SPE60519R0217_Questions&Answers.pdf

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Attached to
INDOPACOM (PC&S) 1. 6X Solicitation Federal contract opportunity
Solicitation number
SPE60519R0217
Issued by
Defense Logistics Agency Energy

About this file

This document provides questions and answers related to solicitation SPE60519R0217 for petroleum products support in the Indo-Pacific region. The solicitation seeks requirements-type fixed price contracts with economic price adjustments for gasoline, diesel, and aviation fuel to support military exercises in various locations including Malaysia, Indonesia, Thailand, the Philippines, and Japan from December 2019 through November 2023. Offerors are advised that quantities listed are estimates and final volumes may differ, and that Platts will be used to establish weekly pricing with the base reference date of January 14, 2019. The document clarifies that blended diesel must meet specifications, fuel will be stored in mobile containment, and truck-to-truck transfers are prohibited in Japan due to fire laws. The target award date is November 1, 2019, and offers are due by June 14, 2019.

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Attachment_B_FINAL_ESCALATOR_Updated_Base_Reference_Date.pdf PDF
Attachment_C_OFFEROR_SUBMISSION_PACKAGE.docx DOCX document
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Attachment_A_SCHEDULE.pdf PDF
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Attachment_C_OFFEROR_SUBMISSION_PACKAGE.docx DOCX document
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Solicitation SPE60519R0217 Q&A

INDOPACOM (PC&S) 1.6X Solicitation - SPE60519R0217

Questions/Answers

06 June 2019

Note: The following are responses to questions submitted on or before the Q&A deadline of 06/04/2019:

Q1. Volume and Frequency?

A1. As stated on page 6 of solicitation SPE60519R0217, the type of contracts awarded of this solicitation will be Requirements-Type Fixed Price with Economic Price Adjustments. Please read FAR 16.503 – Requirements Contracts for more information. The requirements under this solicitation is for support of military exercises in various countries in the Asia Pacific. Per Clause B1.05 SUPPLIES TO BE FURNISHED (OVERSEAS PC&S) (ALASKA/HAWAII) (DLA ENERGY JAN 2012)(on page 12 of the solicitation) “The quantities shown are only best estimates of required quantities. Unless otherwise specified, the total quantity ordered and required to be delivered may be greater than or less than the quantities stated in Attachment A - The Schedule.” Please read Section B of the solicitation for more details.

Q2. Formula Price recommendation

A2. The predominant publication used for petroleum product pricing is Platts. Platts provides consistent fuel pricing across different region for the petroleum products used under solicitation SPE60519R0217. See website: https://www.spglobal.com/platts/en for more details.

Base Reference Price and Date

Base market price –Base Reference Price (BRP) to be escalated weekly on Mondays based on previous weekly average (Monday through Friday excluding any days prices are not published) of the applicable Platts reference’s daily midpoint prices. See escalator spreadsheet Attachment B-FINAL ESCALATOR.

Base reference prices (provided by DLA Energy) represent an overall “snap shot” view of petroleum prices in a particular market or region.

These are “raw data” fuel prices that do not include vendor overhead, transportation or other costs.

Potential offerors should carefully calculate, examine and include all costs prior to submitting an offer.

The base reference date for all items issued under Solicitation SPE60519R0217 is 14 Janauary2019.

Price Computations -Price should include the cost of the fuel, vendor differential plus all applicable taxes and fees and or Levies that are chargeable to the United States Government.

https://www.spglobal.com/platts/en

Tax and Fee Information –Offerors shall not include in their offer prices, including in the prices of any subcontractor, any taxes from which the United States Government is exempt. See DFARS 252.229-7000, INVOICES EXCLUSIVE OF TAXES OR DUTIES (JUN 1997) for more information.

If the United States Government is exempt from paying any taxes levies and or fees, it shall not be included in the offer price.

It is the responsibility of the vendor to know the appropriate taxes, fees and levies.

Q3. Credit Terms

A3. Upon receiving a contract, credit terms are NET 30.

Q4. Existing Supplier

A4. Please refer to website: https://cis.energy.dla.mil/energy_cis/ for DLA contract to include vendor/supplier information.

Q5. For the Indopac solicitation SPE60519R0217, Is the 2,000 UoM of Gasoline a total volume for the 4 year period or is that a monthly total?

A5. Unless otherwise specified, the total quantity ordered and required to be delivered may be greater than or less than the quantities stated in Attachment A - The Schedule. Please see Q1 for more details.

Q6. For HSD (Diesel) 2-D grade, In Indonesia they have Regulation that the diesel must be blended 20% with FAME, do you need the pure HSD 2-D grade or we can supply according Indonesia regulation.

A6. A 20% FAME blend is non-compliant with the specification requirements of the solicitation and not allowed.

If the supplier would like to pursue potentially providing a product with 20% FAME, they will need to submit an exception request to Contracting. See clause C16.18-2 FUEL OIL, DIESEL (OCONUS) (PC&S and Bulk) (DLA ENERGY NOV 2018) in the solicitation page 20-21 for more details on exception.

Q7. As for the aviation fuel, this is for private aviation correct?

A7. The requirements under this solicitation is for support of military exercises in various countries in the Asia Pacific. The fuel is not for private aviation. We do not know exactly the (aviation) equipment the fuel is going in, we only know the product that’s being requested in the solicitation.

Q8. Will the aviation fuel be deposited into tanks below or above ground? Or storages?

A8. Fuel will not be deposited in tanks below or above ground. Fuel may be deposited in mobile storage containment such as DRUMS, Truck to Truck transfer and Bladders of various quantities.

https://cis.energy.dla.mil/energy_cis/

Q9. Do you have a target date for award. Understand that the Delivery period begins in Dec 2019.

A9. Our target date for award is 01 November 2019.

Q10. Can you confirm if truck to truck transfer in Japan is authorized? We understand that there may be some regulatory issues with this.

A10. Fire laws in Japan prevent Japanese commercial fuel truck drivers from moving product from one wheeled vehicle to another. Please refer to "Japan Fire Service Act” at the link provided below for more details.

http://kaigai-shobo.jp/pdf/Fire_Service_Act_eng.pdf http://kaigai-shobo.jp/pdf/Fire_Service_Act_eng.pdf

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