RESPONSE TO QUERIES Request for Proposal for Empanelment of Consultants for Appraisal of Detailed Project Reports (DPRs) for Industrial Projects

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RESPONSE TO QUERIES Request for Proposal for Empanelment of Consultants for Appraisal of Detailed Project Reports (DPRs) for Industrial Projects 1 Clause 1.1.2 APIIC in its endeavour of developing industrial infrastructure in the state has identified various land parcels across the state for development of industrial projects, such projects are under the broad categories of: 1. Agro & Food Processing 2. Automobile / Engineering Goods & Equipment / Electronics Manufacturing 3. Building Materials (Cement, Timber, Brick, etc.) 4. Ceramic Products 5. Pharmaceuticals / Chemicals & Petrochemicals / Fertilizer / Pesticide 6. Leather Products 7. Plastics 8. Steel & Steel Products 9. Textile 10. IT/ITES 2 Clause 1.4 RFP document can be downloaded from the official website of APIIC (www. apiic.in) from 08-03-2016 onwards. The proposal should be accompanied with a Non-Refundable Given that consultants would have been engaged in advising various agencies at different levels more prominently in the development of large industrial developments where in multiple industries/segments/categories would be evaluated, we request APIIC to clarify if such projects would be eligible across all the ten (10) categories of projects listed in 1.1.2 We presume that the applicant can submit a single proposal, a single processing fee and proposal security for all categories An eligible assignment involving more than one category of industrial project shall be considered for evaluation in all those categories of projects which were present in that project. For example if an Eligible Assignment includes an industrial park with Plastic and Petrochemical projects then such Eligible Assignment will be considered for evaluation in both the aforesaid categories. Yes. Andhra Pradesh Industrial Infrastructure Corporation Limited 1

Processing Fee of Rs 5,000/-(Rupees five thousand only) and a refundable Proposal Security of Rs 10,000 (Rupees ten thousand only). The Processing Fee and Proposal Security shall be in the form of a Demand Draft issued by one of the Nationalised/Scheduled Banks in India in favour of the Andhra Pradesh Industrial Infrastructure Corporation Limited payable at Hyderabad. Proposals without the aforesaid Processing Fee shall be summarily rejected. We want to send proposal for all 10 Categories mentioned in tender document. Do we need to prepare Separate tender proposal for each categories of industry & send to you separately. Similarly if we want to submit the bid for all ten categories we need to pay tender document fee & Proposal Security foe each category separately. i.e 5000 X 10= 50,000/- or 5000 only for document fee & 10000 X 10 = 1,00,000/- or only 10000/- irrespective of no of categories. Separate proposals are not required. A single proposal shall be submitted specifying details for all categories. Please refer Clause 3.1.3 - Relevant Experience of the Applicant in a specific category shall be scored separately for each category, while the scores for Relevant Experience of the Key Personnel and Methodology & Work Plan shall be considered same for all the categories for which the Consultant has applied. 3 Clause 1.6 APIIC has adopted a two stage selection process (collectively the Selection Process ) in evaluating the Proposals. Comprising Technical and Financial bids to be submitted in two separate sealed envelopes. In the first stage, a technical evaluation will be carried out as specified in Clause 3.1. Based on this technical evaluation, a panel of short-listed Consultants shall be prepared category wise as specified in Clause 3.2. The Consultants shall be selected in each category considering highest marks in descending order as per Clause 3.1.1 and 3.1.3, on the panel of the Client (the Selected Applicants ). The From Section 1.6 of the RFP, we understand that all the consultants who qualify will be on the panel of the client as selected consultants and the final technical scores of the selected consultants will not have any bearing on the final empanelment. We also understand that the method of evaluation and selection of consultants will be a combination of technical and financial criteria wherein post qualification the lowest financial quote is the The selection process mentioned in Clause 1.6 and Clause 3.1 shall be adhered. QCBS system of selection is not envisaged. Andhra Pradesh Industrial Infrastructure Corporation Limited 2

financial bid of the selected consultants will be opened. The financial bid of the lowest bidder will be accepted after negotiation. The lowest negotiated rate will be offered to other selected consultants. Those, who agree with the lowest negotiated rate, will be kept in the final list of empanelled consultants at this negotiated rate (the Empaneled Consultants ). The work will be allotted amongst the empanelled consultants as per requirement and on rotational basis. benchmark for all other selected consultants to accept. This, however, does not reflect the normal procedure of QCBS system of selection usually followed by APIIC. Request you to kindly clarify. Request APIIC to kindly clarify on the methodology proposed to be followed for allotment of work among the empanelled consultants. It is suggested that the larger preference be given to the consultants scoring higher marks. The Empanelled Consultant will be listed in order of their Technical Scores from highest to lowest. The work will be allotted amongst the empanelled consultants on a rotational basis. For example, if four consultants are empanelled in the category of Agro & Food Processing, then APIIC will allot the first DPR in such category to the first consultant empanelled in the list, second DPR will go to the second consultant, and similarly the work will be allotted on rotational basis. Please note the proposal method for selection is based on the lowest price and no weightage given for technical and financial bids. In order to select a more competent firm, we request your goodself to adopt Combined Quality cum Cost Based System (CQCCBS) method with a weightage of 80:20 (80% on The selection process mentioned in Clause 1.6 and Clause 3.1 shall be adhered. CQCCBS system of selection is not envisaged. Andhra Pradesh Industrial Infrastructure Corporation Limited 3

4 Clause 1.8 Proposal Due Date or PDD 15:00 hours on 24-03-2016 technical score; 20% on financial score) as per the Manual of Policies and Procedure of Employment of Consultants published by the Ministry of Finance, Department of Expenditure, Govt. of India. Kindly consider. Considering the exhaustive nature of proposal and documentation required, we request the PDD to be extended to 31-03-2016. Considering the contents of proposal such as methodology, work plan, eligible assignments for applicant duly certified by the statutory auditor, eligible assignments of key personnel and CVs for key personnel, etc., we respectfully request your goodself to extend the due date for submission of the bid by at least 15 days. Considering the continuous public holidays on 24, 25, 26 & 27 on the occasion of Holi and Good Friday followed by Sunday we request you to kindly extend the last date of submission upto 5.4.2016 In view of ensuing long holidays from 23rd to 27th March 2016 for Holi, Good Friday and Sunday in Proposal Due Date is extended upto 15:00 hours on 31-03-2016. Andhra Pradesh Industrial Infrastructure Corporation Limited 4

North, East, Western& other parts of the country, the collection of various documents from outside agencies and Govt Deptt is becoming very difficult. So in the interest of wide coverage of most of the consultants the last date of Bid Submission may please be extended beyond 31 st March 2016 for giving fairly sufficient time to larger no of participants. It is requested to extend the PDD by another week i.e up to 31.03.2016 5 Clause 1.1.2, Clause 2.2.2, Clause 2.2.3; Clause 3.1.3 Clause 1.1.2: APIIC in its endeavour of developing industrial infrastructure in the state has identified various land parcels across the state for the development of industrial projects, such projects are under the broad categories of: i. Agro & Food Processing ii. Automobile/Engineering Goods & Equipment/Electronics Manufacturing iii. Building Materials (Cement, Timber, Brick etc.) iv. Ceramic Products v. Pharmaceuticals/Chemicals & Petrochemicals/Fertilizer/Pesticide vi. Leather Products vii. Plastics As per Eligibility Criteria, the project experience undertaken in any of the categories mentioned at Clause 1.1.2 shall be deemed as eligible assignment. Whereas in evaluation criteria it has mentioned marks for each eligible assignment for each category. Therefore we request you to kindly consider the eligible assignments in any category of Industrial projects as mentioned in clause 1.1.2 for bid evaluation purpose. Please refer Clause 3.1.3 - Relevant Experience of the Applicant in a specific category shall be scored separately for each category, while the scores for Relevant Experience of the Key Personnel and Methodology & Work Plan shall be considered same for all the categories for which the Consultant has applied. Please also refer Clause 3.2 - Based on the technical evaluation, a panel of short-listed Consultants shall be prepared category wise. The Consultants shall be selected in each category considering highest marks Andhra Pradesh Industrial Infrastructure Corporation Limited 5

viii. Steel & Steel Products ix. Textile x. IT/ITES Clause 2.2.2: Technical Capacity: The Applicant shall have, over the past 10 (ten) years preceding the PDD, undertaken atleast 5(five) Eligible Assignment as specified in Clause 2.2.3. Clause 2.2.3: For the purposes of satisfying the Conditions of Eligibility and for evaluating the proposals under this RFP, advisory/consultancy assignments in respect of preparation and/or appraisal of detailed project report (including detailed cost estimates of all the project components) for an industrial park/industrial estate/industrial projects with estimated project cost (excluding land cost) of more than Rs. 1 Crore (Rs. One Crore) in any of the categories mentioned at Clause 1.1.2 shall be deemed as eligible assignment (the Eligible Assignments ). Clause 3.1.3 Criteria for Evaluation: Relevant Experience of the Applicant in specific category 10 marks for each Eligible Assignment, upto a maximum, of 50 (fifty) marks for each category. in descending order as per Clause 3.1.1 and 3.1.3, on the panel of the Client (the Selected Applicants ). 6 Clause 2.2.3 For the purposes of satisfying the Conditions of Eligibility and for evaluating the Proposals under this RFP, advisory/ consultancy Based on our past experience, any business plan for an industrial park or unit being allotted land within Andhra Pradesh Industrial Infrastructure Corporation Limited 6

assignments in respect of preparation and/or appraisal of detailed project report (including detailed cost estimates of all the project components) for an industrial park / industrial estate / industrial projects with estimated project cost (excluding land cost) of more than Rs.1 crore (Rs. one crore) in any of the categories mentioned at Clause 1.1.2 shall be deemed as eligible assignment (the Eligible Assignments ). APIIC layouts would mainly require a detailed analysis of the operating model, expected turnover, value of output, impact on regional and state economy and employment generation. Hence we request that clause 2.2.3 be modified as: For the purposes of satisfying the Conditions of Eligibility and for evaluating the Proposals under this RFP, advisory/ consultancy assignments in respect of preparation and/or appraisal of detailed project report and/or Business Plan for an industrial park / industrial estate / industrial projects with estimated project cost (excluding land cost) of more than Rs.1 crore (Rs. one crore) in any of the categories mentioned at Clause 1.1.2 shall be deemed as eligible assignment (the Eligible Assignments ). 7 Clause 2.3 - We understand that the consultants who will be selected to review DPRs under this RFP should not be barred from participating in other RFPs for Preparation of Detailed Project Report (DPR), Detailed Feasibility Report (DFR), PMC, Architectural Services, Engineering Services, Yes, the understanding is confirmed. The consultants who are empaneled for DPR appraisal will not be barred from participating in other RFPs issued by APIIC. Andhra Pradesh Industrial Infrastructure Corporation Limited 7

8 Schedule 1: Terms of Reference (TOR), Section 2 - Scope of Work 9 Schedule 1: Terms of Reference (TOR), Section 4.1 Preparation of Master Plan and Detailed Engineering for Industrial Areas or Special Economic Zones. Kindly Confirm - As per our understanding of the intent and scope of the RFP, we understand that APIIC requires consultants to review primarily the business plan which would mainly entail land requirements, land prices, employment generation and future potential of the proposed project. However the scope of work laid out in the TOR deals with finer aspects of the project including engineering details which require that the depth of work to be performed by the sub-professionals mentioned Clause 2.2.2 (D) be detailed out in the scope. Please clarify. The DPR Appraisal Report is to be furnished by the Consultant within 14 (fourteen) days of receipt of details from APIIC. Considering that the scope of work and time required for the appraisal of each of the projects will not be same, request that the delivery timetable be fixed as per the category (as per 1.1.2) and the land area (extent) of each project with a maximum of four (4) weeks per appraisal or as per a mutually Andhra Pradesh Industrial Infrastructure Corporation Limited 8

agreeable basis on a case by case basis. 10 Appendix-II: Financial Proposal - While preparing our financial proposal (Appendix-II) against your above referred Tender, we observe that we have to our fees according to the extent of land area proposed to be allotted irrespective of the size of project cost. But as a consultant, we normally quote our professional charges on the basis of the project cost of the industry proposed to be set up. Hence, we would request you to please modify the Financial Proposal (Appendix-II) advising consultants to quote fees to be charged according to total project cost size irrespective of land area sought. 11 General - Is there a limit to the maximum number of consultants to be empaneled? There is no limit to the maximum number of consultants to be empaneled. Andhra Pradesh Industrial Infrastructure Corporation Limited 9