Ministry of Transport and Road Safety

Introduction Historical Approach to Contracting with Foreign Companies Current Policy and Requirements for Foreign Service Providers at INRC Anticipated Policy Changes Conclusion

Historical Approach to Contracting with Foreign Companies Correlation between supply and demand for services Focus only on Israeli service providers No guidelines for cooperation with foreign parties

Currently, foreign contractors cannot act as sole bidders in INRC’s tenders Current Policy and Requirements for Foreign Service Providers at INRC Foreign contractors with expertise in tunnel construction can act as sub-contractors on behalf of registered Israeli lead contractors subject to the approval of the sub-contractor and his experience by INRC The experience of the foreign contractor is not taken into consideration when complying with the threshold requirements In Design-Build tenders, foreign contractors are permitted to participate in tenders within the framework of a joint venture with a registered Israeli contractor subject to min. 35% JV share of the Israeli partner

INRC will consider designers outside of the pool subject to registration threshold requirements and INRC approval Designers within the Design-Build framework have to be registered in INRC’s designer pool Current Policy and Requirements for Foreign Service Providers at INRC

INRC plans to expand the participation of foreign contractors currently limited to Design-Build tenders to include Bill of Quantity tenders Anticipated Policy Changes Furthermore, INRC will consider permitting presentation of the sub contractor's experience, similar to the field of tunnel construction

INRC will establish a designated pool of consultants in the field of design and engineering Registration for the pool will be subject to threshold requirements, as well as review of consultant’s CV and references Anticipated Policy Changes Pool participants will be eligible to cooperate with both, INRC and Contractors within the Design Build framework

Growing demand for foreign service providers due to the increased project volume and limited capacity of the domestic market Conclusion Possible further expansion of the contractual Agreement options by INRC based on the scope and quantity of projects