Senior Energy Engineer

 

GGGI is hiring a technical engineer to support the Government of Ethiopia (GoE) with extensive experience in project preparation and due diligence, least cost investment planning (renewable generation) and technical regulatory and policy work in support of scaling up private sector participation in the development of renewable energy.

Project Background: 

The Government of the Federal Democratic Republic of Ethiopia has been committed to a structural transformation of the economy aimed at becoming a middle-income country by 2025. The growth trajectory aims to follow an environmentally sustainable growth path. To ensure the implementation of this path the Government of Ethiopia (GoE) has embarked on a Climate-Resilient Green Economy (CRGE) Strategy which was initiated on 2011. As part of CRGE, the GoE established the Industrial Park Development Cooperation (IPDC) in 2014 with the mandate to champion the construction, management and operation of industrial parks across the country. 

The Adama Industrial Park (AIP) is in Adama township, the regional capital of Oromia, about 100km from the federal capital, Addis Ababa. The park occupies an area of 365 hectares of land and the first phase, which has 19 manufacturing sheds is built on 102 hectares of land. There are plans for a second phase expansion of the park in the near future. Phase one of AIP is expected to create about 25,000 new jobs and generate about USD 40 million in export revenue per year. The park is focused on textile and garment manufacturing, attracting companies like Antex textile, Charter Venture Apparel and others. The park currently depends on hydro-powered electricity. According to the Industrial Parks Development Corporation (IPDC), AIP requires about 33MW of electricity for full operation of the park. However, only 9MW is been supplied to the park due to electricity shortage from the national grid. Deploying substantial potential of alternative energy (e.g. solar energy) at production sites would help manufacturing industries in Ethiopia improve the reliability of power supply and reduce the burden on national power demand. This would also help the commercial and industrial sector reduce their significant expenses on electricity consumption due to high tariffs during peak hours and cross subsidization policy from large consumers to smaller ones. Therefore, an alternative renewable energy sources which can support the park’s electricity requirements is necessary. The first phase of AIP has 19 manufacturing sheds with a total rooftop surface area of 122,500 m2– this area is large enough to install large power capacity. 

GGGI’s expects to commence operations in the energy sector in Ethiopia and is hiring a technical engineer to support the Government of Ethiopia (GoE) with extensive experience in project preparation and due diligence, least cost investment planning (renewable generation) and technical regulatory and policy work in support of scaling up private sector participation in the development of renewable energy. If the study findings from this project indicate investment viability in solar installation, then the investment opportunity can be extended to other parks across the country.

Location
Ethiopia
Contract Type
Individual Consultant (Deliverable)
Grade
Individual Consultant F
Salary scale
Individual Consultant Scale
Contract Duration
3 months and 10 days
Date to close
20/02/2019
Ref No
Individual Consultant

Objectives/Purpose of the Assignment: 

The overarching objective of this consultancy is to conduct overall technical and economic assessment of renewable energy investment (e.g. rooftop solar) for AIP, including elements such as: evaluate the least cost power supply options to the industrial park; assess interconnection arrangement and complaint of AIP with grid codes of Ethiopia Power Authority (EEA); awareness building of renewable energy technologies and business models (leasing etc.); and policy and technical regulations to help address prevailing market barriers for increasing the penetration of solar PV. 

The assignment includes design and finance phases with the following key project finance tasks:

      I.         Identify technical and economic assessment of the renewable energy (e.g. solar PV) investment for 100% renewable energy supply for the Adama Industrial Park;

     II.         Present a comparative analysis (techno-economic) for different renewable energy technologies against current supply; 

   III.         To conduct full cost assessments, analyzing and further developing of the business and financial model;

   IV.         Assess key investment barriers and provide bankable energy project’s report that depicts the business case for viable renewable energy (e.g. rooftop solar PV) supply power to AIP.

The project aims to reduce the need for diesel-generated power supply with renewable energy (e.g. rooftop solar PV), which in turn, positively affects the balance of payments and increases energy security; it also has an added benefit of green industrial development, and positive impact on AIP balance of payments. 

The consultant will review energy laws, energy policies to identify and evaluate the bottleneck to the regulatory framework and industrial setup for delivery of reliable power supply to the industrial parks such as AIP; and evaluate energy supply options and the reliability of the existing power supply systems.  

Scope of Work: 

The Senior Renewable Energy Engineer (Consultant) will report to GGGI’s energy and investment team and coordinate with the GGGI Ethiopia country team, theIndustrial Parks Development Corporation (IPDC),the Environment, Forest and climate change Commission, the Ministry of Water, Irrigation and Electricity (WoWIE),the Ministry of Industry (MoI),Ministry of Finance and Economic Cooperation (MoFEC),and Development Partners. 

The consultant should also engage with other relevant national entities and private sectors to gather the necessary data and information. 

The scope of work includes the following activities:

 

Scope

Topics to be covered

Details

Current Landscape

Topics to be covered:

-  Demand scenarios

-  Current infrastructure

-  Current resource potential 

-  Current policy / regulatory frameworks for renewable energy developers 

-  Current finance options available for solar project developers offered by domestic or international banks

1. Analysis of current electricity demand and expected demand in expansion phase of the park.

2. Assessment of existing grid supply, access, reliability

      i. Power supply

     ii. Grid covering 

3. Analysis of resource potential available for commercially proven technologies focusing on:
  • Hydropower
  • Solar PV (standalone, rooftop, grid connected, storage)
  • Wind
  • Other technologies can be included provided they meet the criteria of being commercially available, proven, easily accessible on the market, etc.
4. Analysis of current policy/regulatory frameworks for renewable energy projects’ stakeholders

-        For developers

-        For investors – domestic/foreign 

-        For utilities

5. Analysis of investment barriers

-        Finance terms offered by banks in terms of interest rate tenure and need for collaterals 

Gap analysis 

Topics to be covered:

-  Potential technologies based on resources available 

-  Techno-economic analysis for different pathways to 100% renewable energy generation 

-  Policy gaps 

-  Local capacity gaps (if any)

-  Assessment of finance gap

1. Analysis of the technically feasible resource potential for each technology, including options for energy storage and hybrid installations and exploration of pathways to 100% renewable energy
  • Provide an assessment of the commercial and technical feasibility of renewable energy priority off-grid, mini-grid and grid options.
  • Undertake the identification, preparation of feasible design and specifications and costs options for AIP.
  • Prepare prioritized least cost diversified investment plans for off-grid, mini-grid, and grid-connected renewable energy generation. For example, solar + storage option, gird +solar 
2. Analysis of estimated costs and comparison between different options
  • Technology LCOE / cost per MWh produced and capacity factors used for each technology
  • Costs with and without another back-up
  • Comparison of estimated LCOEs including for solar PV, storage, grid and hybrid solutions.
  • A preliminary assessment of modifications and additions required to existing power grid and costs to accommodate increased renewables penetration.
3. Analysis of policy gaps, if any, for project developers, investors
  • Regulations for IPPs, renewable energy developers, sale of electricity, transmission of electricity, etc. 
  • Policies/Regulations for investments in renewable energy sector, for foreign capital (debt/equity) to invest in Ethiopia, repatriation of capital, etc.
4. Assessment of local capacity for renewable energy projects:
  • EPC contractors
  • Operations and Maintenance abilities
5. Analysis of finance gaps
  • Technical competence of domestic finance institutions to support solar developers.
  • Banks’ ability to provide project finance instead of corporate finance.
  • Banks’ willingness to engage with Development Finance Institutions (DFSs) for blended finance facilities to de-risk the solar projects.
  • Identify the finance gap and what we could do in terms of de-risking the projects.
  • A legal assessment of solar leasing finance model in Ethiopia.

Case studies/ best practices

International cases which can be relevant for stakeholders 

  • 100% renewable energy for Industrial park (Eco-industry) electrification cases. 
  • Identification of key challenges associated, and solutions formed to tackle the same.
  • Support the GGGI team in undertaking market sounding of potential financiers and guarantees (as appropriate) to assess the appetite for Ethiopia with the aim of mobilizing climate finance and leverage private sector investments. 

 

Multi-stakeholder consultations and delivery of the final report: The project will encompass Two to Three stages of key stakeholders’ consultation to facilitate and ensure a series of discussions to enrich the study and pave the way for their implementation. The final report shall reflect consolidated comments collected through the consultation workshop with the multiple stakeholders.

The consultant shall deliver the presentation files including key recommendations from the report at least 2 weeks prior to a planned multi-stakeholder consultation workshop. At the workshop, the consultant will collect comments and feedback on the technical reports from local stakeholders and reflect this in the final report. She/he will co-facilitate small-group discussion with GGGI’s technical team to gather overall feedback. The final report reflecting comments collected from the consultation workshop will be produced and presented to the Industrial Parks Development Corporation (IPDC). 

Output/Reporting Requirements/Deliverables: 

The consultant will report to IPDC and GGGI Ethiopia Country representative under the overall guidance of the Principal Energy Specialist (GGGI). The consultant is highly recommended to be based in Ethiopia for the majority of the contract period especially during the feasibility study.

She/he is expected to deliver the following outputs in accordance with the timeline and payment schedule below:

Sr. No.

Outputs/ Deliverables

Timeline

 

Due Date*

payment linked to outcome

1

-      Project study outline and first phase analysis (Inception/Interim report) based on the proposed work and the defined scope of work,

-      Plan for field mission (including the list of stakeholders for meeting)

-      Preliminary assessment of technical, financial, environmental and social risks.

 

 

 

Feb 28th, 2019

10%

2

-      Draft project specifications, costs, cash flow and payback periods in accordance with requirements by financiers.

-      Proposed regulatory technical specifications and standards.

-      Multi-stakeholder consultation workshop & final submission of the technical reports.

 

 

 

 

April 30th, 2019

15%

3

Draft Final Report

-      Draft prioritized investment plans for rooftop solar PV with tentative cost estimates, indicative levelized costs, and issues/benefits.

-      Assessment and recommendations for sustainable business models for rooftop solar PV.

-      Assessment of existing policy, regulations and incentives for renewable energy projects.

1)PPT files for multi-stakeholder’s consultation workshop (Two weeks prior to the workshop)

2)A final submission of the technical report.

May 15th, 2019

35%

4

-      Presentation with all supporting data for the findings during the validation workshop in Addis Ababa.

 

 

May 31st, 2019

5%

5

Final report

-     Final and agreed investment plan and proposed implementation plan.

-     Draft PPA and tendering templates and proposed procurement approach outlining steps and time frames. 

 

 

June 10th, 2019

35%

 *negotiable

All reports must be in English prepared in accordance with GGGI’s formatting requirements and submitted in electronic formats along with complete sets of raw data, research materials, and related information.

 

Qualification

Education/Experience/Competencies: 

Education

This consultancy seeks a qualified individual with the following minimum requirements:

  • Advanced degree (at least Masters) in Electrical or Electronics Engineering, Economics, Renewable Energy or a related discipline;

Experience

  • A minimum of 8 years relevant experience in the energy sector comprising project preparation, due diligence and implementation, procurement, and renewable energy planning; of which 7 years in a developing or emerging market in the context of renewable energy development and planning; experience from working with the distribution sub sector on integration of variable energy is highly desirable.
  • Documented experience of tendering requirements/performance specifications and process of independent power producers in the renewable energy sub sector.
  • Experience of requirements and procedures of international financing institutions, bilateral and multilateral donors/organizations is desirable.
  • Experience in energy policy/ regulatory frameworks analysis and development for renewable energy projects and grid operation experience;
  • Experience of working in Ethiopia and/or knowledge of the region’s context and experience working with international organizations is an asset;
  • Excellent writing, negotiation and communication skills; and
  • Fluency in English is required.

Competencies

  • Strong technical knowledge ;
  • Strong communication and analytical skills;
  • Demonstrated skills in drafting reports;
  • Ability to work under pressure with several tasks and various deadlines;
  • Actively generates creative, practical approaches and solutions to overcome challenging situations;
  • Excellent writing, presentation/public speaking skills;
  • A pro-active approach to problem-solving;
  • Computer literacy and presentation skills.

Documents to be submitted (Online application) 

  • Curriculum Vitae (CV)
  • Cover letter 

*Shortlisted candidates may be requested to submit a two-page workplan indicating the applicant’s understanding of the ToR, their approaches to the assignment including methodology, and a tentative timeline to achieve deliverables prior to the interview.