German Financial Cooperation with India Final INVITATION FOR EXPRESSION OF INTEREST Consulting Services for Technical Assistance of Solar PV Project Pipeline in India KfW on behalf, of Indian Renewable Energy Agency (IREDA) India July 2017
INVITATION FOR EXPRESSION OF INTEREST The Project-Executing Agency (PEA) invites qualified independent Consultants to submit a pre-qualification document for consulting services required (see chapter 1-3). The German bilateral Financial Cooperation, provided through KfW, has earmarked funds for this project. 1 Name and address of Project Executing Agency (PEA) a) Indian Renewable Energy Development Agency Ltd. (IREDA) Attn.: Ms. Debjani Bhatia - AGM(TS) Core 4A, 1st Floor, India Habitat Centre Complex, Lodhi Road, New Delhi 110 003 India 2 Address of KfW, Frankfurt/Main, Germany KfW Development Bank Energy South Asia Palmengartenstrasse 5-9 60325 Frankfurt GERMANY Name: Mr. Frank Determann Senior Project Manager Address of Tender Agent WOLLNY CONSULTING Streckweg 27 34225 Baunatal GERMANY Contact: Mr. Michael Wollny tender.agent@wollny-consulting.com
Table of Content 1. Introduction... 3 2. Brief Description of the Project... 3 3. Services to be provided... 4 4. Pre-Qualification Document and Deliverables... 5
Page 3 1. Introduction Solar Energy will become a crucial component of India s energy portfolio and an important part of India s energy mix in the next decade. India s utility scale solar PV project pipeline is growing rapidly, bringing the government s ambitious solar energy goals closer and enhances India s energy security by diversifying its energy mix and reducing import dependence on fossil fuels. The National Solar Mission is one of the major initiatives of Government of India and the largest Solar Energy target announced by any Country. With successful implementation of the National Solar Mission (NSM) Phase I and II, Government of India has enhanced its mission target from 20 GW to 100 GW by 2022. The Government of India has set an ambitious target of 40 GW solar PV rooftop capacities to be implemented by 2022. Grid-connected solar PV rooftop has played a significant role in countries with large and active solar energy markets, notably Germany, Japan, and the USA. In India, the grid-connected solar PV rooftop industry is currently at approx. 1 GW capacity. In practice the financing of grid connected solar PV rooftop in particular encounters several difficulties. Major barriers are due to various perceived investment risks; Performance and revenue uncertainty, theft and vandalism, limited experience of project developers, and the credit profile of borrowers are all concerns for potential investors. The Role of IREDA is to facilitate availability of debt finance for the sector through a scheme offering low-interest and long-term loans for grid-connected solar PV rooftop projects. These lending activities shall be enabling homeowners and other investors to avail loans for solar PV rooftop at rates varying between 9.85 % to 10.75 %. To support this ambitious mission, KfW like several other bilateral and multilateral lending agencies (like ADB, JICA, EIB, AFD, World Bank, etc.) are supporting the endeavour to achieve not only green and clean electricity for each and every household in India, but also provide low cost funds, accompanied by technical assistance packages. 2. Brief Description of the Project The Government of India has started to promote the solar PV rooftop project with financial incentives through low-interest loans for grid-connected solar PV rooftop projects. The Indian Renewable Energy Development Agency (IREDA) is thereby clearly assigned to take a central role by the Ministry of Renewable Energy (MNRE), especially in the expansion of solar PV rooftop systems. The Consultant shall support IREDA in its efforts to continue in its leading role in the field of financing solar energy in India with special emphasis on solar PV rooftop. The envisaged Consulting activities aim to ensure that the design, implementation and operation of new solar- PV projects are efficient and effective in promoting the overall objective. The main objective of the assignment is to: Support IREDA in the technical assessment and monitoring of solar PV projects (ground-mounted and rooftop) Establish an implementation structure designated to accelerate the project pipeline for the solar PV rooftop scheme and Support IREDA in market assessments concerning future trends in solar PV The task of the Consultant is to support IREDA staff to better perform its functions as public institution in promoting and financing solar PV projects, with a particular focus on solar PV rooftop.
Page 4 3. Services to be provided For fulfilling the tasks, the Consultant shall offer advisory services, training, and organizational / project development. In particular, the Consultant shall support IREDA in the following aspects: I. Technical Assessment and Monitoring (obligatory for all projects submitted to KfW for re-financing) a) Study of Detailed Project Report / Study from Industry Expert & Environmental and Social Impact Assessment (ESIA) b) Pre-sanction Site visit c) Review of IREDA Term Loan Appraisal Report d) Guidance and Monitoring of Lender s Independent Engineer (LIE) e) Review and Monitoring of Progress Reports f) Specific Requirements for the implementation of Commercial / industrial-scale rooftopmounted systems II. Establishment of an Implementation Structure for IREDAs solar PV rooftop scheme a) Development and Implementation of an adequate organizational structure for financing of solar PV rooftop b) Development of standardized technical appraisal guidelines for solar PV rooftop c) Development and Implementation of a Market Outreach Strategy for solar PV rooftop d) Development and Implementation of a unified reporting system towards IREDAs financing partners III. Market Assessments a) Assessment of grid connected solar-pv projects previously funded by IREDA with a focus on achieved output (yield and performance ratio), O&M practices, module cleaning and water usage, module recycling processes and economic viability of the projects b) Assessment of battery storage opportunities for solar rooftop systems in the Indian market, including current battery recycling processes in India c) Analysis of solar-pv-module recycling processes in India A team comprising of various experts with relevant expertise and other professional as well as administrative support staff shall provide the services. Efficient management and backstopping services shall be made available. The Consultant Services to be contracted shall comprise 1-2 long-term expert(s), who shall be permanently based at IREDA offices in Delhi for an initial period of up to two years to support IREDA with regards to objective I) Technical Assessment and Monitoring and II) Establishment of an Implementation Structure for IREDAs solar PV rooftop scheme. The long-term expert(s) shall be supported by short-term experts on a case-by-case basis in line with above stipulated objectives of the assignment and upon approval of IREDA and KfW of such short-term experts. Consultants are free to associate themselves with other firms to ensure that all required knowhow and experience are available to them. The project management of the Consultant has to assure the timely performance of the tasks and a high degree of reliability and quality of the results. The detailed planning and the coordination of the activities with PEA are very important. The Consultant should submit at least the following deliverables: - Inception Report - Performance Evaluation Report of funded solar PV projects
Page 5 - Half-yearly Progress Report - Final Report Furthermore, a list of specific requirements for the implementation of C&I-scale PV-systems, documented organizational structure for financing solar PV rooftop, standardized technical appraisal guidelines for C&I-scale solar PV, documentation of unified reporting system, market report concerning developments of storage opportunities for solar PV systems in India, report concerning battery storage recycling in India, report concerning PV-module recycling. It is mandatory that the Consultant avail himself of staff with relevant expertise for this interdisciplinary assignment as well as excellent command of the English written and spoken language. The Consultants and their experts must at least demonstrate expertise in economic and financial aspects, knowledge about solar PV technologies for rooftop and ground mounting application furthermore in environmental and social aspects and management of Technical Assistance projects. The envisaged time frame is as follows: - Expected start of assignment in October 2017 but not later than 2 weeks after contract signing - Expected end of assignment in October 2019 4. Pre-Qualification Document and Deliverables The pre-qualification document in English language shall have the following structure and content and shall be presented in the same sequence as shown below: I. Covering Letter, comprising the firm s name, address, contact person, telephone, fax and email if applicable mention the association for this project. II. III. Presentations of firms (maximum 10 pages), inclusive clear statements of type, property and key task of the association, if applicable. Statements and Declarations: a) Declaration of submitting a proposal in case of being short-listed. b) Statement on affiliations of any kind with other firms, which may present a conflict of interest in providing the envisaged services. c) In case of an association the intended contractual arrangement with international and local firms, nominating the lead consultant and including letter of intent of participating firms (in case of local partners a fax copy of such a letter of intent is sufficient. d) Declaration to observe the highest standard of ethics during execution of the contract. Applicants should be aware that any fraudulent or corrupt activities disqualify them immediately from participation in the selection process and will be subject to further legal investigation. The said declaration shall be submitted and duly signed according to form see Annex 1. Failure to submit the Declaration of Undertaking by the Applicant or in case of association separately by each partner of the association leads to rejection of the application. e) Certified statement of financial capacity of the Lead Consultant and all associated partners showing the necessary annual turnover of more than EUR 1.500.000 (Balance sheet, statement of turnover or annual tax statement or profit and loss account all of the last three years).
Page 6 The leading Consultant should at least contribute to 60% of the total turnover. Each associated partner should at least contribute to 20% of the total turnover. IV. List of project references (EU-Format) covering the last eight years and strictly related to the envisaged services (see Annex 2). V. Brief CVs on personnel proposed for backstopping and home office support. VI. List of available personnel structure for the envisaged services with information about education, professional experience, regional experience, years with firm, specific project-related experience and experience in similar posts. This list shall allow a profound judgment on the consultants general ability to provide the required personnel having the specific experience for the project in case of an offer. Interested consultants are requested to submit concise and clear, but substantial documents and to adhere to the above structure. Non-compliance with this invitation or faulty information shall lead to non-qualification. Any surplus of information not specific to the material requested will be penalized. a) The pre-qualification proposal shall be submitted in one original (clearly marked as original) timely submission to the Tender Agent (postal address as provided in 2) latest by the date indicated in the advertisement. Additionally, one electronic pdf-version of the proposal (on USB or CD in pdf-format) shall be included in the package. b) One copy of the pre-qualification proposal shall be submitted to Indian Renewable Energy Development Agency (IREDA) (postal address as provided in 1) on the same date. Additionally, one electronic pdf-version of the proposal (on USB or CD in pdf-format) shall be included in the package. c) All cost for a site visit, obtaining information/data and preparation/submission of the prequalification document, meetings, negotiations, etc. in relation with the prequalification or the subsequent proposal shall be borne by the consultants. d) At any time, PEA either at its own initiative or in response to clarifications requested by an interested consultant may clarify this invitation. Such information shall be sent in writing by facsimile or e-mail to all parties, which have informed PEA about their participation. e) It is planned to establish a short-list of not more than five prequalified consultants and to invite technical and financial proposals from these consultants. f) The evaluation procedure for the prequalification process will follow the latest version of the Guidelines for Assignment of Consultants in Financial Cooperation in Partner Countries (refer to homepage of KfW Development Bank www.kfwentwicklungsbank.de; https://www.kfw-entwicklungsbank.de/download-center/pdf-dokumente- Richtlinien/Consulting-E.pdf). g) This international tender is open to all independent and qualified consultants. Consultants are free to associate themselves with other firms in the form of a consortium to ensure that all required know-how and experience are available to them. If a candidate relies on a sub-contractor s or other entities capacities, their capacities are not considered as part of the candidate s capacities. If Consultants work with freelancers and there is a long-lasting relationship between Consultant company and freelancer (more than 5 years), this freelancer might also be considered as part of the consultant s staff. h) Only financially capable firms/consortia, which, have submitted the necessary statements satisfying the set conditions, will be evaluated. Specific evaluation criteria and their individual weight are presented in the following table:
Page 7 Criteria 1 Evidence of relevant experience gained by consultants during the past 8 (eight) years (experience of the firm). 1.1 Experience in handling similar projects (RE-policies, tariff schemes, PV- Technologies, financial assessment, structuring of RE-Projects, TA measures, Evaluation of projects, quality control). 3 references expected. 1.2 Working experience in the framework of stationary bodies in developing countries and emerging markets, preferably in India. 2 references expected. 1.3 Experience in technical assessment and monitoring of grid-connected solar projects (ground-mounted and rooftop) in the region (preferably in India, experience in Thailand, Indonesia, Vietnam or Philippines are also accepted). 2 references expected. Maximum score 50 20 15 15 2 Suitability for this specific project (experience of the available experts) 2.1 Assessment of the technical expertise (photovoltaic power generation, rooftop, ground mounting PV) in regard to the tasks expected (refer to the listed key personnel) 2.2 Assessment of available environmental and social risks expertise specific to this project (refer to the listed key personnel) 2.3 Assessment of financial and economic expertise specific to this project (refer to the listed key personnel) 2.4 Assessment of the personnel structure in regard to the tasks expected (additional personnel) 2.5 Assessment of the key personnel in permanent employment and always available (backstopping) 2.6 Form of the application documents: Are they complete, concise and related to the project? 50 12 12 12 6 5 3 After having completed the evaluation of the prequalification documents, a short-list consisting of five highest ranked Consultants or less scoring a minimum of 70 points will be established. Short-listed firms will be invited to submit a technical and financial proposal; firms not pre-qualified will be informed accordingly. i) PEA is not bound to select any Consultant. j) The preparation and the submission of the pre-qualification document is the responsibility of the applicant and no relief or consideration can be given for errors and omissions. k) After opening the pre-qualification documents until preparation of the short-list of the qualified consultants, no communication of any type shall be entertained unless called for by PEA or the Tender Agent.
Page 8 Annex 1 Declaration of Undertaking We underscore the importance of a free, fair and competitive contracting procedure that precludes abusive practices. In this respect, we have neither offered nor granted directly or indirectly any inadmissible advantages to any public servant or other person nor accepted such advantages in connection with our bid, nor will we offer or grant or accept any such incentives or conditions in the present tendering process or, in the event that we are awarded the contract, in the subsequent execution of the contract. We also declare that no conflict of interest exists in the meaning of the kind described in the corresponding Guidelines 1. We also underscore the importance of adhering to environmental and social standards in the implementation of the project. We undertake to comply with applicable labour laws and the Core Labour Standards of the International Labour Organization (ILO) as well as national and applicable international standards of environmental protection and health and safety standards. We will inform our staff of their respective obligations and of their obligation to fulfil this declaration of undertaking and to obey the laws of the country of [ ] (name of country). We also declare that our company/all members of the consortium has/have not been included in the list of sanctions of the United Nations, nor of the EU, nor of the German Government, nor in any other list of sanctions and affirm that our company/all members of the consortium will immediately inform the Client and KfW if this situation occurs at a later stage. We acknowledge that, in the event that our company (or a member of the consortium) is added to a list of sanctions that is legally binding on the Client and/or KfW, the Client shall be entitled to exclude us/the consortium or, if the contract is awarded to our company/the consortium, to immediately cancel such contract if the statements made in the Declaration of Undertaking were objectively false or the reason for exclusion from the tender procedure occurs after the Declaration of Undertaking has been issued.......... (Place) (Date) (Name of company)... (Signature(s)) 1 See Guidelines for the Assignment of Consultants in Financial Cooperation with Partner Countries and Guidelines for Procurement of Goods, Works and associated Services in Financial Cooperation with Partner Countries
Annex 2 Project References Please provide information contained in the table below summarizing the major relevant projects related to this project. Template References 9