Project Description: Strategic Advisory Services to Government of Indonesia - Public Private Partnership Model Bidding Documents

Continuing from phase I, Phase II of the Program starts with a pilot program to demonstrate the guidelines, standard bidding documents, and toolkit in the context of tendering at least one PPP social infrastructure project and one economic infrastructure project. The project continued since 2016 to conduct a comprehensive pilot program to conduct Pre-Feasibility studies (Pre-FS) for 4 sectors, and to develop Bidding Documents for these Pilots, and to design and develop Model Bidding Documents for each of the sectors in parallel to testing and refining PPP procedures before finalizing the new PPP processes. A total of 4 Pilot projects have been planned to be implemented with the new PPP Procurement Regulation as basis, ranging from Water, Street lighting, to Waste to Energy, and Airports.

XS-Axis Consulting as the Transaction Advisor has led a team of approximately 30 staff in developing Bidding Documents for the 4 Pilot Projects. Main tasks regarding the development included the design of comprehensive set of materials covering the entirety of the procurement process relevant for PPP procurement relying on Perka 19/2015 of LKPP with a focus on the application of the competitive Bidding Models (BDs), and optimization of the BDs through testing and application in the Procurement process proceeds relying on GCAs’ own management and implementation of the transactions.

XS-Axis Consulting was part of the advisory team hired by MCA-Indonesia to design and develop sector-based Model Bidding Documents (MBDs), relying on the developed BDs, and taking into account broader ranges of PPP options relevant to the specific sectors. This includes model documents for Prequalification (PQ), and Request for Proposal (RfP) Stages and standard contractual documentations across a range of PPP options in the specific sector for each sector based MBD. The ultimate objective was to test and refine the Bidding Documents and overall PPP Procurement Procedures before finalizing the new PPP Processes stipulated in LKPP Regulation 19/2015. The final products will be applied to future PPP Projects as standard documents by the GCAs, ensuring the sustainability and comprehensiveness of PPP implementation in Indonesia as well as promoting PPP concept and practices in the infrastructure landscape in the country.

Activities

Scope of work and the assignment includes supporting LKPP in the following tasks:

  1. Supporting in application of Competitive Tender Method:
    • Finalization of Bidding Documents
    • Effective communication with sector stakeholders to promote the proper engagement of relevant GCAs in the competitive Procurement.
    • Step-by-step guidance on the roles and responsibilities of the GCA and Procurement Committee to successfully carry out the procurement.
  2. Supporting in Bid Evaluation and PPP Agreement:
    • Discussions with the GCA on developing detailed list of evaluation criteria, as well as the evaluation methods to select best Proposal.
    • Support in the evaluation process by providing step-by-step guidance in terms of procedures, suggesting topics for negotiations, etc.
  3. Design and develop MBDs based on sector-specific requirements including:
    • Model Guidelines and Toolkits considering the legal context, sector regulations, technical requirements including output-specification considerations and financial considerations in the sector, and model evaluation criteria.
    • Hold coordination meetings with the GCA to further develop and apply the guidelines, toolkits, and MBDs, as well as the PPP procedures, in the context of specific sector requirements;
    • Evaluate and revise, as needed, guidelines, toolkits, MBDs as well as analyzing and recommending revisions to the LKPP regulation on PPP Procurement Policies and Procedures; testing and validating the procedures developed by LKPP in order to ensure they are appropriate, robust and effective for use by GCAs.