Green Economy Transition (GET) Policy Dialogue Framework - Energy and Integrated Resources Issues - Georgia - Structuring a safe and sustainable hydropower industry

Country: Georgia
Language: EN
Number: 2818953
Publication date: 28-06-2017
Source: The European Bank for Reconstruction and Development (EBRD)
Tags: Security Energy




Business sector:

Sustainable Resources and Climate Change

Project number:


Funding source:

SPA1 - SPAIN-EBRD Sustainable Energy Cooperation Fund

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

27 Jun 2017

Closing date:

28 Jul 2017 at 17:00 London

Access eSelection

Project Description: Over the past decade, the Government of Georgia has made remarkable strides towards improving electricity sector performance. Government policies to enforce financial discipline combined with public investment to repair dilapidated infrastructure have transformed power sector on the verge of collapse to the one that provides reliable electricity at reasonable cost.

Although Georgia has no overall shortage of supply, it is highly dependent on imported electricity to meet seasonal demand, raising concerns over security of supply. Georgia has a 10 TWh power generation system, 82 percent of which comes from hydropower. The country’s power consumption peaks in the winter, when hydropower generation is at its lowest point. In the winter, Georgia must rely substantially on imported electricity and domestic thermal power generation using imported natural gas. In the winter, power from both sources amounts to roughly 49 percent of electricity supply, a stark contrast with the summer, when no imports are required and a surplus is available for export. By increasing the share of hydropower plants, preferably with seasonal storage capability (most competitive and available domestic resource), Georgia’s Energy strategy is to lessen its seasonal dependence on imported electricity, enhancing the security of supply and foreign exchange savings.

In the recent years, Georgia has carried out the rehabilitation of existing hydropower plants (Enguri, Vardnili) and has actively sought private investment for the development of hydropower stations. This has resulted in the development of new hydropower schemes, the largest ones being: Paravani (87 MW commissioned in 2015), Dariali (108 MW commissioned in 2017), Shuakhevi (185 MW commissioned in 2017), Nenskra (280 MW expected in 2020).

Georgia hydropower sector is now characterized by a large diversity of schemes (from less than 1 MW to more than 1GW), a growing number of hydropower infrastructures and a variety of operators: historical state owned companies, Georgian or international private investors, etc.

In comparison with EU countries with a similar mountainous geography, and a historical and significant hydropower activity (e.g. Austria, France, Italy, Switzerland), the institutional sector structure of Georgia’s hydropower sector is in need of consolidation, in order to (i) boost the institutional capacity for management of safety in the sector as overseen by the Ministry in charge of Energy, (ii) foster and develop the environmental control/monitoring role of the Ministry in charge of Environment, (iii) ensure the dissemination of Good Industry Practices between the Georgian hydropower professionals (operators, consultants, certification firms) and (iv) facilitate better interaction, knowledge sharing, and working relationship between the various operators in the sector and the regulatory authorities.

The Ministries in charge of Energy and Environment have requested the European Bank for Reconstruction and Development (EBRD) to provide assistance through Policy Dialogue and Capacity Building in order to ensure the development of a sustainable and green hydropower sector in Georgia. In line with the EBRD’s 2013 Energy Strategy and with the EBRD Country Strategy for Georgia, agreed between the EBRD and the government of Georgia, the EBRD is well positioned to provide this support. Therefore, the EBRD intends to retain a consultant (the “Consultant”) to deliver a framework from which a sustainable and green Georgian hydropower sector can develop with specific regard to public safety, climate change resilience, and environmental/social performance (the “Assignment”).

The expected outcomes of the Assignment are:

The Assignment Description: The Consultant will provide the following services

Task 1: Georgia hydropower sector organization review and benchmark

The Consultant will carry out a comprehensive review of Georgia’s hydropower sector institutional and industry organization. The review will focus on current practises by existing hydropower schemes under operation, on sustainability related issues including:

The review will aim at identifying notably:

The objective of the review is not to undertake a detailed audit of hydropower schemes in Georgia, but, instead, to provide a description of the professional relations between the hydropower sector players on issues related to sustainability, and to identify the gaps to (i) the dissemination of Good National and International Practice and (ii) the continuous improvement of the sustainability of Georgia’s hydropower sector. Meetings with the Georgia hydropower sector operators will be facilitated by EBRD through the provision of contacts or introductory letters/emails.

The Consultant will provide a comparison with the professional organization of the hydropower sector of at least two countries (including at least one EU country) with a strong hydropower industry and a mountainous/geographic context similar to Georgia: for example Austria, France, Italy, Japan, Switzerland.

Based on this work, the Consultant will determine the detailed content and schedule of activities to be carried out under Tasks 2 and 3. The Consultant will be expected to have preliminarily discussed such content and schedule with the hydropower sector operators. Task 1 report will be submitted for review to EBRD before finalization. It is expected to use not more than 20 % of the assignment resources.

Task 2: Institutional Policy Dialogue

The objective of Task 2 is to foster policy dialogue on hydropower sustainability through at least three workshops with the ministries in charge of energy and environment (and other Georgian institutions or agencies as deemed as being able to make a valuable contribution). The workshops will cover separately the three topics addressed under Task 1 and any additional factors identified under that task.

At each workshop, the Consultant will ensure:

The Consultant will identify and agree with the workshop participants the proposed changes that could be supported by EBRD through additional Technical Cooperation(s) (TC). The Consultant will prepare a roadmap of changes (to be shared with the workshop stakeholders) as well as concept note(s) for EBRD describing each identified potential TC. These documents will be included in Task 2 report, together with the presentations and minutes of the workshops.

The workshops will be open to non-institutional Georgian hydropower industry professionals, for observation and information. Task 2 is expected to use around 30 % of the assignment resources.

Task 3: Capacity building: structuring a sustainable and green hydropower sector

The objective of Task 3 is to create a platform for regular dialogue between Georgia professional operators in the hydropower sector on (i) infrastructure safety, (ii) climate change monitoring and adaptation and (iii) environmental and social performance.

The Consultant will identify the existing structures that could be in a position to support and organize such dialogue. In liaison with the hydropower operators, the Consultant will provide advisory services to establish a structure for Georgia’s hydropower industry players to regularly meet, for example through an annual two-day workshop. The structure should be cost-effective, non-profit, financed by the hydropower industry and should have a permanent contact person (secretariat), website and information dissemination mechanism. The structure will also have a mandate to facilitate international relations, notably by inviting key international players to each conference. The EBRD would request hydropower operators financed by EBRD to be active members.

The Consultant will provide advice to organize and set-up a sustainable structure, prepare its website (in English and Georgian) and will facilitate the first workshop. Two large EU hydropower players (for example one operator and one national ICOLD representation) would be invited to make presentations on topics relevant to the objectives of Task 3. All EBRD hydropower clients in Georgia will be requested to participate and present the way they work and the challenges they face on two of the three topics covered by the dialogue. EBRD and other IFI specialists would also be willing to contribute to content if deemed appropriate by the Consultant.

The description and status of the structure set-up under Task 3 will be included in Task 3 report, together with the presentations and minutes of the workshops.

Task 3 is expected to use around 50 % of the assignment resources

Status of Selection Process: Interested firms or groups of firms are hereby invited to submit expressions of interest.

Assignment Start Date and Duration: The Assignment is expected to start in September 2017 and has an estimated overall duration of twelve months.

Cost Estimate for the Assignment: EUR 280,000 (exclusive of VAT). Subject to availability of funding, the performance of the selected Consultant and the specific needs of the Bank the Assignment may be extended beyond the current scope.

The Consultant must determine whether any VAT would be chargeable on the services and the basis for that determination, without taking into consideration the special status of the Bank as an IFI and state this to the Bank in their response to the Invitation for Expressions of Interest. To the extent that a Consultant incurs input VAT on goods and services purchased in connection with the provision of services (e.g. VAT on airline ticket) which is not otherwise recoverable by the consultant from the local tax authority, the gross cost to the consultant of such expenses shall be treated as a reimbursable expense.

Funding Source: It is expected that the Assignment will be funded by Spain-EBRD Sustainable Energy Cooperation Fund.. Please note selection and contracting will be subject to the availability of funding.

Eligibility: There are no eligibility restrictions

Consultant Profile: Corporate services are required. The Consultant will be a firm or a group of firms preferably with previous project experience related to:

The Consultant’s expert team is expected to include key experts as follows-

Submission Requirements: In order to determine the capability and experience of Consultants seeking to be selected for this Assignment, the information submitted should include the following:

1. Company/group of firms’ profile, organisation and staffing (max. 2 pages).

2. Details of previous project experience or similar assignments particularly undertaken in the previous 10 years, including information on contract value, contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided (if different from duration) , main activities, objectives. (8 pages maxi) showing:

3. Proposed approach, work schedule and methodology, including a description of the man days allocation (10 pages).

4. CVs of key experts who could carry out the Assignment should be focused on information relevant to the assignment, eg qualifications, experience in similar assignments, particularly assignments undertaken in the previous 10 years, including information on contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided, assignment budget, main activities, objectives. (3 pages maximum per CV)

5. Completed Consultant Declaration Form and Contact Sheet, the template for which is available from the following web-link:

6. Financial proposal.

The complete expression of interest (including CVs, Consultant Declaration and Contact Sheet) should be submitted, in English electronically through e-Selection, to reach the Bank not later than the closing date. The expression of interest shall be one file (pdf). The EBRD reserves the right to reject applications of firms submitting more than one file. Only if the permissible file size is exceeded (4MB), the Consultant may split the expression of interest into further files.

Bank Contact Person:

Maria Haugh
Technical Co-operation
European Bank for Reconstruction and Development
One Exchange Square
London EC2A 2JN
Tel: + 44 20 7338 7185

(submissions should be sent through eSelection and NOT to this email address)


1. The selection will normally be made from responses to this notification only. Consultants will not be asked to submit a proposal. The highest-ranked Consultant will be selected from a shortlist and be invited to negotiate the contract, subject to availability of funding.

2. The evaluation criteria are:

a) Firm’s previous project experience in the hydropower sector in the EU and in Georgia – 20 %

b) Firm’s experience in organizing multi-stakeholders events (for example: training, capacity building, workshops, seminars, meetings) in relation with the hydropower industry - 10 (%)

c) Proposed approach, work schedule and methodology - 15 %

d) CV of Key Expert No 1 Team Leader - 15 %

e) CVs of other Key Experts - relevance of professional experience, educational background and level of experience (5% per Key Expert) - 35 %

f) Quality and clarity of the submission - 5 %

Following the above referenced technical evaluation an additional 25 points will be allocated to the firm’s financial proposal submitted as part of the firm’s expression of interest.

The methodology for calculating scores for financial proposals is as follows: The lowest evaluated Financial Proposal (Fm) is given the maximum financial score of 25 points. The formula for determining the financial scores of all other Proposals (Sf) is calculated as follows: Sf = 25 x Fm/ F, in which "Sf" is the financial score, "FM" is the lowest price, and "F" the price of the proposal under consideration.

Other tenders from Georgia за for this period

Second Secondary and Local Roads Project (SLRPII) Source: Roads Department Georgia

*eTendering: RFP - RDA Capacity Building Training for CSOs in GEO Source: United Nations Procurement Notices (UNDP)

EBRD - Rustavi Solid Waste Project Source: TED