Part 1: Bidding Procedures Section 1: Instructions to Bidders

Section 1. Instructions to Bidders

Table of Clauses
A. General -1-
1. Introduction -1-
2. Source of Funds -2-
3. Fraud, Corruption and Complaints Provisions -2-
4. Eligible Bidders -3-
5. Eligible Materials, Equipment and Services -4-
6. Conflict of Interest -4-
B. Contents of Bidding Documents -5-
7. Bidding Documents -5-
8. Written Questions / Clarification of Bidding Documents -6-
9. Modification to Bidding Documents -6-
10. Pre-Bid Conference and Site Visit -6-
C. Preparation of Bids -7-
11. Cost of Bidding -7-
12. Language of Bid -7-
13. Bid Prices and Discounts -7-
14. Currencies of Bid and Payment -8-
15. Professional Qualifications and Capability of the Bidder -8-
16. Technical Qualifications, Competence, and Experience of the Bidder -9-
17. Financial Standing of the Bidder -9-
18. Joint Venture or Consortium - 10 -
19. Alternative Bids - 10 -
20. Period of Validity of Bids - 10 -
21. Bid Security - 11 -
22. Documents Comprising the Bid - 12 -
23. Format and Signing of Bid - 13 -
D. Submission and Opening of Bids - 13 -
24. Sealing and Marking of Bids - 13 -
25. Deadline for Submission of Bids - 13 -
26. Late Bids - 14 -
27. Withdrawal, Substitution, and Modification of Bids - 14 -
28. Bid Opening - 14 -
E. Evaluation and Comparison of Bids - 15 -
29. Confidentiality - 15 -

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Section I of IX Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

30. Clarification of Bids - 15 -

31. Responsiveness of Bids - 15 -
32. Nonconformities and Omissions - 16 -
33. Dubious price quotations and errors in calculation - 16 -
34. Margin of Preference - 17 -
35. Conversion to Single Currency - 17 -
36. Preliminary Examination of Bids - 17 -
37. Legal, Professional, Technical, and Financial Admissibility of Bids - 18 -
38. Evaluation of Bids - 20 -
39. Comparison of Bids - 20 -
40. Post-qualification Evaluation - 21 -
41. Acceptance or Rejection of Bids - 21 -
42. Re-advertising Bids - 21 -
F. Award of Contract - 21 -
43. Award Criteria - 21 -
44. Right to Vary Quantities at Time of Award - 22 -
45. Announcing and Awarding of the Successful Bidder - 22 -
46. Signing of Contract - 22 -
47. Performance Security - 22 -

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Section I of IX Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

Section I. Instructions to Bidders

A. General
1. Introduction
1.1 The Public Body indicated in the Bid Data Sheet (BDS) is the Contracting Authority for this
procurement process and it is bound by the rules governing public procurement in the Federal
Democratic Republic of Ethiopia. It has the powers and duties to conclude a Contract for the
provision of Works. Accordingly, this procurement process is being conducted in accordance
with the recent editions of the Ethiopian Federal Government Procurement and Property
Administration Proclamation and Public Procurement Directive under the procurement method
indicated in the BDS.
1.2 By the issue of this Bidding Documents the Public Body invites interested Candidates to submit
their Bids with a view to entering into Contract with the Public Body for the provision of Works
which general description is provided in the BDS. The Works that are subject of this
procurement process are more particularly specified in Section 6, Schedule of Requirements
upon the basis of the information supplied in and in accordance with this Bidding Documents.
1.3 Each Bidder may only submit one Bid, either individually or as a partner in joint venture. A
Bidder who submits or participates in more than one Bid (other than as a subcontractor or in
cases of alternatives that have been permitted or requested) will cause all the Bids with the
Bidder’s participation to be disqualified.
1.4 The procurement reference number and number of lots of this Bidding Documents are provided
in the BDS. If Bids are being invited for individual contracts (lots) the Bidder may submit a Bid
for one lot only, several or all of the lots. Each lot will form a separate contract and the
quantities indicated for different lots will be indivisible. The Bidder must offer the whole of the
quantity or quantities indicated for each lot.
1.5 This Section 1, Instructions to Bidders shall not form a part of the Contract. These instructions
are intended to assist Bidders in the preparation of their Bids.
1.6 The Public Body is not bound to accept any Bid, and reserves the right to annul the selection
process at any time prior to Contract award, without thereby incurring any liability to the
Bidders.
1.7 The Public Body retains ownership of all Bids submitted in response to this Bidding
Documents. Consequently, Bidders have no right to have their Bids returned to them except late
Bids.
1.8 In submitting a Bid, the Bidder accepts in full and without restriction this Bidding Documents
as the sole basis of this procurement procedure, whatever his own conditions of sale may be,
which he hereby waives. Bidders are expected to examine carefully and comply with all
instructions, forms, contract provisions and specifications contained in this Bidding Documents.
Failure to submit a Bid containing all the required information and documentation within the
deadline specified may lead to the rejection of the Bid. No account can be taken of any
reservation in the Bid as regards the Bidding Documents; any reservation will result in the
immediate rejection of the Bid without further evaluation.
1.9 The permitted method of communication shall be in writing. Throughout these Bidding
Documents the term "in writing" means communicated in written form and delivered against
receipt.

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 1 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

2. Source of Funds
2.1 The Public Body has an approved budget toward the cost of the procurement described in the
Section 6, Schedule of Requirement. The Public Body intends to use these funds to place a
Contract for which these Bidding Documents are issued.

2.2 Payments will be made directly by the Public Body and will be subject in all respects to the
terms and conditions of the resulting Contract placed by the Public Body.
3. Fraud, Corruption and Complaints Provisions
3.1 The Government of the Federal Democratic Republic of Ethiopia (herein after called the
Government) represented by the Public Procurement and Property Administration Agency
(herein after called the Agency) requires Contracting Authorities, as well as Bidders to observe
the highest standards of ethics during the procurement and the execution of contracts. In
pursuance of this policy, the Government:
(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 action of a public
official in the procurement process or in contract execution;
(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 practices” is a scheme or arrangement between two or more parties,
with or without the knowledge of the Public Body, designed to establish prices at
artificial, non-competitive levels; and
(iv) “Coercive practices” is harming or threatening to harm, directly or indirectly,
parties or their property to influence their participation in a procurement process,
or affect the execution of a contract.
(v) Obstructive practice is
 deliberately destroying, falsifying, altering or concealing of evidence material
to the investigation or making false statements to investigators in order to
materially impede the Federal Ethics and Anticorruption Commission, the
Federal Auditor General, and the Public Procurement and Property
Administration Agency or their auditors investigation into allegations of a
corrupt, fraudulent, coercive or collusive practice; and/or threatening,
harassing or intimidating any party to prevent their from disclosing their
knowledge of matters relevant to the investigation or from pursuing the
investigation, or
 Acts intended to materially impede the exercise of inspection and audit rights
provided for under ITB Clause 3.5 below.
(b) Will reject a recommendation for award if it determines that the Bidder recommended for
award has, directly or through an agent, engaged in corrupt, fraudulent, collusive,
coercive or obstructive practices in competing for the contract in question;
(c) Will debar a Bidder from participation in public procurement for a specified period of
time if it at any time determines the Bidder has engaged in corrupt, fraudulent, collusive,
coercive or obstructive practices in competing for, or in executing, a contract. The List of
Debarred Bidders is available on the Agency's Website http//[Link].
3.2 In pursuit of the policy defined in Sub-Clause 3.1, the Public Body may terminate a contract for

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 2 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

Works if it at any time determines that corrupt or fraudulent practices were engaged in by
representatives of the Public Body or of a Bidder during the procurement or the execution of
that contract.
3.3 Where it is proved that the Bidder has given or has offered to give inducement or bribe to an
official or procurement staff of the Public Body to influence the result of the Bid in his favor
shall be disqualified from the Bid, prohibited from participating in any future public
procurement and the bid security deposited by them shall be forfeited.

3.4 Bidders are required to indicate their acceptance of the provisions on fraud and corruption, as
defined in this clause through the statement in the Bid Submission Sheet.

3.5 In further pursuance of this policy, Bidders shall permit the Agency to inspect their accounts
and records and other documents relating to the submission of Bids and contract performance,
and to have them audited by auditors appointed by the Agency.

3.6 Subject to the recent editions of the Public Procurement Proclamation and Procurement
Directive, a candidate or a Bidder aggrieved or is likely to be aggrieved on account of the
Public Body requesting a Bid not complying with the provisions of the Proclamation or
Procurement Directive in conducting a Bid proceeding may present complaint to the head of the
Public Body to have the Bid proceeding reviewed or investigated. Any complaint must be
submitted in writing to the head of the Public Body, within five working days from the date the
Bidder knew, or should have known, of the circumstances giving rise to the complaint. If the
head of the Public Body does not issue a decision within ten working days after submission of
complaint, or the candidate or the Bidder is not satisfied with the decision, it may submit a
complaint to the Board within five working days from the date on which the decision has been
or should have been communicated to the candidate or the Bidder by the Public Body. The
Board's decision is binding for both parties.
4. Eligible Bidders
4.1 A Bidder may be a natural person, private, public or government-owned legal entity, subject to
ITB Sub-Clause 4.4, or any combination of them with a formal intent to enter into an agreement
or under an existing agreement in the form of a Joint Venture (JV), consortium, or association.
In the case of a Joint Venture, consortium, or association:
(a) All parties to the Joint Venture, consortium or association shall be jointly and severally
liable, unless otherwise specified in the BDS; and
(b) A Joint Venture, consortium or association shall nominate a Representative who shall
have the authority to conduct all businesses for and on behalf of any and all the parties of
the Joint Venture, consortium or association during the bidding process and, in the event
the Joint Venture, consortium or association is awarded the Contract, during contract
execution.
4.2 This Invitation for Bids is open to all Bidders (including all members of a joint venture, sub-
contractors and personnel) who have nationality of an eligible country, as defined in Section 5,
Eligible Countries. A Bidder shall be deemed to have the nationality of a country if the Bidder
is a citizen or is constituted, incorporated, or registered and operates in conformity with the
provisions of the laws of that country. This criterion shall also apply to the determination of the
nationality of proposed subcontractors or Contractors for any part of the Contract including
related services.

4.3 A Bidder that has been debarred from participating in public procurement in accordance with
SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)
Document: Instructions to Bidders Page 3 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

ITB Clause 3.1 (c), at the date of the deadline for Bid submission or thereafter, shall be
disqualified.

4.4 Government-owned enterprises shall be eligible if they can establish that they are legally and
financially autonomous and operate under commercial law and that they are not a dependent
agency of the Public Body.

4.5 Unless otherwise specified in the BDS, Bidders shall provide such evidence of their eligibility
satisfactory to the Public Body, to verify that the Bidder::
(a) Is not insolvent, in receivership, bankrupt or being wound up, not have had their business
activities suspended and not be the subject of legal proceedings for any of the foregoing
(b) Appropriate documentary evidence demonstrating its compliance, which shall include:
(i) Valid business license indicating the stream of business in which the Bidder is
engaged,
(ii) VAT registration certificate issued by the tax authority (only domestic Bidders in
case of contract value as specified in BDS),
(iii) Valid Tax clearance certificate issued by the tax authority (domestic Bidders
only);
(iv) Relevant professional practice certificates, if required in BDS.
(c) Foreign Bidders must as appropriate submit business organization registration certificate
or trade license issued by the country of establishment.
4.6 To participate in this public procurement process, being registered in the suppliers list is a
prerequisite (mandatory for domestic Bidders only).
(a) Candidates desiring to participate in public procurement shall have to register themselves
using the form made available for this purpose in the website of the Public Procurement
and Property Administration Agency.
4.7 Bidders shall provide such evidence of their continued eligibility satisfactory to the Public
Body, as the Public Body shall reasonably request in BDS.
5. Eligible Materials, Equipment and Services
5.1 The materials, equipment and services to be supplied under the Contract may have their origin
in any country subject to the restrictions specified in Section 5, Eligible Countries, and all
expenditures under the Contract will not contravene such restrictions. At the Public Body’s
request, Bidders may be required to provide evidence of the origin of materials, equipment and
services.
6. Conflict of Interest
6.1 A Bidder shall not have a conflict of interest. All Bidders found to have a conflict of interest
shall be disqualified. A Bidder may be considered to have a conflict of interest with one or more
parties in this bidding process, if:
(a) They have at least one controlling partner in common; or
(b) They receive or have received any direct or indirect subsidy from any of them; or
(c) They have the same legal representative for purposes of this bid; or
(d) They have a relationship with each other, directly or through common third parties, that
puts them in a position to have access to information about or influence on the bid of

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 4 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

another Bidder, or influence the decisions of the Public Body regarding this bidding
process; or
(e) A Bidder participates in more than one bid in this bidding process. Participation by a
Bidder in more than one Bid will result in the disqualification of all Bids in which such
Bidder is involved. However, this does not limit the inclusion of the same subcontractor
in more than one bid; or
(f) A Bidder participated as a consultant in the preparation of the design or Schedule of
Requirements of the works that are the subject of the bid;
(g) A Bidder that has a business or family relationship with a member of the Public Body’s
staff who is directly or indirectly involved in any part of (i) the preparation of the
Schedule of Requirements of the assignment, (ii) the selection process for such
assignment, or (iii) supervision of the Contract, may not be awarded a Contract, unless
the conflict stemming from this relationship has been resolved in a manner acceptable to
the Public Body throughout the procurement process and the execution of the Contract.
(h) A Bidder or any of its affiliates has been hired (or is proposed to be hired) by the Public
Body as Engineer for the Contract implementation
B. Contents of Bidding Documents
1. Bidding Documents
1.1 The Bidding Documents consist of Parts 1, 2, and 3, which include all the Sections indicated
below, and should be read in conjunction with any Addenda issued in accordance with ITB
Clause 9.
Part 1 Bidding Procedures
Section 1 Instructions to Bidders (ITB)
Section 2 Bid Data Sheet (BDS)
Section 3 Evaluation Methodology and Criteria
Section 4 Bidding Forms
Section 5 Eligible Countries
Part 2 Schedule of Requirements
Section 6 Schedule of Requirements
Part 3 Contract
Section 7 General Conditions of Contract (GCC)
Section 8 Special Conditions of Contract (SCC)
Section 9 Contract Forms
47.5 The Invitation to Bid is not part of the Bidding Document. In case of discrepancies between the
Invitation to Bid and the Bidding Documents listed in ITB Clause 6.1 above, said Bidding
Documents will take precedence.
47.6 The Public Body is not responsible for the incompleteness of the Bidding Documents and their
addenda, if they were not obtained directly from the Public Body. Bidders who did not obtain
the Bidding Documents directly from the Public Body will be rejected during evaluation.

1.2 The Bidder is expected to examine all instructions, forms, terms, and specifications in the
Bidding Documents. Failure to furnish all information or documentation required by the
Bidding Documents may result in the rejection of the Bid.

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 5 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

2. Written Questions / Clarification of Bidding Documents

2.1 The Bidder requiring any clarification of the Bidding Documents shall contact the Public Body
in writing at the Public Body’s address indicated in the BDS. The Public Body will respond in
writing to any request for clarification, provided that such request is received no later than ten
(10) days prior to the deadline for submission of Bids. The Public Body shall forward copies of
its response to all Bidders who have received the Bidding Documents directly from it, including
a description of the inquiry but without reference to the identity of the prospective Bidder
initiating the request. Should the Public Body deem it necessary to amend the Bidding
Documents as a result of a clarification, it shall do so following the procedure under ITB Clause
9 and Sub-Clause 25.2.
2.2 Only the written responses will be considered official and carry weight in this procurement
process and subsequent evaluation. Any answers received outside the official channels, whether
received verbally or in writing, from employees or representatives of the Public Body, or any
other party, shall not be considered official responses to questions regarding this Bidding
Documents.
3. Modification to Bidding Documents
3.1 Where Public Body finds it necessary to introduce modification to the Bidding Documents on
its initiative or on the basis of request for clarification by Bidder, the Public Body may modify
the Bidding Documents at any time prior to the deadline for submission of Bids.
3.2 Any alteration to the content of the Bidding Documents shall at the same time be communicated
in the form of an amendment to all Bidders who received the Bidding Documents and will be
binding on them. Bidders are required to immediately acknowledge receipt of any such
amendment, and it will be assumed that the information contained in the amendment will have
been taken into account by the Bidder in its Bid.
3.3 The Public Body may, at its discretion, extend the closing date for submission of Bids where it
modifies a Bidding Documents as per Clause 9.1 above, if it is assumed that the time remaining
before the closing date is not sufficient for Bidders to prepare adjusted Bid Documents on the
basis of such modification.
4. Pre-Bid Conference and Site Visit
4.1 If the Public Body deems it to be appropriate, it may hold a Pre-Bid Conference for prospective
Bidders who received a Bidding Documents for clarification and discussion on the Bidding
Documents or modification thereto. The Public Body may also organize a site visit or visits
concurrently with the Pre-Bid Conference to allow Bidders to visit and examine the site or sites
and obtain for itself, at its own responsibility and risk, all information that may be necessary for
preparing the bid and entering into the Contract. The costs of visiting the site or sites shall be at
the Bidder’s own expense
4.2 The Public Body shall give written notice to all Bidders who received a Bidding Documents to
attend the Pre-Bid Conference and to gain access to the relevant site or sites. Notice will include
time, date, and address where Pre-Bid Conference and site visits will be organized.
4.3 The Public Body shall welcome all prospective Bidders to attend this Pre-Bid Conference and
site visits. To give all prospective Bidders the opportunity to participate in the pre-bid
conference, prospective Bidders are limited to sending two representatives to Pre-Bid
Conference and site visits. All the costs of attending this conference will be borne by the
prospective Bidders.
4.4 The Public Body invites all prospective Bidders to submit their questions / request for

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 6 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

clarification by time and date and to the address indicated in the BDS Clauses 8.1 and 8.2.

4.5 The Pre-Bid Conference shall be minuted. Copies of the minute shall be delivered to all
prospective Bidders who purchased the Bidding Documents to enable them prepare their Bid
documents by incorporating the content of clarification or modification.

C. Preparation of Bids
1. Cost of Bidding
1.1 The Bidder shall bear all costs associated with the preparation and submission of its Bid and
contract negotiation, and the Public Body shall not be responsible or liable for those costs,
regardless of the conduct or outcome of the bidding process.
2. Language of Bid
2.1 The Bid, as well as all correspondence and documents relating to the Bid exchanged by the
Bidder and the Public Body, shall be written in the language specified in the BDS.
2.2 Bids and supporting documents of Bidders prepared in a language other than language of Bid
shall have to be translated by a legally competent interpreter into language of Bid and a copy of
the translation has to be submitted together with the original documents, especially where such
documents pertain to the fundamental elements of the Bid.
2.3 If the Public Body detects discrepancy between language of the original document and the
translated version, it shall reject the documents unless such discrepancy constitutes minor
deviation from the requirement stated in the Bidding Documents.
3. Bid Prices and Discounts
3.1 The Contract will be Unit Price (Admeasurement) contract or Lump Sum Contract, as indicated
in the BDS.
3.2 The prices and discounts quoted by the Bidder in the Bid Submission Sheet and in the
Schedules shall conform to the requirements specified below.
3.3 The Bidder shall submit a Bid for the whole of the works described in BDS Clause 1.2, by
filling in prices for all items of the Works, as identified in Section 4, Bidding Forms.
3.4 In case of Unit Price contracts, the Bidder shall fill in rates and prices for all items of the Works
described in the Bill of Quantities. Items against which no rate or price is entered by the Bidder
will not be paid for by the Public Body when executed and shall be deemed covered by the rates
for other items and prices in the Bill of Quantities.
3.5 The price to be quoted in the Bid Submission Sheet shall be the total price of the Bid, excluding
any conditional discounts offered.
3.6 The Bidder offering conditional discounts shall indicate the methodology for their application in
the Bid Submission Sheet.
3.7 If so indicated in ITB Clause 1, Bids are invited for individual contracts or for any combination
of contracts (packages). Bidders wishing to offer any price reduction 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. Price reductions or discounts shall be
submitted in accordance with ITB Clause 13.5, provided the Bids for all contracts are submitted
and opened at the same time.
3.8 Public Body shall allow adjustment of prices quoted by the Bidder in case current price

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 7 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

information is available from the Public Procurement and Property Administration Agency or
the Central Statistical Agency.
3.9 Request for price adjustment may be filed after expiration of period specified in the BDS in
accordance with the GCC.
3.10 All duties, taxes, and other levies payable by the Contractor under the Contract, or for any other
cause, as of the date 28 days prior to the deadline for submission of bids, shall be included in
the rates and prices and the total Bid price submitted by the Bidder.
3.11 Where a foreign Bidder plans to use local inputs to satisfy the required object of procurement
under the Contract the portion of the total Contract price representing such local cost shall be
expressed in ETB.
3.12 If so indicated in BDS Sub-Clause 1.4, bids are being invited for individual contracts (lots) or
for any combination of contracts (packages). Unless otherwise indicated 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 any price reduction 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. Price reductions shall
be submitted in accordance with ITB Sub-Clause 12.4 and clearly indicated for each lot in such
a way that it can be announced during the public Bid opening session.
4. Currencies of Bid and Payment
4.1 For those inputs to the Works which the Bidder expects to provide from within Ethiopia, the
prices shall be quoted in the Ethiopian Birr, unless otherwise specified in the BDS.
4.2 For those inputs to the Works which the Bidder expects to provide from outside Ethiopia, the
prices shall be quoted in the freely convertible currency. If the Bidder wishes to be paid in a
combination of amounts in different currencies, it may quote its price accordingly but use no
more than three currencies different from Ethiopian Birr.
4.3 Bidders may be required by the Public Body to justify, to the Public Body’s satisfaction, their
local and foreign currency requirements, and to substantiate that the amounts included in the
prices shown in the appropriate form(s) of Section 4, Bidding Forms in which case a detailed
breakdown of the foreign currency requirements shall be provided by Bidders.
5. Professional Qualifications and Capability of the Bidder
5.1 If required, in order to proof their professional qualifications and capability Bidders must
provide their team skills matrix and personnel statistics for the period specified in the BDS by
completing relevant tables in the form entitled Bidders Certification of Compliance furnished in
Section 4, Bidding Forms.
5.2 For key individuals who actually will be performing the activities described in the Bidding
Document, Bidder must provide resumes that identify years of experience, relevant project
implementation experience, and relevant education and training.
5.3 Alternative professional staff shall not be proposed, and only one resume may be submitted for
each position.
5.4 Bidders must provide references for the proposed personnel, ensuring that references provided
will be available to be contacted during the evaluation timeframe for this Bidding Document.
5.5 It is desirable that the majority of the proposed professional staff is permanent employees of the
Bidder or has an extended and stable working relationship with the Bidder.

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 8 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

6. Technical Qualifications, Competence, and Experience of the Bidder

6.1 The Bidder must present a description of its company and organization, with appropriate
reference to any parent company and subsidiaries. The Bidder shall also include details
demonstrating the Bidder’s experience and ability in providing the Works listed in Section 6,
Schedule of Requirements. Also, Bidder shall include a description of how it plans to manage
the Works included in this Bidding Documents in addition to its other ongoing projects.
6.2 This information shall be included in a separate form entitled Bidders Certification of
Compliance that is furnished in Section 4, Bidding Forms.
6.3 As a proof of satisfactory execution of contracts the Bidder must provide Certificates of
satisfactory execution of previous contracts and/or experience provided by the other contracting
party to the contracts concerned in number and within the period specified in the BDS for
similar sized/type contracts with a budget of at least that of this contract, unless otherwise
specified in the BDS, including contact information for verification and inspection so as to
provide due diligence. Contact information should include, at a minimum: name, function,
address, e-mail, and phone number. Each reference provided should be the client’s responsible
project administrator or a senior official of the client who is familiar with the Bidder’s
performance and with the Bidder’s system capabilities, and who may be contacted by the Public
Body during the evaluation process.
6.4 The Certificate of satisfactory execution of contracts shall include the following data:
(a) The name and place of establishment of the contracting parties,
(b) The subject-matter of the contract,
(c) The value of the contract
(d) The time and place of performance of the contract,
(e) A statement concerning the satisfactory execution of contracts.
6.5 If, for objective reasons, such a certificate cannot be obtained from a contracting party, a
statement issued by the Bidder concerning satisfactory execution of contracts may also be valid,
on presentation of proof that the certificate was requested.
6.6 If the Bidder(s) propose a consortium all of the information listed above must be provided for
all of the consortium members. This information shall be in separate sections, one section per
consortium member. In addition, the Bid shall provide the agreements that support the
relationships between consortium members.
6.7 Unless otherwise specified in the BDS, the Public Body reserves the right to undertake physical
checking of current Bidder's technical qualifications and competence in order to make sure that
the Bidder has adequate qualifications to manage this Contract.
7. Financial Standing of the Bidder
7.1 If required in BDS, in order to proof that it has adequate financial resources to manage this
Contract the bidder must present its financial data by completing relevant table in the form
entitled Bidders Certification of Compliance that is furnished in Section 4, Bidding Forms.
7.2 Along with the proof referred to in Clause 17.1 the documents that are required as proof of the
bidder's financial standing are the following:
(a) Financial statements certified by an independent auditor;
(b) Other documents as stated in the BDS.

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 9 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

8. Joint Venture or Consortium

8.1 If Bidder is a joint venture or consortium of two or more entities, the Bid must be single with
the object of securing a single contract; authorized person must sign the Bid and will be jointly
and severally liable for the Bid and any contract. Those entities must designate one of their
members to act as the leader with authority to bind the joint venture or consortium. The
composition of the joint venture or consortium must not be altered without the prior consent in
writing of the Public Body.
8.2 The Bid may be signed by the representative of the joint venture or consortium only if he has
been expressly so authorized in writing by the members of the joint venture or consortium, and
the authorizing contract, notarial act or deed must be submitted to the Public Body. All
signatures to the authorizing instrument must be certified in accordance with the national laws
and regulations of each party comprising the joint venture or consortium together with the
powers of attorney establishing, in writing, that the signatories to the Bid are empowered to
enter into commitments on behalf of the members of the joint venture or consortium. Each
member of such joint venture or consortium must prove to the satisfaction of the Public Body
that they comply with the necessary legal, professional, technical and financial requirements
and have the wherewithal to carry out the contract effectively
9. Alternative Bids
9.1 Unless otherwise indicated in the BDS, alternative Bids shall not be considered.
9.2 If permitted in BDS, the Public Body may consider alternative technical solutions prior to the
notification of the successful Bidder provided that the Bidder:
(a) Has submitted Bid in accordance with the Bidding Document as issued; and
(b) Has submitted Bid based on alternative(s) to the Bidding Document as issued;
(c) Has included with the Bid a demonstration of the advantages of the alternative technical
solution over the initial solution, including a quantifiable justification of any economic
and/or technical advantages; and
(d) Has included with the Bid sufficient descriptive information for a complete evaluation of
the proposed alternative technical solution by the Public Body, including calculations,
technical specifications, breakdown of prices, proposed work methods and other relevant
details.
9.3 Only the technical alternative(s), if any, of the lowest evaluated Bidder conforming to the basic
technical requirements shall be considered by the Public Body.
9.4 In evaluating a Bid containing an alternative technical solution the Public Body may use any
evaluation/award criteria as indicated in the BDS and Section 3, Evaluation Methodology and
Criteria.
9.5 Alternative Bids not requested by the Public Body shall be rejected.
10. Period of Validity of Bids
10.1 Bids shall remain valid for the period specified in the BDS after the Bid submission deadline
prescribed by the Public Body. A Bid valid for a shorter period may be rejected by the Public
Body as non-responsive.

10.2 In exceptional circumstances, prior to expiry of the Bid validity period, the Public Body may
request Bidders to extend the period of validity of their Bids. The request and the responses
shall be made in writing.

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 10 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

10.3 Bidders who are not willing to extend their Bid validity period for whatever reason shall be
disqualified from the bid without having forfeited their bid security.
10.4 Bidders agreeing to the Public Body’s request for extension of their Bid validity period have to
express in writing their agreement to such request. Bidders who agree to such extension shall
confirm that they maintain the availability of the Professional staff nominated in the Bid, or in
their confirmation of extension of validity of the Bid, Bidders could submit new staff in
replacement, who would be considered in the final evaluation for contract award. Similarly,
they have to amend the validity period of their bid security on the basis of the extension of the
Bid validity period they have agreed to, or alternatively, furnish new bid security to cover the
extended period.
10.5 A Bidder not agreeing to extend the validity period of his/its bid security shall be treated as a
Bidder refusing the Public Body’s request for extension of Bid validity period, and as such,
shall be disqualified from further bid proceeding.
11. Bid Security
11.1 Unless otherwise specified in the BDS, the Bidder shall furnish as part of its Bid, a bid security
in original form and in the amount and currency specified in the BDS. . . . A copy of bid
security, if submitted without original form, shall not be accepted.

11.2 The bid security shall be, at the Bidder’s option, in any of the following forms:
(a) An unconditional Bank Guarantee;
(b) An irrevocable Letter of Credit;
(c) Cash, check certified by a reputable bank or financial institution, or payable order;
all from a reputable source from any eligible country. Securities issued by foreign banks or
financial institutions shall be counter-guaranteed by an Ethiopian bank. The bid security
shall be submitted either using the Bid Security Form included in Section 4, Bidding
Forms, or in another substantially similar format approved by the Public Body. In either
case, the form must include the complete name of the Bidder. The bid security shall be
valid for twenty-eight days (28) beyond the end of the validity period of the Bid. This shall
also apply if the period for Bid validity is extended.
11.3 The Bid Security of a Joint Venture shall be issued in the name of the Joint Venture submitting
the bid provided the Joint Venture has legally been constituted, or else it shall be issued in the
name of all partners proposed for the Joint Venture in the bid. Sanctions due to a breach of the
terms of a Bid Security pursuant to ITB Clause 21.7 will apply to all partners to the Joint
Venture.

11.4 Any Bid not accompanied by a substantially responsive bid security, if one is required in
accordance with ITB Sub-Clause 21.1, shall be rejected by the Public Body as non responsive.

11.5 The bid security of unsuccessful Bidders shall be returned as promptly as possible upon the
successful Bidder’s furnishing of the performance security pursuant to ITB Clause 47.
11.6 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.

11.7 The bid security may be forfeited:

(a) If a Bidder withdraws its Bid during the period of bid validity specified by the Bidder on
the Bid Submission Sheet, except as provided in ITB Sub-Clause 20.2; or
SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)
Document: Instructions to Bidders Page 11 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

(b) If the successful Bidder fails to:

(i) Sign the Contract in accordance with ITB 46;
(ii) Furnish a performance security in accordance with ITB Clause 47; or
11.8 The bid security furnished by foreign Bidders from a bank outside of Ethiopia has to be
unconditional and counter guaranteed by local banks.
12. Documents Comprising the Bid
12.1 All Bids submitted must comply with the requirements in the Bidding Document and comprise
the following:
12.2 Mandatory documentary evidence establishing the Bidder's qualification is the following:
(a) Bid Submission Sheet (form furnished in Section 4, Bidding Forms) including the
following mandatory attachments:
(i) VAT registration certificate issued by the tax authority (only domestic Bidders in
case of contract value as specified in BDS Clause 4.5(b)(ii));
(ii) A valid tax clearance certificate issued by the tax authority (domestic Bidders
only);
(iii) Business organization registration certificate or trade license issued by the
country of establishment;
(iv) Relevant professional practice certificates, as appropriate.
(b) Bidder Certification of Compliance (form furnished in Section 4, Bidding Forms)
including the following mandatory attachments:
(i) Written statement by a power of attorney (or notary statement, etc.) proving that
the person, who signed the bid on behalf of the company/joint
venture/consortium, is duly authorized to do so as stipulated in ITB Clause 23.2;
(ii) Documents required in the BDS Clause 17.2(b) as proof of the bidder's financial
standing;
(iii) Certificates of satisfactory execution of contracts provided by contracting parties
to the contracts successfully completed in the course of the period specified in the
BDS with a budget of at least that of this contract, unless otherwise specified in
the BDS Clause 16.3.
(c) Completed Bill of Quantities or Activity Schedules, in accordance with this Bidding
Documents;
(d) Technical Proposal including a statement of work methods, equipment, personnel,
schedule and any other information as stipulated in Section 4, Bidding Forms, in
sufficient detail to demonstrate the adequacy of the Bidders’ Technical Proposal to meet
the work requirements and the completion time including the following mandatory
attachments:
(i) CVs of the proposed personnel signed by the staff themselves or by the
authorized representative of the proposed staff;
(ii) Design Documents and Drawings (Form C of Section 6).
(e) Bid Security, in accordance with ITB Clause 21;
(f) Alternative bids, at Bidder’s option and if permissible, in accordance with ITB Clause 19;
(g) Domestic Bidders, individually or in joint ventures, applying for eligibility for a 7½-
percent margin of domestic preference shall supply all information required to satisfy the
criteria for eligibility as described in ITB 34.
SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)
Document: Instructions to Bidders Page 12 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

(h) In the case of a bid submitted by a joint venture (JV), the Form Data on Joint Ventures,
the Agreement governing the formation of joint venture, or letter of intent to form JV,
including a draft agreement, in accordance with ITB Clause 18.2, indicating at least the
parts of the Works to be executed by the respective partners; and
(i) Any other document or information required to be completed and submitted by Bidders,
as specified in the BDS.
13. Format and Signing of Bid
13.1 The Bidder shall prepare one original of the documents comprising the bid as described in ITB
Clause 22 and clearly mark it “ORIGINAL.” Alternative bids, if permitted in accordance with
ITB 19, 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 each of them “COPY.” In the
event of any discrepancy between the original and the copies, the original shall prevail. If
required in BDS, Bidders shall be required to submit bid documents in two envelopes
containing the technical and financial proposals separately.
13.2 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 statement by a power of attorney (or notary statement, etc.) proving that the
person, who signed the bid on behalf of the company/joint venture/consortium is duly
authorized to do so and it 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, except for non-amended printed literature, shall be signed or initialed by the person signing
the bid
13.3 Any interlineations, 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

1. Sealing and Marking of Bids
1.1 The Bidder shall enclose the original and each copy of the bid, including alternative bids, if
permitted in accordance with ITB Clause 19, in separate sealed envelopes, duly marking the
envelopes as “ORIGINAL” and “COPY.” These envelopes containing the original and the
copies shall then be enclosed in one single envelope.

1.2 The inner and outer envelopes shall:

(a) Be addressed to the Public Body in accordance with ITB Sub-Clause 25.1;
(b) Bear the subject of the procurement or the Project name, and procurement reference
number indicated in the BDS;
(c) Bear the words “Not to be opened before the time and date for bid opening”.
1.3 The outer envelopes shall also indicate the name and address of the Bidder to enable the bid to
be returned unopened in case it is declared “late” pursuant to ITB Clause 26.1.
1.4 If all envelopes are not sealed and marked as required, the Public Body shall assume no
responsibility for the misplacement or premature opening of the bid
2. Deadline for Submission of Bids
2.1 Bidders may always submit their bids by registered post or by hand. Bids must be received by
the Public Body at the address and no later than the date and time indicated in the BDS.

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 13 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

2.2 The Public Body may, at its discretion, extend the deadline for the submission of Bids by
amending the Bidding Documents in accordance with ITB Clause 9, in which case all rights and
obligations of the Public Body and Bidders previously subject to the deadline shall thereafter be
subject to the deadline as extended.
3. Late Bids
3.1 The Public Body shall not consider any Bid that arrives after the deadline for submission of
Bids, in accordance with ITB Clause 25. Any Bid received by the Public Body after the
deadline for submission of Bids shall be declared late, rejected, and returned unopened to the
Bidder.
4. Withdrawal, Substitution, and Modification of Bids
4.1 A Bidder may withdraw, substitute, or modify its Bid after it has been submitted by sending a
written notice, duly signed by an authorized representative, and shall include a copy of the
authorization in accordance with ITB Sub-Clause 23.2, (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:
(a) Submitted in accordance with ITB Clauses 23 and 24 (except that withdrawals notices do
not require copies), and in addition, the respective envelopes shall be clearly marked
“Withdrawal,” “Substitution,” “Modification;” and
(b) Received by the Public Body prior to the deadline prescribed for submission of Bids, in
accordance with ITB Clause 25.
4.2 Bids requested to be withdrawn in accordance with ITB Sub-Clause 27.1 shall be returned
unopened to the Bidders. Bid withdrawal notices received after the bid submission deadline will
be ignored, and the submitted bid will be deemed to be a validly submitted bid.

4.3 No Bid may be withdrawn, substituted, or modified in the interval between the deadline for
submission of Bids and expiry of the period of Bid validity specified by the Bidder on the Bid
Submission Sheet or any extension thereof.
5. Bid Opening
5.1 The Public Body shall conduct the Bid opening in the presence of Bidders` designated
representatives who choose to attend, and at the address, date and time specified in the BDS.
The opening of the Bid shall not be affected by the absence of the Bidders on their own will.

5.2 First, outer 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. 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. Next, outer 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. Outer
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. Only
envelopes that are opened and read out at Bid opening shall be considered further.

5.3 All outer envelopes shall be opened one at a time, reading out: the name of the Bidder, the
SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)
Document: Instructions to Bidders Page 14 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

presence of a bid security, if required; and any other salient points of the Bid as the Public Body
may consider appropriate. Only discounts and alternative offers read out at bid opening shall be
considered for evaluation. No Bid shall be rejected at Bid opening except for late Bids, in
accordance with ITB Sub-Clause 26.1.

5.4 The Public Body shall record the minutes of the Bid opening that shall include, as a minimum:
the name of the Bidder and whether there is a withdrawal, substitution, or modification, the
presence or absence of a bid security, if one was required, and any other salient points raised in
the Bid opening proceeding. The Bidders’ representatives who are present shall be requested to
sign the attendance sheet. The omission of a Bidder’s signature on the attendance sheet shall not
invalidate the contents and effect of the minutes. A copy of the minutes shall be distributed to
all Bidders.
5.5 Any bid document not opened and read out during the bid opening proceeding shall not be
considered for further evaluation.

E. Evaluation and Comparison of Bids

1. Confidentiality
1.1 Information relating to the examination, evaluation, clarification, and comparison of Bids, and
recommendation of contract award, shall not be disclosed to Bidders or any other persons not
officially concerned with such process until information on Contract award is communicated to
all Bidders.

1.2 Any effort by a Bidder to influence the Public Body in the examination, evaluation, and
comparison of the Bids or Contract award decisions may result in the rejection of its Bid.

1.3 Notwithstanding ITB Sub-Clause 29.2, from the time of Bid opening to the time of Contract
award, if any Bidder wishes to contact the Public Body on any matter related to the bidding
process, it should do so in writing.
2. Clarification of Bids
2.1 To assist in the examination, evaluation, and comparison of the Bids, the Public Body may, at
its sole discretion, ask any Bidder for a clarification of its Bid. Any clarification submitted by a
Bidder that is not in response to a request by the Public Body shall not be considered. The
Public Body’s request for clarification and the response shall be in writing. No change 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 Public Body in the evaluation of the Bids, in
accordance with ITB Clause 33.
2.2 If a Bidder does not provide clarifications of its bid by the date and time set in the Public
Body’s request for clarification, its bid may be rejected.
3. Responsiveness of Bids
3.1 The Public Body’s determination of a Bid’s responsiveness is to be based on the contents of the
Bid itself.

3.2 A substantially responsive Bid is one that conforms to all the terms, conditions, and
specifications of the Bidding Documents without material deviation, reservation, or omission.
A material deviation, reservation, or omission is one that:
(a) If accepted, would,

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 15 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

(i) Affects in any substantial way the scope, quality, or performance of the Works
specified in the Contract; or
(ii) Limits in any substantial way, inconsistent with the Bidding Documents, the
Public Body’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 Bid.
3.3 If a Bid is not substantially responsive to the salient requirements of the Bidding Documents it
shall be rejected by the Public Body and may not subsequently be made responsive by the
Bidder by correction of the material deviation, reservation, or omission.
3.4 Decisions to the effect that a bid is not substantially responsive t must be duly justified in the
evaluation minutes.
3.5 If only one Bid meets all salient requirements of the Bidding Documents and is not otherwise
disqualified, the Public Body may still complete the full evaluation of that Bid and sign contract
with that Bidder if the Bid submitted by such Bidder is satisfactory to the Public Body and the
price offered by the Bidder is comparable to or less than the market price of the required object
of procurement.
4. Nonconformities and Omissions
4.1 Provided that a Bid is substantially responsive, the Public Body may waive any non-conformity
or omissions in the Bid that does not constitute a material deviation.

4.2 Provided that a Bid is substantially responsive, the Public Body 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. Requesting information or documentation on such nonconformities 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.

4.3 Provided that a Bid is substantially responsive, the Public Body shall rectify nonmaterial
nonconformities or omissions. To this effect, the Bid Price shall be adjusted, for comparison
purposes only, by the highest price quoted in this bidding process to reflect the price of the
missing or non-conforming item or component.
5. Dubious price quotations and errors in calculation
5.1 Provided that the Bid is substantially responsive, the Public Body shall correct arithmetical
errors on the following basis:
(a) If there is a discrepancy between the unit price and the total price that is obtained by
multiplying the unit price and quantity, the unit price shall prevail and the total price shall
be corrected, unless in the opinion of the Public Body there is an obvious misplacement
of the decimal point in the unit price, in which case the total price 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 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.
5.2 The Public Body shall correct the detected errors in calculation and notify the Bidder in writing
SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)
Document: Instructions to Bidders Page 16 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

of the corrections made without any delay, requesting the Bidder to confirm that he accepts the
correction of the calculation error within the period specified in BDS from the date on which
the notice was received. The corrections shall be clearly indicated in the Bid.

5.3 If the Bidder that submitted the lowest evaluated Bid does not accept the correction of errors, its
Bid shall be disqualified.
6. Margin of Preference
6.1 Preference shall be granted to local construction companies.
6.2 The margin of preference to be so granted to local construction companies and applied when
comparing prices during evaluation of Bids shall be 7.5 %.
6.3 Local companies engaged in construction shall provide all evidence necessary to prove that they
meet the following conditions to qualify for the preference:
(a) The company has to be incorporated in Ethiopia;
(b) More than fifty per cent of the company’s capital stock has to be held by Ethiopian
natural or juridical persons;
(c) More than fifty per cent of members of the board of the company have to be Ethiopian
nationals;
(d) At least fifty per cent of the key staff of the company has to be Ethiopian Nationals.
6.4 Preference shall be given to small and micro enterprises established under the relevant law by a
margin of 3% when such enterprises compete with local Bidders in national competitive
bidding.
6.5 When small and micro enterprises participate in international competitive bidding, only the
preference granted to local companies as per Sub-Clause 34.2 shall apply.
7. Conversion to Single Currency
7.1 For evaluation and comparison purposes, the Public Body shall convert all bid prices expressed
in the amounts in various currencies into a single currency indicated in BDS, using the selling
exchange rate established by the National Bank of Ethiopia and on the date of the Bid opening.
8. Preliminary Examination of Bids
8.1 The Public Body shall examine the Bids to confirm that all documentary evidence establishing
the Bidder's qualification requested in ITB Clause 22 have been provided, and to determine
whether Bid comply with administrative requirements of the Bidding Documents.
8.2 From the time the Bids are opened to the time the Contract is awarded, the Bidders should not
contact the Public Body on any matter related to its Bid. Any effort by Bidders to influence the
Public Body in the examination, evaluation, ranking of Bids, and recommendation for award of
Contract may result in the rejection of the Bidders’ Bid.

8.3 The Public Body may determine Bid as not responsive when:
(a) Bidder has failed to submit Written statement by a power of attorney (or notary
statement, etc.) proving that the person, who signed the Bid on behalf of the
company/joint venture/consortium, is duly authorized to do so (ITB Sub-clause 23.2);
(b) Original and all copies of the Bid are not typed or written in indelible ink and signed by a
person duly authorized to sign on behalf of the Bidder (ITB Sub-clause 23.2);
(c) All pages of the Bid, except for non-amended printed descriptive literature, are not signed
SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)
Document: Instructions to Bidders Page 17 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

or initialed by the person signing the Bid (ITB Sub-clause 23.3);

(d) Bid is not written in language specified in the BDS Clause 12.1;
(e) Bidder has failed to submit signed and dated Bid Submission Sheet Form;
(f) Bidder has failed to submit signed and dated Bidder Certification of Compliance Form;
(g) Bidder has failed to submit signed and dated Bill of Quantities or Activity Schedules
(h) Bidder has failed to submit signed and dated Technical Proposal;
(i) Bidder has failed to submit signed and dated Bid Security;
(j) The Bid Security is not in accordance with ITB Clause 21.
9. Legal, Professional, Technical, and Financial Admissibility of Bids
9.1 After confirming the Bids comprise all mandatory documentary evidence establishing the
Bidder's qualification, the Public Body will rule on the legal, technical, professional, and
financial admissibility of each Bid, classifying it as compliant or non-compliant with
qualification requirements set forth in the Bidding Documents.
9.2 Legal admissibility
The Public Body may determine Bid as not responsive when:
(a) Bidder does not have nationality in accordance with ITB Clause 4.2;
(b) Bidder is found to have a conflict of interest as described in ITB Clause 6;
(c) Bidder has failed to submit valid business license indicating the stream of business in
which the Bidder is engaged, in accordance with ITB Clause 4.5(b)(i);
(d) Bidder has failed to register itself in the Public Procurement and Property Administration
Agency's suppliers list (mandatory for domestic Bidders only), in accordance with ITB
Clause 4.6;
(e) Bidder has been debarred by a decision of the Public Procurement and Property
Administration Agency from participating in public procurements for breach of its
obligation under previous contracts, in accordance with ITB Clause 4.3;
(f) Foreign Bidder has failed to submit business organization registration certificate or valid
trade license issued by the country of establishment in accordance with ITB Clause
4.5(c);
(g) Domestic Bidder has failed to submit VAT registration certificate issued by the tax
authority (in case of contract value specified in BDS Clause 4.5(b)(ii)), in accordance
with ITB Clause 4. 5(b)(ii).;
(h) Domestic Bidder has failed to submit a valid tax clearance certificate issued by the tax
authority in accordance with ITB Clause 4.5(b)(iii).
(i) In the case of a bid submitted by a joint venture (JV), the Bidder has failed to submit the
Form Data on Joint Ventures, the Agreement governing the formation of joint venture, or
letter of intent to form JV, including a draft agreement, in accordance with ITB Clause
4.1.
9.3 Professional admissibility
The Public Body may determine Bid as not responsive when:
(a) Bidder has failed to submit relevant professional practice certificates, if required in BDS
Clause 4.5(b) (iv);
(b) Bidder has failed to provide in the Bidder Certification of Compliance Form information
related to its professional qualification and capability for the period specified in the BDS

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 18 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

Clause 15.1;
(c) Bidder has failed to demonstrate in its Technical Proposal that it will have the personnel
for the key positions that meet requirements stipulated in Section 3, Evaluation
Methodology and Criteria.
(d) Bidder has failed to provide CVs of the Professional staff signed by the staff themselves
or by the authorized representative of the Professional Staff.
9.4 Technical admissibility
The Public Body may determine Bid as not responsive when:
(a) Bidder has failed to provide in the Bidder Certification of Compliance Form information
about major relevant contracts successfully completed in the number and period specified
in Section 3, Evaluation Methodology and Criteria;
(b) Bidder has failed to submit Certificates of satisfactory execution of contracts provided by
contracting parties to the contracts successfully completed in the period and budget as
specified in the BDS Clause 16.3 with a budget of at least that of this contract;
(c) Bidder has failed to provide in the Bidder Certification of Compliance Form information
about contracts similar to the proposed Works in the number, value, and period specified
in Section 3, Evaluation Methodology and Criteria;
(d) Bidder has failed to provide in the Bidder Certification of Compliance Form information
about non-performing contracts for the period specified in Section 3, Evaluation
Methodology and Criteria;
(e) Bidder has failed to provide in the Bidder Certification of Compliance Form information
about pending litigations as required in Section 3, Evaluation Methodology and Criteria;
(f) Bidder has failed to demonstrate in its Technical Proposal that it will have available for
the implementation of the Contract equipment listed in Section 3, Evaluation
Methodology and Criteria.
(g) Bidder has failed to provide in its Technical Proposal Design Documents and Drawings
(Form C of Section 6)
9.5 Financial admissibility
The Public Body may reject any Bid when:
(a) Bidder has failed to proof that it has adequate financial resources to manage this Contract
by completing relevant table in the Bidders Certification of Compliance form that is
furnished in Section 4, Bidding Forms.
(b) Bidder has failed to submit financial statements certified by an independent auditor as
required in ITB Clause 17.2(a) for the period specified in Section 3, Evaluation
Methodology and Criteria;
(c) Bidder has failed to submit other documents proofing its financial standing, as required in
the BDS Clause 17.2(b);
(d) The average annual turnover of the Bidder for the period specified in Section 3,
Evaluation Methodology and Criteria does not exceed the amount of the financial
proposal of the Bid in value specified in Section 3, Evaluation Methodology and Criteria;
(e) The Bidder has failed to demonstrate access to, or availability of, financial resources as
required in Section 3, Evaluation Methodology and Criteria.
10. Evaluation of Bids
10.1 The Public Body shall evaluate each Bid that has been determined, up to this stage of the

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 19 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

evaluation, to be substantially responsive

10.2 The Public Body shall evaluate the Bids on the basis of their responsiveness to the Schedule of
Requirements, applying the evaluation criteria, sub-criteria, and point system specified in the
Section 3. No other criteria or methodology shall be permitted. Each responsive Bid will be
given a technical score. A Bid shall be rejected at this stage if it does not respond to important
aspects of the Bidding Documents and particularly the Schedule of Requirements or if it fails to
achieve the minimum technical score indicated in the Section 3.
10.3 To evaluate a bid, the Public Body shall consider the following:
(a) The Bid price, excluding Provisional Sums and the provision, if any, for contingencies in
the Summary Bill of Quantities for Unit Price contracts or Schedule of Prices for lump
sum contracts, but including day work items, where priced competitively;
(b) Price adjustment for correction of arithmetic errors in accordance with ITB Clause 33.1;
(c) Price adjustment due to discounts offered in accordance with ITB Clause 13.5;
(d) Converting the amount resulting from applying (a) to (c) above, if relevant, to a single
currency in accordance with ITB Clause 35;
(e) Adjustment for nonconformities in accordance with ITB 32;
(f) Application of all the evaluation factors indicated in Section 3, Evaluation Methodology
and Criteria;
(g) Adjustments due to the application of a margin of preference, in accordance with ITB
Clause 34.
10.4 The Public Body’s evaluation of a bid may require the consideration of other factors, in addition
to the Bid Price quoted in accordance with ITB Clause 13. The factors to be used, if any, and
the methodology of application shall be indicated in Section 3, Evaluation Methodology and
Criteria.
10.5 If these Bidding Documents allow Bidders to submit a Bid for different lots, and the award to a
single Bidder of multiple lots, the methodology of evaluation to determine the lowest evaluated
lot combinations, including any discounts offered in the Bid Submission Sheet, is specified in
the BDS and detailed in Section 3 Evaluation Methodology and Criteria.
10.6 If the Bid for an unit price contract, which results in the lowest Evaluated Bid Price, is seriously
unbalanced, front loaded or substantially below updated estimates in the opinion of the Public
Body, the Public Body may require the Bidder to produce detailed price analyses for any or all
items of the Bill of Quantities, to demonstrate the internal consistency of those prices with the
construction methods and schedule proposed. After evaluation of the price analyses, taking into
consideration the schedule of estimated Contract payments, the Public Body may require that
the amount of the performance security be increased at the expense of the Bidder to a level
sufficient to protect the Public Body against financial loss in the event of default of the
successful Bidder under the Contract.
11. Comparison of Bids
11.1 The Public Body shall compare all substantially responsive Bids in accordance with ITB Clause
38.3 and methodology specified in Section 3, Evaluation Methodology and Criteria to
determine the lowest evaluated Bid.
12. Post-qualification Evaluation
12.1 After identifying the successful Bidder by evaluating the Bid documents against the criteria set
forth in this Bidding Documents the Public Body shall conduct post qualification evaluation to
SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)
Document: Instructions to Bidders Page 20 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

establish the current qualification of the successful Bidder where it feels that it has to be
ascertained.
12.2 Such post qualification evaluation of the successful Bidder may relate to submission of the
documentary evidence specified in ITB Clause 37, unless satisfactory documents are already
included in the Bid, concerning its current legal, professional, technical, and financial standing
and conformity to the requirements stated in this Bidding Documents.
12.3 If the successful bidder fails to provide this documentary proof within 15 calendar days
following the Public Body's request or if the successful bidder is found to have provided false
information its Bid shall be disqualified, in which event the Public Body shall proceed to the
next lowest evaluated Bid to make a similar determination of that Bidder’s capabilities to
perform satisfactorily.
13. Acceptance or Rejection of Bids
13.1 The Public Body reserves the right to accept or reject any bid, and to annul the bidding process
and reject all bids at any time prior to contract award, without thereby incurring any liability to
Bidders.
14. Re-advertising Bids
14.1 The Public Body may issue Invitation for Expression of Interest for a second time under the
following circumstances:
(a) Where the Invitation for Expression of Interest has been unsuccessful, namely where no
qualitatively or financially worthwhile Bids have been received.
(b) Where the best price offered by a Bidder is significantly higher than the market price
estimate of the object of procurement made by the Public Body prior to the issuance of
the Invitation for Expression of Interest.
(c) Where it is concluded that noncompliance with the rules and procedures governing Bids
prescribed by the Proclamation and Procurement Directive led to the failure of the
Invitation for Expression of Interest to attract more than one Bidder, or where it is
believed that modifying the Bidding Documents could attract adequate number of
Bidders.
(d) Circumstances of Force Majeure render normal implementation of the Contract
impossible.
F. Award of Contract
1. Award Criteria
1.1 The Public Body shall award the Contract to the Bidder whose Bid has been determined to be
the lowest evaluated Bid and is substantially responsive to the Bidding Documents, provided
further that the Bidder is determined to be qualified to perform the Contract satisfactorily.
1.2 If Bids are being invited for individual contracts (lots) Contracts will be awarded lot by lot, but
the Public Body may select the most favorable overall solution after taking account of any
discounts offered.
1.3 If the Bidder is awarded more than one lot, a single contract may be concluded covering all
those lots.
2. Right to Vary Quantities at Time of Award
2.1 At the time the Contract is awarded, the Public Body reserves the right to increase or decrease

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 21 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

the quantity of Works originally specified in Section 6, Schedule of Requirement, provided this
does not exceed the percentages indicated in the BDS, and without any change in the unit prices
or other terms and conditions of the Bid and the Bidding Documents.
3. Announcing and Awarding of the Successful Bidder
3.1 Prior to expiry of the period of Bid validity, the Public Body shall notify in writing the result of
a Bid evaluation to all Bidders alike at the same time.
3.2 The letter of notification to be disclosed to the unsuccessful bidders on the technical evaluation
shall state the reason why they did not succeed in their Bid and the identity of the successful
Bidder
3.3 A letter of award to be sent by the Public Body to a successful Bidder shall not constitute a
contract between him and the Public Body. A contract shall be deemed to have been concluded
between the Public Body and the successful Bidder only where a contract containing detailed
provisions governing the execution of the procurement in issue is signed.
3.4 A letter of contract award to be sent to a successful Bidder may contain the following
information:
(a) That the Public Body has accepted his Bid;
(b) The total contract price;
(c) The list of items and their respective unit price;
(d) The amount of the performance security the successful Bidder is required to furnish and
the deadline for providing such security.
4. Signing of Contract
4.1 Promptly after notification of the proposed contract award the Public Body shall send the
successful Bidder the Contract.

4.2 Within fifteen (15) days of receipt of the notification of award, the successful Bidder shall sign,
date, and return it to the Public Body the Contract
4.3 The Public Body shall not sign a contract before seven working days from the date Bidders are
notified of the result of their Bid or of any complaint against the bid proceeding.
5. Performance Security
5.1 Within fifteen (15) days from signing the Contract the successful Bidder shall furnish the
performance security in accordance with the GCC, subject to ITB Clause 38.6, using for that
purpose the Performance Security Form included in Section 9, Contract Forms, or another form
acceptable to the Public Body.
5.2 If the performance security furnished by the successful local 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 Public Body. A foreign institution providing a bond shall have a
correspondent financial institution located in the Federal Democratic Republic of Ethiopia.

5.3 Failure of the successful Bidder to submit the above-mentioned Performance Security or sign
the Contract shall constitute sufficient grounds for annulment of the award and forfeiture of the
bid security.
5.4 Small and micro enterprises shall be required to submit a letter of guarantee written by a
competent body organizing and overseeing them in lieu of bid security, performance security or

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 22 of 23 Issued by: CGAADCWB 👑
Part 1: Bidding Procedures Section 1: Instructions to Bidders

advance payment guarantee.

5.5 Where the successful Bidder cannot or is unwilling to sign a contract or furnish the above-
mentioned Performance Security, the Public Body may either declare the Bidder submitting the
second lowest evaluated Bid the successful Bidder or invite such Bidder to sign a contract or
advertise the Bid afresh by assessing the benefit of the two options.

SBD-Works (NCB) - Prepared by the FPPA (Version 1, August 2011)

Document: Instructions to Bidders Page 23 of 23 Issued by: CGAADCWB 👑