THE WORLD BANK GROUP has floated a tender for Angola - Cost of Electricity Service Study. The project location is Angola and the tender is closing on 28 Mar 2019. The tender notice number is 1261658, while the TOT Ref Number is 31530477. Bidders can have further information about the Tender and can request the complete Tender document by Registering on the site.

Expired Tender

Procurement Summary

Country : Angola

Summary : Angola - Cost of Electricity Service Study

Deadline : 28 Mar 2019

Other Information

Notice Type : Tender

TOT Ref.No.: 31530477

Document Ref. No. : 1261658

Competition : ICB

Financier : World Bank (WB)

Purchaser Ownership : -

Tender Value : Refer Document

Purchaser's Detail

Purchaser : THE WORLD BANK GROUP
Largo Albano Machado 23/25 Maculusso, Luanda Tel: +244-222-394677 / +244 222 393 389 Attn: Maria Mboono Nghidinwa, Communications Consultant
Angola
Email :mnghidinwa@worldbank.org

Tender Details

Expression of Interest are invited for Angola - Cost of Electricity Service Study.

The World Bank Group (WBG), with funding from the Energy Sector Management Assistance Program (ESMAP) is seeking to hire a specialized consulting firm to prepare: (i) a cost of service study to determine a methodology for calculating the annual revenue requirement (ARR) for the Angolan power utilities (i.e. PRODEL, RNT and ENDE) that would allow them to efficiently operate; (ii) identify a financial model for the electricity sector, which will provide a framework to anchor financial planning at the utility level; and (iii) recommend improvements to the existing tariff structure for electricity service provided by ENDE to its customers.

The Scope of Work will include the following:

TASK 1: Determination of ARRs, procedures and formulae for periodic adjustment. This task will be performed for each of the power utilities to assess their respective cost of service and the needed adjustments, taking into consideration service expansion plans, and appropriate assumptions concerning future generation, fuel mix and fuel prices.

TASK 2: Financial model for the electricity sector. Based on the previous results, the Consultant will provide a financial model for the sector, which will allow for a sound financial planning at the utility level reflecting: (i) the identified ARRs; (ii) indebtedness capacity and financing instruments/options; and (iii) financial ratios typical for the industry for each of the power utilities. The financial model will be designed so as to allow to capture alternative scenarios of investment, demand, generation costs, transmission and distribution (T&D) costs, commitments under power purchase agreements or other contracts and variables.

TASK 3: Recommendations to improve the existing tariff structure and its periodical adjustments for electricity service provided by ENDE to its customers. The Consultant will review the existing tariff structure and propose amendments to make it simpler, provide consumers with right signals on total costs of efficient service provision, and promote rational electricity consumption. Options to be analyzed comprise, among others: (i) binomial time of use (TOU) tariffs with separate energy and demand charges; (ii) tariff differentiation per voltage level; (iii) seasonal tariffs. The identified options shall take into account economic efficiency, financial viability and social objectives. In particular, they should allow for socially-sensitive rates that include cross-subsidy towards economically weak consumer categories, and cost-reflective rates for consumers with ability to pay, identified based on consumption histograms.

TASK 4: Strategy for the transition period. The Consultant will design a strategy (glide path) to move progressively from current situation to the steady state condition, in which a fully cost-recovery tariff structure is enforced. The duration of the transition period and the progressive adjustments to converge to the steady state condition will be determined considering political and social acceptability. Thus, the strategy will define formulae for adjusting the different rates under the tariff structure with adequate progression; the time schedule for effective application of the revised tariff regime and modalities for communication.

Qualification Criteria

· 1. Provide information showing that they are qualified in the field of the assignment. *

· 2. Provide information on the qualifications of key staff. *

· 3. Provide information on their core business and years in business. *

* - Mandatory

Shortlisted consultants will be invited to respond to a Request for Proposal. Contract awards will be made in accordance with the World Bank Group Procurement Policies and Procedures.

Documents

 Tender Notice