Package 13 Sp. Rukis Tj. Kemuning AWP-2

Western I ndonesia National Roads I mprovement Project 5 The Contract Package is procured thru the National Competitive Bidding NCB using the method of e-procurement system of procuring the works. As originally scheduled, the pre-bid conferencemeeting and site visit pushed thru on December 5, 2014, however, the bid opening was rescheduled from December 18, 2014 to December 29, 2014 in Bengkulu. There were seven 7 applicant bidder who submitted their bids on December 29, 2014 and bids were opened on the same day. Six 6 bidders are sole entity contractors, while the other bidder is in joint venture with another contractor. The applicant bidders who submitted their bids are as follow : • PT. Multi Structure JO PT. Rodate : Rp. 90,287,440,000 • PT. Jaya Konstruksi, MP : Rp. 90,800,000,000 • PT. Yasa Patria Perkasa : Rp. 90,850,000,000 • PT. Hutama Karya Persero : Rp.109,292,800,000 • PT. Bumi Karsa : Rp. 86,912,075,000 • PT. Waskita Karya Persero : Rp. 86,517,470,600 • PT. Istaka Karya Persero : Rp. 90,100,660,000 The lowest canvassed bid is submitted by PT. Waskita Karya Persero with an amount of Rp. 86,517,470,600 which is 6.06 below the approved Owner s Estimate of Rp. 92,097,356,000, while the 2 nd lowest bid is quoted by PT. Bumi Karsa with an amount of Rp. 86,912,075,000 or 5.63 lower than the Owners s Estimate. Bid Evaluation Report is under preparation and finalization by POKJA and expected to be finalized on January 19, 2015.

6. Package No.19 Lais Bintunan AWP-3

This sub-project is under implementation schedule AWP-3. The project roadline is located in the Province of Bengkulu having an approximate length of 10.80 kilometers. The Contract Package is procured thru the National Competitive Bidding NCB using the method of e-procurement system of procuring the works. As originally scheduled pre-bid conferencemeeting and site visit pushed thru on December 5, 2014, however, the bid opening was reschedule from December 18, 2014 to December 29, 2014 in Bengkulu. There were three 3 applicant contractors who submitted their bids on December 29, 2014 and bids were opened on the same day. All the three 3 bidders are sole entity Contractors. The applicant bidders who submitted their bids are as follows : • PT. Maras Bangun Persada : Rp. 32,929,110,000 • PT. Rodatekindo Purajaya : Rp. 33,689,459,000 • PT. Sumber Tratindo Utama : Rp. 31,758,052,000 The lowest canvassed bid is submitted by PT. Sumber Tratindo Utama with an amount of Rp. 31,758,052,000 which is 11.18 below the approved Owner s Estimate of Rp. 35,756,587,000, while the 2 nd lowest bid is submitted by PT. Maras Bangun Persada Western I ndonesia National Roads I mprovement Project 6 in the amount of Rp. 32,929,110,000 or 7.91 lower than the Owners s Estimate. Bid Evaluation Report is under preparation and finalization by POKJA and expected to be finalized on January 19, 2015. Procurement of Other Civil Work Contract Package The present status of other Contract Package which is about to be put on tender is as follow :

1. Package No. 15 Sibolga Batas Tapsel AWP-3

This sub-project is included in the implementation schedule AWP-3. The project road is 36 kilometer long and located in the Province of Sumatera Utara. The Bank agreed on DGH to pilot the use of MPW s full e-procurement system, using the World Bank ICB Standard Bidding Documents SBD for procurement of works after incorporating in the ICB bidding documents for this package the changes required for use e-procurement system. The bidding documents are on-going finalization. It is expected that DGH can invite bids within this coming month of January 2015. 1.5 Procurement of Three 3 Consultancy Packages Under Category 3 of the Loan Agreement, Part 3 : Road Sector Institutional Development

1. Technical Assistance for Capacity Building for Disaster Risk Reduction

Terms of Reference had been finalized with the incorporation of Bank s comments and formally submitted to World Bank for final review and issuance of No Objection Letter NOL. Standard Bidding Documents for ICB full e-procurement method is under final preparation. A practical demonstration to present how the e-procurement system for selection of consultants actually works in practice for the selection process is tentatively scheduled on the first working week of January 2015.

2. Technical Assistance for Capacity Building for Environmental Management

Consultant still to be procured.

3. Technical Assistance for Capacity Building for Road Safety

Consultant still to be procured.

1.6 Consolidated Update of the Progress of the Project

Other brief updates of the pre-construction activities of this reporting month are shown in Table 1.1.