T16/02/13

REQUEST FOR PROPOSAL TO

CONDUCT A FEASIBILITY STUDY FOR
THE DEVELOPMENT OF A CABLE CAR
OF BLYDE RIVER CANYON
CLOSING DATE: TUESDAY, 19 MARCH 2013
AT 12:00 NOON

Industrial Development Corporation

TABLE OF CONTENTS

SECTION 1: GENERAL CONDITIONS OF BID

1.

Proprietary Information

2.

Enquiries

3.

Bid Validity Period

4.

Instructions on submission of Tenders

5.

Preparation of Bid Response

6.

Supplier Performance Management

7.

IDCs Rights

8.

Undertakings by the Bidder

9.

Reasons for disqualification

10.

Response Format (Returnable Schedules)

11.

Evaluation Criteria and Weightings

SECTION 2: TECHNICAL REQUIREMENTS SPECIFICATION

10

1.

Special instructions to bidders

11

2.

Background Information

11

3.

Scope of Work/ Terms of Reference

12

4.

Project Timelines

13

5.

Technical Evaluation Criteria

13

SECTION 3: PRICE PROPOSAL

15

SECTION 4: ANNEXURES

19

Page 2

Industrial Development Corporation

SECTION 1: GENERAL CONDITIONS OF BID

Page 3

1.

Proprietary Information
Industrial Development Corporation of SA Ltd (IDC) considers this Tender and all related
information, either written or verbal, which is provided to the respondent, to be proprietary
to IDC. It shall be kept confidential by the respondent and its officers, employees, agents
and representatives. The respondent shall not disclose, publish, or advertise this
specification or related information to any third party without the prior written consent of
IDC.

2.

Enquiries
All communication and attempts to solicit information of any kind relative to this Bid should
be channelled to:
Contact person (all technical questions should be in writing)
Name:
Ms Shirley Mampuru
Telephone Number:
+27 11 269 3583
Fax Number:
086 210 3583
Email address:
shirleym@idc.co.za

3.

Bid Validity Period

Responses to this tender received from vendors will be valid for a period of 120 days
counted from the closing date of the tender.

4.

Instructions on submission of Tenders

4.1

Tenders should be submitted in duplicate (2 hard copies) all bound in a sealed

envelope endorsed, T16/02/13: Request for proposal to conduct a feasibility study
for the development of a cable car of Blyde river canyon nature reserve and one
electronic copy (on CD) in PDF format. The sealed envelope must be placed in the
tender box at the Main Reception area of the IDC Building, 19 Fredman Drive Sandton
by no later than 12:00 noon on Tuesday, 19 March 2013.

4.2

Tenders must be submitted in a prescribed response format herewith reflected as

Response Format.

4.3

The closing date, company name and the return address must also be endorsed on the
envelope.

4.4

If a courier service company is being used for delivery of the tender document, the
tender description must be endorsed on the delivery note/courier packaging and the
courier must ensure that documents are placed / deposited into the tender box. The
IDC will not be held responsible for any delays where tender documents are
handed to the IDC Receptionist.

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4.5

No tender received by telegram, telex, email, facsimile or similar medium will be

considered.

4.6

Where a tender document is not in the tender box at the time of the tender closing,
such a tender document will be regarded as a late tender. The IDC reserves the right
not to evaluate any late tender response.

4.7

Amended tenders may be sent in an envelope marked Amendment to tender and

should be placed in the tender box before the closing time.

5.

Preparation of Bid Response

5.1

All the documentation submitted in response to this bid must be in English.

5.2

The tenderer is responsible for all the cost that they shall incur related to the
preparation and submission of the tender document.

5.3

Tenders submitted by Companies must be signed by a person or persons duly authorised

thereto by a resolution of a Board of Directors, a copy of which Resolution, duly certified
be submitted with the Tender.

5.4

Bidders should check the numbers of the pages to satisfy themselves that none are
missing or duplicated. No liability will be accepted by IDC in regard to anything arising
from the fact that pages are missing or duplicated.

5.5

A list of all references (minimum of 3) must be included in the bid response.

5.6

A valid tax clearance certificate must be included in the bid response.

5.7

A copy(s) of certificates from the organizations/ bodies that the tenderer is affiliated to
must be included in the bid response.

6.

Supplier Performance Management

Supplier Performance Management is viewed by the IDC as critical component in
ensuring value for money acquisition and good supplier relations between the IDC and all
its suppliers.
The successful bidder shall upon receipt of written notification of an award, be required to
conclude a Service Level Agreement (SLA) with the IDC, which will form an integral part of

Page 5

the supply agreement. The SLA will l serve as a tool to measure, monitor and assess the
suppliers performance level and ensure effective delivery of service, quality and valueadd to IDCs business.
Bidders are required to comply with the above condition, and also provide a scorecard on
how their product / service offering is being measured to achieve the objectives of this
condition.

7.

IDCs Rights

7.1

The IDC is entitled to amend any tender conditions, validity period, specifications, or
extend the closing date of tenders before the closing date. All tenderers, to whom the
tender documents have been issued, will be advised in writing of such amendments in
good time.

7.2

The IDC reserves the right not to accept the lowest tender or any tender in part or in
whole. It normally awards the contract to the tenderer who proves to be fully capable of
handling the contract and whose tender is technically acceptable and/or financially
advantageous to the IDC.

7.3

The IDC reserves the right to award this tender to a purely empowerment company or
may award this tender on condition that a joint venture with an empowerment company
is formed. This will be added to the criteria when evaluating the tenders.

7.4

The IDC reserves the right to award this tender as a whole or in part without furnishing
reasons.

7.5

IDC reserves the right at all material times to extend the scope of work relating to this
tender to include all or some of the IDCs Subsidiaries. Should this be the case, as a
result thereof all the relevant implications will be negotiated between the IDC and the
successful tenderer.

8.

Undertakings by the Bidder

8.1

The bidder hereby offer to render all or any of the services described in the attached
documents to the IDC on the terms and conditions and in accordance with the
specifications stipulated in this Tender documents (and which shall be taken as part of,
and incorporated into, this Proposal at the prices inserted therein).

8.2

Tenders submitted by Companies must be signed by a person or persons duly authorised

thereto by a resolution of a Board of Directors, a copy of which Resolution, duly certified
be submitted with the Tender.

Page 6

8.3

The bidder shall prepare for a possible presentation should IDC require such and the
tenderer shall be notified thereof no later than 4 (four) days before the actual
presentation date.

8.4

The bidder hereby agree that the offer herein shall remain binding upon him/her and
receptive for acceptance by the IDC during the validity period indicated and calculated
from the closing hour and date of the Tender; this Proposal and its acceptance shall be
subject to the terms and conditions contained in this tender document.

8.5

The bidder furthermore confirm that he/she has satisfied himself/herself as to the
correctness and validity of his/her Tender response that the price(s) and rate(s) quoted
cover all the work/item(s) specified in the Tender response documents and that the
price(s) and rate(s) cover all his/her obligations under a resulting contract and that
he/she accept that any mistakes regarding price(s) and calculations will be at his/her
risk.

8.6

The bidder hereby accept full responsibility for the proper execution and fulfilment of all
obligations and conditions devolving on him/her under this agreement as the Principal(s)
liable for the due fulfilment of this contract.

9.
9.1

Reasons for disqualification

The IDC reserves the right to disqualify any bidder which does any one or more of the
following, and such disqualification may take place without prior notice to the offending
bidder, however the bidder will be notified in writing of such disqualification:

9.1.1

bidders who do not submit a valid and original Tax Clearance Certificate on the
closing date and time of the bid;

9.1.2

bidders who submitted incomplete information and documentation according to

the requirements of this bid document;

9.1.3

bidders who submitted information that is fraudulent, factually untrue or

inaccurate information;

9.1.4

bidders who received information not available to other vendors through

fraudulent means; and/or

9.1.5

bidders who do not comply with mandatory requirements as stipulated in this

bid document.

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10. Response Format (Returnable Schedules)

Tenderers shall submit their responses in accordance with the response format specified
below (each schedule must be clearly marked):

10.1

Cover Page: (the cover page must clearly indicate the tender reference number,
tender description and the tenderers name)

10.2

Schedule 1:

10.2.1

Executive Summary

10.2.2

Annexure 1 of this tender document (duly completed and signed)

10.3

Schedule 2

10.3.1

Original and Valid tax clearance certificate(s);

10.3.2

Certified copies of your CIPRO company registration documents listing all

members with percentages, in case of a CC. Or latest certified copies of all share
certificates in case of a company;

10.3.3

Annexure 2 of this tender document (duly completed).

10.3.4

BEE Certificate verified by a SANAS accredited verification agency or a letter

from the suppliers auditor (option only for Exempted Micro Enterprises with
annual turnover less than R5 million);

Note: If a Consortium, Joint Venture or Subcontractor, the documents listed above

(10.3.1-3) must be submitted for each Consortium/ JV member or subcontractor.

10.4

Schedule 3: Response to Section 2 of this document

10.5

Schedule 4: Price Proposal (response to Section 3 of this bid document) (Must be

submitted in a separate envelope)

10.6

One (1) CD with all Schedules listed above

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11. Evaluation Criteria and Weightings

Tenders shall be evaluated in terms of the following parameters:
11.1

Technical
Bids will be evaluated in accordance with the following technical criteria:

11.1.1

Mandatory Requirements
All bid responses that do not meet technical mandatory requirements may be
disqualified and may not be considered for further evaluation on the NonMandatory technical (If applicable).

11.1.2

Non-Mandatory Requirements
With regard to non-mandatory technical requirements, the following criteria and the
weightings will be applicable:
ELEMENT

WEIGHT

Bidders Relevant Experience

50

Proposed Methodology

35

Experience, Skills and Qualifications of the Project Team

15

TOTAL

100%

Note: The minimum qualifying score for functionality is 70%. All tenders that fail to achieve the
minimum qualifying score on functionality shall not be considered for further evaluation on Price
and BEE.

11.2

Preference Point System

All tenders that will achieve the minimum qualifying score (acceptable bids) will be evaluated
further in terms of the preference point system as follows:

CRITERIA

POINTS

Price

90

BEE

10
TOTAL

100 points

Page 9

Industrial Development Corporation

SECTION 2: TECHNICAL REQUIREMENTS SPECIFICATION

Page 10

SECTION 2: TECHNICAL REQUIREMENTS SPECIFICATION

1.

Special instructions to bidders

1.1

Should a vendor have reasons to believe that the requirement Specification is not open
and/or is written for a particular brand or product or service provider; the bidder shall
notify IDC Procurement within five (5) days after publication of the bid.

1.2

Bidders shall provide full and accurate answers to the questions posed in this
document, and, where required explicitly state either Comply/Not Comply regarding
compliance with the requirements. Bidders must substantiate their response to all
questions, including full details on how their proposal/solution will address specific
functional/ technical requirements, failure to substantiate mya lead to the bidder being
disqualified. All documents as indicated must be supplied as part of the bid response.
Failure to comply with Mandatory Requirements may lead to the bidder being
disqualified.

2.

Background Information

The Blyde River Canyon Nature Reserve is internationally renowned for its natural
splendour. Characterized by striking rock formations, with quartzite layers visible as sheer
cliff faces in the Blyde River Canyon as well as on the edge of the escarpment, it forms
the third largest canyon in the world (after the Grand Canyon in the USA and the Fish
River Canyon in Namibia). Regarded as the largest green canyon it has become one of
the key attractions for the international and domestic tourist market in South Africa. It is
located in an area with one of the highest known plant diversity figures for the
Mpumalanga Province and contains many endemic species.

Possibly the best view in the whole of the Blyde River Canyon is of the "Three
Rondavels", huge, round rocks, thought to be reminiscent of the houses or huts of the
indigenous people, known as rondavels. This canyon is part of the Panorama route. This
route starts at the town Graskop and includes God's Window, the Pinnacle and Bourke's
Luck Potholes.

Mpumalanga Tourism and Parks Agency (MTPA) have identified the development of a
Cable Car as a key to unlocking the tourism potential of the region and enhance
competitiveness of the province with regard to adventure tourism. The proposed Cable
Car will carry tourists from the upper-canyon (a site near Forever Resorts, Blyde River
Canyon has been identified) to the lower-canyon where an array of activities will be
provided, including boat rides, hiking, abseiling, white water rafting, to name a few.

The proposed development of the Blyde River Cable Car will provide an alternative to the
Table Mountain Cableway in the Western Cape. It will also complement the current and
proposed (i.e. Skywalk at Gods Window) product offerings of the Panorama route and is
expected to boost tourist numbers to this area.
The planning effort of the cable car development is mostly directed towards improving the
economy. The economic impact of Cable Car project results in direct and indirect job
Page 11

creation, income and foreign exchange, empowering the communities that own the land
as well as the multiplier effect within the local and regional economy.

IDCs Tourism SBU has identified the Cable Car as a project that they are keen to pursue
mainly as a result of the anticipated positive impact that the proposed development will
have on the South African economy more specifically in terms of job creation, local
development and empowering the community through equity participation, training, skills
development, employment opportunities etc. It should be noted that the subject property
is under land claims and hence permission is required by the Land Claims Commissioner
to continue with site assessments with regard to the Cable Car development process.

Preliminary studies undertaken by MTPA indicate that this facility will play a major role in
generating tourism demand to the area as well as enhancing the experience of tourists to
the region, without compromising the experience of others. The broad environmental
guidelines for the establishment of a Cable Car have been completed and the project
team has decided to procure the services of a reputable consulting firm that specialises in
conducting studies for the tourism industry to assist with a feasibility study. The purpose of
the study will be to gauge the need, viability, infrastructure requirements, product offering
and packaging, potential market support, forecast usage, costs, benefits and multiplier
effects of the Cable Car project within South Africa.
3.

Scope of Work/ Terms of Reference

The study must cover the following areas:

Municipal, environmental and heritage requirements that may impact on the

establishment of the Cable Car at Blyde River Canyon, e.g. land-use zoning,
building restrictions, disaster management, geological stability of the development
site, environmental impact, heritage impact, etc.

In consultation with the relevant conservation agency develop the concept

drawings, cost estimates, services report, structural engineering report,
geotechnical studies and project programme.

The planned concept must be described and industry trends discussed.

Market Analysis - The market areas are to be defined based on distance from the
site. Demographic characteristics for the resident market need to be analyzed to
provide an indication of support. This will typically include population growth, age
distribution, income distribution etc. The tourist market should be defined and
analyzed. Based on available information, this analysis should likely examine
current size, historic growth, other characteristics etc.

Selected comparable facilities would be examined. Available reported information

would be provided on individual characteristics, including name and location,
physical description, financial performance, development costs etc.

Potential annual usage for the propose Cable Car would be estimated for the first
five years of operation based on a number of factors, including planned
components, size of the available markets, qualitative market characteristics,
market penetration rates achieved by comparable facilities, location and possible
competition etc.

Page 12

4.

Determine the warranted development cost or investment based on potential

profitability. This will be the recommended maximum amount that should be spent
to effectively develop the project and return a reasonable return-on-investment to
equity investors. This warranted amount should be compared to the actual
development costs for existing comparable facilities. Relative size to be taken into
consideration.
This comparison should provide guidance as to whether the
proposed project could be developed for its warranted investment.

A financial analysis for the Cable Car based on potential usage. Financial
estimates for the first five years of operations must include revenues by category,
operating expenses, operating profit, and return-on-investment for equity investors
etc.

Links with and benefits for local industries, e.g. servicing of equipment, arts and
crafts, transport, etc.

Number of permanent and temporary jobs to be created during the construction

phase and first five years of operation. Special reference should be made to skills
requirements related to the job opportunities to be created by the project and the
economic multiplying effect of such job creation.

Project Timelines
The bidder must start immediately after the tender award and the project must be
completed within a period of four (4) months from the commencement date.

5.

5.1

Technical Evaluation Criteria

Non-Mandatory Technical Requirements

5.1.1 Bidders Relevant Experience

Comply

The bidder must have experience in conducting feasibility studies

for commercially viable stand-alone tourism attractions.

The bidder must provide three (3) references of similar work done
in the past five years. Please refer to Annexure 3 of this document
for the format in which the required formation must be provided.
Substantiate / Comments

Page 13

Not
Comply

5.1.2 Proposed Methodology

Comply

Not
Comply

The bidder must demonstrate the thorough understanding of the

project, its tasks and deliverables.

Please provide a detailed proposal of the methodology to be used

to carry out the scope of work outlined above and clearly
demonstrating how the project deliverables will be achieved. A
schedule of timelines and deliverables must also be provided.
Substantiate / Comments

5.1.3 Experience, Skills and Qualifications of the Project Team

The bidders proposed project team must have relevant skills,
qualifications and experience.

The bidders must submit, as part of its proposal, the following:

The structure and composition of the proposed team, clearly
outlining the main disciplines/ specialties of this project and
the key personnel responsible for each specialty. The project
team leader/s should have played key roles in at least two
similar projects. Please refer to Annexure 2 for a response
format.
CVs of the key project team members; and the CVs must
clear highlight the areas of experience/ competence relevant
to the tasks and objectives of the assignment as outlined
above.
Substantiate / Comments

Page 14

Comply

Not
Comply

SECTION 3: PRICE PROPOSAL

Page 15

SECTION 3: Cost Proposal

1
2
3

Please indicate your total bid price here: R (compulsory)

NOTE: All prices must be VAT exclusive and must be quoted in South African Rand (ZAR).
Are the rates quoted firm for the full period of the contract?
YES
NO

Important: If not firm for the full period, provide details of the basis on which adjustments shall be applied
e.g. CPI, and also details of the cost breakdown.
4
The bidder must indicate CLEARLY which portion of the bid price is linked to the
exchange rate.

Comply

Not Comply

Comply

Not Comply

Comply

Not Comply

Substantiate / Comments
5
All additional costs must be clearly specified and included in the total bid price.
Substantiate / Comments
6
Payments will be linked to specified deliverables after such deliverables have
been approved by the IDC.
Substantiate / Comments
8

COSTING MODEL
Proposal to conduct a feasibility study for the development of a cable car of Blyde
river canyon nature reserve
Activity/ Deliverable

Resource(s)

Rate/Hour per

Number

Cost

resource

of hours

(VAT Excl.)

Disbursements
Total Cost of Service (VAT Excl.)

Note: Disbursements and must be clearly defined (outlining all assumptions) and a detailed
breakdown thereof must be provided.

Page 16

SUMMARY OF THE PROPOSAL

DESCRITPION

BIDDERS PROPOSAL

Number of resources (personnel)

Project Duration (in weeks)
Project Duration (in hours)
Commencement Date

Page 17

Price Declaration Form

Dear Sir,
Having read through and examined the Request For Proposal (RFP) Document, RFP no. T16/02/13 the
General Conditions, The Requirement and all other Annexures to the RFP Document, we offer to conduct
a feasibility study into the development of a Cable Car at Blyde River Canyon Nature Reserve as detailed
in the Tender document for a period 4 months at the following total amount (including escalation fees):
R......................................................................................................................... (Excluding VAT)
In words
R..............................................................................................................................(Excluding VAT)
We confirm that this price covers all activities associated with the project management and consulting
service, as called for in the Tender document. We confirm that IDC will incur no additional costs
whatsoever over and above this amount in connection with the provision of this service.
We undertake to hold this offer open for acceptance for a period of 120 days from the date of submission
of offers. We further undertake that upon final acceptance of our offer, we will commence with the
provision of service when required to do so by the IDC.
We understand that you are not bound to accept the lowest or any offer and that we must bear all costs
which we have incurred in connection with preparing and submitting this tender.
We hereby undertake for the period during which this tender remains open for acceptance not to divulge
to any persons, other than the persons to which the tender is submitted, any information relating to the
submission of this tender or the details therein except where such is necessary for the submission of this
tender.
SIGNED

DATE

(Print name of signatory)

Designation

FOR AND ON BEHALF OF:

COMPANY NAME
Tel No
Fax No
Cell No

Page 18

SECTION 4: ANNEXURES

Page 19

Industrial Development Corporation

Annexure 1 Acceptance of Bid Conditions And Bidders

Details
Request for Proposal No:
Name of Bidder:
Authorised signatory:
Name of Authorised
Signatory
Position of Authorised
Signatory

By signing above the bidder hereby accept full responsibility for the proper execution and
fulfilment of all obligations and conditions devolving on him/her under this agreement as the
Principal(s) liable for the due fulfilment of this contract.

[Note to the Bidder: The Bidder must complete all relevant information set out below.]

BIDDING STRUCTURE
Indicate the type of Bidding Structure by marking with an X:
Individual Bidder
Joint Venture/ Consortium
Sub Contractors
Other

REQUIRED INFORMATION
If Individual Bidder:
Name of Company
Registration Number
Vat registration Number
Contact Person
Telephone Number
Fax Number
Email address
Postal Address
Physical Address

Page 20

If Joint Venture or Consortium, indicate the following for each partner:

Partner 1
Name of Company
Registration Number
Vat registration Number
Contact Person
Telephone Number
Fax Number
Email address
Postal Address
Physical Address
Partner 2
Name of Company
Registration Number
Vat registration Number
Contact Person
Telephone Number
Fax Number
Email address
Postal Address
Physical Address

Page 21

If using sub-contractors, indicate the following:

Prime Contractor
Name of Company
Registration Number
Vat registration Number
Contact Person
Telephone Number
Fax Number
Email address
Postal Address
Physical Address
Sub contractors
Name of Company
Company Registration Number
Vat registration Number
Contact Person
Telephone Number
Fax Number
Email address
Postal Address
Physical Address

Page 22

- 23 -

Annexure 2 - Supply chain management practices questionnaire

Request for Proposal No:
Name of Respondent:
Authorised signatory:

[Note to the Respondent: the Respondent must complete the information set out below. If the Respondent
requires more space than is provided below it must prepare a document in substantially the same format setting
out all the information referred to below and return it with Returnable Schedule 2.]
The Respondent must complete the following questionnaire.
Respondent's past supply chain management practices:

Item

Question

Yes

No

3.1

Is the Respondent or any of its directors listed on the South African National
Treasurys database as companies or persons prohibited from doing business
with the public sector?

Yes

No

Yes

No

Yes

No

(Companies or persons who are listed on this database were informed in

writing of this restriction by the South African National Treasury after the audi
alteram partem rule was applied).
If so, provide particulars:

3.2

Is the Respondent or any of its directors listed on the Register for Tender
Defaulters in terms of section 29 of the Prevention and Combating of Corrupt
Activities Act No 12 of 2004?
To access this Register enter the National Treasurys website,
www.treasury.gov.za, click on the icon Register for Tender Defaulters or
submit your written request for a hard copy of the Register to facsimile
number +27123265445.
If so, provide particulars:

3.3

Was the Respondent or any of its directors convicted by a court of law

(including a court outside of the Republic of South Africa) for fraud or
corruption during the past five years?

- 24 -

Item

Question

Yes

No

Yes

No

If so, provide particulars:

3.4

Was any contract between the Respondent and any organ of state (within the
Republic of South Africa or within any foreign territory) terminated during the
past five years on account of failure to perform on or comply with the
contract?

If so, provide particulars:

Page 24

- 25 -

Annexure 3: Response Format for Section 2

Bidders Experience and the proposed Project Team
Request for Proposal No:
Name of Respondent:
Authorised signatory:

[Note to the Bidder: The bidder must complete the information set out below in response to the requirements stated in Section 2 of this bid document. If the bidder requires
more space than is provided below it must prepare a document in substantially the same format setting out all the information referred to below and return it with this
Returnable Schedule 3.]

The bidder must provide the following information:

(a)

Details of the bidder's current and past (over the past ten years) projects of similar type, size and complexity to the required services set out in Section 2 of
this document:
Client Name

Project description

Project Cost

Project period
(Start and End Dates)

Description of service performed and

extent of Bidder's responsibilities

Name, title and telephone

contact of client

- 26 -

(b)

Details of the bidder's proposed project team:

Relevant Project Experience

Name

Position

Role / Duties in this Project

Project description, Client, Project period

Page 26

Project Cost