Response to Bidder Queries-II Response to Bidder Queries for Development of Outer Ring Road (ORR) on Design, Build, Finance, Operate and Transfer (DBFOT) Annuity Basis at Chennai, Tamil Nadu as per Tender issued by Government of Tamil Nadu, Highways and Minor Ports Department (To form part of RFP) Sl.No Clause No, Page No Query Response 1. ORR Project being a green field project, and with the confirmation of requirement of providing street lighting for the entire stretch, kindly clarify if the Electricity Input Power will be provided to the Concessionaire at the Project Site at the cost of GoTN. 2. This would have a significant capital expenditure (cost implication) in terms of cabling cost, transformer costs etc, which needs to be factored in while estimation of the project cost and hence this clarification is essential. Lighting (Street Lighting) along the entire stretch of road (Urban Road) being a requirement, Please clarify if GoTN, would charge the Concessionaire at rate at which it is charging similar street lighting amenities of the Chennai Corporation elsewhere with in the CMA. 3. Clause 10.1 of DCA Description of Site is not in line with Addendum Sl.No.52. Please modify accordingly. The Concessionaire needs to obtain the electricity supply from the nearest Electricity Board point of supply as per Tamil Nadu Electricity Regulatory Commission (TNERC) supply code. The Concessionaire will have to bear the necessary costs. As per the prevailing rules of Tamil Nadu Electricity Board (TNEB) the tariff for street lighting would be charged under Tariff-V. The Concessionaire will need to pay at the rates as applicable during the Concession Period. Appropriate modification has been made and has been indicated in the Addendum-II, S No 1 1
4. Clause 40.5.1 of DCA Sub Clause (f) to be deleted in line with the Addendum Sl.No.9, Clause 1.39 of ITB Sub Clause (f) has been deleted and has been indicated in the Addendum-II, S No 2 5. Definition Empowered Committee Changes as in Addendum Sl No9, Clause 1.39 of ITB, is not reflected in the definition of Empowered Committee. 6. Definition Site : Does not reflect the changes in the understanding as included in Addendum Sl.No. 52. Although the site is described in Schedule A as in Addendum no 52, the definition of the same in DCA would take precedence in case of a conflict or ambiguity. Hence the definition of site is to be appropriately modified / amended. Appropriate modification has been made and has been indicated in the Addendum-II, S No 3. Definition of Site to remain same as indicated in the Schedule-A. However modification is made to Clause 10.1 and the same has been indicated in the Addendum- II, S No 1 7. 1.3.6(1) of ITB Addendum SL No Conflict of Interest : (1) Such applicant or any constituent thereof and any other Applicant or any constituent thereof have common controlling shareholders or other ownership interest; provide that this qualification shall not apply in case where the direct of indirect shareholding in a Applicant or a constituent is less that 1% of its paid up and subscribed capital, This condition has further been revised by the Planning Commission and the same has been increased to Up to 5%. Even NHAI RFQ/RFP documents have been revised to reflect this current development. The same may incorporated in the ORR RFP document as well. No Change. 2
8. Addendum Sl No 21 Clause 7.2 (i) 9. Addendum Sl No 29 Clause 11.1 There appears to be typo error in the issued. Please confirm that the deleted clause is 7.2(i) and not 7.1(i). The Addendum issued is the same as the Clause mentioned in the DCA. Please clarify. The clause deleted is 7.2 (i) and clause 7.1 (i) remains unchanged. Please read the carefully wherein the words or permanent diversions have been deleted. 10. Addendum Sl No 34 Clause 27.2.1 Please clarify the rationale for limiting the number of Annuities Payable to 35 The period of Concession is 20 (twenty) years out of which 2 & 1/2 (two and half) years is the construction period. Hence total annuity payable period is for 17 & 1/2(seventeen and half) years which amounts to 35 semiannual annuities payable. 11. Addendum Sl no 52 Sch A Clause 1.4 New Clause 1.4 is inserted. Please note that clause 1.4 already exists. Please clarify if the existing clause 1.4 is to be replaced with the newly inserted clause or the new clause 1.4 is to be renumbered. 12. Addendum Sl No.76 There appears to be an error into the clause reference in Addendum Sl No 76. Please clarify if the clause reference is Clause 2.8 (g) and not 2.9 as mentioned in the Addendum 13. Clarification Sl No 64 The clarification regarding bearing the cost of permanent diversion by GoTN is not reflected in the Addendum No.29 as mentioned in the Clarification. Kindly issue appropriate. 14. Clarification Sl No 99 On the issue of Pond / Lake filling, will this issue attract environmental clearance? Please refer page No1, there was no existing clause 1.4 in schedule-a but the same was inserted and indicated in Addendum, S No 52. Clause reference is Clause 2.8(g) The appropriate cost with respect to permanent diversions would be borne by GOTN, HD and the same has been indicated in Addendum-II, S No 4. MoEF clearance is not required. 3
15. Clarification Sl No 271 16. Page No 45, 46, 54 & 55 Annexure 5A, C3 Annexure 5B The conceptual depiction of project highway made in the RFP document ( ref cover page fig ) does not accurately depict the project scope and in particular, the clarification made in Sl No. 271. Please clarify that the conceptual depiction made in the RFP documents would not be binding on the Concessionaire. As per this clause and issued, the Applicant has to give an Equity Financing Plan of Rs. 150 Crores. Equity Financing Plan can be met out of Reserves and Surplus among other means of finance. For meeting Equity Financing Plan out of Reserves and Surplus, the Applicant has to submit a Statutory Auditor Certificate in the format. As per the format given in Qualification Response Sheet No. 3.3, the Statutory Auditor has to certify the Unencumbered Reserves and Surpluses of the Applicant as of March 2008 Accounts. Further, the Auditor has to certify the amount available with the Applicant for new capital investments after reducing Future committed Capital Commitments till one month before the Proposal Submission Date (i.e. April 21, 2009). However, the applicant would have made certain investment during the year 2008 09 out of the reserves and surplus available as on March 31, 2008. Request you to please let us know, for calculation of Unencumbered Reserves and Surplus available for new The Conceptual depiction (ref Cover page figure) will not be binding. Format of ANNEX 5B, Qualification Response Sheet No 3.3 has been modified and the same has been indicated in Addendum-II, S No 5. The Statutory Auditor needs to assess and certify the amount available with the Bidder for new capital investments 4
17. Table B-6 capital investment, only Committed Capital Commitments outstanding as on April 21, 2009 needs to be deducted from Reserves & Surpluses available as on March 31, 2008? OR Both Committed Capital Commitment outstanding as on April 21, 2009 and the balance of Capital Commitment existing as on March 31, 2008 to the extant invested in subsidiaries in the year 2008 09 needs to be deducted from the Reserves and Surplus available as on March 31, 2008. Further, request you to please let us know the definition of Capital Commitments? Whether Unencumbered Reserves & Surpluses will include Security Premium? Deck width at NH-4 crossing & at ROB near NH205, is specified as 28m, which appears as though combined deck for Left & Right side carriage way, in that case what happens for the future PTC corridor in-between. 28m width suppose to accommodate what all is also not clear. Further we it appears Please clarify. Committed capital investment means such investments which the Bidder has committed. Unencumbered Reserves and Surplus would include share premium also. 28 m is indicative width which is supposed to cater for both carriageways. 1. NH4: This indicative width is only for main spans crossing NH4. 2. NH205: Due to ROB combined Bridge crosses over NH205. Table B-6 and the notes provided below may please be referred to. The Concessionaire shall design the grade separated structures accordingly. The second part of the query (Further we it appears) is not clear. 5
18. Table B-6 19. Table B-6 20. Table B-6 21. Table B-6 22. Volume-I, Instruction to Bidders, Annex 6, Page No 57 At NH 205, ROB section shall be 1x35m with 2x13.5m deck width, which accommodates the entire existing railway line facility, instead of 2x35m with 28m deck width specified in the. please clarify. At NH 205 interchange NH 205 to ORR phase II 11x20m-8.5m width is it for main carriage way or is it for ramp connecting to NH205 Chennai side to ORR phase-ii. if it is for main carriageway width need to be corrected as 13.5m against 8.5m indicated. Please clarify. At NH205 interchange 3no ramp is specified of 6x25, please specify ramp access from where to where. Please clarify. At NH45, there is nothing mentioned about Kelambakkam to Chennai. Please clarify. Kindly clarify how exactly the annuity amount need to be mentioned in the price bid format. For eg: Semi Annuity Amount = Rs 180.24 Crores (Rupees One Hundred eighty crores and twenty four lakhs only).please confirm the above example is in compliance with the required format. No Change. NH205 to ORR Phase-II connection is for Main Carriageway. It has to be 2 X 13.5m. The Concessionaire needs to finalise the ramp arrangements so as to enable ORR Phase-II development in future. Table B-6 and the notes therein may please be referred to. The Concessionaire shall design the grade separated structures accordingly. Table is clear. Details of Kelambakkam to Chennai are mentioned in Table B-6 and the notes therein may please be refered to. The bidder should quote the figure of Semi Annual Annuity Amount in full without any approximation. Here, quoting the bidder example of Rs 180.24 crore, this should be written as Rs 180,24,00,000/- (Rupees One Hundred Eighty Crores and Twenty Four Lakhs only) Appropriate modification has been made in the format and the same has been indicated in the Addendum-II, S No 7. 6
23. Volume-I, Instruction to Bidders, Annex 5 B, Page No 53,54 We understand that bidders have to provide financial information and documents only up to year ended 31st March 2008. Thus, the Equity Financing plan (as per Format 5B) also to be provided based on financial information for the year 2007-2008. Kindly confirm. 24. Do we have to submit back the RFP documents, issued to us by TNRDC, along with the bid submission? Please confirm. If yes, in which envelope? Yes. Kindly refer to our response to Query No 16 There is no need to submit back the RFP documents issued by TNRDC. 25. Please extend the proposal due date up to 15.06.2009. The proposal due date remains as 21 st May 2009. 26. Volume-I, Instruction to Bidders, Annex 5A, RFP As per form Annex 5A of RFP the Reserves/Cash details of the bidder to be submitted one month before the proposal (i.e. from 22.04.2009 to 20.05.2009) Presently our financial year (April 2008 to March 2009) auditing is in progress and shall be completed by end of May 2009. Generally, for all limited organizations the results for Financial Year (April to March) are declared after Statutory auditing is completed in the month of June. Hence, it is not possible to submit the Reserves/cash details for end of April 2009 and therefore we are submitting the details as per Statutory certificates as on 31.12.2008 (previous quarter). If the department advises to submit the details for April 09 end the same shall be submitted by us in the 3rd week of June 2009 after completion of auditing. Kindly refer to our response to Query No 16 7
27. Volume-I, Instruction to Bidders,Annexure- 4A, Format for Bid Security, Paragraph No 5, Page No 39 This has reference to the subject project and would like to draw your kind attention to Annexure 4A-Format for Bid Security, Paragraph No 5 on page No 39 of Volume 1 of RFP. This clause is reproduced as below. We hereby agree to renew and extend the validity of this guarantee for a period not exceeding one year from the End Date on a request made by GOTN, HD or under the hand of any of the employee of GOTN, HD or any other person or entity duly authorized by GOTN, HD in this regard We hope you will agree that for extension of validity of Bid Security, GOTN will ask Bidder to get the same extended and Bidder approaches the Bank for any such extension as may be requested by GOTN for the Bid Security. Our Bankers are of the opinion that now GOTN can request directly to us for such extension without involving the Bidder? Bank is insisting on putting a sentence at the end of para No 5 provided we get a written request from the applicant in the above format of BG. We request you to kindly accept and confirm the same at the earliest. Banks have issued Bank Guarantees with such extension clauses as indicated in Annexure-4A (Volume-I, Instruction to Bidders). Hence no change 8