PROCUREMENT PLAN

Basic Data Project Name: and Kilinochchi Water Supply and Sanitation Project Project Number: 37378-013 Approval Number: 2710/2711/9429/3604/3603 Country: Executing Agency: Ministry of City Planning and Water Supply (formerly Ministry of Water Supply and Drainage), Ministry of Internal & Home Affairs and Provincial Councils & Local Government (formerly Ministry of Provincial Councils, Local Government & Sports) Implementing Agency: Project Financing Amount: US$ 243,000,000 National Water Supply and Drainage Board, ADB Financing: US$ 210,000,000 Northern Provincial Council Cofinancing (ADB Administered): Project Closing Date: 30 June 2026 Non-ADB Financing: US$ 33,000,000

Date of First Procurement Plan: 29 November Date of this Procurement Plan: 5 June 2019, 2010 Version 7 Advance Contracting: e-GP: No No

A. Methods, Thresholds, Review and 18-Month Procurement Plan

1. Procurement and Consulting Methods and Thresholds

Except as the Asian Development Bank (ADB) may otherwise agree, the following process thresholds shall apply to procurement of goods and works.

Procurement of Goods and Works Method Threshold Comments International Competitive Bidding for US$ 2,000,000 and Above Prior Goods National Competitive Bidding for Goods Between US$ 100,000 and US$ 1,999,999 Prior review for above $250,000; Post review for less than $250,000 Shopping for Goods Up to US$ 99,999 Prior Direct Contracting for Goods Up to US$ 9,999 Post International Competitive Bidding for US$ 15,000,000 and Above Prior Works National Competitive Bidding for Works Between US$ 100,000 and US$ Prior review for above $500,000; Post 14,999,999 review for less than $500,000 Shopping for Works Up to US$ 99,999 Post Direct Contracting for Works Up to US$ 9,999 Force Account for Works Up to US$ 300,000 Force account will be applicable for inter-agency payments such as electricity connection, utility payments, and repairing minor road damages due to project construction.

Consulting Services Method Comments Consultant's Qualification Selection for Consulting Firm Prior Quality- and Cost-Based Selection for Consulting Firm Prior Single Source Selection for Consulting Firm Prior Individual Consultant Selection for Individual Consultant Prior

2. Goods and Works Contracts Estimated to Cost $1 Million or More The following table lists goods and works contracts for which the procurement activity is either ongoing or expected to commence within the next 18 months.

Review Advertisement Package Estimated Procurement Bidding General Description (Prior/ Date Comments Number Value Method Procedure Post) (quarter/year) PD/JKWS Supplying and laying of 1,000,000.00 NCB Prior 1S1E Q4 / 2019 Prequalification SP/Networ Distribution networks of Bidders: N k/2019/01 for Nainativu, Analaitivu, and Domestic Eluvaitivu Preference Applicable: N

Bidding Document: Large Works

PEIC/JKW Supplying and 9,000,000.00 ICB Prior 1S2E Q4 / 2019 Prequalification SSP/M&E/ installation of of Bidders: N 2017/01 Mechanical, Electrical, Instrumentation, Domestic Control components Preference and SCADA System Applicable: N

Bidding Document: Large Works

PEIC/JKW Construction of Water 3,660,000.00 NCB Prior 1S2E Q3 / 2017 Prequalification SSP/Wate Towers at Pommaveli, of Bidders: N r Karaveddy, Nainathivu, Towers/20 Analaithivu and Domestic 17/01 Eluvaithivu (Tower 3 Preference Package) Applicable: N

Bidding Document: Large Works

Comments: ADB Approval given for negotiated price

3. Consulting Services Contracts Estimated to Cost $100,000 or More

The following table lists consulting services contracts for which the recruitment activity is either ongoing or expected to commence within the next 18 months.

Review Advertisement Package Estimated Recruitment Type of General Description (Prior/ Date Comments Number Value Method Proposal Post) (quarter/year) PD/JKWS Recruiting individual 107,500.00 ICS Prior Q1 / 2019 Assignment: SP/TEAM consultants-Team National LEADER/ Leader for JKWSSP 2019/01 Expertise: Project Engineering

Comments: BTP

4. Goods and Works Contracts Estimated to Cost Less than $1 Million and Consulting Services Contracts Less than $100,000 (Smaller Value Contracts)

The following table lists smaller-value goods, works and consulting services contracts for which the activity is either ongoing or expected to commence within the next 18 months.

Goods and Works Procur Review Advertisement Package General Estimated Number of Bidding ement (Prior/ Date Comments Number Description Value Contracts Procedure Method Post) (quarter/year) Estab Fish Marketing and 56,650.00 1 SHOPP Prior Q1 / 2020 Market & Shopping ING Shopping Facility Complex (Establishing fish market and shopping compleses)

PD/JKWSSP/IC Thalaiyadi Ice 84,970.00 1 NCB Prior 1S1E Q2 / 2019 Prequalification of E Facotry M&E Bidders: N FACTORY/M&E/ Component 2019/01 Domestic Preference Applicable: N

Bidding Document: Small Works

Comments: Tender document ready to advertise

PD/JKWSSP/SW Thalaiyadi St. 19,260.00 1 SHOPP Prior Q2 / 2019 RO/TSt.AGIW/20 Anthony's ING 18/02/R ground improvement works/2018/02/ R

PD/JKWSSP/SW Construction of 11,330.00 1 SHOPP Prior Q4 / 2019 RO/Wall&Gate/2 boundary wall ING 018/04 with gate for St.Anthony's playground

Revolving fund Revolving fund 22,090.00 1 FA Prior Q1 / 2020 for RDS/WRDS for RDS/WRDS to encourage the small income generation activity under Comments: livelihood Capacity component development/Micr o credit

Seed Capital for Seed Capital 99,999.00 1 SHOPP Prior Q2 / 2020 Fishermen for Fishermen ING Cooperative Cooperative Society Society for supplying requested fishing gears (Nets, Boats and Engines)

Training with Required tools 40,000.00 1 SHOPP Prior Q4 / 2019 requied toods A for training ING

Consulting Services Review Advertisement Package General Estimated Number of Recruitment Type of (Prior/ Date Comments Number Description Value Contracts Method Proposal Post) (quarter/year) PD/JKWSS Residential 47,500.00 1 ICS Prior Q2 / 2019 Assignment: P/RESIDE Engineer 1 National NTIAL ENGINEER Expertise: 1/2019/02 Resident Engineer

Comments: BTP PD/JKWSS Residential 47,500.00 1 ICS Prior Q2 / 2019 Assignment: P/RESIDE Engineer 2 National NTIAL ENGINEER Expertise: 1/2019/03 Resident Engineer

Comments: BTP PD/JKWSS Electro 35,050.00 1 ICS Prior Q2 / 2019 Assignment: P/RESIDE Mechanical National NTIAL Engineer ENGINEER Expertise: 1/2019/04 Electro Mechanical Engineer

Comments: BTP Training Trainer for 20,000.00 1 ICS Prior Q4 / 2019 Assignment: with Training with National requied tools toods B Expertise: Electro Mechanical expertee

B. Indicative List of Packages Required Under the Project

The following table provides an indicative list of goods, works and consulting services contracts over the life of the project, other than those mentioned in previous sections (i.e., those expected beyond the current period).

Goods and Works Package General Estimated Estimated Number Procurement Review Bidding Comments Number Description Value of Contracts Method (Prior/Post) Procedure (cumulative) Construction Construction of 2,000,000.00 1 NCB Prior 1S1E Prequalification of Ice Factory ICE factory of Bidders: N

Domestic Preference Applicable: N

Bidding Document: Large Works

Improvement Rehabilitation and 1,500,000.00 1 NCB Prior 1S1E Prequalification of WTP for Augmentation of of Bidders: N Kilinochchi WS existing Kilinochchi WTP Intake Domestic (Excluding Micro Preference strainer) Applicable: N Bidding Document: Large Works

Consulting Services Review Package General Estimated Number of Recruitment Type of (Prior/ Comments Number Description Value Contracts Method Proposal Post) None C. List of Awarded and On-going, and Completed Contracts

The following tables list the awarded and on-going contracts, and completed contracts.

1. Awarded and Ongoing Contracts

Goods and Works Date of ADB Awarded Advertisement Package General Estimated Procurement Approval of Contract Date Comments Number Description Value Method Contract Value (quarter/year) Award JKWSSP/N Procurement of 113,993.02 113,535.22 NCB Q2 / 2017 27-NOV-10 CP/ID/NCB/ Vehicles (4WD G/2017/01 Double Cab Pick-ups-2 Nos. SPORTSE Supply of sports 3,896.10 1,629.57 SHOPPING Q2 / 2018 06-JUN-18 QUIPMENT equipment for /2018/01-A Thalaiyady St. Anthony's Sports JKWSSP/N Construction of 2,330,275.67 1,984,311.17 NCB Q1 / 2016 29-MAR-16 PC/ID/NCB/ Bridge and W/2016/1 Flood Bund, Rehabilitation of 3 Nos. drop Structures in Iranamadu Scheme. ? JKWSSP/N Construction of 2,702,702.70 280,373.56 NCB Q3 / 2016 02-FEB-17 PC/ID/NCB/ Provincial W/2016/3 Director's Office, Irrigation Department, Northern Province, JKWSSP/N Construction of 3,685,200.00 1,544,894.05 NCB Q2 / 2015 16-SEP-15 PC/ID/NCB/ Rip Rap W/2015/3 Protection works to the Upstream of the Dam Embankment and construction of RCC Parapet wall including gravelling of bund top road? PEIC/JKW Construction of 2,860,000.00 4,482,710.78 NCB Q3 / 2013 13-AUG-14 SSP/Water water towers at Towers/201 palai, 3/02 kodikamam, nallur, karainagar, pungudutivu, , vaddukkodai and jaffna muncipal council (old park) PEIC/JKW Construction of 2,700,000.00 4,100,000.00 NCB Q4 / 2013 13-AUG-14 SSP/Water water towers at Towers/201 puttur, meesalai, 3/01 poonakari, navatkuli, kaddudai, velenai and mandativu JKWSSP/N Rehabilitation of 3,978,571.00 3,634,188.67 NCB Q2 / 2015 21-JUL-15 PC/ID/NCB/ Downstream & W/2015/1 Upstream Dam Embankments?

JKWSSP/N Rehabilitation of 53,104,347.40 2,120,784.01 NCB Q3 / 2015 05-SEP-16 PC/ID/NCB/ Lift Irrigation W/2016/2 Canal System?

JKWSSP/N Rehabilitation of 3,000,000.00 2,775,190.61 NCB Q2 / 2015 16-SEP-15 PC/ID/NCB/ Spillway and W/2015/2 Supplying & Installation of Radial Gates and Automation of Spill and Sluice Gates. ? Thalaiyadi Road reinstating 355,000.00 354,552.59 NCB Q1 / 2018 26-JAN-18 Force account Roads/201 - Recon. of 9 7/01 Internal Roads of Vathirayan-Maru thankerny connection, Vadamarachchi East DS Div. in PEIC/JKW Supply and 21,537,260.89 117,641,201.16 ICB Q1 / 2015 04-JAN-16 SSP/TWTM laying of treated /2014/02 water transmission mains and construction of three treated water sumps at Kallundai, pungudutivu and poonakary PEIC/JKW Supplying and 19,890,000.00 12,195,569.37 ICB Q1 / 2017 07-JUL-18 Only 20% adv. & SSP/Netwo Laying Of Water initial interim rk/2014/02 Distribution payments funded Networks in under L2711. Palai, Balance to be paid Kodikamam, under Meesalai, L3603/3604(COL) Poonakary, Puttur, Nawatkuli, Karainagar, Pungudutivu, Vaddukkodai, Kattudai, Nallur Zones, JMCTransmissio n Pipeline and Construction of Office/Stores, Quarters (6) PEIC/JKW Supplying and 2,280,000.00 2,351,108.00 NCB Q1 / 2014 13-AUG-14 SSP/Netwo laying of water rk/2013/01 distribution network in kayts, velanai and mandaitivu JKWSSP/S Providing basic 39,000.00 38,686.36 SHOPPING Q1 / 2017 24-MAR-17 ANITATION infrastructure &WELLS/2 facility -50 017/1 latrines, 36 drinking water wells in Vadamarachchi East PD/JKWSS Road reinstating 920,000.00 919,283.85 DC Q4 / 2011 28-NOV-11 Force account P/RC/2011/ - Road Crossing 12 works on Kandy Jaffna Road (A009) PD/JKWSS Road reinstating 30,300.00 30,210.72 DC Q4 / 2011 28-NOV-11 Force account P/RC/2011/ - Road Crossing 14 works on Navatkuli Raraitivu Roads PD/JKWSS Road reinstating 5,000.00 5,260.71 DC Q4 / 2011 08-NOV-11 Force account P/RC/2011/ - Road crossing 13 on Manipay Kaithady Road PMCIU/JK Supply and 10,389.61 10,389.61 SHOPPING Q2 / 2017 08-JUN-18 WSSP/Thal installation of aiyadi/30W 30W led solar LED street lights at Thalayadi (J428) SWRD/ICE Thalaiyady Ice 32,467.53 27,928.57 SHOPPING Q2 / 2018 04-APR-18 FACTORY/ Factory Civil CW/2017/0 Works at 2/r Vadamarachchi PD/JKWSS Supply and 165,000.00 167,152.00 NCB Q4 / 2012 02-OCT-12 Number of P/ADB/VEH delivery of contracts - 5 /2012/03 vehicles for water board project office PD/JKWSS Road 1,000,000.00 22,416.00 DC Q4 / 2011 28-NOV-11 Force account P/RC/2011/ Reinstatement - 17 Road crossing works on Jaffna Region RDA Roads in the identified locations PEIC/JKW Supply and 24,028,212.61 19,269,298.67 ICB Q1 / 2015 09-DEC-15 SSP/TWTM laying of treated /2013/01 water transmission mains from palai WTP to nallur and construction of two treated water sumps at nallur and meesalai

Consulting Services Date of ADB Awarded Advertisement Package General Estimated Recruitment Approval of Contract Date Comments Number Description Value Method Contract Value (quarter/year) Award NPC/ID/CO Design and 600,000.00 586,598.00 QCBS Q4 / 2011 10-AUG-12 Number of NS/2011 Construction contracts – 1 Supervision for Iranamadu Head Works

P&D/ADBV Project 3,930,000.00 5,156,779.75 QCBS Q2 / 2011 08-OCT-12 Number of I/CONS/20 Engineering and contracts – 1 11/ Institutional Consulting (PEIC)

D. National Competitive Bidding A. Regulation and Reference Documents

1. The procedures to be followed for national competitive bidding shall conform to the provisions prescribed in t he Procurement Guidelines 2006 for Goods and Works issued in January 2006 by the National Procurement Agency, and the specific procedures prescribed by the Procurement Manual issued in March 2006, with the clarifications and modifications described in the following paragraphs required for compliance with the provisions of the ADB Procurem ent Guidelines.

B. Procurement Procedures

1. Eligibility

2. The eligibility of bidders shall be as defined under Section I of ADB's Procurement Guidelines (2015, as am ended from time to time) (the "Guidelines); accordingly, no bidder or potential bidder should be declared ineligible for reasons other than those provided in Section I of the Guidelines.

2. Registration and Sanctioning

3. Registration is acceptable under the following conditions:

(i) Bidding shall not be restricted to pre-registered firms under the national registration system of the Institute for Construction, Training and Development (ICTAD), and such registration shall not be a condition for the subm ission of bids in the bidding process.

(ii) Where registration is required prior to award of contract, bidders: (i) shall be allowed a reasonable time to com plete the ICTAD registration process; and (ii) shall not be denied registration for reasons unrelated to their ca pability and resources to successfully perform the contract, which shall be verified through post-qualification.

(iii) National sanction lists or blacklists may be applied only with prior approval of ADB.

3. Prequalification

4. Prequalification is discouraged for NCB. When used, particularly for works contracts, an individual prequalif ication exercise is acceptable for each contract as is the use of a registration system (or approved standing list) of co ntractors based on criteria such as experience, financial capacity, and technical capacity. Foreign bidders from elig ible countries must, however, be allowed to register and to bid without unreasonable cost or additional requirements.

4. Advertising

5. The posting of NCB specific notices for contracts valued at less than $1 million on ADB's website is not requir ed but is highly recommended.

5. Preferences

6. The following shall be observed:

(i) No preference of any kind shall be given to domestic bidders or for domestically manufactured goods.

(ii) Foreign suppliers and contractors from ADB member countries shall be allowed to bid, without registration, li censing, and other government authorizations, leaving compliance with these requirements for after award a nd before signing of contract. 6. Participation by Government-Owned Enterprises

7. Government-owned enterprises in the Democratic Socialist Republic of Sri Lanka shall be eligible to partici pate only if they can establish that they are legally and financially autonomous, operate under commercial law, and are not a dependent agency of the procuring entity, or the Project Executing Agency or Implementing Agency.

7. Rejection of Bids and Rebidding

8. Bids shall not be subjected to a test for unrealistic rates. No lowest evaluated and substantially responsive b id shall be rejected on the basis of comparison to rates, including but not limited to market, historical, or agency estab lished rates, without prior approval of ADB.

9. Bids shall not be rejected and new bids solicited without the ADB's prior concurrence.

8. Price Negotiations

10. Price negotiation shall be allowed only where the price offered by the lowest evaluated and substantially res ponsive bidder substantially exceeds costs estimates. Approval of ADB is required prior to any negotiation of prices.

C. Bidding Documents

9. Acceptable Bidding Documents

11. Procuring entities shall use standard bidding documents acceptable to ADB for the Procurement of Goods, Works and Consulting Services, based ideally on the standard bidding documents issued by ADB.

10. Bid Security

12. Where required, bid security shall be in the form of a certified check, a letter of credit or a bank guarantee fro m a reputable bank.

11. ADB Policy Clauses

13. A provision shall be included in all NCB works and goods contracts financed by ADB requiring suppliers and contractors to permit ADB to inspect their accounts and records and other documents relating to the bid submission and the performance of the contract, and to have them audited by auditors appointed by ADB.

14. A provision shall be included in all bidding documents for NCB works and goods contracts financed by ADB s tating that the Borrower shall reject a proposal for award if it determines that the bidder recommended for award has, directly or through an agent, engaged in corrupt, fraudulent, collusive, coercive or obstructive practices in competing f or the contract in question.

15. A provision shall be included in all bidding documents for NCB works and goods contracts financed by ADB s tating that ADB will declare a firm or individual ineligible, either indefinitely or for a stated period, to be awarded a co ntract financed by ADB, if it at any time determines that the firm or individual has, directly or through an agent, engag ed in corrupt, fraudulent, collusive, coercive or obstructive practices or any integrity violation in competing for, or in ex ecuting, ADB-financed contract.