What does consulting service include? When will a consultant be considered successful and awarded the contract in Vietnam?
- What does consulting service include? When will a consultant be considered successful and awarded the contract in Vietnam?
- Is a consulting service supplier required to furnish a performance security in Vietnam?
- Vietnam: How many bid evaluation methods applied to consulting service packages are there?
What does consulting service include? When will a consultant be considered successful and awarded the contract in Vietnam?
Consulting services are specified in Clause 4, Article 4 of the Law on Bidding 2023 as follows:
Definitions
For the purposes of this Law, the following terms shall be construed as follows:
...
4. “consulting service” means any one or some of the following: preparation and assessment of architecture and development master plans or planning reports; survey and preparation of pre-feasibility study reports, proposals of investment guidelines, applications for approval of investment guidelines, feasibility study reports, technical - economic reports, environmental impact assessment reports; survey and preparation of designs and cost estimates; bidding consulting services; verification and appraisal consulting services; supervision consulting service; project management consulting service; financial arrangement consulting service; auditing and other consulting services.
...
Therefore, consulting service means any one or some of the following:
- preparation and assessment of architecture and development master plans or planning reports;
- survey and preparation of pre-feasibility study reports, proposals of investment guidelines, applications for approval of investment guidelines, feasibility study reports, technical - economic reports, environmental impact assessment reports;
- survey and preparation of designs and cost estimates;
- bidding consulting services;
- verification and appraisal consulting services;
- supervision consulting service;
- project management consulting service;
- financial arrangement consulting service;
- auditing and other consulting services.
At the same time, according to Article 60 of the Law on Bidding 2023, a consultant shall be considered successful and awarded the contract if the consultant:
(1) A consultant that is an organization shall be considered successful and awarded the contract if the consultant:
- has a substantially responsive bid or proposal;
- has a technical proposal meeting the requirements of the bidding documents or RFP;
- has the lowest bid price after error correction and deviation adjustment, and deducting the value of discounts (if any), if the least-cost method applies; or has the lowest bid price after deducting discounts (if any), in case of a lump sum contract; or has the highest technical score, if either the fixed-price method or technique-base method applies; or has the highest combined score, if the combined technique and price-based method applies; and
- has a proposed successful bid price not exceeding the approved package price.
(2) A consultant that is an individual shall be considered successful and awarded the contract if the consultant:
- has a scientific CV and technical proposal (if any) which are considered the most advantageous one conforming to the requirements laid down in terms of reference; and
- has a proposed successful bid price not exceeding the approved package price.
What does consulting service include? When will a consultant be considered successful and awarded the contract in Vietnam? (Image from the Internet)
Is a consulting service supplier required to furnish a performance security in Vietnam?
Pursuant to Article 68 of the Law on Bidding 2023, performance security is as follows:
Performance security
...
2. The performance security must be furnished by the successful bidder, except:
a) Consulting service supplier;
b) The contractor that is selected adopting the self-execution or community participation method;
c) The bidder to be contracted for executing a package whose price does not exceed the price limit prescribed in Point m Clause 1 Article 23 of this Law.
3. The successful bidder shall furnish the required performance security before or when the contract becomes effective.
4. Depending on the scale and nature of each package, the value of the performance security equaling 2% - 10% of the contract price shall be specified in the bidding documents or RFP.
...
Thus, the performance security shall not be furnished by the consulting service supplier.
Vietnam: How many bid evaluation methods applied to consulting service packages are there?
Pursuant to Article 59 of the Law on Bidding 2023 on bid evaluation methods applied to consulting service packages:
Bid evaluation methods applied to consulting service packages
1. Least-cost method:
a) The least-cost method applies to simple consulting service packages or consulting service packages where consulting process has been well defined according to existing standards;
b) The bidder that has a bid meeting technical requirements and the lowest bid price after error correction and deviation adjustment (if any), and deducting the value of discounts (if any), shall be ranked first.
2. Fixed-price method:
a) The fixed-price method applies to simple consulting service packages where the exact scope of tasks is defined and the rational, specific and fixed costs for executing the package are specified in the bidding documents;
b) The bidder that has a bid meeting technical requirements, the bid price after error correction and deviation adjustment (if any), and deducting the value of discounts (if any), not exceeding the package price, and the highest technical score shall be ranked first.
3. Combined technique and price-based method:
a) The combined technique and price-based method applies to consulting service packages where both quality and costs for executing the package are critical;
b) The combined score shall be calculated on the basis of the technical score and the price score. The scoring system must follow the rule that the technical score accounts for 70% - 80% of total score and the price score accounts for 20% - 30% of total score; the sum of technical score and price score shall be 100%. The bidder that has the highest combined score shall be ranked first.
4. Technique-based method:
a) The technique-based method applies to consulting service packages with specific or high technical requirements;
b) The bidder that has a bid meeting technical requirements and the highest technical score shall be ranked first, and invited to the opening of financial proposal as the basis for contract negotiation.
There are 04 bid evaluation methods applied to consulting service packages, including:
(1) Least-cost method.
(2) Fixed-price method.
(3) Combined technique and price-based method.
(4) Technique-based method.
LawNet