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UNDERSTANDING THE TENDER LAW IN OMAN

AS APPLICABLE TO CONSTRUCTION CONTRACTS


PRIYANKA NUWAN KARUNARATNA
BSc MSc APAEWE MRICS

08 JANUARY 2018
AGENDA
• INTRODUCTION- 10 minutes
(COLOUR CODING/ ABBREVIATIONS/ AMBIGUOUS TERMINOLOGY)
• TENDER LAW IN OMAN
PART 1- DEFINITIONS AND GENERAL PROVISIONS - 10 min
PART 2- THE TENDER BOARD - 10 min
PART 3- PUBLIC TENDER- 40 min
PART 4- LIMITED TENDER- 5 min
PART 5- ENGAGEMENT- 5 min
PART 5- DIRECT ASSIGNMENT- 5 min
PART 6- COMPETITION- 5 min
• OVERVIEW OF THE ELECTRONIC TRANSACTION LAW- 10 min
• INTRODUCTION TO E-TENDERING- 10 min
• QUESTIONS & ANSWERS- 10 min
OBJECTIVES
1) SYNCHRONISING THE FAMILIAR TERMS IN THE QUANTITY
SURVEYING PROFESSION WITH THE TERMINOLOGY USED IN
TENDER LAW IN OMAN
2) UNDERSTANDING THE UNDERPINNING PRINCIPLES OF
TENDER LAW IN OMAN AND HOW THESE PRINCIPLES
BENEFIT THE STAKEHOLDERS IN THE CONSTRUCTION
INDUSTRY
3) UK/ RICS REGULATIONS AND THEIR APPLICABILITY TO
TENDER LAW IN OMAN
4) UNDERSTANDING THE FLEXIBILITY OF INSTRUCTIONS TO
TENDERERS IN ADHERING TO THE TENDER LAW IN OMAN
5) OVERVIEW OF THE ELECTRONIC TRANSACTIONS LAW IN
OMAN
6) GETTING FAMILIARISED WITH THE E-TENDERING PROCESS
IN OMAN
COLOUR CODING AND ABBREVIATIONS
USED WITHIN THE PRESENATATION
RED- HEADINGS
BLACK-Royal Decree 36/2008
BLUE- Royal Decree 19/2011
GREEN- Royal Decree 69/2008
LILAC SHADES- Tables
Purple- Definitions of phrases, Citations

ALT- Abnormally Low Tender


MEAT- Most Economically Advantageous Tender
OJEU- Official Journal of the European Union
RD- Royal Decree
TB- Tender Board
AMBIGUOUS TERMINOLOGY USED WITHIN THE
PRESENATATION
FIDIC Terminology (Based on Oman White Tender Law Terminology
Book, Fidic 1987, Fidic 1999)
Tender Tender /Bid/ Tender Bid (50-f)
Tender Value Value of the Bid/s (22,43)
Contract Value/ Contract Price/ Accepted Total awarded value (44)
Contract Amount
Advance Payment Advance instalment (22)
Tender bond Provisional security (43)/ Provisional
insurance (41,53)
Performance bond Guarantee for the adequate execution of
the contract (44)
Variations Modification orders (42)
Employer/ Client Concerned offices (1,6,8,12,15,17-19,
25,29,31,32,34,35, 37-39,42,45,46,51-53,
55, 58,60)
THE TENDER LAW IN A NUTSHELL

• Fully compiled Tender Law published as Royal


Decree 36/2008 with 62 Articles
• Amendment to Tender Law published as Royal
Decree 19/2011 amending 9 Articles out of 62
Articles published above.
• Electronic Transaction Law published as Royal
Decree 69/2008 with 54 Articles
THE TENDER LAW IN OMAN
(Royal Decree 36/2008 and 19/2011)
Part Description Articles
Part I Definitions and General Provisions 1-7
Part II The Tender Board 8-15
Part III Public Tender 16-46
Chapter 1 Procedure Preceding Submission of Tenders 17-23
Chapter 2 Submission of Tenders 24-28
Chapter 3 Decision on Tenders 29-42
Chapter 4 Guarantees 43-46
Part IV Limited Tender 47-49
Part V Engagement 50-53
Part VI Direct Assignment 54-56
Part VII Competition 57-62
PART I- DEFINITIONS AND GENERAL PROVISIONS
Article Description Key Points
1 Defined terms Board, Chairman of Board, General Secretariat, Bid, Concerned Office,
Executive Regulations, Secretary General
2 Applicability Include: Administrative offices of the state, public authorities
/organizations /companies that are independent bodies corporate
owned fully by the government
Exclude: Security and defence offices or any other government
organizations excluded by any other law.
3 Types of Tendering Public tender, Limited tender, Engagement, Direct assignment,
Competition
4 Principles Openness, Equality of Opportunity, Equality and freedom of
competition for all Types of Tendering except for Engagement
5 Identical supplies/ Identical supplies, works or services may not be split
works/services
6 Procedure for staff Staff prohibited from direct or indirect involvement of participating in
at offices governed Tenders, without prejudice to the Royal Decree no. 39/82 and its
by Tender Law interpretation.
Exception: A grounded decision issued by the head of the concerned
office up to RO 5,000 and by the Ministry of Finance for any excess
amounts provided they do not participate in the procedure for such
assignment in any manner whatsoever.
7 Regulations Regulations shall govern the necessary rules and procedure for the
implementation of the provisions of this law.
PART I- DEFINITIONS AND GENERAL PROVISIONS
Article Description Key Points
1 Defined terms Board, Chairman of Board, General Secretariat, Bid, Concerned Office,
Executive Regulations, Secretary General

Secretary General: Secretary General of the Tender Board


PART I- DEFINITIONS AND GENERAL PROVISIONS
Article Description Key Points
3 Types of Tendering Public tender, Limited tender, Engagement, Direct assignment, Competition

Single contractor selection:


this works hand in hand with
Open tendering: this Selective tendering: a negotiation as a tender
allows anyone to shortlist drawn up by the technique. A contractor is
express an interest to project/client team or from a selected and then the
tender. The proposed pre-agreed framework/ negotiation process begins.
tender opportunity is approved-suppliers list. The It is basically a shortlist of
usually advertised in key difference between one.
journals (e.g. OJEU) or this and open tendering is
on websites. that selective tendering is
not open to everyone.

Source: RICS Professional Guidance, UK


Tendering strategies 1st edition, Section 3.4.1
PART I- DEFINITIONS AND GENERAL PROVISIONS
Article Description Key Points
4 Principles Openness, Equality of Opportunity, Equality and freedom of
competition for all Types of Tendering except for Engagement

• The TB publishes the results of opened Tenders so that the Tenderers and
General Public are aware of the list of Tenderers who have submitted the
Tenders, their Tender Values and the relative position of the respective
Tenderers
• The E-Tendering Web Portal publishes details related to the ongoing Tenders
with their status (whether or not under evaluation, cancelled or awarded)

Source:
https://etendering.tenderboard.gov.om
PART I- DEFINITIONS AND GENERAL PROVISIONS
Article Description Key Points
4 Principles Openness, Equality of Opportunity, Equality and freedom of
competition for all Types of Tendering except for Engagement

YES NO
PART I- DEFINITIONS AND GENERAL PROVISIONS
Article Description Key Points
4 Principles Openness, Equality of Opportunity, Equality and freedom of
competition for all Types of Tendering except for Engagement

YES NO NOOOOOOO
PART I- DEFINITIONS AND GENERAL PROVISIONS
Article Description Key Points
6 Procedure for staff Staff prohibited from direct or indirect involvement of participating in
at offices governed Tenders, without prejudice to the Royal Decree no. 39/82 and its
by Tender Law interpretation.
Exception: A grounded decision issued by the head of the concerned
office up to RO 5,000 and by the Ministry of Finance for any excess
amounts provided they do not participate in the procedure for such
assignment in any manner whatsoever.

Source: RICS professional standards and guidance, global


Conflicts of interest 1st edition, March 2017
PART II- THE TENDER BOARD
Article Description Key Points
8 9 Functions of the Review/ ascertain proprietary of specifications/conditions and
Tender Board instructions, Method of inviting Tenders, Receiving and opening
authority of Tenders, Receiving Tender evaluation reports,
Coordination across the country, Register and Reevaluate TB registered
suppliers/contractors and consultancy offices, Fix the cost of all the
tenders governed by the provisions of this law, Any other functions
assigned by virtue of* any other law *As a result of
9 Authority to deprive Inaccurate data, Fraudulent** means to secure the contract, Defaults
a supplier, of previous contract with any office governed by the provisions of this
contractor or law.
consulting authority ** dishonest , cheating
10 General Secretariat The Board shall have a General Secretariat whose organizational
apparatus shall be issued and functions defined by a Royal Decree.
The Board shall have the juristic capacity and financial and
administrative independence. It shall have a secretariat general under
the supervision of the Chairman. The Chairman shall have all financial
and administrative powers stipulated for the head of the
administrative unit as per the royal decrees and laws applicable to the
units of State Administrative Apparatus.
A royal decree shall be issued to endorse the organizational structure
of the Board and its Secretariat General.
The Chairman shall issue the personnel regulation at the Board and
Secretariat General without abiding by the provisions of the Civil
Service Law and its executive regulation after the approval of the
Ministry of Finance.
PART II- THE TENDER BOARD
Article Description Key Points
11 Confidentiality All records must be kept confidential, can be divulged only upon
approval of the chairman
12 Quorum* The meetings of the Board shall be valid only if attended by a majority
of its members including the Chairman or the Deputy Chairman. The
decisions of the Board shall be issued by an absolute majority of the
members present. In case of a tie, the Chairman shall decide the
matter. The deputy chairman shall replace him in case of his absence or
emergency in chairing the meetings.

In cases where the Board notices a violation of the recommendation of


the concerned offices, the decisions of the Board shall be valid only if
they are issued by a two thirds majority of the members present.

13 Ability of deputize A member of the TB can deputize a person. The number of such
proxies shall be no more than 2
14 Conflicts of interest A member shall inform any conflicts of interest to the Chairman for a
particular Tender and avoid looking at that Tender
15 Delegated authority Concerned Office’s ITC (R.O. 50,000/- 250,000/-), ISTC ( up to R.O.
50,000/-, decision of ISTC final if value is less than R.O. 10,000/-)
RD 60/2013 Concerned Office’s ITC (R.O. 50,000/- 3,000,000/-)
*Requirement of a quorum is a protection against unrepresentative action in the name of
the association by an unduly small number of people
PART III- PUBLIC TENDER
Article Description Key Points
16 Types of Tender Local or International

Chapter 1 Procedure Preceding Submission of Tender

17 Estimated cost of Concerned Office prepares with the help of the competent technical
the Tender office
18 Notice on the Mode of publication : Widely circulated Arabic and English
Tender Newspapers, Electronic means and at the notice board at the Board or
at the concerned office in Arabic and English languages.
19 Minimum period for 40 days from date of publication of the first notice on the Tender
submission of Exclusions: 15 days minimum upon special request by the concerned
Tenders office, Annual supplies unless re invited.
20 Period of validity for 90 days for all Tenders
Bids
21 Oman Standard No condition or article may be modified in the general conditions set
Conditions of forth in standard contracts in the Sultanate without the approval of the
Contract Ministry of Finance and the Ministry of Legal Affairs.
22 Advance Instalment Increase of advance instalment is possible after approval of the
Ministry of Finance
23 International International companies and establishments not registered in the
companies Sultanate may participate in international tenders. They shall complete
registration in the Sultanate within 30 working days from the letter of
acceptance
PART III- PUBLIC TENDER
Article Description Key Points
Chapter 2 Submission of Tenders
24 Compliance The bid shall satisfy the conditions and conform to the instructions
contained in the tender notices and documents.
25 Specimen A bid on the supply of items to the concerned office shall be consistent
with the standard specimen, specifications or approved drawings
which the bidder must peruse. His submission of the bid shall be
treated as an acknowledgement of his perusal thereof and the items
shall be supplied in accordance therewith. If the concerned office does
not have standard specimen, the bidder may be asked to submit the
specimen. The supply shall be in accordance with the technical
specifications even if they are inconsistent with the specimen, unless
the tender conditions show that the specimen are aimed as such.
26 Default for single Technical and financial bids shall be submitted in one envelope unless
envelope the Board decides in accordance with the requirements of the nature
of each tender, that the technical, financial or other bids should be
submitted in separate envelopes
27 Tender opening The results of the opening of the envelopes shall be announced
results immediately after they are opened through electronic means. They
may also be announced through any other means
28 ALT If the Board finds that a bid is unusually below the bids submitted, it
shall be entitled to ascertain from the bidder the extent to which the
latter has satisfied the conditions of the tender and his ability to
execute the contract.
PART III- PUBLIC TENDER
Article Description Key Points
28 ALT If the Board finds that a bid is unusually below the bids submitted, it
shall be entitled to ascertain from the bidder the extent to which the
latter has satisfied the conditions of the tender and his ability to
execute the contract.
PART III- PUBLIC TENDER
Article Description Key Points
Chapter 3 Decision on Tenders
29 Time period for the • Decision of the Tender shall be taken before validity period expires
decision on Tender • Bidders shall be asked at the appropriate time to extend the validity of their bids
for an appropriate period
30 Financial soundness of • If credit facilities of Tenderers are requested, the bids accompanied by such
Tenderers facilities shall be taken into consideration while deciding on the priority of the
tenders.
• The Board may cancel the tender if the bids are not accompanied by the
necessary credit facilities for financing.
31 Tender Evaluation Comparison shall be made between the bids for the selection of the best one in
Criteria accordance with the criteria and grounds specified in the tender document. If the
concerned office decides to exclude one or more bids, its opinion shall be
grounded and the Board shall, in the decision on the assignment, not be bound to
accept the lowest or any other bid.
32 Result of the award The Board shall communicate the result of the award to the head of the concerned
office which shall in turn notify the winning bidder in the tender within a maximum
of one week from the date of its approval, unless the bidder has, in his bid,
specified a longer period, in which case the notice shall be served well in time for
the conclusion of such period. The notice shall underline the need for the
submission of a guarantee for proper execution or professional insurance policy in
case of companies and consultancy offices within the period specified in article 44
of this law. The notice shall also state that the government shall not be bound by
the tender before the signing of the contract.
PART III- PUBLIC TENDER
Article Description Key Points
31 Tender Evaluation Comparison shall be made between the bids for the selection of the best one in
Criteria accordance with the criteria and grounds specified in the tender document. If the
concerned office decides to exclude one or more bids, its opinion shall be
grounded and the Board shall, in the decision on the assignment, not be bound to
accept the lowest or any other bid.
PART III- PUBLIC TENDER
Article Description Key Points
31 Tender Evaluation Comparison shall be made between the bids for the selection of the best one in
Criteria accordance with the criteria and grounds specified in the tender document. If the
concerned office decides to exclude one or more bids, its opinion shall be
grounded and the Board shall, in the decision on the assignment, not be bound to
accept the lowest or any other bid.
PART III- PUBLIC TENDER
Article Description Key Points
31 Tender Evaluation Comparison shall be made between the bids for the selection of the best one in
Criteria accordance with the criteria and grounds specified in the tender document. If the
concerned office decides to exclude one or more bids, its opinion shall be
grounded and the Board shall, in the decision on the assignment, not be bound to
accept the lowest or any other bid.
PART III- PUBLIC TENDER
Article Description Key Points
Chapter 3 Decision on Tenders

33 Tender negotiation After the opening of the envelopes, negotiation may not be made with a bidder on
the modification of his bid unless the lowest bid is accompanied by reservation or
reservations and the value of the lowest bid not accompanied by such reservations
exceeds the bid accompanied by reservations.

Negotiation may be made with the bidder of the lowest bid accompanied by
reservations to make him withdraw all or some of his reservations so as to make
his bid consistent with the conditions of the tender to the extent possible. If he
refuses to do so, negotiation may be made with the next bidder. No negotiation
shall be made on the modification with a bidder unless such modification has been
turned down by all the lower bidders.

After opening the envelopes, it is not allowed to hold negotiations with any of the
bidders to modify such bid unless the lesser bid is related to reservation(s).

There may be negotiations with the lowest bidder on whose bid there are
reservations so that he can remove all or some of them so that his bid becomes as
much as possible in line with the tender conditions. If he refuses these
negotiations, the next lowest bidder with reservations can be approached. No
modification negotiation with a bidder shall be held unless such modification is
refused by all bidders lower than him.
34 Tender negotiation Negotiation may be made in cases specified in article 33 of this law only by a
decision of the Board taken after consulting the concerned office. The decision on
the outcome of the negotiation shall be taken by the Board.
PRACTICAL EXAMPLE FOR APPLICATION OF
ARTICLES 33 & 34
Tender Opening Report
Tenderer A- R.O. 4,000,000 + 5 Reservations
Tenderer B- R.O. 4,100,000
Tenderer C- R.O. 4,700,000+ 3 Reservations
Tenderer D- R.O. 4,750,000

Tender Report
Tenderer A- R.O. 4,000,000 + 200,000
Tenderer B- R.O. 4,100,000
Tenderer C- R.O. 4,700,000+ 100,000
Tenderer D- R.O. 4,750,000
PART III- PUBLIC TENDER
Article Description Key Points
Chapter 3 Decision on Tenders

35 Multiple lowest bids The Board may, after agreement with the concerned office, in case of
equal prices between two or more bids, split the declared amounts
between the bidders if the interest of work so warrants. This may be
done if the lowest bidder attaches the condition of long periods for
supplies that do not suit the condition of work in the concerned office.
36 Priority for National Priority in bids shall be given to national products of small and medium
products and SME industries that meet the conditions and specifications. The priority
shall include priority in prices in the range of a 10% increase.
37 Re-inviting the • Only one bid is received even if it satisfies the conditions.
Tenders • Other bids violating the tender conditions and specifications.
• If after Re-inviting, only one bid is submitted for it, the Board may
accept it at the request of the concerned office.
• In case of re-invitation of tender, the period for the submission of
bids may be reduced to half.
38 Exception to Re- As an exception to article 37 of this law, a tender may be converted
invitation into engagement of the single bidder by a decision of the Board taken
at the recommendation of the concerned office, subject to the
following two conditions: A. If the need of the work does not permit
re-invitation of the tender or if there is no benefit in its re-invitation. B.
If the single bid satisfies the conditions and specifications and has a
suitable price.
PART III- PUBLIC TENDER
Article Description Key Points
Chapter 3 Decision on Tenders

39 3 instances for Tenders may be cancelled by a decision of the Board, explaining the
Cancellation of a grounds, after their publication and before a final decision on them if
Tender they are discarded finally or if the public good so warrants. The Board
may cancel the tender at the recommendation of the concerned office
in any of the following cases:
J. If a single bid is submitted or only one bid remains after the rejection
of other bids.
K. If all or most of the bids are accompanied by essential reservations.
L. If the value of the lowest bid exceeds the market value.

Tenders shall be cancelled by a justifiable decision from the Board after


they have been floated and before being decided if it is entirely
discarded or if the exigencies of public good so require. The Board may
also cancel tenders according to the recommendation of the
competent authority in any of the following cases:
A- If only one bid is submitted of if only one bid is left after the
cancelled bids.
B- If all or most bids are accompanied with essential reservations.
C- If the value of the lowest bid is more than the market value.
Tenders may be cancelled after the awarding decision and before
signing the contract by justifiable decision from the Board if the
exigencies of public good so require or according to the
recommendations of the competent authority provided that such
recommendations mention the reasons for cancellation.
PART III- PUBLIC TENDER
Article Description Key Points
Chapter 3 Decision on Tenders

40 2 ways of refunding If the tender is cancelled before the date set for the opening of
cost of the copy of envelopes, the cost of the copy of the tender documents shall be
Tender documents refunded to the purchaser and the full copy of the tender documents
on Cancellation returned to the Board. If the tender is cancelled after the date
specified in the preceding paragraph, the cost shall be refunded only to
the bidder of the tender.
41 8 reasons for an The Board shall exclude the bid by a grounded decision* in any of the
exclusion of a bid following cases: * based on sound reasons
Public interest, Bid does not satisfy the conditions and specifications,
Bidder is not registered in Oman (excluding international bidders in
international tenders), Bid is not accompanied by full provisional
insurance, Bidder does not prove the soundness of its financial status,
Bid documents are incomplete, not signed or not stamped by the
bidder, A final judgement has been issued on the insolvency or
bankruptcy of the bidder or judicial measures taken against him for this
reason, Bid represents a violation of the Royal Decree no. 39/82 on the
Protection of Public Property and Avoidance of Conflict of Interest.
42 Modification orders Maximum of 100,000 or 10% of the value of the original bid approved
by the Board
Approval is required from TB if this value is exceeded provided:
• Contractor submits an endorsement to adhere to the Contract rates
• Supplement to the Contract in case of star rates
PART III- PUBLIC TENDER
Article Description Key Points
Chapter 4 Guarantees

43 Provisional security Provisional security equivalent to 1% of the total value of the bid

44 Guarantee for the Guarantee for the adequate execution of the contract equivalent to 5%
adequate execution of the total awarded value
of the contract Local companies 10 days
International companies 20 days

45 Cancellation of the In the case of failure to adhere to the time bar in Article 44 the Board
Award due to non may, by a written letter, cancel the award and confiscate the
submission of provisional security without prejudice to the concerned office’s right to
guarantee for the compensation.
adequate execution
of the contract on
time

46 Exemption form the The bidder of the accepted bid shall be exempted from the guarantee
guarantee for for adequate execution if he supplies the contracted items and the
adequate execution concerned office accepts them finally within the period specified for
submitting the guarantee for adequate execution.
PART IV- LIMITED TENDER
Article Description Key Points
47 Restricted A contract may be entered into through a limited contract in
requirements cases the nature of which requires restricting the participation
in the tender to specific suppliers, contractors or consultants
within or outside the Sultanate who satisfy the required
conditions.

48 Pre qualification A pre-qualification invitation shall be extended to suppliers,


contractors and consultancy offices for participation in the
limited tender by publishing a notice in the printed media in
or outside the Sultanate. The qualification of the suppliers,
contractors or consultancy offices shall be approved by a
decision of the Board.

49 Other rules Suppliers, contractors or consultancy offices whose


qualification has been approved shall be invited to participate
in the limited tender through official letters or electronic mail.
The tender shall be governed by the procedure and rules
applicable to public tenders.
PART V- ENGAGEMENT
Article Description Key Points
50 Situations where • Monopoly
Engagement is • No exact Specifications
required for • Specific technical know how or specific specialization
supplies / works • Animals, birds and poultry of various kinds.
• Urgent supplies and contracts of works or transport
• When re-tendering of a Tender is not feasible
• Execution of works or provision of services outside the Sultanate
• Purchase and leasing of real estate

51 Requirement of the The engagement shall be done by a committee


committee for Exception : Engagement related with the works of the Ministry of
Engagement Foreign Affairs carried out outside the Sultanate shall be done by a
special Committee

52 Financial Limit Tender shall be less than R.O. 100,000/-

53 Exemption from A supplier shall be exempted from provisional insurance if he supplies


provisional the articles intended to be purchased and they are accepted by the
insurance concerned office immediately after the completion of the contract.
PART VI- DIRECT ASSIGNMENT
Article Description Key Points
54 Special cases The Board may, in special cases, enter into a contract through
direct assignment to execute works, obtain technical or
consultancy services, supply articles or carry out assignments.

55 Basic financial The concerned offices may enter into contract through direct
limit assignment with government offices, organizations and
companies to execute works, obtain technical or consultancy
services, supply articles or carry out assignments. They may
also, after the approval of their head, enter into contracts,
through direct assignment, with a supplier, contractor or a
consultancy office, provided the value of the assignment does
not exceed RO 10,000 and provided further that the prices are
consistent with the description of the grounds for such
assignment.

56 Extended The concerned offices may, if required, after the approval of


financial limit their head, enter into a contract, through direct assignment
with the supplier, contractor or consultancy office provided its
value does not exceed RO 25,000. The prices shall be
consistent with the description of the grounds for such
assignment.
PART VII- COMPETITION
Article Description Key Points
57 Requirements Competition is a special method for contracting for the
purpose of conducting studies or preparing designs, layouts,
models or other technical works required for a specific
project.

58 Performance The concerned office shall specify the objectives, framework


Specifications and specifications of the project in detail and the prizes,
remunerations or compensations to be granted to the
winners, in addition to the status of the ownership of the
winning and non-winning reports, studies, designs and models
and any other conditions the concerned office deems fit.

59 Mode of Invitation for participation in the competition shall be


invitation extended either through advertising in the printed or
electronic media or through direct invitation to those
possessing expertise and skills required for the project or the
purpose of the competition.
PART VII- COMPETITION
Article Description Key Points
60 Appointment of a The Board shall, after coordination with the concerned office,
committee constitute a committee comprising of a number of competent
staff related to the subject of the competition in order to
study the bids submitted. The committee may summon the
participants and discuss their bids with them.

61 Role of the The Committee shall enter its procedure in a record specifying
committee the bids submitted, the opinions and criteria approved by it
for comparison between the tenders and its
recommendations on the selection of the winning bidders and
the arrangement of the other bids. The Committee shall
submit the record, containing these recommendations and
accompanied by the bids, to the Board for the issuance of the
decision.

62 Exclusions The provisions of Chapter IV of Part III of this law shall not
apply to the competition.
INSTRUCTIONS TO TENDERERS V TENDER LAW

Instructions to Tenderers (17) Tender Law (31)


The Tender Board is not bound to accept Comparison shall be made between the
the lowest or any Tender received and bids for the selection of the best one in
reserves the right to reject any or all accordance with the criteria and grounds
tender without assigning any reason. The specified in the tender document. If the
Tender Board reserves the right to reject concerned office decides to exclude one
any Tender with which an additional copy or more bids, its opinion shall be
of the Bills of Quantities and other grounded and the Board shall, in the
supporting documents as called for in decision on the assignment, not be bound
Clauses 5 and 6 of these Instructions to to accept the lowest or any other bid.
Tenderers is not enclosed or the unit
rates and prices are not written in both
figures and words.
INSTRUCTIONS TO TENDERERS V TENDER LAW

Instructions to Tenderers Tender Law (42)


(32)
The Employer reserves the The concerned offices may issue modification orders increasing or
reducing the period, value, quality, quantity or specifications of the items,
right to reduce the scope works or services covered by the contract within the validity period of the
of the Contract in contract up to a total of RO 100,000 or 10% of the value of the original bid
accordance with the approved by the Board, whichever of the two amounts is larger, provided
Standard Conditions of the prices of the modification orders are the ones approved by the Board.
For the calculation of the cost of modification orders, their value shall be
Contract. The Employer joined by addition or deduction. If the modification order exceeds the
also reserves the right to limit stipulated in the preceding paragraph, the Board may be contacted
award the whole of the for the obtainment of its approval subject to the following conditions: 1.
The necessary endorsement and approval of the contractor to abide by
Contract to one Contractor the prices specified in the contract, if such prices continue to be
or to divide and award the appropriate and do not exceed the market prices.
Contract to more than one 2. If the modification order includes the addition of new quantities, items,
Contractor/s. works or services not included in the contract but are connected with its
subject, a direct agreement may be made on them with the contractor.
INSTRUCTIONS TO TENDERERS V TENDER LAW

Instructions to Tenderers (14) Tender Law (44)


The successful Tenderer shall be required to The winning bidder shall, within ten working
provide a Performance Bond (as defined in days from the day after the day on which he is
Clause 10 of the Conditions of Contract and notified of the acceptance of his bid, submit a
as amended by Royal Decree No. 56/89) to guarantee for the adequate execution of the
the value of five percent (5%) of the sum contract equivalent to 5% of the total awarded
named in the Letter of Acceptance, valid until value or submit a professional insurance policy
the issue of the Maintenance Certificate. The in case of companies and consultancy offices. In
Performance Bond will be retained by the respect of the contracts concluded with a
Employer during the period of the Contract contractor abroad, the guarantee shall be
and will be returned upon satisfactory submitted within twenty working days. The
completion of the Maintenance Period. The grace period specified in the two cases referred
wording of the Performance Bond shall be as to in the preceding paragraph may be extended
per the prescribed form included in the for an additional period not extending ten days
Prime Document. with the approval of the head of the concerned
office. .
Electronic Transaction Law published as Royal
Decree 69/2008
Chapter Description Articles
Chapter 1 Definitions and General Provisions 1-6
Chapter 2 Legal Consequences Ensuing from Electronic 7-11
Messages and Electronic Transactions
Requirements
Chapter 3 Electronic Transactions and Contract 12-17
Formation
Chapter 4 Methods of Protecting Electronic 18-24
Transactions
Chapter 5 Competent Authority 25-32
Chapter 6 Provisions Related to Certificates 33-42
Chapter 7 Protection of Private Data 43-49
Chapter 8 Government Use of Electronic Records and 50,51
Signatures
Chapter 9 Penalties 52-54
Electronic Transaction Law (Articles 50 & 51)
E Tendering
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