B -- CADAFE TURBOGAS FACILITY REHABILITATION PROJECT

Notice Date

November 5, 2001

Contracting Office

USTDA, 1621 N. Kent Street, Suite 200, Arlington, VA 22209-2131

ZIP Code

22209-2131

Response Due

December 7, 2001

Point of Contact

POC -- Evangela Kunene, USTDA, 1621 N. Kent Street, Suite 200, Arlington, VA 22209-2131, Tel: (703) 875-4357, Fax: (703) 875-4009

Description

The Grantee invites submission of qualifications and proposal data (collectively referred to as the "Proposal") from interested U.S. firms which are qualified on the basis of experience and capability to develop a feasibility study that would evaluate the possibility of rehabilitating turbine gas capacity at several existing plants in Venezuela. * This RFP is being re-tendered for 30 calendar days, in accordance with CADAFE selection procedures. CADAFE, is the Venezuelan national power company, which is involved in the generation, transmission and distribution of electricity for two million customers (90 percent of which are residential users). The company has 4,308 MW of installed capacity, 3,597 of which is thermal power, while 711 MW comes from hydropower. CADAFE also owns 14,000 kilometers of transmission lines through its four regional transmission and distribution companies. Despite these assets, CADAFE is failing to keep pace with electrical demands placed upon the system, particularly in Southwestern Venezuela. The Venezuelan Electric Sector Law mandates that companies participating in the Venezuelan market must do so by making efficient use of primary energy sources while operating in an open and competitive generation market. Therefore, in keeping with their need to have a competitive turbogas generation park in anticipation of the creation of a deregulated competitive electricity market in Venezuela within the next two years, along with the unbundling of state utility operations and the privatization of certain state companies in the sector, CADAFE has requested a feasibility study to determine the best strategies for upgrading the existing turbogas system. The study would entail a technical and economic analysis of rehabilitating some 1,006 MW of nominal gas turbine capacity at eight plants throughout Venezuela, and it would consider various plans of action and a broader market study. The eight plants include: La Cabrera, Pedro Camejo, Coro, Guanta, Alfredo Salazar, San Fernando, Punto Fijo and Planta Tachira. The feasibility study components include: Task 1. Prepare capital cost estimates of rehabilitation program, considering three options: rehabilitate for operation in present configuration; rehabilitate and reconfigure for combine-cycle operation; and tear-down and rebuild. Perform inspection of 36 units for rehabilitation Prepare preliminary engineering for each of the eight facilities Prepare a detailed cost estimate for the rehabilitation project Task 2. Evaluate potential market. Gather detailed system forecasts for CADAFE and the Venezuelan system Gather information on proposed operation of restructured power market in Venezuela Develop a system model to perform analysis of transmission system Gather relevant information for preparation of price forecasts Task 3. Evaluate economic and financial feasibility of the proposed rehabilitation project. Prepare detailed financial model for the project for each option Describe alternative financing and contractual arrangements possible for the project Perform sensibility analysis to evaluate the impact of relevant scenarios Prepare detailed recommendations for consideration by CADAFE Task 4. Final Reports. A final report shall be prepared in accordance with Clause I of Annex II of the Grant Agreement. The U.S. firm selected will be paid in U.S. dollars from a $180,000 grant to the Grantee from the U.S. Trade and Development Agency (TDA). The Study has been estimated by TDA to cost US $200,000. The TDA Grant funding of US $180,000 will cover only a portion of that amount. The Contractor and/or its subcontractors must cover whatever cost is necessary to complete the full Terms of Reference. A detailed Request for Proposals (RFP), which includes requirements for the Proposal, the Terms of Reference, and a background desk study report are available from TDA, at 1621 N. Kent Street, Suite 200, Arlington, VA 22209-2131. Requests for the RFP should be faxed to the IRC, TDA at 703-875-4009. In the fax, please include your firm's name, contact person, address, and telephone number. Some firms have found that RFP materials sent by U.S. mail do not reach them in time for preparation of an adequate response. Firms that want TDA to use an overnight delivery service should include the name of the delivery service and your firm's account number in the request for the RFP. Firms that want to send a courier to TDA to retrieve the RFP should allow one hour after faxing the request to TDA before scheduling a pick-up. Please note that no telephone requests for the RFP will be honored. Please check your internal fax verification receipt. Because of the large number of RFP requests, TDA cannot respond to requests for fax verification. Requests for RFPs received before 4:00 PM will be mailed the same day. Requests received after 4:00 PM will be mailed the following day. Please check with your courier and/or mail room before calling TDA. Only U.S. firms and individuals may bid on this TDA financed activity. Interested firms, their subcontractors and employees of all participants must qualify under TDA's nationality requirements as of the due date for submission of qualifications and proposals and, if selected to carry out the TDA-financed activity, must continue to meet such requirements throughout the duration of the TDA-financed activity. All goods and services to be provided by the selected firm shall have their nationality, source and origin in the U.S. or host country. The U.S. firm may use subcontractors from the host country for up to 20 percent of the TDA grant amount. Details of TDA's nationality requirements and mandatory contract clauses are also included in the RFP. Interested U.S. firms should submit their Proposal in English and Spanish directly to the Grantee by 4:00PM local Caracas time, December 7, 2001 at the above address. Evaluation criteria for the Proposal are included in the RFP. Price will not be a factor in contractor selection, and therefore, cost proposals should NOT be submitted. The Grantee reserves the right to reject any and/or all Proposals. The Grantee also reserves the right to contract with the selected firm for subsequent work related to the project. The Grantee is not bound to pay for any costs associated with the preparation and submission of Proposals.

Record

Loren Data Corp. 20011107/BSOL002.HTM (W-309 SN512331)