Renewable and Energy Efficiency Projects RFP to Implementation

Solar Outline Drivers to growth in NH solar How to take advantage RFQ vs RFP How to draft, manage and issue proper RFP How to evaluate responses and award

Drivers to NH Solar Growth Net Metering  Group Net Metering  Size limits, caps, rates  Behind the Meter vs Virtual Net Meter PUC Rebates  New C&I Rebate program review RPS & RGGI are old news

How to Take Advantage Own the system yourself  Tax shelters  Cumulative Cash Flow Power, RECs, Tax savings  O&M, Insurance costs PPA  Minimize the upfront cost  Property tax payments, lease payments, power savings  Minimal operating expenses  Lower Cumulative Cash Flow, Lower Risk Group Net Meter  Receive net metering credits. That’s pretty much it!

RFQ vs RFP RFQ  Allows freedom of choice! Qualifications, relationship, reputation  Negotiate on price after selecting your vendor RFP  Price price price!  Obligated to work with lowest qualified bidder

Drafting the RFP/Q Key considerations  Previous work experience  Pre-bid meeting and site visits  Bonding and insurance  Licenses and certifications  Economic value to you Ownership, PPA, GNM  Designs – layout and one-line  Interconnection  Rebate applications  Site specific details and requirements  Other vendors and contractors Both yours and theirs  Performance guarantee  Warranties  Existing conditions and information Shading, electrical, site, etc.  Security Fencing – is it necessary?  Material requirements Manufacturers, quality  Data Acquisition System  Anticipated timeline  Safety OSHA!!!!!  Short & Sweet

Managing the Process Key considerations  Hard copy or electronic submittals?  Acknowledging receipt of addendums  Providing accurate responses to questions  Release names of expected bidders or not?

Evaluating Proposals My Top 5 Most Important Factors 1) Previous experience, reputation, track record 2) Grasp of the unique project scope 3) Economic benefit to you is legitimate 4) Economic benefit to you is worthwhile 5) Organization Adherence to requirements, met deadlines, proposal meets goals, spelling and grammar, etc.

Energy Procurement RFP to Implementation Local Energy Solutions Conference March 21, 2015

Getting Started What are you trying to accomplish?

Getting Started What are you trying to accomplish?  Save Dollars ?

Getting Started What are you trying to accomplish?  Save Dollars ?  Promote Sustainability ?

Getting Started What are you trying to accomplish?  Save Dollars ?  Promote Sustainability ?  Green Your Organization ?

Getting Started What are you trying to accomplish?  Save Dollars ?  Promote Sustainability ?  Green Your Organization ?  Generate Tax Revenue ?

Let Goals Define Procurement

Do you need to understand how? What resources can you draw upon Grants Local Knowledge Consultants

Let Goals Define Procurement Do you need to understand how? What resources can you draw upon Grants Local Knowledge Consultants One Time Event vs Long Term Program

Actual MSD Energy Expense

Marshall Your Talents/Resources Making the Stew Not Cookie Cutter Not Generic RFP

Procurement Step - RFQ vs RFP Two Step Process Eliminate the Undesirable Bond Capacity Litigation Project Equivalency Get to Know Options

Procurement Step - RFP vs RFP Two Step Process Eliminate the Undesirable Bond Capacity Litigation Project Equivalency Get to Know Options Due Diligence References Make the calls

Energy Efficiency Procurement Multiple Options  Performance Contracting  Pay as you go  Grants/Programs Local Utility

Keep it Simple Set RFP/RFQ to meet goals/objectives Be broad Let respondents meet your goals Don’t get hung up on who is making more money Engineers will over complicate things

Manchester Solar Example

RFQ to RFP

Manchester Solar Example RFQ to RFP 11 Respondents

Manchester Solar Example RFQ to RFP 11 Respondents Narrowed to 3 competitors

Manchester Solar Example RFQ to RFP 11 Respondents Narrowed to 3 competitors Made all buildings and real estate available

Manchester Solar Example RFQ to RFP 11 Respondents Narrowed to 3 competitors Made all buildings and real estate available Landfill = $100,000 Benefit

Manchester Solar Example RFQ to RFP 11 Respondents Narrowed to 3 competitors Made all buildings and real estate available Landfill = $100,000 Benefit Roofs = 15% ROI

Manchester Solar Example RFQ to RFP 11 Respondents Narrowed to 3 competitors Made all buildings and real estate available Landfill = $100,000 Benefit Roofs = 15% ROI No exposure to the City

Manchester Solar Example RFQ to RFP 11 Respondents Narrowed to 3 competitors Made all buildings and real estate available Landfill = $100,000 Benefit Roofs = 15% ROI No exposure to the City All development cost borne by contactor

Manchester EE Example Two Quasi Performance Contracts Long Term Program Multiple Phases Moved From Energy Savings to Deferred Maintenance Up to $11,000,000 over 5 Years Energy Cost Down over $2,500,000 per year Benchmark

Contract Management  Incredibly Hard Work  New Relationship  Throw Out Contract  Regular Meetings  Always Focus on Attaining (Exceeding) Goals  Standard Format

Thank you

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