Provision of material handling equipment – open tender in kwazulu-natal

Project Title:

Provision of material handling equipment,

At the kendal inland terminal for coal for

A period of three (3) months

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

Table of contents

1. Scope of Work, Background and Overview

2. Operational handling methodology

3. Specific deliverables for the tender process

4. Specifications of Equipment Required

5. Environment and Site conditions

6. Graphical representation

Appendices/annextures

• 2.1 - Cargo Handling

• 2.2 - Operational Requirements for Stockpile

• 2.3 - Operational Requirement for rail loading

• 2.4 - SHE files and Insurance

• 2.5 - Equipment availability

• 2.6 - Personnel Requirements

• 3.7 - Inhouse training

• 3.8 - Business continuity plan

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

1 background and overview

Kendal inland terminal

Located in Mpumalanga, Kendal is a coal inland terminal operating on a TFR rail siding. The

terminal handles only coal cargo received via road trucks to be railed for Domestic and Export

purposes. The site has Capacity to handle 1,5 million tons per annum. The cargo is offloaded

from road trucks into designated stockpiles and loaded onto rail wagons utilizing the terminal’s

materials handling equipment.

Kendal siding consists of 4 lines, and the siding can only be accessed from the Ogies side.

Lines are numbered as 1-4 terminating at stop block on the Welgedag side.

Line 1 and 2 can be used as alternate to load domestic coal at a maximum of 48 CFR wagons,

24 on each line.

Line 3(60 wagons) and 4(70 wagons) are longer and used for loading both export and domestic.

A rail weighbridge is installed at the entrance of the siding on the Ogies side.

All lines are NON-ELECTRIFIED and movement to and from siding are controlled by CTC Ogies.

Export/RBCT empties are brought as 80 wagons and get split inside the siding, while Domestic

coal empties at a maximum of 40 wagons get placed at once. (No split on line 3 and 4)

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

TPT wishes to outsource a portion of cargo handling services for the Kendal Inland Terminal.

The successful bidder will be required to supply front-end loaders (FEL) with load cells, and

staff as detailed in this document. The services rendered are associated with the receipt of coal

into theterminal, stockpiling thereof, and the loading into empty rail trucks.

TPT (or it’s appointed 3rd party inspector) reserves the right to carry out inspections on all

equipment. In this regard TPT reserves the right to carry out technical site visits of the preferred

bidder/s at any time without giving prior notice to that preferred bidder/s. Should that preferred

bidder failto provide the required equipment (Front-end loaders) the bidder may be eliminated

from further participation in the tender.

TPT reserves the right to award the scope individually to different Bidders.

Safety and access requirements such as medicals, badging, transport, PPE, including SHE files

shall be for the Successful bidder’s account and will be required at the commencement of

contract.

1.1. The tender includes cargo handling services and the provision of materials handling

equipment (front-end loaders) with Operators, and labor at Kendal Inland Terminal

Terminals, for both Inbound and Outbound cargo.

1.2. The contract duration will be three (3) months from the date of award, on a fixed term

basis, including a lead-time of 5 days for site establishment.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

Volumes estimates are not absolute. Kendal Inland Terminal plans to handle the following

volumes in the two-month period:

Months 1 2 Total/Tons

Coal 161 000t 161 000t 322 000t

2 operational handling methodology for kendal inland terminal:

2.1 Cargo handling process:

• Receive cargo by road truck.

• Weigh it utilizing weighing in

road weighbridge.

• Move it to the correct

stacking area.

• Back-stack it to

required height.

• Load onto empty

rail wagons.

2.2 Operational requirements for stockpile management:

Customers

• Will forward 24Hrs Road truck dispatches via email to the TPT Administrator denoting

registration, Customer, Grade, Size, Mass and Description. Then the TPT administrator will

load the information in the weighbridge system.

The weighbridge operator

• Will ensure that all the information on the delivery note corresponds with the information

loaded on system and that was sent by the customers.

• Will record each transaction on a tally sheet for reconciliation purposes and in case of a

system failure.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

• The customer’s name and the correct stockpile number must be communicated to the spotter

using two-way radio system to ensure that the Road Truck is offloaded in the correct

• stockpile.

The spotter

• Will collect and check delivery slip from the truck driver to ensure that all the cargo is offloaded

at the correct stockpile.

Front-end Loaders

• will be used to back stack the coal to ensure optimal stockpile capacity but may not drive

onto the cargo whilst back stacking.

• Stockpile must be far enough from the rail wagons to give the front-end loader drivers

adequate space to load the coal at a 90-degrees angle.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

2.3 Operational requirements for rail loading:

• Control measures must be in place to ensure NO damage to Transnet equipment

and assets.

• Each train (80 wagons) must be completed within 4 hours of being placed.

• Once the trucks are placed on the siding, they must be physically checked for defect

and contaminants.

• Prior to loading, rail wagons must be inspected to ensure they are correctly placed.

• Front-end Loader operator to give weight of a scoop to the cargo coordinator

for recording purpose using two-way radios.

2.3.1 Front-end loaders- must be capable of loading open top rail wagons

(height of 4.0 meters).

2.3.2 FEL operator -must be in possession of a valid driver’s license

(preferably code 14) plus a valid certificate of competency.

2.3.3 Cargo coordinator/ Spotter- will monitor the coal loaded per

wagon to prevent overloading per wagon.

• Cargo coordinator to record and add scoop weights until the agreed tonnage per

truck is met.

• Cargo coordinator records truck number, color code or cargo type, time when

loading started and time of wagon completion.

• The Cargo coordinator will then compile a truck list and hand this together with

tallies to the TPT Operations Supervisor for approval.

2.3.4 General workers - Will level each rail truck to ensure the loading

profiles are level. Labels must be made out and placed on both sides

of the rail wagons indicating the details of the consignment. Once the

loading of the rail wagons has been completed the siding must be

cleaned of all spillages by the General workers, and spillages must be

put aside for approval from the customer.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

• Regular track cleaning must be performed by the General workers to ensure

compliance with the Railway Regulator’s Requirements.

• Vegetation must be cleared up by General workers on a regular basis.

Note: The operation is 24 hours per day, 7 days per week.

The trains arrive at the terminal in the following block loads:

• Domestic coal block load is 80 wagons.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

2.4 She file and insurance cover

• The service provider is to submit high level of safety SHE files consisting of:

▪ Employee annual medical report

▪ Front End Loaders calibration certificates

▪ Front End Loader with orange revolving lights during operation and with reverse siren

▪ Front End Loader must be numbered and provided with periodic maintenance schedule.

▪ PJO’s (Planned job observation)

▪ SHE reps’ appointment letters

▪ Proofs / Records of safety monthly meetings

▪ First Aid boxes and trained first Aiders.

2.5 Equipment avaliability

▪ All equipment and operators must be readily available to commence work as prescribed by

Transnet’s Terminal Manager.

▪ There should be no idle time caused by any equipment non-availability during the off-

loading and loading process.

▪ If the non-availability of any equipment is due to mechanical breakdown, it is the

Successful bidder’s responsibility to ensure that this does not lead to production delays

or deviations from the norms outlined in point 2.7 below.

2.5.1 If the time to carry out repairs is or extends to longer than 2 hour for any

equipment, the Successful bidder shall ensure that replacement equipment

is provided.

2.5.2 Equipment must be provided outside of normal working hours.

• The Successful bidder must have a broad form of “current” insurance liability cover which includes

Professional Indemnity Insurance/Professional Liability Insurance/General Insurance/Public

Liability Insurance with a minimum indemnity limit of R5 000 000.00 (five million rand) per

incident.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

2.6 Personnel requirements:

▪ It is expected that the service provider must fulfill all operational requirements as detailed above.

▪ Rates must be inclusive of transportation costs for labour to and from the designated

premises.

▪ Labour costs for facilitating services.

▪ Service Provider must supply a capacity of diesel bowser must 5000L-6000L for the duration of

the contract.

▪ TPT will supply its own diesel for the duration of the contract

2.6.1 To this end, adequate manning levels per shift will be required:

Item Item Description PER 24 Hours PER Shift

1. Front-End Loaders with load cells 3 3

2. Two-way Radios 6 6

3. FEL Operators 3 9

4. Weighbridge Operators IN/OUT 1 3

5. Spotters 1 3

General worker

6. 1 3

Office Cleaner Day shift only

7. 1 1

Supervisor

8. 1 1

Diesel Bowser Capacity of 1

9. 5000L-6000L 1

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

Please note the following:

▪ Although TPT will place Terminal Manager and Shift Supervisors on site, it is required

that the service provider must have a supervisor on site to ensure that all instructions are

carried out.

▪ TPT will also place a safety and environmental officer onsite, and it is expected that the

Service Provider’s staff will be subject to his guidance regarding safety and environmental

compliance related matters.

2.6.1.1 All Drivers/Operators must possess valid Driver’s License in terms

of the National Road Traffic Act No as well as any

other relevant Operators license or permit as required by South

African Law and all other relevant legislation.

2.6.1.2 The Successful bidder’s personnel must have the

requisite knowledge, skill and experience required to perform the

required work.

2.7 Record keeping requirements:

2.7.1 It is a compulsory requirement that the Successful bidder’s Operator Tonnage

Reconciliation Sheets be signed by both the Successful bidder’s representative

as well as a TPT representative in accordance with the Terminal Manager’s

requirements.

▪ The original must be handed to the Terminal Manager for safekeeping.

▪ The reconciliation of the agreed handled tonnages must be signed off by the Successful bidder

and the TPT Terminal Manager on a weekly basis.

▪ The Successful bidder shall immediately advise the TPT Operations Supervisor of all

breakdowns and the replacement plan.

▪ The Successful bidder shall submit the reason for the non-availability of equipment

together with the remedial action to be taken.

▪ All actions taken to replace, or repair will be within 2 hours as outlined in 2.4 above.

2.8 General operational requirements:

• It is expected of the Successful bidder/s to work without any interruptions because of shift

change overs, fueling, meal breaks etc. to ensure operational efficiencies and committed

handling rates are met and/or exceeded.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

• The required loading rate is 80 wagons in 4 hours, i.e. 4250 tons in 240minutes.

• TPT reserves the right to invent or establish better ways of improving operational efficiencies

with or without informing the Successful bidder. Should this occur, the Successful bidder shall

be engaged to review. This could include, but not limited to, a change in the Terminal

operating models.

Shift Patterns:

The Successful bidder’s shift pattern will be aligned with that of the Terminal(s). The current shift

patterns are as follows: -

Weekdays (i.e. Monday – Friday)

▪ 06h00 – 14h00

▪ 14h00 – 22h00

▪ 22h00 – 06h00

Weekends and Public Holidays

▪ 06h00 – 18h00

▪ 18h00 – 06h00

NB: Although these are the current shift patterns, TPT reserves the right to change the shift

patterns without consulting the successful bidder and would expect the successful bidder to align

their shift patterns with that of TPT’s.

3 specific deliverables for the tender process

Eligibility Criteria

3.1. The Bidder to submit a Minimum of Two (2) signed Trade Reference Letters from existing,

/ Previous clients, on the clients' letterhead and must not be dated older than 6 months

and by completing SOW Appendix 1.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

Weighted Criteria

3.2. The Bidder must submit a full SHE safety file as per SOW Appendix 2.4.

3.3. The Bidder must confirm that should they be awarded business; they have an established

office within a 50km- 80km radius in relation to the Transnet site.

3.4. The Bidder provides proof of ownership/or lease of all front-end loaders.

3.5. The Bidder must prove their ability to supply all equipment and related services through

conformance to scope of work.

3.6. The Bidder must prove their ability to provide On-site Technical support highlighted in the

“Equipment Breakdown Plan” referred to SOW.

3.7. The Bidder must provide proof of in-house training including, but not limited to the

following:

• Training on the knowledge of commodity contamination

• Training of supervisors

• Understanding of commodity norms

• Communication skills and understanding of basic instructions.

• Understanding the basic principles of loading and over loading (amongst others)

3.8. The Bidder to submit a comprehensive Business Continuity Plan, as per Compulsory

Returnable including but not limited to the following:

· Equipment Availability

· Contingency labor work force per shift

· Training

· Transportation

· Security planning

· The strike management plan. It should cover the following minimum information in the

following categories: Pre-strike planning, During the strike, Post-strike review.

· List the strike management team and their contact details;

· How and when to declare a strike;

· Business continuity management process;

· Command centre operation;

· Chain of command for strike operations;

· Communication protocols e.g. notifying customers and regular strike reports;

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

· Identification of striking employees from non-striking employees e.g. go slows;

· Disciplinary process for illegally striking employees etc.

· Strike diary

· Emergency planning

• BCM Risk Assessment

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

4 specifications of equipment required in operational areas.

The Successful bidder’s equipment must comply with the following requirements:

4.1. A successful bidder to provide a fleet of four (3) FELs.

4.2. All fleet must be in good working condition (as per relevant Road Traffic Ordinances,

amongst other applicable Laws) with safe workload certificates and tested as per relevant

legislation.

4.3. All fleet must be fitted with calibrated load cells.

4.4. All fleet must be fitted with orange revolving lights and reverse sirens.

4.5. The FEL’s must have a minimum capacity of 16 tons (straight tipping load).

4.6. The equipment must be able to work on uneven surfaces.

4.7. This equipment must be supplied with fitted buckets suited to the commodities to be

handled (i.e. coal).

4.8. Retractable 3-point seat belt

4.9. Forward work lights.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the kendal inland

Terminal for coal for a period of three (3) months.

5 environment and site conditions in the kendal inland terminal

The equipment offered must be able to operate in a dry environment subject to the following

conditions:

Altitude: Highveld (+/- 1500 meters above sea level)

Ambient temperature: -1 to 40°C

Relative humidity: Frequently 100%

Air Conditions: Dust laden and industrial fumes

Scope of Work for the provision of cargo handling services (including material handling equipment) at the

Kendal Inland Terminal

Provision of cargo handling services (including material handling equipment) at the

Kendal inland terminal for coal for a period of three (3) months.

6 GRAPHICAL ILLUSTRATION OF PROCESS FLOWS Coal Handling

Provision of cargo handling services (including material handling equipment) at the kendal

Inland terminal for coal for a period of three (3) months.

Scope of Work for the provision of cargo handling services (including material handling equipment) at the Kendal Inland Terminal.

Compiled by: approved by:

2.2 OPERATIONAL REQUIREMENTS FOR STOCKPILE MANAGEMENT: - Will forward 24Hrs Road truck dispatches via email to the TPT Administrator denoting registration, Customer, Grade, Size, Mass and Description. Then the TPT administrator will load the information in the weighbridge system. - The customer’s name and the correct stockpile number must be communicated to the spotter using two-way radio system to ensure that the Road Truck is offloaded in the correct - stockpile. - Will collect and check delivery slip from the truck driver to ensure that all the cargo is offloaded at the correct stockpile. - will be used to back stack the coal to ensure optimal stockpile capacity but may not drive onto the cargo whilst back stacking. - Stockpile must be far enough from the rail wagons to give the front-end loader drivers adequate space to load the coal at a 90-degrees angle.

appointment letters

proof of ownership/or lease of all front-end loaders

3.4. The Bidder provides proof of ownership/or lease of all front-end loaders.