The evaluation process must be fair and equitable and be consistent with the project probity plan. Responses to the call for EOI will be evaluated by an agency-established Evaluation Panel and coordinated by the project manager. External financial, legal and technical advisers will usually support the Panel. The Steering Committee will oversee the evaluation process.
The Evaluation Panel’s brief is to assess whether responses:
• Indicate an overall net benefit to the Government and the community, in terms of financial, economic and social factors
• Indicate preliminary viability and suitability for private sector financing and delivery of services
• Are consistent with the infrastructure strategic plans
• Indicate that bidders have the capability to provide the project and meet the output requirements.
The Evaluation Panel must objectively assess all proposals against specific weighted selection criteria. All criteria, but not necessarily the weightings, will be published in the EOI. The Evaluation Panel must allocate weightings to each criterion before the closing date for EOI submissions.
The criteria for evaluation (which should be clearly stated in the call for EOI) will generally include:
• Experience in successfully designing, constructing, financing, maintaining and operating major infrastructure
• Experience and capacity to undertake the particular project and deliver the required services
• Experience and capacity to manage environmental and community relations matters
• Financial capacity to meet the likely contractual obligations associated with the project
• Design, construction, financing and operational resources available to the proponent
• The proposed approach and evidence of addressing all areas (eg. designing, constructing, operating and maintaining)
• Innovative approach, and satisfying specifications, technical feasibility and quality
• Net economic, social and environmental benefits and costs
• Viability, likely risk to be assumed by the Government and its probable contribution, if any
• Community and other benefits, including local industry participation, technology transfer, and other Government programs
• Understanding of Government’s requirements for the project.
Short listed bidders may also be invited to give presentations of their proposals to the evaluation panel and separately to the Steering Committee. Subject to a favourable outcome, the evaluation would lead to a shortlist (normally of about three bidders) who would be invited to submit detailed proposals.
The Auditor-General should be advised of the form of the contractual arrangement to be included in the ‘call for detailed proposals’ as well as the likely accounting treatment for the transaction.
The evaluation report is submitted by the agency’s Chief Executive Officer (CEO) to the responsible Minister for endorsement. BCC approval to proceed to a call for detailed proposals is not necessarily required. Treasury should be consulted about whether BCC approval is required.
BCC guidance and approval may be required for very large projects; where there are a large number of bidders; where proposals diverge substantially from the requirements of the call document; and/or where critical project details have changed, as detailed in Section 3.1.
In these cases the BCC will consider the Evaluation Panel’s report along with the Minister’s recommendations. The BCC will decide whether to proceed to a Call for Detailed Proposals or to terminate the process.