Terms of Reference. Preparing Safety and Technical Management Programme for Electricity Licensees



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Terms of Reference Preparing Safety and Technical Management Programme for Electricity Licensees Introduction Public Utilities Commission of Sri Lanka (PUCSL) has started regulating the electricity industry in April 2009, with the enactment of Sri Lanka Electricity Act, No. 20 of 2009. PUCSL has already established the key regulatory mechanisms needed to effectively regulate the electricity industry in Sri Lanka. PUCSL has already issued the licensees to generate, transmit and distribute electricity, and it has started the process of implementing a Multi-Year Tariff regime. In addition, most of the critical regulations have been already recommended for implementation or are being finalized. In its role as the safety regulator of the electricity industry, the Commission intends to streamline the electricity safety as per provisions of Sri Lanka Electricity Act, No. 20 of 2009 and Conditions of Licenses issued to all generators, and distributors of electricity including CEB and LECO. All the licensees issued to industry operators includes condition about health and safety which requires such entities to prepare and update health and safety management plan, to carry out safety audits by independent experts, and to compile health and safety statistics and indices as specified by the commission. Public Utilities Commission of Sri Lanka intends to engage a qualified consultant to discuss with licensees, study their existing work practices, maintenance programmes and administrative procedures together with safety indices which are being prepared by PUCSL to assess the safety performance of the licensees, and prepare Safety and Technical Management programme together with Safety and Technical Management Plan template which can be followed by licensees. The scope of the expected activities is shown below. Scope of work 1. Study the current state of affairs pertaining to Safety & Technical management in electricity industry of Sri Lanka including but not limited to; o Work practices of licensees and record keeping o Maintenance programmes with respect to licensee s assets (Plant and Equipment) o Emergency and normal Operating procedures o Administrative procedures (authorizations, work permit, investigations, etc ) o Rules, Regulations, Codes and standards applicable to Safety management. 2. Study the Safety Indices that are being prepared by PUCSL to assess the safety performance of licensees, and safety management programmes used in other countries by utilities, regulators or other institutions, and how those can be related to Sri Lankan context. 3. Develop a comprehensive Safety and Technical Management programme that fits for the requirements stipulated in License conditions, Grid Code, Distribution Code, and other 1

applicable documents studied under point 1 above, and recommendations on implementation and enforcement of the same. 4. The Safety and Technical Management Programme shall include, o Safety Policy (with consultation and consent of each licensee) which also accounts for network asset management policy. o A Training programme for licensee s personals to sustainably adhere to safety policy and technical management principles o In-House safety rules focused on achieving safety & Technical management objectives o Inspection programme to identify hazards (to personals, plant and equipment) and rectify them and maintain records o A Programme for Investigation of accidents, incidents (personals) and failures(plant and equipment), remedial actions and follow up procedures with record keeping o Emergency procedures o Safety and Technical Management Plan Templates for licensees. (a single template will suffice given that it can be adopted mutatis mutandis, by all types of licensees), o Detailed Instructions on Establishment of Safety Committees with specific mandate on their duties and responsibilities o A Guideline for Safety Audits by independent experts and best practices for audits. o Instructions on how to conduct Safety Reviews based on records generated by above steps, and to propose amendments to safety management plan. o A detailed outline/sketch of a comprehensive Record Keeping System to ensure a transparent information management mechanism in relation to all of these components of the programme. 5. Have a stakeholder consultation to the proposed programme and get feedback. 6. Have a stakeholder workshop to train licensee s officers about the proposed programme. 7. Finalize the Safety and technical management plan and templates after accommodating views of licensees, and in consultation with PUCSL. PUCSL will provide organizational assistance regarding obtaining approvals and dealing with CEB, LECO and other licensed parties. Reporting Following are the reporting requirements: Inception report based on initial fact finding activities, areas that consultant decided to go in depth and workplan on how to carry out the assignment including a timeline for reporting Interim report and progress review meeting to measure the progress of the assignment and review the draft outline/sketch of the Safety and Technical Management Plan. Draft final version of Safety and Technical Management Programme and Templates, with details of the study and rationale behind each proposed component, with recommendations and guidelines. 2

Final version of the programme and presentation, after accommodating feedback of the Licensees with details/proceedings of stakeholder workshop and licensee s comments. Time Schedule Five Calendar Months from the date of awarding the assignment. Five Calendar Months from the date of awarding the assignment. Inception report based on initial facts finding 3 weeks from the award date Interim Report on outline of Safety and 2 months from the award date Technical Management plan Draft Final Report and stakeholder consultation 4 months from the award date Followed by training workshop Final Report 5 months from the award date Section 2: Selection Procedure 2.1 Collection of Request for Proposal This RFP is available on the Commission s website at www.pucsl.gov.lk. It can also be collected from Reception at Commission s office between the hours of 9:00 am and 4:00 pm until the closing date. 2.2 Submission of Proposals Proposals are to be: (a) submitted by 3:00 pm on 18 th May 2015 and should be addressed to the Chairman, Procurement Committee, Public Utilities Commission of Sri Lanka (b) submitted in two (2) separate sealed envelopes marked in upper left hand corner Proposal for Safety & Technical Management Programme in respect of: i. Technical Proposal ii. Financial Proposal (c) placed in the designated box located at the Reception of the Commission s office, Level 06, BOC Merchant Tower, No. 28, St. Michael s Road, Colombo 03. 3

It is earnestly request to adhere to the deadline because, the proposals submitted after the deadline will be automatically rejected and returned unopened to the bidder. 2.3 Opening of Proposals Proposals will be opened on 18 th May 2015 at 3:15 pm in the Conference Room of the Commission s office. Bidders or their representatives who submitted proposals are invited to attend the opening. Only the Technical Proposals would be opened and the name of the principal bidder will be announced at the opening. 2.4 Requests for Clarifications All requests for clarifications regarding the assignment must be made in writing not later than seven (7) working days before the submission deadline and should be addressed to the Director General with attention Director -Licensing. 2.5 Technical and Financial Proposals The Technical Proposal shall provide the information indicated in the following from (a) to (g) using the attached standards Forms a) A brief description of the Consultants organization and an outline of recent experience of the Consultants in similar assignment and, in the case of joint venture, for each partner, on assignments of a similar nature are required in Form TECH-2. For each assignment, the outline should indicate the names of Sub-Consultants/ professional staff who participated, duration of the assignment, contract amount, and Consultant s involvement. Information should be provided only for those assignments for which the Consultant was legally contracted by the client as a corporation or as one of the major firms within a joint venture. Assignments completed by individual professional staff working privately or through other consulting firms cannot be claimed as the experience of the Consultant, or that of the Consultant s associates, but can be claimed by the professional staff themselves in their CVs. Consultants should be prepared to substantiate the claimed experience if so requested by the Client. b) Comments and suggestions on the scope of work including workable suggestions that could improve the quality/ effectiveness of the assignment; and on requirements for counterpart staff and facilities including: administrative support, office space, transportation, equipment, data, etc. to be provided by the Client (Form TECH-3). c) A description of the approach, methodology and work plan for performing the assignment covering the subjects: technical approach and methodology, work plan, and 4

organization and staffing schedule. Guidance on the content of this section of the Technical Proposals is provided under Form TECH-4 of Section 3. The work plan should be consistent with the Work Schedule (Form TECH-8 of Section 3) which will show in the form of a bar chart the timing proposed for each activity d) The list of the proposed professional staff team by area of expertise, the position that would be assigned to each staff team member, and their tasks (Form TECH-5). e) Estimates of the staff input (staff-months of foreign and local professionals) needed to carry out the assignment (Form TECH-7. The staff-months input should be indicated separately for foreign (if required) and local professional staff. f) CVs of the professional staff signed by the staff themselves or by the authorized representative of the professional staff (Form TECH-6). g) Proposed work schedule indicating activities, sub-activities, their interrelations and milestones of the assignment (Form TECH-8). The Financial Proposal shall be prepared using the attached Standard Forms. It shall list all costs associated with the assignment, including (a) remuneration for staff (local and foreign (if required); and (b) other expenses if any, should be broken down by activity using FORM FIN 1 4 and, if appropriate, in to foreign and local expenditures. All activities and items described in the Technical Proposal must be priced separately; activities and items described in the Technical Proposal but not priced, shall be assumed to be included in the prices of other activities or Items. 2.6 Evaluation of Proposals Technical Evaluation The technical/work program proposal would be evaluated before the envelopes containing the financial proposals are opened. The proposals will be ranked on the basis of the following maximum allocation of points for specific elements of each proposal: Aspect Firm s competence and experience in completing projects of a similar 10 degree in a timely and efficient manner Competence/experience of the Principal Consultant/ project manager: (i) General knowledge and qualifications (5) 25 (ii) Experience in handling similar projects (10) Competence/experience of the personnel proposed for the assignment: (i) Qualifications (10) 15 (ii) Suitability for the assignment (10) Comprehensive coverage of the proposed work program in response to the Scope of work in RFP 40 Time table for prompt completion of the assignment 10 TOTAL 100 Maximum Score 5

Total of 75 marks are required to reach the minimum level of technical competency to undertake the assignment. The financial proposals submitted by parties who is awarded less than seventy five (75) will not be opened and return to the respective address. Financial Evaluation The Financial Proposals submitted by the parties who obtained the technical competency to undertake the assignment in the technical evaluation, will be opened and lowest financial proposal submitted by technically qualified parties will be selected. 2.7 Payment Schedule The payments for the assignment will be disbursed as follows: 1. 10% upon the submission of the Inception Report; 2. 20% upon submission of the Interim Report on Safety and Technical Management Programme 3. 50% upon stakeholder consultation and submission of the Draft Final version 4. 20% upon presentation and submission of the Final Version of Safety and Technical Management Programme with template plans for electricity licensees. 2.8 Reporting Relationships 1. For administrative purposes, all communications relating to the assignment shall be addressed to the Director General, Public Utilities Commission of Sri Lanka. 2. Any queries or comments concerning this RFP or any aspect of the assignment are to be directed to: Director-Licensing, Public Utilities Commission of Sri Lanka 2.9 Other 1. The selected bidder will be required to enter into a Consultancy Agreement with the Commission of which this Request for Proposal will form an integral part The Commission is not obliged to accept any or all proposals and reserves the right to discontinue the procurement process at any point before the award of the contract without incurring any liability to any bidder. 6