Development, Operation and Maintenance of Greenfield International Airport at Bhogapuram, Vizianagaram District, Andhra Pradesh

Transcription

1 Andhra Pradesh Airports Development Corporation Limited (APADCL) Development, Operation and Maintenance of Greenfield International Airport at Bhogapuram, Vizianagaram District, Andhra Pradesh Amendment 3 dated 27 th August 2018 for RFQ Notice No. 2/ APADCL/ BIA/ RFQ Notification/ 2018/ dated 17th July 2018 The Managing Director, Andhra Pradesh Airports Development Corporation Limited (APADCL) # , I Floor, FDC complex, AC Guards, Hyderabad , India Page 1

2 Response to queries on Bhogapuram RFQ Notice No. 2/ APADCL/ BIA/ RFQ Notification/ 2018/ dated 17th July 2018 Sl. Page Clause Ref. Original text/ Query Suggested text Remarks Response from Authority 105 General Concessionaire period Please let us the duration of concessionaire period The initial concession period is envisaged at 40 (Forty) years. Details on the same shall be provided to the qualified applicants in the RFP stage 106 General Weightage Please accept the weightage for the projects considered to calculating threshold capacity on the revenues collected at the rate pf 10% on the completed value per year As per RFQ, no change(s) envisaged & 63 CA Certificate Schedule 1: Certificate from the Statutory Auditor regarding Development Experience in Eligible projectsɸ Please amend the format by adding the lines as : the eligible annual revenues collected and appropriated which is to be considered as the same is considered as per pg no. 39, of cl (d) Annex - II Technical capacity of the applicant Appendix- III Power of Attorney for Lead Member of Consortium Appendix- III Power of Attorney for Lead Member of Consortium Please consider category 3&4 also and accept the Members of the consortium in for the Project in accordance with the terms and conditions of the Request for Qualification document (RFQ), Request for Proposal (RFP) and other connected documents in respect of the Project, and Authorization of Attorney to conduct all business for and on behalf of the Consortium during the execution of project As per RFQ and Corrigendum 1 dated 18th August 2018; no further changes envisaged Page 2

3 Sl. Page Clause Ref. Original text/ Query Suggested text Remarks Response from Authority Appendix - Obligations as the Concessionaire in terms of the Concession Agreement for the Project. Clause 3 of the Joint Bidding Agreement refers to an undertaking going beyond the qualification stage and in particular to the Concession Agreement, which is not yet known to the applicants. Therefore we would regard this clause as not relevant for the RfQ stage. Authority might consider to revise / delete it. As per RFQ, no change(s) envisaged Appendix - Roles and responsibilities until the Appointed Date under the Concession Agreement We would like to draw your attention to clause 4. (a) of the Joint Bidding Agreement (Appendix IV). As this clause relates to the PoA for lead member, it would have to be revised accordingly Appendix - Potential future obligations of the parties after the qualification stage. Clause 6 of the Joint Bidding Agreement also relates to potential future obligations of the parties after the qualification stage. As under clause 2.1 of the revised Joint Bidding Agreement, the purpose of the consortium is just to jointly participate in the qualification stage of the project, we would regard clause 6 as not relevant for the qualification stage. As per RFQ, no change(s) envisaged Appendix - Clause 8 - Termination Clause 8 of the Joint Bidding Agreement should also be revised to reflect the fact that the purpose of the is just the participation in the qualification stage. Therefore it shall be effective only until the end of the qualification stage / the announcement of the qualified parties. Page 3

4 Sl. Page Clause Ref. Original text/ Query Suggested text Remarks Response from Authority (d) An Applicant shall be liable for disqualification if any legal, financial or technical advisor of the Authority in relation to the Project is engaged by the Applicant, its Member or any Associate thereof, as the case may be, for matters related to or incidental to the Project. For the avoidance of doubt, this disqualification shall not apply where such advisor was engaged by the Applicant, its Member or Associate in the past but its assignment expired or was terminated 6 (six) months prior to the date of issue of this RfQ. Nor will this disqualification apply where such advisor is engaged after a period of 3 (three) years 6 (six) months from the date of commercial operation of the Project. We have been approached by international and domestic players for advisory support on the proposed Bhogapuram Airport development opportunity. As you would appreciate, given the magnitude of investments involved, the bidders would need confirmation that Deloitte is not conflicted from providing any advisory support for the project with respect to clause 2.2.1(d) of the RFQ document issued by APADCL. We were engaged by RITES Limited some years back (in 2016) for undertaking a traffic assessment for then proposed Bhogapuram Airport under a small limited scope subcontract. We did not have any visibility to the preparation of the airport project as such and did not provide any advisory services to APADCL ( the Authority under the RFQ document). We are presenting in the trailing below, a confirmation from RITES Limited on our limited scope of work for RITES which itself was completed in October The sub-consultants of technical advisors, mentioned in responses to queries dated 14th August 2018, do not have conflict of interest with the Authority. Based on the fact that we were not advisors to the Authority in relation to the Bhogapuram airport project, and the confirmation provided by RITES in the trailing of the above mentioned aspect, we request APADCL to please confirm that with respect to clause 2.2.1(d) of the RFQ document, that engaging Deloitte for the advisory support on the project would not present any potential conflict for potential bidders. As you are aware, we have been working on aviation project / airport transaction advisory mandates around the world and are keen to Page 4

5 Sl. No. Page No Clause Ref. Original text/ Query Suggested text Remarks Response from Authority work with serious potential bidders to ensure wider participation for the project. Professionally we are clear that with respect to a dated study conducted in 2016 that too only for a small component, with no visibility to how the project was being structured / developed by your lead advisors, we have no conflict of interest in this regard. We would want to / and be required by bidders to, provide a clear confirmation in this regard given the importance of the transaction / magnitude of potential investment by bidders. Page 5

6 Sl. Page Clause Ref. Original text/ Query Suggested text Remarks Response from Authority Part B, Undertaking with Airport Operator As per GUIDING PRINCIPLES: OPERATIONS & MAINTENANCE, the O&M Obligations of the Concessionaire are to be performed jointly by the applicant and the Airport Operator, implying that the obligations defined from Para 1.1 (a) till Para 1.1 (w) can be bifurcated between the Applicant and the Airport Operator as per local conditions. We are in with this provision. However, second para of Part B which reads as We agree and undertake that (insert name) will act as the Airport Operator for the Project and an O&M will be signed, in accordance with clause (C) of this RfQ for performance of the O&M obligations as per guiding principles set out in this O&M Undertaking, failing which the O&M Undertaking shall be terminated. Implies that all the obligations defined in the guiding principles have to be carried out only by The Airport Operator It is requested that, the contradictions between the two provisions be resolved by suitably amending second Para of Part B to imply that O&M Obligations laid down vide the guiding principles have to be implemented by The Concessionaire. As per RFQ and Corrigendum 1 dated 18th August 2018; no further changes envisaged Refer S. No 1 of Notes on Part B (P.g 11) of Corrigendum 1 dated 18th August 2018 Page 6