Eskom Holdings LimitedContract number

The Installation, of Copper cabling, Fibre Optic Cabling, Earthing, Control room panels, Junction boxes, as well as supply of Fibre Optic Cabling and other accessories at Pinotage Substation in Western Cape.

Part 3: Scope of Work

Document reference / Title / No of pages
This cover page / 1
C3.1 / Employer’s Works Information / 18
Total number of pages / 19

Part C3: Scope of Work1C3 ecc3 Cover page

Eskom Holdings LimitedContract number

The Installation, of Copper cabling, Fibre Optic Cabling, Earthing, Control room panels, Junction boxes, as well as supply of Fibre Optic Cabling and other accessories at Pinotage Substation in Western Cape.

C3.1: Employer’s works Information

Contents

Part 3: Scope of Work......

C3.1: Employer’s works Information......

1Description of the works

1.1Executive overview......

1.2Employer’s objectives and purpose of the works

1.3Interpretation and terminology......

2Management and start up.......

2.1Management meetings......

2.2Documentation control......

2.2.1Contractual Correspondence:......

2.3Site Communication:......

2.4Health and safety risk management......

2.5Environmental constraints and management......

2.6Quality assurance requirements......

2.7Programming constraints......

2.8Contractor’s management, supervision and key people......

2.9Invoicing and payment......

2.10Insurance provided by the Employer

2.11Contract change management......

2.12Provision of bonds and guarantees......

2.13Records of Defined Cost, payments & assessments of compensation events to be kept by the Contractor

2.14Training workshops and technology transfer......

3Engineering and the Contractor’s design......

3.1Employer’s design......

3.2Parts of the works which the Contractor is to design......

3.3Procedure for submission and acceptance of Contractor’s design......

3.4Other requirements of the Contractor’s design......

3.5Design of Equipment......

3.6Equipment required to be included in the works

3.7As-built drawings, operating manuals and maintenance schedules......

4Procurement......

4.1People......

4.1.1Minimum requirements of people employed on the Site......

4.2Subcontracting......

4.2.1Preferred subcontractors......

4.3Plant and Materials......

4.3.1Quality......

4.3.2Plant & Materials provided “free issue” by the Employer

4.3.3Contractor’s procurement of Plant and Materials......

4.3.4Spares and consumables......

4.4Tests and inspections before delivery......

4.5Marking Plant and Materials outside the Working Areas......

4.6Contractor’s Equipment (including temporary works)......

5Construction......

5.1Temporary works, Site services & construction constraints......

5.1.1Employer’s Site entry and security control, permits, and Site regulations......

5.1.2Restrictions to access on Site, roads, walkways and barricades......

5.1.3People restrictions on Site; hours of work, conduct and records......

5.1.4Health and safety facilities on Site......

5.1.5Title to materials from demolition and excavation......

5.1.6Contractor’s Equipment......

5.1.7Site services and facilities......

5.1.8Facilities provided by the Contractor

5.1.9Existing premises, inspection of adjoining properties and checking work of Others......

5.1.10Survey control and setting out of the works

5.1.11Excavations and associated water control......

5.1.12Underground services, other existing services, cable and pipe trenches and covers......

5.1.13Control of noise, dust, water and waste......

5.1.14Sequences of construction or installation......

5.1.15Giving notice of work to be covered up......

5.1.16Hook ups to existing works......

5.2Completion, testing, commissioning and correction of Defects......

5.2.1Work to be done by the Completion Date......

5.2.2Use of the works before Completion has been certified......

5.2.3Materials facilities and samples for tests and inspections......

5.2.4Commissioning......

5.2.5Start-up procedures required to put the works into operation......

5.2.6Take over procedures......

5.2.7Access given by the Employer for correction of Defects......

5.2.8Performance tests after Completion......

5.2.9Training and technology transfer......

5.2.10Operational maintenance after Completion......

6List of drawings......

6.1Drawings issued by the Employer

1Description of the works

1.1Executive overview

Pinotage is a new 400/132kV substation in the Western Grid.

The 400kV yard is built according to the breaker- and- a- half design, while the 132kV yard will be standard double busbar design. Two x 500MVA Transformer will link the 400kV and 132kV yards.

Pinotage was earmarked to be the first substation to be equipped with the new Integrated Protection and Control System. The protection schemes are dual, meaning that the schemes are duplicated and completely separate from each other. It has also been planned to be installed like that in the Control Room. Please refer to drawing 0.03/13837.

A new designed junction box will be installed for each circuit breaker as well as one for each Transformer. This junction box will have a Main 1, Main 2 and Common areas where the cables will be pulled to from the Primary Equipment and will also run from here to the Protection Panels inside the Control Room.

From each Main area there will also be a 12 core multi-mode fibre optic cable pulled inside an HDPE pipe to the Control Room. See the relevant Fibre Optic Scope of Work document for the standards and instructions to be adhered to.

The Copper Cables from the equipment to the junction box and to the Control Room have to be pulled in first, thereafter the fibre optic cables can be pulled in to prevent crossing of cables over the fibres.

The cables from the equipment to the junction box have to be pulled in the trench closest to the junction box and outside trench will contain the cables and fibre cables running from the junction box to the Control Room.

All cables will be numbered according to the relevant Cable Block diagrams.( still to be issued)

1.2Employer’s objectivesand purpose of the works

The objective of this contract is to successfully Install all Copper cabling, Fibre Optic Cabling, Earthing, Control room panels, Junction boxes, as well as other associated consumables such that Pinotage Substation can be commissioned on time.

1.3Interpretation and terminology

The following abbreviations are used in this Works Information:

Abbreviation / Meaning given to the abbreviation
AFC / Approved for construction
OBL / Outside battery limits

2Management and start up.

2.1Management meetings

SHEQ documentation and files to be approved a month prior to commencing of work.

Project progress meetings will be held bi-weekly on site.

All meetings shall be recorded using minutes or a register prepared and circulated by the person who convened the meeting.

Before the contractor goes to site he shall request confirmation from the Employer’s Project Manager that the dates listed are definite

Communications

All communication must be done via the Employer’s Project Manager

Meetings of a specialist nature may be convened as specified elsewhere in this Works Information or if not so specified by persons and at times and locations to suit the Parties, the natureand the progress of the works. Records of these meetings shall be submitted to the Project Managerby the person convening the meeting within five days of the meeting.

All meetings shall be recorded using minutes or a register prepared and circulated by the person who convened the meeting. Such minutes or register shall not be used for the purpose of confirming actions or instructions under the contract as these shall be done separately by the person identified in the conditions of contract to carry out such actions or instructions.

2.2Documentation control

2.2.1Contractual Correspondence:

  • Properly compiled letters on Official Company letter head or forms attached to an email and not as a message in an email itself.
  • Alpha numeric identification – Reference: Date / Pinotage /Communication number
  • All correspondence to be addressed to the Project Manager

2.2.2 Contractual Forms to be used (Attached)

  • ECC – Early Warning by Contractor
  • ECC – Notification of CE (Compensation Event) by the Contractor
  • ECC – Submission by Contractor for acceptance by the PM

2.3Site Communication:

Contractor site diary signed daily by the Supervisor.

  • Contractor Daily Site Diary (Minimum Employer requirements on Contractor Daily Site Diary are);
  • Contract No.
  • Date
  • Work Hours – Start, Finish and Overtime
  • Rainfall (mm)
  • Temperature
  • Visitors to site
  • Contractor employees on site and description (Site Agent, Foreman, Skilled, etc.)
  • List of Plant and Equipment
  • Brief description of the day’s activities
  • Toolbox talk topic
  • Diary signed daily by Employer - Site Manager/Supervisor and Contractor – Contract Manager/Site Agent
  • Daily Contractor attendance register to be attach to the Daily Site Diary.
  • Site instructions issued by the Supervisor.

Site Memorandums addressed to the Supervisor

Eskom can call for a maximum of two work stoppages a month for all staff and contractors to reflect on safety concerns in the organisation. This will be done in the form of a site induction and the Contractor will not be entitled for a compensation event. Furthermore, any work stoppage and a result of a Health, Safety and Environmental stoppage shall not be accepted as a compensation event.

2.4Health and safety risk management

•The Contractor shall comply with the health and safety requirements contained in the FORM 74-SHE SPECIFICATION.

2.5Environmental constraints and management

•The Contractor shall comply with the environmental criteria and constraints stated in the Environmental Management Plans.

•The contractor must also comply with the following environmental procedures: PDPMAN-PC-11 Environmental requirements for contractors working on power delivery projects

2.6Quality assurance requirements

The contractor must comply with the following quality procedure: PDPMAN- SP-28 Quality requirements for organisations

2.7Programming constraints

The contractor must submit a schedule within 2 weeks of contract award for acceptance by the Employer

2.8Contractor’s management, supervision and key people

Contractor to include anorganogram showing his personnel and their lines of authority / communication.

2.9Invoicing and payment

Within one week of receiving a payment certificate from the Service Manager in terms of core clause 51.1, the Contractor provides the Employer with a tax invoice showing the amount due for payment equal to that stated in the Service Manager’s payment certificate.

The Contractor shall address the tax invoice to

Eskom Holdings Limited

P O Box 1091

Johannesburg

2000

and include on each invoice the following information:

  • Name and address of the Contractor and the Service Manager;
  • The contract number and title;
  • Contractor’s VAT registration number;
  • The Employer’s VAT registration number 4740101508;
  • Description of service provided for each item invoiced based on the Price List;
  • Total amount invoiced excluding VAT, the VAT and the invoiced amount including VAT;
  • (add other as required)

An original invoice must be sent to the Accounts Payable Department and a copy to the Project Manager.

The contractor must submit an FRI within 1 week of contract award.

2.10Insurance provided by the Employer

First read ECC3 Core Clause 87.1 and then add anything necessary for the management of insurance related issues such as a cross reference to where procedures for making claims can be found. Also provide contact details for persons capable of being able to answer any insurance related queries the Contractor may have, as well as to whom the information required by Marine Insurance may be addressed.

2.11Contract change management

•None

2.12Provision of bonds and guarantees

The form in which a bond or guarantee required by the conditions of contract(if any) is to be provided by the Contractoris given in Part 1 Agreements and Contract Data, document C1.3, Sureties.

The Employer may withhold payment of amounts due to the Contractor until the bond or guarantee required in terms of this contract has been received and accepted by the person notified to the Contractor by the Project Manager to receive and accept such bond or guarantee. Such withholding of payment due to the Contractordoes not affect the Employer’s right to termination stated in this contract.

2.13Records of Defined Cost, payments & assessments of compensation events to be kept by the Contractor

•In order to substantiate the Defined Cost of compensation events, the Employer may require the Contractor to keep records of amounts paid by him for people employed by the Contractor, Plant and Materials, work subcontracted by the Contractor and Equipment. [See clause 11.2(5) and 63.2].

•The Contractor shall keep all the original invoice and these invoice shall be supplied to the Employer shall the need arise.

2.14Training workshops and technology transfer

Not Applicable

3Engineering and the Contractor’s design

3.1Employer’s design

Refer to specification:

(a)N/A

3.2Parts of the works which the Contractor is to design

Not Applicable

3.3Procedure for submission and acceptance of Contractor’s design

Not Applicable

3.4Other requirements of the Contractor’s design

Not Applicable

3.5Design of Equipment

Not Applicable

3.6Equipment required to be included in the works

None

3.7As-built drawings, operating manuals and maintenance schedules

The contractor must supply all the relevant documentation and drawings as stated in the specification document upon delivery of the equipment to the sites.

4Procurement

Eskom Procurement Policy shall be applicable to this tender.

4.1People

4.1.1Minimum requirements of people employed on the Site

People employed on site shall have all relevant documents as required by law for employment within the country, i.e. relevant work permits and Identifications..

Supplier Development & Localisation (SD&L)

Eskom Holdings Limited as an organ of State is required to implement South African Government Policy in a number of areas. SD&L is the South African Government’s accelerated shared growth initiative. The initiative has identified Government spending on infrastructure – such as power station construction - as a key area for SD&L intervention and Eskom Holdings Limited is accordingly required to set local content, black economic empowerment and skills development targets and minimums as key evaluation criteria in tenders that it awards.

Eskom Holdings Limited has long had a policy in place regarding procurement from black individuals and companies owned and controlled by black individuals. This policy is number 32-416 “Implementation of Eskom’s Black Economic Empowerment Strategy” which is in line with The Codes of Good Practice gazetted by the Minister of Trade and Industry on the 9 February 2007. For the purposes of this tender the targets for black procurement have been set both as part of the SD&L evaluation and as part of commercial evaluation of whether the Contractor meets the Required BEE score. The SD&L requirements only are discussed in this document.

For the purposes of tendering the tenderer must demonstrate the manner in which the SD&L requirements will be met in due course in an implementation program. If the tender is awarded all SD&L undertakings (the Contractor’s SD&L Obligations) must be made by the Contractor at the time of contracting.

SD&L Compliance Matrix

Contractors are required to make a proposal in line with the SD&L set targets using the table below.

Criteria / Proposed Target (%)
Local to South Africa
Total Score

Definitions and Interpretation

The definitions below shall be referred to in the interpretation. The targets for BWO, LBS and SBE are a percentage of the local content portion of the tender only.

LBS

This refers to procurement from “Large Black Suppliers” as defined in Directive 32-416. 32-416 defines Large Black Suppliers as follows: An LME that is a minimum of a “Level Four Contributor” to BEE. Large Black Supplier has an annual turnover of more than R35 million.

BWO

This refers to procurement from “Black Woman Owned Enterprises” as defined in Directive 32-416. 32-416 defines BWO as follows: An EME or QSE that is 50% or more owned and effectively managed by Black women.

SBE

This refers to procurement from “Small Black Enterprise” as defined in Directive 32-416. 32-416 defines an SBE as follows: An EME or QSE that is 50% or more owned and effectively managed by Black persons.

The turnover limit for Enterprises to qualify as SBE’s is R35 Million.

SD&L Progress Report

Means the Contractor’s SD&L progress report contemplated in clause 7 of this annexure.

Local Content

“Local Content” refers to value added in South Africa by South African resources. Where a single contract involves a combination of local and imported goods and or services, the tender response must be separated into its components (where applicable) and included with tender documents. Local content is total spend minus the imported component.

This is calculated by subtracting the cost of imported goods and services in respect of the Works from the total Contract Amount.

Imported Goods and Services

“Imported goods and services” means, but is not limited to:

Goods and services directly imported into South Africa;

Goods which although stored in South Africa are produced and/or wholly manufactured outside the borders of South Africa and/or have a minimum of 50% (fifty percent) of production costs (including labour) incurred outside of South Africa and payable to foreign residents and/or foreign registered entities;

Goods that have been "substantially transformed" outside of South Africa. Substantially transformed refers to the irreversible incorporation of imported components in the goods, with the labour costs and profit content earned by foreign residents and/or foreign registered entities exceeding 50% (fifty percent) of the Contract Amount and/or the significant assembly and manufacture of the goods occurring outside of South Africa's borders; and/or

Services with at least 50% (fifty percent) of the labour cost incurred outside of South Africa's borders and/or with at least 50% (fifty percent) of the service fee payable to foreign residents and/or foreign registered entities, regardless of whether the service involves domestic capital goods or other domestic costs

Final Review

Final Review means the review (to be conducted at the completion date of the whole of works by the Project Manager) of the Contractor’s performance in respect of the Contractor SD&L Obligations.

Skills Development

This is the requirement that tenderers commit to train certain individuals in specified trades.

The requirement is that the targeted numbers of individuals are trained and complete practical tasks to achieve the outcome of passing a trade test and qualifying as an artisan, or the equivalent for any other required skill.

Contractor’s SD&L Commitments

Means those commitments regarding local content, skills development and procurement from LBSs, BWOs and SBEs made by the Contractor in his tender submission and used by the Employer for the purposes of calculating the Contractor’s SD&L score in the tender evaluation process.

Contractor’s SD&L Obligations

Means those obligations of the Contractor regarding local content, skills development and procurement from LBSs, BWOs and SBEs derived from Contractor’s SD&L Commitments and agreed between the Contractor and the Employer.

Certificate of Fulfilment

Means the certificate issued by the Employer after the Final Review as evidence of the Contractor’s successful fulfilment of the Contractor SD&L Obligations.

SD&L PROGRESS REPORTS

The Contractor shall submit monthly SD&L Progress Reports to the Project Manager. SD&L Progress Reports shall be submitted by the 7th (seventh) day of the month following the months to which the report relates. Each report shall include:

An executive summary;

Charts and detailed descriptions of the progress in narrative format, including each stage of progress of the Contractor SD&L Obligations, the meeting (or delay in the meeting) of anticipated dates and targets (as set out in the program) and any documents, statistics or other form of verification of the dates and targets to be provided in respect thereof;