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Renewable Energy IPP Procurement Programme : Summary of Evaluation Findings 07 December 2011. Agenda. Overview of Evaluation Process. Overall Evaluation Recommendation. Preferred Bidder technology allocation. Preferred Bidder Project Name and MW allocation.
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Renewable Energy IPP Procurement Programme: Summary of Evaluation Findings 07 December 2011
Agenda • Overview of Evaluation Process. • Overall Evaluation Recommendation. • Preferred Bidder technology allocation. • Preferred Bidder Project Name and MW allocation. • Findings of Independent Review Team.
Introduction • The Minister has determined, in consultation with NERSA, that New Generation Capacity is required in accordance with the IRP2010. • The determination provides for procurement of 3725MW across different technologies (inclusive of 100 MW Small Projects). • Procurement documents were prepared and approved by the DG to procure power from the private sector. (safe for the 100 MW Small Projects) • The procurement documents were released on the 03 of August and compulsory bidders conference for the first and second window, was on the 14 of September. • 53 Bids were received by the 4th of November and evaluation was conducted in a secure environment at Gallagher Convention Centre between the 4th November and 28th November 2011. • All evaluation rooms were under 24 hours voice and visual recordings, all the records are with DoE security for future reference. • DoE supply chain was represented throughout the evaluation.
Procurement Process Background Procurement documents To be concluded in Phase 1
Procurement Process Background Request for Proposal (RFP)
General Evaluation Observations • Comprehensive evaluation template developed in accordance with the RFP prior to accessing the evaluation venue. • Comprehensive training of all evaluators in all different disciplines the use of the template. • Moderation of all evaluators work by independent evaluators. • Cross moderation in respect of finance.
Evaluation Composition Evaluation team: Evaluation Streams: Environment Land right Application for land use Municipal land – rights Own Build – right over land Land Notarial lease registration Proof of land use application Commercial legal Acceptance of the PPA Project structure Economic Development Contributor status level Compliance with threshold Financial Full and partial price indexation Technical Eligibility Energy resource • International reviewers • Legal review – Linklaters (UK) • Technical review – Tony Wheeler Consulting (UK) • Financial review – cross-moderation between the two Financial Advisor firms • Governance review – Ernst & Young • Legal evaluation team • Bowman Gilfillan, • Edward Nathan Sonnebergs, • Ledwaba Mazwai • Webber Wentzel • Technical evaluation team • Matt Macdonald • Financial evaluation team • Ernst & Young • PWC
Findings of independent review teams • Independent legal review “appropriate process was undertaken to ensure a consistent approach” • Independent technical review “TWC is also satisfied that the technical evaluation has been undertaken in accordance with the agreed methodology” • Financial cross-moderation The final results from the financial team reflects the cross-moderation between financial firms. • Governance review “we did not observe evidence of breaches in governance with impact on the validity of the overall process recommendations”