"Tender No.: 407/2001 Vasilikos Power Station - Phase II Flue Gas Desulphurization Plant (FGD) For Unit No. 3 Brief Description of Contract Work 1. EXTENT OF CONTRACT - This Contract provides for the design, manufacture, inspection and testing in works, packaging for export, shipping, transport, delivery to Site, unloading at Site, complete erection, painting, commissioning and putting into normal operation, performance and reliability, testing on completion, instruction of the Employer’s personnel and obligations for the defects liability period of plant required comprising the following: One sea water FGD unit complete with gas scrubbers, flue gas/gas rotary heat exchangers, steam reheaters, cleaning plant, distilled water cleaning plant, pipework together with : · Fuel gas duct lining · Sea water pumps · Aeration equipment · Flue gas and aqueous monitors · Lighting and small power (for the FGD island only) 2. SITE INFORMATION - The Site is situated on the South Coast of Cyprus some 25km east of Limassol town. Phase I, comprising Units 1 and 2, was completed and put into commercial operation in the year 2000. The permanent road system for the Station was constructed under the Phase I Contract. These roads will be used by the Contractor for Unit No. 3, subject to the restrictions specified with regard to the security of Phase I. Temporary access roads (and their subsequent removal) required by the Contractor from the permanent road system for construction and erection purposes will be provided by the Contractor at his own expense and their location and form of construction will be agreed with the Engineer prior to construction. 3. DESIGN CONDITIONS - The following operating parameters shall apply: Net unit output capacity measured at generator terminals 120 MW minimum. TSV steam Temperature 540oC TSV Steam Pressure 140 bar ISV Steam Temperature 540oC TSV Steam Flow 103 kg/s Boiler MCR rating 108,15 kg/s Sulphur dioxide emission level 100mg/Nm³ maximum (At 3% Oxygen, dry, 0°C, 1 atmosphere pressure) Flue gas flow (volumetric) 99,6 Nm³/s 4. COMPLETION - Completion of the Works for Unit No. 3 is required to be effected within 34 months from the date of Contract award. Tenderers specifying late completion dates exceeding the specified period by more than one month shall be rejected. 5. CONDITIONS OF CONTRACT - The Conditions of Contract will be based on the model form of General Conditions of Contract published by the Institution of Mechanical Engineers and the Institution of Electrical Engineers of U.K. as amended by the Electricity Authority of Cyprus and the Contract will be in conformity with the laws of the Republic of Cyprus and shall be governed by such laws. 6. PROPOSALS FOR CREDIT - The Tenderer is encouraged to submit with his tender a proposal to finance the Contract by means of extended credit terms over as long a period as possible, but preferably more than 12 years. Such a proposal could be up to 100% of the tender price. 7. COMPLIANCE WITH STANDARDS - Unless another standard is specifically mentioned in the Specification, all materials used and provided under the Contract must, where such standard exists, be in accordance with the latest edition of the British Standards Institution, or the International Electrotechnical Commission (IEC) or the International Organization of Standardisation (ISO) or in accordance with any of the recognised standards appropriate to the country of manufacture, which in the opinion of the Authority, ensure an equivalent or higher quality. 8. QUALITY ASSURANCE - The Tenderer must have an ISO 9001 Quality Assurance Certificate for the goods offered issued by the Cyprus Organisation for Standards and Control of Quality, or any member of the IQNET or other Organisation accredited for this purpose by a National Accreditation Body. OR The Tenderer must implement a Quality Assurance system, which ensures that the procedures, processes and other measures taken by the Tenderer are equivalent to the Quality System requirements specified in the ISO 9001 Standard. 9. CERTIFICATES - The Tenderer must furnish as part of his Tender: (i) Certificates establishing that the goods offered comply with the relevant Specification. (ii) Valid ISO 9001 Quality Assurance Certificate of the goods offered issued by the Cyprus Organisation for Standards and Control of Quality, or any member of the IQNET or other Organisation accredited for this purpose by a National Accreditation Body. OR A certificate, accompanied by the relevant Assessment Report, issued during the last 12 months prior to the Closing Date establishing that the Quality Assurance System implemented for the manufacture of the goods offered is equivalent to the Quality System requirements specified in the ISO 9001 Standard. The certificate may be issued by the Cyprus Organisation for Standards and Control of Quality, or any member of the IQNET or other Organisation, accredited for this purpose by a National Accreditation Body. 10. METHOD OF EVALUATION - The invitation to tender requires that tenders shall be submitted in two separate documents namely, the Technical Document and the Financial Document. We give below clauses 1.21.1., 1.21.2, 1.21.3 and 1.10.2 (c) of the Tender Document which are relevant to the method of evaluation: “1.21.1. Evaluation and Comparison of Tenders will be carried out in three stages, in the following manner. 1.21.1.1 Stage 'A' (a) The Purchaser will open only the Technical Document of the Tenders submitted while the envelopes containing the Financial Document will be kept sealed under lock and key. The information given in the Technical Document will be assessed to determine the substantial responsiveness of each Tender to the following criteria: ( i) Submission of Tender Security ( ii) Submission of ISO9001 Certificates (iii) Financial Capability (iv) International experience (v) Manufacture under Licence (vi) Programme (vii) Adherence to the Specification and other requirements of the Tender Document For the purposes of these Clauses a substantially responsive Tender is one which conforms to the above criteria without material deviation. The Purchaser's determination of a Tender's responsiveness is to be based on the contents of the Tender itself without recourse to extrinsic evidence. (b) A Tender determined as substantially non-responsive will be rejected by the Purchaser and may not subsequently be made responsive by the Tenderer by correction of the non-conformity. The Purchaser may in its absolute discretion waive any minor deviation or non-conformity or irregularity in a Tender which does not in the opinion of the Purchaser constitute a material deviation. 1.21.1.2 Stage 'B' (a) The Purchaser will assess the information provided in the Technical Document by the responsive Tenderers in accordance with the Evaluation Factors and Weights (A) - (F) given in sub-clause 1.21.3 and determine, based on the total score attained by each Tenderer, the Tenderers who qualify to have their Financial Document opened. (b) The Tenders which will be further considered will be only those which have scored 90%, or more, of the score attained by the Tenderer with the highest score, provided they score the minimum acceptable in each of the Evaluation Factors and Weights (A) - (F) in sub clause 1.21.3. If the number of Tenderers qualified is small, then the Purchaser at his absolute discretion reserves the right to increase the number of qualified Tenderers. 1.21.1.3 Stage 'C' The envelope marked ""Financial Document"" submitted by each qualified Tenderer will then be opened (at a public opening) as per clause 1.17. A Financial Evaluation will be carried out using in addition to the Tender price, the Evaluation Factors (B) and (F) to (N) of sub-clause 1.21.3. Subsequently, a detailed technical evaluation will be carried out to arrive at the best evaluated Tender. The determination of whether the best evaluated Tender remains responsive to the requirements of the Tender, following the detailed evaluation as described above and whether such Tender incorporates the technical, financial and production capability for the satisfactory performance of the Contract will be a prerequisite to Contract award. A negative determination will result in a rejection of the Tender in which event, the Purchaser will repeat the same evaluation procedure with the next best evaluated Tender. 1.21.2 In the event that a Tenderer does not qualify in accordance with sub-clauses 1.21.1.1 and 1.21.1.2 of these Instructions, the Purchaser will return the unopened envelope marked ""Financial Document"" together with the Tender Security to the Tenderer. 1.21.3 EVALUATION FACTORS AND WEIGHTS Minimum Acceptable Maximum Acceptable (A) Similar plant bearing a weight of 20 40 (B) Adherence to specification and quality of equipment bearing a weight of 12 20 (C) Tenderer/Subcontractor capability bearing a weight of 8 15 (D) Design and operating experience bearing a weight of 8 15 (E) Design and Experience of Flue Gas/Gas heater bearing a weight of 4 7 (F) Programme bearing a weight of 2 3 100 (G) Plant performance (including electrical power for the auxiliaries and auxiliary steam consumption) (H) Terms of payment (I) Inspection expenses (J) Engineering requirements (K) Civil engineering requirements (L) Electrical engineering requirements (M) Reporting and expediting proposals (N) Proposals for credit 1.10.2 (c) The Tenderer has proven and extensive experience in the execution of contracts of similar nature and value as offered in their Tender and his goods have satisfactorily performed for at least 10 years home and abroad. Details of Contracts undertaken by the Tenderer giving the names of the Purchasers, the dates and periods of operation, a brief description and value of the work carried out and satisfactorily performed, shall be submitted with the Tender. The Tenderer must have experience of the plant offered, in the design, manufacture, supply, installation and commissioning of a reasonable number of seawater scrubbing units, manufactured during the past 10 years and having satisfactory operation in the recent years. These units must have also been installed outside the country of design and manufacture. In this context the country of design/manufacture means the country as it existed during the manufacturing period of the equipment. Tenderers that are offering plant as above and which is manufactured in their factories under licence from another company have to prove that above plant have been manufactured in their factories under this licence and that they possess relevant design capabilities to the satisfaction of the Purchaser. Above evidence will be used together with other information for evaluating the Tender under factors (A) and (D) of clause 1.21.3.” 11. VALIDITY - The Tenders are required to be held open for acceptance for 180 days from the Closing Date specified. 12. TENDER BOND - The Tenderers are required, as a security for the due performance of their obligations under the Tender, to submit with their Tender, a Tender Bond issued or confirmed by a local bank carrying out full banking operations in Cyprus, in the sum of C£500.000 (Cyprus Pounds five hundred thousand) to be valid up to 30 days beyond the validity of the Tender. The above shall be returnable to the Tenderer’s Bankers if his Tender is not accepted. It is stressed that cheques will not be accepted as Tender Security. 13. PERFORMANCE BOND - The successful Tenderer will be required to furnish a Performance Bond to the amount of 10% of the Total Contract Value. The said Bond shall be valid up to 24 months after completion of the works. 14. TENDER DOCUMENTS - The Tender Documents will be available from the Electricity Authority of Cyprus as from 18 September 2001, upon payment C£300 plus V.A.T. for a set of 4 Documents. This payment will not be refundable. Where Tender Documents are to be mailed by the Authority abroad, an additional amount of C£60,- per set should be paid in order to cover packing and postage costs. 15. CLOSING DATE - The Tenders are returnable to the Head Office of the Electricity Authority of Cyprus, by 12.00 hours noon local time on Friday, 11 January 2002. 16. OPENING OF FINANCIAL DOCUMENTS - A public opening of the envelopes containing the Financial Documents of the qualified Tenderers will take place at the Head Office of the Electricity Authority of Cyprus on a date to be announced later. 17. GENERAL - The Electricity Authority of Cyprus does not bind itself to accept the lowest or any Tender, nor will it be responsible for any costs incurred by the Tenderers in making their Tenders. 18. ENGINEER - The Engineer of the Contract will be PB Power Ltd of U.K."