RFP – 10 MW Temporary Generation Belize Electricity Limited

  • Request for Proposal (RFP)
  • Belize

Website Belize Electricity Limited (BEL)

1.INTRODUCTION

1.1 GENERATION REQUIREMENTS
The electricity market in Belize can be classified as a Single Buyer Market in which Belize Electricity Limited (BEL), as the Single Buyer, purchases energy from various Independent Power Producers (IPPs) and then transmits and distributes that energy to its Customers to meet the demand for electricity throughout the country. In 2023 and 2024, energy demand growth accelerated sharply, driven by a strong El Niño weather event, which typically increases energy consumption due to higher cooling needs, on top of robust economic growth. This coupling of climate-driven
energy demand and increased energy demand from economic growth has spurred the peak demand for electricity above available in-country generation capacity. While BEL, in collaboration with the Government of Belize and the Public Utilities Commission, has initiated procurement initiatives to increase its in-country available generation capacity in line with a Least Cost Expansion Plan Study, there is a potential shortfall of up to 10 MW in the short-term, before these additional generation sources can come online.

1.2 PROCURING ENTITY
Belize Electricity Limited (BEL) is duly authorized to procure generation from the energy market and to distribute and supply electricity to consumers throughout the country of Belize. The Company is a public liability company incorporated and domiciled in Belize. The Government of Belize (GOB) holds 32.58% of the issued and outstanding shares of the Company, and the Social Security Board (SSB) holds 31.27%, resulting in a total public sector ownership interest of 63.85%. Fortis Cayman Inc. holds 33.30% interest and over 1,500 small shareholders own the remaining 2.85% of ordinary shares.

1.3 REGULATORY AUTHORITY
The Public Utilities Commission (PUC), established under the Public Utilities Commission Act of 1999, is empowered to regulate public utility providers and licensees in the electricity,  telecommunications, and water and sewerage sectors in Belize, and to administer the relevant Acts and lawful subsidiary legislation related to the three (3) sectors. A primary function of the PUC under the Electricity Act is to promote competition in the generation of electricity.

BEL is the only entity in Belize currently licensed to transmit, distribute, and supply electricity to the public in Belize. That is, BEL acts as the “single buyer” within the electricity market structure of Belize. Subsequently, independent power producers (IPP’s) contract with the utility to sell their entire output and must finalize an interconnection agreement with BEL to enable a physical  connection to the electric grid.

Any Project Developer will be required to obtain a license and any necessary consents or authorizations from the PUC to generate electricity and supply to BEL according to the terms and conditions of any approved contract or Power Purchase Agreement (PPA). The license granted by the PUC shall set out certain rights and obligations, the terms, and conditions for the operation of the generating facility, and the general conduct and codes of practice of the licensee.

Under the Laws of Belize, once a person is granted a license to generate and enable electricity supply to the public, the rate charged to provide this service must be approved by the PUC.

2.INVITATION TO BID

2.1 PROJECT SCOPE
Project Developers are hereby invited to submit a Bid to be considered for the temporary generation and supply of electricity to Belize Electricity Limited (BEL) for further supply to the public in Belize.

The Bid shall be for a Design-Finance-Build-Operate (DFBO) modality for a 10 MW diesel-based temporary power generation plant (the “Facility”). The scope of services requested covers financing, design, permit application, procurement, installation, operation and maintenance of the facility. Fuel procurement as well as the necessary interconnection infrastructure will be the responsibility of BEL.

The Facility shall be available in country and interconnected to the national grid by the target Commercial Operation Date (COD) of 01 April 2025 and be available to supply power for a period of six (6) months from the COD.

2.2 DESIGN PARAMETERS
The Project Developer shall perform all professional services as necessary to provide BEL with 10 MW of generation capacity, excluding the supply of fuel, for the 6-month term of the contract. Table III below sets out the expected design parameters for the temporary power supply, subject to confirmation after contractor selection and during the design phase of the contract engagement.

TABLE III: FACILITY DESIGN PARAMETERS

Parameter Value
Power Capacity 10.0 MW
Rating Continuous
Availability 96%
Operating Configuration Grid connected
Application Peaking
Expected running hours 8 to 16 hours per day
Voltage 22 KV
Voltage Stability Range +/- 5%
Frequency 60Hz
Frequency Stability Range +/- 5%
System Power Factor 0.8 pf
System Fault Level 5,000 Amps

The Project Developer shall deliver, install, operate, and maintain the power plant in compliance with all applicable standards and BEL’s grid and interconnection requirements. The Bidder shall include respective specifications and datasheets in their technical proposal submitted in response to this bid.

2.3          LOCATION AND SITE CONDITIONS

The Facility shall be located on BEL-owned property at its Westlake Facility at Mile 8 on the George Price Highway in the Belize District (Alternatively, the power plant may be located at another BEL-owned property in Ladyville Village, Belize District). BEL will be responsible for site preparation including laydown areas, generator platform, civil works, and drainage.

TABLE IV: SITE CONDITIONS AT BELS WESTLAKE FACILITY

Parameter Value
Number of Sites Single Location
Site Dimensions To be confirmed
Altitude 3.7 meters above sea level
Maximum Ambient Temperature 30.1oC
Minimum Ambient Temperature 22.6oC
Maximum Relative Humidity 90%
Minimum Relative Humidity 50%

3. MINIMUM QUALIFICATIONS

3.1        COMPANY REQUIREMENTS

Participation in this RFP is limited to companies or a consortium of companies that comply with the following minimum requirements:

  • At least five (5) reference projects for the successful installation and operation of temporary grid power supply with a total capacity of at least 5 MW.
  • Average annual turnover of at least USD 10,000,000

3.2        TEAM REQUIREMENTS

The project implementation team shall possess the following qualifications or its equivalent:

  • Minimum of 5 years’ documented experience installing and operating diesel or fuel oil-based power plants for temporary power supply to public electricity grid
  • A proven track record of a minimum of five (5) projects related to the installation and operation of diesel or fuel oil-based power plants for temporary power supply to public electricity grid networks.

The requirements can be met by a composite of qualifications across the team.

4. BID PREPARATION & SUBMISSION

 4.1        GENERAL CONSIDERATIONS

The Bidder shall bear all costs associated with the preparation and submission of the bid and the finalization and execution of the engineering, procurement and construction agreement. Neither BEL or the PUC will be responsible or liable for such costs, regardless of the outcome of the bidding process.

The bid and all correspondence and documents related to the bid shall be written in the English language, provided that any printed literature furnished by the Bidder may be written in another language, provided that such literature is accompanied by a translation of its pertinent passages in the English language, in which case, for purposes of the interpretation of the bid, the translation shall govern.

Bidders and BEL commit to not disclosing confidential information shared by the other party, either before, during or after the delivery of the project.

The validity of offers shall be no less than 60 days after the deadline for receipt of bid submissions.

4.2        MODE OF SUBMISSION

The Bid shall be comprised of two separate electronic documents: a Technical Proposal and a Financial Proposal to be developed in accordance with the guidelines set out in Sections 4.3 and 4.4 of this Terms of Reference respectively.

Both proposals constituting the bid submission are to be sent to [email protected] and specify the reference number BID #2024-2463 RFP 10 MW Short-Term Generation in the subject of the email.

4.3        DEADLINE FOR QUERIES

Any requests for clarification about the contents of this Request for Proposals shall be sent via email [email protected] and received no later than 5:00 p.m. (GMT- 6) on Monday, September 30, 2024.

BEL will provide a copy of all questions received and its responses to same on its website (www.bel.com.bz) within 5 business days of the deadline for queries.

4.4        DEADLINE FOR SUBMISSIONS

Bid submissions, inclusive of both Technical and Financial Proposals, must be submitted to [email protected] by 3:00 p.m. (GMT-6) on Friday, October 11, 2024.

 4.5        GUIDANCE FOR TECHNICAL PROPOSALS

The Technical Proposal must provide sufficient evidence to show that the bidder is able to meet the objectives of this RFP as set forth in Sections 2 and 3 of these Terms of Reference. The Technical Proposal shall not exceed 30 pages (excluding CVs and datasheets) and shall include, inter alia, and in sequence, the following information:

A.    Company Overview and Qualifications

  1. Company profile and relevant experience of firm(s), including company status (private/publicly held, Corporation, Joint Venture, LLC, etc.), ownership structure, and business activities.
  2. Project summaries of similar projects as per Section 3.1, including the name and contact details for the client, the project size and scope, location, and year.
  3. Business certifications and
  4. Audited Financial Statements for the past three years and other evidence of financial stability and financing capacity (e.g. letter from bank or financing agency).

B.    Technical Overview of Generation Facility

  1. Technical specifications for the generation facility including technology type, model, configuration, plant capacity, fuel efficiency, emissions and other relevant information, and plant performance metrics.
  2. Land area size required for proposed power plant as well as any further site requirements for the power plant.
  3. Any facility limitations or special considerations that may constrain

C.    Confirmation of Detailed Scope of Services as per Annex I

  1. Completion of the Form set out in Annex I, indicating agreement and/or any further comments in the “comments” column for each element of the scope of services.

D.    Project Implementation Plan

  1. Timeline indicating activities and resources from contract execution to achieve the target commercial operation date, including logistical considerations for delivery and deployment at site.
  2. Team composition clearly identifying their roles and responsibilities in the project implementation.

E.     Project Implementation Team Qualifications

  1. Personnel qualifications related to the requirements set out in Section 3.2, including CVs for everyone identified as a resource under the Project Implementation Plan.

2.6        GUIDANCE FOR FINANCIAL PROPOSALS

The Financial Proposal shall be as per the prescribed form and format as set out below in 4.6 A and B below.

A.    Cost Breakdown

In the table below, the unit measure for the Energy Charge, expressed as MWh, refers to the total net energy generated (gross energy generated less auxiliary energy).

Return Trip refers to the all-inclusive cost of transporting the generation unit and associated equipment from the site of origin to the receiving port at Belize and return to the site of origin at the end of the contract term. Bidder should include any conditions underlying their cost breakdown.

TABLE IV: FINANCIAL OFFER

Cost Component Unit Price (USD)
Capacity Charge MW/Month
Energy Charge MWh
Transportation Charge Return Trip

B.    Payment Terms

The payment terms for the contract for the temporary supply of power will be as follows:

  1. The first half (50%) of the Transportation Charge due upon signing of the
  2. Capacity charge to be paid monthly 20 business days after the receipt of the relevant invoice for the month of operation.
  3. Energy charge to be paid monthly based on metered energy supply at the end of each month of operation.
  4. The second half (50%) of the Transportation Charge to be paid at the end of the contract term.

5. BID EVALUATION & SELECTION

 5.1        BID OPENING

A virtual bid opening will be held vis MS Teams Friday, October 11, 2024, at 3:30 p.m. (GMT-6). The invitation link for the virtual bid opening will be sent upon submission of proposals and follow the process described below.

Bids shall be opened in the virtual session in view of all invited bidders present at the start of the bid opening with the Technical Proposal being opened first and the following information read aloud: (1) the name of the bidder, and (2) the type and capacity of generation plant proposed. The Financial Proposal for that bidder will then be opened, and the following information read aloud: (1) Capacity Charge, (2) Energy Charge, and (3) Transportation Charge.

5.2        EVALUATION CRITERIA

The award of contract, if so offered, will be to the bidder who meets the conditions and requirements of this process and who has proposed the technical and economic proposition that best satisfies the conditions set out in this tender process. The Bid Evaluation Committee shall classify the remaining bidders in descending order according to their proposition offered.

A points system will be used to determine the ranking of the proposals, whereby points will be awarded for the Technical and Financial Proposals. The Technical Proposal shall account for 40 out of a total of 100 points and shall be awarded based on the criteria set out below.

TABLE V: EVALUATION CRITERIA FOR TECHNICAL PROPOSAL

Criteria Description
Experience and Expertise Demonstrated experience in the procurement and delivery of temporary power solutions. This includes past projects, technical qualifications of project team, relevant certifications and strength of references provided.
Power Plant Performance Relative efficiency and performance of the power plant as demonstrated by such metrics as fuel, lube oil, auxiliary power and water consumption efficiencies as well as emission standards and availability (% of time available upon request).
Project Design and Delivery Comprehensiveness of the Project Implementation Plan and reasonableness of timelines for major milestones and sufficiency of resources to deliver on same within targeted commercial operating

date.

Financing Capacity Demonstrated financial stability, performance, and creditworthiness as evidenced in financial statements and support documents provided.

Proposals that do not obtain at least 30 points from the evaluation of the Technical Proposal will not be considered any further.

The Financial Proposal shall account for 60 out of a total of 100 points and shall be awarded based on the least cost offer to BEL for the purchase of capacity and associated energy from the facility over the contract term.

The selected bidder will be the bidder with the highest combined score obtained from the evaluation of the Technical and Financial Proposals. However, BEL is not obligated to award a contract to any bidder, regardless of the outcomes of the evaluation process.

 

6.  RFP TIMELINE

The timetable below shall govern the timing of events within the Request for Proposal Process.

RFP Process Responsible Target Dates
Invitation to Bid BEL 20 September 2024
Bid Preparation and Submissions Bidders 11 October 2024
Bid Opening BEL 11 October 2024
Bid Evaluation and Selection BEL 25 October 2024
PUC Review and Approval PUC 08 November 2024
Contract Negotiations BEL      and           Successful Bidder 22 November 2024
Contract Execution BEL      and           Successful Bidder 29 November 2024
Commercial Operation Date Contractor 01 April 2025

ANNEX I CONFIRMATION OF DETAILED SCOPE OF SERVICES

Bidders are requested to review and indicate their agreement or disagreement with the assignment of responsibility for each sub-component of the detailed scope of services for this RFP as submit as part of their Technical Proposal. Any specific performance conditions should also be included in the comments.

1.0 Transport, Customs Clearance (Import/Export) and Offloading/Loading
Obligations/Responsibilities Responsible Comments
1.1 International transport (outward and return) of all plant, materials, and equipment (including spares and consumables) for the Power Plant from the contractor`s depot to Port of Belize; and from Port of Belize to the contractor`s depot, including freight/transport charges, Free Onboard (FOB) costs and transit insurance costs. Contractor
1.2 In-country transport (outward and return) of all plant, materials     and     equipment                  (including                  spares and

consumables) for the Power Plant from Port of Belize to Project Site and from Project Site to Port of Belize.

Contractor
1.3 Pre-Shipment inspection of all plant, materials, and

equipment (including spares and consumables) for the Power Plant inwards and outwards of Belize.

Contractor
1.4 Customs and transit clearance of all plant, materials, and equipment (including spares and consumables) for the Power Plant inwards and outwards of Belize. BEL
1.5 Import and export permits, licenses and/or exemptions (as applicable) for all plant, materials, and equipment (including

spares and consumables) for the Power Plant at Port of Belize.

BEL
1.6 Offloading (delivery)/loading (return) of all plant, materials, and equipment (including spares and consumables) for the

Power Plant at the Site to Port of Belize.

Contractor
1.7 Any demurrage and/or storage charges incurred due to failure/delay in performing an obligation shall be for the responsible party’s account. Contractor/BE L

 

ANNEX I CONFIRMATION OF DETAILED SCOPE OF SERVICES

2.0 Site, Site Preparation and Civil Works
Obligations/Responsibilities Responsible Comments
2.1 Provision of Project Site for power plant including lay down and installation of Power Plant and related infrastructure for operation; connection of power plant to grid; and connection of power plant to fuel supply connection point. BEL
2.2 Site preparation and civil works for the installation, commissioning and operation of the power plant (including laydown areas, generator platform, concrete works (plinths and foundations) and drainage. BEL
2.3 Site perimeter lighting, fencing and earthing BEL
3.0 LV, HV and EHV Installation
Obligations/Responsibilities Responsible Comments
3.1 Auxiliary LV Power Supply BEL
3.2 HV (<24kV) cable connection, termination and testing Contractor
3.3 EHV (>24kV) cable connection, termination and testing BEL
3.4 Installation of 2 Electrical Connection points suitably protected and rated for voltage, frequency and power offtake (including electrical back-feed) within 50 meters of power plant. BEL
4.0 Fuel and Fuel System
Obligations/Responsibilities Responsible Comments
4.1 Fuel supply according to the fuel specifications provided by Contractor BEL
4.2 Fuel Storage System BEL
4.3 Fuel Metering BEL
5.0 Installation, Operation and Maintenance of the Power Plant
Obligations/Responsibilities Responsible Comments
5.1 Installation, commissioning, operation and removal of power plant Contractor
5.2 Quality and performance testing of installed power plant Contractor
5.3 Remote monitoring and access of all relevant parameters for secure and efficient plant operation Contractor
5.4 Routine maintenance and “A” servicing including labour, spare parts and all necessary materials Contractor
5.5 Overhauls and “B” servicing including labour, spare parts and all necessary materials Contractor
5.6 Lube oil storage, supply and sampling Contractor
5.7 Process water storage Contractor

 

5.8 Process water supply BEL
5.9 Disposal of waste oil and consumables BEL

 

 ANNEX I CONFIRMATION OF DETAILED SCOPE OF SERVICES

 

5.0 Installation, Operation and Maintenance of the Power Plant
Obligations/Responsibilities Responsible Comments
5.1 Installation, commissioning, operation and removal of power plant Contractor
5.2 Quality and performance testing of installed power plant Contractor
5.3 Remote monitoring and access of all relevant parameters for secure and efficient plant operation Contractor
5.4 Routine maintenance and “A” servicing including labour, spare parts and all necessary materials Contractor
5.5 Overhauls and “B” servicing including labour, spare parts and all necessary materials Contractor
5.6 Lube oil storage, supply and sampling Contractor
5.7 Process water storage Contractor
5.8 Process water supply BEL
5.9 Disposal of waste oil and consumables BEL
6.0 Site Security and Facilities
Obligations/Responsibilities Responsible Comments
6.1 Site Security Control and First Aid Facility, including 24/7 available personnel, welfare and office facilities for security and contractor personnel Contractor
6.2 Site Workshop Facilities Contractor
6.3 Site Communication (internet and telephone line) Contractor
7.0 Insurance
Obligations/Responsibilities Responsible Comments
7.1 Equipment insurance to cover full replacement value of power plant Contractor
7.2 Public and Product Liability (Third Party Liability) Insurance to be effected with limit of indemnity of US $10,000,000.00 Contractor
7.3 Employer’s   liability/worker’s                   compensation                   insurance             for Contractor’s personnel Contractor
8.0 Contractor’s Personnel
Obligations/Responsibilities Responsible Comments

 

8.1 Local    skilled   labour   for   power           plant     operation      and maintenance Contractor
8.2 Travel cost including all necessary flights, in-country transport, accommodation and allowances, meals and drinking water Contractor
8.3 Meeting respective requirements for visa/work permit for contractor’s personnel in Belize Contractor
8.4 Support   to   facilitate   visa/work               permit            for               contractor’s

personnel

BEL

 

To learn more visit www.bel.com.bz/Tenders.aspx.

Email your Propsal details to bidsubmittal@bel.com.bz