Scrap ferrous metal removal contract at lethabo power station

• Purchase and removal of scrap ferrous metal (Steel, Sub-Grade, CT's, VT's, Steel Cages, Porcelain, Rubber, Recloser/Breakers, Insulators, Isolators and line hardware) at Lethabo Power Station.
• Contract period: 24 months on an “as and when” required basis.
• The successful tenderer must weigh their vehicle empty and produce a weighbridge certificate before loading.
• After loading, an Eskom representative will accompany the scrap dealer to weigh the scrap material.
• Payment is based on actual weight at the end of the month's collections.
• Operational requirements: All truck drivers need a valid induction permit; trucks must have a valid vehicle permit and be roadworthy; green colour-coded skips may be placed at strategic areas; cutting equipment must be declared and permitted; during outages, daily collection including weekends is required; all loading under Eskom site agent supervision; safety file approval and induction required before work starts; goods identified by Eskom.

• Closing date and time: 06 July 2026 at 10h00.
• Tender validity period: 90 days (12 weeks).
• Non-compulsory clarification meeting: 25 June 2026 at 10h00 via Microsoft Teams (Meeting ID: E3084GXMPLET).
• Deadline for clarification queries: 3 working days before the tender submission deadline.
• Site visit: Not specified.

• Eskom Representative: Phallang Mokoena.
• Telephone: 017 749 5105 or 084 748 4476.
• Email: [email protected].
• Fraud and corruption reporting: 0800 11 2722 or [email protected].
• Submission address: Electronic submission via Eskom E-tendering site.

• Submit electronically via Eskom E-tendering site by the stipulated closing date and time.
• The deadline is 06 July 2026 at 10h00. Late tenders will not be accepted.
• Upload documents under the folders Technical, Commercial, Financial, and other.
• All documents must be in PDF and Excel format. Limit is 50MB per file and total submission of 900MB per submission.
• No Zip/condense files can be uploaded. No hard copy will be accepted.
• If you resubmit your tender, only the latest version will be accepted; previous submissions become null and void.
• Ensure submission status is indicated as complete.
• Mandatory returnables required at tender closing (disqualifiable) must be fully completed, signed if required, and submitted by the deadline. Failure will result in disqualification.
• Non-disqualifiable returnables must also be submitted by the deadline; if incomplete, you will be given 5 working days to rectify.
• Returnables required for evaluation must be submitted at closing; missing or incomplete submissions will score zero but not cause disqualification.
• Key returnables include Annexure A (Pricing Schedule), Annexure B (Authorization Form), Annexure C (Acknowledgement Form), Annexure D (Tenderers Particulars), Annexure E (Integrity Pact Declaration), Annexure F (SBD 1), Annexure G (SBD 6.1 Preference Points Claim Form), and Annexure H (SBD 4 – Bidders Disclosure).
• For joint ventures, additional documents required: letter of intent or valid JV agreement, confirmation of single business entity, and details of a single designated bank account.
• Basic compliance requires meeting eligibility criteria, submitting a complete tender with commercial information, and submitting mandatory commercial tender returnables by deadlines.

Tenderers must not: be from sanctioned countries; submit multiple tenders (except for file size exceptions); have conflicts of interest; be signed by unauthorized persons; be restricted by National Treasury; be on Tender Defaulters list; subcontract 100% of work; have existing Eskom contracts with defaults or open non-conformances. Joint ventures must provide agreement with joint and several liability.

• Scope: Purchase and removal of scrap ferrous metal (Steel, Sub-Grade, CT's, VT's, Steel Cages, Porcelain, Rubber, Recloser/Breakers, Insulators, Isolators and line hardware) at Lethabo Power Station on an “as and when” required basis for a contract period of 24 months.
• The successful tenderer must weigh their vehicle empty and produce a weighbridge certificate before loading scrap material.
• After loading, an Eskom representative will accompany the scrap dealer to the weighbridge to weigh the scrap material.
• The weighbridge certificate must be authorized and forwarded to the Asset Disposal Officer for verification.
• Payment will be made on actual weight at the end of the month's collections.
• All truck drivers must obtain a valid induction permit.
• All trucks must have a valid vehicle permit and be roadworthy to enter Lethabo Power Station.
• Green colour-coded skips may be requested for placement at strategic, high-volume areas.
• When using cutting equipment, declare equipment at the security gate and obtain relevant permits; authorization must be obtained from the site manager.
• During an outage, collection is required daily, including weekends.
• All scrap loading must be done under the supervision of an Eskom site agent.
• A safety file must be approved before contract commencement. Induction must take place, and work permits issued as required.
• The goods on sale will be identified by Eskom.

• Submit ITAC percentages for material classifications: Heavy Metal (ITAC Code 201), Subgrade (ITAC Code 215), Contaminated/Mixed (ITAC Code 280).
• Price calculation: For each disposal transaction, multiply quoted ITAC percentage by ITAC price.
• Contract based on ITAC Codes 215 (Subgrade), 201 (Heavy Material), and 280 (Contaminated).
• Evaluation based on ITAC Code 280 (Contaminated) and ITAC Code 215 (Subgrade) from historic collections.
• Notes: Eskom not responsible for damages/losses; adhere to site agent conditions; no littering; provide waste collection facilities; portable fire equipment required for cutting; oil spills are tenderer's responsibility; obtain Eskom permit before work; comply with OHSA; safety file required; no accommodation on site.

• Pricing format: Submit ITAC percentages for material classifications: Heavy Metal (ITAC Code 201), Subgrade (ITAC Code 215), Contaminated/Mixed (ITAC Code 280).
• For each disposal transaction, the rand price is calculated by multiplying the quoted ITAC percentage by the ITAC price.
• Evaluation will be based on ITAC Code 280 (Contaminated) and ITAC Code 215 (Subgrade) based on historic collections.
• Prices must be exclusive of VAT.
• Unconditional discounts are considered for evaluation; conditional discounts are not considered for evaluation but implemented at payment.
• Eskom reserves the right to negotiate with preferred bidders if tendered prices are not market-related.
• Payment terms: Payment made on actual weight at the end of the month's collections.
• Main contractors are discouraged from subcontracting with subsidiary companies; if done, it must be declared to avoid fronting allegations.

• Mandatory contractual requirement: Proof of valid and current CSD registration (CSD number/CSD report).
• Additional contractual requirements may include SHEQ (Safety, Health, Environment, Quality) requirements.
• Tax compliance: Submit a certified copy of a tax clearance certificate for foreign tenderers with a footprint in South Africa but not registered on CSD, and for local tenderers without a SARS e-filing PIN. Foreign suppliers with no footprint in South Africa must complete SBD1 but no proof of tax compliance is required.
• B-BBEE: Submit a B-BBEE affidavit (on DTI template) confirming the B-BBEE contribution level, and a B-BBEE verification certificate from an accredited verification agency.
• Company registration: Submit CIPC company registration documents or CIPRO documents or declaration of shareholding and directorship.
• COIDA: Submit a valid certificate of good standing from the Compensation Fund or a licensed compensation insurer (for South African tenderers only).
• Second-hand goods certificate: Submit a Second-hand Goods Act certificate from SAPS/license (for scrap dealers and recyclers), valid and current.
• Eligibility criteria: Tenderers must not be under any restriction to do business with Eskom or State-Owned Companies; must not have nationality of a country on international sanctions lists; must not submit more than one tender except on E-Tendering system with size limits; joint ventures must have a JV agreement stating joint and several liability; must not have a conflict of interest; tenders must be signed by authorized persons; must not be restricted by National Treasury or on the Tender Defaulters list; must not subcontract 100% of the scope of work.
• Safety and environmental: Completion of a safety and environmental file is compulsory before commencement of work.

• Safety requirements: Submit COIDA certificate of good standing or proof of application from Compensation Fund or licensed insurer (South African tenderers only).
• Compliance with OHSA Act required; all safety documentation must be available on site.
• Safety file must be approved before contract commencement.
• Induction and work permits issued as required.
• Portable fire fighting equipment must be available when using cutting equipment.
• No littering; facilities for waste collection must be provided; no rubble left on site.
• Any oil spills must be rehabilitated by the successful tenderer.
• Eskom not responsible for damages, losses, theft, damage, or personal injury during removal.
• Adherence to Eskom site agent conditions for site access.
• No accommodation allowed on site.
• Completion of safety and environmental file compulsory before work starts.

• Environmental documents may be required per scope, as listed in the returnables table.
• Completion of a safety and environmental file is compulsory before commencement of work.
• No littering; waste collection facilities must be provided on site.
• Any oil spills must be rehabilitated by the successful tenderer.

• Eligibility: Tenderers must not have nationality of a country on international sanctions lists. Nationality determined if tenderer is a national, constituted, incorporated, or registered under that country's laws. This also applies to subcontractors or suppliers.
• Tenderers may not submit more than one tender individually or as a partner in a JV/consortium, except on E-Tendering system where there is a size limit (900MB) and multiple submissions with the same tender number are allowed.
• Joint ventures must have an agreement stating joint and several liability for contract execution.

• Pricing scored out of 80 points.
• Specific goals (B-BBEE/preferential procurement) scored out of 20 points under PPPFA 2022.
• Failure to submit evidence for specific goals results in 0 points for that goal, but no disqualification.
• Ranking uses the 80/20 system: scores from pricing and specific goals are added, then ranked highest to lowest.
• Price evaluation: exclusive of VAT; corrected for arithmetic errors; excludes contingencies; adjusted for variations; Net Present Value comparison considering program, prices, price adjustment factors, exchange fluctuations; unconditional discounts considered; conditional discounts not considered for evaluation but implemented at payment.
• Contractual requirements assessed after evaluation, not as evaluation criteria.