www.pppinindia.gov.inPPP TOOLKIT
PPP TOOLKIT for Improving PPP
Decision-Making Processes

Sector: State Highway  |  Module 2: Work through the PPP process

Final drafts of key bidding documents

First drafts of the key bidding documents will be available from the In-principle Approval application. Further development can begin before the RFQ stage, to allow a draft to be included with the RFQ, or during the RFQ stage to save time between RFQ and Final Approval. In any case, the final drafts must be ready ahead of the application for Final Approval.

The key bidding documents are:

  • The Request for Proposal (RFP) for the bid, which includes the Terms of Reference (TOR)
  • The Concession Agreement (CA) that will govern the PPP

The Draft CA would be included with the RFP.

The final drafts will be based on the first drafts and details from:

  • The project specifications from the feasibility study
  • The results from the In-principle Approval, including VGF or other grant approval and any added requirements or requested changes
  • The qualification criteria developed at the RFQ stage

The RFP, which includes the Draft Concession Agreement, is the most important document in the bidding process. It is well worth taking care to develop the document carefully, clearly and thoroughly.

The RFP and CA specify the main terms of the project and ordinarily these would be non-negotiable at the award stage. It is critically important that these terms are clear and well understood. The CA also lays the foundation for the contract management process throughout the life of the PPP (covered in Phase 4 of the toolkit).

A quality RFP will provide bidders with clarity on the requirements of the project and encourage them that the public partner is credible and well organised. This will make them more likely to devote resources to the bid. It will also reduce the likelihood of delays to the bidding process as a result of subsequent changes to the RFP.

Model documents can provide a useful starting point and guidance on the contents and format of typical RFPs and CAs. Unless the Sponsor has the necessary in-house expertise transaction advisors would need to be engaged to complete the detailed document preparation.


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