Ashgabat, Turkmenistan, Jan. 6
By Huseyn Hasanov – Trend:
Turkmenistan prepares international bids as part of the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project.
The type of financing will be the Islamic finance – Istisna, according to the online newspaper of Turkmenistan’s oil and gas complex. Istisna' is generally a long-term contract whereby a party undertakes to manufacture, build or construct assets, with an obligation from the manufacturer or producer to deliver them to the customer upon completion.
It was also noted that the Turkmen government has submitted an application to obtain financing in the volume of $700 million from the Islamic Development Bank (IDB) in order to cover expenditures within the TAPI project and intends to use a part of this volume to pay the cost of goods, work and consultation services, which are planned to be used during the project’s implementation.
The project will include the following components: purchase of pipe materials with a total length of 214 kilometers, purchase and installation of auxiliary equipment, gas compressor station, consulting services on the control over the project’s implementation and financial audit.
The purchase of components, financed by the IDB, will be carried out via holding international bids.
The selection of a consultant for the control on the project’s implementation will be carried out by selection, based on quality and cost analysis by using the shortlist of international consulting firms.
Moreover, the selection of a consultant for the project’s financial audit will be carried out by a selection method based on minimal expenditures by using the shortlist of local firms.
Specific procurement notices with regard to the contracts offered under the procedures of the IDB’s international competitive bidding, as well as the contracts for the provision of consultation services and financial audit will be announced on March 6, 2017, on the IDB website (www.isdb.org), the Asharq Al-Awsat newspaper and the local newspaper Independent Turkmenistan.
Verification of suppliers and contractors in the process of holding the international competitive bidding is required for the conclusion of a contract on the design, procurement and construction of a gas compressor station.