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By Courier

Phone: 04367 272 391 Fax : 04367 272 390 TAMIL NADU GENERATION AND DISTRIBUTION CORPORATION LIMITED Tender Enquiry Letter TO

FROM Er.R. CHANDRASEKARAN, M.E., Superintending Engineer/O&M., Thirumakkottai (Kovilkalappal) Gas Turbine Power Station, Thirumakkottai, Mannargudi (TK) 614 017.

LR.NO.SE/O&M/T(K)GTPS/AEE/MM/ENQ.M-027/13/D.1270/13 DT.27-06-2013. Dear Sir, Sub: Enquiry for supply of Spares for Gas Turbine Air Dryer Regarding. Ref: Enq.No.M-027/13, Dated 26-06-2013. -ooOooI. SL. NO. Will you please quote your lowest price for supply of the following material(s) DESCRIPTION OF MATERIAL QUANTI TY DELIVERY TERMS DUE DATE

Spares for Gas Turbine Air Dryer. Make: Gem Equipments Model: HLD-010-3 SPL 1. Diaphragm only for 3 way valve, 1 pneumatic operated. Solenoid coil and valve (NO-2, NC-1), Explosion proof NPT 10 minute Multi cam timer (sequence cycle timer) Exhaust Valve (Diaphragm type) 01 Nos. 15 to 30 16-07-2013 Days 14-00 Hrs.

2.

03 Nos.

3.

1 No.

4.

1 Nos.

1. Validity should be 90 days from the date of opening the tender. 2. Place of Delivery : Up to Transporters Godown at Mannargudi. 3. The tenderers shall quote the Ex-works Price, Excise Duty with Percentage, Sales Tax with Percentage, Surcharge with Percentage, Freight & Insurance and any other charges separately for delivery at destination Stores. 4. Quotations with any deviation from Corporations commercial terms will be liable for rejection. Descriptive literature, pamphlet of the articles offered should accompany the quotation.

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II. PRICE : i) Tenderers should quote firm price valid for one year from the date of issue of Purchase Order. ii) The price quoted should only be Unit all inclusive price including E.D. and Excluding Sales tax. The sales tax will be paid extra as applicable. The amount of sales tax and percentage payable shall be indicated separately in the tender offer. iii) Any variation in Excise Duty due to statutory variation within the contract delivery date shall be considered. But the increase due to Tenders coming in to different taxes/duty slab will not be considered. Tenderers not adhering to these instructions will be summarily rejected. III. DELIVERY : The delivery period and the mode of despatch should be clearly specified. The offers from ready stock are preferable. Tender with delivery schedule other than TANGEDCO delivery terms are liable for rejection. The Corporation reserves the right to alter the delivery schedule to suit its need as and when necessity arises during the pendancy of contract. IV ) PAYMENT TERMS : I) For materials delivered within the delivery period : 95% of the all inclusive price ( including Sales Tax ) of the materials of each consignment will be paid within a reasonable time after receipt of materials and submission of bills with required documents. b) Balance 5% payment will be paid within a reasonable time after completion of entire supply. II) For materials delivered beyond the delivery period : a) 95 % of the all inclusive price (including Sales Tax) of the materials after deducting the appropriate amount of liquidated damages of each consignment will be paid within a reasonable time after receipt of materials and submission of bills with required documents. b) Balance 5 % payment will be paid within a reasonable time after completion of the execution of the contract and after closure of the purchase order. c) For the delayed payments, if any, Corporation will not pay any interest on any account. V. LIQUIDATED DAMAGES : If the contractor fails to deliver the items / materials within the time specified in the contract or any extension thereof, the purchaser shall recover from the contractor as liquidated damages a sum of half percent (0.5%) of the contract price of the delayed / undelivered items / materials for each completed week of delay. The total liquidated damages shall not exceed ten percent (10 Percent) of the contract price of the units / materials so delayed / undelivered. The date of receipt of materials at stores will be reckoned as date of delivery for this purpose. Where ever the suppliers does not commence supply as agreed to the EMD / SD paid by him shall be forfeited in terms of the purchase order / contract and his name black listed after due notice. His bad performance should be recorded for reference in future ordering. In additions, the difference in price agreed to by the failed supplier and the higher rate at which the materials are to be procured from others because of the failure of the ordered supplied shall be recovered from the failed supplier. VI. LOSS OR DAMAGES : i) Any loss or damage during transit to site should be made good by the contractor free of charge, provided the same is reported within 15 days of the arrival of the material at site. ii) Any defects of manufacture discovered after the first and before the second payment should be rectified free of charge and all defective materials replaced.

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VII. INSTRUCTIONS TO THE TENDERERS : 1. The tender should be submitted in double cover, the outer cover containing the demand draft towards E.M.D / proof for exemption from payment of EMD and inner cover containing the tender offer. Tender offer which does not satisfy the EMD condition shall not be opened and read out. The quotation in sealed cover superscribed as Quotation for supply of spares for Gas Turbines Air dryer unit ag ainst Enq.No.SE/ O&M/T(K)GTPS/MNG/M-027/2013, Dated 26-06-2013 due on 16-07-2013 should be addressed and sent to the Superintending Engineer/O&M/ T(K)GTPS/TANGEDCO /Thirumakkottai - 614017 so as to reach by 14.00 Hrs on due date. 2. If the due date of tender opening is declared as a holiday the tender will be opened on the next working day at 14.30 Hrs. 3. Telegraphic / E- Mail quotations will not be accepted.
4. Earnest Money Deposit :

An amount of Rs.300/- (Rupees three hundred only) shall be remitted as EMD by D.D./ Bankers Cheque drawn in favour of SE / O&M / T(K)GTPS / Thirumakkottai payable at Mannargudi. Bank Guarantees will not be accepted. Small Scale Industries registered with NSIC or SSIs registered within the State of TAMILNADU are exempted from payment of E.M.D. These firms shall produce their Registration Certificate showing the materials which they are permitted to manufacture the period of validity of the certificate as proof of eligibility of exemption from payment of E.M.D., audited attested copy of Profit and Loss Account and Balance Sheets in order to ensure the SSI status of the firm based on the investment held in Plant & Machinery for extending exemption from paying EMD and also to extend the privilege of price preference of 15 % and purchase preference to domestic SSI units. In case of the investment held by them in Plant & Machinery as per their financial Statement of Accounts exceeds Rs.5 crores, the General Manager, District Industries Centre concearned will be requested to verify the SSI status of the firm. Till receipt of confirmation from General Manager, District Industries Centre concerned, the exemption from paying EMD for SSI units and price preference and purchase preference for domestic SSI shall not be extended. The tenderers other than SSI Units / State Government Public Sector undertakings and Foreign Tenders who are exempted from payment of EMD should furnish an undertaking on a non-judicial Stamp Paper for a value of Rs.80/- to pay an amount equivalent to EMD in the case of non-fulfillment of the condition stipulated in the contract. The SSI Units who are exempted from payment of EMD should furnish an undertaking on a Non-Judicial Stamp Paper for a value of Rs.80/- to pay as penalty an amount equivalent to EMD or an amount equal to the actual loss incurred, whichever is less, in the event of non-fulfillment or non-observance of any of the conditions stipulated in the contract, consequent on such breach of contract. The State Government Public Sector Undertakings who are exempted from payment of EMD should pay as penalty an amount equivalent to the amount fixed as EMD in the event of non-fulfillment or non-observance of any of the conditions stipulated in the contract. Proof for exemption from payment of E.M.D. or receipt for having paid the E.M.D. shall be furnished in an outer sealed cover. The tenders received without E.M.D. / proof for exemption from payment of E.M.D./ undertaking in lieu of E.M.D. will be rejected. The E.M.D. will be refunded to the unsuccessful tenderers on application after information of rejection of tender is sent. This amount will not carry any interest. The E.M.D. is liable to be forfeited if the tenderer withdraws his tender after acceptance of his tender or if he withdraws his tender before the expiry of stipulated

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validity period or if he does not pay the Security Deposit within the prescribed time or violates any of the provisions of these regulations or revises any of the terms quoted during the validity period. 5. SECURITY DEPOSIT : The successful tenderer will have to pay a Security Deposit of 5% of the value of the contract, inclusive of 1% EMD already paid. The balance 4% shall be remitted in the form of DD or Bankers Cheque if the value of order is Rs.10 lakhs or less. If the value of order is more than Rs.10 lakhs the balance 4% SD shall be remitted byDD/Bankers Cheque/Irrevocable Bank Guarantee. Security Deposit amount of 5% value of Purchase Order including the amount remitted as EMD has to be paid by way of DD/Bankers Cheque within 15 days from the date of receipt of Purchase Order failing which penal interest @ 22% (Twenty Two ) will be leviable from the date of expiry of 15 days time limit till the actual date of payment of Security Deposit. The Security Deposit against this contract will be paid / released to the contractor, only if the contract is completed to the satisfaction of the purchaser. If the purchaser incurs any loss or damage on account of breach of any of the clauses mentioned above, or any other amount arising out of the contract becomes payable by the contractor to the purchaser, then the purchaser will, in addition to such other rights that he may have under the law, appropriate the whole or part of the security deposit and such amount that is appropriated will not be refunded to the contractor. 6. Responsibility : The tenderer is responsible for delivery of the materials at the destination station/stores in good condition. The tenderer should include and provide for securely protecting and packing the materials as per relevant packing standards to avoid damages or loss in transit. 7. Jurisdiction of Legal Proceedings : No suit or any proceedings in regard to any matter arising in respect of this contract shall be instituted in any court say in the High Court / Madras or the District Court at Thiruvarur or Sub-Court at Mannargudi or at the District Munsif Court at Mannargudi It is agreed that no other court shall have jurisdiction to entertain any suit or proceedings even though part of the cause of action might arise within their jurisdiction. In case, any part of cause of action might arise within the jurisdiction of any other courts in TAMILNADU and rest within the jurisdiction of courts outside the State of TAMILNADU, then it is agreed to between the path is that such suits or proceedings shall be instituted in a court within the State of TAMILNADU and no other Court outside the State of TAMILNADU shall have jurisdiction even though any part of the cause of action might arise within the jurisdiction of such courts. The successful tenderer shall furnish an undertaking as per Schedule - F in a Non-Judicial Stamp Paper of Rs.80/- agreeing to the above condition. SCHEDULE F UNDERTAKING TOWARDS JURISDICTION OF LEGAL PROCEEDINGS : This undertaking executed at on this (Date) (Month) Two Thousand .(year) by M/s Registered under Companies Act, 1956 having its registered office at hereinafter called the Contractor (which expression shall where the context so admits mean and include its successors in office and in favour of TANGEDCO a body constituted under the Electricity (Supply) Act, 2003 having its registered Office at No.144, Anna Salai, NPKRR Maaligai, Chennai 600 002 herein after called the Purchaser (Which expression shall where the context so admits means and includes its successors in Office and assigns).

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WHEREAS a contract for the supply of . has been awarded in favour of the contractor under the Purchase Order Nodated . AND WHEREAS in accordance with terms of the above mentioned Purchase Order, the Contractor has to furnish an undertaking to the effect that no suit or any proceedings in regard to any matter arising in any respect under this contract shall be instituted in any court other than in the High Court, Madras or District Court at Thiruvarur Or Sub-Court at Mannargudi or at the District Munsif Court at Mannargudi as the case may be. IN CONSIDERATION of the Corporation having agreed to accept the undertaking the contractor hereby undertakes that no suit or any proceedings in regard to any matter arising in respect of this contract shall be instituted in any Court, save in the High Court, Madras or District Court at Thiruvarur or Sub-Court at Mannargudi Or at the District Munsif Court at Mannargudi as the case may be. It is agreed that no other Court shall have jurisdiction to entertain any suit or proceedings, eventhough, part of the cause of action might arise within their jurisdiction. In case any part of the cause of action might arise within the jurisdiction of any other Courts in TAMILNADU and rest within the jurisdiction of Courts outside the State of TAMILNADU, then it is agreed to between the parties that such suits on proceedings shall be instituted in a Court within the State of TAMILNADU and no other Court outside the State of TAMILNADU shall have jurisdiction. IN WITNESS WHEREOF Thiru of M/s. hereby put his hand and seal for due observance of the Undertaking in the presence of the following witnesses :
COMPANY SEAL SIGNATURE : DESIGNATION : COMPANY : DATE : 2)

WITNESSES

:1)

8. Dues To TANGEDCO : The Corporation has the right to recover any dues from the contractor and Liquidated Damages from the retention amount / balance amount besides Security Deposit. Amount due from the supplier to Corporation for defaults in any other contract will be adjusted from the pending payments and Security Deposit etc. against the contract awarded against this specification. 9. It should be clearly indicated in the quotation whether the firm is registered with SSI or is a manufacturer / dealer. 10. The rates quoted should be both in figures as well as in words. In case of discrepancy, the lower of the two will be taken. 11. Quantity indented may be altered to suit the requirement at the time of placing order. 12. The undersigned reserves the right to split the tender, accept any tender or cancel the tender without assigning any reason. 13. ln the event of any doubt, the sample available at this office may be persued if desired before quoting. 14. GUARANTEE: Guarantee certificate for satisfactory performance for the periods specified herein shall be furnished from the date of receipt of material at site in good condition. i.e. 12 months period from the date of put in to use or 18 months period from the date of supply whichever is later. Any defect during this period shall be rectified free of cost to the Corporation. 15. The materials shall conform to the Technical Specification mentioned herein.

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16. S.T.C.C. :The latest S.T. Clearance Certificate shall be enclosed along with the tenders failing which the tender is liable for rejection. 17. The tenderers shall furnish the Permanent Account Number in their offer against this enquiry. 18. Specific concurrence or otherwise to all the terms noted herein should be furnished in the tender. Failure to do so will be taken as concurrence to the terms. 19. Rejection of Tenders : The tender is liable to be rejected if it is : i) not in the prescribed form and two cover system not followed : ii) not accompanied by the requisite Earnest Money Deposit or proof of exemption. iii) not accompanied by an undertaking where Earnest Money Deposit is to be exempted. iv) incomplete and evasive. v) not properly signed by the tenderer. vi) with validity period less than that specified in the specification. vii) from any black listed firm or contractor. viii) received by e-mail, Telex or Telegram. ix) received after the expiry of the due date & time. x) not in conformity with Corporations Technical Specification. xi) from a tenderer who is directly or indirectly connected with Government Service or Corporations Service or local authority. xii) from a tenderer whose past performance or vendor rating is not satisfactory. xiii) received with Earnest Money Deposit in the form of Cheque or Bank Guarantee. xiv) not clearly stated whether the company is potentially sick industrial company or a sick industrial company in terms of Section 23 or Section 15 of the Sick Industrial Companies (Special provisions) Act, 1985. Failure to supply this information will make the tender liable for rejection. xv) received without superscription as prescribed in the specification. xvi) If the offer is made for the part of the material and not the whole of the material covered under the specification. 20. EXCISE DUTY : 20.1. It is the responsibility of the tenders to make sure about the correct rates of duty leviable on the material at the time of tendering. If the rates assumed by the Tenderer are less than the current rates prevailing at the time of tendering, the Corporation will not be responsible for the mistake. 20.2. Any increase in Excise Duty consequent to the suppliers coming in to different duty slab during the execution of the contract shall have to be taken in to account and the all inclusive Firm price shall be quoted accordingly by the tenderers. Any variation in Excise Duty due to statutory variation within the contract delivery date shall be considered. 20.3. For the delayed supplies received beyond the contracted date of delivery, the Excise Duty prevailing on the date of dispatch or the Excise Duty applicable on the contracted delivery date whichever is less will be admitted. 20.4. Authentic invoice containing the details viz. Central Excise Registration Number, PLA No. etc., date and time of removal of goods, debt entry in PLA/RG 23 duly authenticated by the authorised signatory shall be produced for claim of E.D. for all items manufactured by the tenderer. 20.5. The Tenderer who have quoted ED as NIL and in the event of placement of order on such tenderer against this specification where the value of order is above Rs.150/-Lakhs such tenderer shall furnish an undertaking to the effect that the ED commitment on account of crossing the turnover slab will be discharged to the E.D

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authorities and that the Corporation shall not be responsible for any E.D. evasion by the tenderer in respect of this transaction. 20.6 In the case of tenderer who has quoted ED as NIL and in the event of placement of order against this specification and the proposed order value is less than Rs.150/-Lakhs, the tenderer shall furnish an undertaking to the effect that he has not obtained any other order in the same financial year and that the Corporation shall not be responsible for ED evasion if any by the tenderer in respect of this transaction. 21. SALES TAX : 1) The Central Sales Tax / TNVAT will be paid extra as applicable. The amount of Central Sales Tax / TNVAT and percentage payable shall be indicated separately in the Tender offer. Central Sales Tax / TNVAT is not applicable to freight and insurance charges. 2)a)The TANGEDCO Ltd has been registered as a dealer under CST Act 1956 (Registration No.956815) under TNVAT Act 2006 with TIN No.3060641471. b)As per G.O.Ms.No.77 dated 11.7.2011 Notification-III No.II(1)/CTR/12 (R-17)/2011, the concessional rate of VAT @ 5% is applicable for the goods supplied to TNEB Ltd, TANGEDCO and TANTRANSCO, used in Generation, Transmission and Distribution of Electrical Energy except Petrol, Cement & Diesel. Further As per G.O.MS.No.77 dated 1.7.2011 Notification-IV No.II(1)/CTR/12(R-18)/2011, the concessional rate of VAT @ 5% is applicable for the sale of goods for use in the execution of turnkey projects by contractors who have entered into agreement with TNEB Ltd, TANGEDCO and TANTRANSCO, subject to the condition that the dealer/Purchaser obtains and furnishes a certificate in the prescribed form. c) The necessary certificate as per G.O. shall be furnished for availing concessional reate of VAT. The C Form for the classes of goods specified for the purpose as per CST Act shall be furnished for availing concession/Nil rate of CST. 3) In case of delayed delivery, the Central Sales Tax / TN VAT prevailing on the date of dispatch or on the last day of the contractual delivery period whichever is LESS will be admitted. For both the cases the supplier shall furnish documentary evidence while submitting the bills for payment. 4) Provided always, it is hereby agreed and declared that in case, where the Corporation has doubt and belief that Central Sales Tax / TN VAT is not at all payable for the transaction in question, the Corporation reserves the right to withhold the amount of Tax until the party produces an order of court of competent jurisdiction, declaring the liability of the transaction to Central Sales Tax / TN VAT, Concessional rate of Central Sales Tax / TN VAT, if any, shall be taken into account and included in the price quoted giving proof thereof. 5) The following Certificates have to be furnished for admittance of claim of Central Sales Tax / TN VAT. a) Certified that the transaction in which the Central Sales Tax / TN VAT has been claimed and has been / will be included in the return submitted / to be submitted to the Central Sales Tax / TN VAT authorities for assessment of the Central Sales Tax / TN VAT and the amount of Central Sales Tax / TN VAT claimed from the purchaser has been will be paid to Sales Tax authorities. b) Certified that the goods on which the Central Sales Tax / TN VAT has been charged have not been exempted under C.S.T. Act or TN VAT and the Rules made thereunder and the charges on account of Central Sales Tax / TN VAT on these goods are correct, under provisions of relevant Act or Rules made there under.

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c) Certified that we shall indemnify the Corporation, in case if it is found at a later date that wrong / incorrect or excess payment has been recouped on account of Central Sales Tax / TN VAT paid by us. d) Certificated that we are registered as dealer under the Central Sales Tax Act and our Registration No. is ______________________ and under TN VAT Act 2006 and our Registration No. is _______________________. e) Certified that TN VAT credit availed by me has been taken into account in the rates quoted. 6. Any tenderer aggrieved by the order of the Tender Accepting Authority may prepare an appeal to the Corporation within 10 days from the date of receipt of order and such an appeal shall be disposed of within 15 days. 7. In the event of documents furnished with the offer being found to be bogus or the documents contain false particulars, the EMD paid by the tenderers will be forfeited in addition to black listing them for future tender/contracts in TANGEDCO. 22. BID QUALIFICATION REQUIREMENT: 1. The tenderer should be the manufacturer or the authorized dealer of the manufacturer. 2. The authorized dealer should enclose the valid authorization issued by the manufacturer prior to issue of this tender. 3. Tenders without the above, will not be considered. 23. EVALUATION: (i) in evaluation of the price of an imported item, the price has to be determined inclusive of such customs duty. (ii) In evaluation of the price of articles which are subject to excise duty, the price has to be determined inclusive of such excise duty. (iii) where all the tenderers are from within the state of Tamil Nadu or where all the tenderers are from outside the state of Tamil Nadu, the sales tax or VAT shall be included for the evaluation of the price and where tenderers are both from the state of Tamil Nadu as well as from outside state of Tamil Nadu, the TNVAT quoted shall be excluded from the evaluation of price. (iv) No price preference will be extended in evaluating offer in view of the provision for extending price preference is withdrawn in Tamil Nadu Transparency in Tenders Act. Yours faithfully, Sd/- Er.R. CHANDRASEKARAN, Dt.26-06-13. SUPERINTENDING ENGINEER / O& M, T(K)GTPS / MANNARGUDI. FORWARDED / BY ORDER ASSISTANT EXECUTIVE ENGINEER/MM, T(K)GTPS / MANNARGUDI.