Public procurement notice: Contract Award Notice
Published: 2024-11-21
Region: DEA22
Contract type: Services
Procedure: Negotiated with prior call for competition
CPV classification: 75211200 | 79411100
Estimated value: 993812.79 EUR
Award criteria: price, quality

Technical requirements: According to Article 160, Section 3 of the German Act Against Restraint of Competition (GWB), application for review is not permissible insofar as
1. the applicant has identified the claimed infringement of the procurement rules before submitting the application for review and has not submitted a complaint to the contracting authority within a period of 10 calendar days; the expiry of the period pursuant to Article 134, Section 2 remains unaffected;
2. complaints of infringements of procurement rules that are evident in the tender notice are not submitted to the contracting authority at the latest by the expiry of the deadline for the application or by the deadline for the submission of bids, specified in the tender notice;
3. complaints of infringements of procurement rules that first become evident in the tender documents are not submitted to the contracting authority at the latest by the expiry of the deadline for application or by the deadline for the submission of bids;
4. more than 15 calendar days have expired since receipt of notification from the contracting authority that it is unwilling to redress the complaint.
Sentence 1 does not apply in the case of an application to determine the invalidity of the contract in accordance with Article 135, Section 1 (2). Article 134, Section 1, Sentence 2 remains unaffected.
The project "Sector Coupling and Green Economy in Brazil" is commissioned by the German Federal Ministry for Economic Cooperation and Development (BMZ) and implemented by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, in partnership with the Brazilian Federal Ministry of Mines and Energy (MME). The project goal is: "The urban transport and industrial sectors of the Brazilian economy are more climate-neutral, environmentally friendly and socially just". As a part of that project, this contract focuses on assessing the technical, economic, and environmental potential for vehicle fleet electrification in five Brazilian cities. The contract involves evaluating suitable technologies for these cities, analyzing environmental impacts, assessing economic implications, creating digital measures, and implementing a standardized method that is scalable to multiple cities.

Brazil has today one of the electricity grids with the largest share of renewable energy sources in the world. In 2023, renewables accounted for 93.1% of all electricity generated in the country and the forecast is that the share of renewables in the energy mix will continue to increase, especially wind, biomass, and photovoltaic energy.
However, energy-related emissions in Brazil have increased sharply over the past 20 years, especially in sectors such transport (+53%). In the transport segment, only 21.5% of energy comes from renewable sources, despite Brazil being a country with availability of biomass-based fuels (especially ethanol).
According to data from the Energy Research Company (EPE), industry represents today one of the largest segments of energy consumption in the Brazilian economy. The Institute of Energy and Environment (IEMA) attributes almost 70% of annual greenhouse gas (GHG) emissions from fossil fuel consumption in Brazil (513 Mt CO2-eq) to the transport (196 Mt CO2-eq). Direct electrification with renewable energy makes it possible to reduce emissions in transport, the share of urban transport (buses, urban cleaning and urban logistics) is about 34 Mt CO2-eq.
Objective
The project seeks to contribute to making transport in Brazil more climate neutral and environmentally friendly.
Methodology
In the wake of the 2015 Conference in Paris (COP 21), Brazil announced that it will reduce its greenhouse gas emissions by 43% by 2030, compared to 2005. To achieve this, in addition to the increased use of renewable energy, energy efficiency should be increased by 10%.
Therefore, the coupling of the main energy-consuming sectors, with the generation of renewable electricity offers an immense potential for decarbonization in Brazil. An effort that is in line with the goal set by the country to achieve climate neutrality by 2050 and that can contribute to transforming Brazil into one of the greenest and most competitive economies globally.
In this sense, the project Sector Coupling and Green Economy seeks to work together with federal ministries, companies, and research institutes to foster direct electrification in transport to replace fossil energy sources. The project will work with 5 Brazilian municipalities, 2 of which in the Northeast, to provide technical and specialized advisory in the context of urban decarbonization strategies, for example, on topics such as electrification of public transport, urban services and urban logistics and the development of digital tools to improve service quality. In addition, the project will seek political articulation with the corresponding ministries and with research institutions relevant to the elaboration and dissemination of concepts of socially just and gender-equitable electrification in the transport sector.
Furthermore, the project will seek articulation with business associations and research institutions for the development of electrification concepts based on the needs of associated companies, as well as concepts for the dissemination of direct electrification to other regions and other Brazilian industries.
Impact
The opportunities and potential of direct electrification have not yet been systematized or disseminated. Through the Sector Coupling and Green Economy project, the expectation is an increase in the interest for fostering direct electrification and related technologies that contribute to decrease emissions in urban transport. In this way, urban transport will be able to play a more active role in the energy transition.
Regarding the direct impact, it is expected that the project will contribute to reducing annual greenhouse gas emissions by at least 10,000 tons of CO2-eq in 5 municipalities through the use of at least 30 zero-emission vehicles.
The project "Sector Coupling and Green Economy in Brazil" is comprised of a total of 3 Outputs. In particular, the contractor is expected to contribute to the achievement of the goals described in Output 1 (mobility), supporting GIZ to fulfil the Output indicator 1.1 (fleet electrification), and Output indicator 1.2 (sustainable mobility measures) further described below. 
- Output 1: In selected municipalities, the sustainable benefits of using zero-emission vehicles and associated digital systems have been proven in public transport, public services, and delivery transport.
o 1.1 Output indicator: In 5 municipalities (including 2 in northeastern Brazil), the use of 2 new emission-free vehicles each year with associated digital systems in public-relevant areas was evaluated in a benefit-oriented manner in the context of sustainable mobility.
o Base value: 200 zero-emission vehicles
o Target value: 230 emission-free vehicles 
o 1.2 Output indicator: In selected municipalities, 20 digitally supported measures to promote sustainable mobility with added value for users were evaluated for the first time.
o Base value: 0 (no digitally supported measures)
o Target value: 20 measures 
The aim of this assignment is to demonstrate the sustainable benefits of using emission-free vehicles and associated digital systems in public transport (buses, watercraft), public services (city cleaning) and delivery traffic (city logistics) in selected municipalities. The assumption is that proof of sustainable use in accordance with the globally successful Avoid-Shift-Improve approach will lead to the use of more and more emission-free vehicles that are attractive to all social groups, making urban transport increasingly climate-neutral, environmentally friendly, and socially fair.
The contractor is responsible for providing the following work packages and for achieving the corresponding milestones. The detailed activities under each work package will be defined after the 5 (five) partner cities and their demonstration projects have been selected, during operational planning with participation of the Ministry of Mines and Energy and the Ministry of Cities. The content of the work packages (WP) is described below: 
- WP 1. The contractor will have an initial meeting with GIZ"s project staff following signature of the contract. The purpose of the meeting is to clarify the assignment in terms of expected outcomes, methodology, and deliverables. This involves creating an activity planning and methodological report to discuss and clarify roles and responsibilities as well as to establish clear communication lines.    
- WP 2. The contractor is expected to familiarize themselves with the 5 city administrations and other relevant stakeholders, to gather existing information and documentation. During the inception mission, the contractor must gather relevant information to identify any missing details necessary for project development. The contractor shall create an inception report defining the project"s scope, characterizing each city, and developing work plan for the project. Following the review of all relevant information prepared during the Inception Report for the 5 selected cities, the contractor shall carry out the necessary consultations, studies, and activities to prepare a feasibility study with an analysis of the sustainable benefits of using zero-emission vehicles targeting a just transition. Additionally, the contractor shall conduct the Procurement Package to implement these vehicles in each city.
- WP3. To achieve the ambitious emission reduction goals in Brazilian cities, the solutions of mitigation projects shall be structured in a way that allows them to be replicated and upscaled. Therefore, SECTOR COUPLING works with city administrations to strengthen their capacities in project preparation and finance, enabling their administrations to possess the institutional capacity to access finance, to operate infrastructure projects in a sustainable manner, and to undertake similar projects more independently in the future. The development of technical expertise and capacities is a key-aspect in the implementation of E-vehicles projects, especially in countries where the technology is not already implemented. The operation of a e-vehicles system requires a high-level technical knowledge that challenges the local labour market. This means the process of capacity building cannot be assigned to the service provider only, but it requires e-buses operation specialists to train and later supervise the first generations of employees during the actual operation of the transport system. This capacity development measure will enable the operating entity to slowly adopt the required knowledge, considering both a first phase, for the operation of the e-vehicles, as well as a second phase, for their own capacity building.
- WP4. The consultant shall support the city administrations in the development of 20 digitally supported measures (at least two per city) to promote sustainable mobility with added value for users were evaluated for the first time. These digital measures entail a comprehensive approach, starting with a needs assessment meeting to identify specific city requirements. Based on this analysis, a potential list of possible digitally supported measures list shall be compiled, together with an implementation strategy.


Winner: Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH
Award value: 1
Number of bids: 8