Kostanay District Heating – Corporate Development Programme

Procurement ref:

65931

Location:

Kazakhstan

Business sector:

Municipal and environmental infrastructure

Project number:

47396

Funding source:

The Government of Kazakhstan, the Enhanced Partnership Framework Arrangement

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

04 Nov 2016

Closing date:

25 Nov 2016   at  16:00   Kostanay

Executing Agency (Client): GKP Kostanay Heating and Energy Company

 

The Client Contact Person:
Askar Bekpaganbetov
Email address: grp.ktek@mail.ru
Tel: 87142543404

The EBRD Contact Person:
Larissa Gosling
Technical Cooperation
European Bank for Reconstruction and Development
One Exchange Square, London EC2A 2JN
Tel: + 44 20 7338 6338
Email : GoslingL@ebrd.com

Project Description:

The GKP Kostanay Heat and Power Company (the “Company”) together with the Akimat of Kostanay Oblast have requested the European Bank for Reconstruction and Development (the “EBRD” or the “Bank”) to provide technical assistance in support of a project to modernise the district heating system in the City of Kostanay (“Kostanay” or the “City”) in the Republic of Kazakhstan (the “Project”). 

The Project will result in increased energy efficiency, a reduction in heat and hot water losses, and improvements in environmental standards, including a reduction of CO2 emissions. This will stimulate the process of commercialisation of DH operations in general, thus supporting the sector reforms and having a significant demonstration effect in the country.

In parallel with the hardware investments, the Project will contribute to the development and institutional strengthening of the Company.

Assignment Description:

The Client now intends to retain a consulting company (the Consultant) to support the Company to improve its commercial standing, service and environmental and social performance by helping to identify and implement the necessary corporate, financial and operational improvements required to meet the related covenants included in the EBRD finance documents (the “Assignment”).

The expected outcome of the Assignment is Company’s corporate, financial and operational performance is enhanced and environmental situation in the City is improved.

The selected Consultant is expected to provide the following services:

The Consultant shall assist the Company to improve its commercial standing, service and environmental and social performance by helping to identify and implement the necessary corporate, financial and operational improvements required to meet the related covenants included in the EBRD finance documents.

The consultant is required to perform the following tasks as outlined below:

  • Development and introduction of a PSC between the City and the Company. The PSC will outline the rights and obligations of the Company and the City Akimat, based on a set of key performance indicators with the aim to improve the operational and financial performance of the Company and the level of services to be provided to the population of the City.
  • Exploration of a possibility and development of an action plan to attract a private operator with the aim to advance the management performance for more cost effective services.
  • Development and implementation of a Financial and Operational Performance Improvement Programme (“FOPIP”) to include
  • Development and introduction of a PSC between the City Akimat and the Company. The PSC will outline the rights and obligations of the Company and the City Akimat, based on a set of key performance indicators with the aim to improve the operational and financial performance of the Company and the level of services to be provided to the population of the City.
  • Review of procedures and introduction of a new MIS.
  • Development and implementation of Environmental and Social Management and SPP.
  • Development and adoption of a CBP.
  • Development and implementation of a Capacity Building Programme including staff training.
  • Development and adoption of the tariff calculation methodology. In communication with the Tariff Consultant, the Consultant shall assist the Company to develop a medium-term focused corporate development plan to improve its corporate planning capacity and to assist its on-going transition towards becoming a self-sustaining entity achieving commercial operations.

The Consultant will also co-operate with the City Akimat to implement the covenants stipulated under the signed Project Support Agreement (“PSA”).

Finally, the Consultant shall assist the Company in the analysis of the baseline social situation of the vulnerable section of the population and the impact of the project on these groups, and in connection to this assess any impact of the project on the equality between men and women.

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 Q4 2016 and has an overall duration of 36 months.

Cost Estimate for the Assignment: EUR 230,000 (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: The Government of Kazakhstan (EPFA)

Eligibility: There are no eligibility criteria.

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

a) Development and implementation of corporate development programmers of a comparable nature, scale and complexity to the Assignment;

b) Development and implementation of a FOPIP in organizations comparable to the Client;

c) Drafting and implementing Public Service Contract in countries with comparable conditions to Kazakhstan;

d) Project management of complex assignments in organizations comparable to the Client and involving multiple stakeholders.

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

Key Experts No 1: Team Leader (DH Management Operations Expert) with:

  • preferably 5 years or more of previous professional experience in project management of complex assignments in organisations comparable to the Client and involving multiple stakeholders; and
  • preferably 5 years or more of previous professional experience in the municipal district heating sector in countries with comparable conditions similar to Kazakhstan.

 

Key Experts No 2: Financial Expert with preferably 5 years or more of previous professional experience in comparable assignments in the municipal district heating sector. 

Key Experts No 3: Economist with preferably 5 years or more of previous professional experience in comparable assignments in the municipal district heating sector.

Key Experts No 4: Environmental Expert and Social/Labour Experts with preferably 5 years or more of previous professional experience in the successful implementation of comparable assignments and with demonstrated knowledge of the environmental and social standards of the EBRD or other comparable institutions.

Key Expert No 5: DH Management Institutional and Regulatory Expert with preferably 5 years or more of previous professional experience in the successful implementation of similar assignments.

Key Expert No 6: Legal Expert with preferably 5 years or more of previous professional experience of working in the proposed field, including knowledge of local legal and regulatory conditions in Kazakhstan and the region.

The pool of other key experts will consist of local experts  

All key experts shall be fluent in written and spoken English. It is essential that the Consultant’s team contains some experts fluent in Russian / Kazakh.

Non-key experts are expected to include Office Manager/ Translator/Secretary.

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:

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

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 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:

a) Firm’s previous experience in development and implementation of corporate development programmers of a comparable nature, scale and complexity to the Assignment – 25%

b) Firm’s previous experience in development and implementation of a FOPIP in organizations comparable to the Client – 15%

c) Firm’s previous experience in drafting and implementing Public Service Contract in countries with comparable conditions to Kazakhstan – 15%

d) Firm’s previous experience in project management of complex assignments in organizations comparable to the Client and involving multiple stakeholders – 10%

e) CV of Key expert No1 – 10%

f) CVs of Key expert No2, No3, No4, No5 and No 6 – 25% ( 5% each)