(1) Along with the bid, the bidder shall submit a bid bond of at least 2.5% of the amount pledged in the bid in cash or equivalent to the amount issued by the commercial bank.
(2) The valid period of the bid security as per sub-rule (1) should be at least thirty days more than the valid period of the bid.
(3) If a bidder requests the local body that invites the bid to disclose that the bid bond issued by a particular commercial bank or financial institution is not acceptable, such body shall give him an immediate reply in this regard.
(4) The bid guarantee or performance guarantee issued by the foreign association must be counter-guaranteed by the commercial association within Nepal.
(5) The purchase agreement should be concluded within the validity period of the bid. If for some reason the purchase agreement cannot be concluded within that period, a letter will be sent to all the successful bidders to extend the validity period of the bid.
(6) According to the letter according to sub-rule (5), the bidder can decide whether to extend the validity period of the bid or not. The bid security of the bidder who does not extend the validity period of the bid will not be confiscated. Bidders who want to extend the validity period of their bids will have to submit a bid bond by extending the validity period accordingly. In this way, if the bidder does not submit the bid security after extending the period, the validity period of the bid will not be considered to be extended.
(7) In the event that a bidder's bid security is forfeited, the relevant local body shall claim the security deposit amount deposited by him before the agency that issued such security within the period of validity of the security.
(8) Bid security, other than the bid security, which must be forfeited according to the Procurement Act or this regulation, shall be returned to the relevant bidder within three days of signing the purchase agreement.