The Republic of Zambia

MINISTRY OF COMMUNITY DEVELOPMENT AND SOCIAL SERVICES

GIRLS EDUCATION WOMENS EMPOWERMENT AND LIVELIHOODS (GEWEL)

PROJECT

Request for Bids

Supply and Delivery of One Hundred Thousand (100,000)
Phones for the Social Cash Transfer (SCT)

MCDSS/SCT/004/24

(One-Envelope Bidding Process)

Financed by:

JUNE, 2024
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This document is subject to copyright.

This document may be used and reproduced for non-commercial purposes only. Any
commercial use, including without limitation reselling, charging to access, redistribute, or for
derivative works such as unofficial translations based on this document is not allowed.
 iii

Revisions

August 2020
This revision dated August, 2020 incorporates contractual provisions on social aspects. A
few edits have also been made.
October 2017
This revision dated October, 2017 incorporates new provisions on beneficial ownership and
Direct Payment.

January 2017
This revision dated January, 2017 includes a template for notification of intention to award a
contract. A few editorial enhancements have also been made.

July 2016
This revision dated July, 2016 incorporates a number of changes reflecting the Procurement
Regulations for IPF Borrowers, July 2016.
April 2015
This revision dated April, 2015 expands paragraph (j) of Section IV Letter of Bid on
eligibility of Bidders.
March 2013
This revision dated March, 2013 incorporates a number of changes reflecting the experience
of the Bank in using previous versions of this document (last updated version was dated May
2010), corrects inconsistencies within document clauses, and incorporates the changes as per
the Guidelines for Procurement of Goods, Works and Non-Consulting Services, issued in
January, 2011.
May 2010
The revision dated May, 2010 is, inter alia, to modify the Eligibility and Fraud and
Corruption clauses to align their text with that of the May 2010 corrigendum to the
Procurement Guidelines, reflecting the changes related to Fraud and Corruption as per the
Agreement for Mutual Enforcement of Debarment Decisions between the Multilateral
Development Banks, to which the World Bank Group is a signatory. This revision is
applicable to Procurement of Goods funded under IBRD- or IDA- financed projects whose
Legal Agreement makes reference to (a) the Guidelines for Procurement under IBRD Loans
and IDA Credits, dated May 2004, revised October 2006, or (b) the Guidelines for
Procurement under IBRD Loans and IDA Credits, dated May 2004, revised October 2006
and May 2010.
 i

May 2007
This revision dated May, 2007 is to modify sub-clauses 3.1, 4.4, and 21.7 of Section I
Instructions to Bidders; and clauses 3 and 11 of Section VII General Conditions of Contract,
to align their text with that of the corrigenda of the Procurement Guidelines, issued in
October, 2006, to reflect the changes related to Fraud and Corruption as per the World
Bank’s Sanctions Reform package approved by the Board of Directors in August, 2006.
(Note: references to clauses reflect the numbering at the time of the 2007 amendment)
September 2006
(i) Export Restriction clause added to General Conditions of Contract (GCC 37)
May 2005
(i) ITB 14.2 revised to remove information related to evaluation.
(ii) ITB 26.1 “power of attorney” included
(iii) ITB 27.2 revised to state that withdrawal of Bid without proper documentation
not be accepted.
(iv) ITB 36.3 (a) choice regarding evaluation by items or as lots, and corresponding
clarification in BDS how a responsive Bid with a missing item will be compared
when evaluation is done for lots.
(v) SCC referring to GCC 13.1 on Shipping documents:

(Note: references to ITBs reflect the numbering at the time of the 2005 amendment)
May 2004
The features of May, 2004 Procurement Guidelines have been incorporated.
 v

Foreword

This Standard Procurement Document (SPD) for Goods has been prepared by the World
Bank. This SPD derives from the Master bidding document for the procurement of Goods,
prepared by the participating Multilateral Development Banks and International Financing
Institutions.

This SPD has been updated to reflect the World Bank’s Procurement Regulations for IPF
Borrowers, July, 2016 as amended from time to time. This SPD is applicable to the
procurement of Goods funded by IBRD or IDA financed projects whose Legal Agreement
makes reference to the Procurement Regulations for IPF Borrowers.
 vi

Preface

This Standard Procurement Document (SPD) for Goods has been prepared for use in
contracts financed by the International Bank for Reconstruction and Development (IBRD)
and the International Development Association (IDA). 1 This SPD is to be used for the
procurement of goods using a Request for Bids (RFB) method, one (1) envelope process in
projects that are financed in whole, or in part, by the World Bank through Investment Project
Financing.

To obtain further information on procurement under World Bank funded projects or for
question regarding the use of this SPD, contact:

Chief Procurement Officer

Standards, Procurement and Financial Management Department
The World Bank
1818 H Street, NW
Washington, D.C. 20433 U.S.A.
http://www.worldbank.org

1
IBRD and IDA are generally called the World Bank. Since the procurement requirements for IBRD
and IDA are identical, “World Bank” in this SPD refers to both IBRD and IDA, and “loan” refers to either
an IBRD loan or an IDA credit.
 vii

Standard Procurement Document

Summary
Specific Procurement Notice
Specific Procurement Notice - Request for Bids (RFB)
The template attached is the Specific Procurement Notice for Request for Bids, one-envelope
Bidding process. This is the form to be used by the Borrower.

Request for Bids – Goods (One-Envelope Bidding Process)

PART 1 – BIDDING PROCEDURES
Section I - Instructions to Bidders (ITB)

This Section provides information to help Bidders prepare their Bids. It is

based on a one-envelope Bidding process. Information is also provided on the
submission, opening, and evaluation of Bids and on the award of Contracts.
Section I contains provisions that are to be used without modification.

Section II - Bid Data Sheet (BDS)

This Section includes provisions that are specific to each procurement and that
supplement Section I, Instructions to Bidders.

Section III - Evaluation and Qualification Criteria

This Section specifies the criteria to determine the Most Advantageous Bid.

Section IV - Bidding Forms

This Section includes the forms for the Bid submission, Price Schedules, Bid
Security, and the Manufacturer’s Authorization to be completed and submitted
by the Bidder as part of its Bid.

Section V - Eligible Countries

This Section contains information regarding eligible countries.

Section VI - Fraud and Corruption

This section includes the fraud and corruption provisions which apply to this
Bidding process.
 viii

PART 2 – SUPPLY REQUIREMENTS

Section VII - Schedule of Requirements

This Section includes the List of Goods and Related Services, the Delivery
and Completion Schedules, the Technical Specifications and the Drawings
that describe the Goods and Related Services to be procured.

PART 3 – CONDITIONS OF CONTRACT AND CONTRACT FORMS

Section VIII - General Conditions of Contract (GCC)

This Section includes the general clauses to be applied in all contracts. The
text of the clauses in this Section shall not be modified.

Section IX - Special Conditions of Contract (SCC)

This Section contains the Special Conditions of Contract (SCC). The contents
of this Section modify or supplement the General Conditions and shall be
prepared by the Purchaser.

Section X - Contract Forms

This Section contains the Letter of Acceptance, Contract Agreement and other
relevant forms.
 Request for Bids
Goods
(One-Envelope Bidding Process)

Country: Zambia

Name of Project: Girls Education Women’s Empowerment and Livelihoods – GEWEL

Project – Social Cash Transfer (SCT)

CONTRACT TITLE: Supply and Delivery of One Hundred Thousand (100,000) Phones
for the Social Cash Transfer (SCT)

Loan No. /Credit No. / Grant No.: 169975

RFB Reference No.: MCDSS/SCT/004/24

1. The Government of the Republic of Zambia (GRZ) has received financing from the
World Bank towards the cost of the Girls Education Women’s Empowerment and
Livelihoods (GEWEL) Project, and intends to apply part of the proceeds toward the
Procurement of Phones. “For this contract, the Borrower shall process the payments
using the Direct Payment disbursement method, as defined in the World Bank’s
Disbursement Guidelines for Investment Project Financing, except for those payments,
which the contract provides to be made through letter of credit.”

2. The Ministry of Community Development and Social Services (MCDSS) now invites
Bids from eligible Bidders for the Supply and Delivery of One Hundred Thousand
(100,000) Phones for the Social Cash Transfer (SCT) to be delivered in Lusaka at the
Ministry headquarters with a maximum delivery period of 6 – 8 Weeks.

3. Bidding will be conducted through the Open National Bidding ( e – GP system) using a
Request for Bids (RFB) as specified in the World Bank’s “Procurement Regulations for
IPF Borrowers -” [November 2020) (“Procurement Regulations”), and is open to all
eligible Bidders as defined in the Procurement Regulations.

4. Interested eligible Bidders may obtain further information from the Ministry of
Community Development and Social Services (website) and through ZPPA website and
inspect the bidding document.

5. Non - refundable fee of K1000.00 can be paid online through ZPPA.

 x

6. Bids will be submitted online through e-GP Platform on 8th July, 2024 at 10:30 hour’s
local time. Late Bids will be rejected.

7. All Bids must be accompanied by a Bid-Securing Declaration.

8. “Attention is drawn to the Procurement Regulations requiring the Borrower to disclose

information on the successful bidder’s beneficial ownership, as part of the Contract
Award Notice, using the Beneficial Ownership Disclosure Form as included in the
bidding document.”

9. The address (es) referred to above is (are):

(i) For Inspection, Purchase and clarifications of Bidding Documents

Ministry of Community Development and Social Services

Attention: Kalimukwa Mutumba (Mr.)
Procurement and Supplies Unit,
Community House, Sadzu Road
P/Bag W252
Lusaka
Email: mutumba@mcdss.gov.zm

KALIMUKWA MUTUMBA
HEAD – PROCUREMENT AND SUPPLIES UNIT
 Request for Bids
Goods
(One-Envelope Bidding Process)

Procurement of: Supply and Delivery of One Hundred

Thousand (100,000) Phones for the Social Cash Transfer
(SCT)

RFB No: MCDSS/SCT/004/24

Project: Girls Education and Women’s Empowerment and Livelihoods
(GEWEL) Project
Purchaser: Ministry of Community Development and Social Services
(MCDSS)
Country: Zambia
Issued on: June, 2024
 1

Standard Procurement Document

Table of Contents

PART 1 – Bidding Procedures 3

Section I - Instructions to Bidders 5
Section II - Bid Data Sheet (BDS) 33
Section III - Evaluation and Qualification Criteria 39
Section IV - Bidding Forms 47
Section V - Eligible Countries 67
Section VI - Fraud and Corruption 69

PART 2 – Supply Requirements 73

Section VII - Schedule of Requirements 75

PART 3 - Contract 83
Section VIII - General Conditions of Contract 84
Section IX - Special Conditions of Contract 109
Section X - Contract Forms 119
 Part 1 – Bidding Procedures 3

PART 1 – Bidding Procedures

Section I – Instructions to Bidders (ITB) 5

Section I - Instructions to Bidders

Contents
A. General 7
1. Scope of Bid 7
2. Source of Funds 7
3. Fraud and Corruption 8
4. Eligible Bidders 8
5. Eligible Goods and Related Services 10

B. Contents of Request for Bids Document 11

6. Sections of Bidding Document 11
7. Clarification of Bidding Document 12
8. Amendment of Bidding Document 12

C. Preparation of Bids 12
9. Cost of Bidding 12
10. Language of Bid 12
11. Documents Comprising the Bid 13
12. Letter of Bid and Price Schedules 13
13. Alternative Bids 14
14. Bid Prices and Discounts 14
15. Currencies of Bid and Payment 16
16. Documents Establishing the Eligibility and Conformity of the Goods and Related
Services 16
17. Documents Establishing the Eligibility and Qualifications of the Bidder 17
18. Period of Validity of Bids 17
19. Bid Security 18
20. Format and Signing of Bid 20

D. Submission and Opening of Bids 20

21. Sealing and Marking of Bids 20
22. Deadline for Submission of Bids 21
23. Late Bids 21
24. Withdrawal, Substitution, and Modification of Bids 21
25. Bid Opening 22

E. Evaluation and Comparison of Bids 23

26. Confidentiality 23
27. Clarification of Bids 23
28. Deviations, Reservations, and Omissions 24
29. Determination of Responsiveness 24
Section I – Instructions to Bidders (ITB) 6

30. Nonconformities, Errors and Omissions 25

31. Correction of Arithmetical Errors 25
32. Conversion to Single Currency 26
33. Margin of Preference 26
34. Evaluation of Bids 26
35. Comparison of Bids 27
36. Abnormally Low Bids 27
37. Qualification of the Bidder 28
38. Purchaser’s Right to Accept Any Bid, and to Reject Any or All Bids 28
39. Standstill Period 28
40. Notification of Intention to Award 28

F. Award of Contract 29
41. Award Criteria 29
42. Purchaser’s Right to Vary Quantities at Time of Award 29
43. Notification of Award 29
44. Debriefing by the Purchaser 30
45. Signing of Contract 31
46. Performance Security 31
47. Procurement Related Complaint 32
Section I – Instructions to Bidders (ITB) 7

Section I. Instructions to Bidders

A. General
1. Scope of Bid 1.1 In connection with the Specific Procurement Notice, Request for
Bids (RFB), specified in the Bid Data Sheet (BDS), the
Purchaser, as specified in the BDS, issues this bidding document
for the supply of Goods and, if applicable, any Related Services
incidental thereto, as specified in Section VII, Schedule of
Requirements. The name, identification and number of lots
(contracts) of this RFB are specified in the BDS.
1.2 Throughout this bidding document:
(a) the term “in writing” means communicated in written
form (e.g. by mail, e-mail, fax, including if specified in
the BDS, distributed or received through the electronic-
procurement system used by the Purchaser) with proof of
receipt;
(b) if the context so requires, “singular” means “plural” and
vice versa; and
(c) “Day” means calendar day, unless otherwise specified as
“Business Day”. A Business Day is any day that is an
official working day of the Borrower. It excludes the
Borrower’s official public holidays.

2. Source of Funds 2.1 The Borrower or Recipient (hereinafter called “Borrower”)

specified in the BDS has applied for or received financing
(hereinafter called “funds”) from the International Bank for
Reconstruction and Development or the International
Development Association (hereinafter called “the Bank”) in an
amount specified in the BDS, toward the project named in the
BDS. The Borrower intends to apply a portion of the funds to
eligible payments under the contract for which this bidding
document is issued.
2.2 Payment by the Bank will be made only at the request of the
Borrower and upon approval by the Bank in accordance with
the terms and conditions of the Loan (or other financing)
Agreement. The Loan (or other financing) Agreement prohibits
a withdrawal from the Loan account for the purpose of any
payment to persons or entities, or for any import of goods, if
such payment or import is prohibited by decision of the United
Section I – Instructions to Bidders (ITB) 8

Nations Security Council taken under Chapter VII of the

Charter of the United Nations. No party other than the Borrower
shall derive any rights from the Loan (or other financing)
Agreement or have any claim to the proceeds of the Loan (or
other financing).

3. Fraud and 3.1 The Bank requires compliance with the Bank’s Anti-Corruption
Corruption Guidelines and its prevailing sanctions policies and procedures
as set forth in the WBG’s Sanctions Framework, as set forth in
Section VI.
3.2 In further pursuance of this policy, Bidders shall permit and
shall cause their agents (where declared or not), subcontractors,
subconsultants, service providers, suppliers, and their personnel,
to permit the Bank to inspect all accounts, records and other
documents relating to any initial selection process,
prequalification process, bid submission, proposal submission,
and contract performance (in the case of award), and to have
them audited by auditors appointed by the Bank.

4. Eligible Bidders 4.1 A Bidder may be a firm that is a private entity, a state-owned
enterprise or institution subject to ITB 4.6, or any combination of
such entities in the form of a joint venture (JV) under an existing
agreement or with the intent to enter into such an agreement
supported by a letter of intent. In the case of a joint venture, all
members shall be jointly and severally liable for the execution of
the entire Contract in accordance with the Contract terms. The JV
shall nominate a Representative who shall have the authority to
conduct all business for and on behalf of any and all the members
of the JV during the Bidding process and, in the event the JV is
awarded the Contract, during contract execution. Unless specified
in the BDS, there is no limit on the number of members in a JV.
4.2 A Bidder shall not have a conflict of interest. Any Bidder found to
have a conflict of interest shall be disqualified. A Bidder may be
considered to have a conflict of interest for the purpose of this
Bidding process, if the Bidder:
(a) directly or indirectly controls, is controlled by or is under
common control with another Bidder; or
(b) receives or has received any direct or indirect subsidy from
another Bidder; or
(c) has the same legal representative as another Bidder; or
(d) has a relationship with another Bidder, directly or through
common third parties, that puts it in a position to influence
the Bid of another Bidder, or influence the decisions of the
Section I – Instructions to Bidders (ITB) 9

Purchaser regarding this Bidding process; or

(e) or any of its affiliates participated as a consultant in the
preparation of the design or technical specifications of the
works that are the subject of the Bid; or
(f) or any of its affiliates has been hired (or is proposed to be
hired) by the Purchaser or Borrower for the Contract
implementation; or
(g) would be providing goods, works, or non-consulting
services resulting from or directly related to consulting
services for the preparation or implementation of the
project specified in the BDS ITB 2.1 that it provided or
were provided by any affiliate that directly or indirectly
controls, is controlled by, or is under common control with
that firm; or
(h) has a close business or family relationship with a
professional staff of the Borrower (or of the project
implementing agency, or of a recipient of a part of the
loan) who: (i) are directly or indirectly involved in the
preparation of the bidding document or specifications of
the Contract, and/or the Bid evaluation process of such
Contract; or (ii) would be involved in the implementation
or supervision of such Contract unless the conflict
stemming from such relationship has been resolved in a
manner acceptable to the Bank throughout the Bidding
process and execution of the Contract.
4.3 A firm that is a Bidder (either individually or as a JV member)
shall not participate in more than one Bid, except for permitted
alternative Bids. This includes participation as a subcontractor.
Such participation shall result in the disqualification of all Bids in
which the firm is involved. A firm that is not a Bidder or a JV
member, may participate as a subcontractor in more than one Bid.
4.4 A Bidder may have the nationality of any country, subject to the
restrictions pursuant to ITB 4.8. A Bidder shall be deemed to have
the nationality of a country if the Bidder is constituted,
incorporated or registered in and operates in conformity with the
provisions of the laws of that country, as evidenced by its articles
of incorporation (or equivalent documents of constitution or
association) and its registration documents, as the case may be.
This criterion also shall apply to the determination of the
nationality of proposed subcontractors or subconsultants for any
part of the Contract including related Services.
4.5 A Bidder that has been sanctioned by the Bank, pursuant to the
Bank’s Anti-Corruption Guidelines, in accordance with its
Section I – Instructions to Bidders (ITB) 10

prevailing sanctions policies and procedures as set forth in the

WBG’s Sanctions Framework as described in Section VI
paragraph 2.2 d., shall be ineligible to be prequalified for,
initially selected for, bid for, propose for, or be awarded a Bank-
financed contract or benefit from a Bank-financed contract,
financially or otherwise, during such period of time as the Bank
shall have determined. The list of debarred firms and individuals
is available at the electronic address specified in the BDS.
4.6 Bidders that are state-owned enterprises or institutions in the
Purchaser’s Country may be eligible to compete and be awarded a
Contract(s) only if they can establish, in a manner acceptable to
the Bank, that they (i) are legally and financially autonomous (ii)
operate under commercial law, and (iii) are not under supervision
of the Purchaser.
4.7 A Bidder shall not be under suspension from Bidding by the
Purchaser as the result of the operation of a Bid–Securing
Declaration or Proposal-Securing Declaration.
4.8 Firms and individuals may be ineligible if so indicated in Section
V and (a) as a matter of law or official regulations, the Borrower’s
country prohibits commercial relations with that country, provided
that the Bank is satisfied that such exclusion does not preclude
effective competition for the supply of goods or the contracting of
works or services required; or (b) by an act of compliance with a
decision of the United Nations Security Council taken under
Chapter VII of the Charter of the United Nations, the Borrower’s
country prohibits any import of goods or contracting of works or
services from that country, or any payments to any country,
person, or entity in that country.
4.9 A Bidder shall provide such documentary evidence of eligibility
satisfactory to the Purchaser, as the Purchaser shall reasonably
request.
4.10 A firm that is under a sanction of debarment by the Borrower from
being awarded a contract is eligible to participate in this
procurement, unless the Bank, at the Borrower’s request, is
satisfied that the debarment;
(a) relates to fraud or corruption; and
(b) followed a judicial or administrative proceeding that afforded
the firm adequate due process.

5. Eligible Goods and 5.1 All the Goods and Related Services to be supplied under the
Related Services Contract and financed by the Bank may have their origin in any
country in accordance with Section V, Eligible Countries.
5.2 For purposes of this ITB, the term “goods” includes
Section I – Instructions to Bidders (ITB) 11

commodities, raw material, machinery, equipment, and

industrial plants; and “related services” includes services such
as insurance, installation, training, and initial maintenance.
5.3 The term “origin” means the country where the goods have
been mined, grown, cultivated, produced, manufactured or
processed; or, through manufacture, processing, or assembly,
another commercially recognized article results that differs
substantially in its basic characteristics from its components.

B. Contents of Request for Bids Document

6. Sections of Bidding 6.1 The bidding document consist of Parts 1, 2, and 3, which
Document include all the sections indicated below, and should be read in
conjunction with any Addenda issued in accordance with ITB 8.
PART 1 Bidding Procedures
 Section I - Instructions to Bidders (ITB)
 Section II - Bidding Data Sheet (BDS)
 Section III - Evaluation and Qualification Criteria
 Section IV - Bidding Forms
 Section V - Eligible Countries
 Section VI - Fraud and Corruption

PART 2 Supply Requirements

 Section VII - Schedule of Requirements
PART 3 Contract
 Section VIII - General Conditions of Contract (GCC)
 Section IX - Special Conditions of Contract (SCC)
 Section X - Contract Forms

6.2 The Specific Procurement Notice, Request for Bids (RFB),

issued by the Purchaser is not part of this bidding document.
6.3 Unless obtained directly from the Purchaser, the Purchaser
is not responsible for the completeness of the document,
responses to requests for clarification, the Minutes of the pre-
Bid meeting (if any), or Addenda to the bidding document in
accordance with ITB 8. In case of any contradiction, documents
obtained directly from the Purchaser shall prevail.
6.4 The Bidder is expected to examine all instructions, forms,
terms, and specifications in the bidding document and to furnish
with its Bid all information or documentation as is required by
Section I – Instructions to Bidders (ITB) 12

the bidding document.

7. Clarification of 7.1 A Bidder requiring any clarification of the bidding document

Bidding Document shall contact the Purchaser in writing at the Purchaser’s address
specified in the BDS. The Purchaser will respond in writing to
any request for clarification, provided that such request is
received prior to the deadline for submission of Bids within a
period specified in the BDS. The Purchaser shall forward copies
of its response to all Bidders who have acquired the bidding
document in accordance with ITB 6.3, including a description of
the inquiry but without identifying its source. If so specified in
the BDS, the Purchaser shall also promptly publish its response
at the web page identified in the BDS. Should the clarification
result in changes to the essential elements of the bidding
document, the Purchaser shall amend the bidding document
following the procedure under ITB 8 and ITB 22.2.

8. Amendment of 8.1 At any time prior to the deadline for submission of Bids, the
Bidding Document Purchaser may amend the bidding document by issuing
addenda.
8.2 Any addendum issued shall be part of the bidding document
and shall be communicated in writing to all who have obtained
the bidding document from the Purchaser in accordance with
ITB 6.3. The Purchaser shall also promptly publish the
addendum on the Purchaser’s web page in accordance with ITB
7.1.
8.3 To give prospective Bidders reasonable time in which to take an
addendum into account in preparing their Bids, the Purchaser
may, at its discretion, extend the deadline for the submission of
Bids, pursuant to ITB 22.2.

C. Preparation of Bids
9. Cost of Bidding 9.1 The Bidder shall bear all costs associated with the preparation
and submission of its Bid, and the Purchaser shall not be
responsible or liable for those costs, regardless of the conduct or
outcome of the Bidding process.

10. Language of Bid 10.1 The Bid, as well as all correspondence and documents relating
to the Bid exchanged by the Bidder and the Purchaser, shall be
written in the language specified in the BDS. Supporting
documents and printed literature that are part of the Bid may be
in another language provided they are accompanied by an
accurate translation of the relevant passages into the language
specified in the BDS, in which case, for purposes of
Section I – Instructions to Bidders (ITB) 13

interpretation of the Bid, such translation shall govern.

11. Documents 11.1 The Bid shall comprise the following:

Comprising the Bid (a) Letter of Bid prepared in accordance with ITB 12;
(b) Price Schedules: completed in accordance with ITB 12 and
ITB 14;
(c) Bid Security or Bid-Securing Declaration, in
accordance with ITB 19.1;
(d) Alternative Bid: if permissible, in accordance with ITB
13;
(e) Authorization: written confirmation authorizing the
signatory of the Bid to commit the Bidder, in accordance
with ITB 20.3;
(f) Qualifications: documentary evidence in accordance with
ITB 17 establishing the Bidder’s qualifications to perform
the Contract if its Bid is accepted;
(g) Bidder’s Eligibility: documentary evidence in
accordance with ITB 17 establishing the Bidder’s
eligibility to bid;
(h) Eligibility of Goods and Related Services: documentary
evidence in accordance with ITB 16, establishing the
eligibility of the Goods and Related Services to be
supplied by the Bidder;
(i) Conformity: documentary evidence in accordance with
ITB 16 and 30, that the Goods and Related Services
conform to the bidding document; and
(j) any other document required in the BDS.
11.2 In addition to the requirements under ITB 11.1, Bids submitted
by a JV shall include a copy of the Joint Venture Agreement
entered into by all members. Alternatively, a letter of intent to
execute a Joint Venture Agreement in the event of a successful
Bid shall be signed by all members and submitted with the Bid,
together with a copy of the proposed Agreement.
11.3 The Bidder shall furnish in the Letter of Bid information on
commissions and gratuities, if any, paid or to be paid to agents or
any other party relating to this Bid.

12. Letter of Bid and 12.1. The Letter of Bid and Price Schedules shall be prepared using
Price Schedules the relevant forms furnished in Section IV, Bidding Forms. The
forms must be completed without any alterations to the text, and
no substitutes shall be accepted except as provided under ITB
Section I – Instructions to Bidders (ITB) 14

20.3. All blank spaces shall be filled in with the information

requested.

13. Alternative Bids 13.1. Unless otherwise specified in the BDS, alternative Bids shall
not be considered.

14. Bid Prices and 14.1 The prices and discounts quoted by the Bidder in the Letter of
Discounts Bid and in the Price Schedules shall conform to the
requirements specified below.
14.2 All lots (contracts) and items must be listed and priced
separately in the Price Schedules.
14.3 The price to be quoted in the Letter of Bid in accordance with
ITB 12.1 shall be the total price of the Bid, excluding any
discounts offered.
14.4 The Bidder shall quote any discounts and indicate the
methodology for their application in the Letter of Bid, in
accordance with ITB 12.1.
14.5 Prices quoted by the Bidder shall be fixed during the Bidder’s
performance of the Contract and not subject to variation on any
account, unless otherwise specified in the BDS. A Bid
submitted with an adjustable price quotation shall be treated as
nonresponsive and shall be rejected, pursuant to ITB 29.
However, if in accordance with the BDS, prices quoted by the
Bidder shall be subject to adjustment during the performance of
the Contract, a Bid submitted with a fixed price quotation shall
not be rejected, but the price adjustment shall be treated as zero.
14.6 If so specified in ITB 1.1, Bids are being invited for individual
lots (contracts) or for any combination of lots (packages).
Unless otherwise specified in the BDS, prices quoted shall
correspond to 100 % of the items specified for each lot and to
100% of the quantities specified for each item of a lot. Bidders
wishing to offer discounts for the award of more than one
Contract shall specify in their Bid the price reductions
applicable to each package, or alternatively, to individual
Contracts within the package. Discounts shall be submitted in
accordance with ITB 14.4 provided the Bids for all lots
(contracts) are opened at the same time.
14.7 The terms EXW, CIP, and other similar terms shall be governed
by the rules prescribed in the current edition of Incoterms,
published by the International Chamber of Commerce, as
specified in the BDS.
14.8 Prices shall be quoted as specified in each Price Schedule
included in Section IV, Bidding Forms. The disaggregation of
Section I – Instructions to Bidders (ITB) 15

price components is required solely for the purpose of

facilitating the comparison of Bids by the Purchaser. This shall
not in any way limit the Purchaser’s right to contract on any of
the terms offered. In quoting prices, the Bidder shall be free to
use transportation through carriers registered in any eligible
country, in accordance with Section V, Eligible Countries.
Similarly, the Bidder may obtain insurance services from any
eligible country in accordance with Section V, Eligible
Countries. Prices shall be entered in the following manner:
(a) For Goods manufactured in the Purchaser’s Country:
(i) the price of the Goods quoted EXW (ex-works,
ex-factory, ex warehouse, ex showroom, or off-the-
shelf, as applicable), including all customs duties and
sales and other taxes already paid or payable on the
components and raw material used in the
manufacture or assembly of the Goods;
(ii) any Purchaser’s Country sales tax and other taxes
which will be payable on the Goods if the Contract is
awarded to the Bidder; and
(iii) the price for inland transportation, insurance, and
other local services required to convey the Goods to
their final destination (Project Site) specified in the
BDS.
(b) For Goods manufactured outside the Purchaser’s Country,
to be imported:
(i) the price of the Goods, quoted CIP named place of
destination, in the Purchaser’s Country, as specified
in the BDS;
(ii) the price for inland transportation, insurance, and
other local services required to convey the Goods
from the named place of destination to their final
destination (Project Site) specified in the BDS;
(c) For Goods manufactured outside the Purchaser’s Country,
already imported:
(i) the price of the Goods, including the original
import value of the Goods; plus any mark-up (or
rebate); plus any other related local cost, and custom
duties and other import taxes already paid or to be
paid on the Goods already imported;
(ii) the custom duties and other import taxes already
paid (need to be supported with documentary
evidence) or to be paid on the Goods already
Section I – Instructions to Bidders (ITB) 16

imported;
(iii) the price of the Goods, obtained as the difference
between (i) and (ii) above;
(iv) any Purchaser’s Country sales and other taxes
which will be payable on the Goods if the Contract is
awarded to the Bidder; and
(v) the price for inland transportation, insurance, and
other local services required to convey the Goods to
their final destination (Project Site) specified in the
BDS.
(d) for Related Services, other than inland transportation and
other services required to convey the Goods to their final
destination, whenever such Related Services are specified
in the Schedule of Requirements, the price of each item
comprising the Related Services (inclusive of any
applicable taxes).

15. Currencies of Bid 15.1 The currency(ies) of the Bid and the currency(ies) of payments
and Payment shall be the same. The Bidder shall quote in the currency of the
Purchaser’s Country the portion of the Bid price that
corresponds to expenditures incurred in the currency of the
Purchaser’s Country, unless otherwise specified in the BDS.
15.2 The Bidder may express the Bid price in any currency. If the
Bidder wishes to be paid in a combination of amounts in
different currencies, it may quote its price accordingly but shall
use no more than three foreign currencies in addition to the
currency of the Purchaser’s Country.

16. Documents 16.1 To establish the eligibility of the Goods and Related Services in
Establishing the accordance with ITB 5, Bidders shall complete the country-of-
Eligibility and origin declarations in the Price Schedule Forms, included in
Conformity of the Section IV, Bidding Forms.
Goods and Related 16.2 To establish the conformity of the Goods and Related Services
Services to the bidding document, the Bidder shall furnish as part of its
Bid the documentary evidence that the Goods conform to the
technical specifications and standards specified in Section VII,
Schedule of Requirements.
16.3 The documentary evidence may be in the form of literature,
drawings or data, and shall consist of a detailed item by item
description of the essential technical and performance
characteristics of the Goods and Related Services,
demonstrating substantial responsiveness of the Goods and
Related Services to the technical specification, and if
Section I – Instructions to Bidders (ITB) 17

applicable, a statement of deviations and exceptions to the

provisions of the Section VII, Schedule of Requirements.
16.4 The Bidder shall also furnish a list giving full particulars,
including available sources and current prices of spare parts,
special tools, etc., necessary for the proper and continuing
functioning of the Goods during the period specified in the
BDS following commencement of the use of the goods by the
Purchaser.
16.5 Standards for workmanship, process, material, and equipment,
as well as references to brand names or catalogue numbers
specified by the Purchaser in the Schedule of Requirements, are
intended to be descriptive only and not restrictive. The Bidder
may offer other standards of quality, brand names, and/or
catalogue numbers, provided that it demonstrates, to the
Purchaser’s satisfaction, that the substitutions ensure substantial
equivalence or are superior to those specified in the Section VII,
Schedule of Requirements.

17. Documents 17.1 To establish Bidder’s eligibility in accordance with ITB 4, Bidders
Establishing the shall complete the Letter of Bid, included in Section IV, Bidding
Eligibility and Forms.
Qualifications of the 17.2 The documentary evidence of the Bidder’s qualifications to
Bidder perform the Contract if its Bid is accepted shall establish to the
Purchaser’s satisfaction:
(a) that, if required in the BDS, a Bidder that does not
manufacture or produce the Goods it offers to supply shall
submit the Manufacturer’s Authorization using the form
included in Section IV, Bidding Forms to demonstrate that it
has been duly authorized by the manufacturer or producer of
the Goods to supply these Goods in the Purchaser’s Country;
(b) that, if required in the BDS, in case of a Bidder not doing
business within the Purchaser’s Country, the Bidder is or
will be (if awarded the Contract) represented by an Agent
in the country equipped and able to carry out the
Supplier’s maintenance, repair and spare parts-stocking
obligations prescribed in the Conditions of Contract
and/or Technical Specifications; and
(c) that the Bidder meets each of the qualification criterion
specified in Section III, Evaluation and Qualification
Criteria.

18. Period of Validity of 18.1. Bids shall remain valid until the date specified in the BDS or any
Bids extended date if amended by the Purchaser in accordance with ITP
8. A Bid that is not valid until the date specified in the BDS, or
Section I – Instructions to Bidders (ITB) 18

any extended date if amended by the Purchaser in accordance with

ITP 8, shall be rejected by the Purchaser as nonresponsive.
18.2. In exceptional circumstances, prior to the expiry of the Bid
validity, the Purchaser may request Bidders to extend the period
of validity of their Bids. The request and the responses shall be
made in writing. If a Bid Security is requested in accordance
with ITB 19, it shall also be extended for a corresponding
period. A Bidder may refuse the request without forfeiting its
Bid Security. A Bidder granting the request shall not be
required or permitted to modify its Bid, except as provided in
ITB 18.3.
18.3. If the award is delayed by a period exceeding fifty-six (56) days
beyond the expiry of the initial Bid validity period, the Contract
price shall be determined as follows:
(a) in the case of fixed price contracts, the Contract price shall
be the Bid price adjusted by the factor specified in the
BDS;
(b) in the case of adjustable price contracts, no adjustment
shall be made;
(c) in any case, Bid evaluation shall be based on the Bid price
without taking into consideration the applicable correction
from those indicated above.

19. Bid Security 19.1. The Bidder shall furnish as part of its Bid, either a Bid-Securing
Declaration or a Bid Security, as specified in the BDS, in
original form and, in the case of a Bid Security, in the amount
and currency specified in the BDS.
19.2. A Bid Securing Declaration shall use the form included in
Section IV, Bidding Forms.
19.3. If a Bid Security is specified pursuant to ITB 19.1, the Bid
Security shall be a demand guarantee in any of the following
forms at the Bidder’s option:
(a) an unconditional guarantee issued by a bank or non-bank
financial institution (such as an insurance, bonding or
surety company);
(b) an irrevocable letter of credit;
(c) a cashier’s or certified check; or
(d) another security specified in the BDS,
from a reputable source, and an eligible country. If an
unconditional guarantee is issued by a non-bank financial
institution located outside the Purchaser’s Country, the issuing
Section I – Instructions to Bidders (ITB) 19

non-bank financial institution shall have a correspondent financial

institution located in the Purchaser’s Country to make it
enforceable unless the Purchaser has agreed in writing, prior to
Bid submission, that a correspondent financial institution is not
required. In the case of a bank guarantee, the Bid Security shall be
submitted either using the Bid Security Form included in Section
IV, Bidding Forms, or in another substantially similar format
approved by the Purchaser prior to Bid submission. The Bid
Security shall be valid for twenty-eight (28) days beyond the
original date of expiry of the Bid validity, or beyond any extended
date if requested under ITB 18.2.
19.4. If a Bid Security is specified pursuant to ITB 19.1, any Bid not
accompanied by a substantially responsive Bid Security shall be
rejected by the Purchaser as non-responsive.
19.5. If a Bid Security is specified pursuant to ITB 19.1, the Bid
Security of unsuccessful Bidders shall be returned as promptly
as possible upon the successful Bidder’s signing the Contract
and furnishing the Performance Security pursuant to ITB 46.
19.6. The Bid Security of the successful Bidder shall be returned as
promptly as possible once the successful Bidder has signed the
Contract and furnished the required Performance Security.
19.7. The Bid Security may be forfeited:
(a) if a Bidder withdraws its Bid prior to the expiry date of
Bid validity specified by the Bidder on the Letter of Bid
or any extended date provided by the Bidder; or
(b) if the successful Bidder fails to:
(i) sign the Contract in accordance with ITB 45; or
(ii) furnish a Performance Security in accordance with
ITB 46.
19.8. The Bid Security or Bid- Securing Declaration of a JV must be
in the name of the JV that submits the Bid. If the JV has not
been legally constituted into a legally enforceable JV at the time
of Bidding, the Bid Security or Bid-Securing Declaration shall
be in the names of all future members as named in the letter of
intent referred to in ITB 4.1 and ITB 11.2.
19.9. If a Bid Security is not required in the BDS, pursuant to ITB 19.1,
and
(a) if a Bidder withdraws its Bid during the period of Bid
validity specified by the Bidder on the Letter of Bid, or
any extended date provided by the Bidder; or
(b) if the successful Bidder fails to: sign the Contract in
Section I – Instructions to Bidders (ITB) 20

accordance with ITB 45; or furnish a performance security

in accordance with ITB 46;
the Borrower may, if provided for in the BDS, declare the
Bidder ineligible to be awarded a contract by the Purchaser for a
period of time as stated in the BDS.

20. Format and Signing 20.1 The Bidder shall prepare one original of the documents
of Bid comprising the Bid as described in ITB 11 and clearly mark it
“ORIGINAL.” Alternative Bids, if permitted in accordance with
ITB 13, shall be clearly marked “ALTERNATIVE.” In addition, the
Bidder shall submit copies of the Bid, in the number specified in
the BDS and clearly mark them “COPY.” In the event of any
discrepancy between the original and the copies, the original shall
prevail.
20.2 Bidders shall mark as “CONFIDENTIAL” information in their
Bids which is confidential to their business. This may include
proprietary information, trade secrets, or commercial or financially
sensitive information.
20.3 The original and all copies of the Bid shall be typed or written
in indelible ink and shall be signed by a person duly authorized
to sign on behalf of the Bidder. This authorization shall consist of
a written confirmation as specified in the BDS and shall be
attached to the Bid. The name and position held by each person
signing the authorization must be typed or printed below the
signature. All pages of the Bid where entries or amendments have
been made shall be signed or initialed by the person signing the
Bid.
20.4 In case the Bidder is a JV, the Bid shall be signed by an authorized
representative of the JV on behalf of the JV, and so as to be legally
binding on all the members as evidenced by a power of attorney
signed by their legally authorized representatives.
20.5 Any inter-lineation, erasures, or overwriting shall be valid only
if they are signed or initialed by the person signing the Bid.

D. Submission and Opening of Bids

21. Sealing and 21.1. The Bidder shall deliver the Bid in a single, sealed envelope (one-
Marking of Bids envelope Bidding process). Within the single envelope the Bidder
shall place the following separate, sealed envelopes:
(a) in an envelope marked “ORIGINAL”, all documents
comprising the Bid, as described in ITB 11; and
(b) in an envelope marked “COPIES”, all required copies of the
Bid; and,
Section I – Instructions to Bidders (ITB) 21

(c) if alternative Bids are permitted in accordance with ITB 13,

and if relevant:
i. in an envelope marked “ORIGINAL -ALTERNATIVE”, the
alternative Bid; and
ii. in the envelope marked “COPIES – ALTERNATIVE BID”
all required copies of the alternative Bid.
21.2. The inner and outer envelopes, shall:
(a) bear the name and address of the Bidder;
(b) be addressed to the Purchaser in accordance with ITB
22.1;
(c) bear the specific identification of this Bidding process
indicated in ITB 1.1; and
(d) bear a warning not to open before the time and date for
Bid opening.
21.3 If all envelopes are not sealed and marked as required, the
Purchaser will assume no responsibility for the misplacement or
premature opening of the Bid.

22. Deadline for 22.1. Bids must be received by the Purchaser at the address and no
Submission of Bids later than the date and time specified in the BDS. When so
specified in the BDS, Bidders shall have the option of submitting
their Bids electronically. Bidders submitting Bids electronically
shall follow the electronic Bid submission procedures specified in
the BDS.
22.2. The Purchaser may, at its discretion, extend the deadline for the
submission of Bids by amending the bidding document in
accordance with ITB 8, in which case all rights and obligations
of the Purchaser and Bidders previously subject to the deadline
shall thereafter be subject to the deadline as extended.

23. Late Bids 23.1. The Purchaser shall not consider any Bid that arrives after the
deadline for submission of Bids, in accordance with ITB 22.
Any Bid received by the Purchaser after the deadline for
submission of Bids shall be declared late, rejected, and returned
unopened to the Bidder.

24. Withdrawal, 24.1. A Bidder may withdraw, substitute, or modify its Bid after it
Substitution, and has been submitted by sending a written notice, duly signed by
Modification of Bids an authorized representative, and shall include a copy of the
authorization (the power of attorney) in accordance with ITB
20.3, (except that withdrawal notices do not require copies).
The corresponding substitution or modification of the Bid must
accompany the respective written notice. All notices must be:
Section I – Instructions to Bidders (ITB) 22

(a) prepared and submitted in accordance with ITB 20 and 21

(except that withdrawal notices do not require copies),
and in addition, the respective envelopes shall be clearly
marked “WITHDRAWAL,” “SUBSTITUTION,” or
“MODIFICATION;” and
(b) received by the Purchaser prior to the deadline prescribed
for submission of Bids, in accordance with ITB 22.
24.2. Bids requested to be withdrawn in accordance with ITB 24.1
shall be returned unopened to the Bidders.
24.3. No Bid may be withdrawn, substituted, or modified in the
interval between the deadline for submission of Bids and the
expiration of the period of Bid validity specified by the Bidder
on the Letter of Bid or any extension thereof.

25. Bid Opening 25.1. Except as in the cases specified in ITB 23 and ITB 24.2, the
Purchaser shall, at the Bid opening, publicly open and read out
all Bids received by the deadline at the date, time and place
specified in the BDS in the presence of Bidders’ designated
representatives and anyone who chooses to attend Any specific
electronic Bid opening procedures required if electronic bidding
is permitted in accordance with ITB 22.1, shall be as specified
in the BDS.
25.2. First, envelopes marked “WITHDRAWAL” shall be opened and
read out and the envelope with the corresponding Bid shall not
be opened, but returned to the Bidder. If the withdrawal
envelope does not contain a copy of the “power of attorney”
confirming the signature as a person duly authorized to sign on
behalf of the Bidder, the corresponding Bid will be opened. No
Bid withdrawal shall be permitted unless the corresponding
withdrawal notice contains a valid authorization to request the
withdrawal and is read out at Bid opening.
25.3. Next, envelopes marked “SUBSTITUTION” shall be opened and
read out and exchanged with the corresponding Bid being
substituted, and the substituted Bid shall not be opened, but
returned to the Bidder. No Bid substitution shall be permitted
unless the corresponding substitution notice contains a valid
authorization to request the substitution and is read out at Bid
opening.
25.4. Next, envelopes marked “MODIFICATION” shall be opened and
read out with the corresponding Bid. No Bid modification shall
be permitted unless the corresponding modification notice
contains a valid authorization to request the modification and is
read out at Bid opening.
Section I – Instructions to Bidders (ITB) 23

25.5. Next, all remaining envelopes shall be opened one at a time,

reading out: the name of the Bidder and whether there is a
modification; the total Bid Prices, per lot (contract) if
applicable, including any discounts and alternative Bids; the
presence or absence of a Bid Security, if required; and any other
details as the Purchaser may consider appropriate.
25.6. Only Bids, alternative Bids and discounts that are opened and read
out at Bid opening shall be considered further in the evaluation.
The Letter of Bid and the Price Schedules are to be initialed by
representatives of the Purchaser attending Bid opening in the
manner specified in the BDS.
25.7. The Purchaser shall neither discuss the merits of any Bid nor
reject any Bid (except for late Bids, in accordance with ITB
23.1).
25.8. The Purchaser shall prepare a record of the Bid opening that
shall include, as a minimum:
(a) the name of the Bidder and whether there is a withdrawal,
substitution, or modification;
(b) the Bid Price, per lot (contract) if applicable, including
any discounts;
(c) any alternative Bids;
(d) the presence or absence of a Bid Security or Bid-Securing
Declaration, if one was required.
25.9. The Bidders’ representatives who are present shall be requested
to sign the record. The omission of a Bidder’s signature on the
record shall not invalidate the contents and effect of the record.
A copy of the record shall be distributed to all Bidders.

E. Evaluation and Comparison of Bids

26. Confidentiality 26.1 Information relating to the evaluation of Bids and
recommendation of contract award, shall not be disclosed to
Bidders or any other persons not officially concerned with the
Bidding process until the information on Intention to Award the
Contract is transmitted to all Bidders in accordance with ITB
40.
26.2 Any effort by a Bidder to influence the Purchaser in the
evaluation or contract award decisions may result in the
rejection of its Bid.
26.3 Notwithstanding ITB 26.2, from the time of Bid opening to the
time of Contract Award, if any Bidder wishes to contact the
Purchaser on any matter related to the Bidding process, it
Section I – Instructions to Bidders (ITB) 24

should do so in writing.

27. Clarification of Bids 27.1 To assist in the examination, evaluation, comparison of the
Bids, and qualification of the Bidders, the Purchaser may, at its
discretion, ask any Bidder for a clarification of its Bid. Any
clarification submitted by a Bidder in respect to its Bid and that
is not in response to a request by the Purchaser shall not be
considered. The Purchaser’s request for clarification and the
response shall be in writing. No change, including any
voluntary increase or decrease, in the prices or substance of the
Bid shall be sought, offered, or permitted, except to confirm the
correction of arithmetic errors discovered by the Purchaser in
the Evaluation of the Bids, in accordance with ITB 31.
27.2 If a Bidder does not provide clarifications of its Bid by the date
and time set in the Purchaser’s request for clarification, its Bid
may be rejected.

28. Deviations, 28.1 During the evaluation of Bids, the following definitions apply:
Reservations, and (a) “Deviation” is a departure from the requirements specified
Omissions in the bidding document;
(b) “Reservation” is the setting of limiting conditions or
withholding from complete acceptance of the requirements
specified in the bidding document; and
(c) “Omission” is the failure to submit part or all of the
information or documentation required in the bidding
document.

29. Determination of 29.1 The Purchaser’s determination of a Bid’s responsiveness is to

Responsiveness be based on the contents of the Bid itself, as defined in ITB 11.
29.2 A substantially responsive Bid is one that meets the
requirements of the bidding document without material
deviation, reservation, or omission. A material deviation,
reservation, or omission is one that:
(a) if accepted, would:
(i) affect in any substantial way the scope, quality, or
performance of the Goods and Related Services
specified in the Contract; or
(ii) limit in any substantial way, inconsistent with the
bidding document, the Purchaser’s rights or the
Bidder’s obligations under the Contract; or
(b) if rectified, would unfairly affect the competitive position
of other Bidders presenting substantially responsive Bids.
Section I – Instructions to Bidders (ITB) 25

29.3 The Purchaser shall examine the technical aspects of the Bid
submitted in accordance with ITB 16 and ITB 17, in particular, to
confirm that all requirements of Section VII, Schedule of
Requirements have been met without any material deviation or
reservation, or omission.
29.4 If a Bid is not substantially responsive to the requirements of
bidding document, it shall be rejected by the Purchaser and may
not subsequently be made responsive by correction of the
material deviation, reservation, or omission.

30. Nonconformities, 30.1 Provided that a Bid is substantially responsive, the Purchaser
Errors and may waive any nonconformities in the Bid.
Omissions 30.2 Provided that a Bid is substantially responsive, the Purchaser
may request that the Bidder submit the necessary information or
documentation, within a reasonable period of time, to rectify
nonmaterial nonconformities or omissions in the Bid related to
documentation requirements. Such omission shall not be
related to any aspect of the price of the Bid. Failure of the
Bidder to comply with the request may result in the rejection of
its Bid.
30.3 Provided that a Bid is substantially responsive, the Purchaser shall
rectify quantifiable nonmaterial nonconformities related to the Bid
Price. To this effect, the Bid Price shall be adjusted, for
comparison purposes only, to reflect the price of a missing or non-
conforming item or component, by adding the average price of the
item or component quoted by substantially responsive Bidders. If
the price of the item or component cannot be derived from the
price of other substantially responsive Bids, the Purchaser shall
use its best estimate.

31. Correction of 31.1 Provided that the Bid is substantially responsive, the Purchaser
Arithmetical Errors shall correct arithmetical errors on the following basis:
(a) if there is a discrepancy between the unit price and the
line-item total that is obtained by multiplying the unit
price by the quantity, the unit price shall prevail and the
line-item total shall be corrected, unless in the opinion of
the Purchaser there is an obvious misplacement of the
decimal point in the unit price, in which case the line item
total as quoted shall govern and the unit price shall be
corrected;
(b) if there is an error in a total corresponding to the addition
or subtraction of subtotals, the subtotals shall prevail and
the total shall be corrected; and
(c) if there is a discrepancy between words and figures, the
Section I – Instructions to Bidders (ITB) 26

amount in words shall prevail, unless the amount

expressed in words is related to an arithmetic error, in
which case the amount in figures shall prevail subject to
(a) and (b) above.
31.2 Bidders shall be requested to accept correction of arithmetical
errors. Failure to accept the correction in accordance with ITB
31.1, shall result in the rejection of the Bid.

32. Conversion to Single 32.1 For evaluation and comparison purposes, the currency(ies) of
Currency the Bid shall be converted in a single currency as specified in
the BDS.

33. Margin of 33.1 Unless otherwise specified in the BDS, a margin of preference
Preference shall not apply.

34. Evaluation of Bids 34.1 The Purchaser shall use the criteria and methodologies listed in
this ITB and Section III, Evaluation and Qualification criteria.
No other evaluation criteria or methodologies shall be
permitted. By applying the criteria and methodologies, the
Purchaser shall determine the Most Advantageous Bid. This is
the Bid of the Bidder that meets the qualification criteria and
whose Bid has been determined to be:
(a) substantially responsive to the bidding document; and
(b) the lowest evaluated cost.
34.2 To evaluate a Bid, the Purchaser shall consider the following:
(a) evaluation will be done for Items or Lots (contracts), as
specified in the BDS; and the Bid Price as quoted in
accordance with ITB 14;
(b) price adjustment for correction of arithmetic errors in
accordance with ITB 31.1;
(c) price adjustment due to discounts offered in accordance
with ITB 14.4;
(d) converting the amount resulting from applying (a) to (c)
above, if relevant, to a single currency in accordance with
ITB 32;
(e) price adjustment due to quantifiable nonmaterial
nonconformities in accordance with ITB 30.3; and
(f) the additional evaluation factors are specified in Section
III, Evaluation and Qualification Criteria.
34.3 The estimated effect of the price adjustment provisions of the
Conditions of Contract, applied over the period of execution of the
Section I – Instructions to Bidders (ITB) 27

Contract, shall not be taken into account in Bid evaluation.

34.4 If this bidding document allows Bidders to quote separate prices
for different lots (contracts), the methodology to determine the
lowest evaluated cost of the lot (contract) combinations, including
any discounts offered in the Letter of Bid, is specified in Section
III, Evaluation and Qualification Criteria.
34.5 The Purchaser’s evaluation of a Bid will exclude and not take
into account:
(a) in the case of Goods manufactured in the Purchaser’s
Country, sales and other similar taxes, which will be
payable on the goods if a contract is awarded to the
Bidder;
(b) in the case of Goods manufactured outside the Purchaser’s
Country, already imported or to be imported, customs
duties and other import taxes levied on the imported
Good, sales and other similar taxes, which will be payable
on the Goods if the contract is awarded to the Bidder;
(c) any allowance for price adjustment during the period of
execution of the contract, if provided in the Bid.
34.6 The Purchaser’s evaluation of a Bid may require the
consideration of other factors, in addition to the Bid Price
quoted in accordance with ITB 14. These factors may be related
to the characteristics, performance, and terms and conditions of
purchase of the Goods and Related Services. The effect of the
factors selected, if any, shall be expressed in monetary terms to
facilitate comparison of Bids, unless otherwise specified in the
BDS from amongst those set out in Section III, Evaluation and
Qualification Criteria. The criteria and methodologies to be
used shall be as specified in ITB 34.2(f).

35. Comparison of Bids 35.1 The Purchaser shall compare the evaluated costs of all
substantially responsive Bids established in accordance with
ITB 34.2 to determine the Bid that has the lowest evaluated
cost. The comparison shall be on the basis of CIP (place of final
destination) prices for imported goods and EXW prices, plus
cost of inland transportation and insurance to place of
destination, for goods manufactured within the Borrower’s
country, together with prices for any required installation,
training, commissioning and other services. The evaluation of
prices shall not take into account custom duties and other taxes
levied on imported goods quoted CIP and sales and similar
taxes levied in connection with the sale or delivery of goods.

36. Abnormally Low 36.1 An Abnormally Low Bid is one where the Bid price, in
Section I – Instructions to Bidders (ITB) 28

Bids combination with other constituent elements of the Bid, appears

unreasonably low to the extent that the Bid price raises material
concerns with the Purchaser as to the capability of the Bidder to
perform the Contract for the offered Bid price.
36.2 In the event of identification of a potentially Abnormally Low
Bid, the Purchaser shall seek written clarification from the
Bidder, including a detailed price analyses of its Bid price in
relation to the subject matter of the contract, scope, delivery
schedule, allocation of risks and responsibilities and any other
requirements of the bidding document.
36.3 After evaluation of the price analyses, in the event that the
Purchaser determines that the Bidder has failed to demonstrate
its capability to perform the contract for the offered Bid price,
the Purchaser shall reject the Bid.

37. Qualification of the 37.1 The Purchaser shall determine, to its satisfaction, whether the
Bidder eligible Bidder that is selected as having submitted the lowest
evaluated cost and substantially responsive Bid, meets the
qualifying criteria specified in Section III, Evaluation and
Qualification Criteria.
37.2 The determination shall be based upon an examination of the
documentary evidence of the Bidder’s qualifications submitted
by the Bidder, pursuant to ITB 17. The determination shall not
take into consideration the qualifications of other firms such as
the Bidder’s subsidiaries, parent entities, affiliates,
subcontractors (other than specialized subcontractors if
permitted in the bidding document), or any other firm(s)
different from the Bidder.
37.3 An affirmative determination shall be a prerequisite for award
of the Contract to the Bidder. A negative determination shall
result in disqualification of the Bid, in which event the
Purchaser shall proceed to the Bidder who offers a substantially
responsive Bid with the next lowest evaluated cost to make a
similar determination of that Bidder’s qualifications to perform
satisfactorily.

38. Purchaser’s Right to 38.1 The Purchaser reserves the right to accept or reject any Bid, and
Accept Any Bid, and to annul the Bidding process and reject all Bids at any time
to Reject Any or All prior to Contract Award, without thereby incurring any liability
Bids to Bidders. In case of annulment, all Bids submitted and
specifically, bid securities, shall be promptly returned to the
Bidders.

39. Standstill Period 39.1 The Contract shall not be awarded earlier than the expiry of the
Standstill Period. The Standstill Period shall be ten (10) Business
Section I – Instructions to Bidders (ITB) 29

Days unless extended in accordance with ITB 44. The Standstill

Period commences the day after the date the Purchaser has
transmitted to each Bidder the Notification of Intention to Award
the Contract. Where only one Bid is submitted, or if this contract
is in response to an emergency situation recognized by the Bank,
the Standstill Period shall not apply.

40. Notification of 40.1 The Purchaser shall send to each Bidder the Notification of
Intention to Award Intention to Award the Contract to the successful Bidder. The
Notification of Intention to Award shall contain, at a minimum,
the following information:
(a) the name and address of the Bidder submitting the
successful Bid;
(b) the Contract price of the successful Bid;
(c) the names of all Bidders who submitted Bids, and their
Bid prices as readout, and as evaluated;
(d) a statement of the reason(s) the Bid (of the unsuccessful
Bidder to whom the notification is addressed) was
unsuccessful, unless the price information in c) above
already reveals the reason;
(e) the expiry date of the Standstill Period;
(f) instructions on how to request a debriefing and/or submit
a complaint during the standstill period.

F. Award of Contract
41. Award Criteria 41.1 Subject to ITB 38, the Purchaser shall award the Contract to the
Bidder offering the Most Advantageous Bid. The Most
Advantageous Bid is the Bid of the Bidder that meets the
qualification criteria and whose Bid has been determined to be:
(a) substantially responsive to the bidding document; and
(b) the lowest evaluated cost.

42. Purchaser’s Right to 42.1 At the time the Contract is awarded, the Purchaser reserves the
Vary Quantities at right to increase or decrease the quantity of Goods and Related
Time of Award Services originally specified in Section VII, Schedule of
Requirements, provided this does not exceed the percentages
specified in the BDS, and without any change in the unit prices
or other terms and conditions of the Bid and the bidding
document.

43. Notification of 43.1 Prior to the date of expiry of the Bid validity and upon expiry
Award of the Standstill Period, specified in ITB 39.1 or any extension
Section I – Instructions to Bidders (ITB) 30

thereof, and upon satisfactorily addressing any complaint that

has been filed within the Standstill Period, the Purchaser shall
notify the successful Bidder, in writing, that its Bid has been
accepted. The notification of award (hereinafter and in the
Contract Forms called the “Letter of Acceptance”) shall
specify the sum that the Purchaser will pay the Supplier in
consideration of the execution of the Contract (hereinafter and
in the Conditions of Contract and Contract Forms called “the
Contract Price”).
43.2 Within ten (10) Business Days after the date of transmission of
the Letter of Acceptance, the Purchaser shall publish the
Contract Award Notice which shall contain, at a minimum, the
following information:
(a) name and address of the Purchaser;
(b) name and reference number of the contract being
awarded, and the selection method used;
(c) names of all Bidders that submitted Bids, and their Bid
prices as read out at Bid opening, and as evaluated;
(d) names of all Bidders whose Bids were rejected either as
nonresponsive or as not meeting qualification criteria, or
were not evaluated, with the reasons therefor;
(e) the name of the successful Bidder, the final total contract
price, the contract duration and a summary of its scope;
and
(f) successful Bidder’s Beneficial Ownership Disclosure
Form, if specified in BDS ITB 45.1.
43.3 The Contract Award Notice shall be published on the Purchaser’s
website with free access if available, or in at least one
newspaper of national circulation in the Purchaser’s Country, or
in the official gazette. The Purchaser shall also publish the
contract award notice in UNDB online.
43.4 Until a formal Contract is prepared and executed, the Letter of
Acceptance shall constitute a binding Contract.

44. Debriefing by the 44.1 On receipt of the Purchaser’s Notification of Intention to Award
Purchaser referred to in ITB 40.1, an unsuccessful Bidder has three (3)
Business Days to make a written request to the Purchaser for a
debriefing. The Purchaser shall provide a debriefing to all
unsuccessful Bidders whose request is received within this
deadline.
44.2 Where a request for debriefing is received within the deadline,
the Purchaser shall provide a debriefing within five (5)
Section I – Instructions to Bidders (ITB) 31

Business Days, unless the Purchaser decides, for justifiable

reasons, to provide the debriefing outside this timeframe. In
that case, the standstill period shall automatically be extended
until five (5) Business Days after such debriefing is provided.
If more than one debriefing is so delayed, the standstill period
shall not end earlier than five (5) Business Days after the last
debriefing takes place. The Purchaser shall promptly inform, by
the quickest means available, all Bidders of the extended
standstill period
44.3 Where a request for debriefing is received by the Purchaser
later than the three (3)-Business Day deadline, the Purchaser
should provide the debriefing as soon as practicable, and
normally no later than fifteen (15) Business Days from the date
of publication of Public Notice of Award of contract. Requests
for debriefing received outside the three (3)-day deadline shall
not lead to extension of the standstill period.
44.4 Debriefings of unsuccessful Bidders may be done in writing or
verbally. The Bidders shall bear their own costs of attending
such a debriefing meeting.

45. Signing of Contract 44.5 The Purchaser shall send to the successful Bidder the Letter of
Acceptance including the Contract Agreement, and, if specified
in the BDS, a request to submit the Beneficial Ownership
Disclosure Form providing additional information on its
beneficial ownership. The Beneficial Ownership Disclosure
Form, if so requested, shall be submitted within eight (8)
Business Days of receiving this request.
44.6 The successful Bidder shall sign, date and return to the
Purchaser, the Contract Agreement within Twenty-eight (28)
days of its receipt.
44.7 Notwithstanding ITB 45.2 above, in case signing of the
Contract Agreement is prevented by any export restrictions
attributable to the Purchaser, to the country of the Purchaser, or
to the use of the products/goods, systems or services to be
supplied, where such export restrictions arise from trade
regulations from a country supplying those products/goods,
systems or services, the Bidder shall not be bound by its Bid,
always provided however, that the Bidder can demonstrate to
the satisfaction of the Purchaser and of the Bank that signing of
the Contact Agreement has not been prevented by any lack of
diligence on the part of the Bidder in completing any
formalities, including applying for permits, authorizations and
licenses necessary for the export of the products/goods, systems
or services under the terms of the Contract.
Section I – Instructions to Bidders (ITB) 32

46. Performance 44.8 Within twenty-eight (28) days of the receipt of Letter of
Security Acceptance from the Purchaser, the successful Bidder, if
required, shall furnish the Performance Security in accordance
with the GCC 18, using for that purpose the Performance
Security Form included in Section X, Contract Forms, or
another Form acceptable to the Purchaser. If the Performance
Security furnished by the successful Bidder is in the form of a
bond, it shall be issued by a bonding or insurance company that
has been determined by the successful Bidder to be acceptable
to the Purchaser. A foreign institution providing a bond shall
have a correspondent financial institution located in the
Purchaser’s Country, unless the Purchaser has agreed in writing
that a correspondent financial institution is not required.
44.9 Failure of the successful Bidder to submit the above-mentioned
Performance Security or sign the Contract shall constitute
sufficient grounds for the annulment of the award and forfeiture
of the Bid Security. In that event the Purchaser may award the
Contract to the Bidder offering the next Most Advantageous
Bid.

47. Procurement 44.10 The procedures for making a Procurement-related Complaint

Related Complaint are as specified in the BDS.
Section II – Bid Data Sheet (BDS) 33

Section II - Bid Data Sheet (BDS)

The following specific data for the goods to be procured shall complement, supplement, or
amend the provisions in the Instructions to Bidders (ITB). Whenever there is a conflict, the
provisions herein shall prevail over those in ITB.

ITB A. General
Reference

ITB 1.1 The reference number of the Request for Bids (RFB) is:
MCDSS/SCT/004/24
The Purchaser is: Ministry of Community Development and Social
Services (MCDSS)
The name of the RFB is: Supply and Delivery of One Hundred Thousand
(100,000) Small Phones for the Social Cash Transfer (SCT)

ITB 1.2(a) Electronic –Procurement System

The Purchaser shall use the following electronic-procurement system to
manage this Bidding process through e – GP Platform

ITB 2.1 The Borrower is: The Government of the Republic of Zambia and the
Purchaser is the Ministry of Community Development and Social Services
(MCDSS), a Government Ministry.
Loan or Financing Agreement amount: USD115 Million
____________________________
The name of the Project is: GEWEL SCT Project

ITB 4.1 Maximum number of members in the Joint Venture (JV) shall be: N/A

ITB 4.5 A list of debarred firms and individuals is available on the Bank’s external
website: http://www.worldbank.org/debarr.

B. Contents of Bidding Document

ITB 7.1 For Clarification of Bid purposes will be done through e –GP System
Electronic mail address: mutumba@mcdss.gov.zm
Requests for clarification should be received by the Purchaser no later
than: 14 days after advertising of the tender.
Web page:
Section II – Bid Data Sheet (BDS) 34

C. Preparation of Bids
ITB 10.1 The language of the Bid is: “English”
All correspondence exchange shall be in English language.
Language for translation of supporting documents and printed literature is
N/A

ITB 11.1 (j) The Bidder shall submit the following additional documents in its Bid:
1.Attach Valid Certificate of Registration (Pacra);
2.Attach Valid Tax Clearance Certificate from ZRA;
3.Attach VAT registration certificate;
4.Attach Litigation status from the bidder’s advocate;
5.Attach ZICTA Certificate
6. Attach Manufacturers Authorization
7. Attach Social Security Compliance
8.Attach Power of Attorney
9.Attach Financial Capability
10.Attach Currency of Bid
11.Attach Authority to Seek Bank Reference
12. Attach Product type test/Conformity
13. Attach Phone must be customized with SCT Messages

ITB 13.1 Alternative Bids “shall not be” considered.

[If alternatives shall be considered, the methodology shall be defined in
Section III – Evaluation and Qualification Criteria. See Section III for
further details]

ITB 14.5 The prices quoted by the Bidder “shall not” be subject to adjustment
during the performance of the Contract.

ITB 14.6 Prices quoted for this contract shall correspond at least to 100 percent of
the items specified for each lot (contract).
Prices quoted for each item of a lot shall correspond at least to 100 percent of
the quantities specified for this item of a lot.

ITB 14.7 The Incoterms edition is: 2020

ITB 14.8 (b) Place of destination: MCDSS Stores – Lusaka

(i)

ITB 14.8 (a) Final Destination (Project Site): MCDSS Stores – Lusaka
(iii), (b)(ii)
Section II – Bid Data Sheet (BDS) 35

and (c)(v)

ITB 15.1 The Bidder “is” required to quote in the currency of the Purchaser’s
Country the portion of the Bid price that corresponds to expenditures
incurred in that currency.

ITB 16.4 Period of time the Goods are expected to be functioning (for the purpose of
spare parts): One Year

ITB 17.2 (a) Manufacturer’s authorization is: “required”.

ITB 17.2 (b) After sales service is: “required”

ITB 18.1 The Bid shall be valid for 120 Days

ITB 18.3 (a) The Bid price shall be adjusted by the following factor(s): Prices shall be
fixed for the duration of the contract with 16% VAT inclusive.
Bidders to state this in their bid. If not stated the bid will be declared
non-responsive

ITB 19.1 A Bid-Securing Declaration “shall be” required.

ITB 19.3 (d) Other types of acceptable securities: None

ITB 19.9 If the Bidder performs any of the actions prescribed in ITB 19.9 (a) or (b),
the Borrower will declare the Bidder ineligible to be awarded a contract by
the Purchaser for a period of ______ [insert period of time] years. – N/A

ITB 20.1 In addition to the original of the Bid, the number of copies is: N/A

ITB 20.3 The written confirmation of authorization to sign on behalf of the Bidder
shall consist of: Power of Attorney of the signatory to the bid by the
bidder’s management or board. A written submission by signatory
themselves will not be acceptable.

D. Submission and Opening of Bids

ITB 22.1 For Bid submission purposes is through e - GP
The deadline for Bid submission is:
Date:, 8th July, 2024
Time: 10:30 am Local Time
Section II – Bid Data Sheet (BDS) 36

Bidders “shall submit their Bids through e – GP Platform

ITB 25.1 The Bid opening shall be done through e – GP Platform

Date: Monday, 8th July, 2024
Time: 10:30 am Local Time
The electronic Bid opening procedures shall be applied.

ITB 25.6 The Letter of Bid and Price Schedules shall be initialed by one
representative of the Purchaser conducting Bid opening.
N/A

E. Evaluation and Comparison of Bids

ITB 32.1 The currency that shall be used for Bid evaluation and comparison
purposes to convert at the selling exchange rate all Bid prices expressed in
various currencies into a single currency is: Zambian Kwacha
The source of exchange rate shall be: The Bank of Zambia
The date for the exchange rate shall be: Monday, 8th July, 2024

ITB 33.1 A margin of domestic preference “shall not” apply.

If a margin of preference applies, the application methodology shall be
defined in Section III – Evaluation and Qualification Criteria.

ITB 34.2(a) Evaluation will be done for

Note:
Bid will be evaluated for each item and the Contract will comprise the
item(s) awarded to the successful Bidder.

ITB 34.6 The adjustments shall be determined using the following criteria, from
amongst those set out in Section III, Evaluation and Qualification Criteria:
[refer to Section III, Evaluation and Qualification Criteria; insert
complementary details if necessary]
(a) Deviation in Delivery schedule: No.
(b) Deviation in payment schedule: No.
(c) the cost of major replacement component, mandatory spare parts,
and service: No.
(d) the availability in the Purchaser’s Country of spare parts and after-
sales services for the equipment offered in the Bid No.
Section II – Bid Data Sheet (BDS) 37

(e) Life cycle costs: the costs during the life of the goods or
equipment No.
(f) the performance and productivity of the equipment offered;
No

F. Award of Contract
ITB 42 The maximum percentage by which quantities may be increased is: 25%
The maximum percentage by which quantities may be decreased is: 25%

ITB 45. 1 The successful Bidder shall submit the Beneficial Ownership Disclosure
Form.

ITB 47.1 The procedures for making a Procurement-related Complaint are detailed
in the “Procurement Regulations for IPF Borrowers (Annex III).” If a
Bidder wishes to make a Procurement-related Complaint, the Bidder
should submit its complaint following these procedures, in writing through
e- GP system or
Email address: Mutumba@mcdss.gov.zm
In summary, a Procurement-related Complaint may challenge any of the
following:
1. the terms of the Bidding Documents; and
2. the Purchaser’s decision to award the contract.
Section III – Evaluation and Qualification Criteria 39

Section III - Evaluation and Qualification

Criteria
This Section contains the criteria that the Purchaser shall use to evaluate a Bid and qualify
the Bidders. No other factors, methods or criteria shall be used other than specified in this
bidding document.

]
Contents

1. Margin of Preference (ITB 33) 40

2. Evaluation (ITB 34) 41

3. Qualification (ITB 37) 44

Section III – Evaluation and Qualification Criteria 40

1. Margin of Preference (ITB 33)

If the Bidding Data Sheet so specifies, the Purchaser will grant a margin of preference to
goods manufactured in the Purchaser’s Country for the purpose of Bid comparison, in
accordance with the procedures outlined in subsequent paragraphs.
Substantially responsive Bids will be classified in one of three groups, as follows:
(a) Group A: Bids offering goods manufactured in the Purchaser’s Country, for which
(i) labor, raw materials, and components from within the Purchaser’s Country
account for more than thirty (30) percent of the EXW price; and (ii) the production
facility in which they will be manufactured or assembled has been engaged in
manufacturing or assembling such goods at least since the date of Bid submission;
(b) Group B: All other Bids offering Goods manufactured in the Purchaser’s
Country;
(c) Group C: Bids offering Goods manufactured outside the Purchaser’s Country
that have been already imported or that will be imported.
To facilitate this classification by the Purchaser, the Bidder shall complete whichever version
of the Price Schedule furnished in the bidding document is appropriate provided, however,
that the completion of an incorrect version of the Price Schedule by the Bidder shall not
result in rejection of its Bid, but merely in the Purchaser’s reclassification of the Bid into its
appropriate Bid group.
The Purchaser will first review the Bids to confirm the appropriateness of, and to modify as
necessary, the Bid group classification to which Bidders assigned their Bids in preparing their
Bid Forms and Price Schedules.
The Bids in each group will then be compared to determine the Bid with the lowest evaluated
cost in that group. The lowest evaluated cost Bid from each group shall then be compared
with each other and if as a result of this comparison a Bid from Group A or Group B is the
lowest, it shall be selected for the award.
If as a result of the preceding comparison, a Bid from Group C is the lowest evaluated cost, all
Bids from Group C shall be further compared with the Bid with the lowest evaluated cost from
Group A after adding to the evaluated costs of goods offered in each Bid from Group C, for the
purpose of this further comparison only, an amount equal to 15% (fifteen percent) of the
respective CIP Bid price for goods to be imported and already imported goods. Both prices shall
include unconditional discounts and be corrected for arithmetical errors. If the Bid from Group A
is the lowest, it shall be selected for award. If not, the lowest evaluated cost from Group C shall
be selected.
Section III – Evaluation and Qualification Criteria 41

Most Advantageous Bid

The Purchaser shall use the criteria and methodologies listed in Section 2 and 3 below to
determine the Most Advantageous Bid. The Most Advantageous Bid is the Bid of the Bidder
that meets the qualification criteria and whose Bid has been determined to be:
(a) substantially responsive to the bidding document; and
(b) the lowest evaluated cost.

2. Evaluation (ITB 34)

2.1. Evaluation Criteria (ITB 34.6)

The Purchaser’s evaluation of a Bid may take into account, in addition to the Bid Price quoted
in accordance with ITB 14.8, one or more of the following factors as specified in ITB 34.2(f)
and in BDS referring to ITB 34.6, using the following criteria and methodologies. N/A
(a) Delivery schedule. (As per Incoterms specified in the BDS)
The Goods specified in the List of Goods are required to be delivered within the
acceptable time range (after the earliest and before the final date, both dates
inclusive) specified in Section VII, Schedule of Requirements. No credit will be
given to deliveries before the earliest date, and Bids offering delivery after the
final date shall be treated as nonresponsive. Within this acceptable period, an
adjustment of [insert the adjustment factor], will be added, for evaluation
purposes only, to the Bid price of Bids offering deliveries later than the “Earliest
Delivery Date” specified in Section VII, Schedule of Requirements.
(b) Deviation in payment schedule. [insert one of the following]
(i) Bidders shall state their Bid price for the payment schedule outlined in the
SCC. Bids shall be evaluated on the basis of this base price. Bidders are,
however, permitted to state an alternative payment schedule and indicate the
reduction in Bid price they wish to offer for such alternative payment
schedule. The Purchaser may consider the alternative payment schedule and
the reduced Bid price offered by the Bidder selected on the basis of the base
price for the payment schedule outlined in the SCC.

or
(i) The SCC stipulates the payment schedule specified by the Purchaser. If a Bid
deviates from the schedule and if such deviation is considered acceptable to
the Purchaser, the Bid will be evaluated by calculating interest earned for
any earlier payments involved in the terms outlined in the Bid as compared
with those stipulated in the SCC, at the rate per annum [insert adjustment
rate].
Section III – Evaluation and Qualification Criteria 42

(c) Cost of major replacement components, mandatory spare parts, and service. [insert
one of the following]
(i) The list of items and quantities of major assemblies, components, and
selected spare parts, likely to be required during the initial period of
operation specified in the BDS 16.4, is in the List of Goods. An adjustment
equal to the total cost of these items, at the unit prices quoted in each Bid,
shall be added to the Bid price, for evaluation purposes only.
or
(i) The Purchaser will draw up a list of high-usage and high-value items of
components and spare parts, along with estimated quantities of usage in the
initial period of operation specified in the BDS 16.4. The total cost of these
items and quantities will be computed from spare parts unit prices submitted
by the Bidder and added to the Bid price, for evaluation purposes only.
(d) Availability in the Purchaser’s Country of spare parts and after sales services for
equipment offered in the Bid.
An adjustment equal to the cost to the Purchaser of establishing the minimum
service facilities and parts inventories if quoted separately, shall be added to the
Bid price, for evaluation purposes only.
(e) Life Cycle Costs
If specified in BDS 34.6, an adjustment to take into account the additional life
cycle costs for the period specified below, such as the operating and maintenance
costs of the Goods, will be added to the Bid price, for evaluation purposes only.
The adjustment will be evaluated in accordance with the methodology specified
below and the following information:
[Note to Purchaser: Life cycle costing should be used when the costs of operation
and/or maintenance over the specified life of the goods are estimated to be
considerable in comparison with the initial cost and may vary among different
Bids. Life cycle costs shall be evaluated on a net present value basis. If life cycle
costs apply, then specify the factors required to determine them for evaluation
purposes.
[Either amend the following text as required, or delete if life cycle cost is not
applicable]
(i) number of years for life cycle cost determination [insert the number of
years];
(ii) the discount rate to be applied to determine the net present value of future
operation and maintenance costs (recurrent costs) is [insert the discount
rate];
Section III – Evaluation and Qualification Criteria 43

(iii) the annual operating and maintenance costs (recurrent costs) shall be
determined on the basis of the following methodology: [insert
methodology];
(iv) and the following information is required from bidders [insert any
information required from bidders, including prices].
(f) Performance and productivity of the equipment: [insert one of the following]
(i) Performance and productivity of the equipment. An adjustment representing
the capitalized cost of additional operating costs over the life of the goods
will be added to the Bid price, for evaluation purposes if specified in the
BDS 34.6. The adjustment will be evaluated based on the drop in the
guaranteed performance or efficiency offered in the Bid below the norm of
100, using the methodology specified below.
[insert the methodology and criteria if applicable]
or
(i) An adjustment to take into account the productivity of the goods offered
in the Bid will be added to the Bid price, for evaluation purposes only, if
specified in BDS 34.6. The adjustment will be evaluated based on the cost
per unit of the actual productivity of goods offered in the Bid with respect to
minimum required values, using the methodology specified below.
[insert the methodology and criteria if applicable]
(g) Specific additional criteria
[Other specific additional criteria to be considered in the evaluation, and the evaluation
method shall be detailed in BDS 34.6][If specific sustainable procurement technical
requirements have been specified in Section VII- Specification, either state that (i) those
requirements will be evaluated on a pass/fail (compliance basis) or otherwise (ii) in addition
to evaluating those requirements on a pass/fail (compliance basis), if applicable, specify the
monetary adjustments to be applied to Bid Prices for comparison purposes on account of
Bids that exceed the specified minimum sustainable procurement technical requirements.]
2.2. Multiple Contracts (ITB 34.4)
If in accordance with ITB 1.1, Bids are invited for individual lots or for any combination of
lots, the contract will be awarded to the Bidder or Bidders offering a substantially responsive
Bid(s) and the lowest evaluated cost to the Purchaser for combined lots, after considering all
possible combination of lots, subject to the selected Bidder(s) meeting the required
qualification criteria (this Section III, Sub-Section ITB 37 Qualification Requirements) for a
lot or combination of lots as the case may be.
In determining Bidder or Bidders that offer the total lowest evaluated cost to the Purchaser for
combined lots, the Purchaser shall apply the following steps in sequence:
Section III – Evaluation and Qualification Criteria 44

(a) evaluate individual lots to determine the substantially responsive Bids and
corresponding evaluated costs;
(b) for each lot, rank the substantially responsive Bids starting from the lowest
evaluated cost for the lot;
(c) apply to the evaluated costs listed in b) above, any applicable discounts/price
reductions offered by a Bidder (s) for the award of multiple contracts based on the
discounts and the methodology for their application offered by the respective
Bidder; and
(d) determine contract award on the basis of the combination of lots that offer the
total lowest evaluated cost to the Purchaser.
2.3. Alternative Bids (ITB 13.1)
N/A
“A Bidder may submit an alternative Bid only with a Bid for the base case. The Purchaser
shall only consider the alternative Bids offered by the Bidder whose Bid for the base case
was determined to be the Most Advantageous Bid.”
or
“A Bidder may submit an alternative Bid with or without a Bid for the base case. The Purchaser
shall consider Bids offered for alternatives as specified in the Technical Specifications of Section
VII, Schedule of Requirements. All Bids received, for the base case, as well as alternative Bids
meeting the specified requirements, shall be evaluated on their own merits in accordance with the
same procedures, as specified in the ITB 34.”

3. Qualification (ITB 37)

3.1 Qualification Criteria (ITB 37.1)

After determining the substantially responsive Bid which offers the lowest-evaluated cost in
accordance with ITB 34, and, if applicable, the assessment of any Abnormally Low Bid (in
accordance with ITB 36) the Purchaser shall carry out the post-qualification of the Bidder in
accordance with ITB 37, using only the requirements specified. Requirements not included in
the text below shall not be used in the evaluation of the Bidder’s qualifications.
(a) If the Bidder is a manufacturer:
(i) Financial Capability
The Bidder shall furnish documentary evidence that it meets the following
financial requirement(s):
Proof of having available financial resources of through lines of credit from
reputable financial Institutions equivalent to the monetary value of the
goods quoted for;
Section III – Evaluation and Qualification Criteria 45

(ii) Experience and Technical Capacity

The Bidder shall furnish documentary evidence to demonstrate that it meets
the following experience requirement(s):
- Bidders to demonstrate availability of after sales support including
availability of spare parts and at least two (2) experienced technicians
- Bidders to check the sample from the Ministry.

NOTE – Due diligence might be undertaken if deemed necessary to

ascertain the information. It is therefore important for bidders to be
accurate as submission of incorrect information might result in
penalties and disqualification.

(iii) Documentary Evidence

The Bidder shall furnish documentary evidence to demonstrate that the
Goods it offers meet the following usage requirement:
1. Durability;
2. Good quality
(b) If Bidder is not a manufacturer:
If a Bidder is not a manufacturer, but is offering the Goods on behalf of the
Manufacturer under Manufacturer's Authorization Form (Section IV, Bidding
Forms), the Manufacturer shall demonstrate the above qualifications (i), (ii), (iii)
and the Bidder shall demonstrate that it has successfully completed at least 6
months contract for the phones in the past 1 year.
Section IV – Bidding Forms 47

Section IV - Bidding Forms

Table of Forms

Letter of Bid 48

Bidder Information Form 51

Bidder’s JV Members Information Form 53

Price Schedule: Goods Manufactured Outside the Purchaser’s Country, to be Imported 55

Price Schedule: Goods Manufactured Outside the Purchaser’s Country, already imported 56

Price Schedule: Goods Manufactured in the Purchaser’s Country 57

Price and Completion Schedule - Related Services 58

Form of Bid Security 59

Form of Bid Security (Bid Bond) 61

Form of Bid-Securing Declaration 63

Manufacturer’s Authorization65
Section IV – Bidding Forms 48

Letter of Bid

INSTRUCTIONS TO BIDDERS: DELETE THIS BOX ONCE YOU HAVE COMPLETED

THE DOCUMENT

The Bidder must prepare this Letter of Bid on stationery with its letterhead clearly
showing the Bidder’s complete name and business address.

Note: All italicized text is to help Bidders in preparing this form.

Date of this Bid submission: [insert date (as day, month and year) of Bid submission]
RFB No.: [insert number of RFB process]
Request for Bid No.: [insert identification]
Alternative No.: [insert identification No if this is a Bid for an alternative]

To: [insert complete name of Purchaser]

(a) No reservations: We have examined and have no reservations to the bidding document,
including Addenda issued in accordance with Instructions to Bidders (ITB 8);
(b) Eligibility: We meet the eligibility requirements and have no conflict of interest in
accordance with ITB 4;
(c) Bid/Proposal-Securing Declaration: We have not been suspended nor declared
ineligible by the Purchaser based on execution of a Bid-Securing Declaration or
Proposal-Securing Declaration in the Purchaser’s Country in accordance with ITB 4.7;
(d) Conformity: We offer to supply in conformity with the bidding document and in
accordance with the Delivery Schedules specified in the Schedule of Requirements the
following Goods: [insert a brief description of the Goods and Related Services];
(e) Bid Price: The total price of our Bid, excluding any discounts offered in item (f) below
is:
Option 1, in case of one lot: Total price is: [insert the total price of the Bid in
words and figures, indicating the various amounts and the respective currencies];

Or

Option 2, in case of multiple lots: (a) Total price of each lot [insert the total price
of each lot in words and figures, indicating the various amounts and the
respective currencies]; and (b) Total price of all lots (sum of all lots) [insert the
total price of all lots in words and figures, indicating the various amounts and the
respective currencies];
Section IV – Bidding Forms 49

(f) Discounts: The discounts offered and the methodology for their application are:
(i) The discounts offered are: [Specify in detail each discount offered.]
(ii) The exact method of calculations to determine the net price after application of
discounts is shown below: [Specify in detail the method that shall be used to apply
the discounts];
(g) Bid Validity: Our Bid shall be valid until [insert day, month and year in accordance
with ITP 18.1], and it shall remain binding upon us and may be accepted at any time
before the expiration of that period;
(h) Performance Security: If our Bid is accepted, we commit to obtain a performance
security in accordance with the bidding document;
(i) One Bid per Bidder: We are not submitting any other Bid(s) as an individual Bidder,
and we are not participating in any other Bid(s) as a Joint Venture member, or as a
subcontractor, and meet the requirements of ITB 4.3, other than alternative Bids
submitted in accordance with ITB 13;
(j) Suspension and Debarment: We, along with any of our subcontractors, suppliers,
consultants, manufacturers, or service providers for any part of the contract, are not
subject to, and not controlled by any entity or individual that is subject to, a temporary
suspension or a debarment imposed by the World Bank Group or a debarment imposed
by the World Bank Group in accordance with the Agreement for Mutual Enforcement of
Debarment Decisions between the World Bank and other development banks. Further,
we are not ineligible under the Purchaser’s Country laws or official regulations or
pursuant to a decision of the United Nations Security Council;
(k) State-owned enterprise or institution: [select the appropriate option and delete the
other] [We are not a state-owned enterprise or institution] / [We are a state-owned
enterprise or institution but meet the requirements of ITB 4.6];
(l) Commissions, gratuities, fees: We have paid, or will pay the following commissions,
gratuities, or fees with respect to the Bidding process or execution of the Contract:
[insert complete name of each Recipient, its full address, the reason for which each
commission or gratuity was paid and the amount and currency of each such commission
or gratuity]

Name of Recipient Address Reason Amount

(If none has been paid or is to be paid, indicate “none.”)

(m) Binding Contract: We understand that this Bid, together with your written acceptance
thereof included in your Letter of Acceptance, shall constitute a binding contract
between us, until a formal contract is prepared and executed;
Section IV – Bidding Forms 50

(n) Purchaser Not Bound to Accept: We understand that you are not bound to accept the
lowest evaluated cost Bid, the Most Advantageous Bid or any other Bid that you may
receive; and
(o) Fraud and Corruption: We hereby certify that we have taken steps to ensure that no
person acting for us or on our behalf engages in any type of Fraud and Corruption.

Name of the Bidder: *[insert complete name of the Bidder]

Name of the person duly authorized to sign the Bid on behalf of the Bidder: **[insert
complete name of person duly authorized to sign the Bid]

Title of the person signing the Bid: [insert complete title of the person signing the Bid]

Signature of the person named above: [insert signature of person whose name and
capacity are shown above]

Date signed [insert date of signing] day of [insert month], [insert year]

*: In the case of the Bid submitted by a Joint Venture specify the name of the Joint Venture as Bidder.

**: Person signing the Bid shall have the power of attorney given by the Bidder. The power of attorney shall be attached
with the Bid Schedules.
Section IV – Bidding Forms 51

Bidder Information Form

[The Bidder shall fill in this Form in accordance with the instructions indicated below. No
alterations to its format shall be permitted and no substitutions shall be accepted.]

Date: [insert date (as day, month and year) of Bid submission]
RFB No.: [insert number of RFB process]
Alternative No.: [insert identification No if this is a Bid for an alternative]

Page ________ of_ ______ pages

1. Bidder’s Name [insert Bidder’s legal name]

2. In case of JV, legal name of each member: [insert legal name of each member in JV]

3. Bidder’s actual or intended country of registration: [insert actual or intended country of

registration]

4. Bidder’s year of registration: [insert Bidder’s year of registration]

5. Bidder’s Address in country of registration: [insert Bidder’s legal address in country of

registration]

6. Bidder’s Authorized Representative Information

Name: [insert Authorized Representative’s name]
Address: [insert Authorized Representative’s Address]
Telephone/Fax numbers: [insert Authorized Representative’s telephone/fax numbers]
Email Address: [insert Authorized Representative’s email address]

7. Attached are copies of original documents of [check the box(es) of the attached
original documents]
 Articles of Incorporation (or equivalent documents of constitution or association), and/or
documents of registration of the legal entity named above, in accordance with ITB 4.4.
 In case of JV, letter of intent to form JV or JV agreement, in accordance with ITB 4.1.
 In case of state-owned enterprise or institution, in accordance with ITB 4.6 documents
establishing:
 Legal and financial autonomy
 Operation under commercial law
 Establishing that the Bidder is not under the supervision of the Purchaser
Section IV – Bidding Forms 52

8. Included are the organizational chart, a list of Board of Directors, and the beneficial
ownership. [If required under BDS ITB 45.1, the successful Bidder shall provide additional
information on beneficial ownership, using the Beneficial Ownership Disclosure Form.]
Section IV – Bidding Forms 53

Bidder’s JV Members Information Form

[The Bidder shall fill in this Form in accordance with the instructions indicated below. The
following table shall be filled in for the Bidder and for each member of a Joint Venture].
Date: [insert date (as day, month and year) of Bid submission]
RFB No.: [insert number of Bidding process]
Alternative No.: [insert identification No if this is a Bid for an alternative]

Page ________ of_ ______ pages

1. Bidder’s Name: [insert Bidder’s legal name]

2. Bidder’s JV Member’s name: [insert JV’s Member legal name]

3. Bidder’s JV Member’s country of registration: [insert JV’s Member country of

registration]

4. Bidder’s JV Member’s year of registration: [insert JV’s Member year of registration]

5. Bidder’s JV Member’s legal address in country of registration: [insert JV’s Member

legal address in country of registration]

6. Bidder’s JV Member’s authorized representative information

Name: [insert name of JV’s Member authorized representative]
Address: [insert address of JV’s Member authorized representative]
Telephone/Fax numbers: [insert telephone/fax numbers of JV’s Member authorized
representative]
Email Address: [insert email address of JV’s Member authorized representative]

7. Attached are copies of original documents of [check the box(es) of the attached original
documents]
 Articles of Incorporation (or equivalent documents of constitution or association), and/or
registration documents of the legal entity named above, in accordance with ITB 4.4.
 In case of a state-owned enterprise or institution, documents establishing legal and financial
autonomy, operation in accordance with commercial law, and that they are not under the
supervision of the Purchaser, in accordance with ITB 4.6.
8. Included are the organizational chart, a list of Board of Directors, and the beneficial ownership.
[If required under BDS ITB 45.1, the successful Bidder shall provide additional information on
beneficial ownership for each JV member using the Beneficial Ownership Disclosure Form.]
Section IV – Bidding Forms 54

Price Schedule Forms

[The Bidder shall fill in these Price Schedule Forms in accordance with the instructions
indicated. The list of line items in column 1 of the Price Schedules shall coincide with the
List of Goods and Related Services specified by the Purchaser in the Schedule of
Requirements.]

S/N Description Quantity

1. Phones 100,000
 Section IV – Bidding Forms 55

Price Schedule: Goods Manufactured Outside the Purchaser’s Country, to be Imported

Date: _________________________
(Group C Bids, goods to be imported) RFB No: _____________________

Alternative No: ________________

Currencies in accordance with ITB 15
Page N ______ of ______
1 2 3 4 5 6 7 8 9
Line Description of Goods Country of Delivery Quantity and Unit price CIP Price per line Price per line item for Total Price per Line item
Item Origin Date as physical unit CIP [insert place of item inland transportation and (Col. 7+8)
N defined by destination] (Col. 5x6) other services required in
Incoterms in accordance with ITB the Purchaser’s Country to
14.8(b)(i) convey the Goods to their
final destination specified
in BDS

1. Phones [insert [insert 100,000 [insert unit price CIP [insert total CIP [insert the corresponding [insert total price of the line item]
country of quoted per unit] price per line item] price per line item]
origin of the Delivery
Good] Date]

Total Price

Name of Bidder [insert complete name of Bidder] Signature of Bidder [signature of person signing the Bid] Date [Insert Date]
 Section IV – Bidding Forms 56

Price Schedule: Goods Manufactured Outside the Purchaser’s Country, already imported*
Date: _________________________
(Group C Bids, Goods already imported) RFB No: _____________________
Alternative No: ________________
Page N ______ of ______
Currencies in accordance with ITB 15
1 2 3 4 5 6 7 8 9 10 11 12
Line Item Description of Goods Country of Delivery Quantity Unit price Custom Duties Unit Price net Price per line Price per line item Sales and other Total Price per line
N Origin Date as and including and Import Taxes of custom item net of for inland taxes paid or item
defined by physical Custom Duties paid per unit in duties and Custom Duties transportation and payable per item (Col. 9+10)
Incoterms unit and Import accordance with import taxes, in and Import other services if Contract is
Taxes paid, in ITB 14.8(c)(ii) , accordance Taxes paid, in required in the awarded (in
accordance [to be supported with ITB 14.8 accordance with Purchaser’s accordance with
with ITB by documents] (c) (iii) ITB 14.8(c)(i) Country to convey ITB 14.8(c)(iv)
14.8(c)(i) (Col. 6 minus (Col. 58) the goods to their
Col.7) final destination, as
specified in BDS in
accordance with
ITB 14.8 (c)(v)
1. Phones [insert [insert 100,000 [insert unit [insert custom [insert unit [ insert price per [insert price per [insert sales and [insert total price per
country of quoted price per unit] duties and taxes price net of line item net of line item for inland other taxes line item]
origin of Delivery paid per unit] custom duties custom duties transportation and payable per item
the Good] Date] and import and import other services if Contract is
taxes] taxes] required in the awarded]
Purchaser’s
Country]

Total Bid Price

Name of Bidder [insert complete name of Bidder] Signature of Bidder [signature of person signing the Bid] Date [insert date]
 Section IV – Bidding Forms 57

Price Schedule: Goods Manufactured in the Purchaser’s Country

Date: _________________________
Purchaser’s Country (Group A and B Bids) RFB No: _____________________
Alternative No: ________________
______________________ Page N ______ of ______
Currencies in accordance with ITB 15
1 2 3 4 5 6 7 8 9 10
Line Description of Goods Delivery Date Quantity Unit price Total EXW Price per line item for Cost of local labor, Sales and other taxes payable Total Price per
Item as defined by and EXW price per line inland transportation and raw materials and per line item if Contract is line item
N Incoterms physical item other services required in components from awarded (in accordance with (Col. 6+7)
unit (Col. 45) the Purchaser’s Country to with origin in the ITB 14.8(a)(ii)
convey the Goods to their Purchaser’s Country
final destination % of Col. 5

1 Phones [insert quoted 100,000 [insert EXW [insert total [insert the corresponding [Insert cost of local [insert sales and other taxes [insert total
Delivery unit price] EXW price per price per line item] labor, raw material payable per line item if price per item]
Date] line item] and components Contract is awarded]
from within the
Purchase’s country
as a % of the EXW
price per line item]

Total Price

Name of Bidder [insert complete name of Bidder] Signature of Bidder [signature of person signing the Bid] Date [insert date]
 Section IV – Bidding Forms 58

Price and Completion Schedule - Related Services

Date: _________________________
Currencies in accordance with ITB 15 RFB No: _____________________
Alternative No: ________________
Page N ______ of ______
1 2 3 4 5 6 7
Service Description of Services (excludes inland transportation Country of Delivery Date at place Quantity and physical unit Unit price Total Price per Service
N and other services required in the Purchaser’s Country Origin of Final destination (Col. 5*6 or estimate)
to convey the goods to their final destination)
[insert [insert name of Services] [insert country [insert delivery date at [insert number of units to be supplied and [insert unit price per [insert total price per
number of of origin of the place of final name of the physical unit] item] item]
the Services] destination per Service]
Service ]

Total Bid Price

Name of Bidder [insert complete name of Bidder] Signature of Bidder [signature of person signing the Bid] Date [insert date]
Section IV – Bidding Forms 59

Form of Bid Security

(Bank Guarantee)

[The bank shall fill in this Bank Guarantee Form in accordance with the instructions
indicated.]

[Guarantor letterhead or SWIFT identifier code]

Beneficiary: [Purchaser to insert its name and address]

RFB No.: [Purchaser to insert reference number for the Request for Bids]

Alternative No.: [Insert identification No if this is a Bid for an alternative]

Date: [Insert date of issue]

BID GUARANTEE No.: [Insert guarantee reference number]

Guarantor: [Insert name and address of place of issue, unless indicated in the letterhead]

We have been informed that ______ [insert name of the Bidder, which in the case of a joint
venture shall be the name of the joint venture (whether legally constituted or prospective) or
the names of all members thereof] (hereinafter called "the Applicant") has submitted or will
submit to the Beneficiary its Bid (hereinafter called "the Bid") for the execution of
________________ under Request for Bids No. __________ _ (“the RFB”).

Furthermore, we understand that, according to the Beneficiary’s conditions, Bids must be

supported by a Bid guarantee.

At the request of the Applicant, we, as Guarantor, hereby irrevocably undertake to pay the
Beneficiary any sum or sums not exceeding in total an amount of ___________
(____________) upon receipt by us of the Beneficiary’s complying demand, supported by
the Beneficiary’s statement, whether in the demand itself or a separate signed document
accompanying or identifying the demand, stating that either the Applicant:

(a) has withdrawn its Bid prior to the Bid validity expiry date set forth in the Applicant’s
Letter of Bid, or any extended date provided by the Applicant; or

(b) having been notified of the acceptance of its Bid by the Beneficiary prior to the expiry
date of the Bid validity or any extension thereof provided by the Applicant has failed
to: (i) sign the contract agreement, or (ii) furnish the performance security, in
accordance with the Instructions to Bidders (“ITB”) of the Beneficiary’s bidding
document.
Section IV – Bidding Forms 60

This guarantee will expire: (a) if the Applicant is the successful Bidder, upon our receipt of
copies of the Contract agreement signed by the Applicant and the performance security
issued to the Beneficiary in relation to such Contract agreement; or (b) if the Applicant is not
the successful Bidder, upon the earlier of (i) our receipt of a copy of the Beneficiary’s
notification to the Applicant of the results of the Bidding process; or (ii) twenty-eight days
after the expiry date of the Bid validity.
Consequently, any demand for payment under this guarantee must be received by us at the
office indicated above on or before that date.
This guarantee is subject to the Uniform Rules for Demand Guarantees (URDG) 2010
Revision, ICC Publication No. 758.

_____________________________
[Signature(s)]

Note: All italicized text is for use in preparing this form and shall be deleted from the final
product.
Section IV – Bidding Forms 61

Form of Bid Security (Bid Bond)

[The Surety shall fill in this Bid Bond Form in accordance with the instructions indicated.]

BOND NO. ______________________

BY THIS BOND [name of Bidder] as Principal (hereinafter called “the Principal”), and
[name, legal title, and address of surety], authorized to transact business in [name of
country of Purchaser], as Surety (hereinafter called “the Surety”), are held and firmly bound
unto [name of Purchaser] as Obligee (hereinafter called “the Purchaser”) in the sum of
[amount of Bond]2 [amount in words], for the payment of which sum, well and truly to be
made, we, the said Principal and Surety, bind ourselves, our successors and assigns, jointly
and severally, firmly by these presents.
WHEREAS the Principal has submitted or will submit a written Bid to the Purchaser dated
the ___ day of ______, 20__, for the supply of [name of Contract] (hereinafter called the
“Bid”).
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION is such that if the
Principal:
(a) withdraws its Bid prior to the Bid validity expiry date set forth in the Principal’s
Letter of Bid, or any extended date provided by the Principal; or
(b) having been notified of the acceptance of its Bid by the Purchaser prior to the expiry
date of the Bid validity or any extension thereto provided by the Applicant has failed
to: (i) execute the Contract agreement; or (ii) furnish the Performance Security, in
accordance with the Instructions to Bidders (“ITB”) of the Purchaser’s bidding
document.
then the Surety undertakes to immediately pay to the Purchaser up to the above amount upon
receipt of the Purchaser’s first written demand, without the Purchaser having to substantiate
its demand, provided that in its demand the Purchaser shall state that the demand arises from
the occurrence of any of the above events, specifying which event(s) has occurred.
The Surety hereby agrees that its obligation will remain in full force and effect up to and
including the date 28 days after the date of expiry of the Bid validity set forth in the
Principal’s Letter of Bid or any extension thereto provided by the Principal.
IN TESTIMONY WHEREOF, the Principal and the Surety have caused these presents to be
executed in their respective names this ____ day of ____________ 20__.
Principal: _______________________ Surety: _____________________________
Corporate Seal (where appropriate)

2
The amount of the Bond shall be denominated in the currency of the Purchaser’s Country or the
equivalent amount in a freely convertible currency.
Section IV – Bidding Forms 62

_______________________________ ____________________________________
(Signature) (Signature)
(Printed name and title) (Printed name and title)
Section IV – Bidding Forms 63

Form of Bid-Securing Declaration

[The Bidder shall fill in this Form in accordance with the instructions indicated.]

Date: [date (as day, month and year)]

Bid No.: [number of RFB process]
Alternative No.: [insert identification No if this is a Bid for an alternative]

To: [complete name of Purchaser]

We, the undersigned, declare that:
We understand that, according to your conditions, Bids must be supported by a Bid-Securing
Declaration.
We accept that we will automatically be suspended from being eligible for bidding or
submitting proposals in any contract with the Purchaser for the period of time of [number of
months or years] starting on [date], if we are in breach of our obligation(s) under the Bid
conditions, because we:
(a) have withdrawn our Bid prior to the expiry date of the Bid validity specified in the
Letter of Bid or any extended date provided by us; or
(b) having been notified of the acceptance of our Bid by the Purchaser prior to the expiry
date of the Bid validity in the Letter of Bid or any extended date provided by us, (i)
fail or refuse to sign the Contract; or (ii) fail or refuse to furnish the Performance
Security, if required, in accordance with the ITB.
We understand this Bid Securing Declaration shall expire if we are not the successful Bidder,
upon the earlier of (i) our receipt of your notification to us of the name of the successful
Bidder; or (ii) twenty-eight days after the expiry date of the Bid validity.
Name of the Bidder*
Name of the person duly authorized to sign the Bid on behalf of the Bidder** _______
Title of the person signing the Bid ______________________
Signature of the person named above ______________________

Date signed ________________________________ day of ___________________, _____

*: In the case of the Bid submitted by joint venture specify the name of the Joint Venture as Bidder

**: Person signing the Bid shall have the power of attorney given by the Bidder attached to the Bid
Section IV – Bidding Forms 64

[Note: In case of a Joint Venture, the Bid-Securing Declaration must be in the name of all members to the Joint
Venture that submits the Bid.]
Section IV – Bidding Forms 65

Manufacturer’s Authorization

[The Bidder shall require the Manufacturer to fill in this Form in accordance with the
instructions indicated. This letter of authorization should be on the letterhead of the
Manufacturer and should be signed by a person with the proper authority to sign documents
that are binding on the Manufacturer. The Bidder shall include it in its Bid, if so indicated in
the BDS.]

Date: [insert date (as day, month and year) of Bid submission]
RFB No.: [insert number of RFB process]
Alternative No.: [insert identification No if this is a Bid for an alternative]

To: [insert complete name of Purchaser]

WHEREAS

We [insert complete name of Manufacturer], who are official manufacturers of [insert type
of goods manufactured], having factories at [insert full address of Manufacturer’s factories],
do hereby authorize [insert complete name of Bidder] to submit a Bid the purpose of which is
to provide the following Goods, manufactured by us [insert name and or brief description of
the Goods], and to subsequently negotiate and sign the Contract.

We hereby extend our full guarantee and warranty in accordance with Clause 28 of the
General Conditions of Contract, with respect to the Goods offered by the above firm.

We confirm that we do not engage or employ forced labor or persons subject to trafficking or
child labor, in accordance with Clause 14 of the General Conditions of Contract.

Signed: [insert signature(s) of authorized representative(s) of the Manufacturer]

Name: [insert complete name(s) of authorized representative(s) of the Manufacturer]

Title: [insert title]

Dated on ____________ day of __________________, _______ [insert date of signing]

Section V – Eligible Countries 67

Section V - Eligible Countries

Eligibility for the Provision of Goods, Works and Non-Consulting Services in
Bank-Financed Procurement

In reference to ITB 4.8 and ITB 5.1, for the information of the Bidders, at the present time
firms, goods and services from the following countries are excluded from this Bidding
process:

Under ITB 4.8(a) and ITB 5.1: [insert a list of the countries following approval by the Bank to
apply the restriction or state “none”].

Under ITB 4.8(b) and ITB 5.1: [insert a list of the countries following approval by the Bank to
apply the restriction or state “none”]
Section VI – Fraud and Corruption 69

Section VI - Fraud and Corruption

(Section VI shall not be modified)

1. Purpose
1.1 The Bank’s Anti-Corruption Guidelines and this annex apply with respect to procurement
under Bank Investment Project Financing operations.
2. Requirements
2.1 The Bank requires that Borrowers (including beneficiaries of Bank financing); bidders
(applicants/proposers), consultants, contractors and suppliers; any sub-contractors, sub-
consultants, service providers or suppliers; any agents (whether declared or not); and any
of their personnel, observe the highest standard of ethics during the procurement process,
selection and contract execution of Bank-financed contracts, and refrain from Fraud and
Corruption.

2.2 To this end, the Bank:

a. Defines, for the purposes of this provision, the terms set forth below as
follows:
i. “corrupt practice” is the offering, giving, receiving, or soliciting, directly
or indirectly, of anything of value to influence improperly the actions of
another party;
ii. “fraudulent practice” is any act or omission, including
misrepresentation, that knowingly or recklessly misleads, or attempts to
mislead, a party to obtain financial or other benefit or to avoid an
obligation;
iii. “collusive practice” is an arrangement between two or more parties
designed to achieve an improper purpose, including to influence
improperly the actions of another party;
iv. “coercive practice” is impairing or harming, or threatening to impair or
harm, directly or indirectly, any party or the property of the party to
influence improperly the actions of a party;
v. “obstructive practice” is:
(a) deliberately destroying, falsifying, altering, or concealing of
evidence material to the investigation or making false
statements to investigators in order to materially impede a
Bank investigation into allegations of a corrupt, fraudulent,
coercive, or collusive practice; and/or threatening, harassing, or
intimidating any party to prevent it from disclosing its
knowledge of matters relevant to the investigation or from
pursuing the investigation; or
Section VI – Fraud and Corruption 70

(b) acts intended to materially impede the exercise of the Bank’s

inspection and audit rights provided for under paragraph 2.2 e.
below.
b. Rejects a proposal for award if the Bank determines that the firm or individual
recommended for award, any of its personnel, or its agents, or its sub-
consultants, sub-contractors, service providers, suppliers and/ or their
employees, has, directly or indirectly, engaged in corrupt, fraudulent,
collusive, coercive, or obstructive practices in competing for the contract in
question;
c. In addition to the legal remedies set out in the relevant Legal Agreement, may
take other appropriate actions, including declaring misprocurement, if the
Bank determines at any time that representatives of the Borrower or of a
recipient of any part of the proceeds of the loan engaged in corrupt,
fraudulent, collusive, coercive, or obstructive practices during the
procurement process, selection and/or execution of the contract in question,
without the Borrower having taken timely and appropriate action satisfactory
to the Bank to address such practices when they occur, including by failing to
inform the Bank in a timely manner at the time they knew of the practices;
d. Pursuant to the Bank’s Anti- Corruption Guidelines, and in accordance with
the Bank’s prevailing sanctions policies and procedures, may sanction a firm
or individual, either indefinitely or for a stated period of time, including by
publicly declaring such firm or individual ineligible (i) to be awarded or
otherwise benefit from a Bank-financed contract, financially or in any other
manner;3 (ii) to be a nominated4 sub-contractor, consultant, manufacturer or
supplier, or service provider of an otherwise eligible firm being awarded a
Bank-financed contract; and (iii) to receive the proceeds of any loan made by
the Bank or otherwise to participate further in the preparation or
implementation of any Bank-financed project;
e. Requires that a clause be included in bidding/request for proposals documents
and in contracts financed by a Bank loan, requiring (i) bidders
(applicants/proposers), consultants, contractors, and suppliers, and their sub-
contractors, sub-consultants, service providers, suppliers, agents personnel,
permit the Bank to inspect5 all accounts, records and other documents relating
3
For the avoidance of doubt, a sanctioned party’s ineligibility to be awarded a contract shall include, without
limitation, (i) applying for pre-qualification, expressing interest in a consultancy, and bidding, either directly or as a
nominated sub-contractor, nominated consultant, nominated manufacturer or supplier, or nominated service provider, in
respect of such contract, and (ii) entering into an addendum or amendment introducing a material modification to any
existing contract.
4
A nominated sub-contractor, nominated consultant, nominated manufacturer or supplier, or nominated service
provider (different names are used depending on the particular bidding document) is one which has been: (i) included
by the bidder in its pre-qualification application or bid because it brings specific and critical experience and know-how
that allow the bidder to meet the qualification requirements for the particular bid; or (ii) appointed by the Borrower.
5
Inspections in this context usually are investigative (i.e., forensic) in nature. They involve fact-finding activities
undertaken by the Bank or persons appointed by the Bank to address specific matters related to investigations/audits,
such as evaluating the veracity of an allegation of possible Fraud and Corruption, through the appropriate mechanisms.
Such activity includes but is not limited to: accessing and examining a firm's or individual's financial records and
information, and making copies thereof as relevant; accessing and examining any other documents, data and
Section VI – Fraud and Corruption 71

to the procurement process, selection and/or contract execution, and to have

them audited by auditors appointed by the Bank.

information (whether in hard copy or electronic format) deemed relevant for the investigation/audit, and making copies
thereof as relevant; interviewing staff and other relevant individuals; performing physical inspections and site visits;
and obtaining third party verification of information.
Section VI – Fraud and Corruption 73

PART 2 – Supply Requirements

Section VII – Schedule of Requirements 75

Section VII - Schedule of Requirements

Contents

1. List of Goods and Delivery Schedule 77

2. List of Related Services and Completion Schedule 78

3. Technical Specifications 79

4. Drawings 79

5. Inspections and Tests 81

Section VII – Schedule of Requirements 76

Notes for Preparing the Schedule of

Requirements

The Schedule of Requirements shall be included in the bidding document by the Purchaser,
and shall cover, at a minimum, a description of the goods and services to be supplied and the
delivery schedule.

The objective of the Schedule of Requirements is to provide sufficient information to enable

Bidders to prepare their Bids efficiently and accurately, in particular, the Price Schedule, for
which a form is provided in Section IV. In addition, the Schedule of Requirements, together
with the Price Schedule, should serve as a basis in the event of quantity variation at the time
of award of contract pursuant to ITB 42.1.

The date or period for delivery should be carefully specified, taking into account (a) the
implications of delivery terms stipulated in the Instructions to Bidders pursuant to the
Incoterms rules (i.e., EXW, or CIP, FOB, FCA terms—that “delivery” takes place when
goods are delivered to the carriers), and (b) the date prescribed herein from which the
Bidder’s delivery obligations start (i.e., notice of award, contract signature, opening or
confirmation of the letter of credit).
Section VII – Schedule of Requirements 77

1. List of Goods and Delivery Schedule

Line Description of Goods Quantity Physica Final Delivery (as per Incoterms) Date
Item l unit Destination
(Project Site) Earliest Latest Delivery Bidder’s offered
N Delivery Date Date Delivery date [to be
as specified
in BDS provided by the
Bidder]

1. Phones 100,000 Each MCDSS 8 Weeks 12 Weeks [insert the number of

Stores - days following the
Lusaka date of effectiveness
of the Contract]
Section VII – Schedule of Requirements 78

2. List of Related Services and Completion Schedule

[This table shall be filled in by the Purchaser. The Required Completion Dates should be realistic, and consistent with the required
Goods Delivery Dates (as per Incoterms)]

Place where Services Final

shall be performed Completion
Service Description of Service Quantity1 Physical Unit
Date(s) of
Services
[insert [insert description of Related Services] [insert quantity of [insert physical [insert name of the [insert
Service items to be unit for the items] Place] required
No] supplied] Completion
Date(s)]

1. If applicable
Section VII – Schedule of Requirements 79

3. Technical Specifications

The purpose of the Technical Specifications (TS), is to define the technical characteristics of
the Goods and Related Services required by the Purchaser.
Detailed Technical Specifications and Standards
The Goods and Related Services shall comply with following Technical Specifications and
Standards:

TECHNICAL SPECIFICATIONS FOR THE PHONE

TECHNICAL REQUIREMENT (SPECIFICATIONS)

Display: 1.7 to 2.4 inch Colour screen

Sim Cards : Dual Normal

Back Camera : 1.3mp(Flash)

Internal Storage : 128MB

SD SLOT :Capable of seeing the Minimum of 8 GB

Social Network Services(SNS) : Facebook , Twitter, Opera Mini
Extra Features : LED Torch , Wireless Radio (FM)

Battery : 600mAh
BANDS: GSM 900 / 1800 / 850 / 1900, 900 / 2100 WCDMA
900 / 2100 or 850 / 1900
SUPPORTS: BT, FM, MP3, WCMA,3G
LANGUAGE: English
AC/ DC Charger
Unlocked Sim provision (Not locked to any Network)
warranty: One Year
The phones should be new, unused, and of the most recent or
current models, and that they incorporate all recent improvements
in design and materials, unless provided for otherwise in the
contract.
Phone must be customized with SCT Messages
Previous type tests report/certificate to be provided with the bid
Certificate of type of approval from ZICTA for the brand of phone
to be supplied should be provided with the bid
Section VII – Schedule of Requirements 80

4. Drawings
This bidding document includes [insert “the following” or “no”] drawings.
[If documents shall be included, insert the following List of Drawings]

List of Drawings

Drawing Nr. Drawing Name Purpose

Section VII – Schedule of Requirements 81

5. Inspections and Tests

The following inspections and tests shall be performed:

1. Physical inspection of the phones to ascertain whether they meet the requirements.
Part 3 - Contract 83

PART 3 - Contract
Section VIII – General Conditions of Contract 84

Section VIII - General Conditions of Contract

Table of Clauses

1. Definitions 86

2. Contract Documents 87

3. Fraud and Corruption 87

4. Interpretation 87

5. Language 88

6. Joint Venture, Consortium or Association 89

7. Eligibility 89

8. Notices 89

9. Governing Law 89

10. Settlement of Disputes 89

11. Inspections and Audit by the Bank 90

12. Scope of Supply 90

13. Delivery and Documents 91

14. Supplier’s Responsibilities 91

15. Contract Price 92

16. Terms of Payment 92

17. Taxes and Duties 92

18. Performance Security 93

19. Copyright 93

20. Confidential Information 93

21. Subcontracting 94
Section VIII – General Conditions of Contract 85

22. Specifications and Standards 94

23. Packing and Documents 95

24. Insurance 95

25. Transportation and Incidental Services 95

26. Inspections and Tests 96

27. Liquidated Damages 97

28. Warranty 98

29. Patent Indemnity 98

30. Limitation of Liability 99

31. Change in Laws and Regulations 100

32. Force Majeure 100

33. Change Orders and Contract Amendments 100

34. Extensions of Time 102

35. Termination 102

36. Assignment 104

37. Export Restriction 104

Section VIII – General Conditions of Contract 86

Section VIII - General Conditions of Contract

1. Definitions 1.1 The following words and expressions shall have the meanings
hereby assigned to them:
(a) “Bank” means the World Bank and refers to the
International Bank for Reconstruction and Development
(IBRD) or the International Development Association
(IDA).
(b) “Contract” means the Contract Agreement entered into
between the Purchaser and the Supplier, together with the
Contract Documents referred to therein, including all
attachments, appendices, and all documents incorporated
by reference therein.
(c) “Contract Documents” means the documents listed in the
Contract Agreement, including any amendments thereto.
(d) “Contract Price” means the price payable to the Supplier
as specified in the Contract Agreement, subject to such
additions and adjustments thereto or deductions
therefrom, as may be made pursuant to the Contract.
(e) “Day” means calendar day.
(f) “Completion” means the fulfillment of the Related
Services by the Supplier in accordance with the terms and
conditions set forth in the Contract.
(g) “GCC” means the General Conditions of Contract.
(h) “Goods” means all of the commodities, raw material,
machinery and equipment, and/or other materials that the
Supplier is required to supply to the Purchaser under the
Contract.
(i) “Purchaser’s Country” is the country specified in the
Special Conditions of Contract (SCC).
(j) “Purchaser” means the entity purchasing the Goods and
Related Services, as specified in the SCC.
(k) “Related Services” means the services incidental to the
supply of the goods, such as insurance, installation,
training and initial maintenance and other such
obligations of the Supplier under the Contract.
(l) “SCC” means the Special Conditions of Contract.
(m) “Subcontractor” means any person, private or
government entity, or a combination of the above, to
Section VIII – General Conditions of Contract 87

whom any part of the Goods to be supplied or execution

of any part of the Related Services is subcontracted by
the Supplier.
(n) “Supplier” means the person, private or government entity,
or a combination of the above, whose Bid to perform the
Contract has been accepted by the Purchaser and is named
as such in the Contract Agreement.
(o) “The Project Site,” where applicable, means the place
named in the SCC.

2. Contract 2.1 Subject to the order of precedence set forth in the Contract
Documents Agreement, all documents forming the Contract (and all parts
thereof) are intended to be correlative, complementary, and
mutually explanatory. The Contract Agreement shall be read as a
whole.

3. Fraud and 3.1 The Bank requires compliance with the Bank’s Anti-Corruption
Corruption Guidelines and its prevailing sanctions policies and procedures
as set forth in the WBG’s Sanctions Framework, as set forth in
Appendix to the GCC.
3.2 The Purchaser requires the Supplier to disclose any commissions
or fees that may have been paid or are to be paid to agents or any
other party with respect to the Bidding process or execution of
the Contract. The information disclosed must include at least the
name and address of the agent or other party, the amount and
currency, and the purpose of the commission, gratuity or fee.

4. Interpretation 4.1 If the context so requires it, singular means plural and vice versa.
4.2 Incoterms
(a) Unless inconsistent with any provision of the Contract,
the meaning of any trade term and the rights and
obligations of parties thereunder shall be as prescribed by
Incoterms specified in the SCC.
(b) The terms EXW, CIP, FCA, CFR and other similar terms,
when used, shall be governed by the rules prescribed in
the current edition of Incoterms specified in the SCC and
published by the International Chamber of Commerce in
Paris, France.
4.3 Entire Agreement
The Contract constitutes the entire agreement between the
Purchaser and the Supplier and supersedes all communications,
negotiations and agreements (whether written or oral) of the
parties with respect thereto made prior to the date of Contract.
Section VIII – General Conditions of Contract 88

4.4 Amendment
No amendment or other variation of the Contract shall be valid
unless it is in writing, is dated, expressly refers to the Contract,
and is signed by a duly authorized representative of each party
thereto.
4.5 Nonwaiver
(a) Subject to GCC Sub-Clause 4.5(b) below, no relaxation,
forbearance, delay, or indulgence by either party in
enforcing any of the terms and conditions of the Contract
or the granting of time by either party to the other shall
prejudice, affect, or restrict the rights of that party under
the Contract, neither shall any waiver by either party of
any breach of Contract operate as waiver of any
subsequent or continuing breach of Contract.
(b) Any waiver of a party’s rights, powers, or remedies under
the Contract must be in writing, dated, and signed by an
authorized representative of the party granting such
waiver, and must specify the right and the extent to which
it is being waived.
4.6 Severability
If any provision or condition of the Contract is prohibited or
rendered invalid or unenforceable, such prohibition, invalidity
or unenforceability shall not affect the validity or enforceability
of any other provisions and conditions of the Contract.

5. Language 5.1 The Contract as well as all correspondence and documents

relating to the Contract exchanged by the Supplier and the
Purchaser, shall be written in the language specified in the
SCC. Supporting documents and printed literature that are part
of the Contract may be in another language provided they are
accompanied by an accurate translation of the relevant
passages in the language specified, in which case, for purposes
of interpretation of the Contract, this translation shall govern.
5.2 The Supplier shall bear all costs of translation to the governing
language and all risks of the accuracy of such translation, for
documents provided by the Supplier.
Section VIII – General Conditions of Contract 89

6. Joint Venture, 6.1 If the Supplier is a joint venture, consortium, or association, all of
Consortium or the parties shall be jointly and severally liable to the Purchaser for
Association the fulfillment of the provisions of the Contract and shall
designate one party to act as a leader with authority to bind the
joint venture, consortium, or association. The composition or the
constitution of the joint venture, consortium, or association shall
not be altered without the prior consent of the Purchaser.

7. Eligibility 7.1 The Supplier and its Subcontractors shall have the nationality of
an eligible country. A Supplier or Subcontractor shall be
deemed to have the nationality of a country if it is a citizen or
constituted, incorporated, or registered, and operates in
conformity with the provisions of the laws of that country.
7.2 All Goods and Related Services to be supplied under the
Contract and financed by the Bank shall have their origin in
Eligible Countries. For the purpose of this Clause, origin means
the country where the goods have been grown, mined,
cultivated, produced, manufactured, or processed; or through
manufacture, processing, or assembly, another commercially
recognized article results that differs substantially in its basic
characteristics from its components.

8. Notices 8.1 Any notice given by one party to the other pursuant to the
Contract shall be in writing to the address specified in the
SCC. The term “in writing” means communicated in written
form with proof of receipt.
8.2 A notice shall be effective when delivered or on the notice’s
effective date, whichever is later.

9. Governing 9.1 The Contract shall be governed by and interpreted in

Law accordance with the laws of the Purchaser’s Country, unless
otherwise specified in the SCC.
9.2 Throughout the execution of the Contract, the Supplier shall
comply with the import of goods and services prohibitions in the
Purchaser’s Country when
(a) as a matter of law or official regulations, the Borrower’s
country prohibits commercial relations with that country; or
9.2 (b) by an act of compliance with a decision of the United Nations
Security Council taken under Chapter VII of the Charter of the
United Nations, the Borrower’s Country prohibits any import of
goods from that country or any payments to any country, person,
or entity in that country.

10. Settlement of 10.1 The Purchaser and the Supplier shall make every effort to
Section VIII – General Conditions of Contract 90

Disputes resolve amicably by direct informal negotiation any

disagreement or dispute arising between them under or in
connection with the Contract.
10.2 If, after twenty-eight (28) days, the parties have failed to
resolve their dispute or difference by such mutual consultation,
then either the Purchaser or the Supplier may give notice to the
other party of its intention to commence arbitration, as
hereinafter provided, as to the matter in dispute, and no
arbitration in respect of this matter may be commenced unless
such notice is given. Any dispute or difference in respect of
which a notice of intention to commence arbitration has been
given in accordance with this Clause shall be finally settled by
arbitration. Arbitration may be commenced prior to or after
delivery of the Goods under the Contract. Arbitration
proceedings shall be conducted in accordance with the rules of
procedure specified in the SCC.
10.3 Notwithstanding any reference to arbitration herein,
(a) the parties shall continue to perform their respective
obligations under the Contract unless they otherwise agree;
and
(b) the Purchaser shall pay the Supplier any monies due the
Supplier.

11. Inspections 11.1 The Supplier shall keep, and shall make all reasonable efforts to
and Audit by cause its Subcontractors to keep, accurate and systematic accounts
the Bank and records in respect of the Goods in such form and details as will
clearly identify relevant time changes and costs.
11.2 Pursuant to paragraph 2.2 e. of Appendix B to the General
Conditions the Supplier shall permit and shall cause its agents
(where declared or not), subcontractors, subconsultants, service
providers, suppliers, and personnel, to permit, the Bank and/or
persons appointed by the Bank to inspect the site and/or the
accounts, records and other documents relating to the procurement
process, selection and/or contract execution, and to have such
accounts, records and other documents audited by auditors
appointed by the Bank. The Supplier’s and its Subcontractors’ and
subconsultants’ attention is drawn to Sub-Clause 3.1 (Fraud and
Corruption) which provides, inter alia, that acts intended to
materially impede the exercise of the Bank’s inspection and audit
rights constitute a prohibited practice subject to contract
termination (as well as to a determination of ineligibility pursuant
to the Bank’s prevailing sanctions procedures).

12. Scope of 12.1 The Goods and Related Services to be supplied shall be as
Section VIII – General Conditions of Contract 91

Supply specified in the Schedule of Requirements.

13. Delivery and 13.1 Subject to GCC Sub-Clause 33.1, the Delivery of the Goods and
Documents Completion of the Related Services shall be in accordance with the
Delivery and Completion Schedule specified in the Schedule of
Requirements. The details of shipping and other documents to be
furnished by the Supplier are specified in the SCC.

14. Supplier’s 14.1 The Supplier shall supply all the Goods and Related Services
Responsibilities included in the Scope of Supply in accordance with GCC Clause
12, and the Delivery and Completion Schedule, as per GCC
Clause 13.
14.2 The Supplier, including its Subcontractors, shall not employ or
engage forced labor or persons subject to trafficking, as described
in GCC Sub-Clauses 14.3 and 14.4.
14.3 Forced labor consists of any work or service, not voluntarily
performed, that is exacted from an individual under threat of force
or penalty, and includes any kind of involuntary or compulsory
labor, such as indentured labor, bonded labor or similar labor-
contracting arrangements.
14.4 Trafficking in persons is defined as the recruitment, transportation,
transfer, harbouring or receipt of persons by means of the threat or
use of force or other forms of coercion, abduction, fraud, deception,
abuse of power, or of a position of vulnerability, or of the giving or
receiving of payments or benefits to achieve the consent of a
person having control over another person, for the purposes of
exploitation.
14.5 The Supplier, including its Subcontractors, shall not employ or
engage a child under the age of 14 unless the national law specifies
a higher age (the minimum age).
14.6 The Supplier, including its Subcontractors, shall not employ or
engage a child between the minimum age and the age of 18 in a
manner that is likely to be hazardous, or to interfere with, the
child’s education, or to be harmful to the child’s health or physical,
mental, spiritual, moral, or social development.
14.7 Work considered hazardous for children is work that, by its nature
or the circumstances in which it is carried out, is likely to
jeopardize the health, safety, or morals of children. Such work
activities prohibited for children include work:
(a) with exposure to physical, psychological or sexual abuse;
(b) underground, underwater, working at heights or in
confined spaces;
Section VIII – General Conditions of Contract 92

(c) with dangerous machinery, equipment or tools, or

involving handling or transport of heavy loads;
(d) in unhealthy environments exposing children to
hazardous substances, agents, or processes, or to
temperatures, noise or vibration damaging to health; or
(e) under difficult conditions such as work for long hours,
during the night or in confinement on the premises of the
employer.
14.8 The Supplier shall comply, and shall require its Subcontractors if
any to comply, with all applicable health and safety regulations,
laws, guidelines, and any other requirement stated in the
Technical Specifications.
14.9 The Supplier shall comply with additional obligations as specified
in the SCC.

15. Contract Price 15.1 Prices charged by the Supplier for the Goods supplied and the
Related Services performed under the Contract shall not vary
from the prices quoted by the Supplier in its Bid, with the
exception of any price adjustments authorized in the SCC.

16. Terms of 16.1 The Contract Price, including any Advance Payments, if
Payment applicable, shall be paid as specified in the SCC.
16.2 The Supplier’s request for payment shall be made to the
Purchaser in writing, accompanied by invoices describing, as
appropriate, the Goods delivered and Related Services
performed, and by the documents submitted pursuant to GCC
Clause 13 and upon fulfillment of all other obligations stipulated
in the Contract.
16.3 Payments shall be made promptly by the Purchaser, but in no
case later than sixty (60) days after submission of an invoice or
request for payment by the Supplier, and after the Purchaser has
accepted it.
16.4 The currencies in which payments shall be made to the Supplier
under this Contract shall be those in which the Bid price is
expressed.
16.5 In the event that the Purchaser fails to pay the Supplier any
payment by its due date or within the period set forth in the
SCC, the Purchaser shall pay to the Supplier interest on the
amount of such delayed payment at the rate shown in the SCC,
for the period of delay until payment has been made in full,
whether before or after judgment or arbitrage award.

17. Taxes and 17.1 For goods manufactured outside the Purchaser’s Country, the
Section VIII – General Conditions of Contract 93

Duties Supplier shall be entirely responsible for all taxes, stamp duties,
license fees, and other such levies imposed outside the
Purchaser’s Country.
17.2 For goods Manufactured within the Purchaser’s Country, the
Supplier shall be entirely responsible for all taxes, duties, license
fees, etc., incurred until delivery of the contracted Goods to the
Purchaser.
17.3 If any tax exemptions, reductions, allowances or privileges may
be available to the Supplier in the Purchaser’s Country, the
Purchaser shall use its best efforts to enable the Supplier to benefit
from any such tax savings to the maximum allowable extent.

18. Performance 18.1 If required as specified in the SCC, the Supplier shall, within
Security twenty-eight (28) days of the notification of contract award,
provide a performance security for the performance of the
Contract in the amount specified in the SCC.
18.2 The proceeds of the Performance Security shall be payable to
the Purchaser as compensation for any loss resulting from the
Supplier’s failure to complete its obligations under the Contract.
18.3 As specified in the SCC, the Performance Security, if required,
shall be denominated in the currency(ies) of the Contract, or in a
freely convertible currency acceptable to the Purchaser; and
shall be in one of the format stipulated by the Purchaser in the
SCC, or in another format acceptable to the Purchaser.
18.4 The Performance Security shall be discharged by the Purchaser
and returned to the Supplier not later than twenty-eight (28) days
following the date of Completion of the Supplier’s performance
obligations under the Contract, including any warranty
obligations, unless specified otherwise in the SCC.

19. Copyright 19.1 The copyright in all drawings, documents, and other materials
containing data and information furnished to the Purchaser by
the Supplier herein shall remain vested in the Supplier, or, if
they are furnished to the Purchaser directly or through the
Supplier by any third party, including suppliers of materials, the
copyright in such materials shall remain vested in such third
party.

20. Confidential 20.1 The Purchaser and the Supplier shall keep confidential and shall
Information not, without the written consent of the other party hereto,
divulge to any third party any documents, data, or other
information furnished directly or indirectly by the other party
hereto in connection with the Contract, whether such
information has been furnished prior to, during or following
Section VIII – General Conditions of Contract 94

completion or termination of the Contract. Notwithstanding the

above, the Supplier may furnish to its Subcontractor such
documents, data, and other information it receives from the
Purchaser to the extent required for the Subcontractor to perform
its work under the Contract, in which event the Supplier shall
obtain from such Subcontractor an undertaking of confidentiality
similar to that imposed on the Supplier under GCC Clause 20.
20.2 The Purchaser shall not use such documents, data, and other
information received from the Supplier for any purposes
unrelated to the contract. Similarly, the Supplier shall not use
such documents, data, and other information received from the
Purchaser for any purpose other than the performance of the
Contract.
20.3 The obligation of a party under GCC Sub-Clauses 20.1 and 20.2
above, however, shall not apply to information that:
(a) the Purchaser or Supplier need to share with the Bank or
other institutions participating in the financing of the
Contract;
(b) now or hereafter enters the public domain through no
fault of that party;
(c) can be proven to have been possessed by that party at the
time of disclosure and which was not previously obtained,
directly or indirectly, from the other party; or
(d) otherwise lawfully becomes available to that party from a
third party that has no obligation of confidentiality.
20.4 The above provisions of GCC Clause 20 shall not in any way
modify any undertaking of confidentiality given by either of the
parties hereto prior to the date of the Contract in respect of the
Supply or any part thereof.
20.5 The provisions of GCC Clause 20 shall survive completion or
termination, for whatever reason, of the Contract.

21. Subcontracting 21.1 The Supplier shall notify the Purchaser in writing of all
subcontracts awarded under the Contract if not already specified
in the Bid. Such notification, in the original Bid or later shall not
relieve the Supplier from any of its obligations, duties,
responsibilities, or liability under the Contract.
21.2 Subcontracts shall comply with the provisions of GCC Clauses 3
and 7.

22. Specifications 22.1 Technical Specifications and Drawings

and Standards (a) The Goods and Related Services supplied under this
Section VIII – General Conditions of Contract 95

Contract shall conform to the technical specifications and

standards mentioned in Section VI, Schedule of
Requirements and, when no applicable standard is
mentioned, the standard shall be equivalent or superior to
the official standards whose application is appropriate to
the Goods’ country of origin.
(b) The Supplier shall be entitled to disclaim responsibility
for any design, data, drawing, specification or other
document, or any modification thereof provided or
designed by or on behalf of the Purchaser, by giving a
notice of such disclaimer to the Purchaser.
(c) Wherever references are made in the Contract to codes
and standards in accordance with which it shall be
executed, the edition or the revised version of such codes
and standards shall be those specified in the Schedule of
Requirements. During Contract execution, any changes in
any such codes and standards shall be applied only after
approval by the Purchaser and shall be treated in
accordance with GCC Clause 33.

23. Packing and 23.1 The Supplier shall provide such packing of the Goods as is
Documents required to prevent their damage or deterioration during transit
to their final destination, as indicated in the Contract. During
transit, the packing shall be sufficient to withstand, without
limitation, rough handling and exposure to extreme
temperatures, salt and precipitation, and open storage. Packing
case size and weights shall take into consideration, where
appropriate, the remoteness of the goods’ final destination and
the absence of heavy handling facilities at all points in transit.
23.2 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,
including additional requirements, if any, specified in the SCC,
and in any other instructions ordered by the Purchaser.

24. Insurance 24.1 Unless otherwise specified in the SCC, the Goods supplied
under the Contract shall be fully insured—in a freely convertible
currency from an eligible country—against loss or damage
incidental to manufacture or acquisition, transportation, storage,
and delivery, in accordance with the applicable Incoterms or in
the manner specified in the SCC.

25. Transportation 25.1 Unless otherwise specified in the SCC, responsibility for
and Incidental arranging transportation of the Goods shall be in accordance
Services with the specified Incoterms.
Section VIII – General Conditions of Contract 96

25.2 The Supplier may be required to provide any or all of the

following services, including additional services, if any,
specified in SCC:
(a) performance or supervision of on-site assembly and/or
start-up of the supplied Goods;
(b) furnishing of tools required for assembly and/or
maintenance of the supplied Goods;
(c) furnishing of a detailed operations and maintenance manual
for each appropriate unit of the supplied Goods;
(d) performance or supervision or maintenance and/or repair of
the supplied Goods, for a period of time agreed by the
parties, provided that this service shall not relieve the
Supplier of any warranty obligations under this Contract;
and
(e) training of the Purchaser’s personnel, at the Supplier’s
plant and/or on-site, in assembly, start-up, operation,
maintenance, and/or repair of the supplied Goods.
25.3 Prices charged by the Supplier for incidental services, if not
included in the Contract Price for the Goods, shall be agreed
upon in advance by the parties and shall not exceed the
prevailing rates charged to other parties by the Supplier for
similar services

26. Inspections 26.1 The Supplier shall at its own expense and at no cost to the
and Tests Purchaser carry out all such tests and/or inspections of the
Goods and Related Services as are specified in the SCC.
26.2 The inspections and tests may be conducted on the premises of
the Supplier or its Subcontractor, at point of delivery, and/or at
the Goods’ final destination, or in another place in the
Purchaser’s Country as specified in the SCC. Subject to GCC
Sub-Clause 26.3, if conducted on the premises of the Supplier or
its Subcontractor, all reasonable facilities and assistance,
including access to drawings and production data, shall be
furnished to the inspectors at no charge to the Purchaser.
26.3 The Purchaser or its designated representative shall be entitled to
attend the tests and/or inspections referred to in GCC Sub-
Clause 26.2, provided that the Purchaser bear all of its own costs
and expenses incurred in connection with such attendance
including, but not limited to, all traveling and board and lodging
expenses.
26.4 Whenever the Supplier is ready to carry out any such test and
inspection, it shall give a reasonable advance notice, including
Section VIII – General Conditions of Contract 97

the place and time, to the Purchaser. The Supplier shall obtain
from any relevant third party or manufacturer any necessary
permission or consent to enable the Purchaser or its designated
representative to attend the test and/or inspection.
26.5 The Purchaser may require the Supplier to carry out any test
and/or inspection not required by the Contract but deemed
necessary to verify that the characteristics and performance of
the Goods comply with the technical specifications codes and
standards under the Contract, provided that the Supplier’s
reasonable costs and expenses incurred in the carrying out of
such test and/or inspection shall be added to the Contract Price.
Further, if such test and/or inspection impedes the progress of
manufacturing and/or the Supplier’s performance of its other
obligations under the Contract, due allowance will be made in
respect of the Delivery Dates and Completion Dates and the
other obligations so affected.
26.6 The Supplier shall provide the Purchaser with a report of the
results of any such test and/or inspection.
26.7 The Purchaser may reject any Goods or any part thereof that fail
to pass any test and/or inspection or do not conform to the
specifications. The Supplier shall either rectify or replace such
rejected Goods or parts thereof or make alterations necessary to
meet the specifications at no cost to the Purchaser, and shall
repeat the test and/or inspection, at no cost to the Purchaser,
upon giving a notice pursuant to GCC Sub-Clause 26.4.
26.8 The Supplier agrees that neither the execution of a test and/or
inspection of the Goods or any part thereof, nor the attendance
by the Purchaser or its representative, nor the issue of any report
pursuant to GCC Sub-Clause 26.6, shall release the Supplier
from any warranties or other obligations under the Contract.

27. Liquidated 27.1 Except as provided under GCC Clause 32, if the Supplier fails to
Damages deliver any or all of the Goods by the Date(s) of delivery or
perform the Related Services within the period specified in the
Contract, the Purchaser may without prejudice to all its other
remedies under the Contract, deduct from the Contract Price, as
liquidated damages, a sum equivalent to the percentage specified
in the SCC of the delivered price of the delayed Goods or
unperformed Services for each week or part thereof of delay
until actual delivery or performance, up to a maximum
deduction of the percentage specified in those SCC. Once the
maximum is reached, the Purchaser may terminate the Contract
pursuant to GCC Clause 35.
Section VIII – General Conditions of Contract 98

28. Warranty 28.1 The Supplier warrants that all the Goods are new, unused, and of
the most recent or current models, and that they incorporate all
recent improvements in design and materials, unless provided
otherwise in the Contract.
28.2 Subject to GCC Sub-Clause 22.1(b), the Supplier further
warrants that the Goods shall be free from defects arising from
any act or omission of the Supplier or arising from design,
materials, and workmanship, under normal use in the conditions
prevailing in the country of final destination.
28.3 Unless otherwise specified in the SCC, the 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 SCC, or for
eighteen (18) months after the date of shipment from the port or
place of loading in the country of origin, whichever period
concludes earlier.
28.4 The Purchaser shall give notice to the Supplier stating the nature
of any such defects together with all available evidence thereof,
promptly following the discovery thereof. The Purchaser shall
afford all reasonable opportunity for the Supplier to inspect such
defects.
28.5 Upon receipt of such notice, the Supplier shall, within the period
specified in the SCC, expeditiously repair or replace the
defective Goods or parts thereof, at no cost to the Purchaser.
28.6 If having been notified, the Supplier fails to remedy the defect
within the period specified in the SCC, the Purchaser may
proceed to take within a reasonable period such remedial action
as may be necessary, at the Supplier’s risk and expense and
without prejudice to any other rights which the Purchaser may
have against the Supplier under the Contract.

29. Patent 29.1 The Supplier shall, subject to the Purchaser’s compliance with
Indemnity GCC Sub-Clause 29.2, indemnify and hold harmless the
Purchaser and its employees and officers from and against any
and all suits, actions or administrative proceedings, claims,
demands, losses, damages, costs, and expenses of any nature,
including attorney’s fees and expenses, which the Purchaser may
suffer as a result of any infringement or alleged infringement of
any patent, utility model, registered design, trademark,
copyright, or other intellectual property right registered or
otherwise existing at the date of the Contract by reason of:
(a) the installation of the Goods by the Supplier or the use of
the Goods in the country where the Site is located; and
Section VIII – General Conditions of Contract 99

(b) the sale in any country of the products produced by the

Goods.
Such indemnity shall not cover any use of the Goods or any
part thereof other than for the purpose indicated by or to be
reasonably inferred from the Contract, neither any infringement
resulting from the use of the Goods or any part thereof, or any
products produced thereby in association or combination with
any other equipment, plant, or materials not supplied by the
Supplier, pursuant to the Contract.
29.2 If any proceedings are brought or any claim is made against the
Purchaser arising out of the matters referred to in GCC Sub-
Clause 29.1, the Purchaser shall promptly give the Supplier a
notice thereof, and the Supplier may at its own expense and in
the Purchaser’s name conduct such proceedings or claim and
any negotiations for the settlement of any such proceedings or
claim.
29.3 If the Supplier fails to notify the Purchaser within twenty-eight
(28) days after receipt of such notice that it intends to conduct
any such proceedings or claim, then the Purchaser shall be free
to conduct the same on its own behalf.
29.4 The Purchaser shall, at the Supplier’s request, afford all
available assistance to the Supplier in conducting such
proceedings or claim, and shall be reimbursed by the Supplier
for all reasonable expenses incurred in so doing.
29.5 `The Purchaser shall indemnify and hold harmless the Supplier
and its employees, officers, and Subcontractors from and against
any and all suits, actions or administrative proceedings, claims,
demands, losses, damages, costs, and expenses of any nature,
including attorney’s fees and expenses, which the Supplier may
suffer as a result of any infringement or alleged infringement of
any patent, utility model, registered design, trademark,
copyright, or other intellectual property right registered or
otherwise existing at the date of the Contract arising out of or in
connection with any design, data, drawing, specification, or
other documents or materials provided or designed by or on
behalf of the Purchaser.

30. Limitation of 30.1 Except in cases of criminal negligence or willful misconduct,

Liability (a) the Supplier shall not be liable to the Purchaser, whether
in contract, tort, or otherwise, for any indirect or
consequential loss or damage, loss of use, loss of
production, or loss of profits or interest costs, provided
that this exclusion shall not apply to any obligation of the
Section VIII – General Conditions of Contract 100

Supplier to pay liquidated damages to the Purchaser and

(b) the aggregate liability of the Supplier to the Purchaser,
whether under the Contract, in tort or otherwise, shall not
exceed the total Contract Price, provided that this
limitation shall not apply to the cost of repairing or
replacing defective equipment, or to any obligation of the
supplier to indemnify the Purchaser with respect to patent
infringement

31. Change in 31.1 Unless otherwise specified in the Contract, if after the date of 28
Laws and days prior to date of Bid submission, any law, regulation,
Regulations ordinance, order or bylaw having the force of law is enacted,
promulgated, abrogated, or changed in the place of the
Purchaser’s Country where the Site is located (which shall be
deemed to include any change in interpretation or application by
the competent authorities) that subsequently affects the Delivery
Date and/or the Contract Price, then such Delivery Date and/or
Contract Price shall be correspondingly increased or decreased,
to the extent that the Supplier has thereby been affected in the
performance of any of its obligations under the Contract.
Notwithstanding the foregoing, such additional or reduced cost
shall not be separately paid or credited if the same has already
been accounted for in the price adjustment provisions where
applicable, in accordance with GCC Clause 15.

32. Force Majeure 32.1 The Supplier shall not be liable for forfeiture of its Performance
Security, liquidated damages, 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.
32.2 For purposes of this Clause, “Force Majeure” means an event or
situation beyond the control of the Supplier that is not
foreseeable, is unavoidable, and its origin is not due to
negligence or lack of care on the part of the Supplier. Such
events may include, but not be limited to, acts of the Purchaser
in its sovereign capacity, wars or revolutions, fires, floods,
epidemics, quarantine restrictions, and freight embargoes.
32.3 If a Force Majeure situation arises, the Supplier shall promptly
notify the Purchaser in writing of such condition and the cause
thereof. Unless otherwise directed by the Purchaser in writing,
the Supplier shall continue to perform its obligations under the
Contract as far as is reasonably practical, and shall seek all
reasonable alternative means for performance not prevented by
the Force Majeure event.
Section VIII – General Conditions of Contract 101

33. Change Orders 33.1 The Purchaser may at any time order the Supplier through notice
and Contract in accordance GCC Clause 8, to make changes within the
Amendments general scope of the Contract in any one or more of the
following:
(a) drawings, designs, or specifications, where Goods to be
furnished under the Contract are to be specifically
manufactured for the Purchaser;
(b) the method of shipment or packing;
(c) the place of delivery; and
(d) the Related Services to be provided by the Supplier.
33.2 If any such change causes an increase or decrease in the cost of,
or the time required for, the Supplier’s performance of any
provisions under the Contract, an equitable adjustment shall be
made in the Contract Price or in the Delivery/Completion
Schedule, or both, and the Contract shall accordingly be
amended. Any claims by the Supplier for adjustment under this
Clause must be asserted within twenty-eight (28) days from the
date of the Supplier’s receipt of the Purchaser’s change order.
33.3 Prices to be charged by the Supplier for any Related Services
that might be needed but which were not included in the
Contract shall be agreed upon in advance by the parties and shall
not exceed the prevailing rates charged to other parties by the
Supplier for similar services.
33.4 Value Engineering: The Supplier may prepare, at its own cost, a
value engineering proposal at any time during the performance of
the contract. The value engineering proposal shall, at a minimum,
include the following;
(a) the proposed change(s), and a description of the
difference to the existing contract requirements;
(b) a full cost/benefit analysis of the proposed change(s)
including a description and estimate of costs
(including life cycle costs) the Purchaser may incur in
implementing the value engineering proposal; and
(c) a description of any effect(s) of the change on
performance/functionality.
The Purchaser may accept the value engineering proposal if the
proposal demonstrates benefits that:
(a) accelerates the delivery period; or
(b) reduces the Contract Price or the life cycle costs to the
Purchaser; or
Section VIII – General Conditions of Contract 102

(c) improves the quality, efficiency or sustainability of

the Goods; or
(d) yields any other benefits to the Purchaser,
without compromising the necessary functions of the Facilities.
If the value engineering proposal is approved by the Purchaser
and results in:
(a) a reduction of the Contract Price; the amount to be
paid to the Supplier shall be the percentage specified
in the PCC of the reduction in the Contract Price; or
(b) an increase in the Contract Price; but results in a
reduction in life cycle costs due to any benefit
described in (a) to (d) above, the amount to be paid to
the Supplier shall be the full increase in the Contract
Price.
33.5 Subject to the above, no variation in or modification of the terms
of the Contract shall be made except by written amendment
signed by the parties.

34. Extensions of 34.1 If at any time during performance of the Contract, the Supplier
Time or its subcontractors should encounter conditions impeding
timely delivery of the Goods or completion of Related Services
pursuant to GCC Clause 13, the Supplier shall promptly notify
the Purchaser in writing of the delay, its likely duration, and its
cause. As soon as practicable after receipt of the Supplier’s
notice, the Purchaser shall evaluate the situation and may at its
discretion extend the Supplier’s time for performance, in which
case the extension shall be ratified by the parties by amendment
of the Contract.
34.2 Except in case of Force Majeure, as provided under GCC Clause
32, a delay by the Supplier in the performance of its Delivery
and Completion obligations shall render the Supplier liable to
the imposition of liquidated damages pursuant to GCC Clause
26, unless an extension of time is agreed upon, pursuant to GCC
Sub-Clause 34.1.

35. Termination 35.1 Termination for Default

(a) The Purchaser, without prejudice to any other remedy for
breach of Contract, by written notice of default sent to the
Supplier, may terminate the Contract in whole or in part:
(i) if the Supplier fails to deliver any or all of the
Goods within the period specified in the Contract, or
within any extension thereof granted by the
Section VIII – General Conditions of Contract 103

Purchaser pursuant to GCC Clause 34;

(ii) if the Supplier fails to perform any other obligation
under the Contract; or
(iii) if the Supplier, in the judgment of the Purchaser has
engaged in Fraud and Corruption, as defined in
paragrpah 2.2 a of the Appendix to the GCC, in
competing for or in executing the Contract.
(b) In the event the Purchaser terminates the Contract in
whole or in part, pursuant to GCC Clause 35.1(a), the
Purchaser may procure, upon such terms and in such
manner as it deems appropriate, Goods or Related
Services similar to those undelivered or not performed,
and the Supplier shall be liable to the Purchaser for any
additional costs for such similar Goods or Related
Services. However, the Supplier shall continue
performance of the Contract to the extent not terminated.
35.2 Termination for Insolvency.
(a) The Purchaser may at any time terminate the Contract by
giving notice to the Supplier if the Supplier becomes
bankrupt or otherwise insolvent. In such event,
termination will be without compensation to the Supplier,
provided that such termination will not prejudice or affect
any right of action or remedy that has accrued or will
accrue thereafter to the Purchaser
3 Termination for Convenience.
(a) The Purchaser, by notice sent to the Supplier, may
terminate the Contract, in whole or in part, at any time for
its convenience. The notice of termination shall specify
that termination is for the Purchaser’s convenience, the
extent to which performance of the Supplier under the
Contract is terminated, and the date upon which such
termination becomes effective.
(b) The Goods that are complete and ready for shipment
within twenty-eight (28) days after the Supplier’s receipt
of notice of termination shall be accepted by the
Purchaser at the Contract terms and prices. For the
remaining Goods, the Purchaser may elect:
(i) to have any portion completed and delivered at the
Contract terms and prices; and/or
(ii) to cancel the remainder and pay to the Supplier an
agreed amount for partially completed Goods and
Related Services and for materials and parts
Section VIII – General Conditions of Contract 104

previously procured by the Supplier.

36. Assignment 36.1 Neither the Purchaser nor the Supplier shall assign, in whole or
in part, their obligations under this Contract, except with prior
written consent of the other party.

37. Export 37.1 Notwithstanding any obligation under the Contract to complete
Restriction all export formalities, any export restrictions attributable to the
Purchaser, to the country of the Purchaser, or to the use of the
products/goods, systems or services to be supplied, which arise
from trade regulations from a country supplying those
products/goods, systems or services, and which substantially
impede the Supplier from meeting its obligations under the
Contract, shall release the Supplier from the obligation to
provide deliveries or services, always provided, however, that
the Supplier can demonstrate to the satisfaction of the Purchaser
and of the Bank that it has completed all formalities in a timely
manner, including applying for permits, authorizations and
licenses necessary for the export of the products/goods, systems
or services under the terms of the Contract. Termination of the
Contract on this basis shall be for the Purchaser’s convenience
pursuant to Sub-Clause 35.3.
Section VIII – General Conditions of Contract 105

APPENDIX TO GENERAL CONDITIONS

Fraud and Corruption
(Text in this Appendix shall not be modified)
1. Purpose
1.1 The Bank’s Anti-Corruption Guidelines and this annex apply with respect to procurement
under Bank Investment Project Financing operations.
2. Requirements
2.1 The Bank requires that Borrowers (including beneficiaries of Bank financing); bidders
(applicants/proposers), consultants, contractors and suppliers; any sub-contractors, sub-
consultants, service providers or suppliers; any agents (whether declared or not); and any of
their personnel, observe the highest standard of ethics during the procurement process,
selection and contract execution of Bank-financed contracts, and refrain from Fraud and
Corruption.
2.2 To this end, the Bank:
a. Defines, for the purposes of this provision, the terms set forth below as follows:
i. “corrupt practice” is the offering, giving, receiving, or soliciting, directly or
indirectly, of anything of value to influence improperly the actions of
another party;
ii. “fraudulent practice” is any act or omission, including misrepresentation,
that knowingly or recklessly misleads, or attempts to mislead, a party to
obtain financial or other benefit or to avoid an obligation;
iii. “collusive practice” is an arrangement between two or more parties designed
to achieve an improper purpose, including to influence improperly the
actions of another party;
iv. “coercive practice” is impairing or harming, or threatening to impair or
harm, directly or indirectly, any party or the property of the party to
influence improperly the actions of a party;
v. “obstructive practice” is:
(a) deliberately destroying, falsifying, altering, or concealing of
evidence material to the investigation or making false statements to
investigators in order to materially impede a Bank investigation
into allegations of a corrupt, fraudulent, coercive, or collusive
practice; and/or threatening, harassing, or intimidating any party to
prevent it from disclosing its knowledge of matters relevant to the
investigation or from pursuing the investigation; or
Section VIII – General Conditions of Contract 106

(b) acts intended to materially impede the exercise of the Bank’s

inspection and audit rights provided for under paragraph 2.2 e.
below.
b. Rejects a proposal for award if the Bank determines that the firm or individual
recommended for award, any of its personnel, or its agents, or its sub-consultants,
sub-contractors, service providers, suppliers and/ or their employees, has, directly
or indirectly, engaged in corrupt, fraudulent, collusive, coercive, or obstructive
practices in competing for the contract in question;
c. In addition to the legal remedies set out in the relevant Legal Agreement, may
take other appropriate actions, including declaring misprocurement, if the Bank
determines at any time that representatives of the Borrower or of a recipient of
any part of the proceeds of the loan engaged in corrupt, fraudulent, collusive,
coercive, or obstructive practices during the procurement process, selection and/or
execution of the contract in question, without the Borrower having taken timely
and appropriate action satisfactory to the Bank to address such practices when
they occur, including by failing to inform the Bank in a timely manner at the time
they knew of the practices;
d. Pursuant to the Bank’s Anti- Corruption Guidelines and in accordance with the
Bank’s prevailing sanctions policies and procedures, may sanction a firm or
individual, either indefinitely or for a stated period of time, including by publicly
declaring such firm or individual ineligible (i) to be awarded or otherwise benefit
from a Bank-financed contract, financially or in any other manner; 6 (ii) to be a
nominated7 sub-contractor, consultant, manufacturer or supplier, or service
provider of an otherwise eligible firm being awarded a Bank-financed contract;
and (iii) to receive the proceeds of any loan made by the Bank or otherwise to
participate further in the preparation or implementation of any Bank-financed
project;
e. Requires that a clause be included in bidding/request for proposals documents and
in contracts financed by a Bank loan, requiring (i) bidders (applicants/proposers),
consultants, contractors, and suppliers, and their sub-contractors, sub-consultants,
service providers, suppliers, agents personnel, permit the Bank to inspect 8 all

6
For the avoidance of doubt, a sanctioned party’s ineligibility to be awarded a contract shall include, without limitation,
(i) applying for pre-qualification, expressing interest in a consultancy, and bidding, either directly or as a nominated sub-
contractor, nominated consultant, nominated manufacturer or supplier, or nominated service provider, in respect of such
contract, and (ii) entering into an addendum or amendment introducing a material modification to any existing contract.
7
A nominated sub-contractor, nominated consultant, nominated manufacturer or supplier, or nominated service provider
(different names are used depending on the particular bidding document) is one which has been: (i) included by the bidder in
its pre-qualification application or bid because it brings specific and critical experience and know-how that allow the bidder
to meet the qualification requirements for the particular bid; or (ii) appointed by the Borrower.
8
Inspections in this context usually are investigative (i.e., forensic) in nature. They involve fact-finding activities
undertaken by the Bank or persons appointed by the Bank to address specific matters related to investigations/audits, such as
evaluating the veracity of an allegation of possible Fraud and Corruption, through the appropriate mechanisms. Such
activity includes but is not limited to: accessing and examining a firm's or individual's financial records and information, and
making copies thereof as relevant; accessing and examining any other documents, data and information (whether in hard
copy or electronic format) deemed relevant for the investigation/audit, and making copies thereof as relevant; interviewing
staff and other relevant individuals; performing physical inspections and site visits; and obtaining third party verification of
information.
Section VIII – General Conditions of Contract 107

accounts, records and other documents relating to the procurement process,

selection and/or contract execution, and to have them audited by auditors
appointed by the Bank.
Section IX – Special Conditions of Contract 109

Section IX - Special Conditions of Contract

The following Special Conditions of Contract (SCC) shall supplement and / or amend the
General Conditions of Contract (GCC). Whenever there is a conflict, the provisions herein
shall prevail over those in the GCC.
[The Purchaser shall select insert the appropriate wording using the samples below or
other acceptable wording, and delete the text in italics]

GCC 1.1(i) The Purchaser’s Country is: Zambia

GCC 1.1(j) The Purchaser is: Ministry of Community Development and Social
Services (MCDSS)

GCC 1.1 (o) The Project Site(s)/Final Destination(s) is/are: Ministry of Community
Development and Social Services (MCDSS) Sadzu Road, Community,
Store’s office

GCC 4.2 (a) The meaning of the trade terms shall be as prescribed by Incoterms. If the
meaning of any trade term and the rights and obligations of the parties
thereunder shall not be as prescribed by Incoterms, they shall be as
prescribed by: [exceptional; refer to other internationally accepted trade
terms

GCC 4.2 (b) The version edition of Incoterms shall be 2020

GCC 5.1 The language shall be: English

Section IX – Special Conditions of Contract 110

GCC 8.1 For notices, the Purchaser’s address shall be:

Attention: Kalimukwa Mutumba
Street Address: Ministry of Community Development and Social Services
(MCDSS), Social Cash Transfer (SCT), Community House, Sadzu Road
Floor/ Room number: MCDSS
City: Lusaka
ZIP Code: 10101
Country: Zambia
Telephone: +260 977414193
Facsimile number: [insert facsimile number, including country and city
codes]
Electronic mail address: mutumba@mcdss.gov.zm

GCC 9.1 The governing law shall be the law of: Law of Zambia

GCC 10.2 The rules of procedure for arbitration proceedings pursuant to GCC
Clause 10.2 shall be as follows:
[The bidding document should contain one clause to be retained in the
event of a Contract with a foreign Supplier and one clause to be retained
in the event of a Contract with a Supplier who is a national of the
Purchaser’s Country. At the time of finalizing the Contract, the
respective applicable clause should be retained in the Contract. The
following explanatory note should therefore be inserted as a header to
GCC 10.2 in the bidding document.
“Clause 10.2 (a) shall be retained in the case of a Contract with a
foreign Supplier and clause 10.2 (b) shall be retained in the case of a
Contract with a national of the Purchaser’s Country.”]
(a) Contract with foreign Supplier:
[For contracts entered into with foreign suppliers,
International commercial arbitration may have practical
advantages over other dispute settlement methods. The World
Bank should not be named as arbitrator, nor should it be asked
to name an arbitrator. Among the rules to govern the
arbitration proceedings, the Purchaser may wish to consider
the United Nations Commission on International Trade Law
(UNCITRAL) Arbitration Rules of 1976, the Rules of
Conciliation and Arbitration of the International Chamber of
Section IX - Special Conditions of Contract 111

Commerce (ICC), the Rules of the London Court of

International Arbitration or the Rules of Arbitration Institute
of the Stockholm Chamber of Commerce.]
If the Purchaser chooses the UNCITRAL Arbitration Rules,
the following sample clause should be inserted:
GCC 10.2 (a)—Any dispute, controversy or claim arising out
of or relating to this Contract, or breach, termination or
invalidity thereof, shall be settled by arbitration in accordance
with the UNCITRAL Arbitration Rules as at present in force.
If the Purchaser chooses the Rules of ICC, the following
sample clause should be inserted:
GCC 10.2 (a)—All disputes arising in connection with the
present Contract shall be finally settled under the Rules of
Conciliation and Arbitration of the International Chamber of
Commerce by one or more arbitrators appointed in accordance
with said Rules.
If the Purchaser chooses the Rules of Arbitration Institute of
Stockholm Chamber of Commerce, the following sample
clause should be inserted:
GCC 10.2 (a)—Any dispute, controversy or claim arising out
of or in connection with this Contract, or the breach
termination or invalidity thereof, shall be settled by arbitration
in accordance with the Rules of the Arbitration Institute of the
Stockholm Chamber of Commerce.
If the Purchaser chooses the Rules of the London Court of
International Arbitration, the following clause should be
inserted:
GCC 10.2 (a)—Any dispute arising out of or in connection
with this Contract, including any question regarding its
existence, validity or termination shall be referred to and
finally resolved by arbitration under the Rules of the London
Court of International Arbitration, which rules are deemed to
be incorporated by reference to this clause.
(b) Contracts with Supplier national of the Purchaser’s Country:
In the case of a dispute between the Purchaser and a Supplier
who is a national of the Purchaser’s Country, the dispute shall
be referred to adjudication or arbitration in accordance with the
laws of the Purchaser’s Country.
Section IX – Special Conditions of Contract 112

GCC 13.1 Details of Shipping and other Documents to be furnished by the Supplier
are: negotiable bill of lading, a non-negotiable sea way bill, an airway
bill, a railway consignment note, a road consignment note, insurance
certificate, Manufacturer’s or Supplier’s warranty certificate, inspection
certificate issued by nominated inspection agency, Supplier’s factory
shipping details etc].
The above documents shall be received by the Purchaser before
arrival of the Goods and, if not received, the Supplier will be
responsible for any consequent expenses.
Section IX - Special Conditions of Contract 113

GCC 14.9 N/A

GCC 14.9.1 The Supplier shall have a code of conduct, and provide
appropriate sensitization, for its personnel carrying out [state
as applicable: installation/ operation/ maintenance/
operation and maintenance] that include, but not limited to,
maintaining a safe working environment and not engaging in
the following practices:
(i) any form of sexual harassment including unwelcome
sexual advances, requests for sexual favors, and other
verbal or physical conduct of a sexual nature with other
Supplier’s or Purchaser’s personnel;
(ii) Sexual Exploitation, which means any actual or attempted
abuse of position of vulnerability, differential power or
trust, for sexual purposes, including, but not limited to,
profiting monetarily, socially or politically from the
sexual exploitation of another;
(iii) Sexual Abuse, which means the actual or
threatened physical intrusion of a sexual nature, whether
by force or under unequal or coercive conditions; and
(iv) any form of sexual activity with individuals under the
age of 18, except in case of pre-existing marriage.
GCC 14.9.2 The Purchaser may require the Supplier to remove (or cause
to be removed), from the site or other places where the [state
as applicable: installation/operation/maintenance/operation
and maintenance] is being executed, a Supplier’s personnel
that undertakes behaviors that are not consistent with the
code of conduct stated in GCC 14.9.1. Notwithstanding any
requirement from the Purchaser to replace any such person,
the Supplier shall immediately remove (or cause to be
removed) any such person, from the site or other places
where the [state as applicable: installation / operation /
maintenance/ operation and maintenance] is being executed.
In either case, the Supplier shall promptly appoint, as
appropriate, a suitable replacement with equivalent skills and
experience.

GCC 15.1 The prices charged for the Goods supplied and the related Services
performed “shall not,” be adjustable.

GCC 16.1 Sample provision

GCC 16.1—The method and conditions of payment to be made to the

Section IX – Special Conditions of Contract 114

Supplier under this Contract shall be as follows:

Payment for Goods supplied from abroad:

(i) Advance Payment: Ten (10) percent of the Contract Price shall be
paid within thirty (30) days of signing of the Contract, and upon
submission of claim and a bank guarantee for equivalent amount
valid until the Goods are delivered and, in the form, provided in the
bidding document or another form acceptable to the Purchaser.

(ii) On Shipment: Forty (40) percent of the Contract Price of the

Goods shipped shall be paid through irrevocable confirmed letter of
credit opened in favor of the Supplier in a bank in its country, upon
submission of documents specified in GCC Clause 13.

(iii) On Acceptance: Fifty (50) percent of the Contract Price of Goods

received shall be paid within thirty (30) days of receipt of the Goods
upon submission of claim supported by the acceptance certificate
issued by the Purchaser.

Payment of local currency portion shall be made in Zambian Kwacha

within thirty (30) days of presentation of claim supported by a certificate
from the Purchaser declaring that the Goods have been delivered and that
all other contracted Services have been performed.

Payment for Goods and Services supplied from within the

Purchaser’s Country:

Payment for Goods and Services supplied from within the Purchaser’s
Country shall be made in Zambian Kwacha, as follows:

(i) Advance Payment: Ten (10) percent of the Contract Price shall be
paid within thirty (30) days of signing of the Contract against a
simple receipt and a bank guarantee for the equivalent amount and
in the form provided in the bidding document or another form
acceptable to the Purchaser.

(ii) On Delivery: Eighty (80) percent of the Contract Price shall be paid
on receipt of the Goods and upon submission of the documents
specified in GCC Clause 13.

(iii) On Acceptance: The remaining ten (10) percent of the Contract

Price shall be paid to the Supplier within thirty (30) days after the
date of the acceptance certificate for the respective delivery issued
by the Purchaser.
Section IX - Special Conditions of Contract 115

GCC 16.5 The payment-delay period after which the Purchaser shall pay interest to
the supplier shall be: N/A.

GCC 18.1 A Performance Security “shall” be required

“the amount of the Performance Security shall be: 10% of the contract
value

GCC 18.3 the Performance Security shall be in the form of: “a Demand Guarantee”
or” a Performance Bond”
The Performance security shall be denominated in Zambian Kwacha

GCC 18.4 Discharge of the Performance Security shall take place: not later than
twenty-eight (28) days following the date of Completion of the Supplier’s
performance obligations under the Contract, including any warranty
obligations

GCC 23.2 The packing, marking and documentation within and outside the packages
shall be: Sealed boxes with manufacturers seals and serial numbers
included

GCC 24.1 The insurance coverage shall be as specified in the Incoterms.

If not in accordance with Incoterms, insurance shall be as follows: 100%
of the value

GCC 25.1 Responsibility for transportation of the Goods shall be as specified in the
Incoterms.
“The Supplier is required under the Contract to transport the Goods to a
specified place of final destination within the Purchaser’s Country,
defined as the Project Site, transport to such place of destination in the
Purchaser’s Country, including insurance and storage, as shall be
specified in the Contract, shall be arranged by the Supplier, and related
costs shall be included in the Contract Price”;

GCC 25.2 Incidental services to be provided are: included in the cost of goods

GCC 26.1 The inspections and tests shall be: physical features, memory, RAM

GCC 26.2 The Inspections and tests shall be conducted at: MCDSS offices

GCC 27.1 The liquidated damage shall be: 0.1% per week
Section IX – Special Conditions of Contract 116

GCC 27.1 The maximum amount of liquidated damages shall be: 0.5% of the
contract price

GCC 28.3 The period of validity of the Warranty shall be: 365 days
For purposes of the Warranty, the place(s) of final destination(s) shall be:
MCDSS, Community House, Sadzu Road, Lusaka
Sample provision

GCC 28.3—In partial modification of the provisions, the warranty period

shall be 12 hours of operation or 12 months from date of acceptance of
the Goods or 16 months from the date of shipment, whichever occurs
earlier. The Supplier shall, in addition, comply with the performance
and/or consumption guarantees specified under the Contract. If, for
reasons attributable to the Supplier, these guarantees are not attained in
whole or in part, the Supplier shall, at its discretion, either:

(a) make such changes, modifications, and/or additions to the

Goods or any part thereof as may be necessary in order to
attain the contractual guarantees specified in the Contract at its
own cost and expense and to carry out further performance
tests in accordance with GCC 26.7,

or

(b) pay liquidated damages to the Purchaser with respect to the

failure to meet the contractual guarantees. The rate of these
liquidated damages shall be 10% of contract value

GCC 28.5, The period for repair or replacement shall be: 10 days.
GCC 28.6

GCC 33.4
If the value engineering proposal is approved by the Purchaser the
amount to be paid to the Supplier shall be ___% (insert appropriate
percentage. The percentage is normally up to 50%) of the reduction in the
Contract Price. N/A
Section IX - Special Conditions of Contract 117

Attachment: Price Adjustment Formula

If in accordance with GCC 15.1, prices shall be adjustable, the following method shall be
used to calculate the price adjustment:

15.1 Prices payable to the Supplier, as stated in the Contract, shall be subject to adjustment
during performance of the Contract to reflect changes in the cost of labor and material
components in accordance with the formula:

P1 = P0 [a + bL1 + cM1] - P0
L0 M0

a+b+c = 1
in which:

P1 = adjustment amount payable to the Supplier.

P0 = Contract Price (base price).
a = fixed element representing profits and overheads included in the Contract
Price and generally in the range of five (5) to fifteen (15) percent.
b = estimated percentage of labor component in the Contract Price.
c = estimated percentage of material component in the Contract Price.
L0, L1 = *labor indices applicable to the appropriate industry in the country of
origin on the base date and date for adjustment, respectively.
M0, M1 = *material indices for the major raw material on the base date and date for
adjustment, respectively, in the country of origin.

The Bidder shall indicate the source of the indices, and the source of exchange rate (if
applicable) and the base date indices in its Bid.

The coefficients a, b, and c as specified by the Purchaser are as follows:

a = [insert value of coefficient]

b = [insert value of coefficient]
c = [insert value of coefficient]

Base date = thirty (30) days prior to the deadline for submission of the Bids.

Date of adjustment = [insert number of weeks] weeks prior to date of shipment

(representing the mid-point of the period of manufacture).

The above price adjustment formula shall be invoked by either party subject to the
following further conditions:

(a) No price adjustment shall be allowed beyond the original delivery dates. As a
rule, no price adjustment shall be allowed for periods of delay for which the
Section IX – Special Conditions of Contract 118

Supplier is entirely responsible. The Purchaser will, however, be entitled to any

decrease in the prices of the Goods and Services subject to adjustment.

(b) If the currency in which the Contract Price P 0 is expressed is different from the
currency of origin of the labor and material indices, a correction factor will be
applied to avoid incorrect adjustments of the Contract Price. The correction
factor shall be: Z0 / Z1, were,

Z0 = the number of units of currency of the origin of the indices which equal to
one unit of the currency of the Contract Price P 0 on the Base date,
and

Z1 = the number of units of currency of the origin of the indices which equal to
one unit of the currency of the Contract Price P 0 on the Date of
Adjustment.

(c) No price adjustment shall be payable on the portion of the Contract Price paid to
the Supplier as advance payment.
Section X – Contract Forms 119

Section X - Contract Forms

Table of Forms

Notification of Intention to Award 120

Beneficial Ownership Disclosure Form 124

Letter of Acceptance 126

Contract Agreement 127

Performance Security 129

Advance Payment Security 133

Section X – Contract Forms 120

Notification of Intention to Award

[This Notification of Intention to Award shall be sent to each Bidder that submitted a Bid.]

[Send this Notification to the Bidder’s Authorized Representative named in the Bidder
Information Form]
For the attention of Bidder’s Authorized Representative
Name: [insert Authorized Representative’s name]
Address: [insert Authorized Representative’s Address]
Telephone/Fax numbers: [insert Authorized Representative’s telephone/fax numbers]
Email Address: [insert Authorized Representative’s email address]

[IMPORTANT: insert the date that this Notification is transmitted to Bidders. The
Notification must be sent to all Bidders simultaneously. This means on the same date and
as close to the same time as possible.]
DATE OF TRANSMISSION: This Notification is sent by: [email/fax] on [date] (local time)

Notification of Intention to Award

Purchaser: [insert the name of the Purchaser]
Project: [insert name of project]
Contract title: [insert the name of the contract]
Country: [insert country where RFB is issued]
Loan No. /Credit No. / Grant No.: [insert reference number for loan/credit/grant]
RFB No: [insert RFB reference number from Procurement Plan]

This Notification of Intention to Award (Notification) notifies you of our decision to

award the above contract. The transmission of this Notification begins the Standstill
Period. During the Standstill Period you may:

a) request a debriefing in relation to the evaluation of your Bid, and/or

b) submit a Procurement-related Complaint in relation to the decision to award the

contract.

1. The successful Bidder

Name: [insert name of successful Bidder]

Address: [insert address of the successful Bidder]

Contract price: [insert contract price of the successful Bid]

Section X - Contract Forms 121

2. Other Bidders [INSTRUCTIONS: insert names of all Bidders that submitted a Bid. If
the Bid’s price was evaluated include the evaluated price as well as the Bid price as
read out.]
Evaluated Bid price
Name of Bidder Bid price
(if applicable)
[insert name] [insert Bid price] [insert evaluated price]

[insert name] [insert Bid price] [insert evaluated price]

[insert name] [insert Bid price] [insert evaluated price]

[insert name] [insert Bid price] [insert evaluated price]

[insert name] [insert Bid price] [insert evaluated price]

3. Reason/s why your Bid was unsuccessful

[INSTRUCTIONS: State the reason/s why this Bidder’s Bid was unsuccessful. Do
NOT include: (a) a point by point comparison with another Bidder’s Bid or (b)
information that is marked confidential by the Bidder in its Bid.]

4. How to request a debriefing

DEADLINE: The deadline to request a debriefing expires at midnight on [insert

date] (local time).
You may request a debriefing in relation to the results of the evaluation of your Bid. If
you decide to request a debriefing your written request must be made within three (3)
Business Days of receipt of this Notification of Intention to Award.
Provide the contract name, reference number, name of the Bidder, contact details; and
address the request for debriefing as follows:
Attention: [insert full name of person, if applicable]
Title/position: [insert title/position]
Agency: [insert name of Purchaser]
Email address: [insert email address]
Fax number: [insert fax number] delete if not used
If your request for a debriefing is received within the 3 Business Days deadline, we will
provide the debriefing within five (5) Business Days of receipt of your request. If we are
unable to provide the debriefing within this period, the Standstill Period shall be extended
by five (5) Business Days after the date that the debriefing is provided. If this happens,
we will notify you and confirm the date that the extended Standstill Period will end.
The debriefing may be in writing, by phone, video conference call or in person. We shall
Section X – Contract Forms 122

promptly advise you in writing how the debriefing will take place and confirm the date
and time.
If the deadline to request a debriefing has expired, you may still request a debriefing. In
this case, we will provide the debriefing as soon as practicable, and normally no later than
fifteen (15) Business Days from the date of publication of the Contract Award Notice.

5. How to make a complaint

Period: Procurement-related Complaint challenging the decision to award shall be

submitted by midnight, [insert date] (local time).
Provide the contract name, reference number, name of the Bidder, contact details; and
address the Procurement-related Complaint as follows:
Attention: [insert full name of person, if applicable]
Title/position: [insert title/position]
Agency: [insert name of Purchaser]
Email address: [insert email address]
Fax number: [insert fax number] delete if not used
At this point in the procurement process, you may submit a Procurement-related
Complaint challenging the decision to award the contract. You do not need to have
requested, or received, a debriefing before making this complaint. Your complaint must be
submitted within the Standstill Period and received by us before the Standstill Period
ends.
Further information:
For more information see the Procurement Regulations for IPF Borrowers (Procurement
Regulations)[https://policies.worldbank.org/sites/ppf3/PPFDocuments/Forms/
DispPage.aspx?docid=4005] (Annex III). You should read these provisions before
preparing and submitting your complaint. In addition, the World Bank’s Guidance “How
to make a Procurement-related Complaint” [http://www.worldbank.org/en/projects-
operations/products-and-services/brief/procurement-new-framework#framework]
provides a useful explanation of the process, as well as a sample letter of complaint.
In summary, there are four essential requirements:
1. You must be an ‘interested party’. In this case, that means a Bidder who submitted
a Bid in this bidding process, and is the recipient of a Notification of Intention to
Award.
2. The complaint can only challenge the decision to award the contract.
3. You must submit the complaint within the period stated above.
4. You must include, in your complaint, all of the information required by the
Procurement Regulations (as described in Annex III).
Section X - Contract Forms 123

6. Standstill Period

DEADLINE: The Standstill Period is due to end at midnight on [insert date] (local
time).
The Standstill Period lasts ten (10) Business Days after the date of transmission of this
Notification of Intention to Award.
The Standstill Period may be extended as stated in Section 4 above.

If you have any questions regarding this Notification, please do not hesitate to contact us.

On behalf of the Purchaser:

Signature: ______________________________________________

Name: ______________________________________________

Title/position: ______________________________________________

Telephone: ______________________________________________

Email: ______________________________________________
Section X – Contract Forms 124

Beneficial Ownership Disclosure Form

INSTRUCTIONS TO BIDDERS: DELETE THIS BOX ONCE YOU HAVE COMPLETED

THE FORM

This Beneficial Ownership Disclosure Form (“Form”) is to be completed by the successful

Bidder. In case of joint venture, the Bidder must submit a separate Form for each member.
The beneficial ownership information to be submitted in this Form shall be current as of the
date of its submission.

For the purposes of this Form, a Beneficial Owner of a Bidder is any natural person who
ultimately owns or controls the Bidder by meeting one or more of the following conditions:

 directly or indirectly holding 25% or more of the shares

 directly or indirectly holding 25% or more of the voting rights
 directly or indirectly having the right to appoint a majority of the board of directors
or equivalent governing body of the Bidder

RFB No.: [insert number of RFB process]

Request for Bid No.: [insert identification]

To: [insert complete name of Purchaser]

In response to your request in the Letter of Acceptance dated [insert date of letter of
Acceptance] to furnish additional information on beneficial ownership: [select one option as
applicable and delete the options that are not applicable]

(i) we hereby provide the following beneficial ownership information.

Details of beneficial ownership

Identity of Directly or Directly or Directly or indirectly
Beneficial Owner indirectly holding indirectly holding having the right to
25% or more of the 25 % or more of appoint a majority of the
shares the Voting Rights board of the directors or
an equivalent governing
(Yes / No) (Yes / No) body of the Bidder
(Yes / No)

[include full name

(last, middle, first),
nationality, country
of residence]
Section X - Contract Forms 125

OR

(ii) We declare that there is no Beneficial Owner meeting one or more of the following
conditions:

 directly or indirectly holding 25% or more of the shares

 directly or indirectly holding 25% or more of the voting rights
 directly or indirectly having the right to appoint a majority of the board of directors or
equivalent governing body of the Bidder

OR

(iii) We declare that we are unable to identify any Beneficial Owner meeting one or more of
the following conditions. [If this option is selected, the Bidder shall provide explanation on
why it is unable to identify any Beneficial Owner]
 directly or indirectly holding 25% or more of the shares
 directly or indirectly holding 25% or more of the voting rights
 directly or indirectly having the right to appoint a majority of the board of directors or
equivalent governing body of the Bidder]”

Name of the Bidder: *[insert complete name of the Bidder]_________

Name of the person duly authorized to sign the Bid on behalf of the Bidder: **[insert
complete name of person duly authorized to sign the Bid]___________

Title of the person signing the Bid: [insert complete title of the person signing the
Bid]______

Signature of the person named above: [insert signature of person whose name and
capacity are shown above]_____

Date signed [insert date of signing] day of [insert month], [insert year]_____

*
In the case of the Bid submitted by a Joint Venture specify the name of the Joint Venture as Bidder. In the
event that the Bidder is a joint venture, each reference to “Bidder” in the Beneficial Ownership Disclosure Form
(including this Introduction thereto) shall be read to refer to the joint venture member.
**
Person signing the Bid shall have the power of attorney given by the Bidder. The power of attorney shall be
attached with the Bid Schedules.

Letter of Acceptance
[use letterhead paper of the Purchaser]
Section X – Contract Forms 126

[date]
To: [name and address of the Supplier]

Subject: Notification of Award Contract No. . . . . . . . . ..

This is to notify you that your Bid dated [insert date] for execution of the [insert name of the
contract and identification number, as given in the SCC] for the Accepted Contract Amount
of [insert amount in numbers and words and name of currency], as corrected and modified
in accordance with the Instructions to Bidders is hereby accepted by our Agency.

You are requested to furnish (i) the Performance Security within 28 days in accordance with
the Conditions of Contract, using for that purpose one of the Performance Security Forms
and (ii) the additional information on beneficial ownership in accordance with BDS ITB 45.1
within eight (8) Business days using the Beneficial Ownership Disclosure Form, included in
Section X, - Contract Forms, of the Bidding Document.

Authorized Signature:
Name and Title of Signatory:
Name of Agency:

Attachment: Contract Agreement

Section X - Contract Forms 127

Contract Agreement
[The successful Bidder shall fill in this form in accordance with the instructions indicated]

THIS AGREEMENT made

the [insert: number] day of [insert: month], [insert: year].

BETWEEN
(1) [insert complete name of Purchaser], a [insert description of type of legal
entity, for example, an agency of the Ministry of .... of the Government of
{insert name of Country of Purchaser}, or corporation incorporated under the
laws of {insert name of Country of Purchaser}] and having its principal place
of business at [insert address of Purchaser] (hereinafter called “the
Purchaser”), of the one part, and
(2) [insert name of Supplier], a corporation incorporated under the laws of
[insert: country of Supplier] and having its principal place of business at
[insert: address of Supplier] (hereinafter called “the Supplier”), of the other
part:
WHEREAS the Purchaser invited Bids for certain Goods and ancillary services, viz., [insert
brief description of Goods and Services] and has accepted a Bid by the Supplier for the
supply of those Goods and Services

The Purchaser and the Supplier agree as follows:

1. In this Agreement words and expressions shall have the same meanings as are
respectively assigned to them in the Contract documents referred to.

2. The following documents shall be deemed to form and be read and construed as part of
this Agreement. This Agreement shall prevail over all other contract documents.

(a) the Letter of Acceptance

(b) the Letter of Bid
(c) the Addenda Nos._____ (if any)
(d) Special Conditions of Contract
(e) General Conditions of Contract
(f) the Specification (including Schedule of Requirements and Technical
Specifications)
Section X – Contract Forms 128

(g) the completed Schedules (including Price Schedules)

(h) any other document listed in GCC as forming part of the Contract
3. In consideration of the payments to be made by the Purchaser to the Supplier as
specified in this Agreement, the Supplier hereby covenants with the Purchaser to
provide the Goods and Services and to remedy defects therein in conformity in all
respects with the provisions of the Contract.

4. The Purchaser hereby covenants to pay the Supplier in consideration of the provision of
the Goods and Services and the remedying of defects therein, the Contract Price or such
other sum as may become payable under the provisions of the Contract at the times and
in the manner prescribed by the Contract.

IN WITNESS whereof the parties hereto have caused this Agreement to be executed in
accordance with the laws of [insert the name of the Contract governing law country] on the
day, month and year indicated above.

For and on behalf of the Purchaser

Signed: [insert signature]

in the capacity of [insert title or other appropriate designation]
In the presence of [insert identification of official witness]

For and on behalf of the Supplier

Signed: [insert signature of authorized representative(s) of the Supplier]

in the capacity of [insert title or other appropriate designation]
in the presence of [insert identification of official witness]
Section X - Contract Forms 129

Performance Security
Option 1: (Bank Guarantee)

[The bank, as requested by the successful Bidder, shall fill in this form in accordance with
the instructions indicated]

[Guarantor letterhead or SWIFT identifier code]

Beneficiary: [insert name and Address of Purchaser]

Date: _ [Insert date of issue]

PERFORMANCE GUARANTEE No.: [Insert guarantee reference number]

Guarantor: [Insert name and address of place of issue, unless indicated in the letterhead]

We have been informed that _ [insert name of Supplier, which in the case of a joint venture shall be the
name of the joint venture] (hereinafter called "the Applicant") has entered into Contract No. [insert
reference number of the contract] dated [insert date] with the Beneficiary, for the supply of _
[insert name of contract and brief description of Goods and related Services] (hereinafter called "the
Contract").

Furthermore, we understand that, according to the conditions of the Contract, a performance

guarantee is required.

At the request of the Applicant, we as Guarantor, hereby irrevocably undertake to pay the
Beneficiary any sum or sums not exceeding in total an amount of [insert amount in figures]
( ) [insert amount in words],1 such sum being payable in the types and proportions of
currencies in which the Contract Price is payable, upon receipt by us of the Beneficiary’s
complying demand supported by the Beneficiary’s statement, whether in the demand itself or
in a separate signed document accompanying or identifying the demand, stating that the
Applicant is in breach of its obligation(s) under the Contract, without the Beneficiary needing
to prove or to show grounds for your demand or the sum specified therein.

1
The Guarantor shall insert an amount representing the percentage of the Accepted Contract Amount
specified in the Letter of Acceptance, and denominated either in the currency (ies) of the Contract or a
freely convertible currency acceptable to the Beneficiary.
Section X – Contract Forms 130

This guarantee shall expire, no later than the …. Day of ……, 2… 2, and any demand for
payment under it must be received by us at this office indicated above on or before that date.

This guarantee is subject to the Uniform Rules for Demand Guarantees (URDG) 2010
Revision, ICC Publication No. 758, except that the supporting statement under Article 15(a)
is hereby excluded.

_____________________
[signature(s)]

Note: All italicized text (including footnotes) is for use in preparing this form and shall be
deleted from the final product.

2
Insert the date twenty-eight days after the expected completion date as described in GC Clause 18.4. The
Purchaser should note that in the event of an extension of this date for completion of the Contract, the
Purchaser would need to request an extension of this guarantee from the Guarantor. Such request must be
in writing and must be made prior to the expiration date established in the guarantee. In preparing this
guarantee, the Purchaser might consider adding the following text to the form, at the end of the penultimate
paragraph: “The Guarantor agrees to a one-time extension of this guarantee for a period not to exceed
[six months] [one year], in response to the Beneficiary’s written request for such extension, such request to
be presented to the Guarantor before the expiry of the guarantee.”
Section X - Contract Forms 131

Option 2: Performance Bond

By this Bond [insert name of Principal] as Principal (hereinafter called “the Supplier”) and
[insert name of Surety] as Surety (hereinafter called “the Surety”), are held and firmly bound
unto [insert name of Purchaser] as Obligee (hereinafter called “the Supplier”) in the amount
of [insert amount in words and figures], for the payment of which sum well and truly to be
made in the types and proportions of currencies in which the Contract Price is payable, the
Supplier and the Surety bind themselves, their heirs, executors, administrators, successors
and assigns, jointly and severally, firmly by these presents.

WHEREAS the Supplier has entered into a written Agreement with the Purchaser dated the
day of , 20 , for [name of contract and brief
description of Goods and related Services] in accordance with the documents, plans,
specifications, and amendments thereto, which to the extent herein provided for, are by
reference made part hereof and are hereinafter referred to as the Contract.

NOW, THEREFORE, the Condition of this Obligation is such that, if the Supplier shall
promptly and faithfully perform the said Contract (including any amendments thereto), then
this obligation shall be null and void; otherwise, it shall remain in full force and effect.
Whenever the Supplier shall be, and declared by the Purchaser to be, in default under the
Contract, the Purchaser having performed the Purchaser’s obligations thereunder, the Surety
may promptly remedy the default, or shall promptly:

(1) complete the Contract in accordance with its terms and conditions; or

(2) obtain a Bid or Bids from qualified Bidders for submission to the Purchaser for
completing the Contract in accordance with its terms and conditions, and upon
determination by the Purchaser and the Surety of the lowest responsive Bidder,
arrange for a Contract between such Bidder and Purchaser and make available as
work progresses (even though there should be a default or a succession of defaults
under the Contract or Contracts of completion arranged under this paragraph)
sufficient funds to pay the cost of completion less the Balance of the Contract
Price; but not exceeding, including other costs and damages for which the Surety
may be liable hereunder, the amount set forth in the first paragraph hereof. The
term “Balance of the Contract Price,” as used in this paragraph, shall mean the
total amount payable by Purchaser to Supplier under the Contract, less the amount
properly paid by Purchaser to the Supplier; or

(3) pay the Purchaser the amount required by Purchaser to complete the Contract in
accordance with its terms and conditions up to a total not exceeding the amount of
this Bond.
Section X – Contract Forms 132

The Surety shall not be liable for a greater sum than the specified penalty of this Bond.

Any suit under this Bond must be instituted not later than twenty-eight (28) days following
the date of completion of the Supplier’s performance of its obligations under the Contract,
including any warranty obligations.

No right of action shall accrue on this Bond to or for the use of any person or corporation
other than the Purchaser named herein or the heirs, executors, administrators, successors, and
assigns of the Purchaser.

In testimony whereof, the Supplier has hereunto set his hand and affixed his seal, and the
Surety has caused these presents to be sealed with his corporate seal duly attested by the
signature of his legal representative, this day of 20
.

SIGNED ON on behalf of

By in the capacity of

In the presence of

SIGNED ON on behalf of

By in the capacity of

In the presence of
Section X - Contract Forms 133

Advance Payment Security

Demand Guarantee

[Guarantor letterhead or SWIFT identifier code]

Beneficiary: [Insert name and Address of Purchaser]

Date: [Insert date of issue]

ADVANCE PAYMENT GUARANTEE No.: [Insert guarantee reference number]

Guarantor: [Insert name and address of place of issue, unless indicated in the letterhead]

We have been informed that [insert name of Supplier, which in the case of a joint venture
shall be the name of the joint venture] (hereinafter called “the Applicant”) has entered into
Contract No. [insert reference number of the contract] dated [insert date] with the
Beneficiary, for the execution of [insert name of contract and brief description of Goods and
related Services] (hereinafter called "the Contract").

Furthermore, we understand that, according to the conditions of the Contract, an advance

payment in the sum [insert amount in figures] () [insert amount in words] is to be made
against an advance payment guarantee.

At the request of the Applicant, we as Guarantor, hereby irrevocably undertake to pay the
Beneficiary any sum or sums not exceeding in total an amount of [insert amount in figures]
( ) [insert amount in words]1 upon receipt by us of the Beneficiary’s complying demand
supported by the Beneficiary’s statement, whether in the demand itself or in a separate signed
document accompanying or identifying the demand, stating either that the Applicant:

(d) has used the advance payment for purposes other than toward delivery of Goods;
or
(e) has failed to repay the advance payment in accordance with the Contract
conditions, specifying the amount which the Applicant has failed to repay.

1
The Guarantor shall insert an amount representing the amount of the advance payment and denominated
either in the currency(ies) of the advance payment as specified in the Contract, or in a freely convertible
currency acceptable to the Purchaser.
Section X – Contract Forms 134

A demand under this guarantee may be presented as from the presentation to the Guarantor
of a certificate from the Beneficiary’s bank stating that the advance payment referred to
above has been credited to the Applicant on its account number [insert number] at [insert
name and address of Applicant’s bank].

The maximum amount of this guarantee shall be progressively reduced by the amount of the
advance payment repaid by the Applicant as specified in copies of interim statements or
payment certificates which shall be presented to us. This guarantee shall expire, at the latest,
upon our receipt of a copy of the interim payment certificate indicating that ninety (90)
percent of the Accepted Contract Amount, has been certified for payment, or on the [insert
day] day of [insert month], 2 [insert year], whichever is earlier. Consequently, any demand
for payment under this guarantee must be received by us at this office on or before that date.

This guarantee is subject to the Uniform Rules for Demand Guarantees (URDG) 2010
Revision, ICC Publication No.758, except that the supporting statement under Article 15(a)
is hereby excluded.

____________________
[signature(s)]

Note: All italicized text (including footnotes) is for use in preparing this form and shall be
deleted from the final product.