Tender Description:

Company Georgian Water and Power LLC (ID 203826002) and Company Saguramo Energy LLC (ID 206337007) (hereinafter referred to as a Customer) announce united tender and invite qualified and internationally recognized companies (hereinafter referred to as a Bidder) to submit proposals for a Valuation Survey Reports of Hydro Power Plants, located in Georgia. The objective is to obtain a professional, independent assessment reports that meet the standards and expectations of A-rated reinsurers for insurance and reinsurance underwriting purposes.

Project Scope:

The scope of work includes, but is not limited to, the assessment of the following assets and infrastructure:

• Buildings
• main reinforced concrete/central pipe rack and pipes
• MCCs/Sub Stations/Electrical Wiring
• Major support structures and civil works
• Dams and hydropower-related civil infrastructure
• Plant equipment, instrumentation systems, and Analyser Houses
• All other related assets

The assessment shall be conducted at the designated locations in Georgia: 

• Zhinvali HPP- 130 MW; Cadastral Codes (71.52.05.450, 71.37.54.225)
• Tetrikhevi HPP - 12 MW; Cadastral Code (01.19.06.061.004)
• Bodorna HPP - 2.5 MW; Cadastral Code (71.37.54.225). (Just Hydro Power Plant, Water Reservoir Belongs to  Zhinvali HPP)
• Saguramo HPP - 4.4 MW; Cadastral Code (72.06.02.035.001)

Note: Separate Reports Should be prepared for each HPP

Separate contracts shall be concluded with the respective legal entities owning the Hydropower Plants, as follows:

• A contract with Georgian Water and Power LLC (Company ID: 203826002) covering the following sites: Zhinvali HPP, Tetrikhevi HPP, and Bodorna HPP.
• A contract with Saguramo Energy LLC (Company ID: 206337007) for the Saguramo HPP site.

Assessment must be prepared on the basis of “New Replacement Value” and “Actual Value” of the assets, for insurance/reinsurance purposes.

Valuation Standards and Requirements:

The Bidder shall adhere to internationally recognized valuation standards as established by leading professional bodies and relevant global frameworks. In preparing a Valuation Survey Report for Hydropower Plants (HPPs) intended for insurance, reinsurance, and potential claims settlement purposes, the appointed international surveying firm must apply a combination of:

• Industry best practices
• Insurance market requirements
• Accepted valuation methodologies
• Applicable international codes and standards

These reports play a critical role in determining premiums, policy limits, exclusions, and valuation bases. Therefore, strict compliance with international norms is essential to ensure credibility and acceptance by A-rated insurers and reinsurers.

1. Definitions:

New replacement value - means the costs which would be incurred to replace the property insured at the premises with new items of similar kind and quality at any time during the policy period.

Actual value - means the cost which in the event of loss or damage to any item or part of the property insured would be necessary to replace it with one of the same age and capacity and similar make and quality, inclusive of all materials, wages, freight, customs, duties and dues. 

2. General Scope and Bidder Requirements

• The Bidder shall prepare Valuation Reports for Hydropower Plants (HPPs) in accordance with internationally recognized standards, suitable for use in insurance and reinsurance underwriting and potential claims settlement/ loss adjustment purposes.
• Upon receipt of the necessary information, the Bidder shall deploy qualified and experienced personnel to conduct the inspection and assessment of the assets outlined in the scope of work
• The Bidder must work closely with local management to ensure that they are able to gather as much relevant information as possible.
• Information collected during the site survey must include detailed descriptions of the assets as of the survey date, along with any relevant insurance considerations related to their New Replacement Value and Actual Cash Value. Following completion of the site visit, the Bidder shall conduct the necessary research to determine both the New Replacement Value and the Actual Cash Value of the assessed assets.
• The Bidder shall review and refine the asset list to ensure it is complete, accurate, and presented in a format acceptable to insurers and reinsurers.
• All values in the report should be stated in USD.
• The Bidder shall submit the draft Reports to the Customer for review. The Customer shall have the right to review and request revisions to the draft as many times as necessary until the Reports are deemed acceptable and fully compliant with the specified requirements. Upon approval, the Bidder shall issue the final version for the Customer’s official use.
• The offer of the Bidder Shall include the fixed price which Shall not change in case of the revision of the drafts are required; The price Shall stay fixed in case of violation of the deadlines as well, for objective reasons.
• The Bidder Shall include an indicative fee for subsequent updates to the Survey Reports in the future.
• The Bidder Shall indicate in their offer all standards according to which the surveys will be prepared.
• Should the Bidder require access to additional information, the Bidder shall submit the following to the designated contact email address: (i) a duly signed Non-Disclosure Agreement (NDA) –
  Annex N2 Draft NDA General GWP and Annex N2.1 Draft NDA General SAGURAMO; (ii) a written list of clarification questions; and (iii) an official written confirmation of its intent to participate in the tender."
• In case of interest, the Bidder is kindly requested to notify the Customer of their intent to participate in the tender by email within 72 hours of receiving the invitation
• In cases of absolute necessity, the Bidder may submit a written request via email for an extension of the tender deadline. The decision to grant such an extension rests solely at the discretion of the Customer.
  

3. For the avoidance of any doubt, the assessment should include, but not be limited to, the following elements

• Demolition and debris removal
• Cost escalation during the policy year
• Cost escalation during the rebuild period
• Rebuild period
• Firefighting and making safe
• Client project support and technical services
• Mobilization and demobilization
• Start up and commission etc. as appropriate to the risk

4. Eligibility and Qualification Requirements of the Bidder

• The Bidder must be a registered, licensed and qualified valuation consultancy company, authorized to operate in its jurisdiction. The proposal must include valid registration documents and a document certifying the identity and signing authority of the person authorized to enter into contractual agreements on behalf of the Bidder.
• The Bidder must demonstrate a minimum of 7 to 10 years in industrial valuation, with specific expertise in the hydropower sector.
• The proposal must include the Curriculum Vitae (CV) of the expert who will be directly responsible for conducting the Valuation Survey of the Hydropower Plants (HPPs).
• The Bidder must possess valid Professional Indemnity Insurance to cover any professional errors or omissions.
• Prover Track Record: Provide at least 1 example of previous valuation surveys accepted by A-rated or equivalent reinsurance companies. Please, maintain the confidentiality. 
  
• The Bidder is encouraged to submit a list of reinsurance companies with whom they have successfully worked, preferably including A-rated reinsurers. 
  

5. Technical & Staff Qualifications:

The Bidder shall designate a Lead Engineer responsible for the delivery of Valuation Survey Report. The Lead Engineer must meet the following minimum qualifications:

• Degree in valuation or equivalent and sector specific knowledge
• Minimum 7-10 years’ experience in industrial valuation surveys.
• Recognized qualifications

Team Competency:

The Bidder shall demonstrate the competency of the proposed project team by meeting the following requirements: 

• All proposed personnel must hold recognized professional qualifications relevant to their roles.
• The proposal must include up-to-date CVs and supporting documentation for all key staff, including technical certifications
• Evidence of prior international field experience in conducting Valuation Surveys, particularly in the power generation or hydropower sector, must be provided for relevant team members.

6. Reporting Format and Language and Communication Requirements 

• All Survey Reports must be prepared in English and formatted to meet the standards and expectations of insurance underwriters and reinsurers.
• Report drafts Shall be provided in Editable PDF and Word/Excel formats.
• Final Reports must be duly signed and stamped by the responsible engineer(s), and submitted in both electronic (PDF) and hard copy formats.
• English shall be the official language for all communication and reporting during site visits and project execution.

7. Delivery timeline (Preferable):

• Site visit(s) shall be completed within 1–3 working days per location.
• Draft report shall be submitted within 20 calendar days after the site visit of each HPP.
• Final report shall be submitted within 10 calendar days after the final draft is approved by both parties, for all HPPs in total.

8. Imperiality & Independence:

The Bidder must adhere to the principles of impartiality and independence throughout the engagement. Specifically, the Bidder shall:

• Operate as an independent entity, with no affiliation to any insurance company, broker, or reinsurer.
• Provide a written declaration confirming the absence of any actual or potential conflict of interest if requested.
• Refrain from entering into any business relationship that could compromise, or appear to compromise, the objectivity and impartiality of the services provided.

9. Compliance & Data Security:

The Bidder shall ensure full compliance with all applicable data protection, confidentiality, and regulatory requirements, including but not limited to: 

• Adherence to Non-Disclosure Agreement (NDA) provisions and strict confidentiality of all project-related data and documentation.
• Compliance with the General Data Protection Regulation (GDPR) or an equivalent data protection framework for the collection, processing, storage, and transfer of personal or sensitive data.
• Implementation of secure and encrypted methods for all data storage and transmission.
• Full compliance with local labor laws and occupational health and safety regulations at all project locations.
  
• Subcontracting of any portion of the work is strictly prohibited without the prior written consent of the Customer.
  

10. Terminology and Definitions: 

The following terms are to be used consistently throughout all deliverables, in accordance with the definitions provided bellow, which comply with our insurance wordings:

• New replacement value - means the costs which would be incurred to replace the property insured at the premises with new items of similar kind and quality at any time during the policy period.
• Actual Cash Value: means the cost which in the event of loss or damage to any item or part of the property insured would be necessary to replace it with one of the same age and capacity and similar make and quality, inclusive of all materials, wages, freight, customs, duties and dues.

The Bidder shall ensure that these terms—"New Replacement Value" and "Actual Cash Value"—are used accurately and consistently throughout the Risk Engineering Survey Report, in alignment with the above definitions.

11. Intended Use, Sharing Rights, and Duty of Care:

The Services shall be provided primarily to the Customer

The Bidder acknowledges and agrees that the Customer may, without requiring any further consent from the Bidder, share the final Report and any related deliverables with the following third parties:

• Insurers and reinsurers (including for use in the claim adjustment process)
• Auditors and regulatory authorities
• Professional advisors
• Financial institutions, including lenders, investors, and transaction partners
• Affiliates and subsidiaries of the Customer
• Any other third parties reasonably associated with the Customer’s business and operations
• Such sharing may be for purposes including, but not limited to, internal use, regulatory compliance, reporting, financing, insurance, or transaction support.

The Customer shall have the right to rely upon the prepared report for any legitimate purpose, including but not limited to: (i) insurance-related matters, (ii) communications with third parties, and (iii) use in the context of any dispute, including but not limited to legal proceedings. 

12. Confidentiality: 

The Bidder Shall treat all information received from the Customer or generated in connection with the services as confidential and shall not disclose such information to any third party without the Customer’s prior written approval, unless required by law.

13. Balanced Terms and Conditions:

The contract governing the Services shall be based on fair and balanced terms that protect the legitimate interests of both parties. The terms and conditions must not disproportionately favor either the Bidder or the Customer and must ensure mutual obligations, rights, and remedies in accordance with good industry practice. Desirable Terms & Conditions are attached to the tender documentation as “Annex N 3 Draft of GWP General Terms and Conditions, Annex N 4 Draft of GWP Code of Ethics and Conduct, Annex N 5 Draft of Saguramo Energy LLC General Terms and Conditions, Annex N 6 Draft of Saguramo Energy LLC Code of Ethics and Conduct”. In case the Bidder is willing to offer their own Terms & Conditions, Customer must have the right to make changes in their Terms & Conditions

14. Preferable Payment terms:

Payment will be made with non-cash payment within 30 (thirty) calendar days after receiving the services and signing of the relevant Act of Acceptance. The Bidder can request 30% advance payment if necessary, however for advance payment terms the Bidder must submit an advance payment guarantee after signing the agreement, which Shall be issued by a bank licensed by Georgia or a bank of a member country of the Organization for Economic Cooperation and Development (OECD).

15. Data to be uploaded / submitted by the bidder in the electronic tender: 

• Quotation in accordance with the present Tender Requirements.
• Sample Format of Valuation Report: 
  - Please refer to Annex N1 – Report Format Example as a general reference for Asset List and Valuation part of the Report. The Bidder may adjust the structure or layout of this draft as needed; however, the final report as well as the Asset List and Valuation part of the Report must remain complete, comprehensive, and aligned with the required scope and standards.
• Information regarding Delivery Timeframes and Payment Terms.
• Documents demonstrating experience of the Bidder.
• Complete company and bank details of the Bidder.
• Extract from the Register of Entrepreneurs and Non-Entrepreneurial (Non-Commercial) Legal Entities, which must be issued after the announcement of this electronic tender; 

Note:

• All documents and / or information created by the bidder uploaded in the electronic tender must be signed by an authorized person (if necessary, a power of attorney must be uploaded);
• All documents and / or information created by the bidder must be confirmed by the electronic signature of the authorized person or the electronic stamp of the company.
• If the bidder is a foreign enterprise that is not registered in Georgia and some technical problems arise, during bid submission on tender site, the bidder can send a proposal on the e-mail specified in the tender documents. We would like to state that the proposal must be submitted by e-mail no later than 18:00 pm (Georgian Time) on August 1st, 2025; In case the submission deadline changes, the participants will be informed accordingly.

16. Other requirements:

• At the time of submission of the proposal, the bidder should not be:
• in the process of bankruptcy;
• In the process of liquidation;
• In a state of temporary suspension of activities.
  · Presentation of prices is allowed in the national currency of Georgia (GEL), USD or EUR; Prices should include all costs and taxes (including VAT if applicable) provided by this tender.
  · The bid submitted by the Bidder must be valid for 45 (forty-five) calendar days from the date of receipt of bids.
  · The Customer reserves the right to set the deadline for the tender, change the terms of the tender, notify the Bidder in a timely manner, or terminate the tender at any stage.
  - The Customer will identify the winning Bidder and notify all participating companies of the decision. 
  · The Customer is not obliged to provide the Bidders with a verbal or written explanation of any decision regarding the competition.
  · The Customer reserves the right to verify any information received from the Bidders, as well as to obtain information about the Bidder Company or its activities. If it is proved that the information provided by the Bidder is not true or is falsified, the bidder will be disqualified.
  · Please note that the Customer will not receive any oral inquiries for additional information; Any questions during the tender process must be in writing and the online Q&A mode of tenders.ge portal or the contact emails indicated bellow must be used;

Note: Any information obtained through channels other than those officially designated shall be considered unofficial and shall not create any obligation or liability on the part of the Customer.

Tender Submission Terms:

• Offers should be submitted on procurement web-page: www.tenders.ge
• Submission Deadline is: 01/08/2025 ; 18:00 PM 
• Bid currency: GEL/USD/EUR
• Auction type: Without auction
  
• Participation in the tender is free
• Instructions to Apply for E-Tender can be found in the attached file
• Any question during the electronic tender process shall be made in writing and communicated through the Q&A platform of www.tenders.ge website 
  

Contact information:

Procurement representatives
Contact person: Ketevan Chkheidze
Address: 10, M. (Mzia) Jugheli str, 0108, Tbilisi, Georgia 
E-mail Email: kchkheidze@gwp.ge
Tel: +995 322 931111(ext 1114); 595 25 74 58

Contact person: Magda Lomtatidze
Address: 10, M. (Mzia) Jugheli str, 0108, Tbilisi, Georgia
E-mail Email: mlomtatidze@gwp.ge
Tel: +995 322 931111; 595 22 66 94

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