WORLD

BANK
BIDDING
PROCESS
PREPARED BY :
PRASHANT LADKAT PP14070
SIDDHARTH SAO PP14118

FIDIC
This electronic document prepared by The World Bank is intended to
fulfill the objectives of para. 2.12 of Guidelines: Procurement under
IBRD (International Bank for Reconstruction and Development)
Loans, January 1995:
Borrowers shall use the appropriate Standard Bidding Documents (SBDs)
issued by the Bank with minimum changes, acceptable to the Bank, as
necessary to address country and project specific issues. Any such
changes shall be introduced only through bid or contract data sheets,
or through special conditions of contract, and not by introducing changes
in the standard wording of the Banks SBDs.
Users of this electronic document should ensure the above
requirements are complied with.
The World Bank
January 1995
incorporating the CORRIGENDA dated June 1995 and June 1996

Contents
Introduction
Section I. Invitation for Bids (IFB)
Section II. Instructions to Bidders
A. General
B. Bidding Documents
C. Preparation of Bids
D. Submission of Bids
E. Bid Opening and Evaluation
F. Award of Contract
Section III. Bidding Data
Notes on the Bidding Data.
Section IV.
Part 1. General Conditions of Contract
Notes on the Conditions of Contract

Section V. Part 2: Conditions of Particular Application

Notes on the Conditions of Particular Application (COPA)
Section VI. Technical Specifications
Notes for Preparing Technical Specifications
Section VII. Form of Bid, Appendix to Bid, and Bid Security
Form of Bid
Appendix to Bid
Form of Bid Security (Bank Guarantee)
Section VIII. Bill of Quantities
Notes for Preparing a Bill of Quantities
Section IX. Form of Agreement, Forms of Performance Security,
and Bank Guarantee for Advance Payment
Form of Agreement
Forms of Performance Security and Bank Guarantee for Advance Payment
Section X. Drawings
Notes for Preparing the Drawings

Section I. Invitation for Bids (IFB)

Notes on the Form of Invitation for Bids
The Invitation for Bids for contracts, subject to prequalification, is sent only
to firms determined by the Borrower to be qualified in accordance with the Borrowers
prequalification procedure.
Ideally, the Letter of Invitation for Bids is sent to the qualified bidders at the time that
the prequalification results are announced.
For major works, prequalification shall be used.

Sample Form of Invitation for Bids

To: [name of Contractor] [address]
Reference: IBRD Loan No., Contract Name, and Identification No.
Dear Sir,
1. We hereby inform you that you are prequalified for bidding for the above cited
contract.
2. We now invite you and other prequalified bidders to submit sealed bids for the
execution and completion of the cited contract.
3. You may obtain further information from, and inspect and acquire the bidding
documents, at our offices at [mailing address, street address, and
cable/telex/facsimile numbers]
4. A complete set of bidding documents may be purchased by you at the above
office, and upon payment of a nonrefundable fee of [insert amount and currency].
5. All bids must be accompanied by a security in the form and amount specified
in the bidding documents, and must be delivered to [address and exact location]
at or before [time and date].
Bids will be opened immediately thereafter in the presence of bidders
representatives who choose to attend.

Section II. Instructions to Bidders

Notes on the Instructions to Bidders
Section II provides the information necessary for bidders to prepare responsive bids in
accordance with the requirements of the Employer. It also gives information on bid
submission, opening, and evaluation, and on the award of contract.
Section II includes provisions that are to be used unchanged.
Section III, Bidding Data, consists of provisions that supplement, amend, or specify
information or changes to Section II which are specific to each procurement.

A. General
1. Scope of Bid
1.1 The Employer, as defined in the Bidding Data and Appendix to
Bid, hereinafter the Employer, wishes to receive bids for the
construction of Works.
1.2 The successful bidder will be expected to complete the Works
within the period stated in the Bidding Data and Appendix to Bid
from the date of commencement of the Works.
1.3 Throughout these bidding documents, the terms bid and tender
and their derivatives (bidder/tenderer, bid/tendered,
bidding/tendering, etc.) are synonymous, and day means calendar
day. Singular also means plural.

Source of Funds
Payments by the Bank will be made only at the request of the
Borrower and upon approval by the Bank in accordance with the
terms and conditions of the Loan Agreement, and will be subject
in all respects to the terms and conditions of that Agreement.
The Loan Agreement prohibits a withdrawal from the loan
account for the purpose of any payment to persons or entities, or
for any import of equipment, Plant, or materials,

Eligible Bidders
(a) A bidder shall be from an eligible source country as defined under the Guidelines:
Procurement under IBRD Loans and IDA Credits (hereinafter referred to as the
Guidelines).
(b) A bidder shall not be affiliated with a firm or entity
(i) that has provided consulting services related to the Works to either the Employer or the
Borrower during the preparatory stages of the Works or of the Project of which the
Works form a part, or
(ii) that has been hired (or is proposed to be hired) by the Employer or Borrower as
Engineer for the contract.
(c) A bidder shall be prequalified for the contract as notified by the Employer.

Eligible Materials, Plant, Supplies, Equipment, and Services

The materials, Plant or Contractors equipment, other supplies, and

services to be supplied under the contract, shall have their origin in
eligible source countries, defined under the Guidelines, and all
expenditures made under the contract will be limited to such
materials, Plant or Contractors equipment, other supplies, and
services.
origin means the place where the materials, Plant, equipment, and
other supplies are mined, grown, produced, or manufactured, and
from which the services are supplied.

One Bid per Bidder

Each bidder shall submit only one bid either by himself, or as a partner in a joint
venture. A bidder who submits or participates in more than one bid (other than
alternatives pursuant to Clause 18) will be disqualified.
Cost of Bidding
The bidder shall bear all costs associated with the preparation and submission of its
bid, and the Employer will in no case be responsible or liable for those costs,
regardless of the conduct or outcome of the bidding process.
Site Visit
The bidder is advised to visit and examine the Site of Works and its surroundings
and obtain for itself on its own responsibility all information that may be necessary
for preparing the bid and entering into a contract for construction of the Works. The
costs of visiting the Site shall be at the bidders own expense.

(B) Bidding Documents

The bidding documents are those stated below,

Invitation for Bids Section

Instructions to Bidders Section
Bidding Data Section
General Conditions of Contract
Instructions to Bidders
Technical Specifications
Form of Bid,
Bid Security
Bill of Quantities
Forms of Performance Security
Advance Payment
Bank Guarantee Section
Drawings Section
Disputes Resolution Procedure

Amendment of Bidding Documents

At any time prior to the deadline for submission of bids,
the Employer may amend the bidding documents.
Any Addendum thus issued shall be part of the bidding
documents & shall be communicated in writing or by
cable to all purchasers of the bidding documents.
Prospective bidders shall promptly acknowledge receipt
of each Addendum by cable to the Employer.
To give prospective bidders reasonable time in which to
take an Addendum into account in preparing their bids,
the Employer shall extend as necessary the deadline for
submission of bids.

C. Preparation of Bids
. Language of Bid
The bid, and all correspondence and documents related to the bid exchanged
by the bidder and the Employer shall be written in the bid language stipulated
in the Bidding Data and Conditions of Particular Application.
Supporting documents and printed literature furnished by the bidder may be in
another language provided they are accompanied by an accurate translation of
the relevant passages in the above stated language, in which case, for purposes
of interpretation of the bid, the translation shall prevail.
Bid Prices
The bidder shall fill in rates and prices for all items of the Works described in
the Bill of Quantities. Items against which no rate or price is entered by the
bidder will not be paid for by the Employer.
All duties, taxes, and other levies payable by the Contractor under the contract,

Bid Securities
The Bid Security shall, at the bidders option, be in the form of a certified check, letter
of credit, or a bank guarantee from a reputable bank selected by the bidder and located in
any eligible country.
Any bid not accompanied by an acceptable bid security shall be rejected by the
Employer as nonresponsive. The bid security of a joint venture must be in the name of
the joint venture submitting the bid.
The Bid securities of unsuccessful bidders will be returned as promptly as possible, but
not later than 28 days after the expiration of the period of bid validity.

Pre Bid meeting

The bidders designated representative is invited to attend a prebid meeting, which,

if convened, will take place at the venue and time stipulated in the Bidding Data.
The purpose of the meeting will be to clarify issues and to answer questions on any
matter that may be raised at that stage.
The bidder is requested, as far as possible, to submit any questions in writing or by
cable, to reach the Employer not later than one week before the meeting. It may not
be practicable at the meeting to answer questions received late, but questions and
responses will be transmitted in accordance with the following Sub-Clause.
Minutes of the meeting, including the text of the questions raised and the responses
given, together with any responses prepared after the meeting, will be transmitted
without delay to all purchasers of the bidding documents

Submission of bids
Sealing and Marking of Bids
The bidder shall seal the original and each copy of the bid in separate envelopes,
duly marking the envelopes as original and copies. The envelopes shall then be
sealed in an outer envelope.
The inner and outer envelopes shall
(a) be addressed to the Employer at the address provided in the Bidding Data;
(b) bear the name and identification number of the contract as defined in the Bidding
Data; and
(c) provide a warning not to open before the time and date for bid opening, as
specified in the Bidding Data.

Late Bids
Any bid received by the Employer after the deadline for submission of bids
prescribed in Clause will be returned unopened to the bidder.
Modification, Substitution, and Withdrawal of Bids
The bidder may modify, substitute, or withdraw its bid after bid submission,
provided that written notice of the modification or withdrawal is received by the
Employer prior to the deadline for submission of bids.
The bidders modification, substitution, or withdrawal notice shall be prepared,
sealed, marked, and delivered in accordance with the provisions of Clause with the
outer and inner envelopes additionally marked modification or withdrawal, as
appropriate.
No bid may be modified by the bidder after the deadline for submission of bids.

E. Bid Opening and Evaluation

Bid Opening
The Employer will open the bids, including withdrawals and modifications made
pursuant to Clause 24, in the presence of bidders designated representatives who
choose to attend, at the time, date, and location stipulated in the Bidding Data. The
bidders representatives who are present shall sign a register evidencing their
attendance.
Envelopes marked withdrawal and substitution shall be opened first and the name
of the bidder shall be read out. Bids for which an acceptable notice of withdrawal has
been submitted pursuant to Clause 24 shall not be opened.
The bidders names, the Bid Prices, including any alternative Bid Price or deviation,
any discounts, bid modifications and withdrawals, the presence (or absence) of bid
security, and any such other details as the Employer may consider appropriate, will be
announced by the Employer at the opening.

Process to be Confidential
Information relating to the examination, clarification, evaluation and comparison of bids,
and recommendations for the award of a contract shall not be disclosed to bidders or any
other persons not officially concerned with such process until the award to the successful
bidder has been announced.
Clarification of Bids
To assist in the examination, evaluation, and comparison of bids, the Employer may, at its
discretion, ask any bidder for clarification of its bid, including breakdowns of unit rates
Examination of Bids
Prior to the detailed evaluation of bids, the Employer will determine whether each bid (a)
meets the eligibility criteria of the Bank;
(b) has been properly signed;
(c) is accompanied by the required securities;
(d) provides any clarification and/or substantiation that the Employer may require.
A substantially responsive bid is one that conforms to all the terms, conditions, and
specifications of the bidding documents without material deviation or reservation. A
material deviation or reservation is one which affects in any substantial way the scope,
quality, or performance of the Works;

Comparision and evaluation of bids

Preference for domestic bidders

(a) be registered within the Employers country;
(b) have majority ownership by nationals of the Employers country;
(c) not subcontract more than 50 percent of the Contract Price, excluding
provisional sums, to foreign contractors; and
(d) satisfy other criteria stipulated in the Bidding Data.

F. Award of Contract
Award
Subject to Clause 34, the Employer will award the contract to the bidder whose bid has
been determined to be substantially responsive to the bidding documents and who has
offered the lowest Evaluated Bid Price pursuant to Clauses, provided that such bidder
has been determined to be
(a) eligible in accordance with the provisions of Sub-Clause. And
(b) qualified in accordance with the provisions.
Signing of Agreement
At the same time that the Employer notifies the successful bidder that its bid has been
accepted, the Employer will send the bidder the Agreement in the form provided in the
bidding documents, incorporating all agreements between the parties
Performance guarantee
Within 28 days of receipt of the Letter of Acceptance from the Employer, the successful
bidder shall furnish to the Employer a performance security in the form stipulated in the
Bidding Data and the Conditions of Contract.

THANK YOU