The City of Palo Alto, California, last week issued an RFP for renewable energy. The request calls for non-escalating contracts for periods of between 5 and 30 years. The City intends to contract for 20 GWh to 60 GHw per year. Despite the constitutional cloud hanging over such requirements, the RFP includes a preference for projects within California, although projects with delivery points within the Western Electricity Coordinating Council will be considered. Responses are due by October 9, 2013.
Results tagged “RFP” from GTH Energy & Natural Resources Law Blog
The Defense Logistics Agency recently issued a Request for Proposals ("RFP") for Renewable Energy Credits ("RECs"). The agency is seeking RECs equivalent to slightly less than 900,000,000 kWh, which will ultimately be delivered to the U.S. Air Force and other agencies, including the Pacific Northwest National Lab here in Washington. Responses to the RFP are due on August 19. Additional information is available here.
The Energy Trust of Oregon recently released an RFP for Renewable Energy Project Assistance Funding. The Energy Trust will provide $40,000 to $150,000 to selected projects to support early-stage development of non-solar renewable energy in Oregon. Funding will support such early-stage development activities as feasibility studies, permitting, interconnection studies, engineering and design, and financing. The response deadline is June 3, 2013.
The Energy Trust is a non-profit organization supported by public-purpose charges imposed on the customers of Portland General Electric, Pacific Power, Northwest Natural Gas, and Cascade Natural Gas.
PacifiCorp late yesterday issued a Request for Proposals ("RFP") for Oregon solar photovoltaic projects. The RFP is intended to help PacifiCorp comply with Oregon's Renewable Portfolio Standard, which includes a requirement for utilities to acquire solar power.
The RFP seeks bids from solar systems with a capacity of between 500 kW and 5 MW. PacifiCorp aims to acquire a total of up to 6.7 MW of solar capacity. Projects must interconnect directly with PacifiCorp's system or have firm transmission capacity to deliver power to the PacifiCorp system. Responses to the RFP are due on June 11, with final selection of winning bids scheduled for October 4, 2013. The project must achieve commercial operation by December 31, 2014.
If you have any questions about the RFP, PacifiCorp, the Oregon RPS statute, or other matters concerning renewable energy development, please contact a member of GTH's Renewable Energy practice group. We have decades of experience in all aspects of renewable energy development, including siting, permitting, contracting, financing, state and federal tax issues, transmission and interconnection.
On February 22, Hawaii Electric issued an RFP for renewable energy projects with a nameplate capacity of 5 MW or more. As previously discussed here, Hawaii is a particularly attractive market for renewable energy developers because Hawaii has by far the highest cost for conventional energy of any state, well above the cost of solar installations even if tax credits and other incentives are not considered.
Apparently recognizing that renewable developers have become frustrated with the long delay in issuing a final version of its draft RFP for renewables and undersea cable development -- issued in draft form last September -- the new RFP seeks to expedite approval of projects that are in the pipeline. In particular, the new RFP promises to seek a waiver from the Hawaii PUC's Competitive Bidding Framework, which would otherwise apply to projects of this size, if power can be brought on line quickly. Specifically, the RFP seeks:
1) power from sources that qualifying under Hawaii's Renewable Portfolio Standard with a nameplate capacity of at least 5 MW;
2) located on Oahu;
3) at a price that will provide "an attractive reduction in costs" for Hawaiian ratepayers; and,
4) that can be brought on line no later than the end of 2015.
Winning bidders will be required to enter into RFPs for a term of 20-25 years. Response to the RFP are due on March 22, 2013.
Hawaii Electric also plans to move forward with a final version of the RFP for renewables and undersea cable. The company indicates it plans to issue that RFP in the second quarter of this year.
If you have any questions about the RFP or other matters discussed in this post, please contact a member of GTH's Energy, Telecommunications, and Utilities practice group.
Maui County has issued an RFP for construction of a waste-to-energy facility. Bids are due on January 16, 2013, at 4 PM. Maui County (which includes the island of Maui plus the surrounding islands of Molokai, Lanai, and Kaho'olawe) would guarantee a stream of municipal solid waste and sewage sludge to power the facility.
As noted in our post of November 8, Hawaii is a particularly fertile market for renewable energy because of persistent high electricity prices, Hawaii's dependence on imported fossil fuels to produce most of its electricity, and strong state policies favoring the development of renewable energy. In addition, limited land and the prospect of a long and expensive sea voyage make disposal of municipal solid waste a particular problem for Hawaii. Advanced waste-to-energy technologies appear to be an ideal solution to both problems.
If you have any questions about the Maui County RFP, or any other matters concerning development of renewable energy, please contact a member of GTH's Energy, Telecommunications and Utilities practice group or Environment & Natural Resources practice group. These practice groups were recently recognized as among the best in the nation. In addition, GTH Partner Jim Horne is licensed to practice in Hawaii.
In traditional Hawaiian religion, Pele is the Goddess of volcanoes. Her frequent eruptions are said to be a sign of Pele's longing for her true love. It is not surprising that Pele plays an important role in Hawaiian traditions. The Hawaiian islands are a string of volcanoes that emerged from the sea and the Big Island is one of the most active volcanic regions in the world. Hawaii is now seeking to harness the enormous power of its volancoes.
Consistent with both economic pressures and public policies favoring rapid expansion of renewable resources, as detailed in our post of November 8, Hawaii Electric Light Co. on November 9 submitted a draft RFP for 50 MW of geothermal power to the Hawaii Public Utilities Commission. A technical conference on the draft RFP is tentatively scheduled for December 5, which comments to the HPUC due two weeks thereafter. A final RFP is likely in early 2013, with the aim of having final bids submitted in the spring of 2013 and having a final PPA in place in early 2014.
If you have any questions about HELCO's draft RFP proposal, or any other matters concerning development of renewable energy, please contact a member of GTH's Energy, Telecommunications and Utilities practice group. We have years of experience in renewable energy development, the utility industry, and related areas such as environmental regulation. In addition, GTH Partner Jim Horne is licensed to practice in Hawaii.
The combination of tropical sun, pleasant trade winds, spectacular geography, and a warm Polynesian culture makes Hawaii a paradise for visitors. But, for some of these same reasons, Hawaii is also a paradise for renewable energy development. An abundance of renewable resources like sun, wind, and geothermal heat, combined with by far the highest electric rates in the nation -- well above "grid parity" -- make Hawaii a premiere market for renewable energy developers.
Recognizing that its continued reliance on expensive, imported oil to generate most of the state's electricity is an economic Achille's heel, the transition to renewable energy has become a high priority of Hawaiian government. Hawaii's commitment to renewables was demonstrated most recently in last week's announcement from Hawaii's Department of Education that it will install solar panels on all 256 public schools in the state over the next five years. In order to address the challenges of financing such an ambitious goal, the plan calls for the solar panels to be owned and financed by the developer, with the schools purchasing the output of the solar panels under a long-term power purchase agreement. Hawaii anticipates that the plan will not only reduce the cost of power its schools by several million dollars a year, but could produce tens of millions of dollars in new revenue as excess power is sold on the local grid.
Similarly, Hawaiian Electric Company has a draft RFP for renewable energy in process, and is expected to issue a final RFP early next year.
On October 1, Portland General Electric ("PGE") issued a Request for Proposals ("RFP") seeking approximately 101 aWM of renewable generation. PGE is requiring the renewable generation to meet its obligation under the Oregon Renewable Portfolio Standard, which requires PGE to obtain 15% of its energy from renewable resources starting in 2015. Hence, bids must be from resources that qualify as "renewable" under Oregon's RPS legislation. Such sources include solar, wind, geothermal, and tidal/ocean energy, as well as biomass, biogas, and hydroelectric power within specific limits.
PGE's prefers for its purchase obligations to commence at the end of 2015. However, bidders may submit proposals with deliveries commencing anywhere in the 2013-17 window. In addition, bidders may propose to sell PGE power under a traditional Power Purchase Agreement, or may propose a structured transaction in which PGE would take an ownership share of the generation resource.
PGE will submit its "benchmark" proposal -- that is, its self-build option, against which outside bids will be evaluated -- on October 30, 2012. Bidders will be required to submit their bids to PGE on November 13, 2012. By February 5, 2013, PGE aims to finalize the short list of bidders with whom it will then negotiate final contracts.
If you have any questions about the MOU and responding to PGE's need for renewable energy, please contact a member of GTH's Renewable Energy and Sustainable Technology practice group. We have years of experience in the energy industry, electricity, project development, financing, licensing, and related fields.
Northwest Renewable RFPs: Seattle City Light Issues RFP For Renewable Resources, Portland General's Is Due Soon
In what has become an annual autumn ritual, Seattle City Light recently issued a Request for Proposals ("RFP") seeking up to 150,000 MWh of renewable energy or Renewable Energy Credits ("RECs"), with delivery to begin in 2020.
While City Light promises to consider a broad range of proposals, including proposals in which City Light would take equity ownership, there are several important conditions: (1) the energy and/or RECs must be from "eligible renewable resources" as defined in Initiative 937, Washington's voter-approved renewable portfolio standard; (2) project proponents must demonstrate that they are sufficiently creditworthy to deliver the promised energy or RECs; and, (3) City Light prefers baseload resources to complement its existing generation portfolio, which is heavily weighted toward hydropower. Although City Light probably would have issued the RFP in any event, it is worth knowing that City Light previously contracted for purchase of RECs from Exergy Development Group's recently-terminated wind projects in Idaho, which would have had a total capacity of 116 MW.
Notices of Intent to Respond are due October 1 and full proposals are due October 15. City Light aims to complete contracts with developers chosen in this RFP by February of next year.
Meanwhile, Portland General Electric continues to move forward with its RFP for renewable resources. The draft RFP will be reviewed at the Oregon Public Utility Commission's September 25 meeting. Barring a major setback for PGE, the final RFP should be issued in the near future.
The Army Opens a New Front in the Battle for Renewables: A $7 Billion RFP for Renewable Energy to Serve Army Bases
On August 7, the U.S. Army issued a long-anticipated Request for Proposals, seeking up to $7 billion worth of renewable energy to serve U.S. Army bases. The RFP is part of larger initiative launched by the Department of Defense ("DOD") to produce one gigawatt of power on defense bases by 2025. Responses to the RFP are due by October 5, 2012. The Army will accept comments on the RFP from interested parties through August 24.
The RFP seeks offers from renewable energy producers for projects to be constructed on private lands or lands controlled by the DOD. Rather than seeking ownership of the generation projects, the Army will simply purchase output from the projects under Power Purchase Agreements ("PPAs") similar those generally used in the utility sector. The project owner will be expected to finance, construct, own, and operate the generator.
Getting the Fourth of July holiday off with a bang, Portland General Electric ("PGE") announced on July 3, 2012, the release of draft documents that will govern bidding for its purchase of 101 aMW of renewable energy. PGE intends for the new resources to be on-line by 2015. The RFP announcement follows on the heels of PGE's RFP for baseload and other resources, as reported in our blog on June 12.
PGE is one of the few utilities in the Pacific Northwest that needs to add significant resources over the next few years. The renewable RFP therefore represents a unique near-term opportunity for the Northwest's renewable energy producers.
In accordance with the Oregon PUC's competitive acquisition policies, the RFP has been issued in draft form. Interested parties will be given an opportunity to comment on the draft documents, and PGE will conduct a workshop to discuss the documents on July 16. PGE will then submit a revised set of RFP documents to the Oregon PUC on July 25, with the aim of issuing the final RFP on September 25 and receiving bids by November 6. Ultimately, PGE aims to select the winning bids by February 5, 2013.
The draft RFP documents are available at the Accion Group website. Accion is the independent evaluator retained by the Oregon PUC to objectively identify the best bids submitted in response to the RFP. (note: you will need to register in order to obtain access to the documents). If you have any questions about either of the PGE RFPs, please contact a member of GTH's Renewable Energy and Sustainable Technology practice group. We have years of experience in renewable energy and the unique Pacific Northwest utility industry.
On June 8, 2012, Portland General Electric announced a final Request for Proposals, in which it will acquire substantial new generation resources. In total, the RFP could result in the addition of nearly 1,000 MW of new capacity, making it one of the largest single capacity additions in the Pacific Northwest in recent years. PGE announced that third-party bids are due August 8, 2012.
PGE requests the following resource types: (1) 300-500 MW of new baseload resources; (2) approximately 200 MW of year-round flexible peaking resources; (3) approximately 200 megawatts of bi-seasonal (winter and
summer) peaking supply; and, (4) approximately 150 megawatts of winter-only peaking supply. PGE plans to bring these resources on line between 2013 and 2017.