RFP/2017/015. Section 3

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1 RFP/2017/015 Section 3 Terms of Reference (TOR) and Evaluation Criteria Study: Quality Infrastructure for Mini Grids of the Future Secretariat of the International Renewable Energy Agency (IRENA) I) BACKGROUND The International Renewable Energy Agency (IRENA) is an inter-governmental organisation, mandated by member states around the world to promote the widespread and increased adoption, and sustainable use of all forms of renewable energy. In accordance with its Statute, IRENA s objective is to promote the widespread and increased adoption and the sustainable use of all forms of renewable energy. This concerns all forms of energy produced from renewable sources in a sustainable manner. These forms include bioenergy, geothermal energy, hydropower, ocean, solar and wind power. In the last years renewable mini-grids gain momentum as a sustainable energy solution, especially where grid extension is not cost effective. Existing diesel mini-grids have been progressively retrofitted with renewable energy technologies (RET), reducing exposure to oil price volatility along with environmental damage and financial or economic costs. Mini-grids connect power generation and storage to a limited distribution network. Planning and design take these functions into consideration, as well as control, management and measurement, conversion and consumption. 1

2 Figure 1 Functionalities of renewable energy mini grids. Source: ( IRENA, 2016) Mini-grids can supply different levels of service, from basic lighting to commercial needs and can be added eventually to the main grid or remain fully autonomous, resulting into a categorization of different systems of mini grids. (Refer to Figure 2) Figure 2 Type of Mini grids. Source: ( IRENA, 2016) Ground-breaking improvements are underway for renewable mini-grids, not only in components, but in system integration, controllability and flexibility. Additionally, mini grids are starting to play an important role in the integration of variable renewable energy, such as solar photovoltaic (PV) and small scale wind power, together with energy storage solutions to ensure a stable supply. In the context of renewable mini grid deployment, quality infrastructure (QI) can act as an essential instrument. QI assures that certain minimum specific requirements of interoperability, safety and performance are accomplished. Also, QI supports policies and regulations, as it refers to a system that provides the means for appraising conformity against appropriate standards and compliance against related regulations. As shown in Figure 3, QI includes elements such as metrology, standardisation, testing, inspection, certification and accreditation. 2

3 Figure 3 Elements of Quality Infrastructure. Source: (IRENA, 2015) By this, is critical to understand at what level has developed the QI of the current mini grids and how it will continue to evolve. Mapping the current needs, gaps and potential solutions in terms of QI can nurture renewable energy markets in the future with mini grids that ensure durability, achieve satisfactory performance and meet high quality levels in the services provided. With this study, IRENA intends to provide clear guidance to policy-makers and other actors in how to prepare a comprehensive strategy and action plan to address the emerging challenges to develop QI for the mini grids of the future. This report will assist member countries to establish quality assurances schemes for mini grids, while contributing to enable a high quality environment in the deployment and operation of RET. II) OBJECTIVE The report informs policy-makers and other key actors in the renewable energy sector on how to develop and implement QI. It emphasizes the gaps and emerging needs for quality assurance in the 3

4 mini grids systems to be deployed using innovative technologies and systems in the next decade, and unveils strategies on how to deploy a QI depending on the market context of countries. The study benefit IRENA member countries by providing information on effective implementation programmes, policy actions, mechanisms, benefits, gains and economic impacts in developing a QI for the mini grids of the future. Also this intensive analysis on the development of QI will enrich countries in understanding the role of QI, support its implementation and benefit their national policies regarding RET deployment. III) SCOPE OF WORK When referring to the concepts of QI and renewable mini grids, this should be taken accordingly from the references: i) QI for Renewable Energy Technologies Guidelines for Policy Makers, IRENA (2015) and ii) Innovation Outlook: Renewable Mini-grids, IRENA (2016) respectively. The scope of work should include but it is not strictly limited to the content mentioned in the sections below. 1. Brief overview of renewable mini grids: status of mini grids systems, considering historic data and developments from the last 5 years. Utilize clear indicators to map the progression from 2013 to 2018 (5 years range period can be adjusted based on data availability). Include, e.g: 1.1. Technical aspects: brief overview of the systems: i) Autonomous Basic ii) Autonomous Full, iii) Interconnected Community iv) Interconnected Large Industrial in terms of. Including;» Technologies» Mini Grid Functionalities: Generation, Conversion, Management, Measurement and Control, Storage, Consumption, Optional Grid Connection» Required infrastructure» Other functionalities if applicable Market Status: for i) Autonomous Basic ii) Autonomous Full, iii) Interconnected Community iv) Interconnected Large Industrial State of the Art of the mini grids of the future: state what is expected in the next decade for this solution, elaborate on the concept mini grid of the future, functionalities and operability. 4

5 1.4. QI gaps for the renewable mini grid of the future: Comparing today renewable energy mini grid and the mini grid of the future, consider which are the QI gaps and needs for the deployment of innovative RE mini-grids in the coming decade. 2. QI for Mini Grids: description of QI for RE mini grids, covering all its functionalities (e.g: Generation, Conversion, Management, Measurement and Control, Storage, Consumption, Optional Grid Connection). Include a detailed description of:» International standards;» Testing methods and devices required in testing laboratories;» Certification processes;» Licensing for installers;» Accreditation processes;» Metrology requirements; and» Market surveillance approaches. This section will also present how all the elements above are connected and how a full system including these elements should work. 3. QI for RE mini grids of the future: Include: 3.1. Analysis of the gaps in QI of innovative RE mini grids, consider gaps in the multiple functionalities of mini grids. Include a detailed description of: international standards, testing methods and devices, testing laboratories, certification processes, accreditation, metrology Detail the main challenges for an appropriate development and implementation of QI for innovative RE mini grids systems in developed and developing countries, in terms of: market, technologies, policies, regulations, business models, costs, consumers, among others Identify the cost/benefits of developing and implementing QI for innovative RE mini grids. Include concrete examples, if possible quantifiable, of QI components in the different mini grid functionalities. Exemplify with country cases, including: context, barriers for development, type of consumers, risks, benefits, and strategies for development. Emphasize particularly the benefits and provide real-life example in terms of: e.g. technology performance improvements, cost reduction for components, cost reduction of O&M, reduced cost for financing, others. 4. Strategy to develop and implement QI for innovative RE mini grids: How to bridge the gaps on QI for mini grids of the future? Include: 4.1. The report shall provide a number of country case studies, from developed and developing countries, concerning experiences in developing and implementing QI for its functionalities. (e.g: 5

6 Generation, Conversion, Management, Measurement and Control, Storage, Consumption, Optional Grid Connection) The case studies should be documented in the report and highlight the relevant lessons learnt, to promote the transfer of experiences between countries and regions. State the benefit for different stakeholders: utilities, consumers, policy makers, generators, among others. Quantify the impact and translate to gains for the economy (energy access), market, environment, society, among others Provide a stepwise strategy that can be used by countries depending on their context, e.g. based on the national market status, to incrementally develop and implement QI to promote growing markets for mini grids systems. The underlying question can be: How to incrementally raise the quality requirements bar as the country capabilities and market grow? 5. Integration of QI in policy frameworks: This section should illustrate how QI can be used to support national policies and regulations for mini grids of the future. This analysis should include:» How policies, regulations and codes can refer to QI components, such as standards, testing, certification and installer licensing;» How incentive policies for mini grids systems can include QI requirements;» How international standards to control quality of imported equipment can be used without breaching international trade agreements;» An inventory of useful references and web-links where policy makers can find real-life examples of how policies and regulations in different countries have referred to QI (e.g. standards, testing, certification of equipment or installers) for mini grids or renewable energy systems in general. Moreover, the study should present across the different sections:» A collection of lessons learnt/study cases/previous experiences from companies or other entities which have demonstrated and commercialized technologies, success and failure factors.» Key messages relevant for i) policy-makers and for ii) potential investors in renewable energy projects.» Graphs, images or other sources to enable a reader-friendly visualization of the development of mini grids. 6

7 The analysis for this work should be based, inter alia, on:» Previous and ongoing work done by IRENA in related fields.» A significant number of interviews with i) experts in the field of QI for mini grids, ii) industry associations, manufacturers of components and project developers, and iii) policy-makers, from developed and developing countries. Interviews should be held via telephone or other virtual media (e.g. Skype) The summaries of the interviews should be documented by the contractor for IRENA s reference;» Scientific papers in peer-reviewed journals and other relevant sources The study should answer the following research questions:» How QI contributes to potential innovations in renewable mini grids or other RE technologies?» What are the challenges that innovative RE mini grids, using new technologies and systems, pose to building a quality infrastructure that supports their rapid commercialisation and deployment?» How to bridge the identified gaps and needs in QI for the RE mini-grids of the future?» What is the economic impact of having an adequate QI against not having one in renewable energy mini grids?» What role do stakeholders (consumers, manufacturers, utility regulators, among others) have to take to encourage QI in their countries?» Who should operate, and maintain QI in countries? What types of incentives should be provided to encourage the deployment of QI in IRENA member countries?» What lessons can be learned from standards bodies in other fields (e.g., medical sector, food manufacturing industry)?» What are the previous experiences on development of QI from organizations? Which plans materialized and which ones not? What were the main reasons for success or failure?» How QI can affect the mini grids located in areas that might transform to future cities? What is the role and potential impact of QI in this context?» Which IRENA member countries have concrete needs of QI for mini grids? What are the strategies to develop QI? 7

8 IV) RESPONSIBILITIES OF THE CONTRACTOR AND OUTPUT The contractor will be responsible for developing a study on QI for mini grids of the future covering the scope of work and answering the questions presented in section III of this Terms of Reference. The contractor will be responsible to elaborate and deliver the deliverables of the study QI for mini grids of the future under the publication policies and guidelines of IRENA, the IRENA/OECD style requirements and the anti-plagiarism policy. Further documentation on the before mentioned will be provided once the contract entries into force. IRENA/OECD style requirements Reports, working papers or other documents prepared for IRENA must conform to IRENA/OECD style requirements. These requirements are outlined in IRENA s style guide (IRENA Publications: A Short Guide PDF attached) and further elaborated in successive editions of the OECD Style Guide. All IRENA publications must strive for clarity and accuracy, consistent with building an evidence-based narrative in line with the mandate to promote renewable energy worldwide. Crucial style details include English-UK spelling, Harvard-style source citations, and full explanation of abbreviations or acronyms. IRENA provides a template Microsoft Word document (attached) for the drafting of reports and papers in a suitable format for IRENA-branded publications. Texts that do not meet IRENA s stipulated style requirements will be returned to the commissioned writer or partner entity with a request for revision. IRENA reserves the right to withhold payment to a commissioned writer or partner entity until any such revision is satisfactorily undertaken. Anti-plagiarism policy Plagiarism will not be tolerated whatsoever in IRENA publications. Any report, working paper or other document prepared for IRENA must constitute original work, in which all sources for information or data receive complete and accurate attribution. Passages taken from prior publications or other works must either be presented as direct quotations (marked ) or paraphrased, with the source clearly stated in a Harvard-style citation in either case. 8

9 IRENA uses plagiarism-detection software to review all draft publications. Passages found to resemble existing publications too closely may require rewriting and more explicit source citation. Passages copied from prior publications (by IRENA or other publishers) cannot be accepted as original work and may be returned to the commissioned writer or partner entity for further revision. IRENA reserves the right to withhold payment to a commissioned writer or partner entity until any such revision is satisfactorily undertaken. Plagiarism, including either copy-and-paste text production or failure to cite sources, may result in rejection of the draft with no financial obligation on the part of IRENA. Deliverables The outputs of this work are: 1. A report in English language that contains the study on QI for mini grids of the future. The report should be drafted in a reader-friendly manner and include graphics and diagrams to the extent possible to facilitate its reading by non-technical experts. The report should not exceed 100 pages, including ca. 75 pages in main body of the report plus ca. 25 pages in annexes. The main target readers of this study will be:» Policy-makers and regulators (Officers in Energy Ministries, National Energy Planning Bodies and regulatory bodies);» Manufacturers and project developers of mini grid systems;» Managers in QI bodies, as national standardisation bodies, testing laboratories and certification bodies;» Potential investors interested in the energy sector. The table of content of the report and the detailed research methodology for the study will be agreed during the development of the inception report. After the final draft of the report is submitted by the contractor, the report will go through the following quality control process:» IRENA s internal review, followed by a new version by the contractor incorporating the required improvements;» External peer-review by experts in the field of QI, followed by a new version by the contractor incorporating the required improvements; 9

10 » Editorial review by IRENA s English Editor, followed by a new version by the contractor incorporating the required improvements;» Final review by IRENA s Publications Office, followed by a new version by the contractor incorporating the required improvements.» Subsequently, the report will go through final editing and layout process, according to IRENA s publications style, and will be published on the web site of IRENA. 2. A factsheet compiling the key messages from the study relevant to policy-makers; 3. Infographics presenting the key messages of the study in a graphical and friendly manner (As possible example: how QI can be used in policy and regulatory frameworks for mini grids systems) 4. A slide deck summarizing in a graphical manner the different sections of the report for outreach purposes. The contractor will be required to discuss the project progress by video or telephone conference with the project team at the IRENA Innovation and Technology Centre (IITC), Bonn, Germany. This will typically be on a weekly or bi-weekly basis. V) TIMELINE Deliverables Duration * 1 Inception report with a draft table of contents of the report and the proposed methodology 2 weeks 2 Draft of the final report 10 weeks 3 Final report after completion of the quality control process 10 weeks** 4 Fact-sheets, Infographics and slide deck 2 weeks 10

11 * Tasks are sequential starting from the signing of the contract ** Duration of the quality control process might be longer depending on the timely response from reviewers. The duration of this deliverable includes waiting time for reception of comments from internal and external reviewers and it is expected to represent c.a. 4 weeks of contractor s work. It is expected that this study requires approximately 4 man-months of work from experts in the field. VI) EVALUATION CRITERIA IRENA requires a consulting firm (contractor) with proven experience and capacity to provide the required activities and outputs as described above. In particular, the contractor needs to:» Be technically sound, highly qualified and with significant experience in delivering international publications addressing complex technical issues drafted for high-level policy makers and private investors;» Be internationally recognised with proven expertise in producing key documents on innovation, quality assurance, QI, technology and markets for policy makers, technology owners and investors;» Have extensive knowledge, ability and demonstrated experience to carry out critical quantitative and qualitative assessment of the status of QI development, trends, deployment and market status, as well as market outlook based on scientific papers, patents registrations and possible externalities using a clear and structured methodology and reliable patent databases and information sources;» Be knowledgeable on strategies to bring innovative technologies into fully commercial and competitive solutions for the market;» Proven experience in preparing reports for international organizations similar to IRENA. In order to assess best value for money the qualitative evaluation of the request for proposals (RFP) will be based on: Criteria Technical expertise and qualifications of the project team in the field of QI for renewable mini grids. Please provide CVs of all staff to be involved with the project and elaborate their individual roles. Weight (%) 35 Scoring Guide (internal use only) Qualification, experience and seniority of assigned staff (25 points); Clear elaboration of roles (10 points) 11

12 Team consisting of: (i) Senior Specialist on QI, knowledgeable for largescale integration of renewables in grids, also acting as Project Manager (ii) Junior Researcher / Research Assistant (iii) Graphic designer Good understanding of preparing reports for international organisations. Provide concrete examples with the respective Uniform Resource Locator (URL), when applicable. Clear methodology and work plan proposed to developed the study on Innovation Outlook: Quality Infrastructure for Mini Grids of the Future and produce the deliverables according to this TORs. Elaboration of a clear and concise technical proposal for this RFP, demonstrating extensive knowledge, experience and ability to carry out critical analysis and provide sound advice on technology matters for policy-makers and investors using a clear, structured and complete methodology. Internationally recognised with proven expertise in producing key documents in the field of quality infrastructure for renewable energy mini grids. Provide concrete examples of this work with the respective URL, when applicable. Examples can be presented in the form of publications, papers, infographics, slide decks, videos, among others (i) Senior Specialist experience minimum 10 years (ii) Junior Researcher / Research Assistant experience minimum 3 years (ii) Graphic designer experience minimum 3 years Experience in production of reader friendly material, for non-expert readers, such as info-graphics on technical issues for policy-makers (10 points) Proposed methodology (20 points); Years of experience of organisation in a field relevant to the scope of work (5<=years<7: 5 point; 7<=years<10: 7 points; 10+ years: 10 points) Well layout, structured and concise proposal (5 points) Portfolio of past work on quality infrastructure for renewable energy mini grids at international level and with international organisations (20 points) VII) References» IRENA (2016), Innovation Outlook: Renewable mini-grids Available at: 12

13 D=3745» IRENA (2015), Quality Infrastructure for Renewable Energy Technologies: Guidelines for Policy Makers Available at: D=669. END 13

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