UC/CSU - RFP 970042
PROVIDER OF DIRECT ACCESS SERVICES
SECTION 1
INTRODUCTION
1.0 Purpose and Intent
The purpose of this Request for Proposals (RFP) is to select one or more Contractors to provide cost-effective and reliable direct access services to The Regents of the University of California (UC) and The California State University (CSU), hereinafter collectively referred to as the “Universities”.
The intent of the Universities is to obtain the greatest savings available through the award of contracts to either a Northern and Southern California contractor or a single statewide contractor. The vendor or vendors successfully meeting the criteria identified in Section 9 - Evaluation and Award and offering the best combination of lowest statewide baseline price proposals for a two year term shall be selected as qualifying finalists. Subsequent to selection, the Universities and the selected vendor(s) shall enter into a 30 day final negotiation period in accordance with the provisions of this RFP.
1.1 Overview of Mandatory Services Required
1.1.1 Baseline Elements of direct access service - The following mandatory categories of services are defined as Baseline Elements of direct access service must be offered by the vendor. The services provided must meet requirements as stated in Section 4.1 and will be part of any subsequent agreement between the Universities and the Contractor.
1) Electric Supply Services include, but is not limited to: the procurement and delivery of electric energy and serving as the Scheduling Coordinator (SC) and Energy Service Provider (ESP) for the Universities.
2) Communications include the provision of a means for counting pulse signals to insure electric consumption data is provided to the Universities.
3) Required Customer Services include but is not limited to the provision of account representatives, support for complaint and dispute resolution, and training workshops.
4) Additional Required Services include the provision of additional services to support existing interruptible accounts, curtailable loads, cogeneration standby and backup service, and excess cogeneration sales.
1.1.2 Additional Elements of direct access services - The following additional services as defined in Section 4.2 are considered mandatory and must be offered by the vendor but may be ordered at the sole discretion of the Universities.
1) Metering Installation Services and Ongoing Meter Services
2) Billing and Load Information Services.
1.2 Optional Service and Pricing Proposals
This RFP allows for Vendors, in addition to submitting pricing for the mandatory services described, to propose one or more alternatively structured services and price proposals which may present a distinct and quantifiable benefit to the Universities. Alternatives may be offered at the sole option of the vendor and are further identified in Sections 5 and 6, respectively. They include but are not necessarily limited to:
1.2.1 The submission of proposals for any Contracts for Differences (CFDs) they would offer to the Universities as an alternative to direct access service.
1.2.2 The identification and offering of "Extended Services" such as expanded demand side management, substation acquisitions and expansions, and assessment of cogeneration plan operations, etc.
1.2.3 The identification and offering of any enhanced or modified services and/or pricing which are associated with the scope of the RFP but have not been identified nor anticipated as part of this RFP.
Vendors are advised that any alternative proposals offered in response to this section in no way excuses the vendor from full compliance with the mandatory requirements of this RFP and that alternative service and pricing proposals shall not be considered for purposes of evaluation and selection of qualifying finalists.
1.3 Direct Access Service Cost Guarantee
The Universities will proceed with selection of one or more Contractors to provide the services described herein only if they are assured of a guarantee of savings for each Participating Campus relative to continuing local Utility Distribution Company (UDC) bundled electric service. Any RFP response that does not contain the signed Direct Access Service Cost Guarantee contained in Section 8 will not be considered. Based on such guarantee, the Universities anticipate Eligible Campuses will participate in the direct access services program.
1.4 Direct Access Costs and Charges
The Contractor shall be solely responsible for any charges or costs incurred by Participating Campuses as a result of participating in the Universities' direct access services program. Such costs may include, but are not limited to: processing costs for Direct Access Service Requests (DASRs), settlement charges, and imbalance penalties or charges. Such costs do not include the Competition Transition Charge, the public benefits charge, or other charges applicable to both Direct Access Service and bundled utility customers; these charges shall be paid by Participating Campuses.
1.5 Conformance with Regulatory Requirements
The Contractor shall ensure that all Direct Access Services provided to the Universities meet any requirements adopted or specified by the California Public Utilities Commission (CPUC), the Federal Energy Regulatory Commission (FERC), the Independent System Operator (ISO), the Power Exchange (PX), and the local Utility Distribution Company (UDC), for direct access service. The Contractor shall conform to these requirements throughout the term of the Contract at no additional cost to Universities.
1.6 Requests for Changes
If a vendor believes that one or more of the RFP requirements imposes unnecessary constraints on the vendor in proposing less costly or alternate solutions, the vendor may request a change to the RFP by submitting, in writing, recommended changes(s), the facts substantiating its belief and the reasons for making the recommended change(s). Such request must be submitted to the contracting official identified on the cover page on or before the date specified in Section 2. Oral statements shall not be binding on the Universities. The Universities shall consider any requests for exceptions and/or changes. In the event the Universities accept the request and the request results in a change to the requirements of the RFP, all vendors who have been issued an RFP for purposes of responding shall be provided an addenda pursuant to Section 11.
1.7 Definitions - As used in this RFP, the following terms shall have the respective meanings set forth below.
Account - A UDC specific identifier for tracking energy service deliveries for a specific load through one or more meters at a customer premises or location. One customer may have several accounts within a premises or throughout a UDC’s service territory.
Agreement - Agreement shall mean the complete contract between the Universities and the selected Contractor (s) to be prepared and executed in accordance with the RFP.
CPUC - California Public Utilities Commission
Competition Transition Charge (CTC) - Defined in Public Utilities Code Section 840 and by the (CPUC)
Consolidated Billing - Defined in accordance with CPUC approved direct access tariff provisions.
Direct Access Service Requests (DASRs) - An application for direct access service submitted to a local UDC on behalf of a Customer by an ESP, as described in applicable CPUC rules.
Eligible Campuses - Those UC and CSU campuses eligible under applicable law and regulation to purchase direct access services from an entity other than their local UDC, as of January 1, 1998. Reference Exhibit I for a listing of existing eligible campuses.
Energy Services Provider (ESP) - An entity who provides electric supply services to Direct Access Customers within a UDC’s service territory. An ESP may also provide certain metering and billing services to its Direct Access Customers as provided for within CPUC tariffs.
FERC - Federal Energy Regulatory Commission
Firm Service - The constant and consistent provision of electricity and related services which is not subject at any time to interruption, reduction, curtailment or discontinuation in any instance other than those resulting from a force majeure event.
Independent Service Operator (ISO) - The California Independent System Operator Corporation, a state-chartered, non-profit corporation that controls the transmission facilities of all participating transmission owners and dispatches certain generating units and loads. The ISO is responsible for the operation and control of the statewide transmission grid.
Metering Facilities or Metering Equipment - A meter, its associated current and potential transformers, test facilities, communication interfaces, and other associated metering equipment required for the measurement of supply deliveries to a participating campus’s account.
Participating Campuses - Those individual UC and CSU campuses who take Direct Access Services under an agreement between the University and Contractor(s).
Power Exchange (PX) - The California Power Exchange Corporation, a state chartered, non-profit organization charged with establishing a competitive spot market for electric power through day and hour ahead auction of generation and demand bids, in accordance with the FERC approved PX Tariff.
Rate Group Average PX Energy Prices - The average Power Exchange energy price as calculated and charged by the UDCs for each respective customer class, rate group or rate schedule, including time of use period distinctions.
Scheduling Coordinator - An entity meeting requirements as set forth by the Commission, FERC, and these tariffs.
SECTION 2
SCHEDULE OF EVENTS
Pre-release meeting with vendors July 31, 1997
Pre-release of load data September 8, 1997
Release of RFP September 26, 1997
Last Day for Questions/Changes (see Section 1.6) October 14, 1997
Deadline for Proposal submission October 30, 1997, 2:00 p.m. P.S.T[1]
Notice of Intent to Award (begin negotiations) November 14, 1997
Note: All dates following Notice of Intent to Award are provided for planning purposes only, are subject to change without notice, and are not to be construed as a commitment by the Universities.
Contract execution - Final Implementation Plan December 15, 1997
Holiday - Campus Closures (May vary among campus) December 25, 1997 - Jan. 2, 1998
Campuses submit DASR information to Contractor for
Stage One Accounts January 5, 1998
Contractor submits DASRs for Stage One Accounts to UDCs January 12, 1998[2]
Campuses submit DASR information to Contractor for
Stage Two Accounts January 26, 1998[3]
Direct Access Service and Consolidated Billing begins for
Stage One Accounts February, 1998
Acceptance of Billing System for Stage One Accounts February 1, 1998
Contractor submits DASRs for Stage Two Accounts to UDCs February 6, 1998
Direct Access Service and Consolidated ESP Billing begins for
Stage Two Accounts March, 1998
Acceptance of billing system for Stage Two Accounts March 1, 1998
Contractor completes installation of all new meters and communications April 26, 1998
SECTION 3
UC/CSU LOAD DATA
Information was released to vendors on September 8 showing the Universities' aggregate load expected to be eligible for direct access services in 1998.
The load data contains the Universities' estimated calendar year 1998 monthly campus-by-campus loads. This information is broken out by tariff or tariff class, as applicable. Accounts with maximum demands greater than 500 kW are shown individually.
Loads are categorized by campus and size (000 Group notation equals 500 kW or greater, 100 Group notation equals between 20 kW and 500 kW demand, and 200 Group notation equals less than 20 kW demand). Loads are further identified by serving utility, tariff schedule, account number (for single accounts), or number of meters included (multiple accounts).
For each account or group of accounts, monthly data is given for demand (TOU, as applicable) and energy (TOU, as applicable), standby requirements, and any projected increases to the respective campus loads in the coming years.
The projected increases in loads shown are due to projects which are fully approved for implementation and therefore should be incorporated into all price proposals. In addition to these increases, for purposes of evaluation of the price proposals, the Universities will assume that all loads grow by 1% annually, starting in 1999.
No estimate of systemwide peak demand has been made. The peak demands in this RFP are by account and may not be coincident to each other or to the UDC's system peak.
Vendors will be provided with single-page campus profiles which include information regarding the energy and energy management systems on the individual campuses. Vendors will also be provided with minimum and maximum demand level data for the major accounts at most campuses. This supplemental data is for the sole purpose of assisting the vendors in their preparation of bids and the Universities guarantee neither its accuracy nor its completeness.
This load information is for purposes of providing vendors information about campus loads to be used in responding to this RFP. The Universities provide no guarantee that actual loads of the campuses will be the same as projected in this load data.
SECTION 4
DIRECT ACCESS SERVICE REQUIREMENTS
4.0 Overview
Listed below are the direct access services which each responding vendor must propose to provide. The first three services listed below -- Electric Supply Services (4.1.1), Communications (4.1.2), and Required Customer Services (4.1.3) -- are considered Baseline Elements of the Universities' Direct Access Service Program and will be utilized by the Universities. All services listed below for these Baseline Elements must be provided and included in the vendor's Baseline Price Proposal. Additional Required Services (4.1.4) are to be provided and priced as specified below.
Vendors must also propose to provide the Additional Elements in the Universities' Direct Access Service Program. These Additional Elements are described below under Meter Installation Services (4.2.1), Ongoing Meter Services (4.2.2) and Billing and Load Information Services (4.2.3). The Universities will decide, after submission of vendor proposals, whether to include such Additional Elements in their Direct Access Service Program. Accordingly, vendors are to propose separate pricing for these Additional Elements, unless they are included at no cost in the Baseline Price Proposal.
4.1 Baseline Elements of Direct Access Service
The following services are considered mandatory and must be provided by the Contractor:
4.1.1 Electric Supply Services
1) The Contractor shall act as the Universities' Scheduling Coordinator (SC) and Energy Service Provider (ESP). As the Universities’ SC, Contractor shall schedule and purchase all electric power and ancillary services required by Participating Campus loads, and shall report all end-use meter reads to the ISO. The Contractor shall provide the necessary software and support resources to determine the daily and time-of-use needs of the various campuses based on historical and current metered and weather information, analyze the data, and arrange for the procurement and delivery of the necessary power to the points of service. All communications means, software, and protocols required to obtain this information and accomplish the scheduling and reconciliation with the ISO, PX, campuses, or others is the responsibility of the Contractor.