CLARIFICATION MEETING FOR THE PROPOSED CONTRACT FOR THE REMOVAL OF INCANDESCENT LIGHT BULBS AND THE REPLACEMENT WITH COMPACT FLORESCENT LAMPS (CFL) BULBS Date: Friday, 10 July 2015 Venue: Abbotsford Christian Centre Time: 09:00am

AGENDA PresenterTime Evacuation & SafetyOffice Services5 mins WelcomeLogan Subramony5 mins Scope of EnquiryLogan Subramony30 mins TechnicalKiran Ranchhod15 mins SafetyVuyiseka Ngamalana15 mins QualityThobile15 mins SD & LThanduxolo Matshaya15 mins Enquiry DocumentationLogan Subramony Kiran Ranchhod 30 mins QuestionsALL15 mins 2016/06/142

EVACUATION PROCEDURE 2016/06/143

WELCOME AND INTRODUCTION TO THE ESKOM TEAM 2016/06/144

INVITATION TO TENDER T1.2 TENDER DATA Although it is not compulsory that you attend the clarification meeting, it will be in your interest to attend this meeting as information will be communicated which will assist you in compiling your tender. The closing time for clarification of queries is 3 days before the deadline for tender submission. The tender will be for part of the services. The tender shall be submitted as an original HARD COPY and 1 identical HARD COPY of the original which is to be compiled in the following format: SECTION 1 – Commercial/ Financial requirements SECTION 2 – Technical Requirements SECTION 3 – SHE Requirements SECTION 4 – Quality Requirements 2016/06/145

INVITATION TO TENDER T1.2 TENDER DATA Hard copies – original plus one (1) identical copy of the original with all supporting documentation Your failure to provide the necessary copies of the original tender in the stipulated formats or quantities by the deadline for tender submission will immediately DISQUALIFY you from further evaluation. The invitation to tender number is ELS5532 The original and copy of the tender shall be addressed to Eskom as follows: Marked CONFIDENTIAL ORIGINAL/ COPY Enquiry Number ELS5532 Description of Service CFL Replacement Closing Date 28 July /06/146

INVITATION TO TENDER T1.2 TENDER DATA The place for delivery of the tender is Eskom Holdings Limited's Tender Box located at : Eskom – Risk & Governance Department Palm Square Office Park, Cedar Square, Ground Floor Beacon Bay The deadline for tender submission is 10H00 on TUESDAY, 28 TH JULY 2015 NOTE: No late tenders will be accepted. Only tenders submitted at the correct closing location will be accepted. Please do not leave the submission till the last minute – your submission will be disregarded if late. Submission means that the Tender Advisor employee must be in possession of the file prior to 10h00 on 28 TH JULY If deemed late, the submission will be returned unopened to the contractor. 2016/06/147

ADDITIONAL CONDITIONS OF TENDER The selection will be based on the results of the combined evaluation score where the order of merit will determine who is selected. Based on the requirements of the contract and needs of the business, the 5 fully compliant highest scoring tenderers will be selected for either negotiation or award. PLEASE NOTE CHANGES TO TENDER: Based on the requirements of the contract and needs of the business, the 5 fully compliant highest scoring tenderers will be selected for either negotiation or award. 2016/06/148

TENDER EVALUATION The evaluation of tenders will be done by the cross functional team consisting of technical team, commercial, Quality, and SHE. MANDATORY RETURNABLES Only those tenderer’s who satisfy the following eligibility criteria are eligible to submit tenders: 2016/06/149 Project Management Certification Proof of Project Management Qualification and 2 years’ minimum experience. The tenderer must have a qualified Project Manager who shall be part of the proposed management team that shall manage the rollout during the contracting period. The Project Manager must have a Project Management qualification (no specific body) and minimum of two (2) years’ experience. Premises Status Supply address for evaluation Contractors must have a site office in Eastern Cape Province FinancialLetter from Bank required as proof, latest 2 years Audited Financial Statements Contractors must have minimum R ,00 available to cover monthly expenses.

STAGE 1 - FUNCTIONALITY The 5 fully compliant highest scoring tenderers for Functionality (Technical and SHE) will be selected for either negotiation or award. BASIC COMPLIANCE Commercial evaluation criteria do not carry a weighting in the tender evaluation, however it will be examined for the submission of basic compliance (tender returnables) and an assessment that the tender meets the criteria for responsiveness; Original and Valid Tax Clearance Certificate; Supplier Declaration of Interest; Letter of Good Standing from Dept. of Labour – COID; B-BBEE Certificate; Certificate of compliance with Employment Equity (if applicable); Authority to submit a tender; Declaration of shareholding and beneficiaries; and Supplier Evaluation Pack. 2016/06/1410

STAGE 1 - FUNCTIONALITY Stage 1 – Functionality (Technical and SHE) Functionality: The review will be done by the cross functional team. Tenderers will be required to meet a minimum threshold of 70% to progress to Stage /06/1411 Elements of functionalityWeightings a)Technical70% a)SHE30% Total100%

a) Technical Evaluation (70 Points) A penalty system will be applied for the technical aspects where 10 points are deducted for any requirement partially met, and 15 points deducted for any requirement not met at all. 2016/06/1412 Technical 1 Rollout Strategy 1.1 Implementation Strategy proposed & Project Methodology [Formulate a project execution strategy for the implementation of the CFL programme] 1.2 Risk Management Plan 2Database and Logistics Management 2.1 Database Administration experience on Microsoft package, submit a source (sample database of a previous/current project), and submit an accredited Microsoft office package certification. Submit data capturing and auditing process detailing data integrity (checking of errors and data integrity) 2.2 Logistics Experience [Explain how you will manage the logistics of this project (stock transportation capacity, control, insurance, etc.)] 3Inspection and Verification 3.1 Explain Inspection and Verification process of installed CFLs 4Training of Installers 4.1 Submit the training plan indicating the following [the type training, material used and duration of duration]

b) SHE Evaluation (30 Points) Mandatory Requirements: An all or nothing approach is to be applied. The tenderers are therefore required to meet the full requirements based on the categories below in order to achieve the total weight of 30 points, failing which, contractors will score zero against the criterion. The supplier Risk category is that of low risk and the following criteria will be evaluated: 1. A Baseline Risk Assessment 2. Health and Safety Plan 3. Acknowledgement for Eskom rules & requirements (Annexure B) 4. Valid Letter of Good Standing 5. SHE Policy 6. Medical certificates 7. Competency 2016/06/1413

OBJECTIVE CRITERIA Quality A (OPTION 1) Valid ISO 9001 Accredited Certification A (OPTION 2) ALTERNATIVELY, to show compliance if not ISO accredited, the following documents must be submitted: A1. Quality Manual (including 6 Mandatory procedures); A2. Quality Policy Statement – duly signed and dated by the company’s Executive; A3. Procedure for the Control of Documents; A4. Procedure for the Control of Records; A5. Curriculum Vitae of the Company’s Quality Management Representative. 2016/06/1414

FINANCIAL EVALUATION An analysis of the tenderers financial statements will be conducted for the purposes of establishing the tenderers financial viability and ability to meet all of its contractual obligations for the duration of the contract, should the tenderer be awarded the contract. Where applicable a financial evaluation will be conducted by Eskom to further evaluate the financial viability of the tenderer. For suppliers who have not traded, or do not have financial statements to be evaluated, the suppliers will be requested to submit lists of all assets owned by the contractors as well as the amount owing on the asset in order for the Business Risk Analyst to make a decision regarding the contractor’s financial viability. It also must be noted that financial statements and Management Accounts Statements may be requested after the tender closes. 2016/06/1415

2016/06/ /06/1416 Skills Development (not a weighted criteria) Development of small black service providers (EME’s) Appointment of companies located in the Eastern Cape Province At least 60% of companies that get tender have to be companies that were not previous on this type of contract. Therefor in this case 3 companies have to be new entrants. To achieve the above, the following aspects will apply: The tender is going out on an open enquiry: ring-fenced to ECOU suppliers/contractors. Preference will be given to suppliers/entities that are: Black People living with Disabilities (BPLWD) Black Youth Owned (BYO) Black Woman Owned (BWO) Black Owned (BO) This means an appointment of a 51% or more Black Owned companies or joint venture where the lead company has more than 51% Black Ownership. LOCAL TO SITE JOB CREATION The intention is to ensure that local communities benefit from Eskom’s procurement spend, through wealth generation and capacity development so that this benefits the community on which the service is being conducted.

2016/06/ /06/1417 WALK THROUGH THE ENQUIRY DOCUMENT Contractors to follow through a page by page explanation of the enquiry document

2016/06/ /06/1418 ATTENDANCE REGISTER Kindly ensure that the Attendance Register is signed

Thank you