Appointment of service provider to evaluate overberg water tariff – western cape RFQ

Compulsory briefing session: 14 October 2026 at 11:00 am (bidders arriving 15 minutes late not allowed). Venue: No.1 Niblick Way, Trident Park 3, Ground Floor, Somerset West.

Closing date and time: 21 October 2026 at 12:00.

Compulsory briefing session: 14 October 2026 at 11:00 am. Venue: No.1 Niblick Way, Trident Park 3, Ground Floor, Somerset West. Bidders arriving 15 minutes after start time will not be allowed.

SCM enquiries:

• Contacts: S. Mayixhale, A. Booi, N. Tshobeni, E. Nwamafela
• Emails: [email protected], [email protected], [email protected], [email protected]
• Telephone: 021 851 2155

Technical enquiries:

• Contact: Brian Mokhele
• Email: [email protected]
• Telephone: 021 851 2155

Submission address:

Overberg Water Board’s Corporate Office

Trident Park 3, Ground Floor

1 Niblick Way

Somerset West, 7137

Cape Town

Submission method: Physical delivery to tender box at Overberg Water Board’s Corporate Office, Trident Park 3, Ground Floor, 1 Niblick Way, Somerset West, 7137, Cape Town.

Quotations must be in a sealed envelope clearly marked with quotation number (RFQ OW-019/2026/27) and description.

Closing date: 21 October 2026 at 12:00. No late quotations accepted.

Quotation validity: 90 days from closing date (3 months).

All six returnable schedules must be fully completed and signed:

• SBD 1 (Invitation to Bid)
• Annexure A3 (Pricing Schedule)
• SBD 4 (Declaration of Interest)
• SBD 6.1 (Preference Points Claim)
• B-BBEE Certificate or Sworn Affidavit
• CSD Report
• Certificate of Authority for Signature (one of three forms)
• ID copy of authorised representative
• CIPRO registration documents

Bidders must be registered on the National Treasury Central Supplier Database (CSD).

Overberg Water reserves the right to accept whole or part of quotation, or multiple quotations.

Evaluation method: 80/20 preference points system (Price: 80 points, Specific Goals: 20 points).

Four evaluation phases:

1. Administrative compliance
2. Mandatory requirements
3. Functionality compliance (minimum 75/100)
4. Price and Specific Goals

Functionality criteria (total 100 points):

1. Company experience in evaluating tariff models in public sector (30 points) – scored by number of reference letters (0-1:1, 2:2, 3:3, 4:4, 5:5).
2. Team Capability: Project Director (20 points) – must be CA/SA (SAICA), Chartered Management Accountant, Chartered Financial Analyst, or hold Master’s in Economics/Finance; experience in infrastructure financing, financial modelling, investment banking for public sector; advanced Excel, financial modelling, AI tools on CV. Experience scoring: <5 years:1, 6 years:2, 7 years:3, 8 years:4, 9-10 years:5.
3. Team Capability: Tariff & Financial Modeling Expert (30 points) – postgraduate degree in finance/economics/financial mathematics; advanced Excel, financial modelling, AI tools; experience in water infrastructure. Same experience scoring.
4. Team Capability: Stakeholder Engagement Specialist (20 points) – proven stakeholder engagement ability; experience in financial modelling for water infrastructure. Same experience scoring.

Minimum functionality score: 75/100 to proceed.

Specific Goals points (total 20): Women ownership (5), Disability ownership (5), Youth ownership (5), Location in Western Cape (2), B-BBEE status level 1-2 for EME/QSE (3). Proof required (CSD report, B-BBEE certificate, etc.).

Scope: Independent comprehensive review and analysis of Overberg Water tariff structure for past financial years including 2026/27 and beyond.

Overberg Water supplies bulk potable water to Theewaterskloof and Hessequa Municipalities and industrial/agricultural customers.

Current tariff structure: Basic Levy (allocation-based), Variable Levy (consumption-based), Capital Levy (consumption-based).

Phases:

1. Inception & Data Collection: kick-off meeting; gather 5 years historical financial statements, consumption data, infrastructure plans, cost allocation models, stakeholder submissions; review Norms and Standards for Tariff Setting (2024), MFMA, Shareholder Compact; review 2026/27 stakeholder comments.
2. Tariff Structure Modelling & Analysis: develop and evaluate five models:

a) Current Tariff evaluation against Norms and Standards

b) Scheme-Based Tariff with cost structure per scheme

c) Seasonal Tariff with demand management

d) Consumption-Only Tariff with financing plan for fixed costs

e) Smoothed Multi-Year Tariff path over five years

3. Multi-Year Financial & Socio-Economic Impact Assessment: five-year financial models per scenario; assess cash flow, debt servicing, reserves, CAPEX funding; pro-forma tariff tables per Annexures A&B; socio-economic impact on agricultural sector, municipalities, indigent households, Free Basic Water.
4. Stakeholder Engagement: consultation sessions with municipalities, industrial customers, OWUF, SALGA, National Treasury; document feedback and consideration.
5. Final Report and Recommendations: compile final report with analysis, findings, actionable recommendations for 2026/27 and beyond; include pro-forma tariff tables for recommended scenarios; present to Overberg Water Board and stakeholders.

Additional deliverables: Develop multi-year tariff template and 1-year tariff template compliant with Norms & Standards.

The methodology involves a phased approach: Inception & Data Collection, Tariff Structure Modelling & Analysis (five models), Multi-Year Financial & Socio-Economic Impact Assessment, Stakeholder Engagement, and Final Report & Recommendations. The approach must comply with Norms and Standards for Tariff Setting (2024), MFMA, and Shareholder Compact.

Company must demonstrate experience in evaluating tariff models in public sector via reference letters (project title, description, year, client, value). Project Director must be CA/SA, CMA, CFA or Master’s in Economics/Finance with 5-10+ years experience in infrastructure financing, financial modelling, investment banking for public sector. Tariff & Financial Modeling Expert requires postgraduate degree in finance/economics/financial mathematics with advanced Excel, financial modelling, AI tools, and water infrastructure experience. Stakeholder Engagement Specialist requires proven engagement ability with communities, municipalities, agricultural/industrial water customers, and government spheres, plus financial modelling experience in water infrastructure.

Pricing Schedule (SBD 3.1) includes: Inception Report & Methodology, Tariff Structure & Financial Model Review (Evaluation, development, report), Multi-Year Financial & Socio-Economic Impact Assessment, Stakeholder Engagement, Compilation of Tariff Consultation Documentation, Final Report & Governance Support. Bidders must show VAT separately and include 10% contingencies. Validity 90 days.

Pricing schedule (SBD 3.1) with milestones and hourly rates:

• Inception Report & Methodology: 20 hours
• Tariff Structure & Financial Model Review:

Evaluation of Models 1-5: 160 hours

Cost-reflective model development: 40 hours

Report and recommendations: 4 hours

• Multi-Year Financial & Socio-Economic Impact Assessment (Phase 3)
• Stakeholder Engagement (Phase 4): 20 hours
• Compilation of Tariff Consultation Documentation: 4 hours
• Final Report & Governance Support:

Draft & Final Bulk Water Tariff Recommendation Report: 4 hours

Presentation Support: 4 hours

VAT shown separately.

10% contingencies added to sub-total.

Total professional fees inclusive of VAT.

Bid validity: 90 days after closing date.

Payment terms: Monthly payment cycle; invoices dated on or before 20th of month paid between 23rd-26th of following month; more frequent payments at Overberg Water’s discretion.

Contract commencement upon issuance of purchase order/letter of appointment; supplier bears risk before that.

CSD registration mandatory (National Treasury Central Supplier Database).

Tax compliance: SARS TCS PIN or CSD number required.

B-BBEE: Valid B-BBEE certificate or sworn affidavit (EME/QSE) to claim preference points.

COIDA: Valid COIDA certificate (Letter of Good Standing or confirmation of cover with licensed insurer).

Professional registration: Project Director must be CA/SA (SAICA), Chartered Management Accountant, Chartered Financial Analyst, or hold Master’s in Economics/Finance.

Advanced Excel certification: Microsoft Office Specialist (MOS) or Advanced Excel training certificate.

Company profile with past experience.

CIPRO registration documents (company registration certificate).

Certificate of Authority for Signature (one of three forms relevant to bidder).

ID copy of authorised representative.

All returnable schedules completed and signed.

Compulsory briefing attendance mandatory.

Preference points for specific goals (total 20): Women Ownership (5 points), Disability Ownership (5 points), Youth Ownership (5 points), Location of enterprise in Western Cape (2 points), B-BBEE status level contribution from level 1 to 2 which are QSE or EME (3 points). Proof required: Full CSD Report for ownership goals, valid B-BBEE certificate/sworn affidavit for B-BBEE status.

Contract commences upon issuance of purchase order or letter of appointment; supplier bears risk before that. General Conditions of Contract (GCC) apply. Payment per Clause 16: monthly cycle, invoices by 20th paid 23rd-26th next month. Termination per Clause 23. Compliance with Basic Conditions of Employment Act required. Joint ventures must submit joint venture agreement; each party submits separate TCS/PIN/CSD. Supplier must not influence procurement process. Quotations valid 90 days. Overberg Water not liable for bid preparation costs.

Quotations must be submitted in a sealed envelope clearly reflecting the quotation number and description. Quotations remain valid for three (3) months from the closing date. Overberg Water reserves the right to accept the whole or part of the quotation or to accept more than one quotation.

Mandatory requirements:

• Attendance at compulsory briefing session
• Valid COIDA certificate
• Valid proof of CA/SA (SAICA), Chartered Financial Analyst, or Master’s in Economics/Finance
• Valid proof of Advanced Excel certificate (Microsoft Office Specialist or equivalent training)
• Company profile with past experience description
• CIPRO registration documents

Evaluation Method: 80/20 points system (80 for price, 20 for preference/specific goals). Functionality threshold is 75/100. Functionality criteria: Company years of experience in evaluating tariff models (30 points), Team Capability: Project Director (20 points), Team Capability: Tariff & Financial Modeling Expert (30 points), Team Capability: Stakeholder Engagement Specialist (20 points). Each scored 1-5 based on reference letters or years of experience.