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PA Bulletin, Doc. No. 06-735

NOTICES

Request for Qualifications; Implementation of the Alternative Energy Portfolio Standards Act of 2004; Doc. No. M-00051865

[36 Pa.B. 2080]

   The Pennsylvania Public Utility Commission (Commission) has issued the following Request for Qualifications (RFQ). The RFQ is issued under the Alternative Energy Portfolio Standards Act of 2004 (73 P. S. §§ 1648.1--1648.8), which authorizes the Commission to select an alternative energy credits program administrator. Qualified individuals or firms may submit a Statement of Qualifications to the Commission for review.

   Responses to this RFQ must be complete and consistent with the instructions set forth in the RFQ. After reviewing the responses, the Commission will inform applicants of a schedule of interviews. Statements of Qualifications are due within 45 days of publication of this notice in the Pennsylvania Bulletin, and should be filed with the Secretary's Bureau. Copies should be submitted by electronic mail to cbeale@state.pa.us.

JAMES J. MCNULTY,
   
Secretary

Request For Qualifications for Alternative Energy Credit Program Administrator

PART I:  GENERAL INFORMATION FOR CONTRACTORS

   I-1.  Purpose. This request for qualifications (''RFQ'') provides interested contractors with sufficient information to enable them to prepare and submit qualifications for consideration by the Pennsylvania Public Utility Commission (''Commission'') to assist in the selection of an alternative energy credit program administrator.

   I-2.  Issuing Office. This RFQ is issued by the Commission's Bureau of Conservation, Economics and Energy Planning. The Commission regulates public utilities furnishing the following in-state services for compensation: electricity, natural gas, telephone, water, wastewater collection and disposal, steam heat, transportation of passengers and property by motor coach, truck and taxicab, pipeline transmission of natural gas and oil, and public highway-railroad crossings. The Commission is funded by assessments of regulated public utilities.

   The contact for this RFQ is:

   Carrie Beale
PA Public Utility Commission
Commonwealth Keystone Building
Bureau of Conservation, Economics and Energy
   Planning
400 North Street, 2nd Floor
Harrisburg, PA 17120
(717) 783-5411
E-mail:  cbeale@state.pa.us

   The Issuing Office is the sole point of contact in the Commonwealth for this RFQ.

   I-3.  Scope. This RFQ contains instructions governing the Statement of Qualification to be submitted by contractors and the material to be included therein and a description of the service to be provided by the alternative energy credit program administrator.

   I-4.  Problem Statement. The Alternative Energy Portfolio Standards Act of 2004 (the ''Act''), 73 P. S. §§ 1648.1 -- 1648.8, requires electric distribution companies (''EDCs'') and electric generation suppliers (''EGSs'') to use certain percentages of electricity derived from alternative energy sources in their sales to retail customers in Pennsylvania. The Commission is responsible for carrying out the provisions of this Act.

   Compliance with the act is measured in quantities of alternative energy credits, which represent one megawatt hour of electric generation from a qualified alternative energy source.

   The Act authorizes the Commission to establish an alternative energy credit trading program. 73 P. S. § 1648.3(e)(2). An independent entity will serve as the program administrator. Specifically, the Act provides that:

   The commission shall approve an independent entity to serve as the alternative energy credits program administrator. The administrator shall have those powers and duties assigned by commission regulations. Such powers and duties shall include, but not be limited to, the following:

   (i)  To create and administer an alternative energy credits certification, tracking and reporting program. This program should include, at a minimum, a process for qualifying alternative energy systems and determining the manner credits can be created, accounted for, and transferred.

   (ii)  To submit reports to the commission at such times and in such manner as the commission shall direct.

   73 P. S. § 1648.3(e)(2). Services provided pursuant to this section are exempt from the competitive procurement procedures of 62 Pa.C.S. (relating to procurement). 73 P. S. § 1648.3(e)(1).

   I-5.  Administrator Responsibilities. Consistent with the Problem Statement, the Commission expects that the program administrator role would encompass the following responsibilities:

   *  Administering a process for qualifying alternative energy systems. This process will involve a review of applications, incorporating the Pennsylvania Department of Environmental Protection's (''DEP'') verification of alternative energy source status and environmental compliance into the qualification process, making qualification decisions consistent with standards established by the Commission, and notifying applicants of qualifications decisions. Applicants should review the Commission's Tentative Order proposing standards and processes on this matter. Implementation of the Alternative Energy Portfolio Standards Act of 2004: Standards and Processes for Alternative Energy System Qualification and Alternative Energy Credit Certification, Docket No. M-00051865 (Order entered January 31, 2006).1

   *  Administering an alternative energy credits certification, tracking and reporting program consistent with standards established by the Commission. This program will involve the use of an alternative energy credits registry, such as the PJM Environmental Services, Inc.'s Generation Attribute Tracking System (''GATS'').2 The administrator may need to independently verify data provided by behind the meter generators and demand side management/energy efficiency resources. Some information collected by the administrator will need to be made available to the public. Some additional verification may need to be performed for non-PJM generation. Applicants should review the Commission's Orders designating GATS as the alternative energy credit registry and providing for demand side management/energy efficiency tracking and verification standards. Implementation of the Alternative Energy Portfolio Standards Act of 2004: Designation of the Alternative Energy Credit Registry, Docket No. M-00051865 (Order entered January 31, 2006); Implementation of the Alternative Energy Portfolio Standards Act of 2004: Standards for the Participation of Demand Side Management Resources, Docket No. M-00051865 (Order entered October 3, 2005)

   *  The administrator may need to serve as an aggregator for behind the meter generation and demand side management/energy efficiency resources in order that qualified systems receive alternative energy credits.

   *  The administrator may need to assist the Commission in determining whether alternative energy resources are reasonably available, in the event that an EDC or EGS requests a force majeure determination.

   *  Confirming that the same alternative energy used to satisfy another state's portfolio requirements is not used to satisfy the requirements of the Act.

   *  Providing reports on EDC and EGS compliance to the Commission at the end of each reporting period (May 31).

   *  Providing reports on EDC and EGS compliance to the Commission at the end of each true-up period (August 30).

   *  Assisting the Commission and DEP in preparing reports to the Pennsylvania General Assembly on the alternative energy market.

   *  Maintaining a log of all administrator activities, issues requiring Commission action, and opportunities for improvement of the program.

   I-6.  Work Proposals, Bid Process, Evaluation Criteria and Contract Terms and Conditions. After reviewing the Statements of Qualifications and completing an initial round of interviews, the Commission will notify contractors of the process and requirements for submitting work proposals, bids, the criteria for evaluation, and contract terms and conditions. Only those contractors who have submitted a Statement of Qualifications will be eligible to submit a work proposal and bid for the program administrator role.

   The first reporting year for the Act commences on June 1, 2006, and runs through May 31, 2007. Actual compliance is not required for EDCs and EGSs until February 28, 2007. The Commission's objective is for an administrator to be selected and performing by February 28, 2007.

PART II:  INFORMATION REQUIRED FROM CONTRACTORS

   Statements of Qualifications must be submitted in the format, including heading descriptions, outlined below. To be considered, the Statement of Qualifications must respond to all requirements in this part of the RFQ. Any other information thought to be relevant, but not applicable to the enumerated categories, should be provided as an appendix to the proposal.

   II-1.  Statement of the Problem. State in succinct terms your understanding of the problem presented or the service required by this RFQ.

   II-2.  Management Summary. Contractors must provide an executive summary of the proposed activities to the Commission. It should be a high level overview of how the contractor proposes to manage the responsibilities identified at I-5.

   II-3.  Prior Experience. Include all relevant experience. As part of the review and approval process, the following information must be provided. In responding to each statement, please cite the alpha/numeric reference point. Experience shown should be work done by individuals who will be assigned to this project as well as that of your company. Studies or projects referred to should be identified and the name of the customer shown, including the name, address, and telephone number of the responsible official of the customer, company, or agency who may be contacted.

   a.  Company Profile

   1.  Complete name and address,

   2.  A short narrative description of company's organization, including organizational charts and indicate company officers by name where applicable,

   3.  Principal type of business,

   4.  Total number of years in business, and

   5.  Number of years providing services similar to those requested in this Statement of Work.

   If subcontractors are to be used for this project, please provide the following information on each subcontractor:

   b.  Subcontractor Profile

   1.  Complete name and address,

   2.  A short narrative of the sub -contractor's experience level, years in business, and years experience providing services similar to those requested in this Statement of Work.

   3.  Experience

   c.  Provide detailed experience related to the requirements of this project, to include at least three past clients; most notable would be work performed for governmental agencies. For each of these references include:

   1.  Business name,

   2.  Address,

   3.  Contact Person,

   4.  Phone Number,

   5.  Type of work performed,

   6.  Period work was performed, and

   7.  Brief description of scope of work, limit the description to one page per client,

   8.  If you intend to subcontract, describe the Vendor's experience in managing subcontractors and the experience with the proposed subcontractor.

   II-4.  Personnel. Include the number, and names where practicable, of executive and professional personnel, analysts, auditors, researchers, programmers, consultants, etc., who will be engaged in the work. Show where these personnel will be physically located during the time they are engaged in the work. Include through a resume or similar document (1-2 pages) their education and relevant work experience.

   Indicate the responsibilities each will have in this project and how long each has been with your company. Identify subcontractors you intend to use and the services they will perform.

   Contractor staff assigned to this project must be able to communicate clearly and work in a cooperative fashion with various Commission staff during all phases of the project. Contractor staff must be able to coordinate and receive direction from designated Commission staff during the project. The Commission will identify specific individuals to provide supervision, direction and coordination to the contractor throughout the project. The Commission will assign certain staff to the project to work in conjunction with the selected contractor as part of an overall project. The Commission cannot at this time identify the specific number of resources that it will dedicate to this project.

   Due to the sensitive nature of client information handled by the Commission, the approved contractor's participating staff will be required to sign confidentiality agreements before commencing with the project. Contractor staff must also have a criminal background check completed by the Pennsylvania State Police before beginning work on this project. Due to the sensitive nature of client information handled by the Commission, the approved contractor's participating staff, as well as any subcontractors, must not include offshore resources.

   II-5.  Conflicts of interest. Identify all affiliations, investments, agreements or client relationships with entities or the parent company of entities regulated by the Commission, including EDCs and EGSs, participating in Pennsylvania's energy markets, including generators and energy services providers, and entities or the parent company of entities participating in any matter pending before the Commission.

APPENDIX A

Resource Qualification Process
 

[Pa.B. Doc. No. 06-735. Filed for public inspection April 28, 2006, 9:00 a.m.]

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1  Commission Orders are available at www.puc.state.pa.us using the ''Search for document'' feature.

2  www.pjm-eis.com



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