42. Notification of 42.

1 The Purchaser shall notify the concerned Bidder whose bid has been selected in
Intention to accordance with ITB 40.1 within seven days of the selection of the bid, in writing
Award that the Purchaser has intention to accept his/her bid and the information
regarding name, address and bid amount of the selected bidder shall be given
to all other bidders using the “Letter of Intention” form included in Section VIII.
Contract Forms
42.2 If no bidder submits an application pursuant to ITB 45.1 within a period of seven
days of providing the notice under ITB 42.1, the Purchaser shall accept the bid
selected in accordance with ITB 40.1 prior to the expiry of bid validity period, and
notification of award shall be communicated to the bidder to furnish the
performance security and sign the contract within fifteen days.
42.3 In Case, a corruption case is being filed to Court against the Natural Person or Board
of Director of the firm/institution /company or any partner of JV, such Natural
Person or Board of Director of the firm/institution /company or any partner of JV
such bidder’s bid shall be excluded from the evaluation, if public entity receives
instruction from Government of Nepal.

43. Performance 43.1 Within fifteen (15) days of the receipt of notification of award from the
Security Purchaser, the successful Bidder shall furnish the Performance Security in
accordance with the GCC, using for that purpose the Performance Security Form
included in Section VIII, Contract Forms, or another form acceptable to the
Purchaser.
i) If bid price of the bidder selected for acceptance is up to 15 (fifteen)
percent less than the approved cost estimate, the performance security
amount shall be 5 (five) percent of the bid price.
ii) For the bid price of the bidder selected for acceptance is more than 15
(fifteen) percent below of the cost estimate, the performance security
amount shall be determined as follows:
𝑃𝒆𝒓𝒇𝒐𝒓𝒎𝒂𝒏𝒄𝒆 𝑺𝒆𝒄𝒖𝒓𝒊𝒕𝒚 𝑨𝒎𝒐𝒖𝒏𝒕
= [𝟎. 𝟖𝟓 × 𝑪𝒐𝒔𝒕 𝑬𝒔𝒕𝒊𝒎𝒂𝒕𝒆 − 𝑩𝒊𝒅 𝑷𝒓𝒊𝒄𝒆] × 𝟎. 𝟓 + 𝟓% 𝒐𝒇 𝑩𝒊𝒅 𝑃𝑟𝑖𝑐𝑒
The Bid Price and Cost Estimate shall be inclusive of Value Added Tax.
43.2 Failure of the successful Bidder to submit the above-mentioned Performance
Security or sign the Contract Agreement shall constitute sufficient grounds for
the annulment of the award and forfeiture of the Bid Security. In that event the
Purchaser may award the Contract to the next lowest evaluated Bidder whose
offer is substantially responsive and is determined by the Purchaser to be
qualified to perform the Contract satisfactorily.
44. Signing of 44.1 The successful Bidder shall sign the contract in the form included in section VIII after
Contract the submission of performance security in accordance with ITB 43.
44.2 At the same time, the Purchaser shall affix a public notice on the result of the award
on its notice board and make arrangement to post the notice into its website, if it
has; and if it does not have, into the website of the Public Procurement Monitoring
Office, the contract award results identifying the bid and lot numbers and the
following information: (i) name of each Bidder who submitted a Bid; (ii) bid prices as
read out at Bid Opening; (iii) name and evaluated prices of each Bid; (iv) name of
bidders whose bids were rejected and the reasons for their rejection; and (v) name
of the winning Bidder, and the Price it offered, as well as the duration and summary
scope of the Contract awarded.

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