1. Rail Baltica procurement organisation and regulations
KASPARS ROKENS
RB RAIL
April 25, 2017

2. Foundations

3. UNIQUE ROLE OF RB RAIL 04
Governed by intergovernmental declarations/agreements, CEF Financing Agreements, Shareholder’s Agreement, Contracting Scheme 03 02
Responsibility - ensure uniform technical parameters, contracting framework and common tendering guidelines within Rail Baltica 01
Coordinator for purpose of CEF funding
In charge of design, construction and marketing of RB Rail

4. REASONS FOR COMMON RULES
Economies of scale 04
Minimised risks
Savings
Procurement standards and guidelines, qualification requirements, document templates
Establish & implement 03
Need 02
Joint center of excellence
Solution
Common approach 01
Common rules
Requirement
Complexity

5. HIERARCHY OF POLICY DOCUMENTS
Procurement Standards and Guidelines
Scope of application
Principles of procurement activities
Supplier Code of Conduct
Cooperation in Implementation
Common interest to have a common
approach
Contract Templates
Minimums Set of Requirements for Suppliers
Works / goods / services
Legal standing
Suitability to pursue professional activity
Economic and financial standing
Technical and professional ability
Quality assurance standards
Environmental management standards
Application to consortiums
Procurement Documentation Templates
Mandated by the Agreement on the Contracting
Scheme
National policies and procedures for Rail Baltica

6. Procurement Standards & Guidelines

7. SCOPE OF PROCUREMENT STANDARDS AND GUIDELINES
Inform of the framework and
main principles of procurement
Applies to all procurements and each contracting party
Follow the best international market practice
Sets out common standards
Published & freely available
* Actual requirements for a particular procurement are laid down in the procurement documents of the relevant procurement

8. Contracting Authority’s
Code of Conduct

9. CONTRACTING AUTHORITY CODE OF CONDUCT
We are FAIR We are TRANSPARENT
Free competition
Use of experts
Absence of conflicts of interest
Legality
Transparency
Socially and environmentally sustainable procurement
Best value for money

10. Suppliers’
Code of Conduct

11. SUPPLIERS’ CODE OF CONDUCT
ETHICS 03 03
Corruption
Conflict of interest
Gifts, hospitality
Post employment restrictions
Selection of business partners
ENVIRONMENT 02
LABOUR 01 02
Environmentaly friendly technologies
Lifecycle considerations
Waste management 01
Equality
Wages
Health & safety

12. Minimum Requirements

13. MINIMUM SET OF REQUIREMENTS FOR SUPPLIERS
STEP 03
Enrolment in a professional registry
STEP
STEP 04 02
TECHNICAL & PROFESSIONAL ABILITY
QUALITY STANDARDS
Financial turnover & liquidity
ECONOMIC & FINANCIAL STANDING
STEP
STEP 05
Possesion of expertise & experience 01
ENVORONMENTAL STANDARDS
LEGAL STANDING & SUITABILITY FOR PROFESSIONAL ACTIVITY
ISO 9001:2015 or equivalent
ISO 14001:2015 or equivalent
NB If the Tenderer is a consorcium, each member of the consorcium shall comply with the below mentioned requirements

14. MONITORING AND ENFORCEMENT
BRIBERY, CORRUPTION, CARTELS
Any suspected illegal or suspicious activity should be reported
LAWS & REGULATIONS
Rail Baltica project will adhere to applicable policies, agreements
CENTRAL COORDINATOR IS THE CONTROLLER OF COSTS
Financing can be withheld in case of ineligibility
AUDITS & VISITS
Expect on spot visits. Be cooperative

15. SUPPLIERS’ DECLARATION
Signed by supplier & subsupplier together with tender agreement
Avoiding corruption, conflict of interest
Compliance with laws & regulations
INCREASED AWARENESS OF KEY PRINCIPLES & REQUIREMENTS
Acting in an ethical, sustainable & social responsible manner
Following good practice in respect of labour, health & safety, environmental protection

16. Procurement Process

17. PROCUREMENT SPLIT RB Rail procurement Consolidated procurement
Supervised national procurement
Studies
Design
Common Standards
Business Development
Marketing & Branding
Sub-systems (CCS & ENE)
Raw Materials and Key Components
Cross-border Track Sections
Track Construction
Major Engineering Structures
Local Facilities (including terminals)

18. RB RAIL PROCUREMENT Activities RB Rail Beneficiaries
Global Project design elements:
Design Guidelines
Consolidated Preliminary Technical Design
Master Design
Detailed Technical Design
Global Project studies:
Supplier Market and Resources Study
Technical studies
Global Project development studies
Business development, marketing
Procurement organisation
Setting common guidelines, templates, requirements
Procurement publication
Procurement committee: full authority and responsibility
Chair of Procurement Committee
Procurement Committee Membership: 100%
Contract: Sole responsibility and direct relationship with suppliers
Control and auditing

19. CONSOLIDATED PROCUREMENT
Activities
RB Rail
Beneficiaries
Global sourcing | proven economies of scale | interoperability
Control, command and signalling (CCS) infrastructure (including ERTMS)
Energy (ENE) infrastructure (including catenary, substations, management centre)
Potential local sourcing | economies of scale
Raw materials and key components
Construction track and track bed sections
Procurement organisation
Setting common guidelines, templates, requirements
Procurement publication
Procurement committee: full authority and responsibility
Chair of Procurement Committee
Procurement Committee Membership: 50%+1
Contract: Sole responsibility and direct relationship with suppliers
Control and auditing
Procurement Committee Membership: one representative from each relevant Beneficiary

20. SUPERVISED NATIONAL PROCUREMENT
Activities
RB Rail
Beneficiaries
Track and track bed
Major engineering structures (tunnels, bridges)
“Point Type” objects, including Detailed Technical Design:
Passenger Terminals
Freight Terminals
Infrastructure maintenance facilities
Rolling stock service facilities
Setting common guidelines, templates, requirements
Members of Procurement Committee (procurements ≥ EUR )
Control and auditing (right to perform technical, financial and legal audits and on-the-spot visits)
Procurement Committee Membership: at least one member
Procurement organisation
Procurement publication
Procurement committee: full authority and responsibility
Chair of Procurement Committee
Procurement Committee Membership: majority
Contract: Sole responsibility and direct relationship with suppliers

21. GLOBAL APPROACH TOWARDS DELIVERING RAIL BALTICA
Approach to implementation
Phase
Exceptions to Approach
CONCEPT AND CORRIDOR
JOINT
NO EXCEPTIONS
TIME
ALIGNMENT AND APPROVALS
NATIONAL
NO EXCEPTIONS
DESIGN e.g. Consolidated Preliminary Design
RB RAIL
Design & Build for «local facilities»
CONSTRUCTION
NATIONAL
Component supplies, electrification, CCS/ERTMS, cross-border sections
INFRASTRUCTURE MANAGEMENT
JOINT
To study, define and agree by IM study

22. COOPERATION IN IMPLEMENTATION OF POLICY DOCUMENTS
Cooperation among all involved in this unique project
Contracts are governed by the laws of the State where works are done
RBR will be informed through its representative in the procurement committees
RBR has a right to conduct legal checks and audits
Dispute resolution mechanism through dispute resolution committee and arbitration