Solar PV and Wind PP Support Programme

Location:

FYR Macedonia

Business sector:

Power and energy

Funding source:

SFEBSF - EBRD Shareholders SF

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

09 Feb 2018

Closing date:

05 Mar 2018   at  23:59   London

Access eSelection

Assignment Description:

The European Bank for Reconstruction and Development (“EBRD” or the “Bank”) and the Government of FYR Macedonia (the Country) agreed on cooperation to support to authorities on the regulatory and legal aspects of a programme to support solar and wind power in the Country.

In the recent period, the Country saw a substantial increase in the implementation of power plants from independent power producers (IPPs). Such private power generation projects were supported by administratively determined feed-in tariff, and included mainly small hydro-power plants (SHPPs), but also few small solar PV plants (around 1 MW) and micro solar PV plants (below 100 kW). There is only one wind power plant owned by AD ELEM, with 36.8 MW installed capacity.

The Government intends to review and expand the capacities allocated to solar and wind, according to the increased interest in solar and wind developments from private investors.

The Government has drafted a New Energy Law that is expected to be approved by the Parliament by April 2018. The new Energy Law is expected to establish the overarching framework for the competitive procurement of future renewable energy projects with support provided through feed in premiums.

Given the Country’s high level of electricity import dependence and relatively high level of share of coal based power generation, the Bank has sought to assist the country to diversify generation sources and decrease electricity import dependence with solar and wind being the two priority renewable sources to be developed in the short and medium term.

The Government of FYR Macedonia needs external advice to ensure best practice implementation of the regulatory and legal aspects of a program to support solar and wind power in the Country. The TC will provide base ground for future Solar and Wind power plants development and programs, as well as greater economic efficiency and increased sustainability.

The assignment objectives include:

1) Coordinate and cooperate with the Government and other consultants in relation to the new Energy law and related bylaws, which are under development;

2) Develop secondary legislation, including (i) Power purchase agreement for solar and wind projects and (ii) Template agreements for connection to the grid;

3) Provide implementation support to authorities for the support programme for Solar and Wind by Assistance to implement tender scheme.

Reflecting the objectives of the assignment, the Consultant will need to design and implement a competitive procurement scheme through the following tasks:

1) Task 1: Coordinate and cooperate with the Government and other consultants in relation to the ongoing reforms in the energy sector;

2) Task 2: Development of secondary legislation and regulatory rules needed to implement recommendations for the support programme. In all cases, the Consultant should ensure that the secondary legislation and regulatory rules (as well as the recommendations on regulatory options) lead to a bankable support framework (e.g. currency indexation, credit-worthiness of offtaker, etc.).

a. Examples of secondary legislation that may be required (the full list of secondary legislation will be based on the assessments undertaken above) include:

i. Power purchase agreement for solar and wind projects

ii. Template agreements for connection to the grid

3) Task 3: Assistance to implement tender scheme:

1) Based on the recommended form of the competitive process (e.g. auction, tender, etc.) the provision of support for administering the process (e.g. if required, provision of IT infrastructure).

2) Assistance to the authorities in preparing the site for licencing and permitting.

3) Preparation of bidder information materials on the basis of documentation and guidelines provided by the Government.

4) Assistance in drafting tender documents (pre-qualification requirements, location specifications, model PPA, etc.), drawing on information already included in the EBRD Guidelines.

5) Assisting the Government in a dissemination strategy.

6) Undertaking the assessment of tenders.

7) Assistance to authorities during selection and negotiations.

Assignment Start Date and Duration: The assignment is expected to start end of April 2018, and has an estimated overall duration of 12 months.

Cost Estimate for the Assignment: EUR 500,000.00 (exclusive of VAT). Subject to availability of funding, the performance of the selected Consultant and the specific needs of the Bank the Assignment may be extended beyond the current scope.

The Consultant must determine whether any VAT would be chargeable on the services and the basis for that determination, without taking into consideration the Bank’s special status as an IFI and state this to the Bank in their response to Notification of Assignment. To the extent that a consultant incurs input VAT on goods and services purchased in connection with the provision of services (e.g VAT on airline ticket) which is not otherwise recoverable by the consultant from the local tax authority, the gross cost to the consultant of such expenses shall be treated as a reimbursable expense.

Funding Source: It is anticipated that the contract will be financed through the EBRD Shareholder Special Fund.

Eligibility: There are no eligibility restrictions.

Consultant Profile: Corporate services are required. The Consultant will be a firm or a group of firms preferably with previous project experience related to:

1) Expertise in power sector with experience in the:

o design of support schemes for renewable energy – in particular, support schemes that use a competitive process to determine the level of support for, and the selection of renewable energy projects;

o The integration of renewable energy into electricity markets;

o Relevant references in energy sector in South East Europe, as well as Balkan region in execution in the projects financed by IFIs;

o Experience in the projects where the beneficiary are the government in the region of SEE;

o Experience in the energy sector in Macedonia should be considered as advance.

2) Procurement expertise, with experience of drafting tender documentation and support of implementation of tender process in the electricity sector in South East Europe.

The Consultant’s expert team is expected to include key experts as follows:

Key Expert 1 - Team Leader preferably with at least 15 years’ experience in project management in the projects related to energy power sector, which should have proven experience of leading a team of experts and be able to demonstrate adequate project management skills, managerial skills, team leader experience. The Team leader should also possess excellent knowledge of English for coordination and report writing purposes.

Key Expert 2– Renewable energy policy expert, with experience at least 5 years of designing renewable energy support schemes (in particular, competitive bidding processes);

Key Expert 3 – Regulatory expert, with experience of at least 10 years of the regulation of the electricity sector, including the integration of renewable energy in electricity markets and systems;

Key Expert 4 – RES Technical expert, with experience at least 5 years of the technical characteristics of solar PV and wind technologies (for example, conducting site assessments);

Key Expert 5– Legal expert, with experience at least 10 years of drafting energy sector legislation and regulations relating to renewable energy (for example, power purchase agreements). This should include international and local expertise;

Key Expert 6 – Procurement expert, at least 10 years of experience in procurement process of projects (drafting tendering documentation, evaluation, contract management, claim management etc.) in electricity sector.

All experts are expected to have strong communication skills and geographical experience in the Western Balkans, South-eastern Europe and Central and Eastern Europe. All experts should be fluent in English.

Submission Requirements: In order to determine the capability and experience of consultants seeking to be shortlisted for this assignment, the information submitted should include the following:

1. Company/group of firms’ profile, organisation and staffing (max. 2-4 pages).

2. Details of previous project experience or similar assignments particularly undertaken in the previous five years, including information on contract value, contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided (if different from duration) , main activities, objectives.

3. CVs of key experts who could carry out the Assignment detailing qualifications, experience in similar assignments, particularly assignments undertaken in the previous five years, including information on contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided, assignment budget, main activities, objectives.

4. Completed Consultant Declaration Form and Contact Sheet, the template for which is available from the following web-link:

http://www.ebrd.com/pages/workingwithus/procurement/notices/csu/contact_sheet.doc.

The above information should not exceed 25 pages excluding CVs and the Consultant Declaration Form and Contact Sheet.

The complete expression of interest (including CVs, Consultant Declaration and Contact Sheet) should be submitted, in English electronically through e-Selection, to reach the Bank not later than the closing date. The expression of interest shall be one file (pdf). The EBRD reserves the right to reject applications of firms submitting more than one file. Only if the permissible file size is exceeded (4MB), the Consultant may split the expression of interest into further files.

The EBRD’s Contact Person:

Larissa Gosling

European Bank for Reconstruction and Development

One Exchange Square

London EC2A 2JN

Tel: + 44 20 7338 6765

E-mail: goslingl@ebrd.com

Notes:

1) Following this notification a shortlist of qualified consultants will be formally invited to submit proposals.

2) The shortlisting criteria are:

i. Firm’s previous experience in design and implementation of competitive procurement procedures in relation to RES - 40%

ii. Firm’s previous experience in preparing secondary legislation in relation to the energy sector - 10%

iii. Team of experts - 50%