2020-09-07
REQUEST FOR EXPRESSIONS OF INTEREST (CONSULTING SERVICES – FIRMS SELECTION)- Financial and Legal Consultancy to prepare Georgian State Electrosystem (GSE) to access capital markets and advise for Raising Commercial Financing, Reference No.: IBRD/ESRFRP/QCBS/05-2020
Georgia
Project: Energy Supply
Reliability and Financial RecoveryProject ID
P169117
Assignment Title: Financial and Legal Consultancy to prepare Georgian State Electrosystem (GSE) to access capital markets and advise for Raising Commercial Financing Reference No.: IBRD/ESRFRP/QCBS/05-2020
Georgia received financing from the World Bank toward the cost of the Energy Supply Reliability and Financial Recovery, and intends to apply part of the proceeds for consulting services.
The Georgian State Electrosystem JSC (hereinafter to referred to as the “Client”) is now seeking expressions of interest of Consulting Services for Financial and Legal Consultancy to prepare Georgian State Electrosystem (GSE) to access capital markets and advise for Raising Commercial Financing.
GSE Joint Stock Company (JSC) owns, operates, and maintains most of the 220/110/35 kV overhead power transmission lines in (OHLs) and strategically important 500 kV substations in Georgia and is responsible for domestic electricity transmission and dispatch services, also for operation of balancing market. GSE’s is a fully state-owned company, under the management of the Ministry of Economy and Sustainable Development of Georgia from the end of 2019.
GSE is carrying out its investments in rehabilitation and development of power transmission network consistent with its Ten-Year Network Development Plans (TYNDP). The most recent TYNDP for 2020-2030 is quite ambitious with several important projects aimed at improvement of electricity supply reliability in the country and improving connectivity with neighboring countries.
According to TYNDP for 2020-2030, GSE is planning to invest about $700 million. Considering the sizeable investment needs and limited public borrowing space of the Government, GSE is exploring opportunities to raise commercial finance.
Therefore, GSE is looking to hire financial and legal advisors to work closely with the company and the World Bank to plan and execute the commercial financing related activities.
The objective of this assignment is to help GSE to prepare for accessing the capital market in a cost-effective way with priority assigned to mobilization of long-term commercial financing denominated in Georgian lari (GEL).
To achieve the objective, the following four inter-related streams of activities are to be undertaken:
- Analysis and projection of financial performance of GSE.
- Prepare a report (“Supporting Information Document”) to complement the financial analysis.
- Develop a financing strategy for mobilizing commercial financing and evaluating financing options and its impact on the tariff of GSE and overall end-user tariff.
- Advise GSE and carry out the preparatory work required for GSE to secure a credit rating leading ultimately to the issuance of GSE’s first international bond.
The detailed Terms of Reference (TOR) for the assignment is available on the following link: https://drive.google.com/file/d/1nQuy8KATguj7zXsEJeArpiNPJC6xrpzT/view?usp=sharing.
The tentative duration of the assignment is eight (8) months, commencing from January 2021.
GSE now invites eligible consulting firms ("Consultants") to indicate their interest in providing the Services. Interested Consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the Services. The shortlisting criteria are:
The shortlisting criteria are: general experience in financial and legal advice on development of financing strategy for mobilizing commercial financing and advisory role in execution of corporate financing transactions; specific experience in similar projects providing advice to energy companies, including electricity transmission companies, to prepare companies for raising long-term commercial financing; and the period the firm has been in business (preferably no less than ten years).
Key Experts will not be evaluated at the shortlisting stage.
Note: the GSE reserves it’s right to verify submitted references and use obtained information for evaluation purposes.
The attention of interested Consultants is drawn to paragraph 3.14 “Conflict of Interest” of the World Bank’s Guidelines:World Bank’s “Procurement Regulations for IPF Borrower, July 2016 revised August 2018”setting forth the World Bank's policy on conflict of interest. In addition, please refer to the following specific information on conflict of interest related to this assignment: The consultant shall not receive any remuneration in connection with the assignment except as provided in the contract. The consultant and its affiliates shall not engage in consulting or other activities that conflict with the interest of the Client under the contract. The contract shall include provisions limiting future engagement of the consultant for other services resulting from or directly related to the firm's consulting services in accordance with the requirements of paragraphs 3.16, 3.17 and 3.18 of the Guidelines.
Consultants may associate with other firms to enhance their qualifications, but should indicate clearly whether the association is in the form of a joint venture and/or a sub-consultancy. In the case of a joint venture, all the partners in the joint venture shall be jointly and severally liable for the entire contract, if selected.
Experience in the projects relevant to the assignment should be submitted in the Form N1, as provided on the following link: https://drive.google.com/file/d/1wcOPqGMULl2x25fgiUCEf22Wo2G3QIB1/view?usp=sharing
The consultants are strongly advised to limit their Expression of Interest to 30 pages. Company brochures may be included as an Annex, and will not be affected by the limit of 30 pages.
A Consultant will be selected in accordance with the procedures set out in World Bank’s Guidelines: World Bank’s “Procurement Regulations for IPF Borrower, July 2016 revised August 2018” “Consultant’s Quality and Cost-based Selection (QCBS) method”
Expressions of Interest must be delivered in a written
form to the address below in person, or send by e-mail, not later than the
submission deadline, i.e. on or before September 21, 2020, 17:00
Georgian time.
Georgian
State Electrosystem JSC,
2,
Baratashvili Str., Tbilisi 0105, Georgia
Attn:
Mr. Ucha Uchaneishvili
Chairman
of the Management Board/Rehabilitation Manager
e-mails:
Guranda.maisuradze@gse.com.ge;
Lela.shanidze@gse.com.ge;
Mariam.shalamberidze@gse.com.ge.