Rehabilitation and Modernisation of Tavropos Irrigation Networks via a PPP

Location:

Greece

TCRS Number:

16011

Business sector:

Other

Notice type:

Public

Status:

Approved

PSD disclosed:

23 Dec 2021

Project Description

According to the domestic legislation, the Ministry of Rural Development and Food (the “Ministry”, “Public Partner” or “Client”) is responsible for ensuring rural development in Greece. In order to promote this responsibility, the Ministry implements several actions regarding the development and improvement of the production conditions and the business conditions of the agricultural sector. The Ministry also ensures the protection of the environment while promoting sustainability in the use of natural resources within the agricultural and the fishing industries.

In this context, the Ministry shall ensure the irrigation needs of the agricultural sector in Greece are met. Water is the main natural resource and a significant factor for the production levels in agriculture. In the past years, there have been various efforts either from the state or from the private sector to develop the relevant infrastructure in order to irrigate a significant part of the agricultural land. The total arable area in Greece is approximately 34,700,000 acres out of which the 14,300,000 acres are irrigated. Out of that, 6,300,000 acres are irrigated via public infrastructure granted to the farmers. However, irrigation infrastructure in Greece is considered rather old and poorly maintained currently.

The Project is located at the Regional District of Karditsa one of Greece’s main agricultural centres. Tavropos Local Organisation for Land Improvements (TOEB Tavropos) uses water from the Tavropos reservoir to irrigate the Karditsa Regional District. The reservoir’s operation dates back to 1960 and has a useful capacity of 300 hm3.  The current total arable area is 115,000 acres.

Tavropos irrigation network was constructed in 1965 and operates since then. It consists of the irrigation network, drainage and access roads. The irrigation network is an open canal network with natural flow. This includes the transmission and the distribution networks of water.

The existing network in Karditsa Regional District is in very bad condition because of the lack of maintenance and investment over many years and recent natural disasters such as Cyclone Janos. As a result, 50% of the network is destroyed and the operational costs are increasing. This results in un-reliable irrigation water, water losses, low production levels, and lack of competitiveness. The area is not electrified and the production cost for the farmers is high due to usage of petrol pumps for irrigating with artificial rain or drip irrigation.

The Government of Greece (“GoG”) is currently considering to procure this project (the “Project”) as a Public Private Partnership (“PPP”). The objective is to modernize the existing irrigation network in order to promote resilience in the agricultural sector and enable farmers to prepare for more demanding and competitive production conditions in the future. The objective is to increase productivity and access to higher value crops in a sustainable and climate resilient way.

More specifically, the Project includes:

• the design and reconstruction and modernization:
o Of the main supply pipeline with a length of 18 km.
o Of the primary irrigation network with a length of 17 km.
o Of the secondary irrigation network with a length of 69 km, and
o Of the tertiary irrigation network with a length of 689 km.

• The digitalization in the operation of the system including the installation of an Interactive Information System for Irrigation Management and the maintenance and operation of the irrigation network.

The Private sector partner based on technical and operational specs that will be agreed with the Ministry, will design, built, finance, operate, and transfer (“DBFOT”) the project for a predetermined time period.

The overall objective of the project preparation assignment in support of the Project will focus on the following:

• Comprehensive Gap Analysis of the existing feasibility study.
• Preparation and finalisation of procurement documents including the RFQ (Prequalification Questionnaire, if necessary, Request for the Expression of Interest etc.) RFP (including competitive dialogue phase (Phase B.I), if chosen, and the Invitation to Submit Binding Offers (Phase B.II)), Partnership Agreement, and its annexes including Technical Specifications and any other agreement relevant to a Project.
• Assistance in obtaining all necessary approvals of project documents.
• Undertake relevant environmental and social assessments and studies related to the Project. The applicable requirements for this assessment is the EBRD’s 2019 Environmental & Social Policy and the associated Performance Requirements, national legal requirements, relevant EU directives and international obligations and treaties ratified by Greece.
• Support in conducting a competitive PPP procurement process. Such procurements shall meet both the local legislation and the EBRD Procurement Policy.
• Active participation in structuring of the PPP for well-balanced risk allocation and bankability
• Active participation in competitive dialogue, bid review and scoring and provision of guidance, wherever needed, in particular during the dialogue with bidders and their lenders  
• Commercial close entailing signing of Project agreements.
• Support in achievement of financial close entailing signing of the financing agreements.
• Provision of the workshops for training of the counterpart personnel (management and other key staff) for PPP procurement, monitoring and management to international standard in the respective areas.  

The Project preparation must meet all the relevant requirements and standards established by the EBRD.

Understanding Transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

Any competitive selections for business opportunities relating to this project will be published on the EBRD's website: Consultancy Procurement Opportunities.

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Access to Information Policy (AIP)

The AIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD Enquiries form

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM  via email ipam@ebrd.com to get guidance and more information on IPAM and how to submit a request.

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