Tender Briefing ________

1. Tender Briefing • ________ • Appointment of a developer to implement the turnkey housing development for the relocation project: Olifants River Water Resources Development Project Phase 2 Project • Bid number W0645 WTE • DEPARTMENT OF WATER AFFAIRS • 15 FEBRUARY 2013 • Ms Zandile Mathe • Act. DDG: NWRI Branch 1

2. PRESENTATION OVERVIEW • Overview of DWA’s mandate • Background of De Hoop Dam • Current process of sourcing the services • Terms of Reference 4.1 Disciplines 4.2 Evaluation criteria (emerging & established co.) 4.3 Standard Bidding Documents 4.4 Professional bodies registration 4.5 Tender Data 2

3. 1. DWA Business definition The aim of the Department of Water Affairs is to ensure the availability and supply of water at national level, facilitate equitable and sustainable social and economic development, and ensure the universal and efficient supply of water services at local level. The core functions are: policy formulation, water resource management, infrastructure development, capacity building, intergovernmental and intra-sectoral coordination, and water regulation. 3

4. 2. NWRI Business The National Water Resources Infrastructure Branch (NWRIB) exists to ensure a reliable supply of water from water resources infrastructure, with acceptable risk, to meet sustainable national, regional, social, economic and environmental objectives for all South African citizens. The Branch solicits and sources funding to implement, operate and maintain water resources infrastructure in an efficient and effective manner 4

5. 2. NWRIB Business (cont…) Strategic Priorities Contribution to economic growth and social development Strategic Objectives Develop, maintain, rehabilitate and refurbish bulk water infrastructure Effective creation of decent employment through infrastructure delivery Promotion of Small Medium Micro Enterprises through procurement of goods and services 5

6. 2. NWRI Business (cont…) Sub-programmes: Engineering Services Infrastructure operations and maintenance Infrastructure development Construction management 6

7. Tasks required: The design and building of the human settlement; The compilation of the specifications, (including but not limited to earthworks, building construction finishes, electricity, water, sewerage, service connections, etc.); The preparation of the tender specifications and tender documents; The provision of professional input on the evaluation of tenders; The supervision of the construction of the services and human settlement; 7

8. Background of Tender • Advertised: Tender Bulletin • Date: 01 February 2013 • Compulsory briefing session: 15 February 2013 • Closing date : 28 February 2013 8

9. Background of De Hoop DamMajor Water Resources Development Projects 9

10. MOKOLO AND CROCODILE RIVER (WEST) • AUGMENTATION PROJECT • 7 million m3 water for ESKOM (Medupi PS) • and 5 million m3 water for domestic use • - Direct Jobs: 250 • OLIFANTS RIVER WATER RESOURCES DEVELOPMENT PROJECT (de Hoop) • 40 million m3 of water for domestic use and 40 million m3 water for mining • - Direct Jobs: 800 VAAL RIVER EASTERN SUB SYSTEM AUGMENTATION PROJECT - 96 million m3 of water for ESKOM and 64 million m3 of water for SASOL 7 • KOMATI WATER SYSTEM • AUGMENTATION PROJECT • 54 million m3 of water for ESKOM • - Direct Jobs: 466 2 461 1 4 • MOOI MNGENI TRANSFER SCHEME (PHASE 2) • 60 million m3 of water for domestic use • - Direct Jobs: 450 3 5 • CLANWILLIAM DAM • 70 million m3 of water • for existing and new • irrigation farmers • - Direct Jobs: 678 Durban 6 • HAZELMERE DAM • 10 million m3 of water for domestic use Cape Town 10

11. LEGEND SUPPLY AREAS EXISTING BULK WATER PIPELINES ORWRDP PIPELINES WATER SERVICES BULK PIPELINES ESKOM PSS INFRASTUCTURE ORWRDP: WATER SERVICES DEVELOPMENT Olifants-Sand RWS POLOKWANE MOKOPANE STRYDPOORT MOUNTAINS LEBOWAKGOMO Olifantspoort South RWS Lebalelo RWS Mphahele and Groothoek RWS BURGERSFORT MOOIHOEK Tubatse RWS JANE FURSE Flag Boshielo RWS STEELPOORT TOWN FLAG BOSHIELO DAM Nebo Plateau RWS DE HOOP DAM MOTOTOLO EPSS 11

12. De Hoop Dam Wall 12

13. 3.1 Dam water level 13

14. 3.2 One of the houses in the dam basin 14

15. 3.3 Map of the area 15

16. 4 Sourcing of services Current procurement system: in terms -- of PFMA and PPPFA per project Challenges: - time wasted on SCM processes; delays in projects; poor contract management; over-utilisation of established PSPs; lack of competition in the sector; extent of fronting and lack of skills transfer to emerging entities

17. Sourcing of services continues: DWA transformation objectives: aligned with Government’s priorities and strategic thrust on job creation, economic emancipation of the previously marginalised, promotion of SMEs, industrialisation, etc What informs us?: DWA legislative and policy direction; Priorities of the government; New Growth Path; Preferential Procurement Policy Framework; BBBEE National Development Plan/ Vision 2030; Roll-Out Infrastructure Plan 17

18. Acquire all the necessary approvals/permissions to start with the establishment of a human settlement; Design the lay-out of the human settlement that will initially house the 38 families of the Buffelskloof community that were affected by the construction of the De Hoop dam construction; Design the bulk services (water, electricity, sewerage, roads) required to effectively service the human settlement; 5. Terms of Reference (TORs) 18

19. Supervise the design and construction of the services (water, electricity, sewerage, roads) Construct the bulk services (water, electricity, sewerage, roads) required to effectively service the human settlement; Construct the human settlement that will house the 38 families of the Buffelskloof community that were affected by the construction of the De Hoop dam construction; 5. TOR continues 19

20. Using a precinct approach, design a human settlement Move the 38 families into the houses that have been developed for each one of those families; TOR continues 20

21. 5.1 Special Conditions 21 DWA reserves the right to accept or reject any bid or all bids, and to cancel the procurement process if there is a justifiable reason in line with relevant prescripts. Only those Tenderers who have in their management and employment suitably register professional persons can tender. Rates for registered professionals will be based on the recent gazetted Tariff of Fees for the particular professional body and for professions not covered by either of the existing professional bodies, DWA tariffs will prevail.

22. 5.2 Evaluation criteria 22 • The evaluation of Bids will be executed in a 3 staged process: Phase 1- administrative compliance Phase 2- technical evaluation and Phase 3- BBBEE .

23. 5.3 Standard Bidding Documents/Forms 23 • All bidding documents or forms must be filled in and signed. Failure to do so will invalidate your Bid 5.4 Registration with professional body • DWA will only accept bids from companies with properly qualified and professionals registered with the relevant professional bodies . This excludes professional with suspended membership, professionals with unpaid membership fees and people who are still in the process of registration. 5.5 Tender data • Technical enquiries, SCM enquiries • Closing date: 28 February 2013 at 11:00

24. 5.5 Tender data (continued…) 24 ADDENDUM 1: • Responses to the questions asked at the briefing session (15 February) • Posted in DWA website. • Sign and return with bid responses. ADDENDUM 2: • Responses to the questions asked after the briefing session (15 February) • Minor amendments, clarifications and/or additions to the bid document • Will be posted in DWA website on the 28 March 2013. • Sign and return with bid responses.

25. Contact Person/s 25 For business enquiries Simon Seshoka 012 3368220 Email Address: Seshokas@dwa.gov.za During working hours, from 7h30am-16h00

26. THANK YOU 26