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Project name: Cherkasy Energy Efficiency Project – Supply and Installation of Biofuel Boiler Plant

Country: Ukraine

Business sector: Municipal and Environmental Infrastructure

Project ID: 37511

Funding source: EBRD

Type of contract: Supply and Install

Type of notice: Tender Notice

Issue date: 16thMarch 2010

Closing date: 18thMay 2010 at 10:00, local time

6096-IFT-37511

This Invitation for Tenders follows the General Procurement Notice for this project which was published in 'Procurement Opportunities' on the EBRD website 4thAugust 2009.

Cherkasy Municipal Enterprise of District Heating Networks "Cherkasyteplokomunenergo" (the Employer) has received a loan from The European Bank for Reconstruction and Development (the Bank) towards the cost of Cherkasy Energy Efficiency Project.

The Employer now invites sealed tenders from suppliers for the following contract "Biofuel Boiler Plant" to be funded from part of the proceeds of the loan:

Contractor is supposed to supply, install and put into operation the biofuel boiler plant and associated equipment in existing boiler house. The boiler plant shall perform the following functions:

1. Fuel storage;

2. Fuel conveying from storage to pre-furnace;

3. Heat production and transmission to DH network;

4. Flue gas cleaning;

5. Ash removal and storage;

6. Flue gas withdrawal to atmosphere through existing smoke stack;

7. Control and adjustment;

8. Securing of explosion and fire safety of the process;

9. Securing of the existing environmental and labour protection regulations observance.

The technical data for the boiler plant to be as follows:

- Fuel – wood waste (wood chips, sawdust, wood pieces);

- Capacity not less than 2,5 MW;

- Efficiency not less than 85% at fuel humidity not less than 50%;

- Fuel humidity: up to 55%.

Scope of supply of the boiler plant shall include the following equipment:

1. Automatic mechanized fuel storage;

2. Fuel conveying automatic system;

3. Pre-furnace;

4. Hot water boiler;

5. Modern flue gas cleaning system;

6. Automatic system of ash removal;

7. Flue gas fan;

8. Heat meter for the heat, produced by the bio-fuel boiler plant;

9. Flue gas duct;

10. Pipelines (DH, make-up and sewerage);

11. Control system;

12. Instrumentation and protective equipment;

13. Electrical equipment

14. Scales, platforms and other structures, necessary for comfortable and safety operation, supervision, servicing and maintenance of the bio-fuel boiler plant.

15. Other equipment, not mentioned above, but necessary for performance of all required functions by the boiler plant.

The tenderer will be required to meet the following minimum criteria, as specified in Tender documents:

a) The Tenderer shall have successful experience as prime contractor in the execution of at least 5 completed projects of a nature and complexity comparable to the proposed contract over a five years period ending on the deadline for tender submission. The nature and complexity of the project comparable to the proposed contract should mean the supply and installation of the similar type and size of equipment to the district heating business or any other business with load variations as indicated in the Technical Specification. Delivered bio-fuel plants shall have been at successful operation at least a year by the time of tendering submission deadline.

b) The Tenderer or its local service agent will be able to carry out the supplier's maintenance, warranty, repair and spare parts stocking obligations prescribed in these Tender documents. The Tenderer shall give details of local service agent or state how these obligations will be met in the event of a contract.

c) The average annual turnover over the last five years is not less than Euro 1,5 million equivalents.

d) The Tenderer must have financial capability to meet the construction cash flow for the contract for a period of 1 month, estimated as minimum Euro 100 000 equivalents.

e) The Tenderer has a Litigation History without major claims. A consistent history of awards against the Tenderer or any partner of a joint venture may result in failure of the application.

f) Joint ventures must satisfy the following minimum qualification requirements:

1) The leading partner shall meet not less than 60 percent of all the qualifying criteria for turnover and financial position specified above;

2) The other partners shall meet not less than 15 percent of all the qualifying criteria for turnover and financial position specified above;

g) The joint venture must satisfy collectively the criteria related to personnel and equipment capabilities and financial position stated above.

The Contract is planned to be completed within 7 months from the effective date.

Tendering for contracts to be financed with the proceeds of loan from the Bank is open to firms from all countries. The proceeds of the Bank's loan will not be used for the purpose of any payment to persons or entities, or for any import of goods, if such payment or import is prohibited by a decision of the United Nations Security Council taken under Chapter VII of the Charter of the United Nations.

Tender documents may be obtained from the address below upon payment of non-refundable fee of 180 €:

1) For Ukrainian tenderers, upon payment of the mentioned amount in UAH (Hryvnja of Ukraine) at National bank rate of the payment day to the account:

No. 26006301000039 in VAT VTB Bank,

MFO 354938

Code 02082522

Individual tax number 020825223014

Registration certificate number 32123621

2) For the foreign Tenderers, upon payment of the mentioned amount to the account:

Beneficiary account name: MEHN CHERKASYTEPLOKOMUNENERGO

Beneficiary account #: 26006300000634

Beneficiary Bank: BANK JSCB FORUM, KIEV, UKRAINE

SWIFT: FJSC UA UK

Bank address: KIEV, UKRAINE

Additional information: 3901990029/978 CHERKASY BRANCH

Intermediary: COMMERZBANK AG

SWIFT: COBA DE FF

Intermediary address: Frankfurt am Main

Account #: 400887090901

All tenders must be accompanied with a Tender Security of 12.000 (twelve thousand) Euro or its equivalent in a convertible currency, and must be delivered to the address below on or before 10:00 a.m., 18 May 2010, when they will be opened in the presence of the tenderers' representatives who wish to attend.

A register of potential Tenderers who have purchased the tender documents may be inspected at the address below.

Prospective tenderers may obtain further information from, and acquire the tender documents at the following office:

Contact person: Mr. Oleg Rygin, PIU Procurement Manager, Address:Municipal Enterprise of District Heating Networks "Cherkasyteplokomunenergo", Ukraine,18000,Cherkasy,O. Dashkovycha 62. Tel:+380 472 32 52 20. Fax:+380 472 54 06 90. E-mail:piu@ctke.ck.ua