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1 GPA-027-11 Renewable Energy Resource for Guam Power Authority Pre-Bid Conference February 1, 2011.

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Presentation on theme: "1 GPA-027-11 Renewable Energy Resource for Guam Power Authority Pre-Bid Conference February 1, 2011."— Presentation transcript:

1 1 GPA Renewable Energy Resource for Guam Power Authority Pre-Bid Conference February 1, 2011

2 2 Review  GPA announced multi-step bid on January 4, 2011  Bid Fee is $  Bid closing date is April 5, :00 PM

3 3 Agenda  Bid Schedule  Bid Scope Overview  Multi-Step Bid Process  Qualification Step  Price Bid Evaluation  Bid Documents Review  Reminders

4 4 Bid Schedule

5 5 Bid Scope & Contract  Acceptable renewable energy sources include: biomass, hydro, geothermal, solar, wind, ocean thermal, wave action and tidal action.  The renewable resource will be available for commercial operation within 36 months from contract award.  Proposed technologies shall have at least 1 year of commercial operations history in a utility environment.  Energy will be delivered directly to the existing GPA transmission system.

6 6  The renewable resource will provide energy for a minimum contract term of 10 years.  The Bidder’s renewable resource project will have a total minimum nameplate capacity of 5 MW; this may be the combination of several generation units at one site.  The renewable resource will deliver energy on a unit- contingent basis, but will provide a minimum amount of energy each year, as described in “Volume III: Draft Renewable Energy Purchase Agreement.” Bid Scope & Contract (cont.)

7 7 In addition  The bidders selected are responsible the system integration study and costs of their proposed project.  This is a multi-step bid which requires bidders to be qualified based on non-priced proposals. Qualified bidders will proceed to the next step – Priced Bid Evaluation.  GPA reserves the right to select bids from different technologies to meet generation diversification goals even if the bid is higher.  GPA may select more than one vendor for total renewable resource capacity of up to 40 MW in this solicitation.

8 8 Bid Documents Review

9 9 BID Documents  GPA Bid Document.pdf  Special Reminders to Prospective Bidders  Bid Invitation & Award Document  Volume I – Commercial Terms & Conditions  Volume II – Technical Requirements  Volume III – Draft Renewable Power Purchase – Sales Agreement  Volume IV – Bid Scoring Mechanism  Volume V – Appendices  Government of Guam General Terms & Conditions  Government of Guam Sealed Bid Solicitation Instructions  Qualitative Scoring Workbook.xls  Priced Offer Workbook.xls  Appendices Forms Folder

10 10 Volume I – T&C  Bid Schedule  Lists standard procurement documents that are required for each bid submittal. Failure to include these will result in immediate disqualification.  Submittal Process (Electronic or Manual)  Standard GPA Commercial Terms & Conditions

11 11 Volume II – Tech. Functions  Production Description  Defines Acceptable Renewable Sources  Restricts any energy from non-renewable resources be acceptable for delivery under the proposed agreement.  Discusses limits to “highly variable” resources (i.e. wind)  Discusses Interconnection and System Integration study responsibilities of the bidder.  Provides information on the scoring requirements for the bidder’s Technical Proposal.  Highlights some of the contract requirements (NOTE: Contract will be final reference)

12 12 Volume III – Draft PPA  Provides GPA’s Draft Purchase Power Agreement which includes:  Contractor’s Annual Energy Guarantee  Penalty provisions for delay in providing service (construction/commissioning)  Penalty provisions for not meeting annual guarantee  Provision for Interconnection Agreement

13 13 Volume IV – Scoring Mech.  Discusses the process for evaluating the Technical & Price Proposals  This document will be used with provided excel spreadsheets

14 14 Volume V - Appendices  Checklists  Procurement Forms as referenced in Volume I (also provided in Word file formats)  Transmission PDF  Additional Requirements for Grid Interconnection  Solar Siting Study

15 15 Excel Workbooks  Two (2) workbooks provided:  Qualitative Scoring Workbook  Reference  Technical Data  Priced Offer Workbook

16 16 Multi-Step Bid Process 1. Qualification of Bidders 2. Price Bid Evaluation

17 17 Qualification of Bidders  Bidders will be “qualified” from a team of proposal evaluators based on the following:  Volume I - lists standard procurement documents that are required for each bid submittal. Failure to include these will result in immediate disqualification.  Volume II - describes bidders technical requirements and information required to evaluate the bidder and the proposed project.  Volume IV & the Qualitative Scoring Workbook (excel file) - describe the necessary information for each proposed project and scoring method.  Vendors must complete Part 1 and Part 2 of the Qualitative Scoring Workbook  Note: GPA may need to further evaluate some proposals determined potentially acceptable

18 18 Load Forecast “Lowest Cost” Power Fuel Forecast Possible Resources Price Offer Evaluation

19 19 Price Offer Evaluation  All successful “qualified” bidders will be allowed to participate in the Price Bid evaluation.  Final selection of bidders will be based on a comprehensive evaluation of the bidder’s cost and generation profile (hourly bid using an integrated resource planning software, Strategist®.  Lowest Evaluated Utility Cost and  Generation Diversification Goals

20 20 Strategist ®  The Strategist ® program was used to develop GPA’s 2008 Integrated Resource Plan. The program was created by New Energy Associates. The software capabilities include:  New capacity additions (type, timing, amount)  Power contract bid evaluation  Demand-side program testing  External market evaluation  Capital project analysis  Load segment or class analysis  Rate impact analysis  Business Unit Unbundling

21 21 Strategist Input  GPA Load and Fuel Forecasts (Baseline)  GPA Resources & Costs  Bidder Resource & Cost  Hourly load projections  $/KWH contract rate  Evaluation Period

22 22 Strategist Output  Total Utility Cost which includes  Fuel Costs  O&M Costs  Bidders will be selected by lowest evaluated cost

23 23 Approval & Award  PUC approval is required for contract award(s) from this bid under the IRP Implementation MOU.

24 24 REMINDERS  Note bid schedule deadlines for questions and bid submittal.  BOTH Non-Price Technical Proposal & Price Bid Offer are to be submitted on the closing date. (Refer to submittal instructions in bid documents)  Note mandatory procurement documents required to avoid bid disqualification.  Verify that you have all the bid documents.

25 25 END


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