Amman Street Lighting Project - PPP Advisory

Procurement ref:




Business sector:

Municipal and environmental infrastructure

Funding source:

EU Neighbourhood Investment Facility

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

17 Jul 2015

Closing date:

14 Aug 2015   at  14:00   Amman

Executing Agency (Client):
Greater Amman Municipality (GAM, the Client or the City)
Greater Amman Municipality
City Hall, Ras -Al Ein
Omar Matar Street
P.O.Box 132 Amman

The Client Contact Person:
Eng. Ebtihal Aldayyat, Head of International Tenders Branch
City Hall, Ras -Al Ein
Omar Matar Street
P.O.Box 132 Amman

EBRD Contact Person:
James Yoo
European Bank for Reconstruction and Development
One Exchange Square
London EC2A 2JN
Tel: + 44 20 7338 6369
Fax: +44 20 7338 7451

Project Description:
GAM has approached the European Bank for Reconstruction and Development (the “Bank” or the “EBRD”) with a request to assess the possibility of financing an energy efficient street lighting modernisation programme along the major street network under a Public Private Partnership (“PPP”) structure (the “Project”). The Project is expected to be structured based on an ESCO business model, likely in the form of a shared savings energy performance contract (“EPC”). Given the innovation and scalability of the Project, it will be carried out in a phased approach.

This Assignment will concentrate on Phase 1 of the Project, which includes the upgrading of around 25,000 light fixtures consisting of mostly 250W HPS lamps, and the implementation of associated operation, maintenance, and control systems. All light fixtures of Phase 1 are directly under GAM's control. The Project is envisaged to decrease the electricity consumption by up to 50 per cent, and subsequently lower the electricity costs of currently JOD 9 million per annum. In addition, GAM may implement solar panels as part of the system in certain areas.

The Project will be assessed and further scoped during external technical and financial due diligence, carried out in parallel to this Assignment.

The Project’s tender process has been launched and expressions of interest (“EOI”) were received end of March 2015. Subsequently, the evaluation of the received EOIs and shortlisting of pre-qualified bidders is expected to be finalised by fall-2015. Given that PPPs - and especially ESCO models - are not widely common in Jordan, GAM is seeking a consultant (the “Consultant”) to provide support throughout the tender process (the “Assignment”). The tender process of concessions will be led by GAM (the “Tendering Authority”).

Assignment Description:
The Client now intends to engage a Consultant to provide technical assistance to the Tendering Authority for the elaboration of all tender documentation for the Project, and support the City throughout the tender process, including negotiation and award of a PPP Agreement, preferably structured as an ESCO/ EPC business model. The tender process should foster competition and result in a well-balanced PPP contract / EPC. The Consultants will assist the City to secure the PPP option that will result with the optimal financial benefits for the City. 

The tasks to be carried out for the Assignment will involve discussions with the City and relevant government units responsible for PPP and other related parties, elaboration of documentation, and dialogue and promotion of the PPP/EPC/ESCO tender process. The Consultant will provide a full and complete package of advice concerning legal, financial and technical aspects of the Project. This comprises tender design, and bidding support through to financial close, including and without limitation the following tasks:

• Review Technical Report on Public Lighting Activities and Financial and Economic Report;
• Proposed set-up of the legal structures of the new street lighting solution, based on legislation of PPPs in Jordan, Technical Report on Public Lighting Activities, Financial and Economic Report, and discussions with the bidders;
• Preparation of the PPP/EPC/ESCO full tender documentation and draft contract;
• Assist GAM in the approval process as per Law Number 31 of 2014;
• Assist along the whole tender process in close collaboration with the Bank funded procurement consultant;
• Assistance with financial closure.

The above tasks will include discussions with the Tendering Authority, the Council (as needed), and other relevant stakeholders, such as other consultants, service users, JEPCO, and Public Private Partnership Unit (“PPP Unit”) in coordination with GAM. A skilful use of communications to both internal and external stakeholders will be needed, in order to prepare an acceptable tender, and promote the PPP tender process.

Status of Selection Process: Interested firms or group of firms are hereby invited to submit expressions of interest.

Assignment Start Date and Duration: The Assignment is expected to start in Q1 2016 and has an estimated overall duration of 12 months.

Cost Estimate for the Assignment: EUR 400,000 (exclusive of VAT). Subject to availability of funding, the performance of the selected Consultant and the specific needs of the Client the Assignment may be extended beyond the current scope.

The Consultant must determine whether any indirect taxes/VAT are chargeable on the proposed services and state the basis for such. If any indirect taxes/VAT are payable, the Client will have to pay indirect taxes/VAT element to the services directly to the Consultant unless otherwise agreed.

Funding Source: The contract will be financed by the EU Neighbourhood Investment Facility.

Eligibility: There are no eligibility restrictions.

Consultant Profile: Corporate services are required. The Consultant should be a firm or group of firms preferably with previous project experience related to ESCO business models, EPCs and street lighting projects as well as other municipal infrastructure PPP projects in the past five years, and should be well-versed in planning and regulatory approaches in the public infrastructure and energy sector.  Additionally, the Consultant will have an excellent knowledge of the public infrastructure and energy industry internationally in the Middle East region, the legal framework in Jordan for infrastructure services, and an understanding of PPP, ESCO and EPC contracting and risk assessment for both the public and private sector.

The Consultant’s expert team is expected to include the following key experts:

Key Expert No 1: PPP, EPC, ESCO, and infrastructure concessions expert
Key Expert No 2: Street lighting expert;
Key Expert No 3: Electrical engineering expert;
Key Expert No 4: PPP/EPC Procurement Expert;
Key Expert(s) No 5: Infrastructure insurance advisors (or access to such advisors);
Key Expert No 6: Legal experts with specific understanding of the international and Jordanian PPP legal framework, as well as demonstrated experience with international infrastructure concession contracts. 

All experts shall have demonstrated design and project management experience preferably in Jordan. The Consultant will preferably include experts in the project team with good Arabic language skills.

Submission Requirements: In order to determine the capability and experience of Consultants to be shortlisted, 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:

The expression of interest shall not exceed 25 pages (excluding CVs Consultant Declaration and Contact Sheet). 

The complete expression of interest (including CVs, Consultant Declaration and Contact Sheet) should be submitted, in English via email (pdf) to the Client’s contact person, to reach the Client not later than the closing date. One additional copy shall reach the Bank’s contact person by the same due date. The Expression of Interest shall be one file (pdf). The Client reserves the right to reject applications of firms submitting more than one file. Only if any limitation on the permissible file size is exceeded, the Consultant may split the expression of interest into further files.

Important Notes:

1. Following this invitation for expressions of interest, a shortlist of qualified firms will be formally invited to submit proposals. Consultant selection and contracting will be subject to availability of funding.

2. The shortlist criteria are as follows:(a) Firm’s previous project experience in ESCO business models, EPCs and street lighting projects as well as other PPP projects in the past five years (35%)
(b) Firm’s previous project experience in the region and with municipal counterparts (25%)
(c) CVs of Key Expert No’s 1-6 in accordance with the Consultant Profile (30%)
(d) Arabic language skills (10%)