Executing Agency (Client): CET-Nord JSC

Assignment Description:  The City of Balti (the "City" or "Balti"), population 145,000, is situated 127 kilometres north of the capital Chisinau, and is located on the river Raut. CET-Nord JSC ("the Company") is the major distributor of district heating ("DH") services, supplying heat to approximately 70 per sent of the City population. The Company operates one of the three major CHP plants in Moldova and a coal-fired Heat Only Boiler.

The Government of Moldova has approached the European Bank for Reconstruction and Development (the "EBRD" or the "Bank") requesting a loan to support energy efficiency investments in the district heating infrastructure. The Bank intends to provide a EUR 7 million loan (the "Loan") and it is expected that the Borrower will receive a EUR 3 million investment grant (the "Grant") from the Eastern Europe Energy Efficiency and Environment Partnership (the "E5P").

The Loan has been structured as a sovereign loan to the Republic of Moldova, to be on-lent to the Company. The objective of the Project is to achieve significant energy savings through implementation of the demand side measure, improve reliability and quality of service for the population and improve sustainability of the Company operations through energy efficiency investments and operational improvements. The following project components (financed both by the Loan and the Grant) have been considered:

1. installation of Individual Heating Substations ("IHS") in residential buildings (EUR 2.8 million);
2. installation of three combined heat and power generation plants ("CHP") for simultaneous generation of heat and electricity based on gas engine technology (EUR 6.2 million);
3. rehabilitation of the heat generation system, including replacement of DH network pumps and fans and installation of frequency converters (EUR 0.8 million);
4. conversion of a coal-fired boiler to use biomass fuel use (~EUR 0.2 million).

It is expected, that the investment will greatly improve operating parameters of the Company and enable consumer-controlled operation of the district heating network in the project areas. This will result in savings of fuel, maintenance and operating costs, increased reliability of provided services and a reduced environmental impact.

The Project will finance only the Priority Investment Programme (covering both Loan-financed and Grant-financed components), which is limited due to financial constraints of the Company. The Company will need to invest more in the future to ensure continued energy efficiency improvements and service quality upgrade

For the purposes of Project implementation, a Project Implementation Unit ("PIU") is being organised to operate within the Company, and staffed by local personnel. The PIU’s activity is aimed at the co-ordination of all activities under the Project and cooperation between the representatives of the Company on the project sites and the contractor, as well as at improvement of the project management mechanisms. 

This assignment will provide the PIU with support from an independent Consultant (the "Consultant"). The Consultant shall co-operate and proactively interact with the PIU staff and other Consultants (including auditors) working with the Company throughout the duration of the assignment.

The overall objective of this consultancy assignment is to facilitate the timely and effective implementation of the Project by:
- rendering assistance to the Company in implementation of the Project, including all aspects of procurement, contract administration, engineering supervision and disbursement;
- providing timely recommendations and reporting to the Company in the contract administration process;
- assist with the administration of the goods, works and supply and installation contracts and advising the Company with respect to all aspects which, in the Consultant’s professional judgment, may jeopardize the Project’s successful implementation and/or constitute violation of the contract conditions; and
- if requested, the Consultant will be obliged to help the Company to provide the Bank with data, advice and information in relation to the contracts which shall be impartial and take due regard of the best industry practices.

It is expected that with the involvement of the Consultant, the Company will have access to best practice in the implementation of projects and procurement, as well as advice on specific technical issues. The Consultant will provide assistance in procurement of the contracts in accordance with the procedures and documentation of the Bank and pursuant to all other agreements stipulated in the Loan Agreement and the Grant Agreement signed between the Company and EBRD.

Status of Selection Process: Interested firms or group of firms are hereby invited to submit expressions of interest.

Assignment Start Date and Duration: The Assignment is expected to start at the end of 2014 and has an estimated overall duration of 36 months.

Maximum Budget available for the Assignment: EUR 400,000 (exclusive of VAT).

The Consultant must determine whether any indirect taxes/VAT are chargeable on the proposed services and state the basis for such. If any indirect taxes/VAT are payable, the Client will have to pay indirect taxes/VAT element to the services directly to the Consultant unless otherwise agreed.

Funding Source:  Swedish International Development Agency (Sida) -EBRD Municipal Environment and Climate Programme Fund.

Eligibility: There are no eligibility restrictions.

Consultant Profile: Corporate services are required. The Consultant will be a firm or a group of firms with proven experience in the district heating sector and in implementing the key areas of this assignment.

The Consultant shall be responsible for mobilisation of qualified engineers, technicians and other professional staff with the proven experience in the administrative management, procurement and administration of similar works and acquiring the equipment for the projects in comparable climatic and geological conditions.

The budget for the assignment is limited and although it is anticipated that the Consultant’s team shall include the following expertise with short-term support as required in other disciplines, the Consultant will need to provide the optimum work schedule for its staff to ensure sufficient resources are in place on site to manage the contracts. For this reason office backstopping should be kept to a minimum:
- Project Manager;
- Heating Engineers;
- IFI Procurement and Contract Specialist; and
- Financial Expert.

All experts shall have a minimum of 5 years experience of the activity, which they are proposed for in a similar position including:
- have project management experience gained in countries with climatic conditions similar to the project sites;
- have construction and supply experience gained in countries with climatic conditions similar to the project sites;
- have experience in district heating projects, knowledge of FIDIC and/or World Bank/EBRD Works and Supply and Installation contractual arrangements;
- have experience in (i) planning; (ii) project management; (iii) engineering; (iv) procurement of goods, works and services: (v) financial management of projects; and (vi) supervision;
- have a good knowledge of procedures and rules of procurement of international financial institutions, such as the World Bank, ADB or EBRD;
- knowledge of requirements of Moldovan legislation concerning construction issues would be an advantage; and
- Moldovan/Russian speaking site staff will be required.

Submission Requirements: In order to determine the capability and experience of Consultants seeking to be shortlisted, the information submitted should include the following:
(a) brief overview of the firm/group of firms including company profile, organisation and staffing;
(b) details of similar experience of firm or group of firms and related assignments undertaken in the previous five years, including information on contract value, contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided, assignment budget, percentage carried out by consultant in case of association of firms or subcontracting, main activities, objectives;
(c) CVs of key experts who could carry out the Assignment detailing qualifications, experience in similar assignments, particularly assignments undertaken in the previous five years, including information on contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided, assignment budget, main activities, objectives;
(d) Completed Declaration and Contact Sheet, the template for which is available from the following web-link:

http://www.ebrd.com/pages/workingwithus/procurement/notices/csu/contact_sheet.doc

The expression of interest shall not exceed 20 pages (excluding CVs and contact sheet).

One original and 2 copies of the expression of interest, in English, and two copies in Moldovan, shall be submitted to the Client in an envelope marked “EXPRESSION OF INTEREST for Balti District Heating Project – Project Implementation Support”, to reach Client not later than 18 September 2014 at 10:00 am (Moldova time). The expression of interest shall also be submitted electronically to the Client's and EBRD’s contact persons by the same due date.

Important Notes: Following this invitation for expressions of interest, a shortlist of qualified firms will be formally invited to submit proposals. Consultant selection and contracting will be subject to availability of funding.

The Shortlisting criteria will be as follows:
1) Firm’s proven experience and expertise in the district heating sector – 20%
2) Firm’s proven experience in supporting the procurement and implementation of large public sector projects financed by IFIs - 30%;
3) Firm’s experience in similar assignments in comparable climatic and geological conditions - 20%; and
4) Team composition and CVs of key experts in line with the procurement notice - 30%.