Page 1 NINGBO WATER AND ENVIRONMENT PROJECT Page 1 of 9 41569 PROCUREMENT PLAN (Version April 2007) I. General. 1. Project Information: Country: People’s Republic of China. Borrower: The People’s Republic of China on-lending to Ningbo Municipal Government. Project Name: Ningbo Water and Environment Project. Loan No.:4770-CHA. Project Implementing Agencies (PIAs): Cixi Drainage Company (CDC). Ningbo Water Supply Company (NWSC); and Ningbo Water & Environment Project Management Office(NWEPMO) Project Components: 1. Ningbo Water Supply: The component includes: i) raw water supply line consisting of an intake tower in Jiaokou reservoir and a 9.6 km tunnel; ii) 500,000 m 3 /day Maojiaping Water Treatment Plant; and iii) treated water transmission pipes, including a 29 km main from Maojiaping to a new 47 km ring main around Ningbo City. The component is a significant part of Ningbo’s overall plan to expand coverage to suburban areas, improve water quality by accessing new water sources and improving water treatment, and enhance distribution system reliability and flexibility. The component will be implemented by the NWSC. 2. Cixi Wastewater: The component includes: i) two wastewater treatment plants, one located in the north of Cixi (100,000 m3/day) and one in the east (50,000 m3/d); and ii) associated collection system mains and link sewers (230 km of pipe and 57 pump stations). The component will be implemented by the newly formed CDC. 3. Technical Assistance and Capacity Building: Support will be provided to improve water supply planning, utility price and service regulation, and enhance the NWSC and CDC operational and business management capacities. Design review and construction management technical assistance will also be provided to ensure smooth implementation of the infrastructure works. 2. Bank’s Approval Date of the Procurement Plan: March 2007 3. Date of General Procurement Notice: The General Procurement Notice was posted on 30 th September 2004. 4. Period Covered by this procurement Plan: This Procurement Plan covers the period from Oct. 2006 until December 2010. Page 2 NINGBO WATER AND ENVIRONMENT PROJECT Page 2 of 9 II. Goods and Works and Non-Consulting Services. 1. Prior Review Threshold: Procurement Method Prior Review Threshold USD Comments 1 ICB (Goods) US $500,000 2 NCB (Goods) US $500,000 3 ICB (Works) All contract 4 NCB (Works) All contract above 5 million 2. Pre-qualification: Pre-qualification will apply to all the ICB contracts (excluding goods contracts) and post-qualification will apply to all the NCB contracts. The details can be seen in table 1. 3. Procurement Manual: Detailed provisions can be found in the Procurement Manual prepared by Ningbo PMO. 4. Special Procurement Arrangements : The project includes components which are the subject of no-objection to retro-active financing. The World Bank has authorized the use of retroactive financing for two activities: i) Ningbo water intake and tunnel contracts (NBWS/C1 and NBWS/C2), with a total value of approximately 78 million RMB, and ii) Cixi middle trunk sewer contracts (CX/C2 and C3), with an estimated cost of 135 million RMB. 5. Progress of the contracts under construction: Ningbo Water Supply Component : Progress is behind schedule for the intake and tunneling contacts C1 and C2. About 80% of the value has been approved for payment, with completion now scheduled for December 2006. Construction of transmission pipeline Contract C3 is seriously behind schedule, with significant issues relating to variations and land availability still to be settled. A possibility exists that claimed variations for contract C3 may exceed the World Bank threshold of 15%. Site preparation for the Maojiaping WTW (Contract C4) is being held up by a land planning issue. There are serious issues relating to route planning on contracts C8 (NCB) resulting in delays and variations.NBWS/C8 was originally planned to start in June 2006 but it has not started yet. Cixi Wastewater Supply Component: Contracts C2 and C3 are completed and the certificate of Completion was issued in February 2007. The contractors submitted the final payment application with the total amount of 44million for C2 and 43million for C3. Review of the final payment Page 3 NINGBO WATER AND ENVIRONMENT PROJECT Page 3 of 9 application has been carried out. It ’s anticipated that the final contract price will less t han the original contract price. Contracts C1 and C4 are proceeding well with perhaps a 2 month delay to scheduled completion, about 60% of the value has been completed. Contract C5 is seriously behind schedule with more than 3 months delay, about 40% of the pipes has been installed. Contract T3 (pump stations) is proceeding well and will be completed on schedule. Contract C6 commenced on 1 st February, 2007 about 3% of the value has been completed. Contract T2 was signed in January 2007 and commenced to site preparation task. Contract T1 was signed on 29 t h March of 2007 and has not commenced yet. 6. Procurement Packages with Methods and Time Schedule: The packages and procurement procedures proposed under the Project are as listed in Table 1. Ningbo Water Supply Component : NBWS/T1(MaoJiaPing Water Treatment Plant): The bidding documents have been prepared on the basis of WB Standard Bidding Document - Supply and Installation of Plant and Equipment. The bidding documents have been issued from 9 t h April of 2007. NBWS/C5-C7(Ring Main): Preparation for contract C5 and C7 is proceeding reasonably satisfactorily. There are serious issues relating to the alignment of contract C6. The draft bidding documents will be completed and provided to international consultants to review in November 2006. Cixi Wastewater Supply Component: CX/C7(city centre, towns area sewers and pumping station) : Preparation for the bidding documents of contract C7 is proceeding on schedule. Contracts CX/G1-1 and 1-2(Supply of pipeline maintenance equipment and vehicles): Detailed procurement plan for contracts CX/1-1 and 1-2 (pipeline maintenance equipment and vehicles was submitted Bank for review. The first vision of the bidding document was reviewed by international consultant in January of 2007. The bidding document has been prepared on the basis of World Bank Standard Bidding Document- Procurement of Goods (Revised May, 2005). The total estimated value of CX/1-1 and 1-2 is about RMB 6.66 million, about 2million more than the original estimated value. Page 4 N I N G B O W A T E R E N V I R O N M E N T P R O J E C T N E W P M O P a g e 4 o f 9 T a b l e 1 – P r o p o s e d C o n t r a c t P a c k a g e s : W a t e r S u p p l y I C B = I n t e r n a t i o n a l C o m p e t i t i v e B i d d i n g N C B = N a t i o n a l C o m p e t i t i v e B i d d i n g R e f . P a c k a g e D e s c r i p t i o n P a c k a g e c o n t e n t E s t . v a l u e ( U S $ x 1 0 6 ) E s t . V a l u e ( R M B x 1 0 6 ) P r o c u r e m e t h o d P r e q u a l Y o r N D o m . P r e f . E x p e c t e d B i d - O p e n i n g D a t e I m p l A g e n c y N B W S / C 1 N B W S / C 2 C o n s t r u c t i o n o f I n t a k e a n d W a t e r t u n n e l C i v i l e n g i n e e r i n g c o n s t r u c t i o n , t u n n e l l i n g , e a r t h w o r k s , v a l v i n g , t e l e m e t r y a n d c o n t r o l s . 9 . 3 1 7 7 . 2 4 N C B w o r k s N A u g u s t 3 0 , 2 0 0 4 , o p e n e d N W S C N B W S / C 3 C o n s t r u c t i o n o f D i s t r i b u t i o n P i p e l i n e ( S e c t i o n 1 - 1 3 . 0 k m ) E a r t h w o r k s , p i p e l a y i n g , r i v e r c r o s s i n g s , v a l v i n g , t e l e m e t r y . 1 0 . 4 7 8 6 . 8 8 N C B w o r k s N J u l y 1 9 , 2 0 0 5 , o p e n e d N W S C N B W S / C 4 R o a d a n d S i t e P r e p a r a t i o n o f M a o j i a p i n g W a t e r T r e a t m e n t P l a n t E a r t h w o r k s , e x c a v a t i o n , l e v e l l i n g , s t r u c t u r e s 3 . 7 8 3 1 . 4 0 N C B w o r k s N 2 0 0 6 - 2 - 2 2 , o p e n e d N W S C N B W S / C 8 C o n s t r u c t i o n o f w a t e r s u p p l y r i n g - p a r t C 3 . 0 k m E a r t h w o r k s , p i p e l a y i n g , r i v e r c r o s s i n g s , v a l v i n g , t e l e m e t r y . 2 . 9 9 2 4 . 7 8 N C B w o r k s N 2 0 0 6 - 4 - 1 0 , o p e n e d N W S C N B W S / C 9 C o n s t r u c t i o n o f w a t e r s u p p l y r i n g - p a r t D 7 . 3 k m E a r t h w o r k s , p i p e l a y i n g , r i v e r c r o s s i n g s , v a l v i n g , t e l e m e t r y . 8 . 3 8 6 9 . 5 7 N C B w o r k s N 2 0 0 6 - 9 - 2 5 , o p e n e d N W S C N B W S / C 5 C o n s t r u c t i o n o f D i s t r i b u t i o n P i p e l i n e ( S e c t i o n 2 - 1 7 . 2 k m ) E a r t h w o r k s , p i p e l a y i n g , r i v e r c r o s s i n g s , v a l v i n g , t e l e m e t r y . 1 8 . 8 0 1 5 6 . 0 0 I C B w o r k s Y Y 2 0 0 7 - 4 - 1 0 , o p e n e d N W S C N B W S / C 6 C o n s t r u c t i o n o f w a t e r s u p p l y r i n g ( P a r t A - - E & S 1 5 . 3 k m ) E a r t h w o r k s , p i p e l a y i n g , r i v e r c r o s s i n g s , v a l v i n g , t e l e m e t r y . 2 1 . 6 9 1 8 0 . 3 0 I C B w o r k s Y Y 2 0 0 7 - 4 - 1 0 , o p e n e d N W S C N B W S / C 7 C o n s t r u c t i o n o f w a t e r s u p p l y r i n g ( P a r t B - W & N 2 1 . 7 k m ) E a r t h w o r k s , p i p e l a y i n g , r i v e r c r o s s i n g s v a l v i n g , t e l e m e t r y . 3 0 . 2 4 2 5 1 . 0 0 I C B w o r k s Y Y 2 0 0 7 - 4 - 1 0 , o p e n e d N W S C N B W S / T 1 C o n s t r u c t i o n o f M a o j i a p i n g W a t e r T r e a t m e n t P l a n t C i v i l e n g i n e e r i n g c o n s t r u c t i o n , e a r t h w o r k s , p r o c e s s e q u i p m e n t , v a l v i n g , p o w e r s u p p l y , t e l e m e t r y a n d e l e c t r i c a l c o n t r o l s . . 3 2 . 6 5 2 7 1 . 0 0 I C B w o r k s & g o o d s Y Y 2 0 0 7 - 6 - 1 9 N W S C N B W S / G 1 P r o c u r e m e n t o f G o o d s V e h i c l e s 0 . 1 9 6 1 . 6 3 N C B g o o d s N 2 0 0 8 - 1 2 - 1 5 N W S C N B W S / G 2 P r o c u r e m e n t o f G o o d s L a b E q u i p m e n t a n d T o o l s 0 . 4 1 3 3 . 4 3 N C B g o o d s N 2 0 0 8 - 1 2 - 1 5 N W S C N B W S / S 1 M a i n t e n a n c e E q u i p m e n t S u p p l y o f m a c h i n e t o o l s 0 . 0 6 0 0 . 5 0 N a t i o n a l S h o p p i n g N N 2 0 0 9 - 5 - 7 N W S C N o t e : C o n t r a c t s N B W S / C 1 , C 2 , C 3 , C 4 & C 8 h a v e b e e n s i g n e d a n d a b o v e l i s t e d a r e t h e a c t u a l v a l u e s . Page 5 N I N G B O W A T E R E N V I R O N M E N T P R O J E C T N E W P M O P a g e 5 o f 9 T a b l e 1 – P r o p o s e d C o n t r a c t P a c k a g e s : S e w e r a g e T r e a t m e n t I C B = I n t e r n a t i o n a l C o m p e t i t i v e B i d d i n g N C B = N a t i o n a l C o m p e t i t i v e B i d d i n g R e f . P a c k a g e D e s c r i p t i o n P a c k a g e c o n t e n t E s t . v a l u e ( U S $ × 1 0 6 ) E s t . v a l u e ( R M B × 1 0 6 ) P r o c u r e m e t h o d P r e q u a l Y o r N D o m . p r e f E x p e c t e d B i d - O p e n i n g D a t e I m p l e m e n t a g e n c y C X / T 1 E a s t e r n W T P c o n s t r u c t i o n C o n s t r u c t i o n a n d E q u i p m e n t 7 . 1 8 5 9 . 5 9 I C B Y Y 2 0 0 6 - 5 - 1 8 C i X i d r a i n a g e c o m p a n y C X / T 2 N o r t h e r n W T P c o n s t r u c t i o n C o n s t r u c t i o n a n d E q u i p m e n t 1 1 . 1 9 9 2 . 9 4 I C B Y Y 2 0 0 6 - 5 - 1 8 C i X i d r a i n a g e c o m p a n y C X / T 3 C e n t r a l , e a s t e r n , w e s t e r n s e w a g e t r u n k s e w e r a n d p u m p s t a t i o n s C o n s t r u c t i o n a n d E q u i p m e n t 6 . 9 3 5 7 . 5 2 N C B N Y 2 0 0 6 - 5 - 1 6 C i X i d r a i n a g e c o m p a n y C X / C 1 E a s t e r n t r u n k s e w e r C o n s t r u c t i o n a n d m a t e r i a l s 9 . 8 5 8 1 . 7 3 N C B N Y 2 0 0 6 - 4 - 3 C i X i d r a i n a g e c o m p a n y C X / C 2 C e n t r a l t r u n k s e w e r ( P a r t 1 ) C o n s t r u c t i o n a n d m a t e r i a l s 5 . 1 4 4 2 . 6 4 N C B N 2 0 0 4 - 1 2 - 2 7 C i X i d r a i n a g e c o m p a n y C X / C 3 C e n t r a l t r u n k s e w e r ( P a r t 2 ) C o n s t r u c t i o n a n d m a t e r i a l s 5 . 3 0 4 3 . 9 8 N C B N 2 0 0 4 - 1 2 - 2 7 C i X i d r a i n a g e c o m p a n y C X / C 4 W e s t e r n t r u n k s e w e r ( P a r t 1 ) C o n s t r u c t i o n a n d m a t e r i a l s 5 . 3 5 4 4 . 3 8 N C B N Y 2 0 0 6 - 1 - 1 8 C i X i d r a i n a g e c o m p a n y C X / C 5 W e s t e r n t r u n k s e w e r ( P a r t 2 ) C o n s t r u c t i o n a n d m a t e r i a l s 5 . 7 4 4 7 . 6 4 N C B N Y 2 0 0 6 - 1 - 1 8 C i X i d r a i n a g e c o m p a n y C X / C 6 C i t y c e n t r e , 1 7 t o w n s a r e a s e w e r s a n d p u m p i n g s t a t i o n ( p a r t 1 , s e w e r s 7 5 k m , p u m p i n g s t a t i o n 2 0 ) C o n s t r u c t i o n a n d m a t e r i a l s 1 3 . 5 1 1 2 . 0 0 N C B N Y 2 0 0 6 - 1 0 - 3 1 C i X i d r a i n a g e c o m p a n y C X / C 7 C i t y c e n t r e , 1 7 t o w n s a r e a s e w e r s a n d p u m p i n g s t a t i o n ( p a r t 2 , s e w e r s 4 5 k m , p u m p i n g s t a t i o n 1 8 ) C o n s t r u c t i o n a n d m a t e r i a l s 9 . 4 7 8 . 0 0 N C B N Y 2 0 0 7 - 1 1 - 3 0 C i X i d r a i n a g e c o m p a n y C X / C 8 C i t y c e n t r e , 1 7 t o w n s a r e a s e w e r s a n d p u m p i n g s t a t i o n ( p a r t 3 , s e w e r s 3 4 k m , p u m p i n g s t a t i o n 4 ) C o n s t r u c t i o n a n d m a t e r i a l s 6 . 0 2 5 0 . 0 0 N C B N Y 2 0 0 8 - 9 - 3 0 C i X i d r a i n a g e c o m p a n y C X / C 9 N o r t h e r n E a s t e r n e n g i n e e r i n g w e t l a n d s C o n s t r u c t i o n a n d m a t e r i a l s 5 . 1 6 4 2 . 7 9 N C B N Y 2 0 0 7 - 1 0 - 3 0 C i X i d r a i n a g e c o m p a n y C X / G 1 - 1 , 0 . 3 9 3 . 2 6 C X / G 1 - 2 S u p p l y o f p i p e l i n e m a i n t e n a n c e e q u i p m e n t a n d v e h i c l e s P r o c u r e m e n t o f E q u i p m e n t 0 . 4 0 3 . 4 0 I C B g o o d s N Y 2 0 0 7 - 8 - 3 0 C i X i d r a i n a g e c o m p a n y C X / G 2 P r o c u r e m e n t o f L a b E q u i p m e n t P r o c u r e m e n t o f E q u i p m e n t 0 . 0 9 6 0 . 8 N a t i o n a l S h o p p i n g N 2 0 0 8 - 3 - 3 0 C i X i d r a i n a g e c o m p a n y C X / G 3 P r o c u r e m e n t o f M a i n t e n a n c e E q u i p m e n t P r o c u r e m e n t o f E q u i p m e n t 0 . 0 8 4 0 . 7 N a t i o n a l S h o p p i n g N N 2 0 0 8 - 3 - 3 0 C i X i d r a i n a g e c o m p a n y Page 6 N I N G B O W A T E R E N V I R O N M E N T P R O J E C T N E W P M O P a g e 6 o f 9 N o t e : C o n t r a c t s C X / C 1 - C 6 & T 1 , 2 , 3 h a v e b e e n s i g n e d a n d a b o v e l i s t e d a r e t h e a c t u a l v a l u e s . Page 7 NINGBO WATER ENVIRONMENT PROJECT NWEPO Page 7 of 9 III. Selection of Consultants. 1. Prior Review Threshold: Selection Method Prior Review Threshold Comments 1 Competitive Methods US $100,00 for firm and US $50,000 for individual 2 Single Source Method all 2. Special Selection Arrangements: The World Bank has also authorized the use of retroactive financing for one potential consulting assignments: TA Package A for design review and advisory services of construction management for both companies, Metcalf & eddy has been chosen to do the assignments and has been on duty since June,2005. PMO implement the contract as the representative of the clients. 3. Consultancy Assignments with Selection Method and Time Schedule: TA – Package B(NWSC Central Control System) ,The contract has been signed with Sogreah, Ningbo Water Supply Company is responsible for the contract implementation as the client. TA – Package C ( Strategic Water Planning & Price and Service Regulatory ): Package C Ningbo Water Regulatory, Planning and Management is in the period of shortlist preparation. The revised the consultants shortlist and RFP have been drafted. A local task team to work with the international consultant for Package C is under development. PMO will be responsible to coordinate the local task team. TA – Package E(Cixi Sewage Company TA) : The EOI was advertised mid June 2006.The progress of the section of TA Package E is poor due to CDC has not enough experience for the section procedure. 1 2 3 4 5 6 7 Ref. No. Description of Assignment Estimate d Cost (US$) Selection Method Review by Bank (Prior/post) Expected Proposal Submission Date Comments / duration A Design review and construction supervision 1,500,000 QCBS Prior Opened Start: June 2005, Duration 55 months. B NWSC Central Control System TA 500,000 QCBS Prior Opened 24 months C Ningbo Water Regulatory, Planning and Management 1,000,000 QCBS Prio 10 th July 2007 12 months E Cixi Sewage Company TA 1,000,000 QCBS Prior 24th April,2007 21 months Training 200,000 Total 4,500,000 Page 8 NINGBO WATER ENVIRONMENT PROJECT NWEPO Page 8 of 9 IV. Implementing Agency Capacity Building Activities with Time Schedule. No. Expected outcome / Activity Description Estimated Cost Estimated Duration Start Date Comments 1 The NMPMO will formally issue the procurement manual after the negotiation. With this manual, it is expected that all the procedures, responsibilities, documents, etc. will be clarified and specified. April 2005 Issued a supplement in August 2006 2 NMPO will organize procurement trainings on preparation of bidding documents and bidding procedures. Procurement staff will get knowledge on project procurement. On-going four time with a total of some 20 staff-time shared the the Bank ’s procurement trainings. 3 Design Review and Advisory Services for NWSC and CMWC: The consultants will assist with three major tasks covering both NWSC and CMWC: (i) ensure ICB bid documents are prepared with level of quality to meet Bank standards; (ii) assist in developing and implementing a construction management program based on sound engineering practice; and (iii) ensure adequate health and safety and quality assurance procedures. International Consultants: June 2005 to December 2008 Expect International Consultants need to be lasted to December 2009 or the middle of 2010. 4 Procurement agent will be recruited to address the weakness that Cixi does not have experience with World Bank project Completed, but poor efficiency. Page 9 NINGBO WATER ENVIRONMENT PROJECT NWEPO Page 9 of 9