Public procurement notice: Modification Of A Contract/Concession During Its Term
Published: 2018-06-19
Buyer: Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH
Country: DE
Contract type: Services
Procedure: Open procedure
CPV classification: 75211200

Technical requirements: Madagascar‘s low electrification rate of about 15 % limits the social and economic development oft he country. Service delivery in the education, health and communication sector are extremely restricted. Economic activities cannot be run on a continuous and sustainable basis because of limited and unreliable electricity supply. However, the country’s potential in renewable energy resources is very high. Only about 2 % of Madagascar’s total hydropower potential of 7 800 MW is currently being deployed. Since 2015, the Government of Madagascar is treating improvements in the energy sector as high priority. The political will to develop the renewable energy potential in order to increase electricity supply is very high. The ambitious aims for scaling-up the power supply in the country are to be reached in cooperation with the private sector on the basis of concession models. However, neither the juridical and administrative framework conditions, nor the capacities of the public and private actors are sufficient in order to implement this ambitious energy transition independently. Therefore, the project supports the Ministry of Water, Energy and Petroleum and its subordinated agencies (Agency for Rural Electrification ADER and Electricity Regulatory Authority ORE) with the further development and implementation of the country’s energy policy and institutional and legislative framework, among others for the integration of renewable energy resources into the main electricity grid, run by the state-owned utility Jirama. According to estimations made by Jirama, electricity demand will increase by 8 % per year up to 2030. Therefore, in order to reach the ambitious goal of serving 70 % of the overall population with reliable electricity by 2030, an additional generation capacity of 460 MW up to 2020 and 700 MW up to 2030 are needed.
It is against this background that, in 2015, the Government of Madagascar founded the “Programme Hydroélectriques Prioritaires” (PHP). PHP prioritizes the development of 5 hydro power sites as well as 13 hybrid sites (hydropower combined with PV and/or biomass). In late 2015, the Ministry of Energy published a tender for the development of 4 hydro power sites (42-300 MW) on the basis of IPP and EPC contracts and signed provisional adjudications with 4 consortia of private companies for the development of detailed feasibility studies and plans for the realization of the projects at hand.
The present contract is supposed to support the Ministry of Energy in the evaluation and validation of the technical and financial feasibility studies as well as in the process of negotiating power purchase agreements between Jirama and the private operators for the 4 hydro power stations. It is the aim of the consultancy to strengthen the capacities of the Ministry of Energy and its subordinated bodies ADER and ORE in supervising and steering privately operated energy supply projects from project development stage up to signing IPP contracts and negotiating power purchase agreements.
In accordance with Article 135 Section 2 of the German Act Against Restraint of Competition (GWB), the deadline for asserting the invalidity of the contract ends within 30 days of the notice of contract award published in the Official Journal of the European Communities.
The current assignment is working to support the Ministry of Energy in the evaluation and validation of the technical and financial feasibility studies as well as in the process of negotiating power purchase agreements between Jirama and the private operators for the 4 hydro power stations. It is the aim of the consultancy to strengthen the capacities of the Ministry of Energy and its subordinated bodies ADER and ORE in supervising and steering privately operated energy supply projects from project development stage up to signing IPP contracts and negotiating power purchase agreements.
— 2 technical international experts (environmental and civil engineering) to supplement the expertise already on the team and to achieve compliance with international environmental performance standards for hydropower schemes.
Increase in the number of experts days for selected experts already on the team to allow for more flexibility in providing advice from a distance.
Due to considerable changes in the timing of the individual steps of the evaluation/validation/negotiation of the 4 projects that form the subject of the assignment, supplementary expertise for the coordination among the experts on the assigned team as well as with the client and its project team became necessary in order to achieve the objectives foreseen in the initially concluded contract. Furthermore, additional to the terms originally concluded with the partner institution, the partner institutions demand a benchmarking, adaptation to and monitoring of the respect of international performance standards for hydro power plant development (social, environmental, civil engineering). To respond to these changes, the contract will be extended by the assignment of 3 further experts.


Winner: Gopa-intec GmbH