rayt/iya [spat inagama ilaimatod rashtriya ispat nigam ... · rayt/iya [spat inagama ilaimatod...

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT SaaKa iva`k`ya kayaa-laya pTnaa Branch Sales Office Patna WEST BORING CANAL ROAD, PATNA-1 Faona: 06122541308 2541086, fO@sa: 06122541086 E-mail: [email protected] ==================================================================== NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013 Corrigendum No 2 Dtd.24/10/2013 The last date and time for collection & submission of tender documents for Engaging Steel Processing Units - SPUs (Rolling Mills) for Conversion of Semis to TMT Rebars (Hot Rolled long products) in the District of Patna , Bihar has been extended as follows:- A. Collection of Tender Documents - - 28/10/2013 B. Submission of Tender Documents - Upto 15:00 Hours of 31.10.13 C. Tender Opening - Upto 15:30 Hours of 31.10.13 Address of Branch Sales Office of RINL/VSP may be noted as below: West Boring Canal Road, Patna 800001(Bihar) Signed/- Asst General Manager (Mktg) & Sr.BM,Patna

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Page 1: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected] ==================================================================== NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

Corrigendum No 2 Dtd.24/10/2013

The last date and time for collection & submission of tender documents for Engaging Steel Processing

Units - SPUs (Rolling Mills) for Conversion of Semis to TMT Rebars (Hot Rolled long products) in the

District of Patna , Bihar has been extended as follows:-

A. Collection of Tender Documents - - 28/10/2013

B. Submission of Tender Documents - Upto 15:00 Hours of 31.10.13

C. Tender Opening - Upto 15:30 Hours of 31.10.13

Address of Branch Sales Office of RINL/VSP may be noted as below:

West Boring Canal Road,

Patna 800001(Bihar)

Signed/-

Asst General Manager (Mktg) & Sr.BM,Patna

Page 2: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

2

Sub: Appointment of Rolling Mills (to be set up) as Prospective Steel Processing Units (SPU) for TMT

REBARS at Patna, Bihar.

1) Sealed tenders in prescribed forms are invited from bonafide, resourceful , financially sound Person(s)/firm(s)/

company(s)/Rolling Mills willing to offer total capacity of their plant (to be installed and commissioned within a

maximum period of Two (02) years from the date of issue of LOI) as per requirements of RINL for appointment

as Prospective Steel Processing Unit (SPU). The tenderer shall set up a Rolling Mill with a well established

TMT REBARS manufacturing process of either Thermax, Tempcore, Stelmore, Turboquench, Evcon for

conversion of (minimum 72000 metric tons per annum) of TMT REBARS (in the diameter range of 8 mm to 32

mm) per year at Patna , Bihar .

2) Such firms/companies who can arrange to have BIS registration for manufacturing of TMT REBARS in the size

range of 8 mm to 32mm only need to participate in this tender.

3) Mills with single product line / 2 product line will only be considered for SPU- Conversion. Entire

capacity of the mill shall be dedicated to RINL/VSP.

4) Although the SPU will be required to convert all the diameters and sizes as per RINL's requirement, the thrust

for conversion for TMT bars will be in the range of 8/10/12 & 16 mm.

5) Tender document in duplicate along with all other terms and conditions can be obtained from RINL Branch

Sales Office Patna , Bihar at the above address on payment of Rs 5000/- (Rupees Five Thousand only) in

cash (non refundable) between 9:00 hrs to 17:30 hrs on any working day up to 28/10/2013. Tender

Documents can also be downloaded from the website www.vizagsteel.com.

6) Tender documents duly filled in and signed by an authorized person shall be put in the Tender Box kept for this

purpose in the office of the BSO/RINL at the address as mentioned above latest by 3:00 PM of 31/10/2013.

Tenders can also be submitted by Post/Courier and should reach the above address by the stipulated date and

time mentioned above. RINL shall not be responsible for any postal/courier delay due to any reason. Tenders

must be submitted as prescribed in Instruction to Tender for Conversion of Cast Billets /MMSM Billets to TMT

Rebars.

7) By submitting a quotation the tenderer shall be deemed to have fully familiarized himself with all requisite

details including the quantity and type of materials expected to be converted/produced, as well as information

contained in the enclosed Instructions to Tenderers including the Terms and Conditions of the SPU Contract and

have fully satisfied himself/ itself of his/ its capabilities to undertake and perform the jobs to the satisfaction of

the company. Any alteration or modification or imposition in deviation to the terms and conditions prescribed

by RINL in Tender Papers shall be ignored.

8) Please note that by merely inviting the tenderer to submit the tender, there is absolutely no Commitment, implied or otherwise, at this stage from RINL' s side as to the award of actual Contract and no correspondence in this regard will be entertained by the RINL. Nor RINL shall be liable in any manner whatsoever, for costs and

expenses etc. incurred in responding to this Invitation.

9) The tender document should be submitted with necessary EMD. Downloaded tender documents would, in

addition, need to be submitted along with the cost of the tender documents as stipulated above.

10) Tenders will be opened immediately thereafter, in the presence of such tenderers who may wish to be present.

11) RINL reserves the right to accept or reject any one or all the tenders or cancel the total tender process, without

assigning any reason whatsoever.

SD/-

Sr.Branch Manager

RINL/BSO-Patna

Page 3: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

3

ANNEXURE- 2

INSTRUCTIONS TO TENDERERS

1. Scope of work:

i. RINL proposes to enter in to conversion agreement on wet lease basis for the purpose of adding value to its Cast Billets/MMSM Billets by conversion and to generate additional margin from the converted products.

ii. RINL shall deliver the Cast Billets /MMSM Billets to SPU directly from its Plant or from stockyards of

RINL or from public railway siding situated near the works of the SPU or even at the Private Railway

siding of the SPU.

iii. While, loading will be done free of cost by RINL at its Plant premises/Stockyards, SPU shall have to make their own arrangements for unloading the materials and for bringing the same to the SPUs premises from public railway siding/stockyard. The weight at RINL weighbridge shall be final and no allowance shall be allowed on account of weighbridge tolerance.

iv. In case of direct delivery by road to the SPU from the Plant, it will be the responsibility of the SPU to transport the material as specified by RINL and either transportation cost actually incurred by

SPU or freight decided by Mktg/Logistics section from the plant to the nearest stockyard destination of SPU whichever is lower may be reimbursed to the SPU. However, if the raw materials are dispatched by wagons to public railway siding, cost of transportation to the public railway siding shall be borne by RINL and SPU shall have to arrange for unloading and transportation of the same to their premises at their own cost. In case of demurrages levied by Railways, the same shall be recovered or adjusted from the bills payable to SPU.

At the time of lifting material from the plant premises of the Company, the SPU has to comply with all the

applicable rules and regulations of the Company including the safety rules. The SPU shall be solely

responsible for any injury/damage to its employees / personnel / equipment / vehicle etc. in the plant premises

of the Company and the Company will have no liability whatsoever.

v. For delivery of Cast Billets / MMSM Billets from stockyards, the transportation cost for carrying the materials to the premises of the SPU would be borne by the SPU themselves. They shall unload the Cast billets/MMSM billets inside their premises at their own cost and stack them after ensuring proper identity of the material. The SPU shall be required to execute and complete the conversion job to the extent of mill capacity or agreed plan within 7 days from the date of receipt of material at their premises and ensure that

proper traceability of finished products is maintained with reference to the raw materials.

vi. The finished products shall have to be supplied by the SPU within 7 days from the date of presentation of D.O. or within 7 days from the date of receipt of Cast Billets / MMSM Billets at their premises whichever is later on actual weighment basis against proper authorization letter from the receiving party/RINL. The SPU must ensure that the quantity so delivered does not exceed the D.O. quantity. No allowance shall be allowed on account of weighbridge tolerance.

vii. Stock of converted products shall be evacuated from the SPU's premises within 15 days of supply of Cast

billets/MMSM billets to the SPU either directly to customers of RINL or to stockyard(s) of RINL, subject

to SPU having completed conversion within 7 days of supply of Cast Billets / MMSM Billets.

Page 4: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

4

viii.SPU shall have to provide Test Certificates in the prescribed format to the receiving party at the time of

delivery. 3rd party inspection will be carried out by an established and reputed independent Inspecting

Agency to be appointed by the SPU after intimation to and written clearance from RINL, for which charges

shall be borne by RINL.

ix. The SPU will be responsible for cutting of rolls for embossing for the purpose of branding 'RINCON TMT"

in the TMT Bars may be indicated to the SPU. The SPU will have to ensure that conversion activities are not

interrupted due to non-availability of rolls with suitable embossing.

x. SPU shall have to neatly and adequately bundle and tag TMT Bars with binding wires /wire rods/straps, in the

following suggested bundle sizes:

8mm-18 pcs

10mm- 12pcs

12mm- 8pcs

16mm- 5pcs

20/25/32mm- 4pcs

(In case RINL supplies any tags/holograms/labels etc the same should be fixed/tied to the bundles of TMT Rebars.) Tags, as may be decided by RINL, would also have to be fixed on bundles by the SPU. Specific length supplies

are to be made without any mix up.

xi. SPU shall comply with all the relevant statutory provisions with all the statutory authorities like PF, ESI,

Labour Act, Excise, VAT/Sales Tax, Service Tax etc, as applicable and shall indemnify and keep

indemnified RINL against all expenses, losses etc. regarding this.

2. SPU- Conversion Charges:

i) For the conversion job, SPU will be paid a consolidated Conversion charge (rate) for supply of one ton of finished goods which will broadly be deemed to include the following elements. SPU shall quote their

consolidated rates towards SPU- Conversion charges after considering the elements of cost under A and B below.

(A) a. Variable Conversion Cost per ton of finished products b. Fixed Conversion Cost per ton of finished products c. Profit margin of SPU.

(B) a. Storage/Stacking charges

b. Cost of transportation of Cast Billets/MMSM Billets from RINL stockyard/public railway siding

to SPU premises including cost of unloading.

c. Handling cost at Public railway siding /Private siding

d. Bending, bundling and metal tagging

e. Weighing charges

f. Testing and inspection charges (for internal)

g. Handling expenses for delivery into customers' trucks

h. Cost of cutting and embossing of rolls as per RINL's design.

i. Cost of any other services to be rendered to RINL, as well as to RINL customers.

NB: The elements of costs given above are only indicative and not exhaustive.

(ii) The rates shall be quoted in the proforma mentioned at Part-C (Price Bid) for obtaining the SPU- Conversion charges. Tenderer should invariably quote for all the items mentioned in the Schedule of Rates.

Page 5: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

5

(iii) SPU- Conversion charges shall be kept valid/firm from the date of tender opening/date of acceptance of negotiated rates till the date of commencement of operations as mentioned in the work order and there after the charges would be revised every year as per the price variation clause mentioned at clause no 9 of Terms and Conditions. The base date for price revision shall be the date of commencement of operations as mentioned in the work order.

3. E. M. D:

a) Tenderers are required to pay an amount of Rs 100 Lakhs (Rupees One Hundred Lac only) in the form of Demand Draft/Pay Order/Banker's Cheque/Bank Guarantee (as per the format provided at Annexure- 25) with Scheduled Banks in favour of Rashtriya Ispat Nigam Limited, towards EMD at the time of submitting tender documents. No interest will be payable to the tenderers for this EMD amount. Demand Drafts/ Pay Orders/ Bankers Cheques/BGs from Cooperative and Gramin Banks shall not be accepted. No request for adjustment of earlier dues against the amount of EMD shall be entertained. In

case of BG, the same shall be valid for a period of one year from the date of issue of BG and VSP reserves the right to ask the tenderer for extension of BG validity for a suitable period. EMD shall be forfeited in case of varience /withdrawal of tender before its validity date.

b) In the event the offer of any party is rejected during the course of techno commercial scrutiny and

evaluation, the EMD shall be returned to such tenderer at the earliest possible time from the date

of rejection of offer. The EMD, of unsuccessful Tenderers, shall be refunded after issue of work

order to the successful tenderer. The same will not carry any interest.

c) EMD in respect of successful tenderer will be retained as a part of Security Deposit, in case EMD

is submitted in the form of DD/Pay order. In case the EMD submitted in the form of BG, the same

would be returned to the successful tenderer after receipt of Security Deposit. In the event of the

successful tenderer failing to comply with the conditions mentioned in the Letter of Intent (LOI),

and the tender documents, the EMD shall be liable for forfeiture/encashment subject to

confirmation of issuing Bank.

4. Financial Security:

a) Security Deposit (towards performance of contract)

A total amount of Rs.100 Lakhs( Rupees One Hundred lakh only) will have to be paid as Security

Deposit (SD) in the form of Pay Order/Demand Draft/Bankers Cheque/Bank Guarantee (as per the format

provided at Annexure-10) drawn on Scheduled Banks favouring Rashtriya Ispat Nigam Limited at Patna.

Demand Drafts/ Pay Orders/ Bankers Cheques/BG from Cooperative and Gramin Banks shall not be

accepted. The SD shall be submitted within 45 days from the date of issue of LOI. In case of successful

tenderer, the EMD of Rs 100 Lakhs submitted along with the tender in the form of DD/Pay order will be

converted into SD. In case of BG, tenderer has to submit full amount of SD in the form of BG. Thereafter

EMD would be returned to the tenderer. The Security Deposit shall not carry any interest. BG should be

valid for a period of Three [03] years from the date of LOI extendable by 2 terms of 3 Years & 2 years

respectively and there after 2 more terms of 3 years and 2 years respectively.[3Y+3Y+2Y+3Y+2Y=13

Years.].Extension of BG to be done at least 3 months ahead of expiry. In case the BG extension is not

received from the SPU within a period of 3 months before expiry of the BG, RINL has an option to encash

the BG, and reserves the right to terminate the contract

The Security Deposit will be refunded at the end of the contract subject to adjustment of RINL's claims, if any, due to non-performance/non-compliance of the terms and conditions of the contract.

Page 6: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

6

b) Financial Coverage (towards value of the raw materials):

Besides the performance Security Deposit, the successful tenderer shall submit one more BG (as per the

format provided at Annexure-11) before commencement of operations, for covering the value of raw

materials to be supplied by RINL, as per the details mentioned below.

Monthly Turnover (Q in

M/t)

Total coverage

(Rs in lakhs) for max

tonnage

BG coverage (Rs

in lakhs)

Min 6000 2265 567

> 6000 up to 7000 Max 2642 661

> 7000 up to 8000 Max 3020 755

> 8000 up to 9000 Max 3398 850

The validity of BG to be submitted by prospective SPU initially for a period of Two[02] years from the date of commencement of operations as mentioned in the work order. The BG to be subsequently extended for two terms of 2 years each to cover 1 year beyond initial contract period of 7 years. Thereafter, BG to be extended for two terms 3 years and 2 years respectively to cover the extended periods of 5 years. Extension of BG to be done at least 3 months ahead of date of expiry. In case the BG extension is not received from the SPU within a period of 3 months before expiry of the BG, RINL has an option to encash the BG, and reserves the right to terminate the contract. The SPU may enhance the value of BG as per his requirement /RINLs requirement for improving the monthly turnover, with no extra cost to RINL. In addition to the above, Custody and Indemnity Bond as per Annexure 12 shall also be taken from the SPU.[2Y+2Y+2Y+3Y+2Y=11Y].At any point of contract period, the prevailing value of the material at the time of issue shall not be more than the BG value.

In exceptional cases, non interest bearing cash deposit in lieu of Bank Guarantee may be allowed for supply

of raw materials to SPUs.

5. Pre bid conference:

To facilitate prospective SPUs to participate in the tender with full understanding of the process RINL shall hold a Pre-bid conference with the intending bidders on a pre-notified date before submission of filled in

tender documents. The interested parties or their authorized representatives may attend pre-bid conference.

6. Submission of Tender:

Documents to be submitted by the Tenderers will be as under:

6.1 The tenderers shall submit their tenders in 3 parts. The EMD shall be put in a sealed envelope No. 1 super scribed with 'Tender for SPU at Patna, Bihar - EMD' (Part - A). In case the tender documents are down

loaded from company's website, the cost of tender documents in the form of Pay Order/ Demand Draft/Bankers cheque shall be submitted in envelope no.1 along with EMD. The tenders without valid EMD and cost of tender documents shall be rejected summarily.

Page 7: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

7

6.2 The technical bid shall be put in a separate sealed envelope No. 2 super scribed with ' Tender for SPU at

Patna, Bihar- Technical Bid' (Part-B). The following documents shall be submitted along with the

technical bid:

A) The tenderers shall submit a certificate from their bankers regarding their financial soundness i.e. Solvency certificate (up to the value of security deposit specified in ITT) as per the proforma mentioned at Annexure-4.

B) The tender documents with all the pages dully filled in as required, signed by a person authorized

to do so on behalf of the tenderer and stamped with the seal of the tenderer.

C) Constitution of the tenderer' s concern /firm /company, including the date of

registration/incorporation.

■ In case of a company, Memorandum & Articles of Association along with the certificate

of incorporation issued by the Registrar of Companies.

■ In case of a Partnership Firm, an authenticated/attested copy of partnership deed and a

copy of certificate of registration issued by the Registrar of Firms (if the Firm is registered).

■ In case of a proprietary concern, proof of proprietorship to be produced (either Sales Tax

registration/copy of IT returns or registration under any statutory enactment) which recognizes

them as a proprietary concern.

D) The tenderer shall give an undertaking on Rs 100/- non judicial stamp paper with regard to

operational requirements such as

(a) The SPU shall install and commission the Rolling Mills with the desired capacity level of Minimum

72,000MT within a maximum period of two (2) years from the date of issue of LOI.

(b) The SPU shall provide the following infrastructure/facilities after commissioning of the unit/rolling mills

(i) The SPU shall manufacture/produce Hot Rolled Long Products of minimum 72000 MT in the

diameter range of 8mm to 32 mm TMT Rebars as mentioned below

TMT Rebars:8 mm -15 %, 10 mm -15 %, 12 mm -30 %, 16 mm -20 % above 16 mm -20 %

The SPU shall also be equipped to accept orders in specific length within plant capability, without any extra

charges, as required by RINL, from time to time.

(ii) The SPU shall carryout the documentation and other transactions in RINL/VSP SAP system

through Broad band internet or VPN (Virtual Private Network) at their own cost. However, RINL/VSP

would provide technical advice for establishing the network."

(iii) The SPU shall have the facility for microstructure study with photographic facility for analysis in

addition, the SPU must have Automated control mechanism for TMT Rebars process. However, such

automated process is not required for entire production process but will only be required for the water

quenching stage of TMT Rebars.

(iv) The SPU shall have a weigh-bridge at their premises, preferably an electronic weighbridge with

printout facility of 60 Mts capacity or more, with a 60 ft platform along with a calibration certificate

Page 8: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

8

issued by weights & Measures Dept. The SPU shall have an AMC to ensure that the weigh - bridge at their

premises is kept in order.

(v) The SPU shall be equipped for supplying 100% embossed material as per branding to be

stipulated/prescribed by RINL. Rolls from the SPU shall have to be cut as per RINL design by machines

like SPARKONIX by the SPU.

(vi) The total mill capacity of the SPU shall be under the control of RINL. The total operation and

maintenance (including labour, power, fuel, machinery, consumables etc) shall have to be provided by SPU.

(vii) Proof of registered lease agreement in case of lease followed by ownership/ possession in the

name of the lessor for the land offered (in compliance with the mile stones mentioned at para-2 of Terms

and conditions of contract)

(viii) Proof of ownership/ possession of the land offered in case of own land (in compliance with the

mile stones mentioned at para-2 of Terms and conditions of contract)

(ix) Proof of ownership/lease to be furnished for other equipment like cranes, Mill units etc required for running of SPU. and other facilities in line with suggestive specification at Annexure (A)

(c) The SPU shall provide the following facilities/certifications before commencement of full fledged

operations / production

• The SPU shall obtain a valid BIS License.

• The SPU for TMT Rebars shall obtain a license for Turboquench, Thermax, Tempcore, Stelmore processes

or Evcon processes of TMT Rebars.

• The SPU shall obtain ISO 9001 certification.

• The SPU shall be registered with VAT/Sales Tax, Excise and service tax authorities (if applicable).

(d) Declaration as to whether the tenderer has any relative, within the meaning of Sec. 6 read with

Schedule 1(a) of the Companies Act, 1956, employed in any capacity in RINL.

(e) Copy of the Power of Attorney in favour of the authorized signatory submitting the tender

documents on behalf of the tenderer.

(f)

(g)

Copy of "Integrity Pact" as per proforma enclosed at (Annexure-13) duly signed on all pages.

Declaration stating that the tenderer has invariably quoted for all Items as per Schedule of

Rates.

7. The tenderer shall fill in the price bid (Part C) as follows

(i) Consolidated SPU charges (rate) per ton in respect of TMT Rebars from the input materials of MMSM

billets of 65/75/90 mm Size and the contract value (multiplication of indicative qty and the consolidated

rate) (corresponding Annexure-5 shall be prescribed in the tender by BSO depending upon the

requirement).

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

9

(ii) Consolidated SPU charges (rate) per ton in respect of TMT Rebars from the input materials of Cast billets

of 150/200 mm Size and the contract value (multiplication of indicative qty and the consolidated rate) (corresponding Annexure-6 shall be prescribed in the tender by BSO depending upon the requirement)

(iii) Deleted

(iv) Deleted

(v) Total contract value which is the sum of contract value arrived for TMT Rebars mentioned at Part-C (i to

ii) above (the Annexure 9 shall be prescribed in the tender by BSO in the tender).

The rates/ contract value quoted by the tenderer shall be both in figures and words and shall be free from

corrections or erasures. Any corrections or erasures shall be duly initialled with date by the tenderer. In

case of any discrepancy between the rate quoted in figures and words, the rate quoted in words shall

prevail.

The duly filled up price bids as per the Proforma for 'Schedule of SPU- Charges' at Annexures-5,6,7 shall

be put in a separate sealed envelope No. 3 super scribed with 'Tender for SPU- at Patna , Bihar - Price

Bid' (Part - C).

vi) All the envelopes shall indicate the name and address of the tenderer and shall be sealed and put inside another master envelope No. 4, which shall be submitted in sealed condition, by the tenderer. The master

envelope No.4 shall be super scribed 'Tender for SPU at Patna , Bihar .' and shall indicate the name

and address of the tenderer.

vii) In case of correction/erasing etc., the same should be countersigned by the authorized signatory of the

tenderer and stamped with the office seal of the tenderer.

8. Receipt of Tenders:

(a) The following shall be the accepted modes for receipt of tenders:

- Tenders received by post/courier, up to the closing time as specified herein below:

- Tenders received in tender box.

(b) RINL will not take any responsibility /liability for accepting a tender because of any loss or delay in

transit resulting in

non receipt and/or delay in receipt of Tender sent by post and/or through courier service.

(c) Tenders shall also be received in the Tender Box kept for this purpose up to the closing time as specified

herein below:

BID SUBMISSION CLOSING DATE & TIME 31/10/2013 15:00 Hours

BID OPENING DATE , TIME & VENUE 31/10/2013 15:30 Hours at RINL/BSO-Patna address

mentioned above

d) Immediately thereafter, the tenders will be opened except the price bid.

9. Rejection of Tenders:

(a) Tenders shall be liable for rejection in case of non-compliance in submission of any above documents i.e as indicated at para 6.0 above. In case any deviation is found in the downloaded tender documents submitted by the tenderers than what has been stated in the original tender document, such tenders shall be liable for rejection, in case the deviations are not withdrawn.

(b) In case of receipt of any adverse report in respect of capabilities and performance of a tenderer, from any

department of RINL or from Ministry of Steel/ Statutory Bodies/CBI/CVC, before or after opening of

Price Bids, then the tender/ quotation submitted by such tenderer shall be rejected stating reasons for

rejection and with approval of competent authority on the basis of recorded reasons.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

10

(c) Tenders submitted after the scheduled date and time as stipulated shall not be accepted.

10. RINL/VSP shall not give time, for submission of Earnest Money Deposit (either DD/Pay order or BG) and for submission of Cost of tender documents. RINL/VSP shall give 3 (three) weeks time for further clarification /rectification of any deficiencies in the tender and seek clarifications /confirmations / documents / withdrawal of deviations from the terms and conditions of contract without any revision in prices. In case of failure to rectify the deficiencies within 3 (three) weeks time, the tender would be rejected

summarily and Price bid of tender would be returned unopened and EMD would be refunded. In case none of the tenderers rectify the deficiencies within 3 (three) weeks time, RINL/VSP reserves the right to give further time at it' s sole discretion.

11. Submission of Security Deposit towards Performance Guarantee & Financial

Coverage:

Towards Performance Guarantee:

Separate BGs for amounts as mentioned at clause no 4 of ITT to be submitted by prospective SPU initially

for a period of Three [03] years from the date of LOI extendable by 2 terms of 3 Years & 2 years

respectively and there after 2 more terms of 3 years and 2 years respectively.[3Y+3Y+2Y+3Y+2Y=13

Years.]. Extension of BG to be done at least 3 months ahead of expiry. In case the BG extension is not

received from the SPU within a period of 3 months before expiry of the BG, RINL has an option to encash

the BG, and reserves the right to terminate the contract

In case of failure to reach any or both of the first two milestones, SPU has to make good the forfeited

amount, if any , to ensure that the SD amount as stipulated in the tender is submitted to RINL, at the time of

issue of work order.

Towards Financial coverage for Raw Materials:

Bank Guarantee towards Security deposit for financial coverage for Raw Materials can be submitted initially for a period of Two[02] years from the date of commencement of operations as mentioned in the work order. The BG to be subsequently extended for two terms of 2 years each to cover 1 year beyond initial contract period of 7 years. Thereafter, BG to be extended for two terms 3 years and 2 years respectively to cover the extended periods of 5 years. Extension of BG to be done at least 3 months ahead of date of expiry. In case the BG extension is not received from the SPU within a period of 3 months before expiry of the BG, RINL has an option to encash the BG, and reserves the right to terminate the contract. The SPU may enhance the value of BG as per his requirement /RINLs requirement for improving the monthly turnover, with no extra cost to RINL. [2Y+2Y+2Y+3Y+2Y=11Y].

12. Evaluation of Price Bids:

The date and time of the opening of the price bid shall be intimated to such tenderers who qualify technically. The ranking of tenderer will be done as per the total contract value quoted for the entire range of TMT rebars.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

11

ANNEXURE- 3

TERMS AND CONDITIONS OF CONTRACT FOR SPU-CONVERSION 1.

1. Definitions:

The following words and expressions used in this Contract shall have the meaning assigned to them except where

the context otherwise requires.

The 'Company' shall mean Rashtriya Ispat Nigam Limited (RINL) with its Registered Office at Administrative

Building, Visakhapatnam 530 031. And also having one of its Branch Sales Office at West Boring Canal Road,

Patna 800001, Bihar.

'Regional Manager' shall mean the Head of the Region or any other Officer of the Company for the time being, in-

charge of the Region.

'Sr Branch Manager' shall mean the Branch Manager of the Concerned Branch under whose jurisdiction the SPU-

Conversion premise is situated or any other Officer of the Company for the time being in charge of the Branch.

'Tenderer' shall mean the person, firm/ company or corporation/Rolling Mills submitting a tender against the

Invitation to Tender and shall include his / its successors and assigns approved by the 'Company'.

Prospective SPU (SPU) shall mean the tenderer whose tender has been accepted by the "Company" and shall include SPUs successors and assigns approved by the Company. It shall also mean the tenderer who is going to

install and commission a Unit/Rolling Mills within a maximum period of two (2) years.

'Contract' shall mean and include the Agreement between the Company and the SPU duly signed by the parties

thereto for the execution of the work together with all documents annexed / attached therewith or referred to therein.

'Public railway siding' shall mean the Railway Goods shed where Railway wagons are placed for unloading and / or

booking of goods including Iron & Steel materials (This goods shed may not be a public booking point in the strict

literal sense).

'Private Siding' shall mean the Railway siding as defined in the siding agreement with the railways inside the SPUs

Yard and where railway wagons are placed for unloading and / or booking of Iron & Steel materials.

'Company's Materials' /Materials shall mean Iron and steel materials dispatched from the company's Plant at

Visakhapatnam, materials from company’s stockyards/ other locations or other Iron and Steel materials received

from time to time by SPU on company's account.

'Excepted Matters' mean those matters in respect of which decision of the Company shall be final and binding upon the successful tenderer.

Selling Price: The monthly operating prices for the particular product as decided by the Sr BM 'Cast

Billets' shall mean Billets of size 150x150mm and 200x200 mm. 'MMSM Billets' shall mean Billets

of size 65x65mm,75x75mm,90x90mm 'Raw Materials' shall mean Cast Billets or MMSM Billets.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

12

2. Capacity to be committed under SPU- Conversion:

(i) The prospective SPU shall adhere to the following schedule of activities with regard to installation and

commissioning of Rolling Mills

(a) Land acquisition and land levelling .... Within 4 months from the date of issue of LOI

(b) Erection and Commissioning of Equipment ...... Within 12 months from the date of issue of LOI

(c) Submission of documents and ... Within 1 year 9 months from the date of issue of Commencement of commercial LOI. Production

ii) In case of failure to reach the milestones as mentioned above, charges shall be recovered/adjusted from the

S.D as below:

For (a) . . Rs 5 lakhs

(b) ..... Rs 10 lakhs

(c) . . Balance amount of SD.

Separate BGs for amounts as mentioned at Point 4 of ITT to be submitted by prospective SPU initially for a

period of Three [03] years from the date of LOI extendable by 2 terms of 3 Years & 2 years respectively

and there after 2 more terms of 3 years and 2 years respectively.[3Y+3Y+2Y+3Y+2Y=13

Years.].Extension of BG to be done at least 3 months ahead of expiry. In case the BG extension is not

received from the SPU within a period of 3 months before expiry of the BG, RINL has an option to encash

the BG, and reserves the right to terminate the contract

In case of failure to reach any or both of the first two milestones, SPU has to make good the forfeited

amount to ensure that the SD amount as stipulated in the tender is submitted to RINL.

The utilization of the rated capacity will be examined by RINL for the maximum output from the date of

commissioning of plant on a 2 shift basis of 8 hrs each with capital repair of max 10 days in a year apart

from planned 1 day weekly shutdown and 7 days closed holidays for the purpose of identifying the licensed

capacity. Illustration for capacity calculation is given as below:

Example: To achieve a minimum 72,000 MT per annum rated capacity, the required hourly production

shall be calculated as below:

No of days in a year ...... 365

Less:

Weekly shut downs in a year . . 52

Capital repairs once in a year . . . 10

Closed holidays in a year . . 7

Total 69

Actual days of production ------ 365- 69=296

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

13

Considering the production in 2 shifts per day

No of shifts available 296x2 = 592

Required production per shift = 72000 / 592 = 121.62 MT

Required production per hour = 121.62/8 = 15.20 MT.

3. Issue of LOI and Work Order and Agreement:

(a) On approval of appointment of specific SPU, RINL shall issue a Letter of Intent (Annexure-14) to the successful tenderer to complete the necessary formalities like, submission of Bank Guarantee within a

period of 45 days.

(b) After commissioning the Rolling Mills and trial production, SPU would offer the Rolling Mills to RINL for

final inspection. The facilities provided will be inspected by RINL along with the documents submitted in

compliance with the undertaking mentioned at clause no -6.2( D) of Instructions to tenderers and give final

clearance for acceptance of the SPU. Accordingly, the work order will be issued by RINL. The date of

commencement of operations shall be as per the date mentioned in the work order (Annexure-16). There

after SPU shall start operations after submission of BG against raw materials, custody and indemnity bond.

(c) The SPU shall execute a formal Agreement on non-judicial stamp paper (in the prescribed format as

mentioned at Annexure-15) within 7 days from the date of issue of work order. Till the time of signing of

the formal agreement, the LOI together with the NIT and all the tender documents signed by the tenderer

shall form the contract between the parties for the subject work.

4. Transportation of finished products and Door Delivery:

The scheme essentially envisages that SPU shall supply converted products to the customers of RINL

against valid delivery order from SPUs premises. However, if a customer prefers to take door delivery at

their premises, then Branch Sales Office of RINL shall provide door delivery for all converted products

from the SPU's premises through the transporter appointed by RINL for the purpose. Weight recorded at

SPUs weighbridge shall be final. Transport contractor shall be held responsible for any shortage with

reference to SPU weighment.

Converted product may also be brought to the Stockyard by authorized transporter of RINL for onward

delivery to the customer.

In case of stock transfer of converted products from SPU's premises to any of the RINL's stockyards the weight as recorded at SPU weighbridge shall be final and Transport contractor shall be held responsible for any shortages with reference to SPU weighment.

In case of delivery from SPUs premises to the customers, the weight recorded in the weigh-bridge of the

SPU shall be accepted.

RINL reserves the right to go for reweighment of the converted products and in case of reweighment, the

weight determined by the RINL will be final and binding.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

14

5. Supply of Cast Billets / MMSM Billets:

(i) Cast Billets / MMSM Billets would be supplied to SPUs on stock transfer basis from plant at

Visakhapatnam/nearby Stockyard.

(ii) The SPUs based at Plant locations may be allowed to collect Cast Billets/MMSM Billets directly from the

Plant, through their own arrangements. Depending upon the specification of the finished products,

availability, Cast Billets / MMSM Billets to be supplied to the SPU will be decided. The Cast Billets /

MMSM Billets would be in standard length (up to 15% in short length of Minimum1.5 Mtrs). Linked test

certificates for the raw materials would be made available to SPU.

iii) RINL may decide to supply raw materials from Stockyard. /Public railway siding nearby SPUs premises of

SPUs instead of directly delivering the same at the Plant, at RINLs option. The size of the input material to

be supplied by RINL shall normally be Cast Billets in sizes 150x150mm and 200x200mm. / MMSM Billets

i.e 65x65/75x75/90x90mm.

Note: However, RINL reserves the right to supply other sizes/length of Semis, depending on availability.

RINL will arrange for supply of Cast Billets / MMSM Billets up to the minimum guaranteed capacity i.e.

75% of (indicative quantity in the NIT per annum). Supplies beyond this quantity by RINL will be subject

to availability

6. Recovery of amount in case of non performance/ non compliance of contractual Obligations

a) If the company suffers any losses or damages due to any negligence and / or non-performance of the obligations under the contract by the SPU, the company may without notice and without prejudice to any other right, recover the amount(s) and appropriate the same from the Security Deposit and/ or the BG

towards the settlement of all loss or damage. b) However, the company reserves the right to recover such losses and/ or damages by enforcing the Bank

Guarantee and/ or from any of the SPU's Bills pending for payment with the company without prejudice to any other legal remedies / recourse available to the company to proceed against the SPU for recovering such losses / damages.

c) The decision of the company as to the amount of loss (es) / damage(s) suffered by the company shall be

final and binding upon the SPU. d) In the event of BGs being inadequate or fully encashed, the balance of the total sum recoverable shall be

deducted from any sum due to the SPU under this or any other contract with the company. Should such sum also be not sufficient to cover the full amount recoverable, the SPU, on demand, shall pay to the company the balance due.

e) Wherever the BGs fall short of the amount specified in clauses above by the virtue of any recoveries made

by RINL, the SPU shall enhance the value of B/Gs within 15 days so that the total amount of security shall not at any time be less than the specified amount.

f) The Security Deposit will be released to the SPU on termination/expiry of the contract on his production

of:-

No demand certificate from Railways in favour of the Company (to be obtained by the SPU).

No pending demands from statutory authorities like Income-tax etc. No claim certificate in favour of RINL (As per Annexure-17)

7. Payment of Bills:

a) Payment to the SPU for the jobs performed shall normally be made on fortnightly basis on the quantity delivered by the SPU and only after signing of the agreement. Payment shall be made within 30 days (7 days in case of SSI Units) from the date of submission of bills in the BSO provided SPU complies with

submission of required documents as mentioned below at (b)

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

15

b) For release of payment against Conversion, SPU shall submit following documents to RINL-BSO for

verification of correctness of the quantities billed for, the rates and recoveries in respect of materials released to him and other terms and conditions of the contract:

i. Bills of SPU Charges, ii. Copies of Delivery Challans, iii. Copies of Excise Invoices issued under extant excise rules pertaining to (ii) above and

iv. Test Certificates pertaining to the deliveries at (ii) above.

8. Metal loss:

a) For every ton of Cast Billets/MMSM billets supplied, SPU shall have to return 0.95 MT OR 0.98 MT of tested finished product for Cast Billets and MMSM Billets respectively.

b) If the SPU is able to deliver higher yield (exceeding 95 % or 98% of material handed over) of finished product in standard length (10-12 Metres), then RINLwill pay bonus @ equal to the prevailing selling price of RINL for the concerned item/minus Rs. 500 per ton in respect of such excess quantity. The Selling Price of the product will be decided by the concerned Sr Branch Manager, communicated on a monthly

basis and shall be final. No claim for such quantity or rate would be referable for adjudication. c) In case SPU fails to supply 95 % or 98% as the case may be of the input as finished products, RINL shall

recover 110% of the value of the shortage of finished product at the prevailing selling price by RINL of the items having highest selling price in the contract. The decision of the Sr Branch Manager of RINL will be final in this regard.

d) The arisings including the short length may be disposed by the SPU on monthly basis after due inspection and clearance by RINL officials.

9. Revision of rates:

The SPU conversion charges (quoted rate) shall be kept firm till the date of "Commencement of

operations" as mentioned in the work order. Thereafter SPU charges shall be revised for every one year, as per the price revision formula laid down under, based on the following weightages and neutralization for each of the components:

Components Weight Neutralization Basis

Labour 10 % 100 % Min or statutory Wages as per notification of labour

department of the concerned Central government.

Fuel ( furnace Oil) 20 % 60 % Any PSU oil companies retail outlet

Electricity 25 % 60 % Unit electricity rate (applicable to the SPU category)

as per the Electricity provider Co/ SEB in the

concerned locality

Overhead 30 % 50 % End month RBI Index on machinery and M/c tools,

and transport equipments and parts on a simple

average basis.

Profit 15 % Nil

The base date for indices shall be the date of commencement of operations as mentioned in work order.

Minimum average wages applicable to the skilled, semi skilled and unskilled workmen employed by SPU,

as notified by the Asst Labour Commissioner Central, Ministry of Labour and Employment, Govt of India

published in the Gazette of India.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

16

10. Taxes and Duties:

a) The SPU shall, in accordance with prevailing procedure prescribed by VAT/Sales Tax and Excise Authorities, comply with all necessary formalities such as Registration with VAT/Sales Tax; Excise Dept, etc. and also shall undertake the documentation and timely furnishing of return as stipulated by Excise Authority.

b) The SPU shall ensure that the delivery of converted/finished products is made after payment of the excise

duty as applicable. The SPU shall ensure that the applicable excise duty is paid within due date as per

Excise law on delivery of converted/finished products.

c) The SPU shall be reimbursed the differential between Excise Duty deposited on the finished products and

credit of Excise duty availed on Cast billets/MMSM billets supplied by RINL subject to Excise law in

force upon submission of proof of payment along with the bills.

d) The SPU shall bear and pay all taxes, duties and other liabilities in connection with the discharge of his

obligations under this contract, except Service Tax if applicable. In case Service tax is applicable, the SPU

shall submit the tax invoice in the format specified by the Department for obtaining the reimbursement.

Income Tax or any other taxes or duties which the Employer may be required by Law to deduct shall be deducted at source and the same shall be paid to the Tax Authorities for the account of the SPU and the

Employer shall provide the SPU with required Tax Deduction Certificate. All applicable taxes as per directives of respective state government shall be deducted from the bills of the SPU. Necessary receipt to this effect will be issued to the SPU in the prescribed proforma.

11. Guarantee of work & Imposition of fine:

a) RINL shall utilize the agreed capacity of the SPU on a monthly basis. (While the dia/section wise percentage break up may be indicated in the tender in order to indicate the extent of output desired in each size /size

range), a consolidated rate will be obtained for TMT rebars in the rate schedule. The actual percentage of work in the specific diameter range can vary.

b) If RINL fails to supply Cast billets/MMSM billets for conversion up to 75% of 72000 T or agreed capacity of

SPU capacity, (the minimum guarantee per annum), compensation amounting to 48 % of the SPU

conversion charges per ton for the quantities short supplied from the minimum guaranteed quantity shall be

paid to the SPU as per the example given below:

c) Example: In case actual cast billets/MMSM billets supplied are to the extent of 52000T of SPU capacity,

then 2000 T will be the short supplied quantum in terms of minimum guaranteed quantity per annum (75%

of 72,000 MT is 54,000 MT). Assuming the SPU-conversion charges are Rs. 2500/- per ton of finished

product and billets equivalent to 2000 T of TMT short supplied, then compensation payable will be Rs.24

lakhs (48% of 2500 X 2000).

However, Force Majeure provision shall be invoked if supply of cast billets/MMSM billets is affected due

to break down of Plant and Machinery of the company, conditions like strike, lock out, natural calamity etc.

or due to any other act beyond its control and no compensation shall be payable in such an eventuality.

Force majeure clause: If the Company and/or the SPU be prevented from discharging its or their obligation under this contract by reasons of arrests or restraints of privacy of rules, Government or people, War, Blockade, Revolution, Insurrection, Mobilization, Strikes, Riots, Civil Commotions, Lockouts, Accidents, Acts of God, plague, or other epidemics destruction of the materials by fire or flood or other natural calamity or on account of any other cause interfering with the production and/or delivery of the

materials as herein above contemplated, the time for delivery shall be postponed by the time or time during

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

17

which production and/or delivery is prevented by any such causes as herein above mentioned, provided that

in the event of such delay exceeding ninety days, the party other than the party which invokes the force majeure may at their option, cancel this contract by Notice in-writing to the other party in respect of the undelivered quantity of the materials without, however, any right against or being responsible to the other party for such cancellation. The party invoking force-majeure shall within 15 days of the occurrence of force-majeure causes; put the other party on notice supported by certificate from the Chamber of Commerce or concerned governmental authority and shall likewise intimate the cessation of such causes. If the force-

majeure condition continues beyond a period of six months the Company or the SPU may at his option cancel this contract by notice in writing to other party in respect of the undelivered quantity of the materials without, however, any right against or being responsible to the other party for such cancellation.

d) The SPU shall have to ensure above minimum monthly production of 4500 MT (75% of 6000 MT) of SPU

capacity failing which fine amounting to 48% of the SPU conversion charges per ton in respect of the shortfall in the volume shall be paid by the SPU, in a manner similar to the example given at Para (c) above.

In case force majeure conditions like strike, lockout, natural calamity etc. affects totally the production in

the SPU plant, fine commensurate with the period in which production was suspended due to force majeure

conditions, the same may be waived subject to submission of authenticated documents to the complete

satisfaction of RINL. In such an event, SPU-Conversion Charges shall not be payable by the company in

respect of the shortfall quantity, if any, towards minimum guaranteed volume.

While the above fine on either side shall be calculated on a monthly basis, there shall be a makeup provision on a quarterly basis on either side, for the purpose of actual payment / recovery. In other words, shortfalls during a month or two during the quarter (1

st Quarter - April to June, 2

nd Quarter- July to

September, 3rd

Quarter October to December, 4th

Quarter - January to March) under consideration can be made good during the quarter as a whole.

12. Basis for determining Excess/shortage:

(i)In respect of supply of Cast Billets / MMSM Billets directly from the Plant, the quantity as indicated in the

Stock Transfer Challan shall be the basis of receipt of the said material by the SPU in case of rail and in

case of receipt by road, weight of SPU weighbridge shall be final and RINL transporter shall be held

responsible for any shortage with reference to SPU weighment. In case if SPU directly lifts from plant,

weight as recorded in the stock transfer Challan shall be the basis of receipt.

(ii) In case of stock transfer of converted products from SPU premises to any of the RINL's stockyards the weight as recorded at SPU weighbridge shall be final and in case of shortage, RINL's transporter shall be held responsible for such shortage.

(iii)In case of delivery to customers from SPU premises by vehicle of the RINL authorized transporter/

customer, the weight recorded in the weigh-bridge of the SPU shall be accepted. For this purpose SPU shall

get his /their weighbridge(s) duly certified at regular intervals by Weights & Measures, Dept. of the Govt.

Shortage/excess exercise shall be carried out, at the end of every financial year or contract period whichever

is earlier, followed by stock verification for which the charges shall be borne by the SPU. RINL reserves

the right to conduct surprise or periodic stock verification without any prior notice.

13. Monitoring of conversion:

RINL may at its sole discretion post its employee(s) in the premises of SPU to oversee the conversion

activities. However, this will not dilute the responsibility of the SPU to ensure proper utilization of cast

billets/MMSM billets supplied for conversion, process, inspection including sample testing, and quality

control of converted materials. Visits , inspections and support from RINL' s technical staff /

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

18

employees/representatives shall also exist. SPU shall proved all the required help, assistance etc. during the

visit, inspection etc. of RINL’s technical staff / employees/representatives.Third party inspection agency

would also inspect the process activities. The conversion details on weekly basis shall be submitted by SPU

as per the format at Annexure-18.

14. Inspection and Quality control:

To ensure that all materials dispatched to customer/other Branches conform to the BIS specification, regular

inspection/testing is to be carried out by SPU as per BIS norms. The SPU shall have facility for

microstructure study with photographic facility for analysis. They will have to keep regular samples along

with the photographs of microstructure on every 100 Mt of rolling. In addition, technical staff / employees

/representatives of RINL will be visiting SPU's premises for inspection of the following, from time to time:

i) Whether finished materials are produced out of Cast Billets / MMSM Billets given by RINL for conversion unless otherwise specified.

ii) Sample analysis for confirmation of mechanical properties.

iii) Converted products are dispatched to the customers/RINL's allottees exactly as per description

given in the D.O.

iv) Verification of stock and calibration of Weigh Bridge by the weight and measure department of the state.

v) To take care of specific requirements of the customers on quality aspects and inspection by outside agencies like, Lloyds, SGS, RITES etc. at the SPU premises for which the cost shall be borne by RINL.

(The roles and responsibilities of Third party inspection Agency for SPU Conversion is as per Annexure- 19.)

vi) To inspect as to whether documentation through the RINL's ERP /SAP System is being effectively

managed.

vii) To ensure proper traceability of the finished products with reference to the Cast Billets/MMSM Billets

supplied by RINL.

For the above purpose, the SPU shall extend all the necessary help and facilities to the executives of RINL

and also to BIS/any other Inspectors, as and when they visit the premises of the SPU. The role and

responsibilities of SPU Conversion In-charge has been mentioned at Annexure -21

15 . Issuance of Test Certificates:

i) On appointment, SPU shall apply to the BIS to obtain permission for allowing issuance of Test Certificate in the name of RINL. For this purpose, a copy of the agreement between RINL and SPU shall be provided by the SPU to the BIS unit which grants licenses to the rerollers.

ii) Test Certificate shall incorporate the following in addition to the regular Information:

a) Name, address of the re-rollers, ISI mark and their BIS license number.

b) RINL logo and the brand name "RINCON TMT" for TMT REBARS.

c) The draft format of TC to be provided (Annexure-20) may be got approved from BIS, as per Jurisdiction

of the marks area of BIS.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

19

iii) Holding of a valid BIS License is a requirement of the contract. Therefore, if the BIS License has been

suspended by the concerned authorities, the same shall be intimated by SPU to Sr BM. Then the Sr Branch

Manager shall take immediate steps to suspend supply of input materials (viz. Semis) and suspend rolling

operation until the license is reinstated / revoked. In case there is a delay of more than 30 days in revoking

of the suspension, action may be taken for removal/disposal of the inventory of semis and finished products

by the concerned Branch, from the premises of the SPU at the cost of SPU. The SPU would also be liable

for any losses on account of non-certified (BIS) finished materials if any. Concerned RM would get the

matter reviewed before according approval for resumption of the activities. Other terms and conditions

remain unchanged.

16. Quality Complaints and its settlement:

a) SPU shall be responsible for all the losses/damages and deterioration caused to materials while these are in the custody of SPU. The materials shall be deemed to be in the custody of the SPU as soon as the Railway Receipts/Consignment Advice/Stock Transfer Challans are handed over to SPU. Such loss/damage/deterioration and/or pilferage in the SPU's premises/custody will be compensated in full by the SPU.

Assessment of loss made by RINL on damage/deterioration to the materials in the custody of the SPU shall

be binding on the SPU.

Though the responsibility lies with RINL for shortage/missing wagons, SPU shall co-ordinate with

Railways for lodging the claim, follow up with Railways etc for settlement of claim. If required, SPU shall

lodge the claim on behalf of RINL and pursue the same till the settlement of claim.

b) The SPU shall be informed about the QC in writing or over phone (later on to be confirmed in writing) by RINL. Any quality complaint received from the customers for converted products supplied by SPUs shall

be inspected by RINL and their decision on the matter will be final and binding on the SPU.

c) Converted products returned under quality complaint shall be disposed by RINL and SPU will be

responsible for paying to RINL the loss in realization on account of quality complaints including

transportation, handling, and all other expenses. No conversion charges shall be payable for such returned

quantity.

d) In case of any rejection of finished products after 3rd party inspection, such materials will be taken back by RINL for disposal. The loss in realization and transportation cost and all other expenses for taking back and disposal of such material shall have to be borne by the SPU. No conversion charges shall be payable for

such returned quantity.

e) SPU will have to settle the loss on account of QC /materials rejected by 3rd party inspection agency within seven days of the intimation by RINL of such loss. In case of failure, the same shall be recovered from the pending /forthcoming bills of the SPU.

17. Embossing:

a) All converted products produced from RINL billets only by SPU will be 100% embossed as per RINL specification i.e."RINCON TMT " for TMT rebars or as decided by RINL officials from time to time.

b) The SPU shall have to undertake 100% embossing of the converted materials as per design and direction given by RINL.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

20

c) To have embossing of TMT for branding purposes the rolls will have to be cut as per RINL design by

machines like SPARKONIX by the SPU.

18. Reports & Returns:

a) The SPU shall keep proper daily account of the converted or finished products viz. quality, size, quantity, length of semis rolled, actual size, quality, quantity of converted /finished products, actual yield test results, inspection notes etc. and arrange for delivery of material against original delivery orders issued to company's customers or their representatives against proper letter of authorization, the copy of which are to

be properly retained.

b) The SPU shall keep delivery order register indicating therein company’s delivery order(s) number and date,

names and addresses of company' s customers, size, quality and quantity of materials indicated on the

delivery orders,as also the size, quality and quantity of the materials actually delivered to company’s

allottee(s) against specific challan number and date.

c) The SPU shall, for every delivery to the customers, raise four copies of invoices meant for following

purposes:

- The original being marked as ORIGINAL FOR BUYER shall be handed over to the customer

- The duplicate copy being marked as DUPLICATE FOR TRANSPORTER shall be handed over

to the transporter of finished goods

- The triplicate copy being marked as TRIPLICATE FOR ASSESSEE shall be retained by the

SPU.

- The fourth copy being marked as 'NOT FOR CENVAT PURPOSES' shall be sent to the

concerned branch.

- Every invoice shall clearly indicate the amount of excise duty paid.

- Every invoice shall invariably bear signature of SPU or his duly authorized representative (for which he

will attest the signature) as also the signature of the authorized representative of company’s Customer.

The details of the invoices shall be entered on the reverse side of the delivery order immediately on each

delivery.

d) The Tax Invoice (Not for CENVAT) shall also be generated by the SPU in three copies on the stationery of

RINL through the ERP connectivity provided to it by RINL. For this purpose the SPU shall be required to

own suitable computers and also make arrangement for Internet connectivity for availing connectivity to

RINLs ERP System. In the Tax Invoice Just below the word "TAXINVOICE", the Words "NOT FOR

CENVAT PURPOSES" shall be printed in bold letters.

- The original copy of Tax Invoice being marked as "ORIGINAL -BUYER'S COPY" shall be handed over to

the customer

- The next copy being marked as "SELLER'S COPY" shall be sent to the concerned Branch.

- The extra copy being marked as "EXTRA COPY" shall be retained by the SPU.

e) The SPU shall, on completion of delivery against each delivery order, return executed delivery order(s)

along with a copy of the related invoice to the concerned branch.

19. Liabilities of the SPU:

a) The SPU shall comply with all the statutory requirements towards fulfilment of all the obligations under all

the prevailing labour laws and other applicable laws. The SPU shall indemnify RINL against any claim that

may be made on RINL arising out of any non-compliance of above statutory requirements by SPU.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

21

b) SPU shall be responsible for any injury/damage caused by him or his agents to any man and material at his

premises as well as when materials are in transit. The SPU shall indemnify RINL against any claim that may

be made on RINL arising out of any negligence or otherwise on the part of SPU and/or his agent.

c) SPU shall not assign any part of this contract to any other SPU/third party without prior clearance and

permission from RINL in writing to this effect.

d) In case of inability on the part of SPU to perform to the full satisfaction of RINL under this contract, RINL

shall have the right to terminate the contract on serving due notice and appoint another SPU for the same

job at the cost and risk of SPU .

e) The SPU (s) will be held responsible for damage caused to materials, inside the SPU- Conversion premises

by his/their staff, transport, equipment, etc., employed by him/them or any injury/death caused to the customer(s), visitor(s) and employee(s) in the SPU- Conversion premise as also to any other third parties. The claim(s) in this regard as assessed by the company shall be final and binding on the SPU and shall be paid by him/them or deducted from his/their dues/bills.

f) The provisions of above Clause (e) shall also apply to assessment of damage caused to materials due to

negligence of the SPU during the performance of various operations covered by the contract. The decision

of the company as to the extent of damages and the amount recoverable from the SPU in this regard shall be

final and binding upon the SPU . No materials will be allowed to be stacked / kept outside the premises or

on the road within the yard or at places where it might impede the free movement of traffic.

g) The company is not obliged to provide the SPU with any equipment for transporting, handling and storage of

different types of materials and the SPU should employ his / own / hired equipment and manual labour for the

same.

h) In the event of the SPU 's failure or default to provide sufficient equipment and timely labour at any time to do any of the jobs entrusted with him / them under the contract or in the event of the SPU ,unilaterally terminating the contract, the company shall have the right to get the work done through alternate arrangements,

and all the charges and expenses incurred by the company in this behalf shall be recovered from the SPU either from his/their bill(s) or from any other amount(s) payable to the SPU , either under this contract or any other contract with the Company and /or by encashing the Bank guarantees furnished under this Contract.

i) The SPU shall be solely responsible for any injury/damage that may be caused to his personnel and should

provide full medical treatment to his staff and labour in case of accidents on duty. The company shall in no manner be liable to the SPU or any member of his staff or any other person for injuries or death caused as a result of accidents either within or outside the yard premises in the courses of work and / or arising out of work.

j) Whenever the contract expires / is terminated, the SPU shall be required to submit the following documents failing which his final payment as well as release of Security Deposit/ Bank Guarantee would be withheld till such

time the requirement mentioned below are met by him in full:

- No demand Certificate from Railways in favour of RINL (to be obtained by the SPU). - No pending demands from statutory authorities like Labour Deptt. (in respect of PF, Gratuity,

Compensation to workmen etc.) - No claim certificate in favour of RINL (Annexure-17)

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

22

In case the SPU fails to submit the above mentioned documents within a reasonable period, the Company would

be within its right to forfeit / appropriate any amount of the SPU lying with the Company to his credit either under this contract or any other contract towards settlement of the claims of the above mentioned Agencies.

k) In the event of the SPU 's failure to execute the work under the contract to the satisfaction of the company, the company shall put the SPU on notice calling upon him to execute/complete the work strictly in terms of the contract, within the time stipulated in the said notice and upon the SPU 's failure to comply with the same within the prescribed time, the company shall be entitled to terminate the contract, and/or offload the work or items of

work so defaulted to any other alternate agency at SPU 's risk and costs. The SPU shall immediately pay to the company the differential, if any, in the costs and expenses so incurred by the company, within the time prescribed by the company failing which the company shall recover and appropriate from any amount payable to the SPU either under this contract or any other contract without any reference to the SPU and / or by encashing the guarantees furnished under this contract with the Company.

l) On termination of the contract for any reason whatsoever or completion of contract, the SPU will have to

handover all company's properties and documents including stocks produced out of RINL's material and obtain

a clearance certificate from RINL before the Security Deposit can be claimed and / or Bank Guarantee custody

cum Indemnity Bond returned /discharged. The refund of Security Deposit, Bank Guarantee and custody cum

Indemnity Bond would be subject to his fulfilling the conditions indicated at clause above.

m) Any sum of money due and payable to the SPU including Security Deposit under the contract may be adjusted

and appropriated by the company and set off against any claims of the company for the payment of any sum of

money arising out of this contract or any other contract.

n) The SPU shall pay his labourers (male or female) not less than the minimum wages prescribed by the Minimum

Wages Act, or such minimum wages as may be prescribed from time to time by the Central Government.

o) SPU shall perform and observe all the provisions relating to the Employees Compensation Act. Employee State

Insurance Act (ESI) and all labour and other legislations.

p) The SPU shall be liable for any injury or death arising out of any accident either within or outside the SPU

premises in the course of work. The SPU shall be responsible for such contingencies and will make good all claims for compensation claimed by his / their heirs/ workmen or others as adjudicated by the Tribunal / commissioner of Employees compensation and/or any other Authority as the case may be under the provisions of Employees Compensation Act and other relevant laws of the land. The SPU shall also indemnify the company and pay all such sums as may be awarded in respect of claims for compensation arising out of or in consequence of any accident of any staff or employee working under him / them as per the provisions of the

employee's compensation Act or any subsequent modification or amendment to the said Act thereof.

The SPU shall be responsible for effecting Insurance under the Indian Employee's Compensation Act, Third Party liability Insurance, any other insurance in accordance with the Indian Laws and Regulations at his own cost, with the company as the Principal holder, the said policy should be valid during the period of contract and deposited with the company. The insurance should cover for all liabilities both for the staff and labour engaged by the SPU and also for any employee of RINL who visits the site or any third party. Further the SPU should insure its plant and machinery to cover all risks.

q) The SPU shall also carry out and observe the provisions of all other laws, Workmen Compensation Insurance, Third party insurance and other applicable Acts and Statutes in respect of the said operations and also indemnify the company of any liability that may be imposed upon the company for non-observance of the SPU of any of

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

23

the provisions of the various Laws/ Act /Statutes or for the SPU's failure in ensuring the compliance as

aforesaid, and shall keep the company indemnified and reimburse and discharge all sums that may be claimed by appropriate authorities in any manner whether as penalty, fine, levy demands or compensation fee, arising out of or consequent upon the breach of the requirements and provisions of any statute(s), Law, Rules and Regulations by the SPU or their representative.

r) The SPU shall be liable for all complaints and / or claims made by and received from company's customers due to

any default or negligence on the part of the SPU or his representative or workmen.

s) The SPU shall provide the representative(s) of the company suitable office accommodation and necessary secretarial assistance in the discharge of his duties.

t) The SPU shall be further liable for all the losses that might be caused to RINL on account of any of the breach of

contract or misconduct as stated above.

SPU will indemnify and keep indemnified RINL against all expenses, losses etc. regarding the same.

u) Proper security shall have to be made by the SPU (s) at their costs for the safe custody of materials supplied by RINL. Any loss, damage or deterioration whatsoever and/or pilferage in premises/custody of SPU(s)

shall be solely to the account of the SPU and they will be bound to compensate RINL suitably for such loss, damage and/or deterioration.

v) If it comes to the notice of VSP at any stage right from request for tender document that any of the

certificates/documents submitted by tenderer is found to be false /fake/doctored, they shall be debarred from participation in all VSP tenders for a period of 5 years including termination of contract, if awarded. EMD, Security Deposit, etc if any, shall be forfeited. The SPU in such cases shall make good to VSP any loss or damage resulting from such termination. Contracts in operation anywhere in VSP shall also be terminated with attendant fall outs like forfeiture of EMD, Security Deposit, if any, and recovery of risk and cost charges etc. Decision of VSP management shall be final and binding.

w) Similarly, if any of the declarations given in the affidavit by the tenderer is found incorrect or not adhered to, then the tenderer shall be debarred from participation in all VSP tenders for a period of 5 years including termination of contract if awarded. EMD, Security Deposit etc if any shall be forfeited. The tenderer shall make good to VSP any loss or damage resulting from such termination. Contracts in operation anywhere in VSP shall also be terminated with attendant fall outs like forfeiture of EMD and Security Deposit if any, and recovery or risk and cost charges etc. Decision of VSP Management in this regard shall be final and

binding. x) Liquidated Damages:

Due to delay/failure in arranging the finished products by SPU, incase RINLs customers deduct or levy liquidated damages on RINL, then RINL is entitled to recover the same from the bills of SPU.

20. Banning of Business Dealings:

a) RINL reserves its rights to ban business dealings if the SPU is found to have committed misconduct and also to suspend business dealings pending investigations. Further, in case the SPU, his partner, member, servant, labour, agent, representative and/or any person working for and on behalf of the SPU is found

involved in any unauthorized, or wrongful removal of materials not sold or makes any attempt for such removal using the mill capacity for their own production/marketing need of finished product, using RINL logo or reputation or brand name for marketing of their own product produced at other mills, this shall amount to breach of contract as well as misconduct caused by the party and Company shall be entitled to forfeit the Security Deposit and any other amount, money or material that may be lying with RINL at the risk and cost of the SPU in addition to suspension/ banning of the business dealings . No charge will be

payable by RINL for the suspended business period.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

24

b) The decision of the Director (Commercial),RINL or any other person delegated to exercise powers in his

absence from duty or due to his non-availability for any other reasons, whatsoever will be final and binding

on the SPU in all such cases.

c) Notwithstanding anything contained in previous paragraphs, RINL shall reserve its right to terminate/short-close the contract summarily, in case on enquiry it is found that the SPU has committed misconduct /malpractice in connection with present contract. In that event RINL shall reserve its rights to suspend business dealings in relation to other contracts also.

21. Responsibilities of SPU upon Completion/Termination of Contract:

On completion/termination of the contract for any reason whatsoever, the SPU shall have to hand over all properties and documents belonging to RINL. The unadjusted portion of Security Deposit shall be released by RINL to SPU subject to (i) their production of 'No Demand Certificate' from Railways in favour of RINL (in case of receipt of materials by Railway Wagons), (ii) adjustment of claims/dues by RINL from SPU for unsatisfactory performance/lapses on the part of the SPU, if any, in this or any other contract and

iii) No pending demands from statutory authorities like Income Tax, Labour Deptt. (in respect of PF, Gratuity, compensation to employees etc.) and the like. This agreement may be terminated by RINL at any time at its sole discretion due to non-performance/

misutilization by giving 60 days notice in writing. The clauses for non-performance/ misutilization have

been stipulated elsewhere in the contract.

22. Losses / Damages:

a) The SPU shall be responsible for all losses/ damages /deterioration's caused to the materials, when the materials are in SPU's custody, including losses if any, caused during transportation and handling by the SPU. The materials shall be deemed to be in the SPU's custody as soon as the Railway receipts / Stock

Transfer Challans are handed over to the SPU by the Company, irrespective of the fact whether the materials are in transit or are actually received by the SPU.

b) The receipt of materials shall be accounted for by the SPU on the basis of the quantities despatched by the Company as per the Stock Transfer Challans issued by the Company. The SPU shall be accountable to the Company for the entire quantity as mentioned in the Stock Transfer Challans in case of rail, and weight of SPU weighbridge shall be final in case of receipt by road and if any shortage, the RINL transporter shall be

held responsible for such shortages, STC quantity in case of SPU directly lifts from plant and no claims for shortages would be entertained by the Company other than the yield loss of 5 % or 2% as the case may be. The SPU is to accept the Company's practice of determination of weight for dispatch by the plant/ Stockyards as prevailing from time to time. No allowance shall be given on account of weighbridge tolerance.

c) The SPU shall not hypothecate and / or charge and / or encumber in any manner whatsoever the materials

despatched to / stored by them either in full or in part to any bank, a financial institution or association(s) or

Company or firm as security or otherwise. d) The SPU shall not suffer or cause to suffer any injunction and / or attachment and / or appointment of

Receiver in respect of the Company's materials despatched to / stored by them. e) No cognizance will be taken by the Company of the cases where Railways refuse to accede to the SPU's

request for open delivery or delivery after reweighment or for issue of shortage certificate or for witnessing

inspection, by independent surveyor. It will be SPU's responsibility to handle such cases.

SPU has to account for total weight charged in the Stock Transfer Challan(s) as mentioned above. In case

of the dispatch of raw materials by RAIL, any material shortage/missing wagons, RINL shall lodge a claim

against Railways. However SPU shall cooperate with RINL to lodge a claim with the Railways and pursue

the matter for settlement of claim with Railway Authorities, diligently and keep RINL informed from time

to time. If required RINL shall give the SPU the authorization to lodge claims on behalf of RINL with the

Railway Authorities.

In case of levy of any demurrages by Railways, the same shall be borne by SPU.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

25

23. Tenure & Termination of contract:

Tenure:

The contract will be for a period of Seven [07] years from the date of issue of Letter of Intent [including construction period of 2 years, extendable by two terms of Three [03] years & Two [02] years with mutual consent, at the same terms and conditions of the contract subject to availability of billets from RINL and satisfactory performance of SPU.

Termination of the Contract:

a) The objective of this contract is primarily to make additional margin through conversion process under this agreement. In case such margin is either zero or negative, the contract would be terminated without

payment of any compensation.

b) The company shall have the option to terminate the contract at any time at its sole discretion due to non-performance/ misutilization by giving 60 days notice in writing and without payment of any compensation. The clauses for non-performance, misutilization have been stipulated elsewhere in the contract.

c) In the event of the SPU's failure to discharge their duties stipulated in the contract, to the satisfaction of the

company, the company may terminate the contract summarily and without notice.

d) In the event of the contract being terminated in exercise of the rights under the clauses mentioned above,

the SPU shall not be entitled to claim any special or general damages from the company on account thereof.

e) RINL will have an option to terminate the contract with 90 days notice period in case average net margin

for a period of 12 months happens to be negative. The period of Twelve [12] months will be calculated beginning with first day of the calendar month following the date of commencement of operation as mentioned in the work order. 1.The main objective of the SPU is to ensure that there is a positive margin to RINL. In case there is a negative margin in a month, the SPU has an option to adjust the negative margin either (i) by improving the yield of the finished product in the subsequent month or/and (ii) against the bills towards the conversion

charges submitted by the SPU for the month, so that there is positive net margin during the period of 12 months. The margin is defined as the difference between monthly weighted net average realization of

converted products and weighted net average realization of semis at respective BSOs.

24. Alternative arrangement:

a) If at any time during the continuance of this Contract, the company is of the opinion that in the best interest of its business, it is necessary to take possession of the materials from the SPUs custody, the company may forthwith issue notice to the SPU and take possession of the materials by physically removing the materials

to such places as the company may decide in this regard. b) The SPU however will be entitled to claim the charges as due to him under the provisions of the contract

upto the point of final removal of the material from his premises. The SPU shall extend all cooperation as may be required by the company in exercise of its right to secure its materials.

c) The company may also, if necessary, and if the exigencies of situations so warrant make its own security

arrangement over the materials in addition to the arrangement of the SPU. This however, will not absolve

the SPU from his duties and responsibilities under the contract.

25. Liabilities / Obligations on Expiry / Terminations:

Notwithstanding the expiry / termination of the contract the liabilities and obligation of both company and

the SPU as set out herein will continue to be in force, until all the materials supplied / despatched by the

company to the SPU up to the date of the said expiry /termination are delivered by the SPU. After

termination /expiry of the contract, the materials if any, lying in the SPU's yard shall be lifted by the

company within two months from the date of the termination of the contract and the SPU shall be

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

26

responsible to arrange delivery of the materials as directed by the company for which the SPU shall be

entitled to claim remuneration as is due to him under the provisions of the contract.

26. Resolution of Disputes:

26.1 In the event of any disputes/differences whatsoever arising between the parties relating to or arising out of the contract; the parties shall endeavour to resolve such disputes/differences as per provisions of the Arbitration and Conciliation Act 1996.

26.2.1. Conciliation: Any dispute or difference whatsoever arising between the parties relating to or arising out of Contract, shall be settled first by conciliation in accordance with the provision of the Arbitration and Conciliation Act - 1996 and the Settlement so rendered between the parties in pursuance thereof shall be final and binding on the parties.

26.2.2. In case conciliation fails, all questions, claims, disputes or differences of any kind whatsoever arising

between the parties relating to or arising out of the contract shall be referred by the parties hereto for the decision by a Sole Arbitrator to be appointed as hereinafter mentioned.

26.2.3. The notice regarding the invoking of the arbitrator clause shall be served by registered post and addressed to the, Director (Comml) Rashtriya Ispat Nigam Limited.

26.3.1 Matters in question, disputed claim or differences other than the excepted matters shall be referred for

decision to a Sole Arbitrator to be appointed by Chairman-cum-Managing Director of RINL, VSP.

26.3.2 In this clause, the expression means the Chairman-cum-Managing Director or any other person delegated to

exercise the authority and the power of the CMD due to his absence on duty or due to his non-availability

for any reason whatsoever.

The Arbitrator, so appointed, shall adjudicate upon all the disputes between the parties hereto.

26.3.3 The Arbitrator shall hear the cases independently and impartially and shall not represent the interest of any party.

26.3.4 The question of procedure for conduct of the arbitration proceedings shall be decided by the Arbitrator in consultation with the parties before proceeding with the reference. The Arbitrator may hold preparatory meeting (s) for this purpose.

In the preparatory meeting(s) as aforesaid, the Arbitrator in consultation with the parties shall also determine the manner of taking evidence the summoning of the expert evidence and all such matters for the expeditious disposal of the arbitration proceedings.

26.4 Excepted matters as per the contract shall not be the subject matter of Conciliation/ Arbitration. 26.5 The Court/s at Visakhapatnam only shall have jurisdiction over all matters of dispute. 26.6 The venue of the Arbitration shall be at Visakhapatnam.

26.7 Work/supply under the contract shall be continued by the SPU under the contract pending Conciliation/Arbitration proceedings and recourse to Conciliation/ Arbitration shall not be bar to continue with the work/supply.

26.8 The provisions of the Arbitration and Conciliation Act, 1996 and rules framed there under, if any, and all modifications/amendments thereto shall deem to apply and/or to be incorporated in this contract as and

when such modifications / amendments to the Act/Rules are carried out.

27. General:

a) Proper security shall have to be made by SPU at their costs for the safe custody of materials supplied by RINL. Any loss, damage or deterioration whatsoever and/or pilferage in premises /custody of SPU shall be solely to the account of SPU who will be bound to compensate RINL suitably for such loss, damage and/or deterioration.

b) RINL may post their employee(s) at the premises of SPU who would, over-see the conversion activities and it will be the responsibility of the SPU to provide all the necessary help, support and infrastructural and co-ordinational facilities regarding the same.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

27

c) At the end of contract period the rolls are to be disfigured in front of RINL executive to erase impression of

embossing and refund / return of Security deposit and BG/ Custody & indemnity bond shall be dependent on RINL satisfying itself about such defacement.

d) SPU shall not receive or accept any payment from customers of RINL. No employee of the Company shall handle a case of contract with any of his relations or a firm of which the relation is a partner or a company of which the relation is a Director unless specifically approved by his higher authority on proper disclosure of the fact or relationship.

e) All the information provided by the Company to the SPU regarding or inconnection with this contract is to be treated as confidential information and it is the sole responsibility of the SPU to ensure the confidentiality of all such information. No such information is to be given / passed on to any third party without written consent of the Company.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

28

ANNEXURE- 4

(TO BE ISSUED BY THE BANK ON THEIR LETTER HEAD)

To,

Rashtriya Ispat Nigam Limited West Boring Canal Road

Patna-800001.

Dear sir,

Sub: Financial standing of M/s _____________________

This is to certify that M/s ________________________________ (Name of the tenderer), a _________________

(Proprietorship Firm / Partnership Firm / Company) with Sri / Smt ____________________________________ as

____________ (Proprietor / Partners / Directors) having their Registered / Head Office at

_____________________ have been banking with us since _____________________ . The operation of their

______________ (nature of account) No. _________ with us is satisfactory. The financial standing of M/s

__________________ is sound based on the transactions dealt with us. This is also to certify that M/s

__________ is solvent worth Rs. ______ (value of BG /security deposit specified against this work)

Date: ( )

Place: Authorized Signatory

Name:

Seal: Designation:

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

29

ANNEXURE - 5

PROFORMA FOR SCHEDULE OF SPU - CONVERSION CHARGES

RAW MATERIAL: M S GRADE IS: 2830 MMSM BILLET (65/75/90 mm)

Details of Finished products to be

produced

Consolidated

Indicative

Quantity(all sizes

put together)

SPU- Conversion

Charges

Contract value

Materials (1) Size( MM) (2) (In MT) (3) Consolidated single rate for TMT Rebars in

Rs/MT (4)

Multiplication of

indicative quantity and

SPU conv charges in Rs

(3) x (4)

TMT Rebars

Fe 500/Fe 500

D

8,10,12,16,20,25,

28,32

36000 Per Annum

1) Rates to be quoted both in figure and words. In case of any discrepancy between rate quoted in figures and

words, the rate quoted in words will prevail.

2) Indicative percentage breakup of TMT Rebars shall be as below:

8mm — 15%, 10mm 15%, 12mm 30% 16 mm —

20%, 20mm/25mm/28mm/32mm - 20%

3) The estimated percentage breakup for TMT Rebars is only indicative the actual quantum of work in the

Specific dia/size range can vary. (Regions/Branches may vary the above percentage breakup in their tender

documents depending upon market requirements and the other capacities available in their

Region/Branch).

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

30

ANNEXURE -6

PROFORMA FOR SCHEDULE OF SPU - CONVERSION CHARGES

RAW MATERIAL: M S GRADE IS: 2830 CAST BILLET (150X150mm & 200X200 mm)

Details of Finished products to be

prodcued

Consolidated

Indicative

Quantity(all sizes

put together)

SPU- Conversion

Charges

Contract value

Materials (1) Size( MM)

(2)

(In MT)

(3) Consolidated single rate

for TMT Rebars in

Rs/MT (4)

Multiplication of

indicative quantity and

SPU conv charges

quoted in

Rs

(3) x(4)

TMT Rebars

Fe 500/Fe 500

D

8,10,12,16,20,25,

28,32

36000 Per Annum

Note:

1) Rates to be quoted both in figure and words. In case of any discrepancy between rate quoted in figures and

words, the rate quoted in words will prevail.

2) Indicative percentage breakup of TMTRebars shall be as below:

8mm — 15%, 10mm 15%, 12mm 30% 16 mm —

20%, 20mm/25mm/28mm/32mm - 20%

3) The estimated percentage breakup for TMT Rebars is only indicative the actual quantum of work in the

Specific dia/size range can vary. (Regions/Branches may vary the above percentage breakup in their tender

documents depending upon market requirements and the other capacities available in their

Region/Branch).

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

31

ANNEXURE - 7

--------------------------------------------------- Deleted ------------------------

ANNEXURE - 8

--------------------- Deleted -----------------

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

32

ANNEXURE - 9

Sl no Rs

Contract value of TMT Rebars (with Input materials as MMSM Billets

65/75/90)

Contract value of TMT Rebars (with Input materials as Cast Billets 150

& 200)

Contract value of Structurals (with Input materials as MMSM Billet

65/75/90s)

NIL

Contract value of Structurals (with Input materials as Cast Billets) NIL

Total contract value

The tenderer has to arrive at the total contract value by adding the value of all individual items (TMT Rebars and

Structurals) and quote the same in the schedule of rates. In case of any error between total contract value quoted in

schedule of rates and sum of individual value of each item of schedule of rates, the lower of either total contract

value quoted in the schedule of rates or sum of individual value of each item of schedule of rates would be

considered .In case total contract value quoted is lower, the difference would be adjusted proportionately on each

individual item of schedule of rates for arriving at the individual item rate.

In case of any error in arriving at the value of individual items, while multiplying the individual item rates with

respective indicative quantities, the rate/amount that is advantageous to the Company shall be considered.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

33

ANNEXURE -10

SECURITY DEPOSIT BANK GUARANTEE TOWARDS PERFORMANCE GUARANTEE (FROM ANY

SCHEDULED BANK EXCEPT GRAMIN / COOPERATIVE BANKS

To

Rashtriya Ispat Nigam Limited

West Boring Canal Road, Patna-800001

1. In consideration of the Rashtriya Ispat Nigam Limited, Govt. Company incorporated under the Companies

Act, 1956 and having its registered office at Administrative building, Visakhapatnam Steel Plant,

Visakhapatnam 530 032 and also having inter-alia one of its Branch Sales Offices at Patna

.(hereinafter called the 'Company') having agreed to accept this Guarantee towards the Security (and as

Security Deposit) for the due performance of all the obligation contained in the Contract dated (hereinafter

called the "said Contract", which expression shall include any formal agreement entered into subsequent

thereto or in supersession thereof and all modification to and amendments in the said agreement) made

between the Company and M/s .............. (hereinafter called the 'Contractor' or 'SPU') for SPU conversion

situated at ............................. under the said Contract,

We ................. (Name of the Bank) (hereinafter referred to as the 'said Bank') do hereby undertake to pay the Company an amount not exceeding Rs.100 Lakhs (Rupees One hundred lakhs) only against the Contractor's failure and/or non observance and/or breach(s) of any of its obligations and/or the terms and conditions contained in the contract dated .............

2. We .............. (Name of the Bank) do hereby undertake to pay at cash counter the amount (s) due and payable under this Guarantee to the extent of Rs.100 Lakhs (Rupees One hundred lakhs) only without any demur or protest, merely on receipt of a demand from the Company stating that the said Contractor has

failed to fulfill and / or observe and/or committed breach (es) of the obligations as stipulated in the Contract dated.......... and the amount claimed is due and payable to the Company by the said Contractor on account thereof.

Any such demand made on the said Bank shall be conclusive as regards the amount due and payable by the

Bank under this Guarantee. It is hereby expressly agreed and affirmed that the Company shall have the

fullest liberty to claim payment of the amount under this Guarantee subject to the ceiling limit of Rs.100

Lakhs (Rupees One hundred lakhs only) as referred to above and this Guarantee shall not become

infructuous or invalid because of the partial payment or payments made by us to the Company pursuant to

the demand or demands made by the Company upon us for payment from time to time. It is further affirmed

that this Guarantee shall hold good in favour of the Company to the extent of the balance amount covered

under this Guarantee.

It is also agreed and affirmed that the Company shall be the sole judge as to whether the said Contractor

has failed to observe / fulfill / any or all the obligations contained in the Contract dt .................. referred to above, and/or committed any breach or breaches in respect thereof as also the amount become due and payable by the Contractor/SPU on account therefore, and such decision of the Company shall be final and binding upon us.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

34

However, our liability under this Guarantee shall be restricted to an amount not exceeding Rs.100 Lakhs

(Rupees One hundred lakhs) only.

3. We the said Bank, further agree that this Guarantee shall remain in full force and effect until the said

Contractor fulfills all the obligations under the contract dated ............ in due performance thereof and that it

shall continue to be enforceable for the period that would be taken for satisfactory performance and

fulfillments in all respects of all obligations under the Contract dated .......... and that it shall continue to be

enforceable till any notice of no claim is given by the Company.

4. We, the said Bank, further agree that the Company has the fullest liberty without affecting in any manner

our obligations herein to vary any of the terms and conditions of the said Contract dated ................. and to

forebear or enforce any of the terms and conditions relating to the said Contract and we shall not be

relieved of our liability under this Guarantee by reason of any such variation or extension being granted to

the said Contractor or for any forbearance and/or commission on the part of the Company.

5. We ......... (name of the Bank) state and affirm that this Guarantee will be valid and effective for a period of

3 [ Three] years from the date of issue and we further agree that the guarantee herein contained shall not be affected by any change in the Constitution of the said Contractor. Should it be necessary to extend this guarantee beyond the said date on account of any extension of time being granted by you to the SPU in respect of completion of work in the said contract or otherwise we undertake to extend the period of this

Guarantee and confirm you in writing, the extension of time, on your request till such time as may be required.

6. We (mention the name of the Bank), hereby agree that any claim due and arising under this guarantee shall be enforceable against our Bank's Branch (mention the name and address of the Branch ) at Patna and they shall honour such demand in any case not later than next working day.

7. Issuance of this Bank Guarantee may also be got confirmed from our controlling branch/ office/higher

Authority as per the name & address mentioned below:

Yours faithfully,

Designated Officer of Bank with Seal

Dated : ............................................. day of ........................ (month) ...................... (year)

for ______________________________

(Name of the Bank)

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

35

ANNEXURE -11

PROFORMA OF BANK GUARANTEE (Financial Coverage) FOR SPU CONTRACT (On non judicial

stamp paper of appropriate value from a Scheduled Bank) (to be vetted by Finance of Branch Sales Office)

To

Rashtriya Ispat Nigam Limited

West Boring canal road,

Patna- 800001

1. In consideration of Rashtriya Ispat Nigam Limited, a government Company incorporated under the

Companies Act, 1956 having its registered Office at Administrative Building, Visakhapatnam Steel Plant, Visakhapatnam 530 031also having interalia, one of its Branch Sales office at Patna (hereinafter called 'the Company') having agreed to accept this Guarantee for due security and safe custody of the materials dispatched to M/s. __________________ (hereinafter called 'the said Prospective Steel Processing Unit (SPU) for Conversion of Semis supplied by RINL under the Agreement dated _____________ (hereinafter

called 'the said Agreement' which expression shall include any formal agreement entered into subsequent thereto or in suppression thereof and all modifications to and amendments in the said Agreement) made between the Company and the said SPU for conversion of the Steel materials covered under the said Agreement on furnishing a Bank Guarantee for Rs 567 Lacs (Rupees Five Hundred Sixty Seven Lacs) only, we _______________(Name of the Bank) ... (hereinafter referred to as 'the Bank') do hereby undertake to pay to the Company an amount not exceeding Rs 567 Lacs (Rupees Five Hundred Sixty Seven Lacs)

only against any shortage, loss or damage or deterioration caused to or suffered by or would be caused to or suffered by the company in respect of the said materials by reason of any breach(es) of any of the terms and conditions contained in the said Agreement, or for any reason whatsoever.

2. We ............................................................ do hereby undertake to pay (name of the Bank) the amount or amounts due and payable under this Guarantee from time to time up to the extent of Rs 567 Lacs (Rupees Five Hundred Sixty Seven Lacs) only without any demur / protest / question, merely on receipt of a

demand from the Company stating that the amount (s) claimed is / are by way of loss or damage caused to / suffered by or would be caused to or suffered by the Company in respect of the said materials by reason of any breach of any of the terms and conditions contained in the said agreement by reason of the SPU's failure to perform the said agreement or for any reason whatsoever. Any such demand made on the Bank shall be conclusive as regards the amount or amounts due and payable by the Bank after this Bank Guarantee.

3. It is hereby expressly agreed and declared that the Company shall have the fullest liberty to claim payment of the amount or amounts from time to time under this Guarantee subject to the ceiling limit of Rs 567 Lacs (Rupees Five Hundred Sixty Seven Lacs) only, as referred to above and this guarantee shall not become invalid or in fructuous because of the partial demand(s) made by the company upon us for payment under the circumstances stipulated hereinabove and it is further declared that this Guarantee shall hold good in favour of the Company to the extent of the balance amount covered under this guarantee. It is further

agreed and declared that the Company shall be the sole judge of and as to whether the said SPU has committed any breach or breaches of any of the terms and conditions of the said agreement the extent of loss and damage, caused to or suffered by or that may be caused to or suffered by the Company on account thereof and the decision of the Company that the said SPU has committed such breach or breaches and as to the amount or amounts of loss and damages shall be final and binding on us. Any such demand or demands made on the Bank shall be conclusive as regards the amount due and payable by the Bank under this

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

36

Guarantee. However, our liability under this guarantee shall be restricted to an amount, not exceeding Rs

567 Lacs (Rupees Five Hundred Sixty Seven Lacs) only.

4. We, the said Bank, further agree that the Guarantee herein contained shall remain in full force and effect

during the period that would be taken for the performance of the said agreement and that it shall continue to

be enforceable till all the dues of the Company under or by virtue of the said agreement have been fully

paid and its claims satisfied or discharged or till the Company certifies that the terms and conditions of the

said agreement have been fully and properly carried out by the said SPU and accordingly discharges this

guarantee. Unless a demand or claim under this guarantee is made on us in writing on or before the

........................... (i.e. six months after the date of expiry of the said Agreement) and payment is made by

us, we shall be discharged from our liability under this guarantee thereafter.

5. We, the said Bank, further agree that the Company shall have the fullest liberty, without our consent and

without affecting any manner our obligations hereunder contained to vary / modify any of the terms and

conditions of the said agreement or to extend time of performance from time to time or to postpone for any

time or from time to time any of the powers exercisable by the Company against the said SPU and to

forbear or enforce any of the terms and conditions relating to the said agreement and we shall not be

relieved of our liability by reason of any such variation / modification or extension being granted to the said

SPU or for any forbearance, act or omission on the part of the Company or any indulgence by the Company

to the said SPU or by any such matter or thing whatsoever which under the law relating to sureties would

but for this provision have effect of so relieving us.

6. We ................ (name of the Bank) agree and declare that this Guarantee will be valid and effective for a

period of 2 (Two) years from the date of its issue and we further agree that the Guarantee herein contained

shall not be affected by any change in the constitution of the said SPU . Should it be necessary to extend

this guarantee beyond the said date on account of any extension of time being granted by you to the SPU in

respect of completion of work in the said contract or otherwise we undertake to extend the period of this

Guarantee and confirm you in writing, the extension of time, on your request till such time as may be

required.

7. We, the said Bank, lastly undertake not to revoke this Guarantee during its currency except without the

previous consent of the Company in writing.

8. We (mention the name of the Bank), hereby agree that any claim due and arising under this guarantee shall be enforceable against our Bank's Branch — (mention the name and address of the Branch ) at Patna ur and they shall honour such demand in any case not later than next working day.

9. Issuance of this Bank Guarantee may also be got confirmed from our controlling branch/ office/higher

Authority as per the name & address mentioned below:

Yours faithfully, Designated Officer of

Bank with Seal

Dated : ............................................. day of ....................... (month) ...................... (year)

for _____________________________

(Name of the Bank)

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

37

ANNEXURE - 12

PROFORMA FOR CUSTODY AND INDEMNITY BOND FOR SPU CONVERSION CONTRACT(To be

executed on Stamp Paper of appropriate value)

To

Rashtriya Ispat Nigam Limited,

West Boring Canal Road Patna-800 001

WHEREAS We have agreed to act as your Steel Processing Unit at Patna for conversion of Steel to be handed over

to us at railway siding/your Rolling Mill / Stockyards for proper transportation, storage, handling, offering 72000 T

of capacity of the new mill exclusively for RINL, safe custody and delivery to your various customers against valid

delivery orders issued by your BSO at Patna pursuant to the Agreement dated ..........................................(hereinafter

referred to as the said Agreement')

AND WHEREAS we have agreed to execute a Custody and Indemnity Bond in terms of the said Agreement for and in respect of the Steel materials delivered to us, we hereby declare and state as under:

1. NOW by this Custody and Indemnity Bond we hereby agree and undertake that we shall keep and hold the

Steel materials meant for conversion as well as converted steel materials under the said agreement and keep the

same under safe custody at our premises located at .............. on your behalf and as your property in trust for you.

2 We shall be entirely responsible for the safe custody and protection of the said Steel materials at our risk till the same are duly delivered to your various customers OR as may be directed by you from time to time or at any time and shall indemnify you against any loss, damage or deterioration suffered by you or against shortages whatsoever

in respect of said Steel materials delivered to us from time to time under said Agreement while the same remain in our custody.

We further agree that the said Steel materials shall at all time be open to inspection by any person authorized by you.

3. SHOULD any loss or damage or deterioration or shortage occur or refund becomes due and receivable by

you, on demand we undertake to compensate or to pay or to refund the amount forthwith and without any

deduction whatsoever. You shall be entitled to recover from us compensation for such loss or damage or

deterioration or shortage without prejudice to any other remedies available to you by deduction from any

sum which at any time hereinafter may become due to us either under aforesaid Agreement or under any

other Agreement (s). The amount so claimed by you shall be final and binding upon us.

4. WE further agree and affirm that you shall have the fullest liberty to vary any of the terms and conditions

of the said Agreement without affecting in any manner whatsoever our obligation under this Bond and we

shall not be released from our liabilities under this Bond by the exercise of your liberty to vary and / or

modify the terms of the said Agreement or by reason of any time being given to us or any other forbearance

or indulgence given to us or any other act or omission on your part.

5. We further agree and undertake that we shall not hypothecate and / or change and / or encumber in any

manner whatsoever the materials, despatched to us, either in full or in part to any Bank or Financial

Institution or any Association or any company or firm as a security or otherwise.

6. WE further agree and undertake that we shall not suffer any injunction and/or attachment and/or

appointment of Receiver in respect of materials either in full or in part, delivered to us.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

38

7. AND we further agree that this Bond shall remain in force till all the obligations under the said Agreement

are fulfilled and the accounts relating thereto are finally settled by and between ourselves and yourselves

and unless you expressly discharge this Bond in writing the same shall remain valid and in full force.

8. THIS Bond with all its provisions herein contained are in addition to and not by way of limitation of or

substitution for any other Bond or Indemnity / Undertaking here before given to you by us, whether jointly

with others or alone and now existing un cancelled and that this Bond is not intended to nor shall revoke or

limit such Bond or guarantee / undertaking.

9. THIS Bond shall not be affected to any change in our constitution not shall it be affected by any change in

your constitution or by any amalgamation or absorption thereof or therewith but will ensure for and be available to

and enforceable by the absorbing or amalgamated company or concern IN Witness whereof we put our seal and

signature on this ..............................

(day) ...................... (month) ................................................ (year)

Signed sealed and delivered

By M/s ...........................................................

For and on behalf of

In the presence of:

1)

2)

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

39

Annexure-13

INTEGRITY PACT FORMAT

Rashtriya Ispat Nigam Limited (RINL) hereinafter referred to as "The Principal",

And

.......................................................................................................................... hereinafter referred to as "The

Bidder/Contractor"

Preamble

The Principal intends to award, under laid down organizational procedures, Appointment of Steel Processing

Units(SPU) for conversion of Surplus semis in to finished products on wet lease basis aginst NIT Ref No.

NR/KPR/SPU/13-14/02/374 Dt.28.06.13 . The Principal values full compliance with all relevant laws of the land, rules, regulations, economic use of resources, and of fairness/transparency in its relations with its Bidder(s) and /or Contractor(s).

The Principal will nominate an Independent External Monitor(s) (IEM(s)) by name at the tender stage/will appoint

in case of receipt of any reference, from the panel of IEMs, for monitoring the tender process and the execution of

the contract in order to ensure compliance with the Integrity Pact by all the parties concerned.

Section 1 - Commitments of the Principal:

(1) The Principal commits itself to take all measures necessary to prevent corruption and to observe the

following principles:-

(a) No employee of the Principal, personally or through family members, will in connection with the

tender for, or the execution of a contract, demand, take a promise for or accept, for self or for third

person, any material or non material benefit which the person is not legally entitled to.

(b) The Principal will, during the tender process treat all bidders with equity and reason. The Principal will in particular, before and during the tender process, provide to all Bidders the same information and will not provide to any Bidder confidential/additional information through which the Bidder(s) could obtain an advantage in relation to the tender process or the contract execution.

(c) The Principal will exclude from the process all known prejudiced persons.

(2) If the Principal obtains information on the conduct of any of its employees which is a criminal offence under the IPC/ PC Act, or if there be a substantive suspicion in this regard, the Principal will inform Chief Vigilance Officer of RINL and in addition can initiate disciplinary action.

Section 2 - Commitments of the Bidder(s)/contractor(s) :

(1) The Bidder(s)/ Contractor(s) commits to take all measures necessary to prevent corruption. He commits to observe the following principles during his participation in the tender process and during the contract execution.

(a) The Bidder(s)/Contractor(s) will not, directly or through any other person or firm, offer, promise or give to any of the Principal's employees involved in the tender process or the execution of the contract or to any third person any material or other benefit which he/she is not legally entitled to, in order to

obtain in exchange any advantage of any kind whatsoever during the tender process or during the execution of the contract or to vitiate the Principal' s tender process or contract execution.

The Bidder(s)/ Contractor(s) will not enter with other Bidders into any undisclosed agreement or understanding, whether formal or informal. This applies in particular to prices, specifications,

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

40

certifications, subsidiary contracts, submission or non-submission of bids or any other actions to

restrict competitiveness or to introduce cartelization in the bidding process or to vitiate the Principal's tender process or execution of the contract. (c) The Bidder(s)/Contractor(s) will not commit any offence under the IPC/ PC Act; further the Bidder(s)/Contractor(s) will not use improperly, for purposes of competition or personal gain, or pass on to others, any information or document provided by the Principal as part of the business relationship regarding plans, technical proposals and business details including information contained or transmitted electronically.

(d) The Bidder(s)/Contractor(s) of foreign origin shall disclose the name and address of the Agent(s)/representative(s) in India, if any. Similarly the Bidder(s)/Contractor(s) of Indian Nationality shall furnish the name and address of the foreign supplier/contract Agency, if any. Further details, as mentioned in the Guidelines on Indian Agents of Foreign "Suppliers/contract agencies", shall be disclosed by the Bidder(s)/Contractor(s) wherever applicable. Further, as mentioned in the Guidelines, all the payments made to the Indian agent(s)/representative(s) have to be in Indian Rupees only.

Copy of the Guidelines on Indian Agents of Foreign "Suppliers/contract agencies" is enclosed.

(e) The Bidder(s)/ Contractor(s) will, when presenting his bid, disclose any and all payments he has made or

committed to or intends to make to agents, brokers or any other intermediaries in connection with the

award of the contract.

(2) The Bidder(s)/Contractor(s) will not instigate third persons to commit offences outlined above or be an

accessory to such offences. Section 3 - Disqualification from tender process and exclusion from future

contracts:

(1) A transgression is considered to have occurred, if the principal after due consideration of the available

evidence, concludes that a reasonable doubt is possible.

(2) If the Bidder(s)/Contractor(s), before award of contract or after award of contract has committed a transgression through a violation of Section 2 above or in any other form such as to put his reliability or

credibility in question, the Principal is entitled to disqualify the Bidder(s) from the tender process or to terminate the contract, if already awarded, for that reason, without prejudice to other remedies available to the Principal under the relevant GCC of the tender/contract.

(3) If the bidder/Contractor has committed a transgression through a violation of any of the terms under Section 2 above or in any other form such as to put his reliability or credibility into question, the Principal is entitled also to exclude the bidder / Contractor from future tenders/Contract award processes. The imposition and

duration of the exclusion will be determined by the principal keeping in view the severity of the transgression. The severity will be determined by the circumstances of the case, in particular the number of transgressions, the position of the transgressors within the company hierarchy of the bidder /Contractor and the amount of the damage.

(4) If it is observed after payment of final bill but before the expiry of validity of Integrity pact that the contractor has committed a transgression through a violation of any of the terms under Section 2 above during the

execution of contract, the Principal is entitled to exclude the Contractor from future tenders/Contract award processes.

(5) The exclusion will be imposed for a minimum period of six (6) months and a maximum period of three (3) years.

(6) If the bidder / Contractor can prove that he has restored/ recouped the damage to the principal caused by him

and has installed a suitable corruption prevention system, the Principal may revoke the exclusion before the expiry of the period of such exclusion.

Section 4 Compensation for Damages:

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

41

(1) If the Principal has disqualified the bidder from the tender process prior to the award in accordance with Section 3 above, the Earnest Money Deposit (EMD)/Bid security furnished, if any, along with the offer as per

the terms of the Invitation to Tender (ITT) shall be forfeited. This is apart from the disqualification of the Bidder as may be imposed by the Principal as brought out at Section 3 above.

(2) If the Principal has terminated the Contract in accordance with Section 3 above, or if the Principal is entitled to terminate the Contract in accordance with Section 3 above, the Security Deposit/performance bank guarantee furnished by the contractor, if any, as per the terms of the ITT/Contract shall be forfeited without prejudicing the rights and remedies available to the principal under the relevant General conditions of contract. This is apart from the disqualification of the Bidder, as may be imposed by the Principal, as brought

out at Section 3 above.

Section 5 - Previous transgressions:

(1) The Bidder declares that, to the best of his knowledge, no previous transgression occurred in the last five (05)

years with any Company or Organization or Institution in any country or with any Government in any country

conforming to the anti-corruption approach that could justify his exclusion from the tender process.

(2) If the Bidder makes incorrect statement on this subject, he can be disqualified from the tender process. The

contract, if already awarded, can be terminated for such reason.

Section 6 - Equal treatment of all Bidders / Contractors / Subcontractors:

(1) The Bidder(s)/Contractor(s) undertakes to demand from all his subcontractors a commitment in conformity with this Integrity Pact, and to submit it to the Principal before seeking permission for such subcontracting.

(2) The Principal will enter into agreements with identical conditions as this one with all Bidders and Contractors.

(3) The Principal will disqualify from the tender process all bidders who do not sign this Pact or violate its

provisions.

Section 7 - Criminal charges against violating Bidder(s) /Contractor(s)/ subcontractor(s):

If the Principal obtains knowledge of conduct of a Bidder, Contractor, Subcontractor or of any employee or a

representative or an associate of a Bidder/Contractor/ Subcontractor which constitutes corruption, or if the Principal

has substantive suspicion in this regard, the Principal will inform the same to CVO of RINL. Section 8 -

Independent External Monitor(s)(IEM(s)):

(1) The Principal appoints competent and credible Independent External Monitor(s) with clearance from Central

Vigilance Commission & Transparency International (India). The IEM(s) reviews independently, the cases referred to him/them to assess whether and to what extent the parties concerned comply with the obligations under this Integrity Pact.

(2) In case of noncompliance of the provisions of the Integrity pact, the complaint/noncompliance is to be lodged by the aggrieved party with the Nodal Officer only appointed by CMD/RINL. The Nodal Officer shall refer

the complaint / non compliance so received by him to the IEM, already appointed or to be appointed for that case.

(3) The IEM is not subject to instructions by both the parties and performs his functions neutrally and

independently. The IEM(s) will submit report to the CMD, RINL.

(4) The Bidder(s)/Contractors(s) accepts that the IEM has the right to access without restriction, to all tender/contract documentation of the Principal including that provided by the Bidder/Contractor. The Bidder/Contractor will also grant the IEM upon his request and demonstration of a valid interest, unrestricted and unconditional access to his tender/contract documentation. The same is applicable to Subcontractors also.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

42

The IEM is under contractual obligation to treat the information and documents of the Bidder(s)/

Contractor(s)/Subcontractor(s) with confidentiality.

(5) The Principal will provide to the IEM sufficient information about all meetings among the parties related to the tender/contract for the cases referred to IEM, provided such meetings could have an impact on the contractual relations between the Principal and the Contractor. The parties offer to the IEM the option to participate in such meetings.

(6) As soon as the IEM notices, or believes to notice, a violation of this pact, he will so inform the Principal and

request the Principal to discontinue or take corrective action or to take other relevant action. The IEM can in this regard submit non binding recommendations. Beyond this, the IEM has no right to demand from the parties that they act in a specific manner, refrain from action or tolerate action.

(7) The IEM will submit a written report to the CMD, RINL within four (04) to six (06) weeks from the date of

reference or intimation to him by the Principal and, should the occasion arise, submit proposals for corrective

actions for the violations or the breaches of the provisions of the agreement noticed by the IEM.

(8) IEM may also submit a report directly to the CVO of RINL and the Central Vigilance Commission, in case of

suspicion of serious irregularities attracting provisions of the IPC/ PC Act.

(9) Expenses of IEM shall be borne by RINL/VSP as per terms of appointment of IEMs.

(10)The word 'Monitor' means Independent External Monitor and would include both singular and plural. Section 9

- Duration of the Integrity Pact:

(1) This Pact comes into force upon signing by both the Principal and the Bidder/Contractor. It expires for the Contractor twelve (12) months after the last payment under the contract, and for all unsuccessful Bidders, six (06) months after the contract has been awarded and accordingly for the Principal after the expiry of respective periods stated above.

(2) If any claim is made/ lodged during the valid period of the IP, the same shall be binding and continue to be valid even after the lapse of this pact as specified above, unless it is discharged/determined by CMD of RINL.

Section 10 - Other provisions:

(1) This agreement is subject to Indian Law. Place of performance and jurisdiction is the Registered Office of the principal, i.e. Visakhapatnam, State of Andhra Pradesh, India.

(2) Changes and supplements as well as termination notices need to be made in writing. Side agreements to this pact have not been made.

(3) If the Contractor is a partnership firm/ consortium, this agreement must be signed by all partners/ consortium

members, or their Authorized Representative(s) by duly furnishing Authorization to sign Integrity Pact. (4) Should one or several provisions of this agreement turnout to be invalid, the remaining part of this agreement

remains valid. In this case, the parties will strive to come to an agreement to their original intentions. (5) Wherever he or his is indicated in the above sections, the same may be read as he/she or his/her, as the case may

be.

(For & On behalf of the

Principal) (For & On behalf of Bidder/

Contractor)

(Office

Seal)

(Office

Seal)

Place -------------

Date ---------------

Witness 1:

(Name &

Address)

Witness 2:

Name &

Address)

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

43

GUIDELINES FOR INDIAN AGENTS OF FOREIGN

SUPPLIERS/CONTRACT AGENCIES"

1.0 There shall be compulsory registration of Indian Agents of foreign suppliers/contract Agencies with RINL in respect of all Global (Open) Tenders and Limited Tenders. An agent who is not registered with RINL shall apply for registration in the prescribed Application Form.

1.1 Registered agent needs to submit before the placement of order by RINL, an Original certificate issued

by his foreign supplier/ contract Agency (or an authenticated Photostat copy of the above certificate duly attested by a Notary Public) confirming the agency agreement and giving the status being enjoyed by the agent along with the details of the commission /remuneration /salary /retainer being paid by them to the agent(s).

1.2 Wherever the Indian representative has communicated on behalf of their foreign supplier/contract Agency and/or the foreign supplier/contract Agency have stated that they are not paying any

commission to their Indian agent(s) but paying salary or retainer, a written declaration to this effect given by the foreign supplier/contract Agency should be submitted before finalizing the contract.

2.0 DISCLOSURE OF PARTICULARS OF AGENT(S)/REPRESENTATIVE(S) IN INDIA, IF ANY:

2.1 Bidders o f Foreign nationality shall _ furnish the _ following details in their quotation/bid: 2.1.1 The name and address of their agent(s)/representative(s) in India, if any, and the extent of authorization

and authority given to them to commit them. In case the agent(s)/representative(s) is a foreign Company, it shall be confirmed whether it is a really substantial Company and details of the company shall be furnished.

2.1.2 The amount of commission/remuneration included in the quoted price(s) for such

agent(s)/representative(s) in India. 2.1.3 Confirmation of the Bidder that the commission/remuneration if any, payable to his

agent(s)/representative(s) in India, may be paid by RINL in Indian Rupees only.

3.0 DISCLOSURE BY INDIAN AGENT(S) OF PARTICULARS OF THEIR FOREIGN

SUPPLIER/CONTRACT AGENCY AND FURNISHING OF REQUISITE INFORMATION:

3.1 Bidders o f Indian Nationality shall furnish the following details/certificates in/along with their offers:

3.1.1 The name and address of foreign supplier/contract agency indicating their nationality as well as their status, i.e., manufacturer or agent of manufacturer holding the Letter of Authority.

3.1.2 Specific Authorization letter by the foreign supplier/contract agency authorizing the agent to make an

offer in India in response to tender either directly or through their agent(s)/representative(s). 3.1.3 The amount of commission/remuneration included for bidder in the price (s) quoted

3.1.4 Confirmation of the foreign supplier/contract Agency of the Bidder, that the commission/remuneration,

if any, reserved for the Bidder in the quoted price (s), may be paid by RINL in India in equivalent

Indian Rupees.

4.0 In either case, in the event of materialization of contract, the terms of payment will provide for

payment of the commission/remuneration payable, if any, to the agent(s)/representative(s) in India in

Indian Rupees, as per terms of the contract.

4.1 Failure to furnish correct information in detail, as called for in para 2.0 and/or 3.0 above will render the

bid concerned liable for rejection or in the event of materialization of contract; the same is liable for

termination by RINL. Besides this, other actions like banning business dealings with RINL, payment of

a named sum etc., may also follow.

Note: The following persons have been appointed as Independent External Monitors (IEMs) to oversee the

implementation of 'Integrity Pact' in RINL.

1. Sri PC Parakh, IAS (Retd.) ] (for details please see our

2. Sri V Velayutham, Ex.DG (RD)&SS ] website www.vizagsteel.com)

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

44

ANNEXURE-14

LETTER OF INTENT (LOI)

To

M/s. ________________

Dear Sir,

Sub: Our Tender Notice No NR/KPR/SPU/13-14/02/374 Dt.28.06.13for conversion of TMT Rebars under

SPU- Conversion arrangement at Patna.

Ref: Your Tender Quotation dt ..................... in response to the subject Tender Notice.

1 Please refer to your above Tender Quotations opened on ......................... and also (strike out whatever

is

not applicable) the subsequent negotiation held on ........................ and/ or your correspondence dated

2 We have the pleasure to inform you that your above tender has been accepted by us. You are,

therefore, requested to submit BG towards Security Deposit for performance of the contract for

Rs to us on or before ....................... , the following documents, amongst others, as already

stipulated in the Tender Terms.

3 Further , You shall adhere to the following schedule of activities with regard to setting up of the Unit i.e

installation and commissioning of Steel Processing Unit.

(a) Land Acquisition and land levelling . . . . Within 4 months from the date of issue of LOI

(b) Erection and Commissioning of

Equipment .................. Within 12 months from the date of issue of LOI

(c) Submission of documents and . . . Within one years 9 months from the date of

Commencement of commercial . . . . issue of LOI.

Production

(d) In case of failure to reach the milestones as mentioned above, fine shall be recovered/ adjusted

from the S.D as below:

For (a) . . . . Rs 5 lakhs

For (b) ......... Rs 10 lakhs

For (C ) . .. Balance SD

Separate BGs for amounts as mentioned at Point 4 of ITT to be submitted by prospective SPU. The

Security Deposit shall not carry any interest. . BG should be valid for a period of Three [03] years from

the date of LOI extendable by 2 terms of 3 Years & 2 years respectively and there after 2 more terms

of 3 years and 2 years respectively.[3Y+3Y+2Y+3Y+2Y=13 Years.].Extension of BG to be done at

least 3 months ahead of expiry. In case the BG extension is not received from the SPU within a period

of 3 months before expiry of the BG, RINL has an option to encash the BG, and reserves the right to

terminate the contract

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

45

In case of failure to reach any or both of the first two milestones, SPU has to make good the forfeited

amount to ensure that the SD amount as stipulated in the tender is submitted to RINL. Original BIS

Certificate and process license or undertaking for submission.

Any other documents necessary as per the local conditions

4. In the event you fail to submit the above document(s) within the prescribed time, the acceptance

of your tender shall be withdrawn and you will be held responsible for all consequences.

5. On your compliance of the above within the time and prescribed herein, we shall issue you a Work

Order enabling you to commence Conversion work envisaged under the contract awarded to you.

On non compliance/ non submission of any of the documents indicated above by the date indicated at

para 2 above, the EMD/SD deposited by you shall be liable for forfeiture/encashment by the

Company and you may be debarred from participating in future tenders for Conversion.

Till the date of signing the agreement, this LOI along with Tender, NIT, ITT, Terms and conditions, all other

Annexures and the letters under reference shall be considered as contract.

Please acknowledge receipt.

Thanking you,

Yours faithfully,

For Rashtriya Ispat Nigam Limited

Sr Branch Manager

** to be deleted wherever required.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

46

ANNEXURE -15

PROFORMA AGREEMENT FOR STEEL PROCESSING UNIT (SPU) ARRANGEMENT OF

RASHTRIYA ISPAT NIGAM LIMITED AT PATNA, BIHAR.

Contract No./Ref. No ...................................................... dated ................

THIS AGREEMENT made on this ............... day of ....................... between the Rashtriya Ispat Nigam Limited (RINL) , a Govt. Company incorporated under the Companies Act, 1956 having its registered office at

Administrative Building, Visakhapatnam Steel Plant, Visakhapatnam 530 031 and also having interalia one of its Branch Sales Office (BSO) at Patna hereinafter referred to as 'The Company' (which expression shall wherever the subject or the context so requires shall include its successors and assigns) of the ONE PART AND M/s .............................................. A Company/Partnership Firm or Proprietorship Firm (as the case may be) having their Registered Office/principal place of business at .................... hereinafter referred to as 'The Steel

Processing Unit (SPU) (which expression shall wherever the subject or the context so requires shall include

their successors and permitted assigns) of the OTHER PART.

WHEREAS the Company has issued advertisement for appointment of SPU at Patna on the terms and

conditions as specified in the Tender documents as well as in its Annexures.

AND WHEREAS the SPU has submitted the Tender for appointment of SPU as per the terms and conditions

and rates specified in the Tender which has been accepted by the Company and the job of Production/

Conversion of steel materials at ..................... (place) has been awarded to the SPU vide its Work Order

No ........................ dated ..................................

AND WHEREAS it has been considered necessary and expedient to incorporate the terms and conditions as

contained in the Tender documents in an instrument in writing.NOW THESE PRESENT WITNESSETH and it

is hereby agreed to and declared by and between parties hereto as follows: -

1. In consideration of the payments to be made by the Company in terms of the contract, the SPU covenants and agrees with the Company to undertake the job of Production/ Conversion of Steel materials at Patna in the manner required and the SPU agrees to do all such Conversion job strictly as per the terms and conditions as are mentioned in the Tender documents referred to in the various Annexures as under.

2. The various Annexures set out below and hereby annexed and marked as Annexures-1 to 24 and Annexure A

mentioned hereunder shall constitute the contract for the purpose of construction, interpretation and effect

thereof.

(a) Annexure - 1 Notice inviting Tender

(b) Annexure - 2 Instructions to Tenderers

(c) Annexure - 3 Terms & Conditions of SPU.

d) Annexure- 4 Solvency Certificate to be issued by Bankers

(e) Annexure - 5,6,7,8,9 Schedule of SPU Charges

(f) Annexure - 10 Bank Guarantee towards performance

(g)Annexure - 11 Bank Guarantee Towards Financial coverage

(h) Annexure -12 Custody & Indemnity Bond for SPU Contract

(i) Annexure - 13 Integrity Pact format

(j) Annexure - 14 Letter of Intent

(k) Annexure- 16 Format for Work Order.

(l) Annexure - 17 No claims certificate

(m) Annexure- 18 weekly report of conversion details

(n) Annexure- 19 Roles and Responsibilities of Third Party Inspection agency

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

47

(o) Annexure - 20 Format for Test Certificate (p) Annexure - 21

Roles and responsibilities of RINL In-charge (q) Annexure- 22

Covering Letter for submission of Tender (r ) Annexure- 23

Consent for E-payment (s) Annexure - 24 Check list

3. In consideration of the due performance, execution and completion of the job strictly in terms of this

Agreement, the Company covenants and agrees to pay to the SPU such sum(s) as may become payable to the

SPU as the agreed rates as borne out by the Schedule of Conversion Charges referred to in the Annexure-

5,6,7,8,9 of Clause 2 above.

4. The Agreement shall be effective from ........... (date) and shall remain in force for a period of Five [05] years

from the date for commencement of work as mentioned in the Work Order unless terminated earlier by the

Company.

5. No modification of this Contract shall be valid and binding upon the parties hereto unless the same are made

in writing and are signed by the parties and termed as an amendment to the Contract.

6. Failure to enforce any of the terms and conditions contained in this Contract shall not operate as a waiver of the terms and conditions or be construed as breach thereof.

IN WITNESS WHEREOF the parties hereto have executed these present on the day, month and year above

written at ............... (Name of the place)

Name & Signature of

For and on behalf of

Wet Leasing Agent

Sr Branch Manager

For and on behalf of Rashtriya

Ispat Nigam Limited

WITNESSE

S

WITNESSE

S

1. ______________________ 1. __________________________

2. _____________________ 2 . ____________________________

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

48

ANNEXURE-16

WORK ORDER

To,

M/s. ______________

Dear Sir,

Sub: Our tender Notice No

Ref: i) Your tender No ........................ dtd ...............

ii) Our letter no ............ dtd .............

(Letter accepting tender)

iii) ............................................ Your letter No dtd

(Letter under cover of which documents indicated in letter accepting tender have been produced by the successful

tenderer).

This has reference to your letter no ................ dtd ............ under cover of which you have submitted the documents as

indicated in our letter no ........................ dtd ............ (Letter of Intent) .We are issuing this work order to enable you

to commence the work under the Wet Leasing Contract immediately/ on and from ............ (date).

You are advised to submit Bank Guarantee for financial coverage for material as per the Proforma at Annexure-11)

from a scheduled Bank and Custody-cum-Indemnity Bond (Annexure -12) for due performance of all the obligations

under the contract.

Thanking you,

Yours faithfully, For and on behalf of

RASHTRIYA ISPAT NIGAM

LIMITED. SR BRANCH MANAGER

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

49

Annexure-17

PROFORMA FOR NO-CLAIM CERTIFICATE

To,

The Sr Branch Manager

BSO Patna

Dear sir,

Sub: No claim certificate I/WE hereby certify that, except for the unpaid bills mentioned

hereunder for work done as per our

Contract No .............. dated .......... with you for conversion of RINLs Cast Billets/MSMM Bilelts in

to TMT Rebars, I/WE have no claims against your Company.

Bill no. Date Amount

Further it is to inform that this certificate is issued without prejudice to the pending claims (if any) against RINL by

us.

Date:

(Signature of the Contractor)

Place:

Name of the signatory:

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

50

ANNEXURE - 18

PROFORMA FOR REPORTING WEEKLY STATUS OF

CONVERSION UNDER SPU-CONVERSION

Position as on .......

A) Conversion details and stock

Stock of Semis as on beginning of the

month (MT)

Semis received during the fortnight (MT)

Size wise Conversion done (MT)

Stock of converted product held (MT)

Stock of semis in hand (MT)

B) Supply position

D.O. No. & Date

Size Quantity

(MT)

Qty

delivered during the week (MT)

D.O. Balance (MT)

C) Please remit payment of Rs. __________ (Rupees ___________ ) towards SPU charge.

Signature with Seal

(Name & Add of SPU) To The Branch Manager Branch Sales Office

Patna

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

51

ANNEXURE 19

ROLES AND RESPONSIBILITIES OF THE THIRD PARTY INSPECTION AGENCY (TPIA) FOR SPUs

The TPIA will be required to assume full responsibility on behalf of RINL in regard to receipt of Semis(cast billets/MMSM billets), production, quality and despatch of finished steel at SPU premises related to RINL's contract with its Steel Processing Unit (SPU). This would include inspection of raw materials and finished products through

the SPU route as well as of despatch clearance.

Further, they should also ensure that

(1) The finished products converted with RINL embossing under the contract are produced only from the raw

materials supplied to the SPU by RINL for the purpose.

(2) The materials having RINL' s embossing is delivered by the SPU only against delivery orders issued by

RINL.

(3) No material rolled by SPU out of raw materials not issued under SPU contract should have RINL embossing.

The TPIA will be required to take all actions that are in the interest of RINL in operation of the contract with SPU.

The TPIA shall be required to carry out following tasks

1. To certify chemical composition (by witnessing, Testing in Spectrometer/ Stolhor's apparatus), mechanical properties(by witnessing Tensile test in UTM, Bend Test, Hardness Test in Brinel/Vickers machine and Fracture test through Charpy machine) and microstructure pattern of the products rolled based on sample testing, drawn as per sampling plan detailed below. The inspection will be carried out as per the Quality Assurance Plan drawn and the TPIA should inspect/ supervise testing accordingly.

2 To certify that the material tested meets the requirements of the ordered specification of RINL on the SPU in all respect as given in the IS/RINL specification for that grade including tolerances, surface characteristics etc.

3 To certify that proper tracing back of the tested sample has been done up to the raw material stage and they

have been rolled from the raw material supplied by RINL to the Steel Processing Unit.

For the same, the TPIA should witness all operational activities like witnessing receipt of RINL' s raw materials

in SPU's yard, ensure appropriate marking and stacking of the semis at the designated location, witness cutting

(if carried out) and charging of RINL's semis in the furnace and subsequent rolling into finished products.

Further, in order to facilitate the tracing back, the TPIA should ensure proper maintenance of the master log book by the SPU, as may be required, detailing the lot number, size, grade, vehicle number, date of receipt, TC number of the plant, Heat No., chemical composition as given in the TC, No. of pieces received, results of visual inspection carried out, check analysis report on chemical composition on the input side and should assign

a unique lot No. per vehicle load.

In case of variations beyond prescribed limit of IS/RINL specification between heat and product analysis of

input material, the chemical composition of input material should be got retested by the third party Inspection

Agency and recorded under his signature. Only if the same are established to be within prescribed limit of IS/

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

52

RINL specification the rolling should be undertaken. Any Semis(Cast billets/MMSM billets) found unsuitable

for Rolling will be sent back to the stockyard under the Joint inspection of TPIA, SPU & Branch Officials.

On the output side, sizes of material rolled, grade, tonnage, date of rolling and results of mechanical and chemical testing should be entered into against the unique lot No. allotted. When the material of that inspected lot is despatched from the premises of the SPU the challans No., Test Certificate

No. issued, Vehicle No., and date of despatch and destination should be entered into against the unique lot No. allotted. The same unique lot No. should also be assigned to the final product. In the master log book, the third party Inspection Agency should affix his signature with the date of inspection of the lot. This will enable complete tracing back of the finished material up to the raw material stage.

4. To countersign and certify the test certificate issued by the SPU with their official seal. TPIA should also

ensure that the TC's issued for the finished products contain the Heat Number, (available from the Test

certificate issued from the plant as corresponding link to the Semis), along with Lot Nos. allotted before

countersigning the TC's.

5. To also affix their seal on the tag of the product bundle. 6. Submission of report to the Sr Branch Manager on daily basis, listing out the lot numbers inspected and

certified by them detailing the size, grade, tonnage and date of inspection/certification of both input and output products.

7. The following sampling plan will have to be followed by the TPIA:

a) In case of Reinforcement Bars, one sample per 10 Mt or part thereof should be tested. In case different

sizes are rolled, one sample from each size out of 10 Mt of that size should be tested.

b) In case of Structurals, one sample per 5 Mt on one size should be tested.

8 a) Deployment of TPIA personnel at the premises of SPU on 24 hrs basis is the essence of the contract.

b)The TPIA shall deploy their employees at SPU's premises (as the case maybe) from the date of commencement of work as stipulated in the Work Order.

c) TPIA shall employ for RINL' s work under this contract only those inspectors who have minimum

Educational qualification of a Graduate Degree in science/ Engineering Degree/Diploma, preferably with qualifications & experience in Testing & inspection.

d) RINL reserves the right to seek replacement of unsuitable inspector. RINL's decision in this regard shall be final.

e) Successful tenderers' representative(s) shall maintain a daily attendance register which will be kept at the

SPU premises at all times.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

53

ANNEXURE-20

TEST CERTIFICATE

RINL TMT/ STRUCTURALS

(Name of the SPU) Steel Processing

Unit of RINL for the year (Address of the

Reroller)

ISI

MARK

(BIS License No.)

REGULAR TEST CERTIFICATE INFORMATION

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

54

ANNEXURE-21

ROLES & RESPONSIBILITIES OF STEEL PROCESSING UNIT INCHARGE (RINL)

1. PRIMARY ROLE:

Responsible for overseeing the conversion process through SPU at the location and

Implementation of the SPU agreement.

2. REPORTING/RELATIONSHIP :

Reporting Officer: Concerned Sr B.M.

3. FUNCTIONS AND RESPONSIBILITIES:

A Implementation of Terms and Conditions of SPU Contract.

B. Planning of input material, Regular Test Certificate information.

C. Ensuring through close Supervision, Receipt, appraisal, proper Stacking and identification of semis (Cast

Billets/MMSM Billets), Documentation thereof and linkage with test certificates.

D. Production in consultation with RM/Sr BM and SPU.

E. Ensuring sample testing of finished products and record keeping thereof.

F. Ensuring through close supervision, bundling painting, marking/tagging of converted materials.

G. Ensure proper linkage exists between finished & input material through proper documentation and records.

H. Conduct random test checks of finished product samples.

I. Ensuring regular calibration of the weigh-bridge(s) of SPU and maintenance of records of zero error readings.

J. Coordination with concerned branch/stockyard for placement of vehicles.

K. Facilitating delivery of finished goods, through scheduling of vehicles.

L. Drawing schedules for delivery of materials from SPU; i.e to Customers, concerned stockyard and other

Stockyards (if required).

M. Calculating the cost of economics for stock transfer to various stockyards.

N. Facilitate the process of third party inspection.

O. Coordination of activity related to rejection of finished materials.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

55

ANNEXURE-22

COVERING LETTER FOR SUBMISSION OF TENDERS

To, The Sr Branch Manager Branch Sales Office,Patna Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant Dear Sir,

Sub: Tender for entering into contract as Steel Processing Unit of Rashtriya Ispat Nigam Limited for Production / Conversion of TMT rebars at Patna Bihar.

1. Subject to the instructions and conditions given in the tender document, terms and conditions of contract and draft agreement annexed thereto, I/We hereby tender for the contract for working as Steel Processing Unit for Rashtriya Ispat Nigam Ltd. I/We hereby certify that I/We have examined and am/are familiar with all the provisions of this tender document and agree to abide by all the terms and conditions laid therein.

2. The following certificates/documents are enclosed:

- My self declaration stating that I have the resources to undertake the SPU Conversion job envisaged in the tender.

Self Declaration as to whether I have any relative within the meaning of Section 6 read with Schedule 1A of the Companies Act 1956, employed in any capacity in RINL. This tender document with all pages intact

and duly signed by the authorized person.

3. A sum of Rs. ______________ (Rupees _____________________ ) only is forwarded herewith as Earnest

Money in the form of demand draft / PO / Banker's Cheque No. _________ drawn on _______________ in

favour of Rashtriya Ispat Nigam ltd payable at ___________ .

4. I/We agree to keep this tender open for a period of 120 (One Hundred Twenty) days from the

date fixed for opening and the same cannot be withdrawn from the said period of 120 (One hundred

Twenty) days or until a contract for the said work is fully executed, with a third party, whichever is earlier.

5. I/We do hereby declare that the entries made in the tender document and the annexures /appendices

attached there are true.

Yours faithfully,

Signature of authorised representative of Tenderer Name of the authorised signatory): Tenderer's

address:

Telegraphic

Address: Telephone

Numbers: E-Mail

Address:

Signature of Witnesses Address of Witnesses 1. ___________________________

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

56

Annexure-23

CONSENT FOR E - PAYMENT

From

To

Sr BM,

BSO Patna

Sub :Consent for E-Payment

Ref : Contract /WO No :

" I/We hereby convey our consent that the payment made by RINL/VSP of any sum due to me /us, directly remitting

the same to my /our Bank, the address and the number of which is furnished shall be in full discharge of the

particular bills, raised by me/us and I/We shall not have any claim in respect of the same.

Undertaking:

"I/We hereby undertake that any payment made direct to me/us or to bank account shall be in full discharge of the

obligations of RINL/VSP and I/We shall have no claim whatsoever in respect of the bill for which the payment is

made."

I/We opt for EFT/Direct Credit (Strikeout whichever is not applicable)

I/We furnish here below the bank account details:

Name of the Bank

Branch Name, place and MICR Code of the Branch

Account Number in full

Type of Account

Name and style of account

For _________________ & Company

Authorised Signatory /Proprietor

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

57

Annexure-24

Check List

1. Part-A is submitted in a sealed cover along with following documents

(i). EMD in the form of DD/PO/BG Yes/No (ii) Cost of tender documents in case of down loading from website Yes/No 2. Part-B is submitted in a sealed cover along with following documents-5 sets

(Original + 4 copies)

(i)Covering Letter duly signed Yes/No

(ii) Tender documents issued by RINL/VSP (or) Tender documents Yes/No down loaded from VSP's website duly signed on all pages

3. Other Documents along with Part-B (5 sets -(Original + 4 copies))

(i)Land Documents/Undertaking

(a)In case of own land: Copy of title deed in the name of the tenderer Yes/No

(b)In case of Leased Land: Registered Lease Agreement for eight years along with title deed of the offered land in the name of the lessor/lessors

(ii) PF registration Certificate or an Undertaking to submit the same before Yes/No Commencement of work

(iii) ESI Registration Certificate (if applicable) or an Undertaking to submit the Yes/No same before commencement of work

(iv) Notarised Affidavit (Original) Yes/No (v)Details of the tenderer Yes/No

(a)Copy of partnership deed and proof of registration of the firm for Partnership firms (b)Copy of Articles and Memorandum of

Association for Companies (vi)Solvency Certificate as per the prescribed format (Original) Yes/No

(vii)List of equipments proposed to be deployed Yes/No (viii)Copy of Service Tax registration Certificate (if applicable) Yes/No (ix)Details of the land proposed for the SPU along with dimensional sketch Yes/No (x) Blank price bid format duly signed on all pages Yes/No (xi) Integrity Pact format duly signed on all pages Yes/No

4. All the copies being submitted are duly authenticated by notary Yes/No

5. Any other relevant documents submitted Yes/No 6. Part-C (Price bid) is submitted in a separate sealed cover Yes/No

RINL VIGILANCE TOLL FREE NUMBER 1800 425 8878

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

58

Annexure-25

FORM OF BANK GUARANTEE FOR EMD

(ON NON JUDICIAL STAMP PAPER OF VALUE NOT LESS THAN Rs 100/- PURCHASED IN THE

NAME OF EXECUTING BANK)

(FROM A SCHEDULE BANK)

1. Name & Address of the Bank:

(Full Postal Address &PIN code to be given)

2. Bank Guarantee No. & Date:

3. Limit of liability: _______________

4. Expiry Date: One Year from the date of issue of BG

5. Tender Notice Ref No ____________________ Date_____________

6. Name of the work: For Handling and storage of Iron and Steel Materials of

VSP at Ludhiana Stockyard and transportation of Steel consignments from stockyard to customer

premises/other stockyards of RINL/VSP.

--------------------------------------------------------------------------

To

Rashtriya Ispat Nigam Ltd.,

Visakhapatnam Steel Plant

Visakhapatnam 530 031 (AP)

Sub: Earnest Money Deposit.

1. In consideration of M/s Rashtriya Ispat Nigam Limited, Visakhapatnam Steel

Plant having its registered office of Administrative Building, Visakhapatnam

530 031 (hereinafter called “the Company”) which expression shall unless

repugnant to the subject or context includes his successors and assigns having

agreed to exempt M/s……………………………. (hereinafter called “the tenderer”) from

demand under the terms and conditions of the tender No. ………………. Dt……………………

issued by the Company for the work for Handling and storage of Iron and Steel

Materials of VSP at Ludhiana Stockyard and transportation of Steel

consignments from stockyard to customer premises/other stockyards of

RINL/VSP.(hereinafter called the said “Document”) from deposit of Earnest

Money for the due fulfillment of the tenderer of terms and conditions

contained in the said documents on production of a Bank Guarantee for

Rs………………………. ……………………………(Rupees……………………………………only).

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

59

2. We, the …………. Bank (hereinafter referred to as “the said Bank”) a Company

under the Companies Act, 1956 and having our Registered Office at…………………….. do

hereby undertake and agree to indemnify and keep indemnified the Company to

the extent of Rs………………… of (Rupees……………….only) against any loss or damage

costs, charges and expenses caused to or suffered by or that may be caused or

suffered by the Company by reasons of any breach or breaches by the tenderer

of any of the terms and conditions contained in the said documents and

unconditionally pay the amount claimed by the Company on demand and without

demur to the extent aforesaid.

3. We, the …………………,Bank further agrees that if the tenderer commits any

breach of the terms and conditions of the said documents in respect of which

the tenderer has been exempted from depositing the Earnest Money because of

the guarantee furnished by the Bank to the Company and the Company has become

entitled to forfeit the Earnest Money or any part thereof, the Bank hereby

unconditionally and irrevocably agrees and undertakes to pay to the Company on

demand and without demur the amount of the Earnest Money required to be

furnished by the tenderer under the conditions of the said documents in

respect of which the breach is committed to the extent of

Rs….../USD…………/EURO………….(Rupees/USD/EURO …………………..only).

4. We, the ……………, Bank further agrees that the company shall be the sole judge

of and as to whether the tenderer has committed any breach or breaches or any

of the terms and conditions of the said documents and the extent of loss,

damage, costs, charges and expenses caused to or suffered by or that may be

caused to or suffered by the Company on account thereof to the extent of the

Earnest Money required to be deposited by the tenderer in respect of the said

document and the decision of the Company that the tenderer has committed such

breach and as to the amount or amounts of loss, damage, costs, charges and

expenses caused to or suffered by or that may be caused to or suffered by the

Company shall be final and binding on us.

5. We, the said Bank, further agree that the guarantee herein contained shall

remain in full force and effect until it is released by the company, provided,

always the guarantee shall in no event remain in force after the ………………day

of…………… without prejudice to the claims of the Company arisen and demanded

from or otherwise notified to us in writing on or before the said date which

will be enforceable against us not withstanding that the same are enforced

after the said date.

6. The Company shall have the fullest liberty without affecting in any way the

liability of the Bank under this guarantee or Indemnity from time to time to

vary any of the terms and conditions of the said contract supply or to extend

time of performance by the tenderer or to postpone for any time and from time

to time any of the powers exercisable by it against the tenderer and either to

enforce or forbear from enforcing any of the terms and conditions governing

the said document or securities available to the Company and the said Bank

shall not be realized from its liability under these presents by any exercise

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

60

of the Company of the liberty with reference to the matters aforesaid or by

reason of time being given to the tenderer or any other forbearance act or

omission on the part of the Company or any indulgence by the Company to the

tenderer or of any other matter or thing whatsoever which under the law

relating to sureties would but for these provision have the effect or so

releasing the Bank from its liability

7. It shall not be necessary for the Company to proceed against the tenderer

before proceeding against the Bank and the guarantee herein contained shall be

enforceable against the Bank not withstanding any security which the Company

may have obtained or obtain from the tenderer shall at the time when

proceeding (s) are taken against the Bank hereunder be outstanding or

unrealized.

8. We, the said bank lastly undertake not to revoke this guarantee during its

currency except with the previous consent of the Company in writing and agree

that any change in the constitution of the Company or the tenderer, the Bank

shall not discharge our liability hereunder.

9. We (mention the name of the Bank), hereby agree that any claim due and

arising under this guarantee shall be enforceable against our Bank’s Branch --

---------------------(mention the name and address of the Branch ) at

Ludhiana(VSP’s controlling Branch city) and they shall honour such demand in

any case not later than next working day.

10. Issuance of this Bank Guarantee may also be got confirmed from our

controlling branch/ office/higher Authority as per the name & address

mentioned below:

________________________

________________________

Place …………………….. Signature ……………………….

Date ……………………… Name ………………………………

Note: Instructions to the Bank: Not to be reproduced in the Bond Paper.

The following are to be filled up in the blank space indicated thus:

All pages of bank guarantees shall have the Rubber Stamp and signature of the

Officer of the Bank.

All corrections shall be attested by Rubber Stamp and Stamp of the Officer of

Bank.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

61

Annexure- A

Suggestive Specifications for Minimum 72000 TPA New TMT Bar Mill with alliedfacilities

1 INTRODUCTION

It is proposed to establish new TMT Bar Mill with new machineries with annual capacity of Minimum 72000 tpa.

The proposed mill shall produce TMT rebars of dia. 8-32 mm in straight lengths from Cast Billets 150x150 mm

/200x200mm / and Rolled Billets of size 90x90mm/75x75mm/65x65mm input billets. It will be a semi-continuous,

cross country type, single strand configuration Mill. The proposed requirement of land is around 12 acres.

2 TECHNOLOGICAL PARAMETERS

The proposed mill shall have technological parameters as given below:

Mill Capacity : 72000 tpa

• Working days / year : 307 days

• Working pattern: 3.shifts (8 h)

• Available hours / year : 7368 h

• Mill utilisation : Min 6000 T per month.

• Overall yield : 95%

• Power requirement : 120 kWh/t

• Hot hours / year : 5526 h

• Required rolling rate : 18-20 tph

• Input material : Rolled / Concast billets

• 1500 mm (two rows)

• 3000 mm (single row)

• Finished product: TMT bars in straight lengths dia. 6-32 mm.

3 PROCESS DESCRIPTION

The mill shall have the configuration of single strand rolling. The mill shall have a pusher type reheating furnace of

adequate size to discharge billets at a rate of 20 tph to the mill.

The full length rolled / concast billets shall be received from rail / road transport.

The billets shall be unloaded and stacked in racks in the yard. The billets of full length received shall be cut (gas /

shear) to required length and stacked in cut billet racks. The billet yard shall have adequate space to store purchased

billets stock of 15 days and cut billet stock of 7 days.

The cut billets shall be placed on charging grids by EOT crane, from where they shall be placed on charging roller table in lots. The charging roller table shall carry the billets in front of furnace pusher. Billets in single row / double row depending on the size shall be pushed inside the furnace by the furnace pusher.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

62

The heated and soaked billets, one at a time, shall be discharged on the discharge roller from the furnace at 1150-1250 0C by the ejector. The billet shall be made to fall on the mill approach table by the discharge skid mechanism.

The primary scale generated in the furnace shall get removed from the billet during this process.

The billet shall be taken into the 3 Hi mill stand of the roughing mill train. The billet will undergo multi-pass reduction with the help of roller tables, tilting table and tilting mechanism. The rolled stock shall then enter the alternate 2 Hi mill stands of the roughing mill trains and undergo continuous rolling through inter stand connecting repeaters.

The front end of the rolled stock shall be cropped in a crop cum cobble shear before it is taken to the intermediate mill train by a guide channel and pinch roll.

The rolled stock shall undergo reduction in the alternate 2 Hi stands of this mill train connected by repeaters. The

rolled stock shall then enter the alternate 2 Hi /continuous 2 Hi stands of the finishing mill train for further reduction

to finished size.

The rolled bar shall be quenched in the water cooling tubes of the TMT line. The TMT bars (quenched bars) shall be taken to the cooling bed after being cut in the dividing shear. The quenched bars shall be normailsed in natural air during stay in the cooling bed and shall gain the desired metallurgical properties of TMT bar. The cooled TMT bars

shall then be taken in lots by the delivery roller table to the cold shear for cutting into marketable lengths.

The cut TMT bars shall be bundled, tied and stored in the storage bay for dispatch.

4 MAJOR FACILITIES:The proposed mill shall be installed in a total area of about 30,000 to 40,000 m2.

The brief description of the proposed mill shall be as mentioned below:

1) Common facilities

i) Billet yard

ii) Reheating furnace of suitable capacity

iii) Mill trains:

• Roughing mill

• Intermediate mill

• Finishing mill

iv) Crop cum cobble shears

v) Cooling train comprising of water cooling boxes, etc.

2) Facilities for line producing TMT bars in straight lengths.

i) Pinch roll

ii) Dividing shear

iii)Cooling bed with roller tables

3) Facilities for storage & handling

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

63

4) Arrangement of bulk power supply from state electricity board and for transmission of power

5 DESCRIPTION OF MAJOR FACILITIES

5.1 BILLET YARD

Billets shall be stored in stacks in the billet yard. Two furnace charging grates of suitable size shall be

provided in the billet yard for charging of billets to the reheating furnace by means of charging roller tables.

Billets shall be loaded on charging grates by overhead EOT crane of the billet yard. The charging grates

shall have the facilities of rejecting the billets, if required.

5.2 REHEATING FURNACE

The mill shall have a pusher type of reheating furnace with end charging and side discharging facilities. The

capacity of the furnace shall be suitable to the mill configuration and working pattern of the mill. The

billets shall be heated and soaked upto a rolling temperature about 1250oC. Heated and soaked billets shall

be ejected from the furnace by means of ejector mechanism.

5.3 BILLET FEEDING MECHANISM TO THE MILL TRAIN

The proposed mill shall have a single strand configuration. A draw out pinch roll drive mechanism shall

ensure complete trouble free ejection of billets, from the furnace and feeding to the mill.

5.4 ROUGHING MILL TRAIN

The roughing mill train shall consist of adequate number of mill stands of suitable size. The first stand shall

be a 3 Hi horizontal mill stand and subsequent stands shall be of alternate 2 Hi horizontal configuration.

The mill stands shall be connected by repeaters. The mill stands shall be driven by a common main drive

motor of adequate capacity with suitable gear box and pinion stand.

5.5 INTERMEDIATE MILL TRAIN

The intermediate mill train shall consist of adequate no of 2 Hi horizontal mill stands of suitable size. The

mill stands shall be connected by repeaters. The stands of this mill train shall be driven by a common main

drive motor of adequate capacity with suitable gearbox and pinion stands. The mill train can have

provisions of speed increaser, if required.

5.6 CROP CUM COBBLE SHEAR

The crop-cum-cobble shear shall be provided after roughing mill trains. The crop-cum cobble shear shall

cut the front end and the back end of the rolling stock to ensure smooth entry to the intermediate mill train.

The crop-cum-cobble shear shall be provided with crop removal system.

5.7 FINISHING MILL TRAIN

The finishing mill train shall consist of adequate no. of 2 Hi horizontal mill stands with direct drive of

suitable size. The mill train shall consist of drive motor with reduction gear box cum pinion stands. The

intermediate and finishing mill trains shall be connected by repeaters if required.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

64

5.8 COOLING TRAIN WITH WA TER COOLING BOXES

The mill shall have cooling train with water cooling boxes for production of TMT bars.

5.9 FACILITIES FOR LINE PRODUCING TMT BARS IN STRAIGHT LENGTHS

5.9.1 Pinch Roll and Dividing Shear

The rolling stock from cooling train shall be fed to a pinch roll unit with bifurcator and a dividing shear.

This unit shall ensure the proper transportation of cut pieces to the cooing bed.

5.9.2 Cooling Bed with Roller Tables

The cut pieces shall be accommodated on cooling bed of adequate size. The cooling bed shall be provided

with run-out roller table for smooth conveyance of cut pieces to cold shear.

5.10 Cold Shear

The long pieces from cooling bed shall be cut to marketable lengths by this cold shear. The cold shear shall

have measuring gauge, roller tables and the transfer rack with cradles.

5.11 ELECTRICS

5.11.1 HT Power Supply Scheme

The envisaged specific consumption of electricity per tonne of finished products shall be about 120 kW/t. A

11 kV board with incomer panels and adequate no. of outgoing feeders with breakers, metering and

protection shall be located in mill area to cater HT / LT power requirements of entire mill drives.

5.11.2 LT Substation

LT substation to meet the LT power requirement shall be located within mill area with power transformers, LT boards. Power supply to various MCCs, PDBs for main mill drives and auxiliary drives shall be catered through the proposed LT boards.

5.11.3 Electric House / Electric Rooms

As per load centres electric houses are required to be located at different locations. Distribution

transformers, HT/LT boards, MCCs, PDBs and other control panels shall be housed in these electric

houses.

All electrical rooms for housing electronic panels including operator' s pulpit shall be kept in suitably

controlled environment. LT boards / electrical panels shall be kept in pressurised air ventilated rooms.

5.11.4 Shop Electrics

For fixed speed, and step control, if any, relay logic shall be used with MCCs and motor control panels. The EOT cranes, welding points and mechanisms with local starters will be fed from power distribution boards (PDBs).

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

65

5.11.5 Illumination

Sufficient illumination shall be provided to electrical houses, pulpits, cable galleries, shop bays, area

lighting and road lighting within the mill complex.

5.11.6 Earthing

Suitable number of electronic and electrical earthing pin shall be provided for earthing of all current

carrying equipment as per IS and IE standards.

5.11.7 Drive Control and Automation

Process control for essential automation and sequence logic controls shall be used for equipment envisaged,

if required depending on the level of automation.

The control shall basically comprise of control of reheating furnace equipment, control of shears, etc. The

modes of control shall be local, local-manual, remote-manual, etc. For operator interface MMIs shall also

be installed, if required.

5.11.8 Fire Detection and Alarm System

Automatic fire detection and alarm system shall be provided in control pulpits, Instrumentation rooms,

electrical rooms, computer room, cable gallery, false floors / ceiling, transformer rooms, etc.

5.12 STRUCTURAL WORKS

Structural steel works in the proposed mill shall comprise of all building structures such as columns, gantry girders, rails, trusses, bracings, posts, walkways, platform, lighting walkways, purlins, side runners, louvers, access stairs, ladders, handrails, steel doors, gutters, downtake pipes, monorails, etc. CGI sheeting for roof and side covering shall be as per IS specifications / standards provided by the client.

5.13 CIVIL WORKS

5.13.1 It shall involve the design philosophy, construction materials and other aspects related to civil works for

construction of the proposed mill. All civil erection works shall be carried out as per applicable standards,

drawings, specifications and regulations. The erection tolerances shall be within the standard specified

limits. Seismic loads shall be taken accordingly to IS specification / standards furnished by the client for

earthquake resistance design of structures. Administrative building, shift buildings, boundary wall, main

and other gates, road within works, area drainage, connecting road from highway, water reservoir, tunnels,

canteen etc

5.13.2 Free movement of vehicles both inward and outwards shall be ensured.

Page 66: raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM ... · raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

66

5.14 GENERAL UTILITIES

5.14.1 Water System

Water shall be required for cooling, cleaning, flushing, fire fighting and other process needs. Direct as well

as indirect water cooling circulation systems shall be required for use at different consumer points in the

mill. The clean industrial water shall be required for indirect cooling purposes such as lubrication /

hydraulic systems, heat exchangers of motor room, air cooler, furnace, etc.

The hot return water from lubrication system / hydraulic systems, air coolers and heat exchanger will be

further used as direct cooling water for various consumers. The water requirement shall be about 300 to

500 m3/h.

5.14.2 Compressed Air

Compressed air at a pressure of about 4-8 kg/cm2 shall be required at different consumer points. Depending

on the type of the equipment selected, compressor of suitable size shall be provided.

5.14.3 Air Conditioning and Ventilation

The maximum temperature should not exceed 40oC inside substation, control room & other lubrication /

hydraulic equipment enclosures and 45oC for pressure water station. Fresh, filtered and cooled air shall be

supplied to substations, control rooms, etc. Electrical control room and substation shall be kept pressurised

to prevent any dust entry in the room. Air conditioned premises shall be maintained at a temperature of

25+2oC and at relative humidity of 55+10 %.

5.14.4 Fire fighting facilities

Suitable and adequate fire fighting facilities shall be provided. Adequate type fire extinguishers shall be provided for lubrication systems / hydraulic systems and electrical control rooms & substations.

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raYT/Iya [spat inagama ilaimaToD RASHTRIYA ISPAT NIGAM LIMITED

ivaSaaKp+Nama [spat saMyaM~ VISAKHAPATNAM STEEL PLANT

SaaKa iva```k`ya kayaa-laya pTnaa Branch Sales Office Patna

WEST BORING CANAL ROAD, PATNA-1

Faona: 0612–2541308 2541086, fO@sa: 0612–2541086

E-mail: [email protected]

NIT No. VSP/PAT/13-14/SPU Dated :06/06/2013

67

5.15 OTHER FACILITIES

5.15.1 Roll turning & Guide Shop, Workshops

A guide and roll shop shall be located at suitable location to cater to the daily rolling and various

maintenance and operation needs. The work shops shall be equipped with adequate number of machines

like lathes, surface grinders. Welding transformers, gas cutting equipment, etc

5.15.2 Transfer cars (if required)

5.15.3 EOT Cranes

The mill shall have adequate no. of EOT cranes in all the bays to ensure proper handling of materials.

5.15.3 Hydraulic and lubrication systems, Weigh bridge

5.15.5 Industrial water & drinking water system, rain water harvesting

5.15.6 Pollution control measures for air, water, ground and noise

5.15.7 Telecommunication facilities and Instrumentation