Tele : 23019638 E2 Works (PPC) Sub Dte Dte of Works, E-in-C's Branch Integrated HQ of MoD (Army) Kashmir House, Rajaji Marg, New Delhi — 110011.

A/37696/12-158/Pol//E2W (PPC) Oct 18

HQ Chief Engineer Southern Command Eastern Command Western Command Northern Command South Western Command

ADG (Projects) ADG (NEI) ADG (North)

SOP FOR PROCUREMENT OF GOODS AND SERVICES ON GOVERNMENT E-MARKET PLACE (GeM)

1. A copy of 'Draft SOP for Procurement of Goods and Services on GeM', prepared by HQ CE Central Command has been uploaded on the MES website.

2. It is requested to forward your comments on the draft SOP to reach this office by 31 Oct 18.

3. For information and necessary action please.

01‘' (Vvek Pathak) Col Dir (PPC) For E-in-C

Copy to:-

ADGVV Sectt (E-3 Cell)

ADG ESP

E5 (Budget)

E8 (Contract)

Automation Cell

For information and request to provide comments/ inputs, if any.

- For uploading on the MES website please.

DRAFT SOP FOR PROCUREMENT OF GOODS & SERVICES ON GeM PORTAL

1. References :-

(a) General Financial Rule 2017 Procurement of Goods Rule 142 to Rule 206.

(b) Dte of Wks, E-in-C's Branch, IHQ of MoD (Army), New Delhi letter No A/37696/12-114/Pol/E2W (PPC) dt 13 May 2014.

(c) Dte of Wks, E-in-C's Branch, IHQ of MoD (Army), New Delhi letter No A/37696/12-114/Pol/E2W (PPC) dt 23 Nov 2015.

(d) Dte of Wks, E-in-C's Branch, IHQ of MoD (Army), New Delhi letter No A/37696/12-114/Pol/E2W (PPC) dt 14 Jan 2016.

(e) Dte of Wks, E-in-C's Branch, IHQ of MoD (Army), New Delhi letter No A/37696/12-158/Pol/E2W (PPC) dt 18 Oct 2016.

(f) Dte of Wks, E-in-C's Branch, IHQ of MoD (Army), New Delhi letter No A/37696/12-158/Pol/E2W (PPC) dt 08 May 2017.

(g) Ord Services Computer Centre, MGO's Branch, OS Dte IHQ of MoD (Army), New Delhi letter No 22868/e-Proc/OSCC(CICP TG) dt 04 Oct 2017.

2. Aim. The aim of the SOP is to stream line the procedure of local/direct

procurement of goods and services through Govt Electronic Market place.

3. What is Gem. Govt Electronic Market place is one stop on-line market

place to common use goods and services for Government users. This has been

hoisted by DGS&D, New Delhi.

4. Procurement Method. The following methodology of procurement will be followed:-

(a) Rule 149 of Govt E-market place (GeM). The procedure of procurement

of goods and services by the officers of MES thorough GeM will be mandatory

for goods and services available on GeM. Any other procurement methodology

will be adopted only if the stores are not available on the GeM portal.

(b) Rule 154-Purchase of goods without quotation. Purchase of goods

costing upto Rs15,000/- (Rupees fifteen thousand) on each occasion may be

made without inviting quotations or bids, on the basis of certificate. The

purchase will be carried out as per para 5 (a) (ii) of Table 'B' of RMES. The

certificate to be recorded by the competent authority in the following format.

Contd 2/-

-2-

" I am personally satisfied that these goods purchased are as per the

requisite quality and specifications and have been purchased from a

reliable supplier at the reasonable prices".

(c) Rule 155-Purchase of goods by Purchase Committee. Purchase of

goods costing upto Rs15,000/- (Rupees fifteen thousand) and upto 2,50,000/-

(Rupees two lakhs fifty thousand) on each occasion may be on the

recommendation of duly constituted Local Purchase Committee consisting of

three members of appropriate level, as decided by Head Of the Office before

recommending placement of supply orders. The members of committee will

jointly record a certificate as under:-

"Certified that we the members of the Purchase Committee are jointly and

individually satisfied that goods recommended for purchase are of the

requisite specifications and quality, priced at the prevailing market rate and

the supplier recommended is reliable and competent to supply the goods

in question and it is not debarred by the department".

5. In case of goods requirement urgently and where the delay in procurement may

be detrimental to the services, the Purchase Committee may resort to purchase of the

items available on GeM. In such cases, the following points are to be kept in mind by

Purchase Committee :-

(a) Purchase Committee will select the vendors from enlisted suppliers with department.

(b) Purchase committee will collect the bids from the vendors within twenty

four hours after detailment.

(c) The bids received from vendors shall be opened immediately at the

appointed time and date and rates shall be filled up in CST register.

(d) Certificate at per Para 4 above shall be rendered by Purchase Committee

on CST register and supply order shall be placed by the Competent Engineer Authority.

6. Purchase of goods and services under Para 160 of GFR 2017. Except in

case of Para 149, 154-155 of GFR 2017, the procurement of goods and services will be

carried out through e-procurement on www.epro.mes.qov.in for which SOP has already

been vide Dte of Wks, E-in-C;s Branch, New Delhi letter No A/37696/12-158/PollE2W

(PPC) dt 31 May 2016.

Contd ...3/-

-3-

7. Registration of supplier on GeM. The registration of supplier on GeM

Portal shall be carried out by HQ DGS&D, New Delhi. They are registered as sellers on

GeM portal. The sellers on GeM will be OEM and their authorized channel

partners/resellers (having any general authorization/dealer ship) of the OEM to sell their

product in open market an e-market.

8. Registration of user on GeM Portal. The following documents are mandatory

for registration on GeM portal as Primary Users as well as Secondary Users.

(a) NIC Mail ID.

(b) Mobile Number linked with Aadhaar No.

(c) Aadhaar Number.

9. HOO not below the rank of Colonel in case of Army officers and equivalent rand

of Director in case of IDSE officers will register as Primary Users on GeM portal.

Primary Users will create subordinate Secondary Users in the system with specific role

and responsibilities of Buyers, consignee, and PAO. The Secondary User in the

system shall be a responsible person approved by Primary User. The officer shall not

be below the rank of Section Officer/Sub Division Officer. The hierarchy of Primary User

and Secondary user in MES offices shall be as under :-

Zonal Chief Engineer

Chief Engineer (Primary User)

ACE/Dir (R)/S01 (R) (Secondary User)

SO1 (Adm) (Secondary User as Consignee)

PAO (GE Nearby)

CWE

1 CWE (Primary User)

1 SBSO (Buyer)

1 BSO (Buyer & Consignee) GE (PAO)

Contd...4/-

-4-

10. Primary user can also create a supervisor in the system. The supervisor in the

system shall be equivalent to Director/Colonel rank officer. All the activities carried out

the Secondary Users in the GeM are notified to the concerned Supervisor Officer apart

from being notified to other concerned Secondary Users.

11. Registration of Primary User. HOO not below the rank of Colonel/Director in

respective MES HQ/offices will enter their employee ID (New ID to be created) and

Aadhaar Number in the system. Based on above information. HOO complete details

including official MC mail ID and mobile number linked with Aadhaar card shall be

populated in the remaining cells of "Primary user details". Primary users are required to

verify and ensure that details as populated from employee ID and Aadhaar card

database are correct and currently in use. The Primary Users are also required to

separately enter the official telephone numbers (land line/mobile) and NIC mail ID of

their reporting/Administrative officer in their organization. After details of Primary User

are validated by the system, a confirmation mail shall be sent to reporting Officer/

Administrative Officer in the buyer organization by the system for validating/authenticity

the Primary User. As soon as Reporting Officer/ Administrative Officer and

validation/authentication is received by the system, Primary User account is activated in

GeM. In MES the reporting Officer shall be as under:-

Primary User Reporting Officer/ Administrative Officer

(a) Chief Engineer Central Command (Primary User)

(b) Zonal Chief Engineer

(c) Commander Works Engineer

DGW (E-in-C's Branch)

Chief Engineer Central Command

Zonal Chief Engineer

(d) Garrison Engineer Commander Works Engineer

12. Procurement through GeM Portal

(a) Responsibility of Procurement of maintenance stores for GEs in AOR of

CWE are entrusted to the CWE. A representative of CWE and User rep will form

the part of 'Acceptance BOO'. The acceptance BOO will be convened by CVVE.

(b) Demand of maintenance stores should be worked out based on the

average consumption of each type of stores for past three years.

Contd...5/-

-5-

(c) In order to cater for the lead time required for the procurement, the GE

should have at least on month requirement of stores while placing demand,

procurement may be reduced to one month since time required in placing supply

through GeM and supply of stores has been reduced to 15 to 30 days in lieu of

30 to 60 days and GeM being a dynamic system, prices of stores vary frequently.

Moreover, blocking of the Govt funds is for only one month requirement in lieu of

three months requirement earlier.

(d) Maximum/minimum Board of Officers shall be ordered by CWE and will be

approved by CWE and forwarded to Zonal Chief Engineer for perusal.

(e) Board of officers once approved by CWE would form the basis to generate

demand keeping in mind the balance in stores and consumption pattern.

(f) The demand should be forwarded to CWE on monthly basis which will be

consolidated and supply order will be placed by CWE.

(g) The delivery of materials should be made to concerned GE based on their approved demand.

(h) Make/Brand shall be considered on GeM portal as approved by concerned

Command Chief Engineer and approved by GOC-in-C or equivalent in Air

Force/Navy to bring uniformity in product quality and rates.

(j) The stores shall be received in Transit cell of Div stock and shall be

checked and passed by Acceptance BOOs convened by CWE and

representative of User and CWE form the part of BOOs.

(k) Procurement of stores, required for sanctioned jobs of CsWE and GEs

power will be done by CsWE. Separate demand, duly justifying the requirement,

will be given to the CWE at least on month in advance.

13. Direct Purchase. Keeping the above points in view, the procurement of stores

on GeM portal as per Rule 149 of GFR will be resorted to as under :- (a) On GeM purchase upto Rs 50,000/-. Purchase or Buyers are authorized to procure the stores/items through any of the available supplier on

GeM, meeting the requisite quality, specifications and delivery period. The

procuring authorities will certify the reasonability of rates. The items/stores will be add on cert and supply order may be placed to the selected supplier and

stores will be delivered within 15-30 days after date of supply order if acceptable by supplier.

Contd...6/-

-6-

(b) Supplier may accept/reject the supply order within three days of placing

supply order.

(c) In case supplier rejects the supply order, entire process is required to be

repeated for placing fresh supply order.

(d) No action can be taken against supplier by the department which may be

considered as shortcoming of GeM.

(e) Purchase of goods above Rs 50,000/- and upto Rs 30,00,000/-

(i) In MES the Competent Authority may exercise the financial powers

as given in Para 5 (a) (i) of table `B' of RMES amended from time to time.

Purchasers/Buyers are authorized to purchase the items/stores through

GeM seller having lowest price amongst the available sellers of at least

three different manufacturers on GeM, meeting the requisite quality,

specifications and delivery period. The tools for online bidding and online

reverse auction available on GeM portal can be used by the Buyer if

decided by the competent authority. The procuring authorities will

certify the reasonability of rates.

(ii) In MES as per policy, the stores/items are required to be procured

from the sellers approved by the respective Chief Engineer Command and

available on GeM portal meeting the requisite quality, specifications and

delivery period. The tool for online bidding and online reverse auction will

be utilized by the Buyer for getting competitive rates among approved

sellers. The procuring authorities will certify the reasonability of rates.

(f) Purchase of goods above Rs 30,00,000/-. The may be resorted to

after getting prior approval of E-in-C's Branch, New Delhi. Stores Purchasers/

Buyers are authorized to purchase the items/goods through the seller having

lowest price meeting the requisite quality, specifications and delivery period, after

mandatorily obtaining bids using online bidding or reverse auction tool provided

on GeM. The procuring authorities will certify the reasonability of rates.

(g) The market prices of various goods and services as offered by sellers on

GeM and offer prices for getting best competitive rates, GeM recommends use of

bidding/reverse auction tool available on GeM Portal.

14. Buying from Single OEM. If the buyer wants to buy any specific OEM's

product, then PAC (Proprietary Article Certificate) buying can be opted in administrative

filter after obtaining necessary approval of competent authority and can buy without

comparing products from two different OEM's.

Contd...7/-

-7-

15. Procedure to make Procurement on GeM:-

(a) Buyer to log in to GeM portal.

(b) Select and cart the product as per requirement through application of

various filters.

(c) Buyers should apply filter carefully to define their requirement without

effecting the competitiveness.

(d) Select the proper buying method as per GFR 149 as under:-

(i) Direct Purchase.

(ii) Bidding.

(iii) Reverse Auction.

(e)

Create demand and process order.

(f)

Upload fund availability certificate.

(g)

Generate contract order & sanction order.

(h)

Supply order is placed. Seller to deliver goods and services to consignee

within stipulated delivery date and generate online invoice on GeM portal.

(j) Consignee to log in' after receipt of items.

(k) Generate Provisional Receipt Certificate (PRC) within 48 hours of receipt

of stores.

(I) Generate Consignee Receipt and Acceptance Certificate (CRAC) within

10 days of receipt of stores.

(m) After Generation of CRAC, the payment may be made to seller within ten

days. Therefore buyer will process the bill and forward to paying authority for time bound payment.

16. Creation of E-bid & Reverse Auction (a) E-bidding. As decided by Competent Authority, E-bid may be created to

procure the goods and services on GeM portal. In E-bid, buyers may add

additional specifications as per requirement and may notify the delivery period as

per their requirement. The E-bid will be valid for minimum period of 7 days. The

time for opening of bids and specifications, delivery period, other conditions may

be added and option to proceed to check is clicked. OTP generated on required

NIC mail ID/mobile No. Verify OTP and bid is created. Firstly, technical bid

opened on prescribed time and date. Thereafter, TEC is carried out and financial

bids are opened on receipt of L1 vendor, meeting requires specifications and

other terms and condition. Supply order is created on GeM portal.

Contd...8/-