AMENDMENT: The Closing Date for receipt of Expressions of Interest is changed to Monday 13 April 2015 at 14:00 London time.
Project Description: The Unitary Enterprise Polotskvodokanal (the "Company") supported by the Government of Belarus (the "Government") and the administration of the City of Polotsk (the "City") approached the European Bank for Reconstruction and Development (the "EBRD", or the "Bank") with a request to finance the priority investments in construction of the new wastewater treatment facilities in the City including aeration tanks, sedimentation tanks, sludge pumps, air blowers, etc. (the "PIP" or the "Project") to ensure compliance with the national and EU standards and recommendations by the Baltic Marine Environment Protection Commission – Helsinki Commission ("HELCOM") for effluent quality treatment. The Company, a water distribution and wastewater treatment company, is 100 per cent owned by the City.
The Project is one of the first three subprojects (together with subprojects in Orsha and Lida) under the Belarus Water Sector Framework (the "Framework" or "BWSF"). The current Framework aims mainly at reducing pollution of the Baltic Sea basin, and to some extent also to the Black Sea basin. It follows the first wave of projects signed by the Bank in 2012 to rehabilitate the wastewater treatment facilities in Vitebsk, Slonim and Baranovichi which are now being implemented.
The City does not have its own wastewater treatment plant and would like to construct one that would serve the entire population of 85,000 people and commercial customers in Polotsk. The construction of the wastewater treatment plant in Polotsk commenced in 2008 aimed at commissioning the plant into operation in 2010. During 2008-2010 the construction was financed from the Republican and Oblast budgets. It is estimated that approximately 20 per cent of the works had been completed before the works stopped in 2011 due to the lack of financing.
On this basis, the Bank is looking to engage a suitably qualified consultant (the "Consultant") to prepare a feasibility study, which shall include inter alia: a) identification and a detailed assessment of the PIP that will cover the period of 13 years, (i.e. the financing period) and evaluate its benefits, including assessing its environmental and social feasibility; b) detailed financial analysis of the Company, as well as; c) preparation of overall procurement and project implementation plans.
The Feasibility Study will determine the priority investments for the Project, which will be financed by the EBRD loan and will form the basis for project appraisal and approval by the EBRD and the Government. The Feasibility Study will provide detailed calculations of financial Internal Rate of Return ("IRR") and Economic IRR ("EIRR") for the Project.
The overall objective of the assignment is to prepare a feasibility study for the Company and the City, which the Bank can use to appraise the Project and take a decision on the prospective financing. The feasibility study shall be in line with international requirements for such studies.
Specific objectives of the assignment shall include, inter alia:
- Development of an affordable, least cost and cost effective bankable investment programme for the Company;
- Financial analysis of the Company and preparation of financial projections. The projections shall be fully consistent with the proposed PIP, strategic development plan and be based on prudent assumptions on the Company's revenues and expenditures. Financial projections shall include annual balance sheets, income and cash flow statements;
- Determination of an efficient implementation strategy for the PIP;
- Once the Project/PIP has been confirmed, screen the project against the EBRD’s Environmental and Social Policy (2014, “ESP”) and associated Performance Requirements ("PRs") to determine the project category (A or B) and the environmental and social due diligence required;
- If the project is categorised as B, and once agreed with the EBRD, carry out the Environmental and Social Assessment (E and S Due Diligence – “ESDD”) of the proposed project to identify its environmental and social risks, impacts and benefits and to structure the Project to comply with the ESP and PRs. If the Project is categorised as A, this ToR will be revised by the EBRD;
- Identify potential energy saving and materials efficiency measures (i.e. adequate sludge management / disposal solutions).
The Feasibility Study will provide an overview of the Company’s procedures and technical, operational, environmental, social, and financial performance, and should form the basis for agreeing on the Company’s restructuring objectives in the loan document (e.g. reduction in water losses, improvements in tariff collections, standards of treatment, etc.).Status of Selection Process: Interested firms or groups of firms are hereby invited to submit expressions of interest.
Assignment Start Date and Duration: The Assignment is expected to start in May 2015 and has an estimated overall duration of 3 months.
Cost Estimate for the Assignment: EUR 280,000 (exclusive of VAT). The Consultant must determine whether any VAT would be chargeable on the services and the basis for that determination, without taking into consideration the special status of the Bank as an IFI and state this to the Bank in their response to the Invitation for Expressions of Interest. To the extent that a Consultant incurs input VAT on goods and services purchased in connection with the provision of services (e.g. VAT on airline ticket) which is not otherwise recoverable by the consultant from the local tax authority, the gross cost to the consultant of such expenses shall be treated as a reimbursable expense.
Funding Source: It is expected that the Assignment will be funded through the EBRD Technical Cooperation Programme. Please note selection and contracting will be subject to the availability of funding.
Eligibility: There are no eligibility restrictions.
Consultant Profile: Corporate services are required. The Consultant will be a firm or a group of firms with previous project experience related to water and wastewater management.
The Consultant’s expert team is expected to include key experts as follows:
- Project Manager/Team Leader with a university degree or equivalent qualification with a approximately 15 years professional experience in the field of water supply and wastewater management, with comprehensive experience of similar assignments in Eastern Europe or the CIS, as well as in institutional and commercial management of water/wastewater Company. He/she should demonstrate management and administration experience, including experience with procedures of international financing agencies (preferably EBRD procedures). The large number of different tasks and the complexity of administrational procedures require a permanent presence of the Project Manager in the Country during the project period of intensive work on preparation of the Feasibility Study;
- Financial specialists with knowledge of the public financing and modelling;
- Technical specialists and water and wastewater engineers;
- Environmental and Social experts with experience in ESIAs and E and S due diligence, health and safety, stakeholder engagement, public consultation and disclosure in the local context, gender and inclusion expertise, and/or resettlement expertise, in water/wastewater sector with experience of similar assignments and with recent track record in the region (approximately 3 years of work on similar assignments);
- Institutional expert with experience of similar assignments;
- Legal expert with relevant experience in the areas of natural monopolies regulation and knowledge of Belarusian tariff legislation;
- Local experts with good communication skills and evidence technical knowledge of water supply and wastewater.
Submission Requirements: In order to determine the capability and experience of Consultants seeking to be selected for this Assignment, the information submitted should include the following:
1. Company/group of firms’ profile, organisation and staffing (max. 2-4 pages).
2. Details of previous project experience or similar assignments particularly 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 (if different from duration) , main activities, objectives.
3. 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.
4. Completed Consultant Declaration Form and Contact Sheet, the template for which is available from the following web-link:
The above information should not exceed 20 pages excluding CVs and contact sheet.
The complete expression of interest (including CVs, Consultant Declaration and Contact Sheet) should be submitted, in English, electronically through e-Selection, to reach the Bank not later than the closing date. The expression of interest shall be one file (pdf). The EBRD reserves the right to reject applications of firms submitting more than one file. Only if the permissible file size is exceeded (4MB), the Consultant may split the expression of interest into further files.
Bank Contact Person:
European Bank for Reconstruction and Development
One Exchange Square
London EC2A 2JN
Tel: + 44 20 7338 6338
e-mail: email@example.com (submissions should be sent through eSelection and NOT to this email address)
1. The selection will normally be made from responses to this notification only. Consultants will not be asked to submit a proposal. The highest-ranked Consultant will be selected from a shortlist and be invited to negotiate the contract, subject to availability of funding.
2. The evaluation criteria are as follows:
a) Firm’s experience in similar assignments with IFIs, preferably in the water and wastewater sector - 35%
b) Firm’s experience of working in the CIS region - 15%
c) CVs of the team leader and key experts with relevant experience as per above - 50%.
3. This procurement notice is published in parallel with two other procurement notices for Feasibility Studies under the Belarus Water Sector Framework (for the Cities of Orsha and Lida). Interested consultants may apply for any or all three assignments.