Infrastructure Regulation and Tariff Policy Development: Overall Phase 2 project management

Location:

Kazakhstan

Business sector:

Other

Project number:

49646

Funding source:

Not Yet Determined

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

18 Dec 2015

Closing date:

15 Jan 2016   at  23:59   London

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THE DEADLINE FOR SUBMISSION OF EXPRESSIONS OF INTEREST IS CHANGED TO 15 JANUARY 2016, 23:59 GMT

Project description:

The Government of Kazakhstan has been committed to a broad economic reform program. The European Bank for Reconstruction and Development (the “EBRD” or the “Bank”) plays an important role in facilitating and implementing the reforms by providing technical assistance. The Government of Kazakhstan addressed the EBRD with the request to provide technical assistance on reforming the tariff policy and regulatory framework for natural monopolies and dominants in infrastructure sector. The Bank approved the corresponding technical cooperation project ( the “Tariff TC”) with the objectives to provide assistance to the authorities of Kazakhstan in reforming the existing system of tariff regulation for natural monopolies and dominants in infrastructure sectors, adopting a modern and transparent framework for regulation, as well as strengthening the institutional powers and means to implement and administer such framework. As of October 2015, the Bank has completed Phase 1 of the Tariff TC by providing the Government of Kazakhstan with recommendations on improving the tariff policy and regulatory framework. Key recommendations are different by sub-sector but the common features includes: (i) introduction of RAB based tariff methodology; (ii) elimination of cost norms; (iii) simplifying the procedures and improve governance; (iv) approval of mid-term tariffs with a set range with pre-determined variables and (v) capacity building both for KREM and companies. The consultants and the Bank developed a long term tariffing policy for the Government of Kazakhstan; reviewed the legal framework for tariff regulation; proposed a legal action plan in order to enact/implement the recommendations; and presented precise and concrete recommendations for the strengthening of the institutional base and the revision of policies, laws and implementation practices/methodologies, together with implementation action plans for the key aspects of those recommendations. The Government of Kazakhstan agreed with these recommendations and requested their actual implementation on the basis of the pilot projects which will constitute Phase 2 of the Tariff TC. The pilot projects will be undertaken in the following sectors: district heating, airport, seaport, electricity distribution, water (the “Sectors”). The pilot companies will be identified and confirmed by the Government of Kazakhstan and the EBRD prior to commencement of the assignment.

Assignment description:

The Bank is now seeking to engage a consultant (the “Consultant”) in order to provide assistance with regards to the overall management of Phase 2 of the Tariff TC. The Consultant will be expected to provide the following services:

Task 1: General project management for Phase 2 of the Tariff TC, including communications with sector-specific consultant teams, project facilitation with the regulator and companies, and reporting to the Bank and the regulator;

Task 2: Standardisation of tariff methodologies, procedures and documentation among sectors proposed by various pilot project sector consultants;

Task 3: Quality control of deliverables of various pilot project sector consultants;

Task 4: Detailed recommendations and implementation of common regulatory issues, including reduction of administrative burden, improving transparency and governance, improving efficiency of regulatory bodies, etc.

Task 5: Preparation of ToRs and/or Action Plans for any follow up tariff projects or any additional pilot projects based on own input and inputs from sector consultants, Government, key stakeholders, and EBRD.

Task 6: In cooperation with lawyers development, preparation, support and assistance in approval of legislative amendments based on recommendations made by sector consultants during implementation of the pilot projects.

Assignment Duration: The duration of the assignment is expected to be up to 18 months. However, the Consultant is expected to provide support and consultations via e-mail, telephone and video calls to the Government and EBRD until the final stage of passing and adopting proposed amendments to the legislation.


Status of the selection process:
Interested firms or group of firms are hereby invited to submit expressions of interest.

Maximum Budget Available for the Assignment: EUR 500,000.00 (exclusive of VAT). The budget for the assignment may be extended subject to the operational needs of the Bank, satisfactory performance of the consultant and availability of funding.

The amounts above are all exclusive of VAT. 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 the Invitation for Expressions of Interest. 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 this assignment will be financed by the EBRD Technical Cooperation Programme. Selection and contracting will be subject to availability of funding.


Eligibility: There are no eligibility restrictions.

Consultant Profile: Corporate services are required. The Consultant will be a firm or a group of firms with extensive experience in developing, managing and implementing policy reforms in the Bank’s countries of operations (“CoO”), preferably in one or more Sectors. It is expected that the assignment will be led by an appropriately qualified team leader, accompanied by supporting experts. Based on the fields of expertise and the tasks mentioned above, the team of the Consultant should consist at least of the following local key experts:

- Key expert 1: Team leader: a senior manager with extensive supervisory experience and knowledge sufficient to manage and deliver positive overall results of the Tariff TC, results of all pilot projects across all sectors, presenting results to the Government of Kazakhstan and the EBRD, as well as overall coordination among various consultants, stakeholders, clients;

- Key expert(s) 2: Senior specialists with extensive relevant experience in tariff regulation agencies and relevant sectors, experience and knowledge sufficient to ensure high quality of sector deliverables (experience should be across all the Sectors);

- Key expert (s) 3: Local junior experts with ability to handle all organizational issues.

The Team leader and the majority of the Consultant’s key experts should be fluent both in English and Russian.

The Consultant’s key experts should be available to spend the majority of the time working on the assignment in Astana and the cities where pilot companies are located.

It is preferable that the Consultant has a local presence in Astana with video-/teleconferencing capacity.

Submission Requirements: Interested consultants are hereby invited to submit expressions of interest.


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

(a) brief overview of the firm/group of firms including company profile, organisation and staffing;

(b) details of similar experience of firm or group of firms and related assignments 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, assignment budget, percentage carried out by consultant in case of association of firms or subcontracting, main activities, objectives;

(c) 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.

(d) Completed Consultant Declaration 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

Failure to provide the duly completed and signed Consultant Declaration may result in the applicant being disqualified from the selection process.

The expression of interest shall not exceed 20 pages (excluding CVs, Consultant Declaration and contact sheet).

The complete expression of interest (including CVs, completed Consultant Declaration and Contact Sheet) should be submitted in English electronically through eSelection to reach the Bank not later than the closing date and time specified above. The expression of interest should be one file (searchable .pdf or Word, not exceeding 4MB) to be uploaded in eSelection. The EBRD reserves the right to reject applications from firms submitting more than one file. Only if the permissible file size is exceeded, the Consultant may split the expression of interest into further files. DO Not send expressions of interest to the EBRD’s contact person.

EBRD Contact Person:

Marina Matushina

Advisor , Technical Cooperation

European Bank for Reconstruction and Development

One Exchange Square

London EC2A 2JN

Tel: +44 20 7338 6577

Email: MatushiM@ebrd.com

Important Note: Following evaluation of the expressions of interest submitted, a shortlist of qualified firms will be formally invited to submit proposals. Consultant selection and contracting will be subject to availability of funding.

Shortlisting criteria and respective weightings are:

1. Firm’s specific experience and capability related to the assignment, including experience in developing, managing and implementing policy reforms in the Bank’s countries of operations, preferably in one or more Sectors (as defined in section Project Description above)

20%

2. Qualifications and competence of key experts (as described in section Consultant Profile above)

60%

3. Local presence, including local presence of key experts during the assignment duration and their Russian language capabilities, as well as firm's local presence with video-/teleconferencing capabilities in Astana

20%