 14:05 / 28 August, 2024
Auctions for the construction of new generating capacities: the procedure and features
Olga Savchenko, partner of the Law Firm ALTELAW, especially for ExPro Electricity
This month, on August 13, the Cabinet of Ministers of Ukraine adopted the Order 756-p "Some issues of the tender for the construction of generating capacity and the implementation of demand management measures" (hereinafter – Order No. 756), according to which the procedure for preparing for the competition for the construction of new generating capacities with the following conditions has been started:
construction of generating capacity of highly maneuverable power plants with the possibility of rapid start/suspension to ensure the availability of guaranteed reserves of secondary regulation (frequency recovery reserves) in the united energy system of Ukraine.
payment for the service to ensure the development of generating capacity (marginal) 854 977.5 euros for 1 MW of payment in 10 years;
the maximum deadline for commissioning of the future electric power facility is December 31, 2027;
the minimum installed capacity of the electric power facility is 5 MW, the maximum installed capacity of the electric power facility is 80 MW;
the minimum period of guaranteed (design) operation of the generating unit equipment is not less than 20 years (or 100 000 hours in generation mode).
mandatory compliance with certain technical requirements.
The norm regulating this type of support is enshrined in Article 29 of the Law of Ukraine "On the Electricity Market", according to which, in case of insufficiency of the existing generation and generation, which is built to ensure demand and supply security, a tender can be held for the purchase of services for the construction of such capacity, reconstruction (modernization) of the current generating capacity, extend the life of power units of nuclear power plants.
The same article stipulates that as incentives for the construction of a new generation on the terms of the competition can be used:
1) setting a fee for the service to ensure the development of generating capacity, which we see in the competition, which is enshrined in Order No. 756;
2) facilitating the allocation of the land plot/allocation of the site for the construction of a new generating capacity;
3) application of public-private partnership mechanisms;
4) provision of state aid to business entities at the expense of state or local resources.
The procedure for holding the competition is directly regulated by the Resolution of the Cabinet of Ministers of July 10, 2019. No. 677 "On Approval of the Procedure for Conducting a Competition for the Construction of Generating Capa And the Implementation of Measures for Demand Management" (hereinafter – Resolution No. 677).
The competition will be held by the Transmission System Operator, but in fact, the specially created commission is responsible for the competition (term of creation of 30 calendar days from the date of adoption of the relevant order), which includes:
Minister or Deputy Minister of Energy, Chairman of the Commission;
General Director of the Directorate of the Electricity Complex and Electricity Market Development of the Ministry of Energy, Deputy Chairman of the Commission;
Chairman or responsible deputy chairman of the board of the transmission system operator (subject to consent);
member of the NEURC (according to the distribution of powers);
Head of the structural unit of the NEURC, which is involved in the formation and implementation of a unified state policy in the field of electricity market functioning;
Deputy Minister of Economy (according to the distribution of powers);
Deputy Minister of Development of Communities and Territories (according to the distribution of powers);
Secretary of the Competition Commission (a person appointed by the chairman of the competition commission on the proposal of NPC Ukrenergo).
The competition is held on the basis of the tender documentation developed by the CJ within 60 days from the date of adoption of the relevant order, which must be approved by the competition commission. By the way, at all stages of the competition, Resolution No. 677 provides for significant involvement of the Energy Community. In particular, for example, they must be transferred the approved tender documentation.
Also, the competition documentation can be changed or clarified based on the results of the meeting with potential participants of the competition, which is held after its publication. The list of documents, information, requirements, etc., which should include the competition documentation clearly defined in part 17 of Resolution No. 677. At the same time, the requirement for the participant of the competition or its guarantor (guarantor) of the experience of the implemented project for the reconstruction and/or modernization of power equipment and/or new construction of a power plant with an installed capacity of at least 20 MW as a customer and / or general contractor, and / or contractor, deserves special attention. That is, in fact, only companies operating in the field of energy and, in fact, the energy sector of significant capacities have access to the competition.
Also, with the tender documentation, the potential participant must provide documents confirming the rights to the land plot, if it is necessary for such a plot to sell the object.
Of course, Resolution No. 677 also provides for the introduction by the participant or his guarantor and a financial guarantee for participation in the competition, which is 100 000, 00 euros basic and plus 1000, 00 euros per 1 MW of the capacity, which the participant declares in his competitive offer.
If the tender did not have taken place, or after the conclusion of the contract with the winner, the warranty is to be returned. The competition is held in two stages, which provide for the qualification of participants and the definition of the best offer.
At the qualification stage, the commission:
familiarizes with the qualification documentation of the participant (qualification documentation and price offer are submitted by two separate envelopes);
makes a description of the submitted documents and within 5 calendar days publish the protocol of disclosure of tender documentation;
may ask each of the participants clarifying questions to the documentation within a specified time frame;
must, within 30 calendar days from the date of disclosure of the qualification part, issue a protocol with a decision that the participants meet the requirements and which do not (a negative decision is made in the case of an incomplete package of documents, the absence of proper translation, failure to submit the financed support, inconsistency of the technical parameters of the proposed object with the conditions of the tender).
The next stage is carried out no later than 10 calendar days from the date of publication of the decision on the results of the qualification of participants. In case of refusal of the participant to participate in the competition after qualification – the warranty for participation in the competition is not returned to him.
The winners of this stage are everyone, in the event that the amount of power declared to the participants is less than necessary. If the larger one – the winner is determined by the rating of the best price offers, and in case of their equality – by the longer life of the future object.
The decision on the winner is drawn up similarly to the protocol within 7 calendar days after the completion of the second stage of the competition and the winners are sent contracts for signing. The winners have 20 calendar days from the date of receipt of contracts for their signing and making a guarantee in the amount of 30 000, 00 euros per 1 MW of capacity. In case of refusal to sign the contract, the warranty for participation in the competition is charged in favor of the TSO.
In the future, the winner must ensure the construction of the energy facility within the established period, provide the TSO with documents confirming the commissioning of the facility, receive the return of the warranty and begin to receive equal parts with the periodicals determined by the contract, the cost of the construction of the generating capacity and the implementation of measures to manage the demand in the hryvnia equivalent of the amount in euros.
Accordingly, we expect the first competition, because given the stated need for 700 MW, it will definitely be large-scale. However, it is obvious that it is necessary to assess the economic feasibility of participation in such a competition and, of course, the implementation of such objects is impossible without insurance of military risks.
Author: ExPro
Link:
hxxps://expro.com.ua/statti/aukconi-na-budvnictvo-novih-generuyuchih-potujnostey-poryadok-provedennya-ta-osoblivost |
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