Amendment status not verified — confirm the current text below against the official source.
Proposal security - (1) Each proposal should be accompanied by a proposal security equivalent to 1 % of the tentative total cost of the infrastructure project to which the proposal pertains, subject to a maximum of rupees one hundred crore. (2) The proposal security should be submitted by way of a demand draft for the requisite amount payable at Chandigarh in favour of the Board or by way of an unconditional and irrevocable bank guarantee for the requisite amount issued in the name of the Board by any Scheduled Bank. (3) The proposal security shall initially remain valid for a period of one year from the date of submission of the unsolicited proposal and during such period the Board shall make efforts to issue the notice of award to the selected bidder pursuant to accomplishing the reverse public bidding process in respect of the infrastructure project to which the unsolicited proposal pertains; provided however, the proposer shall be obliged to extend the validity of the proposal security for a further period of six months, if the Board is not able to issue the notice of award to the selected bidder within the initial period of one year. (4) The proposal security shall be returned by the Board to the person submitting the unsolicited proposal after the Board has issued the notice of award to the selected bidder and upon receipt of the performance security from such selected bidder as per the requirement of the concession agreement. (5) The proposal security of the person submitting the unsolicited proposal shall be forfeited by the Board if the person either backtracks from its unsolicited proposal at any stage prior to, during or after the public bidding process or refuses to sign the concession agreement or fails to submit the performance security as per the requirement of the concession agreement.