Harakat-Afghanistan Investment Climate Facility Organization (HARAKAT-AICFO) REQUEST FOR PROPOSAL (RFP) CONSUMER PROTECTION ANALYSIS AND INVESTIGATION CONSULTANCY Date of Issue: Submission of Question Deadline: Submission Deadline: Submission Place: 08:00 A.M Local Time 10 April 2013 04:00 P.M. Local Time 17 April 2013 04:00 P.M. Local Time 1 May 2013 Harakat-Afghanistan Investment Climate Facility Organisation (Harakat-AICFO), Main Road Kart-e-Char, before Police Station Three, House # 26, Kabul, Afghanistan Contact Person: Chance Zilinga Head of Finance & Procurement chance.zilinga@harakat.af +93 (0) +93 (0) 752044000 +93 (0) 796 037 752 Email: Office: Cell phone: (Sealed proposals shall be clearly marked and received prior to the time and date specified above. Proposals received after said time and date will not be accepted or considered.) 1. Harakat Introduction: Harakat-AICFO is an independent, not-for-profit, Afghan managed organization that provides grant funds to the private sector, government and civil society to implement projects that reduce or remove institutional and regulatory barriers to doing business in Afghanistan. Harakat-AICFO aims to improve Afghanistan’s business environment by removing obstacles to private investment. Harakat does not implement or manage investment projects; it funds the activities of others, supporting the reform role of the Government and complementing the vision of the Private Sector. Harakat is an initiative of the UK’s Government’s Department of International Development (DFID) which provided the initial seed funding. Other multilateral, bilateral and private sector funders will augment this seed funding to support practical, result-oriented projects that promote the following 8 priority areas: 1. Financial markets that provide greater access to finance and affordable credit to all sizes of business, especially SME’s; 2. Streamlined and more effective regulations and creation of regulatory impact assessment systems; 3. Increased private sector investment in infrastructure, especially energy, water and transportation; 4. More equitable and efficient taxation and customs systems; 5. Strengthened property rights and more effective contract enforcement; 6. Higher workforce productivity and mobility and improved labour market regulation; 7. Strengthened competition policy that reduces anti-competitive practices; and 8. Improved capacity of government and institutions to tackle corruption. Our aim is to make a tangible difference to how people do business within the next 7 years. Given the targeted time period, we function along private sector lines. Harakat’s aim is not to replace the government, or civil society’s important work in reducing barriers to sustainable business. We support the positive initiatives already happening in various sectors, work in partnerships with existing and emerging key players, and provide funding so that more of these become reality. Harakat will use the available funds to identify and fund practical projects that will increase the attractiveness and ease of investing in Afghanistan. 2. Vision & Mandate of the Ministry of Commerce Industry –Competition Promotion and Consumer Protection Department The expectation from CPCPD is as under: 1. Ensure that fair competitive market structures are developed and maintained for all goods and services, in particular those regarded as essential to livelihood and economic activities in Afghanistan and the rights of consumers in the economy are well protected. 2. Take pro-active as well as reactive steps, to enhance competition and consumer awareness. 2 of 9 3. Play a coordination role with relevant Ministries, other government agencies, provincial and municipal authorities, and private sector representatives to ensure the development of robust competition in markets and of consumer protection across all spheres of the economy. 4. Provide accurate information on the evolution of market situations, so that prevention measures can be taken in advance of anticipated crisis situations. 5. Contribute to the growth of an environment in which competitive behaviour among producers, traders and consumers ensures the fullest contribution to the economic development of Afghanistan and to the welfare of its citizens. 6. Provide information to the private sector and the public, on rights and responsibilities under the provisions of competition and consumer laws. The following definitions apply throughout the RFP: Applicant: The entity that need technical assistance for the purpose of implementing the project, hereafter, the CPCPD (Competition and Consumer Protection Directorate) at the Ministry of Commerce and Industries is called the Applicant in this RFP. Donor: Harakat-Afghanistan Investment Climate Facility Organization (Harakat-AICFO), hereafter, Harakat-Afghanistan Investment Climate Facility Organization called the Donor in this RFP Grant: The total amount of money provided by Harakat-AICFO for the purpose of implementing the Project Project: Consumer Protection Analysis and Investigation Offerors: The entities are interested to provide the technical assistance for the Applicant and participate in the bidding process for the Project. 3. Project Background: The Government of Afghanistan currently lacks the policy, legal framework, mechanisms and processes to safeguard consumers against low quality, sub-standard and over-priced products. These gaps in government capacity have a negative impact on Afghan firms, consumers, the environment for investment, and on new business start-ups. There is little or no capacity to identify and respond to infringements of consumer rights, such as the sale of dangerous or sub-standard products, or false claims relating to products and services in the market place. The Consumer Protection Department of the CPCPD will be responsible for analysing and investigating infringements of consumer rights. Currently, there is lack of skills or systems for undertaking these responsibilities. The first consumer protection law for Afghanistan has been developed in 2012 and is currently awaiting passage through Parliament. 3 of 9 However, a consultancy firm will be appointed in the department to develop the Consumer Protection Regulations and Guidelines. The consultancy firm will also work side-by-side with the Director of the Consumer Protection Department and staff, to establish systems and protocols for investigation and analysis of infringements of consumer rights. 4. Objectives of Consultancy Services To Develop regulations/bylaws to the Consumer Protection Law To Develop Standard Operating Procedures and Investigation Procedures Manuals To Develop data collection protocols, procedure for CPCPD database To conduct relevant training programmes. Develop a training manual for the CPCPD staff on the implementation of developed regulations and procedures. (Conducting investigations that clearly defines roles responsibilities and limitations of each position) To develop a comprehensive research on the “State of Consumer Affairs” in the areas essential goods and fast moving consumer goods (FMCG). 5. Proposals to be Submitted Technical proposals are solicited from interested and qualified firms. The administrative and technical requirements as detailed throughout the Request for Proposal (RFP) will apply. Financial proposals shall be submitted along with technical proposals. Upon detailed evaluation of the proposals, one firm will be selected for contract negotiation. 6. Contract Funded By the Donor The contract will be funded by Harakat in accordance with the terms and conditions of its operations. 7. Instruction to Offerors a. Consultancy Title The Consultancy is called “Consumer Protection Analysis and Investigation” b. Examination of the Documents Offerors should carefully examine this RFP. It will be assumed that Offerors have done such inspection and that through examinations, inquiries and investigations they have become familiarized with local conditions and nature of problems to be solved during the execution of the Consultancy. Offerors shall address all items as specified in this RFP. Failure to adhere to this format may disqualify an Offeror from further consideration. Submission of a proposal shall constitute evidence that the Offeror has made all the above examinations and investigations, and is free of any uncertainty with respect to conditions that would affect the execution and completion of the Consultancy. c. Responsibility for Cost 4 of 9 Offerors shall be fully responsible for all costs incurred in the development and submission of the proposal or any cost incurred by Offeror prior to issuance of an agreement or contract. The Donor assumes no contractual obligation as a result of the issuance of the proposal request, the preparation or submission of a proposal by an Offeror, the evaluation of proposals, or final selection. d. Confidentiality The Donor will use its best efforts to preserve the confidentiality of any business proprietary or confidential information submitted by the Offerors, which is clearly designated as such by the Offeror. e. Language of Proposal All proposal documents shall be prepared and submitted in English. f. Proposal Submission Requirements The Cover Letter in the proposal must be addressed to: Mr. Chance Zilinga Head of Finance and Procurement Department (HFPU) Harakat- Afghanistan Investment Climate Facility (Harakat-AICFO) Address: Main Road, Kart-e Char, Before police station three, House # 26 Kabul, Afghanistan An original and two copies of the proposal must be received at the above address no later than 4:00 P.M. on April 30, 2013. Proposals may be either sent by mail, overnight courier, or hand-delivered. Upon timely receipt, all proposals become the property of Harakat. g. Packaging Each proposal must be sealed to ensure confidentiality of the information. The proposals should be individually wrapped and sealed, and labelled for the content including “Original” or “Copy number x”; the original and two copies should be collectively wrapped and sealed, and clearly marked for content. Harakat will not be responsible for premature opening of proposals not properly labelled. h. Authorized Signature The proposal must contain the signature of a duly authorized officer or agent of the Offeror empowered with the right to bind the Offeror. i. Offeror Qualifications Offeror shall submit evidence of relevant past experience and proof of similar delivered advisory and technical assistance services as required in Section 4. j. Prime Contractor Responsibility Offerors do not have the option of subcontracting all or parts of the services they propose. 5 of 9 k. Award An award resulting from this RFP shall be made to the best qualified Offeror based on both quality and cost, taking into consideration the evaluation factors set forth herein; however, the right is reserved to reject any and all proposals received and, in all cases, the Donor will be the judge as to whether a proposal has or has not satisfactorily met the requirements of this RFP. 8. Award Criteria Individual proposals will be initially evaluated by a Selection Committee from Harakat-AICFO which will come up with technically qualified firms. Qualified firms will be those firms whose technical proposals have met the minimum technical requirements and deemed capable of conducting the assignment. Companies whose bids meet the minimum technical requirements shall proceed to financial evaluation where their financial proposal will be opened and the companies will be ranked based on costs quoted. Harakat will proceed to negotiate a contract with the least priced technically qualified firm. If a satisfactory contract cannot be negotiated with the first least priced, technically qualified company, negotiation will be formally terminated. Negotiations shall then be undertaken with the second priced qualified Offeror and so forth 3.1. Key competencies Agency must have experience in undertaking similar assignments. The experience must be clearly demonstrated in the proposal and evidence attached. Agency should provide documents in the form of work order, completion certificates of completed assignments and any other documents to validate the experiences claimed. Agency should demonstrate its capability in similar assignments relating to consumer protection. Agency must demonstrate organizational capacity, such as financial and project management systems, to manage the assessment in a timely and per the expected quality. 3.2. Selection Criteria: The selection of the Contractor will be based on, but not limited to, the following criteria: Criteria Max. Points Relevant experience of the Offeror in consumer protection, in the context of Afghanistan. 30 Realistic work methodology and work plan with feasible and realistic timeframes to conduct the assessment. 30 Institutional capability of the Offeror to satisfactorily manage the Project 20 6 of 9 Proposal quality and level of details around the methodology, work plan, timeline, and eligibility details on the overall suitability of the Offeror for the assessment. CVs of all staff proposed for this assignment should be included in the proposal. 7 of 9 20 ANNEX 1. TERMS OF REFERENCE (TOR) The project will develop the needed consumer protection policy, standard operating procedure manuals, administrative systems, and help to establish a functional directorate, which will conduct investigations on consumer rights infringements in the market places. To this scope, the Competition Promotion and Consumer Protection Directorate is seeking to recruit a consultancy firm to establish systems and protocols for investigation and analysis of infringements of consumer rights, with the following responsibilities, (to which the offeror shall address their capacities, point by point) - - - - - After reviewing the Consumer Protection Law, develop a set of Regulations and by-laws, to implement the Consumer Protection Law and to further organize the work responsibilities of CPCPD. This task shall be executed in close coordination with Consumer Protection Advisor and/or with the CPCPD director, to ensure that the draft regulations suit the current Law’s principles and objectives, and those fits with the overall Afghan set of laws. Support the administration system through the development of organisational and operational processes and tools, including standard Operating Procedure and Investigation Procedure manuals, and protocols for data collection. Support the establishment and operation of a database which will be build by Harakat for consumer protection and competition matters, and serve as a knowledge management and information analysis tool for the CPCPD. It shall contain relevant documentation and information on priority sectors of the economy, price data for essential goods, and a log of consumer complaints and instances of infringements of consumer rights. Develop and establish a monitoring system for the activities of firms and for the work of the Consumer Protection Department Develop relevant training programme and a manual for the CPCPD staff on the newly developed regulations, with emphasis on informing the staff of its duties and functions under this set of regulations and bylaws, and on coaching the staff on the processes involved, when conducting investigations. Time allocations, which will be spent during office hours, at the Ministry of Commerce and IndustryCompetition Promotion and Consumer Protection Department, should be indicated in the proposal. 8 of 9 Deliverables S/No Description No. of deliverables 1 Regulations and by-laws to the Consumer Protection Law 1 Set 2 Standard Operating Procedure, Investigation Procedure manuals and 3 Manuals protocols for data collection. 3 Support the database establishment with data on prices of essential 1 goods and fast moving consumer goods Comprehensive research on the “State of Consumer Affairs” in the 1 areas essential goods and fast moving consumer goods 4 5 Conduct a concise training programme (and a manual) and develop 21 Staff of CPCPD a second manual for the CPCPD staff on developed regulations and procedures in conducting investigations, that clearly defines roles responsibilities and limitations of each position Methodology: In light of the description above, it is required that the Offeror explains their methodology considering the objectives, specific tasks and deliverables of project. Reporting Requirements: The Offeror must present a inception report, detailed monthly report plan for the life of the assignment, providing progress updates to Harakat, on the Consumer Protection Project Timeline: Offeror must provide a detailed timeline for the assignment. Harakat prefers the assignment to be completed within nine months from the date of award of the contract. However, the Offeror can propose a different timeline, considering the scope of work required for the assessment. Financial and Technical Proposal The Offeror must, in response to this RFP, provide Harakat with a separate financial and a technical offer, before the.... (date!) End. 9 of 9