Republic of the Philippines ENERGY REGULATORY ... Resolution (AC...Republic of the Philippines ENERGY REGULATORY COMMISSION BAC RESOLUTION NO. 55, SERIES OF 2020 AM Post-Disqualification

Republic of the Philippines ENERGY REGULATORY COMMISSION

BAC RESOLUTION NO. 55, SERIES OF 2020 AM Post-Disqualification of Cool Creator Aircon Trading and Services, Inc. for the Procurement of Preventive Maintenance and General Cleaning of One Hundred Two (102) Air-conditioning Units and

Resort to Post-Qualification of the Second Lowest Calculated Quotation (SLCQ), Cool Mover Sales Phils.

WHEREAS, on 28 June 2020, the Energy Regulatory Commission-Bids and Awards Committee (ERC BAC) received from the Finance and Administrative Service - General Service Division (FAS-GSD) Purchase Request No. 2020-07-065 dated 01 June 2020, requesting for the procurement of Preventive Maintenance and General Cleaning of One Hundred Two (102) Air-conditioning Units. To support the said request, market studies were likewise submitted;

WHEREAS, the approved Annual Procurement Plan (APP) for Fiscal Year (FY) 20201 identified Small Value Procurement2 as the mode of procurement for Preventive Maintenance and General Cleaning of One Hundred Two (102) Air-conditioning Units with an Approved Budget for the Contract (ABC) in the amount of Two Hundred Fifty Thousand Pesos (PhP250,000.00), inclusive of VAT and other government taxes, fees and charges;

WHEREAS, on 16 July 2020, the ERC BAC posted the Request for

Quotation (RFQ) No. 2020-07-033 at the PhilGEPS and ERC websites, which provides for a deadline of submission of quotations on 20 July 2020 (Monday) at three o’clock in the afternoon (3:00 P.M.);

1 Approved by the Head of Procuring Entity (HoPE) on 08 January 2020 (item no. 31); 2 Section 53.9. of R.A. 9184 defines small value procurement as a method of procurement of Goods,

Infrastructure Projects and Consulting Services, where the amount involved does not exceed the threshold prescribed in Annex “H” of this IRR: Provided, That in case of Goods, the procurement does not fall under Shopping in Section 52 of this IRR;

BAC RESOLUTION NO. 55, SERIES OF 2020 AM

Post-Disqualification of Cool Creator Aircon Trading and Services, Inc. for the Procurement of Preventive Maintenance and General Gleaning of One Hundred Two (102) Air-conditioning Units and Resort to Post Qualification of the Second Lowest Calculated Quotation (SLCQ), Cool Mover Sales Phils.

Pacific Center Building, San Miguel Avenue, Pasig City Trunk line: 689-5-372 (ERC) Website: http://www.erc.gov.ph Fax Nos. 633-32-53 / 634-86-41

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WHEREAS, in compliance with the Consolidated Guidelines for the Alternative Methods of Procurement, item V-D 8b(ii)b of Annex “H” in the 2016 Revised Implementing Rules and Regulations of Republic Act No. 9184 (R.A. 9184), which state that “[t]he BAC shall prepare and send the RFQs to at least three (3) suppliers of known qualifications. This, notwithstanding, those who responded through any of the required postings shall be allowed to participate. Receipt of at least one (1) quotation is sufficient to proceed with the evaluation thereof,” the ERC-BAC, through its Secretariat, sent a letter with attached RFQ to twelve (12) suppliers, namely: 1) Relevante Aircon Service Center; 2) Cool Creator Aircon Trading and Services, Inc.; 3) Verdadero Airconditioning Service Corp.; 4) Cool Mover Sales Phils.; 5) Cold Air Philippines Inc.; 6) JPRS Refrigeration and Airconditioning Services; 7) Advance Konek Corp.; 8) EEMCO Electro System Engineering and Maintenance Service; 9) Surprimetech Airconditioning and Refrigeration Services; 10) Coolfriends Aircon and Refrigeration Services; 11) Solcan Air-conditioning and Refrigeration Services; and 12) Blue Ocean Packaging Supplies;

WHEREAS, due to public health concerns related to the Coronavirus

Disease 2019 (COVID-19), the ERC was temporarily closed beginning 19 July 2020 until 25 July 2020 for intensified disinfection and preventive quarantine. No quotation was obtained within the deadline set;

WHEREAS, on 22 July 2020, said RFQ was reposted at the PhilGEPS and ERC websites, extending the submission of quotations (1st extension) to 27 July 2020 (Monday) at three in the afternoon (3:00 P.M.);

WHEREAS, on the first extension of the period for submission of quotations, the BAC through its Secretariat, sent another letter with attached RFQ to the above-mentioned suppliers apprising them of the said first extension. Moreover, an additional one (1) supplier was also invited – Klinch Airconditioning Services;

WHEREAS, on 24 July 2020, due to public health concerns related to

Coronavirus Disease 2019 (COVID-19), the Energy Regulatory Commission (ERC) closure was further extended until 31 July 2020 for intensified disinfection and preventive quarantine;




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WHEREAS, on 27 July 2020, said RFQ was reposted at the PhilGEPS and ERC websites, extending the submission of quotations (2nd extension) to 03 August 2020 (Monday) at three in the afternoon (3:00 P.M.);

WHEREAS, on the second extension of the period for submission of

quotations, the ERC BAC through its Secretariat, sent another letter with attached RFQ to the above-mentioned suppliers apprising them of the said second extension;

WHEREAS, on 03 August 2o20, the ERC BAC, through its Secretariat,

received sealed quotations from Cool Mover Sales Phils. at twenty minutes past nine o’clock in the morning (9:20 A.M.); and Cool Creator Aircon Trading & Services, Inc. at thirty-three minutes past two o’clock in the afternoon (2:33 P.M.);

WHEREAS, on 10 August 2020, considering that there were already two (2) price quotations obtained pursuant to aforementioned guidelines, the ERC BAC, with its Technical Working Group (TWG) and Secretariat, convened for the opening of the said sealed quotations;

WHEREAS, during the opening of the sealed quotations, the BAC, assisted by the TWG, found that both Cool Mover Sales Phils. and Cool Creator Aircon Trading & Services, Inc. are compliant with the documentary requirements specified in the RFQ and, thereby, qualified to participate further in the procurement process;

WHEREAS, the result of the BAC’s initial evaluation of the quotations is

as follows:

BIDDER DOCUMENTARY

REQUIREMENTS

PRICE QUOTATION

(PhP)

Cool Mover Sales Phils.

Compliant PhP244,800.00




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Cool Creator Aircon

Trading & Services, Inc.

Compliant PhP155,100.00

WHEREAS, after due evaluation, the ERC BAC, with the assistance of the TWG, found the quotations submitted by both suppliers as within the approved budget of the contract. It also found Cool Creator Aircon Trading & Services, Inc.’s quotation in the amount of One Hundred Fifty-Five and One Hundred Pesos (PhP155,100.00), VAT inclusive, to be the Lowest Calculated Bid (LCB). Consequently, the ERC BAC directed the TWG to assist it in further evaluating the quotation submitted by Cool Creator Aircon Trading & Services, Inc., being the Lowest Calculated Bid (LCB); WHEREAS, on 12 August 2020, the TWG submitted its Post-Qualification Evaluation Report, stating that Cool Creator Aircon Trading & Services, Inc., is not compliant with the requirements. Based on the TWG report, after validating the details of the quotation submitted by Cool Creator Aircon Trading & Services, Inc., the offer was good only for seven (7) days or until August 10, 2020, and that the offer in the amount of One Hundred Fifty-five Thousand One Hundred Pesos (PhP155,100.00) refers to a “one-time” preventive maintenance and cleaning service only; WHEREAS, the RFQ specified the following requirements:

I. GENERAL CONDITIONS a. Price quotation/s must be valid for a period of thirty (30)

calendar days from the date of submission; x x x II. TECHNICAL SPECIFICATION

One (1) lot of Preventive Maintenance and General

Cleaning of One Hundred Two (102) Air-conditioning Units with the following technical specifications:




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1) Contract Period

July 1, 2020 to December 31, 2020 x x x

WHEREAS, pursuant to Paragraph V(D)(8)(b)(vi) of Annex “H”

of the IRR of R.A. 9184 which state that: D. NEGOTIATED PROCUREMENT. Negotiated Procurement is a method ofprocurement of Goods, Infrastructure Projects and Consulting Services, whereby the Procuring Entity directly negotiates a contract with a technically, legally and financially capable supplier, contractor or consultant in any of the following cases:

x x x

8. SMALL VALUE PROCUREMENT (SVP)

x x x

vi. The BAC shall recommend to the HOPE the award of contract in favor of the supplier or contractor with the Single or Lowest Calculated and Responsive Quotation (for goods or infrastructure projects), or consultant with the Single or Highest Rated and Responsive Proposal (for consulting services). In case of approval, the HOPE shall immediately enter into contract with the said supplier, contractor or

WHEREAS, the ERC BAC, upon review and evaluation of the TWG report and the supporting documents submitted, concurred with the TWG’s evaluation that the quotation submitted by Cool Creator Aircon Trading & Services, Inc. failed to comply with the general conditions and required technical specifications;

NOW, THEREFORE, We, the Members of the Bids and Awards

Committee, hereby RESOLVED to DECLARE Cool Creator Aircon Trading & Services, Inc. POST-DISQUALIFIED and RESORT to POST-




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QUALIFICATION of the Second Lowest Calculated Quotation (SLCQ) submitted by Cool Mover Sales Phils. for the Procurement of Preventive Maintenance and General Gleaning of One Hundred Two (102) Air-conditioning Units.

RESOLVED FURTHER, that the BAC Secretariat shall issue the

necessary Notice of Post-Disqualification to Cool Creator Aircon Trading & Services, Inc.

RESOLVED at the ERC Main Office, Pasig City, this 27th day of August 2020.

HEIDDI VENECIA R. BARROZO BAC Chairperson

SHARON O. MONTANER

BAC Vice-Chairperson

MARINA C. BUGAYONG AUGUST ANTHONY N. BALUTE

BAC Member BAC Member

JOSE ROMULO L. CASTRO BAC Member

dmc/eor/abc-BAC Resolution No. 55, Series of 2020

Documents

Republic of the Philippines ENERGY REGULATORY ... Resolution (AC...Republic of the Philippines ENERGY REGULATORY COMMISSION BAC RESOLUTION NO. 55, SERIES OF 2020 AM Post-Disqualification