Engineering Projects (I) Ltd

ENGINEERING PROJECTS (I) LTD.

Business Development Division

DLI/BDD/EOI/057

“EXPRESSION OF INTEREST”

For Construction of Access Controlled Nagpur - Mumbai Super Communication Expressway in the State of Maharashtra on EPC mode MAHARASHTRA SAMRUDDHI MAHAMARG.

Engineering Projects (India) Limited (EPI), under the aegis of Ministry of Heavy Industries & Public Enterprises, Govt. of India, is one of the Premier Engineering Services Organization of India engaged in execution of multi-disciplinary projects on turnkey basis in India & Overseas.

EPI has executed projects of diverse nature such as Institutional Complexes, Commercial Buildings, Universities, Housing Complexes, Roads, Water Transportation Structures, Canals, Airports, Hangars, Runways, Infrastructure Development Works, Power plants, Process plants, Industrial plants, Material handling systems, Sports stadiums etc.

The Government of Maharashtra has appointed MSRDC as Implementing Agency to develop Access Controlled Nagpur – Mumbai Super Communication Expressway called as Maharashtra SamruddhiMahamarg (greenfield alignment) starting from 0.000 km at Shivmadka (Hingna, Nagpur) to 701 km at Vadape (Thane) in the State of Maharashtra. MSRDC intends to appoint competent and eligible Contractors for designing, engineering, procurement and construction of the proposed expressway as per manual of specifications and standards for Expressway IRC SP 99 2013 by dividing the work in to suitable packages (1-13Pkgs) and (14-16 pkgs )copy enclosed.

In view of above, EPI invites expression of Interest from reputed and experienced Company /Firm / Agency who has experience in the work of access controlled highway(Expressway, Freeway, Motorway, Autobahn)and willing to associate as partner with EPI for execution of subject project.

The Company /Firm /Agency should meet the following criteria:

Technical Criteria

Should have its own registered office in India and operating at least 05 years preceding the year 2017. (Certificate of incorporation or proof to be attached). In case of Foreign firm not having office in India then, foreign firms are required to open office in India as per project requirement. However, MSRDC condition, if any shall be binding.

Should have experience in Designing, Engineering, Procurement, construction (EPC) and maintenance of Road Project. (Certificate or undertaking to be attached)

Should have received payments for construction of Eligible Projects*, or has undertaken construction works by itself in a PPP project, such that the sum total thereof is more than Rs. 1500 croreover the past 5 (five) financial years preceding the Application Due Date.

Should havecompleted at least one similar work of access controlled highway (Expressway, Freeway, Motorway, Autobahn) of 50% of Estimated Project Cost (Minimum Rs. 500 Crore or above) during last 5 (five) financial years (For this purpose, a project shall be considered to be completed, if more than 90% of the value of work has been completed and such completed value of work is equal to or more than 50% of the estimated project cost).

Should have at least one tunnel work of minimum 10 m. (Ten meter) diameter in a single project of minimum length of 4 Km and having the cost of Rs. 200 Cr.and / or an aggregate length of 15.00 km with total cost of Rs. 750 Cr.and at least one 2 lane viaduct of length of 1.00 Km work and having cost of Rs. 100 Cr. and / or aggregate length of 4.00 Km with total cost of Rs. 400Cr.have been completed from the Eligible Projects in Category 1 and/or Category 3 specified in the Clause for the purpose of qualification for package 14.

Should have at least one tunnel work of minimum 10 m. (Ten meter) diameter in a single project of minimum length of 700 meter and having the cost of Rs. 35Cr.and / or an aggregate length of 3.50 km with total cost of Rs.150Cr. and at least one 2 lane viaduct of length of 2.50 Km work and having cost of Rs. 250Cr.and / or aggregate length of 10.00 Km with total cost of Rs. 1000Cr.have been completed from the Eligible Projects in Category 1 and/or Category 3 specified in Clause for the purpose of qualification for package 15.

Should have at least one tunnel work of minimum 10 m. (Ten meter) diameter in a single project of minimum length of 700 meter and having the cost of Rs. 35Cr. and / or an aggregate length of 3.50 km with total cost of Rs.150Cr.and at least one 2 lane viaduct of length of 0.6 Km work and having cost of Rs. 60Cr. and / or aggregate length of 2.50 Km with total cost of Rs. 250 Cr. have been completed from the Eligible Projects in Category 1 and/or Category 3 specified in for the purpose of qualification for package 16.

Note 1: The requirement specified is for minimum package cost of Rs. 1000 Cr. and this will be minimum requirement. The applicants are required to submit only one application for pkg1-13 and separate application for pkg 14-16.

Note 2: For category d,e,f,g ; Experience in respective field is mandatory for lead member, However, client’s conditions/requirements shall prevail.

Note 3: Criteria mentioned above is for minimum work. In case, if intend to participate for value more than Rs. 1000/- Cr. then the client’s /MSRDC RFQ needs to be satisfied.

Note 4: Firm/Agency has to ensure that they are well acquainted with MSRDC RFQ requirement and fulfilling RFQ requirement/ specified criteria considering upto date corrigendum/addendum, if any.

Should have available Bid capacity at least Rs. 600 Crore or more

Bid capacity will be calculated as (AxNx2-B), whereas

Where A = Maximum value of civil engineering works in respect of Projects executed in any one year during the last five years (updated to the price level of the indicated taking into account the completed as well as works in progress.

The value of ‘A’ in the formula (A*N*2 – B) requires updation to the price level and the factors for the year is indicated as under:

S. no. Particulars Updation factor

1 Year-1 1.00

2 Year-2 1.05

3 Year-3 1.10

4 Year-4 1.15

5 Year-5 1.20

The projects as mentioned for ‘A’ includes turnkey project/ Item rate EPC Contract / Construction works.

N = Number of years (2.5) prescribed for completion of the works for which bids are invited.

B = Value (updated to the price level of the year indicated in Appendix) of existing commitments and on-going works to be completed during the next 2 1 /2 years (period of completion of the works for which bids are invited).

Any entity which has been barred by the MoRT&H / Government of Maharashtra or any entity controlled by it, from participating in any project (EPC /BOT or otherwise), and the bar subsists as on the date of application, would not be eligible to submit bid, either individually or as member of a joint Venture. ( undertaking to be attached)

An Applicant, in the last 3 (three) years, have neither failed to perform on any contract, as evidenced by imposition of a penalty by an arbitral or judicial authority or a judicial pronouncement or arbitration award against the Applicant orMember, as the case may be, nor has been expelled from any project or contract byMoRT&H / Government of Maharashtra nor have had any contract terminated by MoRT&H Government of Maharashtra or any entity controlled by it for breach by such Applicant, Consortium Member or Associate. ( undertaking to be attached)

The Applicant may provide details of all their ongoing projects along with stage of litigation, if so, against Central / State Government, or any entity controlled by it.

The applicant may also provide details of on-going process of blacklisting if so, under any contract with MoRT&H / Government of Maharashtra or any entity controlled by it.( undertaking to be attached)

Technical Capacity for purposes of evaluation

Subject to the provisions of the RFQ Clause,the following categories of experience would qualify as Technical Capacity and eligible experience (the "Eligible Experience") in relation to eligible projects as stipulated in RFQ Clauses (the "Eligible Projects"):

Category 1: Project experience on Eligible Projects in highways sector that qualify under RFQClause

Category 2: Project experience on Eligible Projects in core sector that qualify under RFQ Clause

Category 3: Construction experience on Eligible Projects in highways sector that qualify under RFQ Clause

Category 4: Construction experience on Eligible Projects in core sector that qualify underRFQ Clause

For the purpose of this RFQ:

(i) highways sector would be deemed to include highways, expressways, bridges, tunnels and airfields; and

(ii) core sector would be deemed to include ports, airports, railways, power, metro rail, industrial parks/ estates, logistic parks, pipelines, irrigation, water supply, sewerage, hydro power and real estate development$ .

($ Real estate development shall not include residential flats unless they form part of a real estate complex or township which has been built by the Applicant)

Eligible Experience in respect of each category shall be measured only for Eligible Projects.

For a project to qualify as an Eligible Project under Categories 1 and 2:(a) It should have been undertaken as a PPP project on BOT, BOLT, BOO, BOOT or other similar basis for providing its output or services to a public sector entity or for providing non-discriminatory access to users in pursuance of its charter, concession or EPC Contract , as the case may be. For the avoidance of doubt, a project which constitutes a natural monopoly such as an airport or port should normally be included in this category even if it is not based on a long-term agreement with a public entity; ($ Real estate development shall not include residential flats unless they form part of a real estate complex or township which has been built by the Applicant).

(b) the entity claiming experience should have held, in the company owning the Eligible Project, a minimum of 26% (twenty six per cent) equity during the entire year for which Eligible Experience is being claimed;

(d) the entity claiming experience shall, during the last 5 (five) financial years preceding the Application Due Date, have itself undertaken the construction of the project for an amount equal to at least one half of the Project Cost of eligible projects, excluding any part of the project for which any contractor or, sub-contractor or other agent was appointed for the purposes of construction

For a project to qualify as an Eligible Project under Categories 3 and 4,

the Applicant should have received payments from its client(s) for construction works executed, fully or partially, during the 5 (five) financial years immediately preceding the Application Due Date, and only the amounts (gross) actually received, during such 5 (five) financial years shall qualify for purposes of computing the Experience Score. However, receipts of less than 10% of the amount specified as the Estimated Project Cost shall not be reckoned as receipts for Eligible Projects. For the avoidance of doubt, construction works shall not include supply of goods or equipment except when such goods or equipment form part of a turn-key construction contract / EPC Contract for the project. Further, the cost of land shall not be included hereunder.

The Applicant shall quote experience in respect of a particular Eligible Project under any one category only, even though the Applicant (either individually or along with a member of the Joint Venture/Consortium) may have played multiple roles in the cited project. Double counting for a particular Eligible Project shall not be permitted in any form

For the purpose of assigning scores to the Applicant, its experience shall be measured and stated in terms of a score (the "Experience Score"). The Experience Score for an Eligible Project in a given category would be the eligible receipts specified in Clause,divided by ten million and then multiplied by the applicable factor in Table below. In case the Applicant has experience across different categories, the score for each category would be computed as above and then aggregated to arrive at its Experience Score.

Factors for Experience across categories

Factor Category

1.00 1

0.70 2

1.00 3

0.70 4

The Experience Score determined in accordance with Clause in respect of an Eligible Project situated in a developed country which is a member of OECD shall be further multiplied by a factor of 0.5 (zero point five) and the product thereof shall be the Experience Score for such Eligible Project.
Experience for any activity relating to an Eligible Project shall not be claimed by two or more Members of the Joint Venture. In other words, no double counting by a Joint Venture in respect of the same experience shall be permitted in any manner whatsoever.

Financial Criteria

Should have minimum net worth of Rs. 60 crore (Rs. Sixty cr. Only) at the close of the preceding financial year.

An Applicant including any Consortium Member shall, in the last two financial years i.e. 2014-15 and 2015-2016, have neither been a loss making company nor been in the list of Corporate Debt Restructuring (CDR) and / or Strategic Debt Restructuring (SDR) (Proof or undertaking is to be given)

Foreign firms may submit information w.r.t. Turnover, Net worth, balance sheet etc. as per their applicable Financial year which is subject to acceptance of MSRDC.

Acknowledgement by Applicant :

It shall be deemed that by submitting the Application, the Applicant has:

(a) made a complete and careful examination of the RFQ of MSRDC;

b) Aware of all relevant information of RFQ of MSRDC;

(c) accepted the risk of inadequacy, error or mistake in the information provided in the RFQ or furnished by or on behalf of MSRDC relating to any of the matters referred to in Clause above; and

(d) agreed to be bound by the undertakings provided by it under and in terms hereof.

EPI or MSRDC shall not be liable for any omission, mistake or error in respect of any of the above or on account of any matter or thing arising out of or concerning or relating to the RFQ or the Bidding Process, including any error or mistake therein or in any information or data given by MSRDC.

Note: Any relevant information, document or data which has been inadvertently left / missed ; and which is required as per client’s RFQ or uptodate addendum / corrigendum; leading to qualifying for bidding may be accepted as ultimate aim is to meet RFQ requirement of MSRDC. However, EPI reserves the Right to accept or reject any or all Applications/ Bids without assigning any reason.

In case the annual accounts for the latest financial year are not audited and therefore the Applicant cannot make it available, the Applicant shall give an undertaking to this effect and the statutory auditor shall certify the same. In such a case, the Applicant shall provide the Audited Annual Reports for 5 (five) years preceding the year for which the Audited Annual Report is not being provided.

The Applicant must establish the minimum Net Worth specified in Clause of RFQ and provide details as per format .

Provide details of only those projects that have been undertaken by the Applicant, or its Lead member including members in case of joint venture, under its own name separately and/ or by a project company eligible under RFQ Clause

In case of Categories 1 and 2, include only those projects which have an estimated capital cost exceeding the amount specified in RFQ Clause and for Categories 3 and 4, include only those projects where the payments received exceed the amount specified in Clause of RFQ.

In case the Application Due Date falls within 3 (three) months of the close of the latest financial year, refer to Clause of RFQ

Construction shall not include supply of goods or equipment except when such goods or equipment form part of a turn-key construction Contract / EPC Contract for the project. In no case shall the cost of maintenance and repair, operation of Highways and land be included while computing the Experience Score of an Eligible Project.

For conversion of US Dollars to Rupees, the rate of conversion shall be Rupees 65 (sixty five) to a US Dollar. In case of any other currency, the same shall first be converted to US Dollars as on the date 60 (sixty) days prior to the Application Due Date, and the amount so derived in US Dollars shall be converted into Rupees at the aforesaid rate. The conversion rate of such currencies shall be the daily representative exchange rates published by the International Monetary Fund for the relevant date. Divide the amount in the Experience column by ten million and then multiply the result thereof by the applicable factor set out in Table
(10 million= I Cr.; When figures are mentioned in Crore )

To arrive at the Experience Score for each Eligible Project. In the case of an Eligible Project situated in an OECD country, the Experience Score so arrived at shall be further multiplied by 0.5, in accordance with the provisions of Clause , and the product thereof shall be the Experience Score for such Eligible Projects.

Bid Capacity: Bid Capacity = (A x N x 2 - B) Where, N = Number of years prescribed for completion of work for which Bid is invited. A = Maximum payment receipts for Eligible projects or works taken under EPC and value of civil Contract under in PPP Contract which are completed or in progress in any of the last five financial years (updated to current price, as given in RFQ)

B = Value (updated to current price, as given of existing works in progress in EPC /PPP Contract in next 2.5 years i.e. period of completion proposed for this Expressway

Net Profit / Loss shall mean Profit After Tax as per Audited financial statement.

Net worth (the “Net Worth”) shall mean the aggregate value of the paid-up share capital and all reserves created out of the profits and securities premium account, after deducting the aggregate value of the accumulated losses, deferred expenditure and miscellaneous expenditure not written off, as per the audited balance sheet ,but does not include reserves created out of revaluation of assets , write -back of depreciation and amalgamation

Year 1 will be the latest completed financial year, preceding the bidding. Year 2 shall be the year immediately preceding Year 1 and so on. In case the Application Due Date falls within 3 (three) months of the close of the latest financial year, refer to Clause of RFQ.

In the case of a Consortium, a copy of the Jt. Bidding Agreement shall be submitted in accordance with Clause of the RFQ document.

The applicant shall also provide the name and address of the Bankers to the Applicant.

The Applicant shall provide an Auditor’s Certificate specifying the net worth of the Applicant and also specifying the methodology adopted for calculating such net worth in accordance with Clause of the RFQ document

The total payments received/ made and/or revenues appropriated for each Eligible Project are to be stated. The figures to be provided here should indicate the break-up for the past 7 (Seven) financial years. Year 1 refers to the financial year immediately preceding the Application Due Date; Year 2 refers to the year before Year 1, Year 3 refers to the year before Year 2, and so on (Refer RFQ Clause). For Categories 1 and 2, expenditure on development of the project and/or revenues appropriated, as the case may be, should be provided, but only in respect of projects having an estimated capital cost exceeding the amount specified in Clause .In case of Categories 3 and 4, payments made/ received only in respect of construction should be provided, but only if the amount paid/received exceeds the minimum specified in RFQ Clause.Payment for construction works should only include capital expenditure, and should not include expenditure on repairs and maintenance.

In case of projects in Categories 1and 2, particulars such as name, address and contact details of owner/ MSRDC/ Agency (i.e. concession grantor, counter party to concession, etc.) may be provided. In case of projects in Categories 3 and 4, similar particulars of the client need to be provided.

Provide the estimated capital cost of Eligible Project as per requirement.

For Categories 1 and 2, the date of commissioning of the project, upon completion, should be indicated. In case of Categories 3 and 4, date of completion of construction should be indicated. In the case of projects under construction, the likely date of completion or commissioning, as the case may be, shall be indicated.

For Categories 1 and 2, the equity shareholding of the Applicant, in the company owning the Eligible Project, held continuously during the period for which Eligible Experience is claimed, needs to be given

Experience for any activity relating to an Eligible Project shall not be claimed twice. In other words, no double counting in respect of the same experience shall be permitted in any manner whatsoever.

Certificate from the Applicant’s statutory auditor or its respective clients required to be furnished to Client/MSRDC as per formats for each Eligible Project. In jurisdictions that do not have statutory auditors, the auditors who audit the annual accounts of the Applicant may provide the requisite certification.

EPI reserves the right to associate Lead member in line with client’s RFQ . No claim on this account whatsoever shall be entertained.

Data are asked till preceding financial year or financial years preceding the Application Due Date.; or at some places upto March 2016 where it is assumed that Balance Sheets for financial year 2016-17 may be finalised upto September 2017. However, Data/certificate submitted till March 2016 or march 2017 may be accepted subject to acceptance of MSRDC.

For Other Clauses, appendix, form or formats of MSRDC RFQ may be referred especially, Appendix I-Annx. I to VIA including Table for calculating ‘B’ (Balance work),etc.

One application is to be submitted for pkg 1-13 and separate application is to be submitted for pkg14-16.

Company/firm/agency are required to furnish additional information / clarification as and when required by EPI/MSRDC.

Company/firm/agency fulfilling the above eligibility criteria and willing to associate with EPI may submit their technical and financial credentials by 26.05.2017 upto 1500 Hrs (IST). (List of successful completed/ongoing projects, certificate from clients, Annual reports of last 5 years, Chartered accountant’s certificate of turnover, net worth & profitability, etc. as per RFQ or their corrigendum/addendum, if any, should be submitted). The envelope should be marked with EOI no.DLI/BDD/EOI/057