Practice Note on Using Rated Criteria to Select Civil Works Contractors in the Transport Sector

Investment Rating - The report does not explicitly provide an investment rating for the industry Core Insights - The World Bank has established rated criteria as the default approach for new international procurement in the transport sector, effective from September 1, 2023, focusing on evaluating non-price attributes such as quality, risks, sustainability, and technical aspects [10][12] - Rated criteria have been widely used for over 30 years in public procurement, allowing for a true value assessment that emphasizes quality and risk management [11] - The guidance and tools for implementing rated criteria are included in the updated procurement regulations and standard procurement documents [12] Summary by Sections Establishment of Rated Criteria - Rated criteria are mandatory for evaluating bids in new international procurements, focusing on non-price attributes [10][12] - The number of rated criteria varies based on project complexity, risks, and borrower experience [12] Types of Evaluation Criteria - Different evaluation criteria are used to assess bids, including process criteria, qualification criteria, minimum requirements, and qualitative rated criteria [14][16] - The evaluation approach is informed by the Project Procurement Strategy for Development (PPSD) [15] Technical vs Financial Cost Weighting - The weighting of technical versus financial costs is determined based on specific project risks and opportunities, with equal weighting in high-risk, high-value procurements [28] Rated Criteria - Rated criteria assess quality, sustainability, and innovation in bids, focusing on the methodology prepared by bidders [29][30] - A minimum quality threshold may be established to ensure only bids meeting quality standards are considered [32] Prequalification and Selection Criteria - Prequalification is used to assess minimum qualification criteria on a pass/fail basis, while initial selection evaluates bidders against rated criteria [25][26] - The evaluation process includes assessing management capabilities, technical performance, and qualitative aspects of bids [19][21] Road Safety Management - The report emphasizes the importance of road safety management in contractor selection, incorporating standards like ISO 39001 and the FIA Safety Index [64][65] - A comprehensive road safety management plan is essential for evaluating bidders' capabilities in managing road safety during contract implementation [70][73]