Support for the Implementation of Renewable Energy Auctions in Kosovo

Location:

Kosovo

Business sector:

Power and energy

Project number:

80067

Funding source:

Not Yet Determined

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

11 Sep 2019

Closing date:

24 Oct 2019   at  12:00   London

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16 OCTOBER 2019: CLARIFICATIONS ISSUED AND CAN BE ACCESSED AT THE FOLLOWING LINK: http://www.ebrd.com/documents/admin/80067-clarifications.docx

9 October 2019: THE CLOSING DATE FOR RECEIPT OF PROPOSALS IS EXTENDED UNTIL 24 OCTOBER 2019 AT 12:00 (MIDDAY) LONDON TIME

Single Stage Open Competitive Selection- Request for proposals

Project Description:

As a member of the Energy Community, Kosovo has committed to reaching a 25% share of Renewable energy Sources (the “RE”) in final gross energy consumption (currently at approximately 20%) by 2020. The Kosovo Energy Strategy has set an ambitious target of introducing ca. 400MW of renewables into the system by 2026. Current RE capacity amounts to approximately 70MW small hydropower and a 32.4 MW wind farm in Eastern Kosovo which reached commercial operation in October 2018. A 105 MW wind farm in Northern Kosovo is under development and expected to commence commercial operations in 2021.

The European Bank for Reconstruction and Development (the “EBRD” or the “Bank”) previously engaged with Kosovar authorities on the development of a bankable framework, including power purchase agreement, for wind generation in the country (the “Project” or the “Framework”).

The Framework was agreed in 2019 and has now been applied for the operational wind farm as well as the wind farm currently under development. In July 2019, the EBRD received a request from the Ministry of Economic Development of Kosovo to assist in the design and implementation of competitive procurement for RE capacity.

Assignment Description:

In the context of the Framework the Bank is now wishing to engage a consultant (the “Consultant”) to in order support the Government of Kosovo to develop and implement a competitive scheme for the award of future support to renewable energy generators (the “Assignment”).

The Assignment involves conducting a review of existing materials relevant to RE development in Kosovo, designing a competitive bidding process for supporting renewable energy, preparing the documentation needed for the country’s first RE tender, and providing implementation support to Authorities to administer the tender.

The expected outcome of the Assignment is the implementation of wind auctions in Kosovo.

Amongst others, the selected Consultant is expected to provide the following services:

1.Develop a detailed design and strengthen the overall legal and regulatory framework for a competitive bidding process (i.e. RE auctions) for the procurement of renewable energy;

2.Develop all auction documentation required for a solar PV auction and a wind auction;

3.Provide the authorities with detailed technical, financial and legal assistance for the implementation of one round of auctions;

4. Develop framework for a future competitive procurement scheme.

Full Terms of Reference (the “ToRs”) of the Assignment can be found at the following link: http://www.ebrd.com/documents/admin/tors-80067.docx .

Consultant Selection Procedure: Single stage open competitive selection. Interested firms or groups of firms are invited to submit a Technical and Financial Proposal.

Assignment Start Date and Duration: The Assignment is expected to start in October 2019 and has an estimated overall duration of 24 months.

Cost Estimate for the Assignment: Up to EUR 1,000,000 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 special status of the Bank 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 the Assignment will be financed by EBRD’s Technical Cooperation funds. The definite source of funding will be determined at a later stage.. Please note that selection and contracting are subject to the availability of funding.

Eligibility: There are no eligibility restrictions based on the interested Consultant's nationality.

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

A. Economics/Policy expertise in the 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;

B. Legal expertise, with experience in:

- Assisting policymakers and/or bidders in renewable energy auctions/tenders (including experience advising on limited recourse renewable energy project financing and competitive tender arrangements);

- Drafting secondary legislation in the electricity sector - preferably including full RFPs (including power purchase agreements);

C.Technical expertise on renewable energy projects - in particular, on solar PV and wind projects – including:

- Preferably, experience in providing assistance to regulators on technical aspects of RE projects and acting as Owner’s Engineers (OE);

D. Environmental and social impact assessment expertise – including both international and local experience;

E. Preferably, experience in the power sector of a country (or more) within the Western Balkans region, including knowledge of the legislative and regulatory setting and familiarity with the network and grid code.

The Consultant's expert team is expected to include the following key experts (the 'Key Experts'):

1.Key Expert 1: Team Leader – Expert in Renewable Energy policy and regulatory matters with preferably at least 10 years of proven experience :

  • in project management, specifically in projects related to the power sector;
  • in leading a team of experts and the ability to demonstrate adequate project management skills, managerial skills and team leading experience;
  • in designing renewable energy support schemes, preferably competitive bidding processes (preferably at least 5 years); and
  • in regulatory matters of the electricity sector, preferably including the integration of renewable energy in electricity markets and systems (preferably at least 10 years);and
  • fluency in English for coordination and report writing purposes.

2.Key Expert 2: Economic Expert(s) with preferably at least 5 -10 years of experience in the design and implementation renewable energy support schemes;

3.Key Expert 3: Procurement Expert(s) with at least 5 years of experience in procurement of renewable energy, preferably including the design of renewable energy support schemes;

4.Key Expert 4: Technical Expert(s) with at least 5 years of experience in the design and/or operation of solar PV projects and wind power projects;

5.Key Expert 5: Legal Expert(s) with preferably at least 5-10 years’ experience in :

  • in drafting energy sector legislation and regulations relating to renewable energy (for example, power purchase agreements); and
  • in advising (at least in 1 project, preferably in more) clients on the competitive procurement of renewable energy (on the developer and/or the authorities’ side);
  • At least 1 of the legal experts (in case the proposal features more than 1, otherwise just the single expert) should have both international and local (related to Kosovo) expertise and experience, as well as be fluent in both English and Albanian and/or Serbian.

6.Key Expert 6: Financial Expert with at least 5 years (preferably 10 years) of experience in renewable energy project financing;

7.Key Expert 7: Environmental and Social Expert with at least 5 years (preferably 10 years) of experience in advising clients on social and environmental aspects of energy projects.

Submission Requirements:

1. Interested consultants are now invited to submit a completed Technical and Financial Proposal as per the standard templates and instructions available hereto: http://www.ebrd.com/documents/procurement/single-stage-package.docx

· 2.2. The Technical Proposal shall be submitted in English electronically via eSelection not later than the Closing Date, as one single PDF file. The technical proposal should not exceed 20 pages excluding the Declaration Form and CVs (Form 1- TP 1 and Form 1 – TP 6).

·

· 3.The Financial Proposal (Form 2 – FP 1 and FP2) shall be submitted in English separately by email only to the following e-mail address: finprop@ebrd.com. Please indicate the Project number and title in the subject of your e-mail.

· 4.Consultants are reminded of the requirement to ensure the confidentiality of the Financial Proposals.

· 5.Technical Proposal that contains elements of a financial proposal shall be declared non-responsive. A Financial proposal submitted together with the technical proposals via eSelection shall be declared non-responsive.

Bank Contact Person:

Aspasia Tsekeri (Ms)- Associate Advisor

European Bank for Reconstruction and Development

One Exchange Square

London EC2A 2JN

e-mailtsekeria@ebrd.com

For the avoidance of doubt, Technical Proposals should be sent through eSelection and NOT to this email address.

Financial proposals should be sent to the following address: finprop@ebrd.com and NOT through eSelection or to the Bank Contact Person

Deadline to Submit Clarification Questions: Via e-mail to the Bank Contact Person by two weeks prior the deadline for submissions.

Selection Method and Evaluation Criteria:

1. Technical Proposal Evaluation Criteria

(a) Firm's previous project experience in similar assignments 40%

(b) Quality of the methodology proposed for the Assignment 20%

(c) CVs of the Key Experts 40%.

The minimum technical score (St) required to pass is 75.

2. Opening of Financial Proposals

After the technical evaluation is completed, only the submissions which score 75 or above of the total marks available for the technical criteria will be eligible to have their financial proposals opened.

3. Combined Technical and Financial Evaluation

The lowest evaluated Financial Proposal (Fm) is given the maximum financial score (Sf) of 100. The formula for determining the financial scores (Sf) of all other Proposals is calculated as follows:

Sf = 100 x Fm/ F, in which “Sf” is the financial score, “Fm” is the lowest evaluated Financial Proposal, and “F” the price of the Proposal under consideration.

Proposals are then ranked according to their combined technical (St) and financial (Sf) scores using the weights (T = 80; F = 20) T + F = 100 as follows: S = St x T% + Sf x F%.

Important Notes:

1. The proposal validity period is 120 days from the deadline date for the receipt of submissions. During this period, the Consultant shall maintain its original Proposal without any change, including the availability of the Experts, the proposed rates and the total price.

2. The selection will be made from the Proposals received in response to this notification only, on the basis of the submission requirements and selection criteria set out in this Procurement Notice. The highest-ranked Consultant will be selected and invited to negotiate the contract, subject to availability of funding.

3. Any updates of and clarifications on this procurement notice shall be announced as updates on this notice, without any other notification. In the event of changes consultants will need to download the updated versions. Consultants are required to periodically check the notice for updates. Failure to take the updates into account while preparing the Proposal may result in disqualification or penalties to the scores in the evaluation.