Assignment Title: Ivano-Frankivsk - Corporate Development Support Programme
The City of Ivano-Frankivsk ("I-F2" or the "City") has approached the European Bank for Reconstruction and Development (the "EBRD" or the "Bank") requesting a loan of approximately EUR 12 million loan for the district heating Company "Ivano-FrankivskTeploKommunEnergo" (the "Company").
The objective of the Project is reduction of fuel consumption and other operating costs. Such fuel consumption reduction will also result in decreasing the greenhouse gas emission (CO2 and NOX).
A Feasibility Study for the investment project, including also a long term strategy for the Company, long term financial projections, institutional and organisational analysis has been carried out for the Company.
The Project will finance only the Priority Investment Programme, which is limited due to financial/affordability constraints of the population. The Company will need to invest more in the future to ensure continued energy efficiency improvements and service quality upgrade.
As part of the Project, the Company will have to improve its corporate governance, maintain financial ratios and other covenants, and refine its established two-tier tariffs to enable full cost recovery. The Company will also sign with the City a Public Service Contract ("PSC"), which will clarify the responsibilities of the City, Company and the customers in the provision of heating services.
The overall objective of this assignment is to improve the commercial standing of the Company and enable it to implement the Project. The key objectives are:
- to assist the Company to identify and implement the necessary corporate, financial and operational improvements to meet the related covenants included in the EBRD finance documents. This will be achieved via the development and implementation of a Financial and Operational Performance Improvement Plan, which will include development and implementation of the Tariff Setting Policy; and
- to assist the Company to develop and implement a medium to long term focused Corporate Development Plan and corporate planning process, so it may continue its transition towards an entirely commercial operation.
Assignment Start Date and Duration: It is anticipated that the assignment will start in Q1 2009 with the duration of 12 months.
Maximum Budget available for the Assignment: EUR 221,162; Exclusive of VAT.
The consultant must determine whether any indirect taxes/VAT are chargeable on the proposed services and state the basis for such. If any indirect taxes/VAT are payable, the client will have to pay indirect taxes/VAT element to the services directly to the consultant/s unless otherwise agreed.
Funding Source: The EBRD Shareholder Special Fund
Eligibility: There are no eligibility restrictions.
Consultant Profile: Corporate services are required.
The Consultant should be a firm or a consortium of firms with substantive expertise and experience in :
- district heating operations;
- financial management and budgeting;
- corporate development.
The Consultant should ensure that the appropriately qualified experts are available, as required, for each of the different tasks outlined above. It is expected that the assignment will be led by an appropriately qualified project manager, accompanied by both key and supporting experts.
It is expected, that the Consultant team will include both foreign and local experts. The Consultant team will be able to efficiently operate in Ukrainian and English. The Consultant’s team is expected to include experts covering at least the following disciplines:
- commercialisation and business planning;
- company accounting and management systems;
- district heating management operations and finance; and
- Ukrainian and international legal expertise.
Submission Requirements: Interested firms are hereby invited to submit expressions of interest.
In order to determine the capability and experience of consulting firms seeking to be shortlisted, the information submitted should include the following:
- company profile, organisation and staffing;
- details of experience or similar assignments undertaken in the previous five years, including their locations;
- CVs of staff who could be available to work on the assignment.
The above information should not exceed 25 pages excluding CVs.
One original and 2 numbered copies plus electronic copy of the above information in English and Ukrainian should be submitted to the Client in an envelope marked "Expression of Interest for Ivano-Frankivsk - Corporate Development Support Programme", to reach the Client not later than the closing date quoted above.
Arsen Andrijovych Blaschuk
Ivano-Frankivsk Teplokomunenergo (State City Enterprise)
59a, Khmelnytckogo Street
Tel: +380 342 263511
Fax: +380 342 263511
Further, one electronic copy in English and Ukrainian should be submitted to the EBRD by the same closing date.
In case of discrepancy, the English language version of documentation will prevail.
European Bank for Reconstruction and Development
One Exchange Square
London EC2A 2JN
Tel: + 44 20 7338 7185
Fax: +44 20 7338 7451
The Expression of interest must be accompanied by a completed Contact Sheet, the template for which is available from the following web-link: http://www.ebrd.com/oppor/procure/opps/contact_sheet.doc.
Note: Following this Invitation for Expression of Interest, a shortlist of qualified firms will be formally invited to submit proposals. Shortlisting, Selection and Contracting is subject to availability of funding.