Aposto – Hagere Selam Heavy Maintenance Road Project

Nationality in accordance with ITC Clause 4.2.

For Local bidders:

A Minimum of one (1) any type of Road maintenance or  Construction or Upgrading or Rehabilitation Projects with a value of at least ETB 738 Million 

OR

A Minimum of two (2) any type of Road maintenance or   Construction or Upgrading or Rehabilitation Projects each with a value of at least ETB 369 Million;  

OR

A Minimum of three any type of Road maintenance or   Construction or Upgrading or Rehabilitation Projects each with a value of at least ETB 246 Million

In all cases, the experiences shall be within the last ten (10) years that has been successfully and substantially completed (70% Completed).

For Foreign bidders:

A Minimum of two similar Road Maintenance or Construction or Upgrading or Rehabilitation projects each with a value of at least ETB 1.054 Billion within the last ten (10) years that has been successfully and substantially completed (80% Completed).

For Local Bidders:

Two (2) years firm experience under construction contracts in the role of Contractor, Joint Venture partner or sub-contractor.

For Foreign Bidders:

Five (5) years firm experience under construction contracts in the role of Contractor, Joint Venture partner or sub-contractor.

All pending litigation shall in total not represent more than (30%) Thirty percent of the Bidder’s net worth and shall be treated as resolved against the Bidder.

1)  Non-performance of a contract did not occur within the last Two (2) years prior to the deadline for Qualification submission based on all information on fully settled dispute or litigation is one that has been resolved in accordance with the Dispute Resolution Mechanism under the respective contract, and where all appeal instances available to the Bidder have exhausted. In addition to the submitted information, the respective contract, and where all appeal instances available to the Bidder have been exhausted.

In addition to the submitted information, the Employer reserves the right to obtain any records of non-Performance of the Bidders in the past 2 years from official records within or outside of Ethiopia as a basis for qualification.

2)  If the Employer, based on full documentary evidence, establishes poor performance by any Bidder engaged in similar works in Africa and other developing countries, on any contracts carried out over the last 2 years. Or if a bidder is not performing to the satisfaction of the Employer on the already awarded contracts, then the Employer may use this information in the assessment of the Bidders’ qualifications.

3)  Evaluation of Contractor’s Performance shall be conducted regularly. Any Contractor’s performance shall be evaluated based on the ERA’s Contractor’s performance assessment framework and rated accordingly. The minimum acceptable performance on ongoing contracts shall be revised to reflect the actual situations. The minimum acceptable performance on ongoing contracts is set from time to time by ERA BOARD.

4)  If ERA found Nonperformance or poor Performance history of a Bidder at any stage of the tendering process before signing of the contract agreement [except for ERA’s Monthly Contractor’s performance assessment framework, the result of which is considered only for the preceding month before submission of bid], the bidder will be rejected from the proceeding stage of the tendering.

ERA will request performance of bidders on their current work performance from their respective clients (for those bidders who have no current contract Commitment with ERA) and same will be copied it to the bidders. Hence, bidders are strongly advised to facilities in order to obtain timely response from their clients within ten (10) working days of receiving of such requests. Failure to obtain such response within the stated time might result in rejection of bidders bid and the client may not take any responsibility on the matter.”

GC-2 or RC-2 and above

The Bidder must demonstrate access to, or availability of, financial resources such as liquid assets, unencumbered real assets, lines of credit, and other financial means, other than any contractual advance payments to meet the following cash-flow requirement:

(i) Local Bidders - ETB 131 Million

(ii) Foreign Bidders - ETB 175 Million

Bidders are allowed to participate for One or for all of projects tender out at the same time as indicated under sub clause ITB 13.12.

A bidder can be awarded any projects that the bidder has applied for by applying multiple contract assessments criteria set below and based on the Employer’s best economical advantage.

Peak Annual Construction Turnover of the projects required for multiple projects are the sum of the turnover of the applied projects.

Cash flow of the projects is required for multiple projects are the sum of the cash flow of the applied projects.

Submission of Audited Balance Sheet and Other Financial Statements as required in the Bid Data Sheet Clause 17, for the last five years or for the number of years of establishment of the firm if the firm establishment period is less than five years, to demonstrate the current soundness of the Bidder’s financial position and its prospective long-term profitability

The bidder’s financial statement must fulfill at least the following minimum financial soundness requirements.

Local bidder:

    i.      Average current ratio of the last five years should be more than one (1) OR

The current ratio of the recent year should be more than one (1)

And

  ii.     Profit before tax or return on equity of the past four years should be positive.

Foreign bidder:

    i.     Average current ratio of the last five years should be more than one (1)

And

  ii.      The current ratio of the recent three years should be more than one (1)

And

 iii.      Profit before tax of the past five years or return on equity from net worth of the past four years should be positive.

·     For local bidders who have failed to satisfy the above financial soundness requirements, they can optionally provide and attach with the qualification document unconditional line of credit specific to the project equivalent to the amount specified under Item No. 4.3(i) and valid for the duration of the contract otherwise; they will be rejected from further evaluation.

The Unconditional Credit Facility shall be in line with Form-L enclosed in Section 4: Bidding Forms of the Bidding Document.

·     If the local bidder is qualified and becomes the recommended bidder for award of the contract with provision of unconditional line of credit, he shall sign tripartite agreement with ERA and the Bank before signing of the contract; otherwise, he will not be considered as successful bidder.

·     In case of joint venture partnership, if any of the local partner of the JV has failed to fulfill the requirement of current ratio/Average and profit before tax/Return on equity as required above, the local partner is required to bring unconditional guarantee amounting proportionally equal to the shares of the local partner calculated from the total amount of cash flow requirement Specified under item No. 4.3 (i).

·     Annual financial statements shall be prepared by certified auditors but not by an accountant or accounting firms. Financial statements prepared by accounting firms will not be accepted.”

·     The audited financial statement prepared by an independent auditor shall be notarized by Addis Ababa Chamber of Commerce for Local Bidder and Notarized by appropriate Notary Public and Authenticated by Foreign Affairs Minister of Ethiopia for Foreign Bidders.

·     While converting the annual turnover of other currencies to ETB, the applicable exchange rate of National Bank of Ethiopia for the date ending of each audit period shall be used.

Note:

·     Current ratio is current asset divided by current liability

·     Return on Equity is annual profit before taxes divided by the net worth of the previous year

Annual financial statements shall be prepared by certified auditors but not by an accountant or accounting firms. Financial statements prepared by accounting firms and Unauthenticated financial statements will not be accepted.

For Local bidders (individual firms or Joint Venture):

Peak annual construction turnover of ETB 421 Million calculated as total certified payments received for contracts in progress or completed within the last Five (5) years.

For Foreign bidders (individual firms or Joint Venture):

Average annual construction turnover of ETB 1.054 Billion  calculated as total certified payments received for contracts in progress or completed within the last Five (5) years.

For a Joint Venture of Local and Foreign bidders:

Average annual construction turnover of ETB 791 Million calculated as total certified payments received for contracts in progress or completed within the last Five (5) years.