, supply, installation, testing and commissioning of the 120mm square, 4-core electrical power cable and its necessary switchgear, including the civil works of excavation and compaction. All other items required for the safe and efficient operation and maintenance of the switching system, whether explicitly stated in the following pages or not, shall be supplied by the Contractor, and the installation, testing and commissioning of the cable and its termination / connections / marking / tagging, etc. are to be done by the Contractor. A. DETAILED TECHNICAL SPECIFICATION 1. Electrical System, Cable and Cable Connections: A suitable terminal box shall be provided as part of the contract at the OW708 for terminating the incoming cable. Size of the cable shall be 4 core 120mm square copper. The cable shall be of reputed make, East African Cable or equivalent. 2. Earthing Terminals: Suitable earth terminal using 12 mm diameter stainless steel bolts shall be provided at a convenient location on the base of the terminal box for electrical earthing. 3. Outdoor Power Distribution Panel: The outdoor power supply distribution panel shall be dust, vermin and weather proof, fabricated from stainless steel 2mm thick CRCA steel sheet, flats, angles etc. with 3P&N 415v, 400Amps incomer breaker, 2No. 3P&N 415v, 200Amps, outgoing terminals, three phase CT-connected digital energy meter and protection circuits, and be mounted on suitable foundation. NOTE: All the test (or other) certificates (or duly attested copies thereof), approval as per standards or from institutions (or duly attested copies thereof), etc. are to be submitted point by point, as listed above in the scope, along with the bid. A written declaration, duly signed by the authorized signatory of the bidder, is also to be submitted, detailing whether the desired technical specifications of the electrical power system items / materials are matching with those of the products to be supplied, point by point, or not. A list of deviations, with reasons, if any, should also be submitted along with it. In case of any unjustified deviations, the associated products are liable to be rejected. The judgment of the Project Manager of KenGen will be final and abiding in this regard.

23 B. SCOPE OF THE ACTUAL WORK:- 1. SCOPE OF SUPPLY a) Supply of 120mm square electrical power cable as per the specifications highlighted in the table below. b) Supply of outdoor power supply distribution panels, which should be dust, vermin and weather proof, fabricated from stainless steel 2mm thick CRCA steel sheet, flats, angles etc. with 3P&N 415v, 400Amps incomer breaker, outgoing terminals and protection circuits. NOTE: The outdoor power supply distribution board shall conform to IP 65 will be installed on a concrete plinth located at a position to be agreed upon between the contractor and KenGen so that it is able distribute power to all load centres within the Olkaria Geothermal Spa area. c) Supply of terminal joints for the conductor cables, including provision of terminal lugs, cable terminations, brass compression glands, etc, needed for effective complete terminal connections. d) Supply of earthing system complete in all respects, for earthing of outdoor power supply distribution panel as required as per the standard BS 7430:2011 e) Supply of route cable marker for cable identification. f) Any other materials required for the job and not covered by the above list. 2: ERECTION, TESTING & COMMISSIONING JOBS a) Building trenches of suitable sizes for cables as per standard norms, and laying of PVC insulated armoured power cables directly in ground-trenches, including excavation, sand cushioning, protective covering, refilling the trench, etc. as required, with all resources. The power supply cables shall be laid 1200mm underground and passed through a galvanized steel pipe at road crossings. It will be the responsibility of the contractor to repair all the road crossings on the cable passage routes in the entire contract. b) Installations, Testing and Commissioning of earthing system, complete with all resources, as per BS: 7430 to achieve maximum resistance of 4 ohms. c) Laying of cable route marker for cable identification, with all resources. The cable route shall be agreed with the contractors during the site visit. Danger/Hatari tiles and standard surface marking of the cable route shall be provided by the contractor. Suitable brass glanding shall be used. d) Any other jobs required for the complete turnkey package and not covered by the above list. N.B.: a) For technical details, please refer to the specifications given in scope of work. Special Conditions for the Job

24 a) Supply, installation, testing and commissioning of 120mm square continuous electrical power cable, together with the entire electrical protection system needed for the Olkaria Geothermal Spa b) The successful bidder and the workmen employed by him will have to follow and observe all the safety and statutory rules, norms and requirements for electrical jobs. c) The field study and research required for execution of the actual job will have to be conducted by the bidder at its own cost. d) The successful bidder is to manufacture, supply, transport, offload at site, safe-keep at site, lay, terminate, test and commission the entire electrical power system along with the electrical protection system needed for it. e) The bidder has to provide all the resources like labour, equipment, devices and all other materials including working tools and tackles, and safety appliances of general and special type. f) Bidder will supply all materials, consumables, equipment, devices, etc. including everything up to the smallest details required for the installation, testing and commissioning of the entire electrical system as a whole, together with the electrical protection system, are to be supplied by the bidder at its own cost. g) The supervision and execution of all jobs and the safety of its employees will solely be the responsibility of the bidder. h) The work is to be done in Olkaria. The bidder is to arrange for security, storage and safe-keeping, etc. of all the materials, equipment, devices, appliances, instruments, tools and tackles, consumables, etc. and also for security of the working team at site, at the bidder s own costs and responsibility. i) Work may have to be executed round the clock, and employees may have to overstay beyond normal working hours, or may be called for work at odd hours as per instruction of the Project Manager of KenGen. j) Appointment of any sub-contractor(s) is allowable only after obtaining prior approval from the Project Manager of KenGen. k) The bidder will be solely responsible for maintaining safety rules and standard practices during the performance of the job. The bidder will have to ensure occurrence of no unworthy/illegal incident/accident or violations of safety-rules/norms or standard practices, during the execution of the job by their appointed officers/workmen. In case of any such incident/accident, the bidder will be solely responsible. l) In case of any disputes or differences of opinion, which may arise during performance of the job, the decision of the Project Manager appointed by KenGen shall be final and abiding. m) Installation, excavation and fitting jobs are to be done systematically in sequential steps as per standard norms / practices, or as per instructions of the Project Manager of KenGen. n) All the testing instruments/equipment etc. are to be arranged for and transported by the bidder to and from the site. o) The routine and standard tests are to be carried out at various stages of the installation and commissioning. p) All the test certificates of the electrical appliances/materials supplied are to be submitted along with the delivery of the materials. All the test results of tests done at