The United Republic of Tanzania Millennium Challenge Account - Tanzania

Consulting Services For Energy Projects

Pre Bid Conference Meeting 28th January 2008

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Disclaimern Information provided in this presentation is an abridged version

of the information in the RFP. Consequently, the RFP and TOR supersede this presentation

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Presentationn Backgroundn The Role of Consulting Engineern Phases of Contract Activitiesn Project Informationn Procurement and Contracting

Background

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Objective of MCC Programn The grant received by the Government of the United Republic of

Tanzania from the U.S. Government, Millennium Challenge Corporation (MCC) will be used for investments in transport, energy and water sectors to:

t Stimulate economic growtht Increase household incomet Reduce poverty

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Due Diligence and Project Selection

Meet MCCEligibility Criteria Countries Develop

and Submit Proposals

MCC Due Diligence,Approval by Investment

Committee, Compact Signed

Implementation,Monitoring &

Evaluation

Must satisfy 17 criteria on an on-going basis:

ß Good governance (6)ß Sound economic

policies (6)ß Investment in people

(5)

Home-grown proposals focus on:

ß Constraints analysisß Consultative

(participatory) process that engages civil society

ß Technical and economic feasibility

ß Social and environmental sustainability

Due diligence ensures compact is based on:

ß Institutional capacity to implement the projects

ß Requirements for long term sustainability of projects (e.g. tariff restructuring, increase O&M funds) are met

ß An enabling policy environment exists

Project implementation and M&E to ensure:

ß Transparent and competitive procurement

ß Monitor and evaluate project and program level indicators

ß Focus on economic growth and impact on beneficiaries

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Energy Project Activities

n Distribution Systems Rehabilitation and Extension Activity in Six Regions (the “T&D Project”)

n Malagarasi Hydropower and Kigoma Distribution Activity (the “Hydro Project”)

n Zanzibar Interconnector Activity (the “Cable Project”)

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Project Implementation Structure

MCC(HQ & Country Team)

MCA-Tanzania(Accountable Entity)

Accountable Entity Agreement

TANESCO(Implementing Entity - Energy)

Implementing Entity Agreement

Strategic Planning & Projects

Procurement Management Unit

6-Region T&DMalagarasi Hydro

&Kigoma Mini-Grid

Zanzibar 2nd Interconnector

Mbeya&

IringaDodoma Morogoro Tanga Mwanza Access

Road Sub-Sea Cable &

Overhead Extensions

Specifications and TORs

Oversight, monitoring and supervision on behalf of TANESCO

Engineering Consultantand EPC Construction

Supervisor

Independent Engineer

Contract

Technical consulting, supervision and capacity building

RFP for T&D Activities

TANESCO User Departments

EPC Contract Supervision on behalf of MCA-T

User Departments

TANESCO & ZECO

PowerProject

ExternalProcurement

Advisor

RFP for Cable and Hydro Activities. Procurement oversight, advice and assistance

ESA Oversight

MCC(HQ & Country Team)

MCA-Tanzania(Accountable Entity)

Accountable Entity Agreement

TANESCO(Implementing Entity - Energy)

Implementing Entity Agreement

Strategic Planning & Projects

Procurement Management Unit

6-Region T&DMalagarasi Hydro

&Kigoma Mini-Grid

Zanzibar 2nd Interconnector

Mbeya&

IringaDodoma Morogoro Tanga Mwanza Access

Road Sub-Sea Cable &

Overhead Extensions

Specifications and TORs

Oversight, monitoring and supervision on behalf of TANESCO

Engineering Consultantand EPC Construction

Supervisor

Independent Engineer

Contract

Technical consulting, supervision and capacity building

RFP for T&D Activities

TANESCO User Departments

EPC Contract Supervision on behalf of MCA-T

User Departments

TANESCO & ZECO

PowerProject

ExternalProcurement

Advisor

RFP for Cable and Hydro Activities. Procurement oversight, advice and assistance

ESA Oversight

The Role of Consulting Engineer

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Consulting Engineer and Supervisorn MCA-Tanzania (MCA-T), as the “employer” intends to hire a

consulting firm based on the Quality and Cost Based Selection (QCBS) to provide the following services:

t Engineering Consulting Servicest Construction Supervision of EPC Contractst Needs Assessment for Capacity Building, Implementation of

Technical Assistance (TA) Activities, and Assistance to MCA-T and TANESCO in the management of specialist TA firms

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Engineering Consulting Servicesn Carry out supplementary field work, surveys, data collection,

technical studies and preliminary designs so that tenderers can bid with increased confidence

n Develop technical sections of the EPC tender and contract documents for the three Energy Project Activities

n Complete the design, and develop technical sections of the tender and contract documents for the access road to the Hydro Project. Assist MCA-T and TANESCO during contracting of the access road civil contractor

n Work with and assist MCA-T and TANESCO as necessary during the contract period for the successful implementation of the three Energy Projects Activities

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Construction Supervisionn Review design, monitor construction progress, and check quality

of the various EPC contract activities under the three Energy Project Activities. Activities include but not limited to:t In-factory inspections if/when neededt Site construction activitiest Supervision of commissioning and testst Health, safety and environmentt Review and monitor schedulet Budgetary controlt Progress reportst Disputest Defects notification period

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Technical Assistance and Implementation

n Needs assessment for institutional development and capacity building at TANESCO and ZECO (a sample of possible specialised technical assistance topics are listed in the TOR of the RFP, Section 2.2.16)

n Design and implement three (3) Technical Assistance (TA) activities per year on topics identified through needs assessment (generally outlined in Section 2.2.16(1))

n Assist MCA-T and TANESCO in hiring and managing specialist TA firms for special TA activities as identified during needs assessment. Assist TANESCO and ZECO in the implementation of additional TA activities (as outlined in Section 2.2.16 (2)) performed by specialist firms

Phases of Contract Activities

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Phase I

Phase II

6-9 months609(g) funding

5 YearsCompact funding

Exercise option

Phase I

Phase II

6-9 months609(g) funding

5 YearsCompact funding

Exercise option

Contract Timing and Sequencing

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n Generally includes preparatory work needed to improve the overall schedule prior to issue of tenders for the various EPC contracts (see Section 1.3.1 of the TOR)

n Pre-construction studies, surveys (in order to confirm various engineering factors of the project) and preliminary designs

n Obtain data and information needed for the tenderer to quote with higher degree of confidence

n The work products developed during this phase should lead to the preparation of EPC tender packages in Phase II

Phase I Activities

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Phase II Activitiesn Expected to cover all the works needed after Phase I to ensure

successful completion of the three Energy Project Activities andTechnical Assistance activities

n General tasks to be completed under this phase are listed in Section 1.3.2 of the TOR

n Specific tasks to be completed under this phase are listed in Sections 3, 4 and 5 of the TOR

Project Information

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Project Locations and Access

Zanzibar transmission

T&D System Upgrade

Malagarasi hydro and mini-grid

T&D Project Activity

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T&D Project Descriptionn The T&D Project is spread across six (6) regions:

n Two major activities under this project include:t Up to 257 network extension project activitiest Up to 22 distribution system upgrade and rehabilitation

project activities

t Mwanzat Tangat Morogoro

tMbeyat Iringat Dodoma

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Network Extension Activityn A total of up to 257 small network extension activities have been

planned

RegionLV Line Service Line

km of 33 kV km of 11 kV

km of LV Line

No of Services No of 50 kVA Trnf S/S

No of 100 kVA Trnf S/S

No of 200 kVA Trnf S/S

No of 315 kVA Trnf S/S

No of 500 kVA Trnf

S/STanga 16.1 30.7 155.8 4,737 31 16 7 1Dodoma 426.0 102.1 156.3 8,249 18 57 33 7Morogoro 374.3 13.1 358.1 11,699 6 62 37 4Iringa 469.0 14.0 108.0 3,820 30 35 8 2Mwanza 737.0 18.0 262.0 12,521 4 34 52 12 3Mbeya 14.1 11.7 29.5 2,450 7 11 2

Totals 2,036.5 189.6 1,069.6 43,476 89 211 148 26 5

Scope of WorkHV Line Distribution Transformer Substations

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Upgrade and Rehabilitation Activityn Up to 23 distribution system upgrade and rehabilitation activities

have been planned

Region 220 kV Bays

220/33 Trans

132 kV Bays

132/33 Trans

33 kV Line Bays

33 kV Single

Busbars

33/11 Trans

50 kVA Aux Trans

33 kV Line (km)

33 kV Volt Reg

11 kV Line Bays

Control & Prot, AC/DC and SCADA

Civil Works

Tanga - - 2 2 17 3 1 3 - - 4 11 4 Dodoma - - - - 6 - 2 2 15 - 11 6 5 Morogoro 1 1 - 6 - 3 - 20 1 4 9 4 Iringa - - - - 9 1 1 - 9 - 2 2 2 Mwanza - - - - 5 - 4 2 73 - 11 6 4 Mbeya - - - - 7 1 1 2 20 - 13 5 2

Totals 1 1 2 2 50 5 12 9 137 1 45 39 20

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Phase I –T&D Projectß The main Phase I tasks under the T&D Project include, but

not limited to:t Complete necessary technical studies, field work, data

collection, routing surveys and mapping, and develop performance/technical specifications necessary for standard EPC contracts

t Carry out Environmental Impact Assessment (EIA) or Environmental Assessment (EA) and develop Environmental Management Plans (EMPs) as necessary.

t Prepare resettlement framework as necessaryt Prepare the draft technical documents for the tender

packages

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Phase II –T&D Projectß The main Phase II tasks under the T&D Project include, but not limited

to: t Complete technical documentation for EPC bidding packaget Provide technical inputs and assist the Procurement Agent (PA)t Assist PA in preparing short list of pre-qualified tendererst Assist PA in developing contractors’ selection criteriat Assist during technical evaluation process of contractors’ bidst Perform construction supervision and quality control activitiest Carry out factory inspection where necessaryt Ensure contractors finalize health and safety, HIV/AIDS prevention

awareness plans t Prepare monthly progress reportst Supervision of testing and commissioningt Develop and implement TA activities based on needs assessment

targeted to the T&D sector

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Access to T&D Project Locations n Distribution System

Rehabilitation and Extension Activity. Distance from Dar es Salaam:

City KMt Tanga 384t Morogoro 200t Dodoma 458 t Iringa 552 t Mbeya 882 t Mwanza 1,191

Note: All regions can be reached by all-weather tarmac roads. Mwanza can also be reached by air. Chartered flights are available to all sites.

Morogoro

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Upgrade and Rehabilitation Examples

Cable Project Activity

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Cable Project Descriptionn The Cable Project has five main components:

t Upgrade at Ubungo substation to accommodate higher capacity or additional 132kV or 220kV feeder

t Ubungo to Ras Kiromoni (132kV double circuit or 220kV single circuit, along existing route using compact design)

t Ras Kiromoni to Ras Fumba submarine cablet Ras Fumba to Mtoni via existing route and deviations to

avoid settlements and religious structurest Mtoni substation upgrade and expansion

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Proposed Project Scope

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Phase I –Cable Project ß In Phase I the CE shall:

t Carry out a sea-bed survey to determine suitability of installing a second submarine cable alongside the existing 45 MW cable

t Develop and carry out surveys for the overhead transmission lines and substations

t Prepare performance specifications for the supply and installation of the submarine cable to enable submission of pre-qualification documents by manufacturers and contractors

t Develop and undertake environmental audit of existing cable followed by ESIA and EMP

t Develop and undertake RAPs as necessaryt Draft the technical sections of the tender document for use in

Phase II

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Phase II –Cable Projectß In Phase II the CE shall:

t Complete technical documentation for EPC bidding packaget Provide technical inputs and assist the Procurement Agent (PA)t Prepare short list of pre-qualified tendererst Assist the PA in developing contractors’ selection criteriat Assist during technical evaluation process of contractors’ bidst Be responsible for construction supervision and quality controlt Carry out factory inspectiont Ensure contractors finalize health and Safety, HIV/AIDS

prevention awareness plans t Prepare monthly progress reportst Be responsible for supervision of testing and commissioningt Develop and implement TA activities for TANESCO and ZECO

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Access to Cable Projectn Distance to Unguja Island

approximately 40km from Dar

n Unguja can be accessed by express boat or by air

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Existing 132kV line to Zanzibar

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Exiting Cable at Ras Kiromoni

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Cable Landing Site (Ras Fumba)

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Overhead Line in Urban Area

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Mtoni Substation (Zanzibar)

Hydro Project Activity

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Hydro Project Descriptionn The Hydro Project has three major components:

t Access roadt Dam and 8MW ROR power plantt 33kV T&D network in Kigoma, Kasulu and Uvinza

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Malagarasi River - Igamba Falls

890m

863m

840m

Canal

Canal

805m

Penstock

Penstock

STAGE I STAGE II STAGE III

9200m 1900m 3100m

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Proposed Network Expansion

KigomaNetwor k

Exist ing

& TPP

33/ 11kVSubst ation

MalagarasiHPP

To Uvi nza

Recloser

To Kasul aSingl e Circui t Line SelectableFrom Doubl e Circui t

33kV Double Ci rcui t

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Ki g o m a A i rp o r t

Sim b o

M ah em b e

Ka l en g e

M a lag ar as i H PP

Uv in z a

M at en d o

Kw aj a Ru sesa

Ka z an g es i

M u z y e

Bu g ag e

N y u m b i g w a

N y am t areKa su la

Ka m ar a

Ki d ah w e

Ki t o n g o n i

Ki g o n d oRu f i t i

N y an sh a

La lam b e

T i t y eN y en g e

Sa l t M in esN y an z a

Ch ak u l u

T an d a la M alag ar asi

Il a lan g u ru

Bu y en z eSeb ag u s i

Ka g o n g o

Ka h am aBu so n d o

Ka lam a

T PP

Proposed T & D Network

• 3 new Substations

• 392km of new 33kV Line

• 171km of new LV Line

• 46 Transformers

• 6,230 Connections

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Phase I –Hydro Projectn The CE shall carry out:

t Survey, plan, design, prepare technical specification for the access road and bridge construction

t T&D system analysis (load-flow study)t T&D line route surveyt Topographical survey for damt Geotechnical site investigation t Hydrological studiest ESIA and prepare RAPt Draft preliminary engineer design of power plantt Draft technical documentation for EPC, including

performance specifications of both hydro and T&D sub-components

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Phase II –Hydro Projectß In Phase II the CE shall :

t Complete technical documentation for EPC bidding packaget Provide technical inputs and assist the Procurement Agent (PA)t Prepare short list of pre-qualified tendererst Assist the PA in developing contractors’ selection criteriat Assist during technical evaluation process of contractors’ bidst Undertake site supervision and quality controlt Carry out factory inspectiont Ensure contractors finalize health and safety, HIV/AIDS

prevention awareness plans t Prepare monthly progress reportst Be responsible for supervision of testing and commissioningt Carry out all technical work for institutional arrangements and

operator concession of the Kigoma mini-grid

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n Distance to Kigoma is 1,620kmt Can be accessed by rail/air/roadt Distance from Kigoma to Malagarasi is about 100 km

n Access from Kigoma to Malagarasi site is through a rough road that requires a four 4WD vehicle

Access to Hydro Project

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Dam Site at Malagarasi River

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Igamba Falls

Procurement and Contracting

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Estimated Project TimelineYEAR

Preparatory Works: All three projectsTechnical studies and surveyESIA and RAPPreliminary designTOR for EPC bid package

Construction works:Tedering: access road (Hydro project)

Access road construction

Final EPC bid packages

Tendering and contract signing

In-factory Inspection Tests

Capacity building workshopsTOR for Third Party Technical AssistanceTesting and comissioning of all three projectsFinal certificate after defect notification period

PHASE I PHASE II

2008 2009 2010 2011 2012 2013

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n The proposal shall be delivered at the address stated in the data sheet of the RFP not later than 2:00 pm local time on March 6, 2008.

n Proposal must be submitted as follows:t One original and five (5) copies of the technical proposalt One original and five (5) copies of the financial proposalt CD ROM of the technical proposal

Note: more details available in the data sheet of the RFP

Proposal Submittal

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n The proposal will be evaluated based on QCBS as stated in the data sheet of the RFP. The following criteria will apply:

1. Organizational capability, experience and past performance

2. Submitted proposal technical approach, work plan and schedule, management plan and facilities/equipment

3. Key staff capabilities, experience and past performance

Note: Sub-criteria and scores for each of the above are listed in the data sheet of the RFP.

Evaluation and Selection

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n Clarifications may be requested up to 14 working days before the RFP submission date, i.e. by 18th February at the following address:

The Chief Executive OfficerMillennium Challenge Account - TanzaniaDevelopment HouseKivukoni Front/Ohio Street,P.O. Box 8327Dar es SalaamTanzaniaAttention: Marieth s. Ngaida, Director of Procurement, MCA-TFax: +255 22 2124644 e-mail: NUNUQUA@yahoo.Com

Contact Information

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n Bidders are welcome to ask questions related to the RFPn Final written responses from MCA will supersede all responses

to questions

Questions

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Thank You