EMD & SD in Stores - Differences between

                                        

                                      Differences between EMD & SD in Stores 

	EMD  Earnest Money Deposit	SD Security Deposit
Calculated on	Tender Value	Contract value
Rounded off to nearest higher	Rs. 10	Rs. 10
Up to Rs. 25 Lakhs	Nil	Nil
Rs. 25 Lakhs to Rs. 50 Crore	2%	5%
	Maximum is Rs.20 Lakhs	Maximum is Rs. 50 Lahs
Above Rs. 50 Crore	Fixed Rs. 50 Lakhs	Fixed Rs. 1 Crore (Global Tenders - No ceiling)
Valid for	Final bid validity period plus 45 days	Date of completion of all contractual obligations plus 60 days
If not submitted	Offers shall be summarily rejected	The EMD shall be forfeited and case be dealt with as that of withdrawal of offer by the Tenderer as per extant instructions
	EMD  Earnest Money Deposit	SD Security Deposit
Forfeit	If withdraws the Offer within validity  or  If not submit the balance SD within 21 days in case of awarding the Stores contract	In case of failure by the Supplier to meet deliveries for any lot, Railway may cancel the Contract for default part by forfeiting SD commensurate to that lot
Exempted cases	1.Up to Rs. 25 Lakhs  2. Govt Depts 3. Other Railways 4. Indian Ordnance factories 5. Railway PSUs 6. MSEs	1.Up to Rs. 25 Lakhs  2. Govt Depts 3. Other Railways 4. Indian Ordnance factories 5. Railway PSUs
Exempted for Single Tender / PAC items	Hqrs:  1. Personal Approval of TAA, not below the level of PCMM. 2. Finance concurrence not required 3. Decided on case to case basis  4. Suitably incorporated in the Tender conditions Field Units:  1. Personal approval of TAA, but not below the SAG level  2. Finance concurrence is required 3. Decided on case to case basis 4. Suitably incorporated in the Tender conditions	Hqrs:  1. Personal Approval of TAA, not below the level of PCMM. 2. Finance concurrence not required 3. Decided on case to case basis  4. Suitably incorporated in the Tender conditions Field Units:  1. Personal approval of TAA, but not below the SAG level  2. Finance concurrence is required 3. Decided on case to case basis 4. Suitably incorporated in the Tender conditions
Debarment - exemption in case of False declaration	6 Months	6 Months

Note: 

1. In exceptional cases, Railways reserves the right to increase the upper ceiling of Security Deposit, up to 10% of the contract value.
2. SD clause is applicable - Risk purchase clause shall not be applicable 
3. SD clause is not applicable - Risk purchase clause shall be applicable 

 

LD – Liquidated damages for delayed supply

 

• 0.5 % of the price of stores per week or part of the week of delay

 

• Upper limit – 10% of the value of contract (irrespective of delays)

 

end