Common use of National Industrial Participation (NIP) Programme Clause in Contracts

National Industrial Participation (NIP) Programme. 33.1 The NIP Programme administered by the Department of Trade and Industry shall be applicable to all contracts that are subject to the NIP obligation. 34.1 In terms of section 4 (1) (b) (iii) of the Competition Act No. 89 of 1998, as amended, an agreement between, or concerted practice by, firms, or a decision by an association of firms, is prohibited if it is between parties in a horizontal relationship and if a bidder (s) is / are or a contractor(s) was / were involved in collusive bidding or bid rigging). 34.2 If a bidder(s) or contractor(s), based on reasonable grounds or evidence obtained by the purchaser, has / have engaged in the restrictive practice referred to above, the purchaser may refer the matter to the Competition Commission for investigation and possible imposition of administrative penalties as contemplated in the Competition Act No. 89 of 1998. 34.3 If a bidder(s) or contractor(s), has / have been found guilty by the Competition Commission of the restrictive practice referred to above, the purchaser may, in addition and without prejudice to any other remedy provided for, invalidate the bid(s) for such item(s) offered, and / or terminate the contract in whole or part, and / or restrict the bidder(s) or contractor(s) from conducting business with the public sector for a period not exceeding ten (10) years and / or claim damages from the bidder(s) or contractor(s) concerned. Agreement THIS FRAMEWORK AGREEMENT is made on the …………………day of 2021 The Employer: The Department of Rural Development and Agrarian Reform – represented by the Head of Department or his delegated official. The Supplier: Registered office of the Supplier RECITALS: A. The Employer and the Supplier wish to enter into a framework agreement which will enable the Employer, from time to time, to enter into a Call-Off Contract or a series of Call-Off Contracts with the Supplier for some or all of the Services required by the Employer under this framework agreement from time to time. B. The terms and conditions of this Agreement shall apply to the Services to be provided by the Supplier under any Call-Off Contract. unless the context indicates “Agreement” this framework agreement, including all other documents referred to in this Agreement; “Agreement Commencement Date” the date for commencement of this Agreement;

National Industrial Participation (NIP) Programme. 33.1 The NIP Programme administered by the Department of Trade and Industry shall be applicable to all contracts that are subject to the NIP obligation. 34.1 In terms of section 4 (1) (b) (iii) of the Competition Act No. 89 of 1998, as amended, an agreement between, or concerted practice by, firms, or a decision by an association of firms, is prohibited if it is between parties in a horizontal relationship and if a bidder (s) is / are or a contractor(s) was / were involved in collusive bidding or bid rigging). 34.2 If a bidder(s) or contractor(s), based on reasonable grounds or evidence obtained by the purchaser, has / have engaged in the restrictive practice referred to above, the purchaser may refer the matter to the Competition Commission for investigation and possible imposition of administrative penalties as contemplated in the Competition Act No. 89 of 1998. 34.3 If a bidder(s) or contractor(s), has / have been found guilty by the Competition Commission of the restrictive practice referred to above, the purchaser may, in addition and without prejudice to any other remedy provided for, invalidate the bid(s) for such item(s) offered, and / or terminate the contract in whole or part, and / or restrict the bidder(s) or contractor(s) from conducting business with the public sector for a period not exceeding ten (10) years and / or claim damages from the bidder(s) or contractor(s) concerned. Document Reference: FAI8-21/22-0002A March 2021 Agreement THIS FRAMEWORK AGREEMENT is made on the …………………day of 2021 The Employer: The Department of Rural Development and Agrarian Reform – represented by the Head of Department or his delegated official. The Supplier: Registered office of the Supplier RECITALS: A. The Employer and the Supplier wish to enter into a framework agreement which will enable the Employer, from time to time, to enter into a Call-Off Contract or a series of Call-Off Contracts with the Supplier for some or all of the Services required by the Employer under this framework agreement from time to time. B. The terms and conditions of this Agreement shall apply to the Services to be provided by the Supplier under any Call-Off Contract. unless the context indicates “Agreement” this framework agreement, including all other documents referred to in this Agreement; “Agreement Commencement Date” the date for commencement of this Agreement; “Call-Off Contract” a call-off contract that has been executed by the Supplier and the Employer, which incorporates this Agreement and includes any attachments and any documents expressly referred to in that Call-Off Contract;

National Industrial Participation (NIP) Programme. 33.1 The NIP Programme administered by the Department of Trade and Industry shall be applicable to all contracts that are subject to the NIP obligation. 34.1 In terms of section 4 (1) (b) (iii) of the Competition Act, Act No. 89 of 1998, as amended, an agreement between, between or concerted practice by, by firms, or a decision by an association of firms, is prohibited if it is between parties in a horizontal relationship and if a bidder (sbidder(s) is / is/are or a contractor(s) was / was/were involved in collusive bidding (or bid rigging). 34.2 If a bidder(s) or contractor(s), based on reasonable grounds or evidence obtained by the purchaser, has / has/have engaged in the restrictive practice referred to above, the purchaser may refer the matter to the Competition Commission for investigation and possible imposition of administrative penalties as contemplated in the Competition Act, Act No. 89 of 1998. 34.3 If a bidder(s) or contractor(s), has / ) has/have been found guilty by the Competition Commission of the restrictive practice referred to above, the purchaser may, in addition and without prejudice to any other remedy provided for, invalidate the bid(s) for such item(s) offered, and / or and/or terminate the contract in whole or part, and / or and/or restrict the bidder(s) or contractor(s) from conducting business with the public sector for a period not exceeding ten 10 (10ten) years and / or and/or claim damages from the bidder(s) or contractor(s) concerned. Agreement THIS FRAMEWORK AGREEMENT This declaration is based on and replaces Municipal Bid Document 6.2 (MBD 6.2). The amendments made to the MBD 6.2 document have been necessary to clarify this standard document as it relates to local production and content in the Electrical and Telecom Cable sector. Before completing this declaration, bidders must study the General Conditions, Definitions, Directives applicable in respect of Local Content as prescribed in the Preferential Procurement Regulations, 2017 and the South African Bureau of Standards (SABS) approved technical specification number SATS 1286:2011 (Edition 1) and the Guidance on the …………………day Calculation of 2021 The Employer: The Department of Rural Development and Agrarian Reform – represented by the Head of Department or his delegated official. The Supplier: Registered office of the Supplier RECITALS: A. The Employer and the Supplier wish to enter into a framework agreement which will enable the Employer, from time to time, to enter into a Call-Off Contract or a series of Call-Off Contracts Local Content together with the Supplier for some or all of Local Content Declaration Templates [Annex C (Local Content Declaration: Summary Schedule), D (Imported Content Declaration: Supporting Schedule to Annex C) and E (Local Content Declaration: Supporting Schedule to Annex C)]. Documents listed herein are downloadable from the Services required by the Employer under this framework agreement from time to timedti’s official website, xxxx://xxx.xxxxxx.xxx.xx. B. The terms 1 General Conditions 1.1 Preferential Procurement Regulations, 2017 (Regulation 8) makes provision for the promotion of local production and conditions content. 1.2 Regulation 8(2) prescribes that in the case of this Agreement shall apply to designated sectors, organs of state must advertise such bids with the Services to specific bidding condition that only locally produced goods with a stipulated minimum threshold for local production and content will be provided by the Supplier under any Call-Off Contract. unless the context indicates “Agreement” this framework agreementconsidered. 1.3 Where necessary, including all other documents for tenders referred to in this Agreement; “Agreement Commencement Date” paragraph 1.2 above, a two stage bidding process may be followed, where the first stage involves a minimum threshold for local production and content and the second stage price and B-BBEE. 1.4 A person awarded a contract in relation to a designated sector, may not sub-contract in such a manner that the local production and content of the overall value of the contract is reduced to below the stipulated minimum threshold. 1.5 The local content (LC) expressed as a percentage of the bid price must be calculated in accordance with the SABS approved technical specification number SATS 1286: 2011 as follows: LC = [1- x / y] *100 Where x is the imported content in Rand y is the bid price in Rand excluding value added tax (VAT) Prices referred to in the determination of x must be converted to Rand (ZAR) by using the exchange rate published by Nedbank at close of business on the date of advertisement of the bid as required in paragraph 4.1 below. The SABS approved technical specification number SATS 1286:2011 is accessible on xxxx://xxx.xxxxxx.xxx.xx/industrial_development/ip.jsp at no cost. 1.6 A bid may be disqualified/declared non-responsive if this Declaration Certificate and Annex C (Local Content Declaration: Summary Schedule) are not submitted as part of the bid documentation. The following financial institutions are currently (as at 18 October 2016) approved for commencement issue of this Agreement;contract guarantees to the City: ABSA Bank Ltd. FirstRand Bank Ltd. Investec Bank Ltd. Nedbank Ltd. Standard Bank of SA Ltd. Barclays Bank plc. Citibank n.a. Credit Agricole Corporate and Investment Bank HSBC Bank plc. XX Xxxxxx Xxxxx Bank Societe Generale Standard Chartered Bank Compass Insurance Co. Constantia Insurance Co. Credit Guarantee Insurance Co. Guardrisk Insurance Co. Hollard Insurance Company Ltd. Home Loan Guarantee Co. Infiniti Insurance Limited Lombard Insurance Mutual & Federal Insurance Co. New National Assurance Co. Regent Insurance Co. Renasa Insurance Company Ltd. Santam Limited

National Industrial Participation (NIP) Programme. 33.1 The NIP Programme administered by the Department of Trade and Industry shall be applicable to all contracts that are subject to the NIP obligation. 34.1 In terms of section 4 (1) (b) (iii) of the Competition Act No. 89 of 1998, as amended, an agreement between, or concerted practice by, firms, or a decision by an association of firms, is prohibited if it is between parties in a horizontal relationship and if a bidder (s) is / are or a contractor(s) was / were involved in collusive bidding or bid rigging). 34.2 If a bidder(s) or contractor(s), based on reasonable grounds or evidence obtained by the purchaser, has / have engaged in the restrictive practice referred to above, the purchaser may refer the matter to the Competition Commission for investigation and possible imposition of administrative penalties as contemplated in the Competition Act No. 89 of 1998. 34.3 If a bidder(s) or contractor(s), has / have been found guilty by the Competition Commission of the restrictive practice referred to above, the purchaser may, in addition and without prejudice to any other remedy provided for, invalidate the bid(s) for such item(s) offered, and / or terminate the contract in whole or part, and / or restrict the bidder(s) or contractor(s) from conducting business with the public sector for a period not exceeding ten (10) years and / or claim damages from the bidder(s) or contractor(s) concerned. Document Reference: FAI8-21/22-0002 B March 2021 Agreement THIS FRAMEWORK AGREEMENT is made on the …………………day of 2021 The Employer: The Department of Rural Development and Agrarian Reform – represented by the Head of Department or his delegated official. The Supplier: Registered office of the Supplier RECITALS: A. The Employer and the Supplier wish to enter into a framework agreement which will enable the Employer, from time to time, to enter into a Call-Off Contract or a series of Call-Off Contracts with the Supplier for some or all of the Services required by the Employer under this framework agreement from time to time. B. The terms and conditions of this Agreement shall apply to the Services to be provided by the Supplier under any Call-Off Contract. unless the context indicates “Agreement” this framework agreement, including all other documents referred to in this Agreement; “Agreement Commencement Date” the date for commencement of this Agreement; “Call-Off Contract” a call-off contract that has been executed by the Supplier and the Employer, which incorporates this Agreement and includes any attachments and any documents expressly referred to in that Call-Off Contract;