Belarus Water Sector Framework (BWSF) – Orsha Wastewater Project: Corporate Development Programme

Procurement ref:

49792

Location:

Belarus

Business sector:

Municipal and environmental infrastructure

Funding source:

Sida-EBRD Municipal Environment and Climate Programme Fund

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

05 Jan 2017

Closing date:

03 Feb 2017   at  16:00   Belarus time

Clarification Issued 9/01/2017:  Interested firms may apply and be selected for both  Corporate Development Programme and Project Implementation Unit Support assignments, however would be expected to provide different teams of experts.

Executing Agency (Client):
The Unitary Enterprise Orshavodokanal

The Client Contact Person:
Sergey Borisovich Sakovich
Chief Engineer, Orshavodokanal
85 Mogilevskaya Street, 211389 Orsha, Belarus
E-mail: orshavodokanal@mail.ru
Tel: +8 0216 228272
Fax: + 8 0216 546963

The EBRD Contact Person:
Larissa Gosling
European Bank for Reconstruction and Development
One Exchange Square
London EC2A 2JN
E-mail: goslingl@ebrd.com 
Tel: + 44 20 7338 6338
Fax: +44 20 7338 7451

Project Description:

The Unitary Enterprise Orshavodokanal (the “Company”) supported by the Government of Belarus (the “Government”) and the local administration (the “Rayispolkom”) approached the European Bank for Reconstruction and Development (the “EBRD”, or the “Bank”) with a request to finance the priority investments in reconstruction and modernisation of the existing wastewater treatment facilities (the “PIP” or the ”Project”) to ensure compliance with the national and EU standards for effluent quality treatment. This Project is part of a wider framework which mainly aims at reducing pollution of the Baltic Sea basin, and to some extent also to the Black Sea basin.

The Project objective is to rehabilitate the existing wastewater treatment plant to achieve full compliance of the water and wastewater services with the national and EU standards.

Assignment Description:

The Client now intends to retain a consulting company (the Consultant) to provide assistance for institutional building in the form of a Corporate Development Programme and a Social Support Programme as detailed below (the Assignment).

The Assignment consists of two main Parts:

Part I: Corporate Development Programme for the Company

The Consultant shall assist the Company to improve its commercial standing, service and environmental performance by supporting the identification and implementation and, where necessary, the establishment of the corporate, financial, operational and environmental management required to become financially and operationally sustainable, and also to meet the related covenants included in the EBRD financing documents. The Consultant’s main task is to assist the Company to develop a short-medium term focused corporate development plan and to improve the corporate planning capacity to assist ongoing transition towards becoming a self-sustaining entity with commercially sustainable and gender-sensitive operations, as well as implementing the Environmental and Social Action Plan (ESAP) developed for the Company.

Part II: Social Support Programme

The second objective is to assess the existing social support mechanism for the gender-sensitive customer groups and the low income customers and assess how the Company makes use of it in terms of knowledge of its vulnerable customer base and its financial support needs. Following this assessment the Consultant will recommend improvements and actions for improved implementation by the Company. Belarus has a welfare system with subsidies to vulnerable groups, including subsidised utility services, which will bridge the affordability gap. The State and Rayispolkom have not provided direct subsidies to the low income families instead subsidies are provided to the Company to keep the tariff level low. In addition, cross-subsidisation between commercial and residential clients exists. Detailed mechanism needs to be developed and agreed between the Rayispolkom and the Company and reflected in the Public Service Agreement to be signed between the Rayispolkom and the Company. It is noted that this may be somewhat limited by the fact that the tariffs for the residential clients are set on the country level. The Bank will be in parallel working with the Government of Belarus on the tariff related benchmarks. The counterparts of Part II are the Company,the Rayispolkom and potentially Oblispolkom.

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 Q2 2017 and has an estimated overall duration of three years.

Cost Estimate for the Assignment: EUR 300,000 (exclusive of VAT). 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: It is anticipated that the contract will be financed by the Government of Sweden through the Sida-EBRD Municipal Environment and Climate Programme Fund.

Eligibility: There are no eligibility restrictions.

Consultant Profile: Corporate services are required. The Consultant should ensure that the appropriately qualified experts are available, as required, for each of the different tasks outlined above. It is expected that the assignment will be led by an appropriately qualified project manager with experience in the water and wastewater sectors and in implementing the key areas of this assignment, accompanied by both key and supporting experts. It is expected that short-time input from key international experts be combined with local/regional expert input. The local/regional experts would secure presence in the field as well as continuity.

The team should include the following key experts:

  • Project Manager / Technical Expert;
  • Local project manager / Technical Expert;
  • Finance Expert;
  • Local Finance Expert;
  • Environmental Expert;
  • Social Expert with gender expertise;
  • Pool of local experts.

The Consultant is required to provide the Company with independent, impartial technical, cost, strategic, management and financial advice, and as such will not be permitted to have a commercial interest in any other contracts or agreements for the Project. 

Submission Requirements: In order to determine the capability and experience of Consultants seeking 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:

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

The expression of interest shall not exceed 20 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 and Russian 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:

  1. Firm’s previous project experience in corporate development and social support programmes in the water and wastewater sector in comparable climatic and geological conditions (40%)
  2. Firm’s previous experience in working with IFIs (20%)
  3. CV of the Key Experts as above (40%).

3. Interested firms may apply and be selected for both  Corporate Development Programme and Project Implementation Unit Support assignments, however would be expected to provide different teams of experts.