- Basic Policy on Procurement
- Procurement procedure
- Green Procurement
- Procurement Plan
- Suppliers Invited
Standard Procurement Procedure
1. Announcement of Procurement Plan
At the beginning of each fiscal year (1 April - 31 March), TEPCO makes public a list of products and quantities it plans to purchase through its Materials & Procurement Department.
2. Introducing the Products You Wish to Supply
When wishing to supply a product to TEPCO for the first time, you are requested to provide the Tokyo Electric Power Company's Procurement Reform (International Procurement) Group Ⅰ within the Materials & Procurement Department, located in the Head Office with copies of your company brochures, relevant business performance reports and financial statements, and product data, to introduce your company and its products.
3. Classification of Products to be Introduced
TEPCO classifies products which it purchases from vendors as either applicable or nonapplicable to its supplier registration system.
The supplier registration system applies only to those products designated as power equipment products. Each type of material, equipment, or supply item must be approved by TEPCO and registered before a purchase can take place.
4. Treatment of Products to which the Supplier Registration System Applies
Suppliers will be required to file an application for registration of each candidate power equipment product. Registration application forms and related information are available at the Materials & Procurement Department at the Head Office. The completed forms must be submitted together with accompanying materials related to your company's business performance, financial standing, and detailed information about the product to be registered.
New registration applications may be filed at any time.
Using the information provided in the application packet, TEPCO will evaluate your firm and product on the basis of its overall technical capabilities, the production system used in its manufacture, the quality control systems employed by your firm, its past delivery record and after- sales service, and scale and condition of operation to determine its suitability for use by TEPCO. During the evaluation, your company may be requested to provide additional materials, samples, or clarification of information in the application package.
Some of the products purchased by TEPCO on a regular basis are designated in advance, and must pass type-approval inspection in accordance with procedures and methods determined by TEPCO. Passing this inspection is a prerequisite for registration of these products.
Upon completion of the evaluation process, your company will receive written notification that the product in question has or has not been formally registered with TEPCO.
5. Treatment of Products to which the Supplier Registration System Does Not Apply
In the case of candidate products which are not subject to the supplier registration system, TEPCO will conduct a preliminary examination of your company's operating condition and of the product being offered.
If the product passes a preliminary examination, information on your company and the product will be filed in a special data base with the Materials & Procurement Department from which possible requests for estimates may be made by TEPCO.
6. Selection of Prospective Suppliers
When the Materials & Procurement Department receives a request for supplies or equipment from a section, it then selects prospective suppliers from registered vendors, in the case of products qualifying under the supplier registration system, or from the data base of vendors, whose products have passed a preliminary examination but are not subject to the supplier registration system.
7. Request for Estimates
Generally, TEPCO procures supplies and equipment through competitive estimates among nominees it selects. However, in cases where the desired product has special characteristics, e.g.., repairs, remodeling, parts replacement, replenishment, patent, or research and development considerations, when time is a factor or when only one potential vendor is available, only one supplier is requested to submit an estimate.
8. Submitting Written Estimates
Written estimates will be deemed valid only if they meet deadlines, and specifications and conditions outlined by TEPCO.
A written estimate which is based on specifications differing from those designated by TEPCO will be considered if those specifications satisfy functional and performance requirements.
The candidate submitting the lowest estimate will be notified. Other candidates will be notified upon request.
9. Fixing Contract Price and Awarding Contract
TEPCO will conduct contract price negotiations with the selected candidate, and a contract will be awarded after an agreement has been reached.
10. Concluding Contracts
As a rule, purchase contracts will be in writing. The contract, in principle, will be in accordance with the terms prescribed by TEPCO.
As necessary, however, contracts may be drafted based on mutually agreeable terms between TEPCO and the successful candidate.
11. Delivery, Inspection, and Payment
Products are subject to inspection upon delivery. Payment is usually made in the month following the month in which acceptance is made.
When necessary, such as where a long lead time is required to manufacture a certain kind of product, TEPCO will make special arrangements for payment in the form of a scheduled payment formula, etc.
- Parties of the contract will not divulge any information which the parties have agreed upon as being proprietary without written consent.
- Detailed information explaining the procurement procedure is available from the Materials & Procurement Department in the Head Office.
- During the procurement process, direct all inquiries to the Materials & Procurement Department in the Head Office.