Annual Rate Contract for O&M Services for NCR GAS O&M ... - GAIL

14. Bid Security
14.1 Pursuant to Clause-10, the bidder shall furnish, as part of his bid, bid security in the
amount specified in the Request for Quotation (RFQ).
14.2 The bid security is required to protect GAIL against the risk of bidder’s conduct which
would warrant the security’s forfeiture, pursuant to Clause-14.6
GAIL shall not be liable to pay any bank charges, commission or interest on the
amount of Bid Security. In case Bid Security is in the form of a Bank Guarantee or
irrevocable Letter of Credit, the same shall be from any Indian scheduled bank or a
branch of an International bank situated in India and registered with Reserve bank
of India as scheduled foreign bank in case of Indian bidder and from any
reputed International bank or Indian scheduled bank in case of foreign bidder.
However, in case of Bank Guarantee from banks other than the Nationalised
Indian banks, the bank must be commercial bank having net worth in excess of
Rs 100 crores and a declaration to this effect should be made by such commercial
bank either in the Bank Guarantee itself or separately on its letterhead. Bid Security
shall be valid for 2 months beyond the validity of the Bid.
14.3 Any bid not secured in accordance with Clause-14.1 and 14.2 may be rejected by
GAIL as non-responsive.
14.4 Unsuccessful bidder’s bid security will be discharged/returned as promptly as
possible, but not later than 30 days after the expiration of the period of bid validity
prescribed by GAIL, pursuant to ITB Clause-13.
14.5 The successful bidder’s bid security will be discharged upon the bidder’s accepting
the award & signing the Agreement, pursuant to Clause-34 and furnishing the
Contract Performance Security pursuant to Clause-35.
14.6 The bid security may be forfeited:
i) If a bidder withdraws his bid during the period of bid validity.
ii) in the case of a successful bidder, if the bidder fails:
iii) to accept the Notification of Award/Fax of Intent (FOI) or
iv) to furnish Contract Performance Security in accordance with Clause-35.
v) to accept arithmetical corrections.
14.7 Bid Security should be in favour of GAIL (India) Limited and addressed to GAIL. In
case Bid Security is in the form of Bank Guarantee or Letter of Credit, the same must
indicate the Bid Document and the work for which the bidder is quoting. This is
essential to have proper co-relation at a later date. The Bid Security shall be in
the form provided at F-4 (Bank Guarantee) or F-4A (Letter of Credit).
14.8 For Indian Bidders : Central Public Sector Undertakings and firms registered with
NSIC are exempted from furnishing bid security provided they are registered for the
Tender/Bid Document No: GAIL/NCR/C&P/6114
ARC for O&M Services
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