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EOI Cum RFP

FOR

PROVIDING INTRA-STATE AIR CONNECTIVITY WITHIN

UTTAR PRADESH

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DISCLAIMR

The information contained in this document (hereinafter referred to as “EOI Cum RFP”) document or

subsequently provided to the Bidders, whether verbally or in documentary form by or on behalf of

the Uttar Pradesh State Tourism Development Corporation Ltd (UPSTDC), their employees or any of its

agencies/consultants/advisors, is provided to the Bidder(s) on the terms and conditions set out in

this EOI Cum RFP and all other terms and conditions subject to which such information is provided.

The purpose of this EOI Cum RFP is to provide the Bidders with information to assist the formulation

of their Eligibility and Financial Proposal. This EOI Cum RFP does not purport to contain all the

information for all the persons, and it is not possible for UPSTDC, their employees or any of its

agencies/consultants/advisors to consider the business/investment objectives, financial situation and

particular needs of each Bidder who reads or uses this EOI Cum RFP. Each Bidder should

conduct its own investigations and analysis, and should check the accuracy, reliability and

completeness of the information in this EOI Cum RFP and where necessary obtain independent advice

from appropriate sources. UPSTDC, their employees or any of its agencies/consultants/advisors make

no representation or warranty and shall incur no liability under any law, statute, rule or

regulation as to the accuracy, reliability or completeness of the EOI Cum RFP. UPSTDC may in its

own discretion, but without being under any obligation to do so, update, amend or supplement the

information in this EOI Cum RFP.

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Contents of the Tender Document

Part A EOI-Air Service Operators Capacity and Experiences

Part B

Section I Instructions to Bidders (ITB)

Section II Air Service Operation Agreement (AOA)

The “Instructions to Bidders (ITB)” is being issued to bidders as Section I of the EOI Cum RFP and must

be read in conjunction with Section II which is the “air service operation agreement” (AOA) of this

Tender Document as shown above and the terms of Section I of the EOI Cum RFP shall prevail over the

terms of the AOA in the event of any inconsistency. However, in case the inconsistency between the

ITB and Section II of the EOI Cum RFP relates to the bidding process, then, the terms of the ITB

shall prevail. The contents of the forms and undertakings attached to the ITB and to be furnished by

the Bidders should be considered as an integral part of these instructions. The Bidders are advised to

submit their bids complying strictly with the requirements stipulated in this EOI Cum RFP. Bids are

liable to be summarily rejected in case they are non-responsive.

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TABLE OF CONTENTS

Part-A

1) Project background & Motivation..................................................................................................2

2) Key Objective..........................................................................................................................................3

3) Scope of work..........................................................................................................................................3

4) Specific task and outputs of Air Service operator..................................................................4

5) Associated responsibilities of the Air Service Operator......................................................4

6) Eligibility Criteria/Bid Qualification Criteria.............................................................................6

7) Compliance and Regulatory Requirement..................................................................................6

8) Confidentiality.........................................................................................................................................7

9) Intellectual property right..................................................................................................................7

10) Support from UPSTDC..........................................................................................................................7

11) Submission of Bid..................................................................................................................................7

12) Venue and Deadline for submission..............................................................................................8

Part-B

1. Brief Description of Bidding Process ................................................................................. 11

2. Availability of Tender Document ..........................................................................................11

3. Pre-Bid Meeting .......................................................................................................................... 11

4. Validity, Bid Security and Rejection of the Bid .............................................................. 12

5. Schedule of Bidding Process ................................................................................................. 12

6. Further Information ................................................................................................................. 12

7. General terms of Bidding ........................................................................................................13

8. Conflict of Interest..... ............................................................................................................... 13

9. Scope of the Project..... .............................................................................................................14

10. Eligibility of Bidders /Technical Parameters ............................................................... 14

11. Consortium................................................................................................................................. 16

12. Special Purpose Vehicle (SPV) and Equity Lock in.................................................... 17

13. Cost of Bidding .......................................................................................................................... 17

14. Clarification of Tender Document:-................................................................................. 18

15. Language of Bid........................................................................................................................ 18

16. Bid Security and Commitment /Performance Security...........................................18

17. Bid Variable and other conditions ................................................................................... 18

18. Bid Validity:- .............................................................................................................................. 20

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19. Format and Signing of Bid:- ................................................................................................ 20

20. Sealing and Marking of Bids ............................................................................................... 21

21. Deadline for Submission of Bids ....................................................................................... 21

22. Late Bids ..................................................................................................................................... 21

23. Opening of Bids ........................................................................................................................ 21

24. Evaluation and Comparison of Bids ............................................................................... 22

25. Fraud and Corrupt Practices............................................................................................. 24

26. Authority’s Right to Accept any Bid and to Reject any or all Bids................... 24

27. Communication of Acceptance........................................................................................ 25

28. Execution of the AOA ......................................................................................................... 26

29. Return /Forfeiture of Bid Security and Commitment Security ....................... 26

30. Confidentiality ........................................................................................................................ 27

31. Miscellaneous......................................................................................................................... 27

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Part A

EOI-Air Service Operators Capacity and Experiences 1) PROJECT BACKGROUND and MOTIVATION

Uttar Pradesh abbreviated as UP, is the most populous state in the Republic of India as well as the most populous country subdivision in the world. It was created on 1 April 1937 as the United Provinces, and was renamed Uttar Pradesh in 1950. Lucknow is the capital city of Uttar Pradesh. Ghaziabad, Kanpur, Gorakhpur, Allahabad, Raebareli, Moradabad, Bareilly, Aligarh, Sonbhadra, and Varanasi are known for their industrial importance in the state. The state of Uttar Pradesh (UP) is India’s biggest tourist draw, attracting 155 million domestic and 1.8 million international tourists out of 748 million domestic and 6.2 million international tourists visiting India in 2011. These tourists contributed a total of USD 6 billion to Uttar Pradesh’s economy in 2011. The state is bordered by Rajasthan to the west, Haryana and Delhi to the northwest, Uttarakhand and Nepal to the north, Bihar to the east, Madhya Pradesh to the south and touches the states of Jharkhand and Chhattisgarh to the south east. Uttar Pradesh is the third largest Indian state by economy, with a GDP( Gross Domestic product) of ₹9,763 billion (US$150 billion). Agriculture and service industries are the largest parts of the state's economy. The service sector comprises travel and tourism, hotel industry, real estate, insurance and financial consultancies.

Uttar Pradesh was home to powerful empires of ancient and medieval India. The two major rivers of the state, the Ganges and Yamuna, join at Allahabad and then flow as the Ganges further east. The state has several historical, natural, and religious tourist destinations, such as the Agra, Varanasi, Piprahwa, Raebareli, Kaushambi, Kanpur, Ballia, Shravasti, Gorakhpur, Lucknow.

An ardent need for Air Services is being felt in the state of Uttar Pradesh for tourism promotion so that tourists can easily commute to the various places in the different parts of the state. Taking into account the vast size of the state this type of service will not only encourage business and economy but the transportation will also be much easier to distant places in the state. This service will specially benefit the tourists visiting the Buddhist Circuit here, Apart from this, in the first phase cities like Agra, Varanasi, Gorakhpur, Allahabad, Lucknow etc will be inter-connected as well as would be connected with other tourist spots.

Agra- Is a city on the banks of the river Yamuna in the northern state of Uttar Pradesh, It is a major tourist destination because of its many splendid Mughal-era buildings, most notably the Taj Mahal, Agra Fort and Fatehpur Sikri all three of which are UNESCO World Heritage Sites. Agra is included on the Golden Triangle tourist circuit, along with Delhi andJaipur, and falls within the Braj cultural region. Agra features a semiarid climate that borders on a humid subtropical climate. The city features mild winters, hot and dry summers and a monsoon season. However the monsoons, though substantial in Agra, are not quite as heavy as the monsoon in other parts of India. This is a primary factor in Agra featuring a semiarid climate as opposed to a humid subtropical climate.

Varanasi- also known as Banaras , or Kashi , is a North Indian city on the banks of the Ganges in Uttar Pradesh, it is the holiest of the seven sacred cities (Sapta Puri) in Hinduism and Jainism, and played an important role in the development of Buddhism. Varanasi grew as an important industrial centre, famous for its muslin and silk fabrics, perfumes, ivory works, and sculpture.

Varanasi has been a cultural centre of North India for several thousand years, and is closely associated with the Ganges. Hindus believe that death in the city will bring salvation, making it a major centre for pilgrimage. Among the estimated 23,000 temples in Varanasi are Kashi Vishwanath Temple of Shiva, the Sankat Mochan Hanuman Temple, and the Durga Temple. The Kashi Naresh(Maharaja of Kashi) is the chief cultural patron of Varanasi, and an essential part of all religious celebrations

Gorakhpur- Is one of the most flood-prone districts in Eastern Uttar Pradesh. Data over the past 100 years show a considerable increase in the intensity and frequency of floods, with extreme events occurring every three to four years. Roughly 20% of the population is affected by floods, which are an annual occurrence in some areas, causing huge loss of life, health and livelihoods for the poor inhabitants, as well as damage to public and private property.

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Research from the Climate and Development Knowledge shows that measures are in place to mitigate disaster risk in the form of the Gorakhpur District Disaster Management Plan. However, this plan focuses on how agencies can coordinate following floods and lacks a systematic approach to identifying weather-related hazards and vulnerability.

The district was ceded by the Nawab of Awadh to the British East India Company in 1801. According to the 2011 census Gorakhpur district has a population of 4,436,275, roughly equal to the nation of Croatia or the US state of Kentucky. This gives it a ranking of 40th in India (out of a total of 640). The district has a population density of 1,336 inhabitants per square kilometre (3,460/sq mi). Its population growth rate over the decade 2001-2011 was 17.69%.Gorakhpur has a sex ratio of 944 females for every 1000 males, and a literacy rate of 73.25%.

Allahabad- Allahabad also known by its original name Prayag, is one of the largest cities of the North Indian state of Uttar Pradesh in India. Although Prayaga was renamed Ilahabad in 1575, the name later became Allahabad in an anglicized version in Roman script. The city is situated on an inland peninsula, surrounded by the rivers Ganges and Yamuna on three sides, with only one side connected to the mainland Doab region, of which it is a part. This position is of importance in Hindu scriptures for it is situated at the confluence, known as Triveni Sangam, of the holy rivers. As per Rigveda the Sarasvati River (now dried up) was part of the three river confluence in ancient times. It is one of four sites of the Kumbh Mela, an important mass Hindu pilgrimage.

The ancient name of the city is Prayag (Sanskrit for "place of sacrifice"), as it is believed to be the spot where Brahma offered his first sacrifice after creating the world. Since its founding, Prayaga renamed Allahabad has played an important role in the history and cultural life of India.

Lucknow- Is the largest city of the state of Uttar Pradesh, India A major metropolitan city of India, Lucknow is the administrative headquarters of the eponymous District and Division and the capital of the state of Uttar Pradesh. It is the third largest city in north, east and central India after Delhi and Kolkata and the second largest city in north and central India after New Delhi. It is also the largest city in Uttar Pradesh. Lucknow has always been known as a multicultural city that flourished as a North Indian cultural and artistic hub and the seat of power of Nawabs in the 18th and 19th centuries. It continues to be an important centre of governance, administration, education, commerce, aerospace, finance, pharmaceuticals, technology, design, culture, tourism, music and poetry. Lucknow became independent from Britain on 15 August 1947. It is the world's 74th fastest growing city

Lucknow, along with Agra and Varanasi, is one of the 3 cities in the Uttar Pradesh Tourism's Heritage ARC, which is a chain of survey triangulations created by the Government of Uttar Pradesh to boost tourism in the state.

The Government has named UP State Tourism Development Corporation Ltd (UPSTDC) as a nodal department for initiating all the works related to Intra State air services Operation in the state.

2) Key Objective-

2.1 Provide air connectivity between Lucknow, Allahabad, Agra, Varanasi and Gorakhpur, in the first phase of Intra State Air Service Operation in Uttar Pradesh.

2.2 Provide an effective and reliable schedule with an adequate frequency, which allows for travel from one destination to another and back the same day as well as utilizes its own schedule with existing Airline-schedule to provide connectivity on trunk routes.

2.3 A commitment that the operations are dedicated to the Airport/Airstrips at Lucknow, Allahabad, Agra, Varanasi and Gorakhpur.

3) Scope of work-

The scope of the work shall mean and include, during the agreement Period: a) Managing the Intra State air service operations using aircrafts which shall have 18 to 20

passenger seats in sectors as described in schedule A of the AOA (Air Service Operations

Agreement).

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b) Ensuring safety, security and convenience of the passengers using this air service as per prevailing norms according to DGCA, BCAS and the Airport Authority of India.

c) Performance and fulfillment of all obligations of the operator in accordance with the

provisions of the AOA and matters incidental thereto or necessary for the performance of

any or all of the obligations of the operator under the Agreement.

d) Authority has finalized first phase of operation having predefined sectors for operating the flights.

e) Subsidy quoted will be restricted for maximum flying hours of 300 for per month, or actual

flying hours whichever is less. However this subsidy will not include training flights, test

flights or any operation other than commercial operation for the Intra state Air Service

Operation.

4) Specific task and outputs of Air Service operator-

a) Provide uninterrupted Air Service Operation for the Schedule provided in Schedule- A of

AOA.

b) Schedule- Make Schedule on prescribed routes which are viable and convenient to the

passengers connecting to these destinations and further on trunk routes.

c) Time- Provide UPSTDC all suitable times to connect all the cities mentioned in the schedule

on daily basis.

5) Associated responsibilities of the Air Service Operator-

5.1 The ASO shall, during the daily flight timings, make the aircraft available in operational condition and in time to cater the service as per the daily approved flight program in coordination with Uttar Pradesh State Tourism Development Corporation being as Nodal department for this operation.

5.2 The ASO shall operate only 18 to 20 seater Aircraft. 5.3 The ASO shall ensure that the aircraft is properly licensed and complies with all Applicable

Laws, rules and regulations, orders, standards, and schedules governing aircraft in non-scheduled category of the Director General of Civil Aviation, India and shall bear and pay all amounts, charges levied by the concern Authorities of the Airport.

5.4 The ASO shall obtain all necessary clearances from the Director General of Civil Aviation (DGCA), and the Airport Authority of India (AAI), Bureau of civil Aviation Security (BCAS).

5.5 The ASO shall also obtain necessary clearances for selling the tickets to the passengers for non-scheduled flights operations within the State of Uttar Pradesh from Uttar Pradesh Tourism authorities.

5.6 The ASO shall arrange for extending all necessary insurance coverage to the passengers as per the norms of DGCA and BCAS.

5.7 The ASO shall submit to the UPSTDC a passenger manifest duly certified/attested by the controlling Air Traffic Controller (ATC) and dully cleared by Manager UPTOURS Lucknow, indicating the Air route, total number of passengers and names of each passenger for every flight on fortnightly basis and also, The ASO shall have to submit a copy of the Aircraft Tech log book along the bill for the claim. The ASO shall make available the Aircraft in safe and operational condition to cater the daily flight program.

5.8 ASO shall ensure safe travel of the passengers. 5.9 ASO shall keep the aircraft and crew in a state of readiness to ensure that the declared flying

schedule is strictly adhered to. 5.10 The ASO shall be solely responsible for maintenance, repair and services of the Aircraft in an

airworthy condition in accordance with DGCA standards with no financial assistance from UPSTDC.

5.11 If the Aircraft is grounded due to technical reason or Force Majeure the ASO shall not demand compensation or VGF from the UPSTDC during the non-operational period.

5.12 If for any reasons a flight is cancelled on a particular day the ASO shall ensure that the cancelled passengers shall be accommodated in first available flight, if required, by providing

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additional flight, or by providing safe and secure surface transportation( escorted by ASO representative) on shorter routes or shall be fully refunded if passenger so desire.

5.13 From the Commencement Date ASO shall provide daily flight even if there is a single passenger on a particular route to ensure reliability of the service, however if on particular day there is nil passenger booked on a particular sector the flight may be cancelled in coordination with UPSTDC.

5.14 ASO shall maintain a public relations unit from commencement date to interface with and attend to suggestions from any user of the service operations.

5.15 ASO shall adhere to the safety standards as per the Good Industry Practice and more specifically DGCA regulations.

5.16 The ASO shall ensure safe conditions for the users; it shall follow the relevant operating procedures. Such procedures shall conform to the provisions of this Agreement, Applicable Laws, Applicable Permits and Good Industry Practice.

5.17 All costs and expenses arising out of or relating to safety requirements shall be borne by the ASO to the extent such costs and expenses form part of the work and services included in the Scope of the Project.

5.18 All claims relating to Services, operation and maintenance etc, raised by any third party including passengers shall be met by ASO. No compensation/ reimbursement shall be made by UPSTDC or GoUP.

5.19 The ASO shall at its own cost and expense observe, undertake, comply with and perform following obligations; a. Obtain and maintain on and from the Commencement Date all the insurance in

accordance with the provisions of this Agreement and Good Industry Practice; b. Make reasonable effort to maintain harmony and good industrial relation among the

personal employed in connection with the performance of its obligations under this Agreement;

c. Comply with all Applicable Permits and Applicable Laws in the performance of the ASO’s obligations under this Agreement;

d. Be responsible for the safety, security, soundness of the flights in the Air Service Operation;

e. Indemnify UPSTDC against all actions, suits, claims, demands, and proceedings and any loss or damage or cost or expense that may be suffered by any person on account of anything done or omitted to be done by the ASO in connection with the performance of its obligations under this Agreement.

f. Make a web based application for providing online booking service for all passengers& for the persons/officials authorized by Government of Uttar Pradesh for Air travel. However the flight ticket booking rights for the persons/officials authorized by GoUP will also remain with UPTOURS (Travel Division of UPSTDC). All such booking shall be made through secure online payment system permitting the use of credit/debit card and net banking with a facility to revert payment if the flight is cancelled;

g. Operate flight on Air Routes described in Annexure-A to this Agreement. These Air Routes maybe amended from time to time with mutual consent of the parties to this Agreement. Deploy and maintain requisite aircrafts for operating such flights and strictly observed the declared flight schedule.

h. Be solely responsible for complying with all Applicable Laws, permits, Good Industry Practice; be liable to pay all applicable taxes, levies etc.

i. Not hold UPSTDC liable in any manner whatsoever for the non-receipt of any clearance/permission from any Government Agency;

j. For each landing on air strip owned and maintained by the State Government, be liable to pay applicable charges for a category of fire and safety services to be decided for each Aircraft in accordance with the provisions contained in annex 14 in ICAO document and other party services usages to the authority responsible for providing these services in a manner prescribed by UPSTDC;

k. Shall make necessary air infrastructure arrangement in the identified airports/airstrips for successful operation of air services.

l. Provide basic in-flight/ on ground services/ amenities as per provisions of this Agreement, Applicable Laws and Good Industry Practice.

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5.20 The ASO shall have to give an undertaking to UPSTDC that in case of withdrawal of Air Service Operation before the term assigned, it will be the sole responsibility of ASO to clear all dues including payments to any agency and the full reimbursement of fare to passengers. UPSTDC will not be liable for any liability or dues levied on the ASO.

5.21 In the event that a flight is diverted due to technical reasons or adverse weather, the ASO shall make such alternate ground and transport arrangement as may be required for the passengers so as to transport them from such diverted place to the original destination at ASO’s cost. Alternatively the passenger(s) can choose to make their own accommodation arrangement at such diverted destination and shall be eligible to use the rescheduled flight from the diverted destination. The ASO shall provide all necessary assistance to the passengers in making their ground arrangements.

6) Eligibility Criteria/Bid Qualification Criteria-

The Bidder’s competency and capability is proposed to be evaluated on the basis of a

single stage, two envelope process:

This stage is divided in two segments-

Technical Capability

Financial Capability

Envelope 1: Technical bid ( 1 set to be submitted as hard copy at the communication address mentioned).

a) The Bidder must be a body corporate and a company incorporated and registered in India under the Companies Act, 1956 and 2013, or a Consortium of the same.

b) The aircraft deployment shall be completed within four months from the date of signing

of AOA to start Air Service Operation with the stipulated timeframe mentioned in the

tender.

c) The Bidder should have at least two persons at senior managerial level each having at

least five (5) years of experience of managing civil air service operations on the rolls of

the companies at the time of submitting the bids.

d) Director / Major shareholder / Consortium should have at least five (5) years of experience

in senior position in aviation sector preferably Airline/General Aviation.

e) Bidder shall have a minimum aggregate Turnover of Rs. 5 Crore through Aviations

services in the three consecutive financial years. Bidder shall submit the certified copy of

audited annual reports by authorized Auditor.

f) The Bidder shall have an Indian Non Scheduled Operator’s Permit/ Scheduled Operator’s Permit (NSOP/SOP) from Director General of Civil Aviation (DGCA).

Envelope 2: Price Bid (to be submitted in hard copy in separate envelope)

The Price Bid shall not be submitted along with the hard copy of Technical Bids. It shall be

submitted Separately. If the Price bids are submitted with the technical bids, it will lead to

disqualification of the Bidder.

The contents of envelope 1 and envelope 2 have been specifically detailed in clause 20.

Envelope 1 and Envelope 2 should be enclosed in larger envelope to be sealed and marked as

specified in clause 21 before final submission.

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7) Compliance and Regulatory Requirement- The assignment must be conducted in accordance with relevant Government policies laws rules and regulations, and any other requirements of the Government of India (GoI) and the Government of Uttar Pradesh (GoUP). If the Uttar Pradesh State Tourism Development Corporation Ltd obtains information on the conduct of any ASO which is a criminal offence under the relevant Anti-Corruption Laws of India, or if there be a substantive suspicion in this regard, the Department will hold no liabilities towards this misconduct and will inform the Vigilance Office and in addition can initiate disciplinary actions.

8) Confidentiality-All information, data and documents provided to the bidder or developed by the

bidder in the course of performing the services under this project shall be treated by the bidder as confidential and shall not be published or disclosed to any third party without the prior written approval of the Uttar Pradesh state Tourism Development Corporation Ltd, Department of Tourism, GoUP

9) Intellectual property right-All information, data and documents provided to the Bidder or

developed by the bidder in the course of performing the services under this shall be treated as confidential and shall not be published or disclosed to any third party without the prior written approval of the Uttar Pradesh state Tourism Development Corporation Ltd, Department of Tourism, Government of Uttar Pradesh. All intellectual property rights of information, data, reports and others documents; images produced during the bidding process belong to the Uttar Pradesh state Tourism Development Corporation Ltd ,the Department of Tourism, GoUP, and should not be used and/or shared by the bidder without their prior agreement.

10) Support from Uttar Pradesh State Tourism Development Corporation Ltd. (UPSTDC) 1 Viability Gap Funding

1.1 UPSTDC will support the ASO by way of VGF( Viability Gap Funding) subject conditions mentioned in sub clause-1.2 and 1.3.

1.2 The ASO will quote in the form of “Per Hour Flying Subsidy”, i:e per hour operating cost of an Aircraft.

1.3 The payment to be made to the selected operator will be term as Viability Gap Funding (VGF), Further to explain VGF= Operating Cost- Revenue (amount collected by the Air Service Operator by self or through their agents from the ticket sale excluding taxes).

1.4 Concession in VAT: as in the case of maximum 40,000Kgs of aircraft of scheduled airlines, VAT will levied @4% instead of 21%. In this case of non-scheduled airlines, subject to the condition that the air service shall be operated in the State of Uttar Pradesh implying that the take-off and landing of such aircrafts shall be on airports/airstrips in the State of Uttar Pradesh only.

1.5 No landing and parking charges shall be levied for Agreement Period for using State owned Airports/Airstrips.

1.6 UPSTDC shall undertake, comply with and perform following obligation :- a. Subject to clause-1 per hour VGF in each identified Air Routes described in Annexure-A as

amended from time to time. b. The ASO shall raise bill on Fortnightly basis i.e. within the 7 days of the completion of

Fortnight based on actual seat occupancy on each flight as reflected in the daily passenger manifest which is duly attested by the Air traffic control and clearance from Manager UPTOURS Lucknow. The ASO will also have to submit the copy of the Aircraft Tech log book along the bill for the claim. UPSTDC shall make the payment of the bills within 15 working days of the receipt of the said bill.

c. Assist the ASO in bookings and business promotion on best effort basis. d. Pay for the VGF as mentioned in sub-clause (a) above during the Agreement Period from

the Commencement Date unless this Agreement is terminated due to the ASOs default. e. Make security arrangements free of cost at the airstrips owned or controlled by the GoUP

in case air service operations are started from such airstrips. f. UPSTDC will conduct the review meeting for the performance of the ASO on yearly basis or

as n when required to do so.

11) Submission of Bid- The copy of the Tender document should be clearly marked as “BID for providing Intra-State Connectivity within Uttar Pradesh for Air Services”. It should indicate the

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name and address of the bidder to enable the proposal to be returned unopened in case it is declared "late.” It shall contain no interlineations or overwriting, except as necessary to correct errors made by the bidder itself. Any such corrections must be initialed by the person (or persons) who sign(s) the proposals. All pages of the proposal must be sequentially numbered and shall be initialed by the Authorized Representative of the bidder. A bidder will be selected in accordance with the lowest quoted subsidy who is qualifying the technical criteria method set out in the tender document. Further information can be obtained at the address below during office hours i.e. 10.00 to 17.00 hours.

12) Venue and Deadline for submission-

a. Proposals must be received at the address specified below latest by and not later than 15:00 hours on dated 27 Aug 2016 at below mentioned address:

To , The Managing Director, Uttar Pradesh State Tourism Development Corporation Ltd, Paryatan Bhawan, C-13 (3rd Floor), Vipin Khand, Gomti Nagar, Lucknow- 226010. b. Any proposal received by the Uttar Pradesh State Tourism Development Corporation Ltd

after the above deadline shall be rejected and returned unopened to the bidder. c. The bids submitted by telex/telegram/ fax etc. shall not be considered. No correspondence

will be entertained on this matter. d. Uttar Pradesh State Tourism Development Corporation Ltd shall not be responsible for

any postal delay or non-receipt/ non delivery of the documents. No further correspondence on the subject will be entertained.

e. Notwithstanding anything contained in this Document, the Uttar Pradesh State Tourism Development Corporation Ltd reserves the right to accept or reject any Proposal and to annul the Selection Process and reject all Proposals, at any time without any liability or any obligation for such acceptance rejection or cancellation.

f. Uttar Pradesh State Tourism Development Corporation Ltd reserves the right to modify and amend any of the above-stipulated condition/criterion depending upon project priorities vis-à-vis urgent commitments.

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Information to be submitted along with Bid

Submission Requirements

1. Organizational: Provide a brief description of the background and organization of your

agency/entity. The brief description should include ownership details, date and place of

incorporation of the agency, objectives of the firm etc.

Brief Data Sheet of the Bidder

Sl.

No.

Particulars To be filled up by the Bidder along

with supporting documents

1 Name of firm and address of registered

office

2 Registration No. & Date: (Please attach

Registration Certificate)

3 Year of incorporation

4 Current Financial Status

5 Choice of Aircraft will be 18 to 20 seater

6 Minimum number of aircraft that would

be required for providing the desired

level of air connectivity

7 Date of commencement of Air Service

should be indicated

8 Detail of officer In-charge/Coordinator

with name designation and contact

details

9 Total number of years of Experience

from the incorporation of the Firm.

10 Any other relevant Information

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2. Financial: Provide previous three financial years turnover and net worth of the agency on the basis of the audited accounts of the previous three financial years as follows Amount in Lakh (INR)

Particulars Turnover Net worth

Turnover 2012-13

Turnover 2013-14

Turnover 2014-15

3. Agency’s experience of similar nature

Sl. No Name of Assignment

Name of the Client

Duration Brief Details of the assignment and actual services provided by your organization

Contract Value Rs. (lakhs)

Use separate sheets if space provided is not sufficient

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Part B Section – I - Instruction to Bidders (ITB)

1. Brief Description of Bidding Process

1.1 UPSTDC, hereafter known as Authority, invites bids from interested parties “Providing Intra-State Air Connectivity within the State of Uttar Pradesh.

1.2 The bidding process (the “Bidding Process”) will be carried out by following a single stage, two packet system i.e. by submission of eligibility proposals (the “Eligibility Proposal”) and financial bids (the “Financial Bid”) separately (together “The Bids”). The eligibility of the Bidders to bid in the TENDER DOCUMENT stage shall depend upon the Bids being responsive in terms of this Tender Document and upon their meeting in entirety the minimum qualification criteria as laid down under this clause 11 in this Tender Document. Financial Bids are to be submitted in the form of subsidy per Flying Hour i:e per hour operating cost of the Aircraft. Which shall be payable to him in accordance with the conditions contained herein.

1.3 Each Bidder will be required to deposit, along with its Bid, a bid security (the “Bid Security”) as mentioned in clause 17.1. The Eligibility Proposal submitted by the Bidders shall be evaluated based on the evaluation parameters contained in this TENDER DOCUMENT. The Financial Bids of only those Bidders, who are found to be eligible as per their Eligibility Proposal, shall be opened.

1.4 The Bidder giving the lowest Financial Bid, provided the Bid is responsive in terms of the ITB, shall be asked by Authority immediately after the opening of the Bids, to furnish a Bank Guarantee/fixed deposit duly pledged in favour of Managing Director UPSTDC ltd, of Rs 2,00,000,00/- (Rupees Two Crore) within 15 (fifteen) days of the receipt of Authority’s letter (LOI) to show its commitment (the “Commitment Security”) towards its Financial Bid.

2. Availability of Tender Document

The Tender Document can be downloaded from the website i.e. www.uptourism.gov.in from date 07 Jul 2016 to date 27 August 2016 till time 1500 Hrs. The Bidders should pay Rs. 30,000/- through demand draft drawn on any Scheduled Bank in favour of “Uttar Pradesh State Tourism Development Corporation Limited”, payable at Lucknow (the “Tender Document Fee”). Bidders must submit the Tender Document Fee along with their Bid Document as specified in Clause no. 6 of Section I. The Bid unaccompanied with the Tender Document Fee may be summarily rejected.

Tender Document Fee shall be non-refundable.

3. Pre-Bid Meeting

A Pre Bid Meeting of the interested parties shall be convened at the designated date, time and place. A maximum of two representatives of each Bidder shall be allowed to participate in the Pre Bid Meeting. During the course of Pre Bid Meeting, the Bidder will be free to seek clarifications. The Authority shall endeavor for consideration/ rejection of clarifications sought by the Bidders and any further information as it may be required, in its sole discretion, consider appropriate for facilitating a fair, transparent and competitive Bidding Process. The Authority shall upload the clarification/corrigendum (if any) on their web site.

A pre-bid meeting will be held on date 26 July 2016 at 1400 Hrs at the following address:

4th Floor, Paryatan Bhawan, C-13 Vipin Khand Gomti Nagar, Lucknow-226010 (Note: If any changes in the address, UPSTDC, will notify the same through website)

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4. Validity, Bid Security and Rejection of the Bid

The Bids shall remain valid for 180 days from Bid Due Date or any extended Bid Due Date. The Bid

Security shall be refunded to the unsuccessful Bidders within 30 (thirty) days after receiving the

acceptance of the Letter of Invitation (LoI) from the selected bidder. However, no interest

shall be payable on the Bid Security. Authority reserves the right to accept or reject any Bid, to

cancel or modify the process or any part there of or to vary any of the terms and conditions,

and/or to annul the Bidding Process and reject all Bids, at any time during the Bidding Process,

without thereby incurring any liability to the affected Bidder(s) or any obligation to inform

the affected Bidder(s) of the grounds for Authority’s action.

5. Schedule of Bidding Process

The important dates for the Bidding Process are as following, subject to future changes, which

will be advised through addendums/amendments:

Sr. No. Event Description Date (s)

1 Pre-Bid Conference/Meeting 26 Jul 2016

2 Last date of receiving queries 30 Jul 2016

3 Reply to queries, Uploading of Amendments to

TENDER DOCUMENT, if any

03 August 2016

4 Bid Due Date/ last date of submission of

TENDER DOCUMENT (the “Bid Due Date”)

27 August 2016

5 Opening of Bids on Bid Due date 29 August 2016

6. Further Information

Interested Bidders may obtain further information from:

Name of Contact Person: Mr. Avinash Chandra Misra,

Joint Director Travel Trade

Uttar Pradesh Tourism

Mobile-+919415013046

e-mail –misraac64@gmail.com

Name of Contact Person: Mr. Ratindra Pandey

Manager (Air Service operation)

Uttar Pradesh State Tourism Development Corporation Ltd (UPSTDC)

Mobile-+919415013041

e-mail – ratindrapandey@gmail.com

Name of Contact Person: Mr. Alok Srivastava

Consultant (Air Service operation)

Uttar Pradesh State Tourism Development Corporation Ltd (UPSTDC)

Mobile-+919415233450

e-mail – alokwy@gmail.com

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6.1 The Bids must be submitted on or before 1500 hrs. on the Bid Due Date in the office of

The Managing Director,

Uttar Pradesh State Tourism Development Corporation Ltd

Paryatan Bhawan, C-13 (3rd Floor), Vipin Khand, Gomti Nagar, Lucknow- 226010.

. (Tenders are to be sent through Registered Air mail, Speed Post or hand delivered. UPSTDC

shall not be responsible if the Bid documents are misplaced/ delayed in transit and not

received by the prescribed date and time).

6.2 All communications, including the envelopes, should contain the following information, to

be marked at the top in bold letters:

“TENDER DOCUMENT”

AND

“BID for providing Intra-State Connectivity within Uttar Pradesh for Air Services”

6.3 Official website (the “Official Web Site”) for notices: www.uptourism.gov.in

All notices related to this TENDER DOCUMENT including Clarifications/Amendments to the

Tender Document shall be available on the official website www.uptourism.gov.in

7. General terms of Bidding

7.1 A Bidder is eligible to participate in only one Bid for taking up the air service operations (AO).

If a Bidder bidding individually or as a member of a consortium participates in more than one

Bid, it shall be disqualified and shall cause disqualification of all the Bids in which it has

participated.

7.2 Notwithstanding anything to the contrary contained in the TENDER DOCUMENT, the detailed

terms specified in the Air service operations Agreement (AOA) shall have overriding effect;

provided, however, that any condition or obligation imposed on the Bidder hereunder shall

continue to have effect in addition to its obligations under the AOA. However, in case of

inconsistency between the ITB and the Agreement relates to the Bidding Process, then, the terms of

the ITB shall prevail.

7.3 The Bidder should submit a power of attorney (the “Power of Attorney”) authorizing the signatory

of the Bid to commit the Bidder. The Power of Attorney must include the specimen signature of the

authorized signatory (the “Authorized Signatory”) duly attested by a director from the Board of

Directors of the Bidder.

7.4 In case the Bidder is a consortium of body corporate (the “Consortium”), the members (the

“Members”) thereof should furnish a Power of Attorney in favour of the Lead financial Member (the

“Lead Member”). The Power of Attorney must be signed by the respective director(s) from the Board

of Directors of all the Members. The maximum number of parties in a consortium shall not exceed

three (3).

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7.5 The Bidding documents including this TENDER DOCUMENT and all attached documents are and shall

remain the property of Authority and are transmitted to the Bidder solely for the purpose of

preparation and the submission of the Bid in accordance herewith. Bidders are to treat all information

as strictly confidential and shall not use it for any purpose other than for the preparation and

submission of their Bids. Authority will not return any Bid or any information provided to it by the

Bidders.

8. Conflict of Interest

8.1 Authority considers conflict of interest (the “Conflict of Interest”) to be a situation in which a party has

interests that could improperly influence the Bidding Process, or that party’s performance of official

duties or responsibilities, contractual obligations, or compliance with applicable laws and regulations.

Any Bidder, which in the opinion of Authority has or may have the likelihood of having a Conflict of

Interest, shall be liable to be disqualified.

8.2 Notwithstanding anything contained herein above, Authority may, after opening of the Eligibility

Proposal, seek a confirmation (in a Performa to be provided by Authority) that there is no Conflict of

Interest among the Bidders, Members and/or Constituents of the Bidder/Member of the Consortium,

within a period to be stipulated by Authority in future.

9. Scope of the Project

The scope of the Project shall mean and include, during the agreement Period:

a) Managing the Intra State Air Service Operations using aircrafts which shall have 18 to 20

passenger seats in sectors as described in schedule A of the AOA (Air service Operations

Agreement).

b) Ensuring safety, security and convenience of the passengers using this air service as per prevailing norms according to DGCA, BCAS and the Airport Authority of India.

c) Performance and fulfillment of all obligations of the operator in accordance with the

provisions of the AOA and matters incidental thereto or necessary for the performance of

any or all of the obligations of the operator under the Agreement.

d) Authority has finalized first phase of operation having predefined sectors for operating the flights.

e) Subsidy quoted will be restricted for maximum flying hours of 300 for each aircraft per

month, or actual flying hours whichever is less. However this subsidy will not include

training flights, test flights or any operation other than commercial operation for the Intra

state Air Service Operation.

10. Eligibility of Bidders /Technical Parameters

The Bidder’s competency and capability is proposed to be evaluated on the basis of a single

stage, two envelope processes:

This stage is divided in two segments-

Technical Capability

Financial Capability Envelope 1: Technical bid ( 1 set to be submitted as hard copy at the communication address

mentioned in clause 7.1).

Envelope 2: Price Bid (to be submitted in

hard copy in separate envelope)

The Price Bid shall not be submitted along with the hard copy of Technical Bids. It shall be

submitted separately. If the Price bids are submitted with the technical bids, it will lead to

disqualification of the Bidder.

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The contents of envelope 1 and envelope 2 have been specifically detailed in clause 20.

Envelope 1 and Envelope 2 should be enclosed in larger envelope to be sealed and marked as

specified in clause 21 before final submission.

A Basic Eligibility

a) The Bidder must be a body corporate and a company incorporated and registered in India under the Companies Act, 1956 and 2013, or a Consortium of the same.

b) The aircraft deployment shall be completed within four months from the date of signing of

AOA to start Intra State Air Service Operation with the stipulated timeframe mentioned in

the tender clause 17.9.

c) The Bidder should have at least two persons at senior managerial level each having at least

five (5) years of experience of managing civil air service operations on the rolls of the

companies at the time of submitting the bids.

d) Director / Major shareholder / Consortium should have at least five (5) years of experience in

senior position in aviation sector preferably Airline/General Aviation.

e) Bidder shall have a minimum aggregate Turnover of Rs. 5 Crore through Aviations services in

the three consecutive financial years. Bidder shall submit the certified copy of audited annual

reports by authorized Auditor.

f) The Bidder shall have an Indian Non Scheduled Operator’s Permit/ Scheduled Operator’s Permit (NSOP/SOP) from Director General of Civil Aviation (DGCA).

B Technical Bid

The Bidder/any Member of the Consortium (holding at least 26% equity in Consortium)

should fulfill the following parameters:

1. Technical Criteria (50 marks)

a. Bidder shall have an Indian Non Scheduled Operator’s Permit/Schedule Operator Permit (NSOP)/ SOP from Director General of Civil Aviation (DGCA)

Number of years of NSOP/ SOP Maximum Marks

Less than 1 year 5

1 to 5 years 10

More than 5 years 15

In case the NSOP/SOP validity expires by the year 2016, Bidder shall submit the

validation document of the pre-issuance of the NSOP/SOP as received from DGCA.

b. Bidder shall have aircraft deployment, for the proposed air service operations each

with 18 to 20 passenger seats, as per the below mentioned table. Marks shall be

allocated as follows

Age of Aircrafts deployed Maximum Marks

1-5 years 10

6-8 years 5

c. If the Company is an ISO certified company – 5 marks will be added.

d. The Bidder attaching a valid proof of deploying a third aircraft in case the two

previously deployed aircrafts are grounded due to certain unforeseen reasons-5 marks

e. If the bidder has an experience in running similar services in any other state in the

Country-5 marks will be added.

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f. The Bidder should have at least two persons at senior managerial level each having at least five (5) years of experience of managing civil air service operations on the rolls of the companies at the time of submitting the bids

Experience of Key Personnal Marks

Upto five years of experience 5

More than five years 10

2. Financial Criteria (30 marks)

a. The aggregate tangible Net Worth of the Bidder should be profit making as on the

date of submission of Bid

Net Worth of the Bidder Maximum Marks

1 – 3 Cr 5

3 – 5 Cr 10

More than 5 Cr 20

Net Worth shall be calculated as per the following formula: [Paid up Share Capital +

Reserves & Surplus – Revaluation Reserves, Goodwill, Miscellaneous Expenses (to

the extent not written off) and other Intangible Assets].

b. The Aggregate Turnover of the Bidder in the last three financial years.

Aggregate Turn over of the Bidder Maximum Marks

5 – 10 Cr 5

10 – 20 Cr 7.5

More than 20 Cr 10

Submission of audited annual reports for the last three financial years duly certified by

the statutory auditor of the Bidder and in case of Consortium, by statutory auditor of

the respective lead Member of the Consortium.

3. Business Proposal Presentation (15 marks)

Presentation to be made to the Technical Committee. This should include tentative

schedule of the flights in form-B

a. Project Operations Plan – 15 marks

The Bidders scoring more than 70 marks in Technical Bid shall only be considered for

the opening of Financial Bid

C Financial Bid

Financial Bids are to be submitted in the form of subsidy per Flying Hour which shall be

payable to him in accordance with the conditions contained in this tender document. The

Financial Bid shall be accompanied with a Project Business Plan (should showcase

Detailed workings of expenditure and revenues and justify the subsidy quoted with respect

to projected operation’s schedule as prescribed compulsory within the tender document.)

Notes:

Relevant documents to be furnished for evaluation of Technical and Financial Capabilities.

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Submission of audited annual reports for the last three financial years duly certified by the

statutory auditor of the Bidder and in case of Consortium, by statutory auditor of the

respective Member of the Consortium.

If so requested by Authority, the Bidder shall provide the name, address and contact

number of his bankers along with a letter of authority in favour of any authorized person of

Authority in this regard to enable Authority to make enquiries from the Bidder’s bankers. The

Financial Bid shall not be submitted along with the Technical Bid. It shall be submitted in

separate envelope . If the Financial Bid is submitted with the Technical Bids, it will lead to

disqualification of the Bidder. Authority may call the shortlisted bidder to discuss the Business

Plan.

11. Consortium

11.1 Bids submitted by a Consortium must comply with following requirements:

a) The number of Members shall not exceed 3 Members.

b) The Consortium shall furnish a joint bidding agreement (the “Joint Bidding Agreement”)

on non-judicial Stamp Paper of minimum Rs 100/- (Rupees one hundred only) which shall be

legally binding on all the Members. The Joint Bidding Agreement should be valid for a minimum

period of 180 (one hundred and eighty) days from the Bid Due Date.

c) One of the Members, holding at least 26% (twenty six percent) of equity stake in the

Consortium, shall be nominated as the Lead Member to act on behalf of the others as their

representative for bidding and implementation of the Project. This authorization shall be

evidenced by submitting a Power of Attorney signed by legally authorized signatory of all the

Members.

d) Change of the Lead Member or equity participation as described in joint bidding document would not be allowed under any circumstance.

e) A body corporate can be a Member in only one Consortium; if a body corporate participates in

more than one Bid, all Bids of which it is a part would be summarily rejected.

f) All Members of the Consortium shall however, be liable jointly and severally, for the

execution of the Project in accordance with the terms of the Development Agreement.

g) If the Member of Consortium whose technical experience has been considered for bid

evaluation is different from lead financial member the same should hold minimum

26% equity in the SPV.

12. Special Purpose Vehicle (SPV) and Equity Lock in

12.1 The Selected Bidder may on its request be allowed to incorporate a company under the

Companies Act, 1956 and 2013, to be called SPV, within 30 (thirty) days from the date on which

commitment security is deposited.

12.2 It is made clear that the consortium members will have to register a new company, within a

period of 30 days from the date of which commitment security is deposited, dedicated to the

proposed air service operations and this company shall be the SPV (special purpose

vehicle). All permits, clearances shall be obtained in the name of this SPV. Authority will

execute the AOA only with the SPV and not with any member of the consortium.

12.3 Any change in Equity participation of Members of the Consortium and total shareholding

pattern in the proposed SPV, which shall be in accordance with the Joint Bidding Agreement

(which is being submitted by the Bidder as part of this Bid), is not allowed at any stage,

during the currency of the AOA.

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13. Cost of Bidding

13.1 The non-refundable document fee for the TENDER DOCUMENT is Rs 30,000/- (Rupees

Thirty Thousand only), which is to be submitted with the Bid, the document is to be

downloaded from the website i.e www.uptourism.gov.in The Bid unaccompanied without the

Tender Document fee may be summarily rejected as non responsive.

13.2 The Bidders shall bear all costs associated with the preparation and submission of their

Bids, and Authority will, in no case, be responsible or liable for those costs, regardless of the

conduct or outcome of the Bidding Process.

13.3 The Bidder is expected to examine all instructions, forms, terms and conditions in this

Tender Document before submitting its Bid. Submission of a Bid that is not responsive in

any respect shall be liable to be rejected.

14. Clarification of Tender Document:-

14.1 Any Bidder requiring any clarification of the Tender Documents may notify UPSTDC at the

communication details mentioned in clause 6.

14.2 At any time prior to the Bid Due Date, Authority may, for any reason, whether at its own initiative or in response to a clarification requested by a Bidder, modify the Tender Documents by issuing an amendment.

14.3 All Bidders who have bought the Tender Documents will be notified of the amendment

through Uttar Pradesh Tourism website, and the same will be binding on them.

14.4 In order to allow Bidders reasonable time in which to take the amendment into account in

preparing their Bids, the Authority may, at its discretion, extend the deadline for the submission of Bids.

15. Language of Bid

The Bid prepared by the Bidder, as well as all correspondence and documents relating to the

Bid exchanged by the Bidder and Authority shall be written in English language only.

16. Bid Security and Commitment /Performance Security

16.1 Each Bidder shall furnish as the Bid Security an amount of Rs 5,00,000/- (Rupees five

lakh only) in the form of a Demand Draft drawn in favour of the UTTAR PRADESH STATE

TOURISM DEVELOPMENT CORPORATION LIMITED (UPSTDC), Lucknow issued by a

Scheduled Bank. For the avoidance of doubt, Scheduled Bank shall mean a bank as defined

under Section 2(e) of the Reserve Bank of India Act, 1934. Authority shall not be liable to pay

any interest on the Bid Security so deposited. Any Bid not accompanied by the Bid Security

shall be rejected by Authority as non-responsive.

16.2 The lowest quoted Bidder shall be asked by Authority to furnish a Bank Guarantee/in the form

fixed deposit duly pledged in favour of Managing Director UPSTDC Ltd for a sum of Rs 2 Crores

only (Rupees Two Crores only) toward Commitment Security/Performance Security within 15

(fifteen) days of the receipt of Authority’s letter (LOI). In the event the Commitment

Security/Performance Security is not provided within the stipulated time, Authority at its own

discretion shall have the right to reject the bid, forfeit the Bid Security submitted by such

Bidder. Thereafter Authority shall be at liberty to take such further action as deemed

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appropriate. The bidder after he has deposited the valid commitment security/performance

security shall be called the selected bidder.

16.3 The Bid Security submitted by the unselected Bidder shall be returned. 16.4 The Commitment /Performance Security (CS) shall remain valid for the entire period of AOA.

Commitment/Performance security shall be returned to the selected operator on successful

completion of the agreement.

17. Bid Variable and other conditions

17.1. The bidder will quote in the form of “Per Hour Flying Subsidy”, i:e per hour operating cost of

the Aircraft. On which payment to be made to the selected operator will be term as Viability Gap Funding (VGF). Further to explain VGF= Operating Cost-Revenue. Here revenue will be the amount collected by the Air service Operator by self or through their agents from the ticket sale excluding taxes which is payable to the concern authorities/agencies. Per Hour flying subsidy for the Aircraft will remain fixed during the currency of AOA.

17.2 Ticketing/Marketing of tickets of the flights to be operated by the ASO- to establish, run and

maintain a transparent system of ticketing and marketing of the tickets, the ASO in conjugation with UPTOURS (which is the travel division of the UPSTDC and has its offices at Lucknow, Allahabad, Jhansi, Agra and Varanasi) shall host a web portal with administrative right to

UPSTDC. The ASO shall pay services charges of Rs 100 per seat to UPTOURS on every ticket sold. 17.3 Maximum per hour flying subsidy extended by the Authority shall be limited to Rs. 5.00 Crore

(Rupees five Crore) per month per Aircraft, or the lowest per hour quoted subsidy by the bidder whichever is less will be applicable.

17.4 The operator shall have to operate flights in such manner that, air service connectivity is

provided as per Schedule `A’ in AOA. These Air Routes maybe amended from time to time with

mutual consent of both the parties.

17.5 The non scheduled airlines would also be provided rebate on the VAT rate on the lines of scheduled airlines using Aero Planes weighing upto a maximum of 40000 kgs at the time of flight; in place of 21%, the service provider will have to pay 4% VAT only. The facility of rebate in VAT would be granted to only those airlines which will operate air services within the State i.e. the take-off & landing of aero planes would be from and on the airports/air strips situated in the State.

17.6 All the payments towards the bookings shall be collected through a secure payment gateway

managed/administrated by UPTOURS Lucknow permitting the use of credit/debit cards and net

banking. All the payments received through air ticketing by the operator will be adjusted in the

claim of VGF billing cycle.

17.7 The Authority is committed to procure the services for the Intra State Air services

Operation in the state of Uttar Pradesh for a period of three (3) years, however the

Authority shall sign the AOA with the selected bidder initially for a period of one year

which may be further extended for another two year after evaluation of satisfactory performance by the ASO.

17.8 The Operator must maintain operational efficiency as mentioned in the agreement and shall

adhere to the requirements stipulated by DGCA, BCAS and Airport Authority of India.

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17.9 The Bidder shall sign the AOA within a period of Sixty (60) days from the date of issuance of

LOI by the UPSTDC. 17.10 The bidder shall start Air Service Operations within 4 months from the date of signing of

the AOA.

17.11 The Operator shall be responsible for paying all charges (e.g. landing & parking charges, etc.)

levied by Government agencies at all the airports. No landing and parking charges shall be

levied for Agreement Period for using State owned Airports/Airstrips. 17.12 The operator will have to pay for ambulance service and f o r fire brigade to the authority

responsible for providing these facilities for each landing according to the current applicable rates. Authority shall intimate to the operator the authorities who will provide these facilities and the manner of such payment. The Operator shall be responsible to take the booking counters, waiting areas and all other required space for this operation on lease at the Airports other than the airstrips owned by state government.

17.13 The Operator shall be responsible to provide transport facility between the aircraft and the

terminal building and provide packaged drinking water in the aircraft to the passengers.

17.14 The Operator shall provide security staff for frisking of passengers for security to be provided

for flights operated to/from airstrips owned and controlled by the State Government.

17.15 Final seat tariff calculation for every sector will only be done by the authority and shall be

binding.

17.16 In the event of the AOA being terminated due to operators default, the commitment

guarantee shall be revoked and the amount shall be forfeited.

18. Bid Validity:-

The Bid shall remain valid for a period of 180 days from the Bid Due Date (the “Bid Validity

Period”) or the extended bid due date.

19. Format and Signing of Bid:-

19.1. The Bidding Process for selection of suitable operator for this Project will be carried out in a

single stage- two packet system i.e. by submission of Eligibility Proposals and Financial Bids.

19.2. The Bidder shall provide all the information sought under this EOI-CUM-RFP document.

Authority will evaluate only those Bids that are received in the required formats and are complete in all respects. The Bids will comprise of two parts, as described below:

ENVELOPE 1 will contain the requisite Bid Security and other compliance documents/

enclosures as mentioned below:

a. Checklist on Documents enclosed

b. Covering Letter

c. General Information about the Bidder

d. Non Refundable Tender Fee of Rs. 30,000/- shall be paid by way of a crossed demand

draft drawn on any Scheduled Bank payable at Lucknow The Demand Draft shall be

drawn in favor of “Uttar Pradesh State Tourism Development Corporation Limited

(UPSTDC)”

e. Bid Security of Rs. 5,00,000 shall be paid by way of a crossed Demand Draft drawn on

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any Scheduled Bank payable at Lucknow. The Demand Draft shall be drawn in favor of

“Uttar Pradesh State Tourism Development Corporation Limited (UPSTDC)”

f. Documentary proof, where applicable, as evidence of satisfaction of the Technical

Qualification

g. Information about Financial Qualification along with Audited Balance Sheets of past 3

consecutive financial years duly signed by the statutory auditor.

h. Joint Bidding Agreement (in case of consortium)

i. Power of Attorney for signing of Bid

j. Power of Attorney for Lead Member of Consortium

k. A copy of the complete set of Tender Documents, along with corrigendum to TENDER

DOCUMENT, if issued with each page initialed by the Authorized Signatory as a token of

acceptance;

Envelope 2 should contain the financial Bid.

The format for submitting the Financial Bid is provided in Bid Form A of this Tender

Document. Any Bidder submitting the Financial Bid along with the Envelope 1 shall stand

disqualified.

19.3. The documents / enclosures in ENVELOPE 1 of the Bids shall be submitted by the Bidder in 1 (one) copy.

19.4. The contents of the Bid in ENVELOPE 1 shall be typed and signed by the Authorized Signatory

of the Bidder who shall also initial each page, in blue ink. All the alterations, omissions,

additions or any other amendments made to the Bid shall also be initialed by the person(s)

signing the Bid.

19.5. The documents/enclosures i n ENVELOPE 1 shall be submitted together in bound form,

with all the pages numbered serially. Demand Drafts shall not be bound directly but be placed

in plastic jackets, which are bound as part of the main booklet. Along with the Covering Letter,

the Bidder should submit a Checklist as per prescribed format enclosed with this document

duly signed by the Authorized Signatory and mentioning whether each document has been

submitted, its page number, total number of pages of that particular document/enclosure, and

whether each page has been initialed in blue ink by the Authorized Signatory.

20. Sealing and Marking of Bids

20.1. ENVELOPE 1 shall be sealed, and marked as “Bid for providing intra-state air connectivity

within Uttar Pradesh - Eligibility Proposal and other Compliances”. The envelope must

bear the name and address of the Bidder to facilitate return of the envelopes unopened,

if required.

20.2. If the outer envelope is not sealed and marked as required hereinabove the Bid shall be liable

to be considered as non-responsive.

20.3. The envelope shall be addressed to the address mentioned in Clause 6.1

21. Deadline for Submission of Bids

21.1. Bids must be submitted to Authority on or before 15:00 hours on the Bid Due Date at the

address mentioned at clause 6.1

21.2. Authority may, extend this deadline for submission of Bids, in which case all rights and

obligations of Authority and Bidders will thereafter be subject to the deadline as extended.

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22. Late Bids

Any Bid received by Authority after the deadline for submission of Bids prescribed by

Authority above, will be rejected and returned unopened to the Bidder. Bidders may take

note that there is likelihood of rush at the last minute, therefore, they must submit their Bids

well in time.

23. Opening of Bids

23.1. Authority will open the Bids received on the Bid Due Date at 1100 hours at the address

mentioned in Clause 6.1, or the address intimated to you by Authority, in presence of the

Bidder’s representatives, who may choose to attend the opening. In case Authority extends the

deadline for submission of Bids, the same shall be uploaded our website. Each Bidder’s

representative who desires to attend the opening, shall bring an authority letter and sign the

attendance sheet as a proof of his attendance. The names of all Bidders, who have submitted

Bids will be read out and other such details as Authority, may consider appropriate, will be

announced at the opening.

23.2. Authority will determine whether each Bid (Envelope 1) is ‘responsive’ to the

requirements of the TENDER DOCUMENT. A Bid shall be considered ‘responsive’ only if:

a. The Bidder meets the Eligibility Criteria as laid down in this Tender Document;

b. It is received by the ‘Deadline for Submission of Bids’ including any extension thereof;

c. It is signed, sealed and marked as stipulated in this Tender Document; the document is

accompanied by Tender Document Fee of Rs 30,000/- (Rupees thirty thousand only)

d. It is accompanied by the Bid Security as specified in this Tender Document;

e. It is accompanied by the relevant Power(s) of Attorney (ies) and Undertakings as

specified in this Tender Document;

f. It does not contain any condition or qualification; there is no Conflict of Interest,

g. The document is accompanied by the Checklist as prescribed;

h. The information given in the Bid (Envelope 1) is complete in all respects and is strictly

in accordance with the Forms/ formats prescribed in the bidding document;

i. The information is true and correct.

j. Envelope 1 contains all documents prescribed in clause 19.2

23.3. If any of the above criteria is not fulfilled, in any manner whatsoever, the Bid shall be treated

as non-responsive. The decision of Authority as to responsiveness of a Bid shall be final and

conclusive and binding on the Bidder and shall not be called into question by any Bidder on

any ground whatsoever. Authority, without being under any obligation to do so, reserves the

right to call for any clarifications and additional information and documents during the process

of checking of responsiveness of a Bid and to reject any Bid which is non- responsive. However,

no Bidder shall have the right to give any clarification unless asked for by Authority or to

request either Authority and/or any ministry or department, authority or body whether

statutory or non-statutory, of the Government that may be concerned or connected, in any

manner whatsoever, with this Bidding Process, to intervene in, any manner whatsoever,

in the Bidding Process.

23.4. Financial Bids of only those Bidders, whose Bids have been found to be responsive and who

have been found eligible, will be opened. The date and time of opening of Financial Bids shall be

separately communicated to the eligible Bidders. Each eligible Bidder’s representative, who

desires to attend the opening, shall bring an authority letter and sign the attendance sheet as

a proof of his attendance. Each eligible Bidder’s name, bid price, and other such details as

Authority may consider appropriate, will be announced at the time of opening of Bids.

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24. Evaluation and Comparison of Bids

24.1. It is clarified that the selection of the Bidder shall be subject to its meeting the Eligibility

Criteria as laid down in this EOI-CUM-RFP document and the scrutiny of the Bid submitted by

the Bidder.

24.2. It is clarified that the selection of the Bidder shall be subject to the verification of Bank

Guarantee and scrutiny of other relevant documents as stipulated in this EOI-CUM-RFP

document, that the Bidder has submitted.

24.3. To facilitate evaluation of Bids, Authority may, as per the discussion with Authority, seek

clarifications in writing from any Bidder regarding its Bid.

24.4. Notwithstanding anything to the contrary contained in this EOI-CUM-RFP document, Authority

may, at its sole discretion, waive any minor infirmity, non-conformity or irregularity in a Bid

that does not constitute a material deviation, and that does not prejudice or affect the

relative position of any Bidder, provided it conforms to all the terms, conditions of the bidding

documents without any material deviations, objections, conditionality or reservations. A

material deviation, objection, conditionality or reservation is one (i) that affects, in any

substantial way, the scope, quality or performance of the contract; (ii) that limits, in any

substantial way, inconsistent with the bidding documents, Authority’s rights or the Selected

Bidder’s obligations under the contract; or (iii) whose rectification would unfairly affect the

competitive position of other Bidders, who are presenting responsive Bids.

24.5. The waiver by Authority in terms of the Clause herein above must be in writing and shall be

limited to the specific infirmity, non-conformity or irregularity being waived. No waiver,

forbearance, indulgence or relaxation or inaction by Authority shall in any way affect,

diminish or prejudice the right of Authority to seek strict compliance or rectification of

irregularity. Any waiver or forbearance by Authority shall not be construed as a waiver of any

right or acquiescence to such irregularity or non-compliance or of the subsequent

irregularity or non- compliance of or recognition of rights other than as expressly stipulated

in this EOI-CUM-RFP document. No party shall have any right to demand waiver or forbearance

from Authority. Waiver of any infirmity, non-conformity or irregularity on one occasion in

favor of one Bidder shall not in any manner constitute a continuing waiver. The waiver, by

Authority, of any infirmity, non-conformity or irregularity, in case of one Bidder shall not be

deemed to be or construed as a waiver of any infirmity, non-conformity or irregularity,

whether prior, subsequent or contemporaneous, in case of any other Bidder. Each of the rights

of Authority under this EOI-CUM-RFP document are independent, cumulative and without

prejudice to all other rights available to it, and the exercise or non- exercise of any such

rights shall not prejudice or constitute a waiver of any other right of Authority, whether under

this EOI-CUM-RFP document or otherwise.

24.6. Authority will evaluate and compare the Bids previously determined to be eligible and

responsive. If there is a discrepancy between words and figures, the amount in words will

prevail and shall be binding on the Bidder.

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24.7. Bidders shall note that in case of difference between the calculations submitted by Bidder

and the calculations computed by Authority (if any), the calculations computed by Authority

shall prevail.

24.8. The Bidder found eligible and asking the LOWEST subsidy in the Financial Bid and who has

submitted the Commitment Security shall be declared as the Selected Bidder.

24.9. In the event that two or more Bidders quote the same amount of lowest subsidy (the “Tie

Bidders”), Authority shall ask the Tie Bidders to submit their revised Financial Bid with the

amount of subsidy quoted earlier by the Tie Bidders as the fresh Reserve Price for such Bid.

The Bidder among the Tie Bidders, who quotes the LOWEST subsidy in the fresh bidding, will be

declared as the lowest Bidder.

24.10. In the event that the lowest Bidder withdraws or is not selected for any reason in the first

instance (the “first round of bidding”), Authority, without being under any obligations to do

so, may, at its sole discretion, either invite all the remaining Bidders to revalidate or extend their

respective Bid Security, as necessary, and match the Bid of the aforesaid lowest Bidder (the

“Second round of bidding”) or annul the Bidding Process. If in the second round of bidding, only

one Bidder matches the lowest Bidder, it shall be the Selected Bidder. If two or more Bidders

match the said lowest Bidder in the second round of bidding, then the Bidder whose Bid was

lower as compared to other Bidder(s) in the first round of bidding shall be the Selected Bidder.

For example, if the third and fifth lowest Bidders in the first round of bidding offer to

match the said lowest Bidder in the second round of bidding, the said third lowest Bidder shall

be the Selected Bidder.

24.11. In the event that no Bidder offers to match the lowest Bidder in the second round of bidding as

specified in Clause 24.10, Authority may, in its discretion, invite fresh Bids (the “third round

of bidding”) from all Bidders except lowest Bidder of the first round of bidding, or annul the

Bidding Process, as the case may be. In case the Bidders are invited in the third round of

bidding to revalidate or extend their Bid Security, as necessary, and offer fresh Bids, they

shall be eligible for submission of fresh Bids provided, however, that in such third round of

bidding only such bids shall be eligible for consideration which are lower than the Bid of the

second lowest Bidder in the first round of bidding.

25. Fraud and Corrupt Practices

25.1. The Bidders and their respective officers, employees, agents and advisers shall observe the

highest standard of ethics during the Bidding Process and subsequent to the issue of the LoI

and during the subsistence of the Agreement. Notwithstanding anything to the contrary

contained herein, or in the LoI or the Agreement, Authority shall reject a Bid, withdraw the LoI,

or terminate the Agreement, as the case may be, without being liable in any manner whatsoever

to the Selected Bidder, if it determines that the Selected Bidder, as the case may be, has,

directly or indirectly or through an agent, engaged in corrupt practice, fraudulent practice,

coercive practice, undesirable practice or restrictive practice in the Bidding Process. In

such an event, in addition to exercise of its right of termination, Authority shall forfeit and

appropriate the Bid Security or COMMITMENT SECURITY, as the case may be, genuine pre-

estimated compensation and damages payable to Authority towards, inter alia, time, cost and

effort of Authority without prejudice to any other right or remedy that may be available to

Authority hereunder or otherwise.

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25.2. Without prejudice to the rights of Authority hereinabove and the rights and remedies

which Authority may have under the LoI or the Agreement, if a Bidder or Operator, as

the case may be, is found by Authority to have directly or indirectly or through an agent,

engaged or indulged in any corrupt practice, fraudulent practice, coercive practice, undesirable

practice or restrictive practice during the Bidding Process, or after the issue of the LoI or the

execution of the Agreement, such Operator shall not be eligible to participate in any tender or

TENDER DOCUMENT issued by Authority during a period of 2 (two) years from the date such

Bidder or Operator, as the case may be, is found by Authority to have directly or indirectly

or through an agent, engaged or indulged in any corrupt practice, fraudulent practice,

coercive practice, undesirable practice or restrictive practices, as the case may be.

26. Authority’s Right to Accept any Bid and to Reject any or all Bids

26.1. Notwithstanding anything contained in this EOI-CUM-RFP document, Authority reserves

the right to accept or reject any Bid, and to annul the Bidding Process and reject all Bids, at any

time during the Bidding Process, without thereby incurring any liability to the affected Bidder or

Bidders or any obligation to inform the affected Bidder or Bidders of the grounds for Authority’s

action.

26.2. Authority reserves the right to reject any Bid and appropriate the Bid Security and the

Commitment Security as the case may be if:

a) At any time, a material misrepresentation is made or uncovered, or

b) The Bidder does not provide, within the time specified by Authority, the

supplemental information sought by Authority for evaluation of the Bid.

c) Such misrepresentation/ improper response shall lead to the disqualification of the

Bidder. If the Bidder is a Consortium, then the entire Consortium shall be disqualified /

rejected. If such disqualification / rejection occur after the Bids have been opened

and the lowest Bidder gets disqualified / rejected, then Authority reserves the right to:

Take any such measure as may be deemed fit in the sole discretion of Authority,

including annulment of the Bidding Process.

26.3. In case, it is found during the evaluation or at any time before signing of the Agreement

or after its execution and during the period of subsistence thereof, that a) one or more of the eligibility conditions have not been met by the Bidder, or b) the Bidder has made material misrepresentation, or c) has given any materially incorrect or false information. The Bidder shall be disqualified forthwith if not yet appointed as the OPERATOR either by issue of the LoI or entering into the AOA; and if the LoI has already been issued to the Bidder or the AOA has been entered into with the OPERATOR, as the case may be, the same shall, notwithstanding anything to the contrary contained therein or in this EOI-CUM-RFP document, be liable to be terminated, by a communication in writing by Authority to the Bidder or operator, as the case may be, without Authority liable in any manner whatsoever to the Bidder or operator, as the case may be. In such an event, Authority shall forfeit and appropriate the Bid Security and or the Commitment security/Performance Security, as the case may be, without prejudice to any other right or remedy that may be available to Authority.

26.4. Authority reserves the right to verify all statements, information and documents submitted by

the Bidder in response to the EOI-CUM-RFP document. Failure of Authority to undertake such

verification shall not relieve the Bidder of its obligations or liabilities hereunder nor will it

affect any right of Authority hereunder.

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27. Communication of Acceptance 27.1. After the determination of the lowest bidder, a Letter of Invitation (the “LoI”) shall be issued,

in duplicate, by Authority to the lowest bidder who shall, within 07 (seven) days of the

receipt of the LoI, sign and return the duplicate copy of the LoI in acknowledgement thereof. In

the event, the duplicate copy of the LoI duly signed by the Bidder is not received by the

stipulated date, Authority may, unless it consents to extension of time for submission thereof,

appropriate the Bid Security of such Bidder as mutually agreed genuine pre- estimated loss and

damage suffered by Authority on account of failure of the Bidder to acknowledge the LoI.

27.2. Letter of Invitation (LoI) will constitute the Contract between the Lowest Bidder and

Authority pending execution of AO Agreement. The Letter of Invitation shall constitute

part and parcel of the subsequent Agreement to be entered between the parties.

27.3. The lowest Bidder shall deposit the Commitment Security/ Performance Security within

15 (Fifteen) days from the date of issue of Letter of Invitation.

28. Execution of the AOA

The selected bidder shall have to execute Air Service Operation Agreement with Uttar

Pradesh State Tourism Development Corporation Ltd ( UPSTDC) - The Authority, within

the sixty days of issuance of LOI.

28.1. Compliance of following conditions by the Selected Bidder shall be the pre- requisites for

signing of the Agreement:

a) Acknowledgment of LoI in terms of this EOI-CUM-RFP document within 07 days of issuance of LoI

b) Submission of Commitment Security/ Performance Security

c) Creation of a SPV, if required

On compliance of the pre-requisites specified hereinabove, the AOA shall be executed, in the

enclosed format, with the bidder/SPV.

29. Return /Forfeiture of Bid Security and Commitment Security 29.1. The Bid Security of unsuccessful Bidders will be returned as promptly as possible; but not

later than 30 (thirty) days after the expiration of the Bid Validity Period. However, no interest shall be payable on the said Bid Security.

29.2. The Bid Security of the Selected Bidder will be returned when the Selected Bidder has

executed the Agreement with Authority as specified in Clauses 28.

29.3. Without prejudice to the specific provisions in this regard the Bid Security and/or the

Commitment Security shall be liable to be forfeited:

a) If a Bidder engages in a corrupt practice, fraudulent practice, coercive practice, undesirable practice or restrictive practice

b) If the Bidder withdraws it's Bid during the Bid Validity Period

c) If the Bidder imposes any condition within the Bid Validity Period,

d) If the Bid of any Bidder is non-responsive;

e) If the Bidder fails, within the specified time limit;

To acknowledge the receipt of LoI

To execute the Agreement as per the format enclosed; To furnish the commitment security;

f) If the bidder fails to operate as per the terms and conditions of the agreement.

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29.4. Authority may, if it considers necessary, solicit the Bidder’s consent for an extension of the

Bid Validity Period. The request and responses thereto shall be made in writing. If a Bidder

accepts to prolong the period of validity, the Bid Security shall also be suitably extended.

A Bidder may refuse the request without forfeiting its Bid Security. A Bidder accepting the

request shall not be permitted to modify his Bid or impose any condition.

30. Confidentiality

Information relating to the examination, clarification, evaluation and recommendation for

the Bidders shall not be disclosed to any person, who is not officially concerned with the

process or is not a retained professional advisor advising Authority in relation to or matters

arising out of, or concerning the Bidding Process. Authority will treat all information

submitted as part of the Bid, in confidence and will require all those who have access to such

material to treat the same in confidence. Authority may not divulge any such information

unless it is directed to do so by a Court of Law and/or any statutory entity that has the

power under law to require its disclosure.

31. Miscellaneous

31.1. The Bidding Process shall be governed by, and construed in accordance with, the laws of

India and the Courts at Uttar Pradesh shall have exclusive jurisdiction over all disputes arising

under, pursuant to and/or in connection with the Bidding Process.

31.2. Authority, in its sole discretion and without incurring any obligation or liability, reserves

the right, at any time, to;

a) Suspend and/or cancel the Bidding Process and/or amend and/or supplement the Bidding

b) Process or modify the dates or other terms and conditions relating thereto;

c) Consult with any Bidder in order to receive clarification or further information;

d) Retain any information and/or evidence submitted to Authority by, on behalf of,

and/or in relation to any Bidder; and/or

e) Independently verify, disqualify, reject and/or accept any and all submissions or other

f) Information and/or evidence submitted by or on behalf of any Bidder.

31.3 No assignment, sale, transfer, conveyance of the Project shall be permitted except as

otherwise expressly permitted by Authority. Any breach of this condition shall lead to

rejection of the Bid and/or termination of the Agreement.

31.4 For the sake of clarity, the Bidder(s) may note that in case there are any obligation(s) or

condition (s) imposed on them under a particular clause of any part of the Tender

Document, which includes the Forms, and on a similar issue some additional conditions are

mentioned under another clause of any other part of the Tender Document, which includes

the Forms, then, all the conditions and/or obligations should be read in conjunction with each

other and all of them have to be fulfilled.

31.5 It shall be deemed that by submitting the Bid, the Bidder agrees and releases Authority, its

employees, agents, consultants and advisers, irrevocably, unconditionally, fully and finally

from any and all liability for claims, losses, damages, costs, expenses or liabilities in any way

related to or arising from the exercise of any rights and/or performance of any obligations

hereunder, pursuant hereto and/or in connection herewith and waives any and all rights

and/or claims it may have in their respect, whether actual or contingent, whether present or

future. No claim of any nature and to any extent whatsoever shall be made by any Bidder

against Authority, its employees, agents, consultants and advisers.