1438750172423_loa ot-10-2014-8 itc kanpur

1RPAD

SOUTHERN RAILWAY

•Öê / ›ü²»ÖµÖ No. J/W.148/6775 ´ÖÓ›ü»Ö कÖµÖÖÔ»ÖµÖ /Divisional Office,

ÃÖÓक´ÖÔ ¿ÖÖखÖ /Works Branch, ¯ÖÖ»ÖŒकÖ›ü./ Palghat

×¤/Dated 05th May, 2015. M/s The India Thermit Corporation Ltd; 84/22, Fazal Ganj, Kanpur-208 012 Sirs, वषय Sub: Divisional Engineer /West/Palakkad jurisdiction – Proposed supply of welding portions with all accessories approved by RDSO for fusion welding including supervision of welding during execution. Tender Notice No.

Ref: Tender Notice No. PGT/OT/10/2014 of 14/10/2014 (item-8) Tenders opened on 27.11.2014. Negotiation conducted on 31.03.2015. ----------------------------------- Your tender for the above work at the following rates as offered by you is accepted. Schedule B. Sl No

Brief Description. (Refer the tender schedule for the detailed description of the item)

Unit Qty. Rate in figures

(Rs)

Rate in Words (Rupees)

1

Supply of welding portions 52kg/90UTS as approved by RDSO for fusion welding by the process of SKV welding of rails 52kg/90UTS along with complete accessories conforming to the specifications laid down in No.T-19/1994 for execution of welding of rail joints etc

Each

5461

3850

Three thousand eight hundred,

fifty only

2 Supervision of fusion welding of 52kg/90UTS rail joints by supervisor holding valid competency certificate issued by RDSO of 52kg 90 UTS free/3/10 rail panel by SKV Technique of Alumino thermic process with welding and accessories supplied by item No.1 and specifications laid on in Manual etc.

Each

3650

(Restricted)

1700

One thousand, seven hundred

only (Restricted)

Based on the above rates, the value of the contract works out to Rs.2,72,29,850/- (Rupees Two crore seventy two lakhs twenty nine thousand eight hundred fifty only). The security deposit for the above work to be furnished by you works out to Rs.13,61,493/- (Rupees Thirteen lakhs sixty one thousand four hundred, ninety three only). After adjusting the sum of Rs. 2,24,120/- (Rupees Two lakhs twenty four thousand one hundred twenty only) furnished by you towards earnest money, the balance amount is Rs.11,37,373/- (Rupees Eleven lakhs thirty seven thousand three hundred seventy three only). This will be recovered at the rate of 10% (Ten percent) from each of your running bills. No interest will be accrued on the Security Deposit amount. Your attention in this connection is invited to the various conditions stipulated by the Railway in the tender document submitted by you. Sd/-

मंडल रेल ूबंधक (संकम) ¯ÖÖ»ÖŒकÖ›

Divisional Railway Manager/Works/Palghat

2You are requested to submit performance guarantee amounting to 5% of the contract value ie

Rs.13,61,492/- in any of the following forms for successful completion of the work as per clause 29 of the Special Conditions of Contract vide Annexure A.

(1) a deposit of Cash. (ii). Irrevocable Bank Guarantee, (iii).Government Securities including State Loan Bonds at 5 percent below the market value, (iv) Deposit Receipts, Pay orders, Demand Drafts and Guarantee Bonds. These forms of Performance Guarantee could be either of the State Bank of India or of any of the Nationalized Banks, (v)Guarantee Bonds executed or Deposits Receipts tendered by all scheduled Banks, (vi). A Deposit in the Post Office saving Bank, (vii)a Deposit in the National Saving Certificate, (viii) Twelve years National Defence Certificates, (ix)Ten years Defence Deposit, (x)National Defence Bonds and (xi)Unit Trust certificates at 5 per cent below market value or at the face value whichever is less. The Performance Guarantee should be furnished after the issue of the acceptance letter and before signing of the agreement and should be valid up to the stipulated date of completion plus 60(sixty) days beyond that. The Performance Guarantee (PG) should be submitted within 30 (Thirty) days from the date of issue of Letter of Acceptance (LOA). A penal interest of 15% per annum shall be charged for the delay beyond 30 days, i.e., from the 31st day after the date of issue of LOA. In case of failure to submit the requisite PG even after 60 days from the date of issue of LOA, the contract shall be terminated duly forfeiting EMD and other dues if any payable against you and you will be debarred from participating in re-tender for this work. This LOA is the due notice for submission of PG and no further communication will be sent to you for reminding submission of PG. In case of failure to submit PG within the stipulated period, action taken under clause 16 (4) of GCC is final and binding. Please attend this office with in Thirty days from the date of receipt of this letter to sign the agreement.

You may please contact Assistant Divisional Engineer/Cannannore & Mangalore and Senior Section Engineer/P.Way/Calicut, Quilandi, Cannanore, Payyanur, Kasaragode & Mangalore to commence the work immediately on receipt of this letter. The period of completion in this case is ELEVEN MONTHS from the date of issue of the letter of acceptance.

The sum of Rs.2,24,120 /-deposited by you, as Earnest Money along with the tender will be adjusted towards the initial security deposit as stated above. The agreement for the contract for the above work shall be signed by you within 30 days of receipt of this letter, which is dispatched by Registered Post with Acknowledgement due. The letter of acceptance issued is a binding contract between the Railway and the contractor and the date of completion will be reckoned from the date of issue of this letter only and therefore you may please make arrangements to commence the work immediately. In addition to the above, the other terms and conditions given in the tender documents submitted along with your offer will also be applicable Please acknowledge the receipt of this letter. Encl: 1 Tender Schedule with conditions + 2 sheets

Yours faithfully

Sd/- मंडल रेल ूबंधक (संकम) ¯ÖÖ»ÖŒकÖ›

Divisional Railway Manager/Works/Palghat (For and on behalf of the President of India)

Copy to: Sr.DFM/PGT - for information please. ,, ADEN/CAN & MAQ, SSE/P.Way/CLT,QLD,CA,PAY,KGQ & MAQ - for information and necessary action. ,, OS/WA II & SSE/Drawing (Track) - for information please. ,, CVO/Chennai - for kind information.

3

Annexure. CONDITIONS PUT FORTH BY THE ITC/KANPUR AND RAILWAY’S

REMARKS As regards the conditions put forth by M/s. ITC, Kanpur the lone tenderer vide letter No. B/09/794 dated 18.11.2014, Railways remarks in respect of each item are furnished below.

Sl. No

Special terms and conditions of M/s. ITC, Kanpur as per letter B/09/794 dated 18.11.2014 attached with the tender

Railway’s Remarks.

1 Enclosed please find a DD No. 063723 of 14.11.2014 for Rs.5500/- (Rupees Five thousand five hundred only) issued in favour of Sr Divisional Finance Manager, Southern Railway payable at Palghat towards cost of Tender Documents. The tender documents have been down loaded from the your web site.

Noted.

2 .Regarding Earnest money;_ Enclosed please find a FDR No. 67301292109 dated 13.112014 for Rs.2,24,120/- (Rs. Two lac twenty four thousand one hundred twenty only)/-- of State Bank of Travancore issued in favour of Sr Divisional Finance Manager , Southern Railway, Palghat, A/c The Indian Thermit Corporation Ltd, Kanpur valid for one your towards Earnest Money.

Noted.

3 Regarding special conditions of contract for supply of welding portions and supervision of welding of Rail joints we have make the following submissions:-

(a) Special condition No.3 and item no.2 of the schedule: RDSO is approving only one category i.e. welder and not supervisor, hence we will provide only approved welder for this work.

Accepted.

(b) Special conditionno.7. Since labour & petrol is to be supplied by the railway for this work, the works mentioned in this condition is to be done by the railway at their cost.

Accepted; but as per tender schedule, the welding equipment as mentioned in the schedule to be arranged.

© Special condition No.8. Please note that Railway shall remove all kinks & twists in the rails particulars within 2 metres from either ends.

Accepted. But the ITC supervisor should ensure that the work is being done properly by other agency.

(d) Special condition No.15(a) to (c ) and 25 (Regarding USFD testing and guarantee period):- Railway will ensure that joints welded by us are tested ultrasonically by the railway at their cost within 30 days and our payments will be released immediately and incase any joints found defective, the same will be replaced by us free of cost provided the USFD testing is done latest within 3 months of welding. . In case any joints fractures during the guarantee period of two years or extended period of three years, the same will be replaced by us free of cost. The USFD testing will be finally done within 30 days and thereafter, the joints welded by us will be covered under the guarantee clause i.e., if any joint fractures (not the joint found ultrasonically defective) will be replaced by us free of cost. In case any such fractured joint is not replaced by us, three times cost of the one joint paid to us will be recovered from our bills.

Railway’s Special Conditions of contract shall prevail.

(e) Special condition No.15(f):- Please note that we will replace the defective welds by 25mm gap technique only.

Accepted

(f) Special condition No.17:- Suitable accommodation for contractor supervisory staff shall also be arranged as the site of work at the nearby station by the railway free of cost.


g Special condition No.22(ii) & 23:- It may be noted that all the applicable taxes, if any, are included in our offered rates.

Noted.

Sd/-

मंडल रेल ूबंधक (संकम) ¯ÖÖ»ÖŒकÖ› Divisional Railway Manager/Works/Palghat

4

Annexure. (h) Please note that we are paying sales tax/VAT at time of dispatch of each

consignment and as such no further tax should be recovered from our bills by the Railways as it will amount to double deduction of tax. Copies of sales tax/VAT challans will be enclosed with each bill.

Accepted. Subject to submission of valid documents from the concerned Department.

(i) Railway have also to provided required ROAD PERMIT for dispatch of materials sent for execution of sale/works contract

Not applicable for Palghat Division of Southern Railway

4 REGARDING SPECIAL CONDITON OF CONTRACT FOR TRACK WORKS -: We will instruct our welding team to ensure that no hindrance is caused in the smooth execution. However, the safety of the track will lye with the Railway representative deputed at site by the Railways. As such we will not be responsible and no recovery is acceptable to us as mentioned against these conditions.

Accepted.

5 Our offer is subject to following conditions being accepted by the railway (i)

Arrangements will be made by the railway to transport free of cost the contractor’s materials, tools and plant required for the work by material lorry between the nearest railway station and the site of work, as and when necessary.


(ii) Railway will provide the facility of push trolley from the nearest railway station to the site work for carrying our supervisory staff. This facility has already been given by the railway in all previous contracts. As such you are requested to please accept the same for this work also.

Accepted.

(iii) The railway will supply free of cost 2 meters rail length at our work for every 1000 joints/portions ordered on us. The rails supplied shall have similar metallurgical properties as required for rails to be welded. The rails so supplied shall be consumed in testing and no rails pieces shall be left to be returned to railway.

Railway will supply these rail pieces near the location of the work. If possible, the nearest Railway Depot will be addressed to spare the rails to the contractor for which debit will be accepted by the Administration.

(iv) During welding with our materials some used packing materials etc. become surplus. Our site In charge is fully authorized to collect the surplus material like used polythene bags, used packing cases, used cotton bags, used and unused equipment, used and unused rail files and scrap metal(Chipping Metal).

Accepted.

(v) Railway shall provide wooden blocks and wedges for CESS welding free of cost at work site.

Accepted.

6 Para No.8A.1 to 8A.5 opn Page No.34 (Regarding Deployment of Qualified Engineer at work site by the Contractor: In this connection we would like to bring to your kind notice that according to special conditions of contract the firm has to provide approved welder at site duly approved by the R.D.S.O. and accordingly we will provide the welder. We will not employ additional Civil/Graduate Engineer/Diploma Holders as we have already employed sufficient nos. in our workshop. We will ensure RDSO approved welder for this work at every movement during the execution of work, hence any payment/recovery as mentioned in these paras is not acceptable to us.

Accepted. But staff having competency certificate from RDSO shall be available at site for the execution of this work

Sd/-


5

Annexure. 7 Para No.15.0, 15.1 & 15.2 on page No.35. Since we will depute only

approved welder for supervision of welding work with railway equipments and labour the protection of site will be done by the railway with their own flag Man and P.Way supervisor, as such these condition will not be applicable for this work..

Accepted; as per item no.2, the welding equipment required for the work to be arranged by the agency.

8 Para No.18.1 on page No.36. Please not that grant of extension of completion period with token penalty will be acceptable to us if the delay is on our account and in case the delay is due to reasons beyond our control and due to reasons attributed to railway’s no penalty shall be imposed for extension of completion period.


9 Para No.20.15 & 20.16 on page No.38. Please note that railway will ensure safety of man & machinery working on track through their own flag Man and P.Way supervisor deputed at site of work and we shall not take the responsibility of damages sustained by the railway and passengers due to accident. However, we will bear the damages to our machinery in case of any accident at site of work.

Accepted.

10 Regarding Service Tax. Kindly note that as per current guidelines Service Tax is not applicable on construction projects but is applicable on open line projects of Railways. Our quoted rate for item no.2 of he Schedule –B are inclusive of service tax.

Noted.

11 Regarding replacement of CST by GST: A bill for introduction of amendment in GST in place of CST applicable at present is likely to be introduced in the coming winter session of parliament as seen in the news paper to day i.e. 22.10.2014 (copy enclosed). Since our quoted rates are on the basis of CST, any difference due to replacement of CST by GST will be on Railways account. In case rates of GST are higher, the difference will be paid to us by the railways and vise-versa.

Not accepted.

12 Regarding item No.1 of the schedule B (Regarding supply of portions):- With the supply of 5461 Nos portions 52 kg/90 UTS we will supply the following consumables materials , cost of which is included in the quoted rate:- (i) Prefab. Moulds 52 Kg. 6007 pairs. (ii) Ignition Matches 5461 Nos. (iii) Thimbles Auto 5461 Nos. (iv) Crucible Charge 655 Nos. (v) Grinding stone 546 Nos. (vi) Cutting blade 546 Nos (vii) Cutting head for weld trimmer 011 pairs (viii) Luting sand 6007 packets (Containing 2.5kg each packet) (ix) Mould shoes 52kg 36 pairs (x) Drum Vap. With bend pipe 11 Nos each (xi) Crusible (Composite) 11 Nos.

13 Please note that your tender has been invited with the use of Automatic Taping Thimple. Hence the items required to be supplied with the manual thimble i.e. closing pin and Asbestos Powder is not required and will not to be supplied.

Noted.

Sd/- मंडल रेल ूबंधक (संकम) ¯ÖÖ»ÖŒकÖ›

Divisional Railway Manager/Works/Palghat

6

Annexure. 14 Inspection:- We will supply thermit portions duly inspected and passed

by the Inspector/RDSO as per IRS specifications No.T.1994 and other consumable materials duly inspected by us.

Noted.

15 It may please be noted that we will supply 5461 Nos portions at one destination

Location of supply will be intimated then and there before dispatch of each load.

16 Regarding Schedule B: Against item no.1 of the Schedule B, our quoted rates are for supply of portions, consumables and equipments as mentioned in the schedule. For item no.2 of the schedule-B, our quoted rates are for supply of welder duly certified by RDSO for supervision of welding work only.

Accepted. Not agreed. As per item no.2, the required welding equipment has to be supplied by you. Consumables will be supplied by Railway as agreed.

17 Item No.2 of the schedule B. please note that our quoted rates against item No.2of schedule are for execution of welding work of single rail to 3 rail panel or single to LWR. However in case Railways desires welding of 10 rail panel to LWR and 20 rail panel to LWR, our quoted rate shall be increased as under. 10 Rail panel to LWR Rs.160(Rupees One hundred and sixty only) per joint. 20Rail panel LWR Rs.470/- (Rupees Four hundred and seventy only) per joint scattered location

Not Accepted. The scope of work for item 2 of the schedule is only for supervision.

18 Regarding Price Variation Clause. The price variation clause given in the tender documents will be applicable for this work and acceptable to us.

Noted.

19 The rates quoted by us in the schedule are inclusive of transportation charges of thermit portion from our unit. This amount includes loading of portions by us, but unloading and stacking of materials at the destination shall be on Railway’s account. Please note that portions shall be supplied by any one of our units approved by RDSO for manufacture of portions.


20 We are pleased to inform you that our quality system has been certified to confirm to the requirement of ISO.9001-2008 for manufacture of Thermit portions, prefabricated moulds, crucible charges.

Noted.

While extending the validity by the lone tenderer vide their letter No.B/09/794/4711dt.02.03.2015 they have put forth the following condition

21 “Please note that our technique for the use of one shot crucible is under approval by RDSO and as such we will use the normal crucible in case the present work is awarded to us as our quoted rates do not include the cost of one shot crucible. However, incase the technique for the use of one shot crucible is approved by the RDSO during the currency period of this work, we may use the same provided railway makes us additional payment of Rs.1200/- per joint/portion over and above the rates quoted/accepted in this tender”

Not accepted as per the General/Special condition of contract

Sd/-
