Know PPP

ADB TA Mission

  PPP Cell
  Legal Framework
  Institutional Framework
  Procedural Framework
For Normal Procurement
For Swiss Challenge Projects

Department Coordination

  Project Development
  Project Monitoring
  List of Experts/Panels

For Normal Procurement

All contracts would be awarded on the basis of a transparent process, under the ambit of the Karnataka Transparency in Public Procurement Act(KTPP) Act (Act 29 of 2000),or under a “Swiss Challenge” format as set out in Clause 29, after getting exemption under section 4(g) of the KTPP Act. In all cases, the award criteria would spelt out upfront. The stages in the procurement process could be single stage or multi-stage, depending on the size or level of complexity of the project. For this purpose, GoK may use the services of suitably qualified independent advisers with the requisite technical knowledge. Generally, the stages in the procurement process would include:

  • Expressions of interest (EOI)/ Request for Qualifications (RFQ)

  • Request for Proposals (RFP29)

    • Technical and financial proposals

  • Signing of Agreements

The criteria used for selection would include objective technical/ financial parameters, such as:

  • Level of service, quality of assets offered;

  • Lowest present value of Viability Grant support

  • Lowest quantum of land

  • Lowest present value of asset based support from the Government;

  • Highest share (or present value of) of revenue;

  • Lowest unit value or present value of payments by GoK;

  • Highest upfront payment (or present value of upfront payments);

  • Highest present value of future payments;

  • Lowest concession period;

  • Lowest unit value or present value of user fees;

  • Highest premium on (or present value of) equity shares offered.

A Private Sector Participant (Proposal Initiator) may submit a suo-moto/ innovative proposal
(Original Proposal) to GoK/ GoK Agency for setting up an Infrastructure Project containing the

  • Articulation of the public need for the project

  • Requisite technical details, i.e., details of alignment/site, estimates of cost, etc.

  • Cost incurred by the Proposal Initiator for the development studies related to the project.

GoK would, in the first instance, assess the public need for the Infrastructure Project. In case the
Infrastructure Project is found to satisfy a public need, GoK would assess the technical feasibility/
suitability of the Original Proposal and modify the same, if required. GoK may carry out additional
studies for the project, if required.

After evaluating the proposals and considering it suitable, GoK would, put up competitive bidding for counter proposals (“Swiss Challenge”). The original proposal (except proprietary information and details of financial proposal) and contract principles of the Original Proposal would be made available to any interested applicants. If competitive bidding process results in a superior proposal, the Proposal initiator would be given an opportunity to match the competing counter proposal within a stipulated time-frame, and be selected as the project concessionaire. If the proposal initiator declines to match the superior counter proposal, then the applicant that has made the superior proposal would be selected as the concessionaire. Upon such selection, GoK/GoK Agency concerned shall cause/ arrange to reimburse to the Proposal Initiator, a part or the whole of the development costs, as determined upfront and declared in the bidding documents, and may recover the same from the successful bidder.

GoK would evaluate all proposals received for any Infrastructure Project. GoK may also choose to appoint suitable external advisors or consultants, where necessary, for the purposes of evaluation.

In order to facilitate expeditious project implementation, GoK would endevour to conclude the evaluation process for all Infrastructure Projects within 90 days from the date of submission of the final proposals. In the case of suo-moto proposals, GoK would decide to proceed with the bidding process within 180 days of their submission.

In any event, GoK would endeavour to provide all necessary State-level clearances and enable implementation of any Infrastructure Project being taken up through Public Private Partnerships within 180 days from the date of submission of the final proposals for such project.

(See the Infrastructure Policy – 2007 para 27-31)

Note: The GoK Agencies are required to co-ordinate with PPP Cell in IDD.


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Address: Principal Secretary, Infrastructure Development Department, Room 28, Vikasa Soudha, Bangalore-560001 INDIA
E-mail : | Ph: 91-80-22035085 | Fax: 91-80-22280605

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