Wind Power - Electricity Generation- Sources Sought July 18, 2005 This notice shall remain open until October 28, 2005. The U.S. General Services Administration, Public Buildings Service, Region 7, is interested in hearing from Wind Farm Developers, Financiers, Utility Companies and Electric Power Industry participants and Retail Electric Providers and Wholesale Power Providers and/or others engaged in aspects of the renewable wind power generation, delivery, and electric power supply business. GSA seeks to lower its electric power expenses and its building operating costs while also providing environmental benefits, improving air quality, and advancing other governmental goals and objectives. GSA anticipates having a requirement for a large scale renewable wind power purchase on or about June 2008, for some of its buildings in Texas. Currently, in deregulated markets, in the State of Texas, the region purchases approximately 134 million kWhs of electric power per year for the operation of some 84 of its buildings. These buildings are located in the TXU, Reliant, CPL and WTU service areas. The Region is interested in exploring the feasibility of obtaining all or large percentages of its Texas electric power requirements from renewable wind generated electricity, at highly competitive and cost effective prices. GSA Region 7 desires to have conversations and discussions with industry as to industry capabilities and industry recommended solutions to technical issues surrounding the reliable and cost effective delivery of wind generated power. Such conversations would include plans to address periods of time when the wind resource is unavailable for generation of power, or how to make use of wind generation that does not coincide with “time of use” power demand at GSA buildings. Information is sought as to cost of installation, costs of production of electricity from wind generation, cost of transportation and delivery, wind farm O&M, required wind farm construction time, wind resource evaluation time, reliability of production, methods of evaluation of the wind resource, utilization percentages, reliability of equipment and service, identification of optimal location, optimal size of load to be serviced, potential financing terms and conditions, methods of structuring such deals, tax credit use, enhanced use leasing, or other material elements of such transactions, and all other aspects of the generation and delivery of wind power generation to GSA buildings and facilities. The Government is aware reports prepared by independent researchers on the Texas Renewable Portfolio Standards found that production from Texas wind farms is being sold under long term contracts for prices of 3 cents per kWh. The Government seeks pricing at or near this level (exclusive of T&D) for use in its buildings and facilities. GSA, Region 7, is willing to consider and evaluate a variety of transaction structures that may enable it to obtain this objective. The government may be willing to consider entering into long term power purchase contracts for up to ten years, or longer, in support of wind farm development, if contractual, technical, and other obstacles may be overcome, and if financial benefits to the government may be realized. This is not a solicitation nor will a solicitation result from this notice or announcement. If a formal solicitation notice is generated at a later date, a solicitation notice will be published. The purpose of this notice is to gauge the level of interest on the part of industry in participating in such a transaction and to discover industry viewpoints and capabilities pertaining to such transactions and the technical issues involved. The government invites interested parties to submit information regarding the matters identified in this notice, or other pertinent issues, to the government. This information should be received by the government not later than October 28, 2005. Further information may be obtained by contacting the government’s representative. No award will be made as a result of this notice. All information is to be submitted at no cost or obligation to the government. This is merely an invitation by the government to industry to discuss these opportunities, issues and possibilities with the Government’s representative. Once Industry comments and views have been received, and evaluated, the Government anticipates hosting the opportunity for a government/industry roundtable conference in Fort Worth to discuss and explore potential transactions. The Government reserves the right to reject in whole or in part any private sector input obtained as a result of this sources sought notice, and market survey. For further information or discussions interested parties and industry participants are invited to contact Mr. Kevin Myles, Contracting Officer, GSA (7PMA) at (817) 978-9942 or by e-mail at:
[email protected].