Tender for Provision of Single Channel per Carrier (SCPC) VSAT Link between Kamburu Power Station and Turkwel Power Station

` KENYA ELECTRICITY GENERATING COMPANY LIMITED KGN-IT-10-2015 Tender for Provision of Single Channel per Carrier (SCPC) VSAT Link between Kamburu Power Station and Turkwel Power Station Kenya Electricity Generating Company Ltd Stima Plaza, Kolobot Road, Parklands P.O. Box 47936, 00100 NAIROBI www.kengen.co.ke July, 2015 Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 1

SECTION PAGE(S) Section B INVITATION FOR TENDERS ------------------------------------ 3 Section C GENERAL INFORMATION -------------------------------------- 4-18 Section D GENERAL CONDITIONS OF CONTRACT ------------------ 19-24 Section E SPECIAL CONDITIONS OF CONTRACT-------------------- 25-27 Section F TECHNICAL SPECIFICATION ------------------------------- 28 Section G PRICE SCHEDULE ----------------------------------------------- 29-30 Section H SAMPLE FORMS-------------------------------------------------- 31 Section I TENDER FORMS-------------------------------------------------- 32 Section J TENDER SECURITY FORM----------------------------------- - 33 Section K CONTRACT FORM---------------------------------------------- 34-35 Section L PERFORMANCE SECURITY FORM------------------------- 36 Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 2

SECTION B INVITATION TO TENDER Kengen wishes to invite sealed tenders from reputable firms in VSAT provision to provide service to the integrated, single thread, Single Service Per Carrier (SCPC) VSAT system, designed to transfer SCADA data from the Turkwel Power Stations in West Pokot and Data Dispatch Centre at Kamburu Hydro Power Station in 7-Forks. Interested eligible candidates may obtain further information from, and inspect the Tender Documents at the office of: Supply Chain Director Tel (254) (020) 3666000 Fax (254) (020) 3666200 Email: tenders@kengen.co.ke Cc: vomunzi@kengen.co.ke Where tender document may be collected from supply chain division Tender section upon payment of non-refundable fee of Ksh 1, 000 (One Thousand ) payable at any KenGen cash office or be downloaded from KenGen website www.kengen.co.ke. Bidders who download the tender document from the website must forward their company details to tender@kengen.co.ke to facilitate subsequent information through clarifications/addendum. Downloaded copies are not charged. Tenders must be accompanied by Tender Security in the form and amount specified in the tender documents, and must be delivered to: Company Secretary& Legal Affairs Director Kenya Electricity Generating Co. Ltd. 7 th Floor, Stima Plaza Phase III Kolobot Road, Parklands P O Box 47936-00100 NAIROBI, KENYA On or before: 19 th August 2015 at 2.00 p.m. There will be a MANDATORY SITE VISIT on 4 th August 2015 for Turkwel and 7 th August 2015 Kamburu power stations Tenders will be opened on 19 th August 2015 at 2.30 p.m. in the presence of the candidates representatives who choose to attend at Stima Plaza III, Executive Committee Room, 7 th Floor SUPPLY CHAIN DIRECTOR Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 3

SECTION C GENERAL INFORMATION Introduction 1. Eligible Tenderers 1.1 This Invitation for Tenders is open to all tenderers eligible as described in the tender documents. Successful tenderers shall complete the supply of services by the intended completion date specified in the tender documents. 1.2 Tenderers shall not be under a declaration of ineligibility for corrupt and fraudulent practices. 2. Cost of Tendering 2.1 The Tenderer shall bear all costs associated with the preparation and submission of its tender, and KenGen, will in no case be responsible or liable for those costs, regardless of the conduct or outcome of the tendering process. The Tender Document 3. Contents 3.1 The tender documents will comprise the documents listed below and addenda issued in accordance with clause 6 of these instructions to tenders. Invitation for Tenders (i) General information (ii) General Conditions of Contract (iii) Special Conditions of Contract (iv) Technical Specifications (v) Price schedule (vi) Tender Form (vii) Tender Security Form (viii) Contract Form (ix) Performance Security Form 3.2 The Tenderer is expected to examine all instructions, forms, terms, and specifications in the tender documents. Failure to furnish all information required by the tender documents or to submit a tender not substantially responsive to the tender documents in every respect will be at the tenderers risk and may result in the rejection of its tender. 4. Clarification of Documents 4.1 A prospective tenderer requiring any clarification of the tender document may notify KenGen in writing or facsimile at the address indicated in the Invitation for tenders. KenGen will Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 4

respond in writing to any request for clarification of the tender documents, which it receives (5) five days prior to the deadline for the submission of tenders. Written copies of KenGen's response (including an explanation of the query but without identifying the source of inquiry) will be sent to all prospective tenderers that have received the tender document. Clarification request must be sent to tenders@ 5. Amendment of Documents 5.1 At any time prior to the deadline for submission of tenders, KenGen, for any reason, whether at its own initiative or in response to a clarification requested by a prospective tenderer, may modify the tender documents by amendment. 5.2 All prospective candidates that have received the tender documents will be notified of the amendment in writing or by cable, and this will be binding on them. 5.3 In order to allow prospective tenderers reasonable time in which to take the amendment into account in preparing their tenders, KenGen, at its discretion, may extend the deadline for the submission of tenders. Preparation of Tenders 6. Language of Tender 6.1 The tender prepared by the tenderer, as well as all correspondence and documents relating to the tender exchanged by the tenderer and KenGen, shall be written in English language, provided that any printed literature furnished by the tenderer may be written in another language provided they are accompanied by an accurate English translation of the relevant passages in which case, for purposes of interpretation of the tender, the English translation shall govern. 7.0 Documents Comprising the Tender 7.1 This tender is a ONE ENVELOPE bid document and shall comprise of the following documents: - Technical Document - Financial Document - Bid Security The technical document shall include the approach to achieve the scope of work defined in the tender document and delivering each of the major components as specified. The financial document shall comprise the itemized bill of materials and their unit prices as specified in the tender document. In order for the technical evaluation to progress quickly and effectively, bidders are requested, to provide the technical proposal in the following format: Section 1: Introduction Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 5

Including the bidders understanding of the scope of work, necessary skills, and company profile. Section 2: Executive summary An overview of the main points contained in the proposal with reference to section where more detailed discussion of each point can be found. Section 3: Approach A detailed explanation of how the bidder will undertake the scope of works, required resources and any special skills required, the deliverables (format and structure), use of any methodology and how it will cover the scope, use of any standard tools, duration of any work streams. Technology choices and recommendations should be made in this section. Section 4: Work plan and duration (implementation plan) The work plan and duration for the overall work (from project kickoff date till the Final delivery date), including any dependencies between the separate items in the Scope. The bidder should provide deliverables and milestones for partial handovers as specified. Section 5: Track Record The bidder s track record of undertaking similar projects both in size and nature, and references of clients with contacts information (name. Title, phone) (At least three similar works samples to be provided). Section 6: CVs of project staff Format of any proposed team and description of each staff role and their relevant experience, brief CV s should be provided. The bidder should also indicate the availability of the proposed staff and their area of competency. Appendix I: Methodology The bidder should provide details of any appropriate methodologies. Appendix II: Work Samples The bidder should provide three samples of similar works performed within the last three years. Appendix III: Detailed CVs The bidder should provide detailed CVs of staff team members who will implement the project. Appendix IV: Organization Chart Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 6

The bidder should provide an organization chart and project organization structure. Provided CVs must be mapped to the provided organization structure. The Financial proposal (Document) should include a cost summary and a detailed cost analysis section. The cost summary must provide a fixed lump sum price for the overall project. The financial proposal should also include the unit rate for each item in the schedule of quantities. The financial offer should be inclusive of all taxes. Bid Security Part three of the proposal should be the bid security in a separate envelope. 8. Tender Form 8.1 The financial proposal shall follow standards tender the Tender Form and the appropriate Price Schedule furnished in the tender documents, indicating the Services to be supplied, a brief description of the Services, and prices. 9. Tender Prices 10.1 The tenderer shall indicate on an appropriate Price Schedule the unit prices and total tender price of the Services it proposes to supply under the contract. 10.3 Prices quoted by the tenderer shall be fixed during the Tender s performance of the contract and not subject to variation on any account. A tender submitted with an adjustable price quotation will be treated as non-responsive and will be rejected, pursuant to paragraph 22. 10. Tender Currencies 10.1 Prices shall be quoted in the following currencies: (a) (b) For services and goods that the tenderer will supply, the prices shall be quoted in United States Dollars (USD)/KSHS. 11. Tenderers Eligibility and Qualifications. 11.1Requirements of Contract 11.2 General Requirements Tenders must clearly demonstrate that the requirement can be met. Proposals above the minimum should be detailed in the response and any associated costs detailed separately. The bidding is open to all qualified tenderers who fully meet the following qualifying requirements and have documentary evidence which should be attached to the tender document. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 7

- The Tenderer must have CAK license. - The Tenderer must have successfully completed at least three similar works - i.e. an integrated, single thread, Single Channel Per Carrier (SCPC) VSAT system solution, designed to transfer voice and data to remote location, in at least three reputable organizations and should provide references with contact persons. - The tenderer must conduct a site survey which is Mandatory and submit the project plan together with the bid that should include: (i) (ii) (iii) (iv) Site survey report and connectivity diagrams. Design Documents (Network, passive cabling) Policies document (Security and Network Management) A detailed Work Breakdown Structure and project plan that outlines all tasks, milestones, durations, and resources needs. 11.2 Pursuant to paragraph 1 of section III, the tenderer shall furnish, as part of its tender, documents establishing the tenderers eligibility to tender and its qualifications to perform the contract if its tender is accepted. 11.3 The documentary evidence of the tenderers eligibility to tender shall establish to Kenya Electricity Generating Company Limited s satisfaction that the tenderer, at the time of submission of its tender, is from an eligible source country as defined under paragraph I of section III. 11.4 The documentary evidence of the tenderers qualifications to perform the contract if its tender is accepted shall establish to KenGen s satisfaction: (a) (b) That the tenderer has the financial, technical, and production capability necessary to perform the contract; That, in the case of a tenderer not doing business within Kenya, the tenderer is or will (if awarded the contract) be represented by an Agent in Kenya equipped, and able to supply the Tenderer s Services prescribed in the Conditions of Contract and/or Technical Specifications. 12. Goods Eligibility and Conformity to Tender Document. 12.1 Pursuant paragraph 2 of this section, the tenderer shall furnish, as part of its tender, documents establishing the eligibility and conformity to the tender documents of Services, which the tenderer proposes to supply under the contract. 12.2 The documentary evidence of the eligibility of the Services shall consist of a statement in the Price Schedule of the country of origin of the Services and services offered which shall be confirmed by a certificate of origin issued at the time of shipment. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 8

12.3 The documentary evidence of conformity of the Services to the tender documents may be in the form of literature, drawings, and data, and shall consist of: (a) A detailed description of the essential technical and performance characteristics of the Services; (b) a clause-by-clause commentary on Kenya Electricity Generating Company Limited s Technical Specifications demonstrating substantial responsiveness of the Goods and services to those specifications, or a statement of deviations and exceptions to the provisions of the Technical Specifications. 13. Tender Security 13.1 Tender Security of amount Kenya shilling 50,000 shall be furnished in the for approved by PPOA and shall be valid for at least 30days beyond tender validity. 13.2 The tender security is required to protect Kenya Electricity Generating Company Limited against the risk of Tenderer s conduct which would warrant the security s forfeiture, pursuant to paragraph 13.6 13.3 The tender security shall be denominated in Kenya Shillings or in another freely convertible currency, and shall be in the form of a bank guarantee or a bank draft issued by a reputable bank located in Kenya or abroad, in the form provided in the tender documents or another form acceptable to Kenya Electricity Generating Company Limited and valid for thirty (30) days beyond the validity of the tender. 13.4 Any tender not secured in accordance with paragraph 13.1 and 13.3 will be rejected by Kenya Electricity Generating Company Limited as non responsive, pursuant to paragraph 22. 13.5 Unsuccessful Tenderer s tender security will be discharged or returned as promptly as possible as but not later than thirty (30) days after the expiration of the period of tender validity prescribed by Kenya Electricity Generating Company Limited. The successful Tenderer s tender security will be discharged upon the tenderer signing the contract, pursuant to paragraph 30, and furnishing the performance security, pursuant to paragraph 31. 13.6 The tender security may be forfeited: (a) (b) if a tenderer withdraws its tender during the period of tender validity specified by Kenya Electricity Generating Company Limited on the Tender Form; or in the case of a successful tenderer, if the tenderer fails: (i) to sign the contract in accordance with paragraph 30 OR Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 9

(ii) to furnish performance security in accordance with paragraph 31. 14. Validity of Tenders 14.1 Tenders shall remain valid for 90 days or as specified in the tender documents after date of tender opening prescribed by KenGen, pursuant to paragraph 18. A tender valid for a shorter period shall be rejected by KenGen as non-responsive. 14.2 In exceptional circumstances, KenGen may solicit the Tenderer s consent to an extension of the period of validity. The request and the responses thereto shall be made in writing. The tender security provided under paragraph 14 shall also be suitably extended. A tenderer may refuse the request without forfeiting its tender security. A tenderer granting the request will not be required nor permitted to modify its tender. 15. Format and Signing of Tender 15.1 The supplier shall prepare ONE bid document comprising technical and financial proposals in ONE Envelope. However, TWO copies of the bid document; one marked ORIGINAL and another marked COPY shall be submitted. In the event of any discrepancy between two, the original shall govern. 15.2 The original and copy of the tender document shall be typed or written in indelible ink and shall be signed by the tenderer or a person or persons duly authorized to bind the tenderer to the contract. The latter authorization shall be indicated by written power-of-attorney accompanying the tender. All pages of the tender, except for unamended printed literature, shall be initialed by the person or persons signing the tender. 15.3 The tender shall have no interlineation, erasures, or overwriting except as necessary to correct errors made by the tenderer, in which case such corrections shall be initialed by the person or persons signing the tender. Submission of Tenders 16. Sealing and Marking of Tenders 16.1 The original and copy of the tender shall be placed in a sealed envelope clearly marked Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Wind Master, and warning Do not open. A third sealed envelope containing the Bid bond and marked Bid Bond will be enclosed in an outer envelope together with the bid document. This outer envelope shall bear the submission address. 16.2 The inner and outer envelopes shall : (a) be addressed to Kenya Electricity Generating Company Ltd at the following address: Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 10

The Company Secretary/Legal & Corporate Affairs Director Kenya Electricity Generating Company 7 th Floor, Stima Plaza Phase III Kolobot Road, Parklands P.O. Box 47936-00100 NAIROBI (b) in addition to the instructions in 16.2 bear, Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power Station and the words: DO NOT OPEN BEFORE 19 th August 2015 at 2.00pm 16.3 The inner envelopes shall also indicate the name and address of the tenderer to enable the tender to be returned unopened in case it is declared late. 16.4 If the outer envelope is not sealed and marked as required by paragraph 16.2, Kenya Electricity Generating Company Ltd will assume no responsibility for the tender s misplacement or premature opening. 17. Deadline for submission of Tenders 17.1The completed Technical and Financial proposals must be delivered at the submission address as specified in 16.2 on or before 2.00 PM on 19th August 2015. Any proposal received after the closing time for submission of tenders shall be returned unopened. 17.4 Kenya Electricity Generating Company ltd may, at its discretion, extend this deadline for the submission of tenders by amending the tender documents in accordance with paragraph 6, in which case all rights and obligations of Kenya Electricity Generating Company ltd and candidates previously subject to the deadline will thereafter be subject to the deadline as extended. 18. Modification and Withdrawal of Tenders 18.1 The tenderer may modify or withdraw its tender after the tender s submission, provided that written notice of the modification, including substitution or withdrawal of the tenders, is received by KenGen prior to the deadline prescribed for submission of tenders. 18.2 The Tenderer s modification or withdrawal notice shall be prepared, sealed, marked, and dispatched in accordance with the provisions of paragraph 17. A withdrawal notice may also be sent by cable, but followed by a signed confirmation copy, postmarked not later than the deadline for Submission of tenders. 18.3 No tender may be modified after the deadline for submission of tenders. 18.4 No tender may be withdrawn in the interval between the deadline for submission of tenders and the expiration of the period of tender validity specified by the tenderer on the Tender Form. Withdrawal of a tender during this interval may result in the Tenderer s forfeiture of its tender security, pursuant to paragraph 14.7. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 11

19. Opening and Evaluation of Tenders 19.1 KenGen will open all tenders in the presence of tenderers representatives who choose to attend, at 2.30 pm on 19 th August 2015 7 th floor Stima Plaza Phase III, Kolobot Road The tenderers representatives who are present shall sign a register evidencing their attendance. 19.2 After the deadline for submission of tenders the technical and financial proposals shall be opened immediately for evaluation 19.4 KenGen will prepare minutes of the tender opening. 20. Clarification of Tenders 20.1 To assist in the examination, evaluation and comparison of tenders KenGen may, at its discretion, ask the tenderer for a clarification of its tender. The request for clarification and the response shall be in writing, and no change in the prices or substance of the tender shall be sought, offered, or permitted. 20.2Any effort by the tenderer to influence KenGen s tender evaluation, tender comparison or contract award decisions may result in the rejection of the tenderers tender. 21. Preliminary Examination 21.1 KenGen will examine the tenders to determine whether they are complete, whether any computational errors have been made, whether required sureties have been furnished, whether the documents have been properly signed, and whether the tenders are generally in order. 21.2 Arithmetical errors will be rectified on the following basis. 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. If the candidate does not accept the correction of the errors, its tender will be rejected, and its tender security may be forfeited. If there is a discrepancy between words and figures, the amount in words will prevail. 21.3 KenGen may waive any minor informality or non-conformity or irregularity in a tender which does not constitute a material deviation, provided such waiver does not prejudice or affect the relative ranking of tenderer. 21.4 Prior to the detailed evaluation, pursuant to paragraph 23, KenGen will determine the substantial responsiveness of each tender to the tender documents. For purposes of these paragraphs, a substantially responsive tender is one which conforms to all the terms and conditions of the tender documents without material deviations. KenGen s determination of a tender s responsiveness is to be based on the contents of the tender itself without recourse to extrinsic evidence. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 12

21.5 If a tender is not substantially responsive, it will be rejected by KenGen and may not subsequently be made responsive by the tenderer by correction of the nonconformity. 22. Evaluation and Comparison of Tenders All tender responses will be evaluated technically and financially and the winning proposal will be selected on the basis of best value in terms of technical superiority as well as cost effectiveness. 1. Preliminary evaluation - The Tenderer must have CAK license. - The Tenderer must have successfully completed at least three similar works - i.e. an integrated, single thread, Single Channel Per Carrier (SCPC) VSAT system solution, designed to transfer voice and data to remote location, in at least three reputable organizations and should provide references with contact persons. - The tenderer must conduct a site survey which is Mandatory and submit the project plan together with the bid that should include: (v) Site survey report and connectivity diagrams. (vi) Design Documents (Network, passive cabling) (vii) Policies document (Security and Network Management) (viii) A detailed Work Breakdown Structure and project plan that outlines all tasks, milestones, durations, and resources needs. - Tenderer must have certificate of registration /incorporation in Kenya - Valid tender security - Valid tax compliance - Duly filled and signed tender form - Duly filled signed and stamped confidential business questionnaire - Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 13

Technical evaluation CRITERION i) Understanding of service requirements (5) (attach a write up) Document organization Table of contents mapped to the document (3marks). Completeness of the tender document 2 Marks ii) Specific experience of at least 3 years on execution of similar project to a similar organisation as Kengen. (10 marks ) (Attach company profile ) iii Adequacy of the proposed technical approach, methodology and design plan in responding to the Terms of Reference Points 10 10 a) Technical approach and methodology (15 marks) b) Work plan/delivery of solution (10marks) 25 v) a) Qualifications, Certification and competence of Key professional staff for the assignment (ATLEAST 3). (15Marks). b) Experience of at least 3 years for personnel to run the service (15). 30 vi) Compliance to specifications of the proposed equipment to be deployed to offer service. Total Score 25 100 Points Minimum expected technical score is 80% Only bidders who meet the minimum technical requirements will be considered for financial evaluation. Financial Evaluation The lowest evaluated bidder will be considered for award. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 14

Document Notation MRn A mandatory requirement A solution that does not meet all mandatory requirements will not be acceptable. IRn An information requirement Failure in a tender to provide full, relevant information in answer to information requirement may prevent the evaluation from being conducted properly, and hence lead to exclusion of the tender. 22.1 KenGen will evaluate and compare the tenders which have been determined to be substantially responsive, pursuant to paragraph 22. 22.2 KenGen s evaluation of a tender will exclude and not take into account: (a) any allowance for price adjustment during the period of execution of the contract, if provided in the tender. 22.3 The comparison shall be of the ex-factory/ex-warehouse/off-the-shelf price of the Goods offered from within Kenya, such price to include all costs, as well as duties and taxes paid or payable on components and raw material incorporated or to be incorporated in the Goods. 22.4 KenGen s evaluation of a tender will take into account, in addition to the tender price and the price of incidental services, the following factors: (a) The cost of Services (b) Delivery schedule offered in the tender; (c) Deviations in payment schedule from that specified in the Special Conditions of Contract; 23.5 (a) Deviation in payment schedule. Tenderers shall state their tender price for the payment of schedule outlined in the special conditions of contract. Tenders will be evaluated on the basis of this price. Tenderers are, however, permitted to state an alternative payment schedule and indicate the reduction in tender price they wish to offer for such alternative payment schedule. KenGen may consider the alternative payment schedule offered by the selected tenderer. 24. Contacting Kenya Electricity Generating Company Limited 24.1 Subject to paragraph 21, no tenderer shall contact KenGen on any matter relating to its tender, from the time of the tender opening to the time the contract is awarded. 24.2 Any effort by a tenderer to influence KenGen in its decisions on tender evaluation, tender comparison, or contract award may result in the rejection of the Tenderer s tender. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 15

Award of Contract 25. Post-qualification 25.1 In the absence of pre-qualification, KenGen will determine to its satisfaction whether the tenderer that is selected as having submitted the lowest evaluated responsive tender is qualified to perform the contract satisfactorily. 25.2 The determination will take into account the tenderer financial, technical, and production capabilities. It will be based upon an examination of the documentary evidence of the tenderers qualifications submitted by the tenderer, pursuant to paragraph 12.3, as well as such other information as KenGen deems necessary and appropriate. 25.3 An affirmative determination will be a prerequisite for award of the contract to the tenderer. A negative determination will result in rejection of the Tenderer s tender, in which event KenGen will proceed to the next lowest evaluated tender to make a similar determination of that Tenderer s capabilities to perform satisfactorily. 27. Kenya Electricity Generating Company Limited Right to Vary Quantity 27.1 KenGen reserves the right at the time of contract award to increase or decrease the quantity of goods originally specified in the schedule of requirements without any change in unit price or other terms and conditions. 28. KenGen s Right to accept or Reject Any or All Tenders 28.1 KenGen reserves the right to accept or reject any tender, and to annul the tendering process and reject all tenders at any time prior to contract award, without thereby incurring any liability to the affected tenderer or tenderers or any obligation to inform the affected tenderer or tenderers of the grounds for KenGen s action. 29. Notification of Award 29.1 Prior to the expiration of the period of tender validity, KenGen will notify the successful tenderer in writing that its tender has been accepted. 29.2 The notification of award will constitute the formation of the Contract. 29.3 Upon the successful Tenderer s furnishing of the performance security pursuant to paragraph 31, KenGen will promptly notify each unsuccessful Tenderer and will discharge its tender security, pursuant to paragraph 14. 30. Signing of Contract Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 16

30.1 At the same time as KenGen notifies the successful tenderer that its tender has been accepted, KenGen will send the tenderer the Contract Form provided in the tender documents, incorporating all agreements between the parties. 30.2 Within fifteen (15) days of receipt of the Contract Form, the successful tenderer shall sign and date the contract and return it to KenGen. 31. Performance Security 31.1 Within fifteen (15) days of the receipt of notification of award from KenGen, the successful tenderer shall furnish the performance security in accordance with the Conditions of Contract, in the Performance Security Form provided in the tender documents, or in another form acceptable to KenGen. 31.2 Failure of the successful tenderer to comply with the requirement of paragraph 30 or paragraph 31 shall constitute sufficient grounds for the annulment of the award and forfeiture of the tender security, in which event KenGen may make the award to the next lowest evaluated Candidate or call for new tenders. 32. Corrupt Fraudulent Practices 32.1 KenGen requires that tenderers observe the highest standard of ethics during the procurement process and execution of contracts. In pursuance of this policy, KenGen:- (a) defines, for the purposes of this provision, the terms set forth below as follows: (i) (ii) corrupt practice means the offering, giving, receiving or soliciting of any thing of value to influence the action of a public official in the procurement process or in contract execution; and fraudulent practice means a misrepresentation of facts in order to influence a procurement process or the execution of a contract to the detriment of Kenya Electricity Generating Company Limited, and includes collusive practice among tenderer (prior to or after tender submission) designed to establish tender prices at artificial non-competitive levels and to deprive Kenya Electricity Generating Company Limited of the benefits of free and open competition; (b) (c) will reject a proposal for award if it determines that the tenderer recommended for award has engaged in corrupt or fraudulent practices in competing for the contract in question; will declare a firm ineligible, either indefinitely or for a stated period of time, to be awarded any contract if it at any time determines that the firm has engaged in corrupt or fraudulent practices in competing for, or in executing, a contract. 32.2 Furthermore, tenderers shall be aware of the provision stated in the General Conditions of Contract. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 17

SECTION D: GENERAL CONDITIONS OF CONTRACT 1. Definitions 1.1 In this Contract, the following terms shall be interpreted as indicated: (a) The Procuring Entity / Purchaser is Kenya Electricity Generating Company Limited of Stima Plaza, Kolobot Road, Parklands, P.O. Box 47936-00100 GPO, Nairobi. Kenya and includes the Procuring Entity s legal representatives successors or assigns. (b) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) The Contract means the agreement entered into between the Purchaser and the Supplier, as recorded in the Contract Form signed by the parties, including all attachments and appendices thereto and all documents incorporated by reference therein. The Contract Price means the price payable to the Supplier under the Contract for the full and proper performance of its contractual obligations. The Goods Goods Means all equipment machinery, Services and / or other materials which the supplier is required to supply to the purchaser under the contract. The Service means those services ancillary to the supply of the Goods, such as transportation and insurance, and any other incidental services, such as installation, commissioning, provision of technical assistance, training, and other such obligations of the Supplier covered under the Contract. GCC means the General Conditions of Contract contained in this section. LAN Local Area Network The Bidder means the individual or firm who participates in the tender and submits a bid. OEM Original Equipment/Software manufacturer WAN Wide Area Network VSAT Very Small Aperture Terminal SCPC Single Channel Per Carrier ODU Out Door Unit (m) IDU In Door Unit Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 18

(j) MRn A mandatory requirement A solution that does not meet all mandatory requirements will not be acceptable. (k) IRn An information requirement Failure in a tender to provide full, relevant information in answer to information requirement (IRn) may prevent the evaluation from being conducted properly, and hence lead to exclusion of the tender. Assessment of the quality of the tender will be based on the responses to these requirements, and will influence the selection process. 2. Application 2.1 These General Conditions shall apply in all Contracts made by KenGen for the procurement of the Goods. 3. Country of Origin Not applicable 4. Standards 4.1 The Services provided under this Contract shall conform to the standards mentioned in the Technical Specifications. 5. Use of Contract Documents and Information 5.1 The Candidate shall not, without KenGen s prior written consent, disclose the Contract, or any provision thereof, or any specification, plan, drawing, pattern, sample, or information furnished by or on behalf of KenGen in connection therewith, to any person other than a person employed by the tenderer in the performance of the Contract. 5.2 The tenderer shall not, without KenGen s prior written consent, make use of any document or information enumerated in paragraph 5.1 above. 5.3 Any document, other than the Contract itself, enumerated in paragraph 5.1 shall remain the property of KenGen and shall be returned (all copies) to KenGen on completion of the Tenderer s performance under the Contract if so required by KenGen. 6. Patent Rights 6.1 The tenderer shall indemnify KenGen against all third-party claims of infringement of patent, trademark, or industrial design rights arising from use of the Goods / Services or any part thereof in Kenya. 7. Performance Security Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 19

7.1 Within thirty (30) days of receipt of the notification of Contract award, the successful tenderer shall furnish to KenGen the performance security in the amount specified in Special Conditions of Contract. 7.2 The proceeds of the performance security shall be payable to KenGen as compensation for any loss resulting from the Tenderer s failure to complete its obligations under the Contract. 7.3 The performance security shall be denominated in the currency of the Contract, or in a freely convertible currency acceptable to KenGen and shall be in the form of a bank guarantee or an irrevocable letter of credit issued by a reputable bank located in Kenya or abroad, acceptable to KenGen, in the form provided in the tender documents. 7.4 The performance security will be discharged by KenGen and returned to the Candidate not later than thirty (30) days following the date of completion of the Tenderer s performance obligations under the Contract, including any warranty obligations, under the Contract. 8. Inspection and Tests 8.1 KenGen or its representative shall have the right to inspect and/or to test the Services to confirm their conformity to the Contract specifications. KenGen shall notify the tenderer in writing, in a timely manner, of the identity of any representatives retained for these purposes. 8.2 The inspections and tests may be conducted on the premises of the tenderer or its subcontractor(s), at point of delivery, and/or at the Goods s final destination. If conducted on the premises of the tenderer or its subcontractor(s), all reasonable facilities and assistance, including access to drawings and production data, shall be furnished to the inspectors at no charge to KenGen. 8.3 Should any inspected or tested Goods fail to conform to the Specifications, KenGen may reject the Goods, and the tenderer shall either replace the rejected Goods or make alterations necessary to meet specification requirements free of cost to KenGen. 8.4 KenGens' right to inspect, test and, where necessary, reject the Goods after the Goods s arrival shall in no way be limited or waived by reason of the Goods having previously been inspected, tested, and passed by KenGen or its representative prior to the Goods delivery. 8.5 Nothing in paragraph 8 shall in any way release the tenderer from any warranty or other obligations under this Contract. 10. Delivery and Documents 10.1 Delivery of the Goods shall be made by the tenderer in accordance with the terms specified by KenGen in its Schedule of Requirements and the Special Conditions of Contract 11. Insurance Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 20

11.1 The Goods supplied under the Contract shall be fully insured against loss or damage incidental to manufacture or acquisition, transportation, storage, and delivery in the manner specified in the Special conditions of contract. 12. Payment 12.1 The method and conditions of payment to be made to the tenderer under this Contract shall be specified in Special Conditions of Contract. 12.2 Payments shall be made promptly by KenGen as specified in the contract. 13. Prices 13.1 Prices charged by the tenderer for Goods delivered and Services performed under the Contract shall not, with the exception of any price adjustments authorized in Special Conditions of Contract, vary from the prices by the tenderer in its tender. 14. Assignment 14.1 The tenderer shall not assign, in whole or in part, its obligations to perform under this Contract, except with KenGen s prior written consent. 15. Subcontracts 15.1 The tenderer shall notify KenGen in writing of all subcontracts awarded under this Contract if not already specified in the tender. Such notification, in the original tender or later, shall not relieve the tenderer from any liability or obligation under the Contract. 16. Termination for Default 16.1 KenGen may, without prejudice to any other remedy for breach of Contract, by written notice of default sent to the tenderer, terminate this Contract in whole or in part: (a) (b) (c) if the tenderer fails to deliver the Service within the period(s) specified in the Contract, or within any extension thereof granted by Kenya Electricity Generating Company Limited. if the tenderer fails to perform any other obligation(s) under the Contract. if the tenderer, in the judgment of Kenya Electricity Generating Company Limited has engaged in corrupt or fraudulent practices in competing for or in executing the Contract. 16.2 In the event KenGen terminates the Contract in whole or in part, it may procure, upon such terms and in such manner as it deems appropriate, Service similar to those undelivered, and the tenderer shall be liable to KenGen for any excess costs for the Service. 17. Liquidated Damages Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 21

17.1 If the tenderer fails to deliver of the Service within the period(s) specified in the contract, KenGen shall, without prejudice to its other remedies under the contract, deduct from the contract prices liquidated damages sum equivalent to 0.5% of the delivered price of the delayed Service up to a maximum deduction of 10%. After this the tenderer may consider termination of the contract. 18. Resolution of Disputes 18.1 KenGen and the tenderer shall make every effort to resolve amicably by direct informal negotiation any disagreement or dispute arising between them under or in connection with the contract. 18.2 If, after fifteen (15) days from the commencement of such informal negotiations both parties have been unable to resolve amicably a contract dispute, either party may adjudicate in an agreed national or international forum and/or international arbitration. 19. Language and Law 19.1 The language of the contract and the law governing the contract shall be English language and the Laws of Kenya respectively unless otherwise stated. 20. Force Majeure 20.1 The tenderer shall not be liable for forfeiture of its performance security, or termination for default if and to the extent that its delay in performance or other failure to perform its obligations under the Contract is the result of an event of Force Majeur. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 22

1. Application SECTION E: SPECIAL CONDITIONS OF CONTRACT The following Special Conditions of Contract shall supplement the General Conditions of Contract. Whenever there is a conflict, the provisions herein shall prevail over those in the General Conditions of Contract. 2. Requirement/Scope of Work The scope of the work will be to provide balanced 256kbps (both uplink and downlink) connectivity services using an existing integrated Single thread, Single Channel Per carrier (SCPC); VSAT link designed to transfer SCADA data from KenGen s Turkwel Power Station at to KenGen s Central Dispatch Centre at Kamburu Power Station in 7-Forks. The bidders shall also be required to configure all components of their network to integrate to existing networks both at Kamburu and Turkwel. The scope includes routine maintenance of both indoor and outdoor units at the two sites. The service provider shall configure the link for maximum performance and reliability. The supplier shall conduct site survey and submit the project plan that should include the following documentation: (i) Site survey report and connectivity diagrams, (ii) Best practices approach document for the connectivity and optimized configuration for network devices. 3.1 Mandatory Requirements: MR1 The Bidder shall submit a design document as part of the bid document. MR2 The bidder shall design an IP addressing scheme for the New VSAT System. MR3 The bidder shall prepare detailed solution (data) deployment design document and shall submit the same with the bid document. MR4 The bidder shall prepare a detailed security architecture, deployment and policies document for security components being supplied for securing the link infrastructure and the same shall be submitted with the Bid. MR5 The design documents for the Network shall be submitted in a bill of quantities; a guide has been provided else where in this document. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 23

MR6 The Bidder shall install and configure all (Active and passive devices), security and software (Operating system, Network management security etc.) as per specification and configurations. MR7 The bidder shall apply on behalf of Kengen the relevant Licences from CAK MR8 The bidder shall not bid/supply any equipment that is likely to be declared end of sale and end of life within the next two years. If, any equipment is declared end of sale and end of life within next two years, the bidder would be required to replace all such equipment with latest one and equivalent configuration at no cost to Kengen. MR9 The bidder shall be responsible for end-to-end implementation and shall quote and provide/supply any items not included in the bill of materials but required for the commissioning of the network. Kengen shall not pay for any such items, which have not been quoted for by the supplier in the bid but are required for successful completion of the project. MR10 The VSAT solution provider shall have its operations hub located in Kenya MR11 The bidder shall provide supply all installation material/accessories/consumables (e.g. screws, clamps, fasteners, ties anchors, supports, grounding strips, wires, etc) necessary for the installation of the systems. MR14 The bidder shall be responsible for storage and security of material on receipt at site in the storage space allocated by the purchaser. MR15 The bidder shall install and commission the Single Channel Per Carrier, VSAT System Solution as per the approved deployment design. MR16 The bidder shall do the necessary software and hardware reconfiguration as part of the scope of the project MR17 All the work shall be done in a conscientious manner as per the OEM guidelines and best industry practices. MR18 The bidder shall install and configure all the active/passive devices in accordance with OEM guidelines. Passive cabling guidelines will be based on standard 568/69. MR19 The bidder shall ensure that any necessary cabling and crimping /termination is done in accordance with the EIA/TIA standards and supported by the Original Equipment Manufacturer (OEM) fully tested and certified. MR20 The bidder shall configure the network equipment, transmission medium, security and for end-to-end user access to applications/services MR21 The bidder shall be responsible for the installation and configuration of software applications/modules for the Network Management and security management, etc. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 24

MR22 The bidder shall be responsible for integration of all hardware as well as software components supplied as per the specifications. MR23 The bidder may be required to carry out integration of security components in the network to ensure a secured network access for users. MR24 The bidder shall document all the installation and commissioning procedures and provide the same to the purchaser within 30 days of the commissioning of the network. MR25 Manufacturer s technical documentation on all devices used in the system including user manuals for configuring of active devices, etc. and their As installed configuration shall be provided by the contractor. MR26 The bidder shall provide configuration snapshots for all active devices installed in the network 3.3 Deliverables The deliverable for this project will be, but not limited to the following: - Project plan and schedule - Design documents - Installation Report - Commissioning and integration report. - Acceptance Test Reports. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 25

SECTION F - TECHNICAL SPECIFICATIONS/REQUIREMENTS 1. General requirements KenGen requires 256kbps/256kbps connectivity services on a Point to Point Single Channel Per Carrier, VSAT System communication link between Turkwel Power Station and the Central Dispatch Centre at Kamburu in 7-Forks. KenGen s key goals for the Single Channel Per Carrier, VSAT System project is for the day-today business operations and to enable the organization to receive SCADA data in real-time from Turkwel Power Station to Central Dispatch Centre at Kamburu. KenGen would prefer to use existing VSAT communications equipment operating on the C frequency band. Any proposed addition or change of hardware MUST be backed by acceptable Technical justifications and must be quoted for. The bidder shall be required to provide connectivity services using the existing equipment and carry out quarter yearly maintenance of the communications hardware. The contractor is expected to design and configure routing and switching to integrate to existing network at both Kamburu and Turkwel. A sample draft SLA document to guide service provision, support and maintenance should be attached. Tender for Single Channel Per Carrier (SCPC) VSAT link between Kamburu and Turkwel Power StationPage 26