REASON FOR NOMINATION JULY-SEPT 2021 ANNEXURE-6A

Name of Contract
Party to Status SAP Value Criticality
Description of Date of Reasons for Nomination Award (Clearly specify the reason for
Location S.No. Tender/Enquiry No. whom of The PO/DLOA (excluding (Time/Quality
Item/Work Award selecting a party and going for nomination)
contract is bidder Number taxes & Criticality
awarded duties)

[iv] Consultancy Contracts:

MoPNG informed that during the deliberations with GoAP, it has requested
for revival of APPC. Accordingly, it is found appropriate to revisit the
estimated project cost, market conditions for products & feedstocks and
project site, by setting up a Joint Working Group (JWG) to conclude these
studies and arrive at a viable project that can be taken forward for
implementation. , JWG meeting was held in which it has been proposed to
update the market study on priority. Accordingly, the consultant has to be
appointed immediately for undertaking the study
The earlier market study was undertaken about 6 years back through IHS.
With the change in market conditions such as demand-supply, pricing,
addition of new product slate etc., almost a fresh study has to be undertaken
Appointment of
now. IHS is a reputed international petrochemical market consultant with
Consultant for Market
rich experience in the petrochemical sector. As the earlier study was done
Study for Andhra M/s IHS
GAIL/ND/C&P/BD/C- through IHS and IHS is familiar with the scope of work & deliverables,
DELHI 8 Pradesh Global FZ Private 5300035149 25-08-2021 90,00,000.00 Quality
361/2021 hence, IHS would be able to complete the study within a short period as they
Petrochemical LLC
have already done some background work for GAIL. In case of other
Complex (APPC) on
consultant, financial implication & time schedule is expected to be more.
Nomination Basis
In 2013, market study for Naphtha based petrochemicals was awarded to
IHS at US$ 192,000 through tendering process. SoW for the study was
broadly divided into (1) demand-supply, pricing analysis, marketing plan for
16 no. ethylene, propylene & C4+ derivatives and (2) demand-supply,
pricing analysis, sourcing plan for Naphtha (feedstock). SoW for the instant
study covers demand-supply & pricing analysis for 18 products, pricing data
for additional 10 products, screening analysis, detailed analysis of
shortlisted products & pricing analysis for C2&C3 (feedstocks). Hence, the
instant SoW is comparable with the earlier study. Accordingly, the quoted
price of US$ 120,000 for the proposed study seems to be reasonable
considering the price discovered through tendering process in 2013.