November 18, 2008
Invitation to Potential Bidders: Procurement of Renewable
Energy Attributes for Executive Order 111 Compliance
(printer-friendly version)
OVERVIEW OF REQUEST AND EXECUTIVE ORDER 111
REQUIREMENTS
The New York Power Authority (“NYPA” or
“Authority”) is hereby issuing a request for bids for the purchase
of Renewable Energy Attributes (hereinafter, “Attributes” or “REC”s)
for itself and/or resale to its customers.
Seven hundred (700) mWh of renewable energy
Attributes will be purchased for compliance with New York State
Executive Order 111 dated June 10, 2001 (hereinafter, “EO 111”).
EO 111 was continued by Governor David A. Paterson via Executive
Order No. 1 on March 20, 2008. Potential suppliers are referred to
the Guidelines for Executive Order III, Section 5, Requirements for
the Purchase of Renewable Power, for a description of the products
sought under this solicitation. Please see the link to the
Guidelines to the Executive Order, shown below.
(http://www.nyserda.org/programs/State_Government/exorder111guidelines.pdf.)
The Authority will be purchasing REC’s for 2008,
and may consider longer terms based upon bid economics and NYPA
customer needs. Quantity and other terms are shown on
Attachment A. All purchases will be in the Authority’s name.
Bids are due by close of business December 3,
2008 and are to be submitted via email to
robin.shanen@nypa.gov.
EO 111 Eligible Resource Types
For compliance with EO 111, eligible resource types are defined as
those facilities generating energy from the following technologies:
-
Wind
-
Solar thermal
-
Photovoltaics
-
Sustainable managed biomass, which for these
purposes shall include all wood resources, with the exception of
contaminated waste wood, and shall exclude utility-scale
facilities that co-fire with coal
-
Tidal
-
Geothermal
-
Methane waste (from landfills or anaerobic
digesters)
-
Fuel cells
Hydro production will not be considered for EO 111
compliance purchases.
NEW YORK STATE ENVIRONMENTAL DISCLOSURE PROGRAM
All suppliers must satisfy the requirements of the
Environmental Disclosure Program Rules and Procedures for Conversion
Transactions, or any successor rules, established by the NYS PSC. A
Conversion Transaction occurs when an entity that sold energy into
the New York Independent System Operator (“NYISO”) Spot Market and
an entity that purchased energy a like amount of energy out of the
NYISO Spot Market during the same settlement period jointly identify
for the Administrator of the Environmental Disclosure Program such
packet of energy such that it can be disaggregated, for
environmental disclosure purposes, from the residual pool of Spot
Market energy. Conversion Transaction procedures are described in
more detail on the Department of Public Service website at:
http://www.dps.state.ny.us/Final_Rules_and_ProceduresCTnov5.htm.
In accordance with this requirement, the Attributes
must be associated with electrical energy delivered into the New
York Independent System Operator (NYISO) spot market directly from a
supplier and/or marketer.
Potential suppliers may also be asked to furnish
proof of prior or current contracts for the commodity stated herein
to demonstrate their ability to satisfactorily operate in the
renewable energy market.
FOLLOWING SUPPLIER SELECTION AND CONTRACT AWARD:
VERIFICATION OF RIGHTS TO ATTRIBUTES
Throughout the contract term, NYPA will require
certification/ verification of delivery of all rights to the
Attributes purchased by NYPA as follows:
-
Each invoice submitted by the successful bidder
requesting payment must be accompanied by an appropriate
Certification, which will identify the number and vintage of all
Attributes for which payment is requested, bear an appropriate
certification as to the eligibility of such Attributes and
transfer all rights and assignments to NYPA.
-
In the event the NYS PSC solely or in conjunction
with others, creates sanctions, adopts or begins participation in
a Generation Tracking System in the New York Control Area (“NYCA”)
during the term of the agreement contemplated in this bid
solicitation, each Attribute associated with fulfillment of the
supplier’s requirements must be transferred to an account
designated by NYPA.
-
Facilities providing products that are not
located in the NYCA, but are located in a control area with a
compatible generation tracking system at the time of submittal of
the Bid Proposal, must deliver REC’s to an account designated by
NYPA. For example, the NEPOOL Generation Information System and
the PJM GATS system are deemed compatible systems by the
administrator of the NYS Environmental Disclosure Program.
-
For facilities outside the NYCA, NYPA will
require verification of the electricity market of origin through
“NERC” tags for each delivery.
No Double Counting:
In no event shall the Attributes of the generation associated
with NYPA’s contract(s) under this solicitation be assigned or sold
by the supplier in another transaction. Any assignment or
application by the seller of the Attributes associated with a
contract with NYPA under this solicitation to any other entity,
program or jurisdiction, whether associated with a publicly
administered program or a voluntary transaction, is strictly
prohibited.
SUBMISSION OF BID PROPOSALS
BIDS ARE TO BE SUBMITTED VIA EMAIL TO
ROBIN,SHANEN@NYPA.GOV BY CLOSE OF BUSINESS DECEMBER 3, 2008.
-
Suppliers should use the form of
Attachment B included herein, or provide substantially similar
information.
-
Suppliers may provide quotations for any or all
of the quantities and products requested.
-
Awards may be made to more than one supplier.
Bidder shall provide, along with pricing for
REC’s, location and name of associated facility(ies) and eligible
resource type for Attributes bid. In addition, Bidder shall provide
a brief description of its business organization and history,
financial condition and most recent audited financial statements.
Required Contract Agreement
Selected suppliers shall be required to execute a contract
substantially similar to the contract set forth in
Attachment C. No material changes to this contract will be
accepted.
Evaluation process and Criteria
Submittals must be complete, in conformance with the specifications
and other requirements of this solicitation, and must include all
documentation, evidence or verification requested. Submittals will
be evaluated according to price, with consideration given to
creditworthiness, and customer policy goals, if applicable.
Basis for Disqualification
A potential supplier may be disqualified and their bid not
considered for reasons including, but not limited to, the following:
-
receipt of the bid after the deadline for
submission;
-
failure to meet all eligibility requirements;
-
incomplete bid submittal;
-
willful misrepresentations in the bid submittal;
-
illegal or undue attempts to influence the bid
review process;
-
a determination by NYPA, in its discretion, that
some or all bid proposals should be rejected.
Communication during the RFP Process
NYPA’s contact for this solicitation is:
Robin Shanen, Analyst, Power Resource Planning
and Acquisition
Telephone: 914-287-3764
Fax: 914-390-8156
Email:
robin.shanen@nypa.gov
|