Request for Expressions of Interest (Consulting Services for Economic Regulation Expert- Individual Selection)

UNITED REPUBLIC OF TANZANIA

ZANZIBAR ENERGY SECTOR TRANSFORMATION AND ACCESS PROJECT.

CREDIT NUMBER: 68970-TZ

CTF LOAN NUMBER: TF085747-TZ

CTF GRANT NUMBER: TF0B5880-TZ

Assignment Title: Economic Regulation Expert

Reference No. TZ-MOWEM-318384-CS-INDV

The Revolutionary Government of Zanzibar (RGOZ), through the United Republic of Tanzania, has received financing from the World Bank toward the cost of the Zanzibar Energy Sector Transformation and Access Project (ZESTA), and intends to apply part of the proceeds for consulting services.

Objective

The Economic Regulation Expert will be required to establish a comprehensive economic regulation framework that will facilitate sustainable development of the electricity sector and enable achievement of Zanzibar's power sector goals. He/She will support ZURA to establish systems, procedures, and standards based on industry best practices to facilitate effective economic regulation of the power sector. This will include, among others, determining appropriate tariff setting mechanisms and applicable charges for various users who are connected or are connecting to the system.

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Scope of assignment

The Economic Regulation Expert will be embedded within ZURA for three years duration and be required to provide direct support to the Authority to perform the following duties:

1.            Establish a robust economic regulation framework for Zanzibar's electricity sector, including principles, systems. Procedures, and standards required for effective economic regulation and facilitate its implementation.

2.            Establish a systematic process for determining and reviewing electricity tariffs (revenue requirements of regulated entities) and tariff structures for the sector, including terms for purchasing both domestically generated and imported power.

3.            Monitor the regulated entities' economic and commercial performance as well as their compliance to terms and conditions stipulated in their licenses and power purchase agreements from an economic perspective.

4.            Develop and maintain financial models for the sector and end-users and establish a database necessary to periodically update the models.

5.            Prepare financial and commercial performance reports for the electricity sector on a quarterly and annual basis.

6.            Develop and maintain Zanzibar's electricity demand/supply forecasts for the short, medium, and long term.

7.            Support ZURA to comply with its roles during preparation of Zanzibar's Integrated Resource Plan including reviewing and approving relevant assumptions and deliverables.

8.            Analyze and advise on the investment requirements for Zanzibar's electricity sector and quantify their impact on the tariff path in the short, medium and long term.

9.            Establish the appropriate economic regulation framework for promoting renewable energy development in Zanzibar.

10.          Support ZURA to work closely with the Ministry of Water, Energy and Minerals and provide input into determination of an appropriate market structure, and policy and regulatory frameworks to promote private sector investment in Zanzibar's electricity sector.

11.          Undertake regulatory research and policy analysis for the electricity sector by among others coordinating preparation of cost-of-service studies, generation of data, statistics and information on the electricity sector and coordinating development of policies and strategies to increase electricity access in Zanzibar.

12.          Undertake research in new technologies capable of playing a critical enabling role for renewable energy and energy efficiency integration and facilitate adoption of digital technologies and grid modernization to improve performance, efficiency and flexibility.

13.          Prepare terms of reference for engaging consultants to undertake studies, monitor implementation of consultancy contracts including review and approval of deliverables.

14.          Represent ZURA in designated industry fora at national, regional, and international levels, including activities of the regional energy regulatory associations.

15.          Provide hands-on training to ZURA staff during execution of the above tasks and recommend to ZURA Management relevant training opportunities offered by national, regional and international institutions that are beneficial for ZURA staff in the department of economic regulation.

The Ministry of Water, Energy and Minerals now invites eligible expert to indicate their interest in providing the Services. Interested Consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the Services. The shortlisting criteria are:

The expert should have at least the following qualifications and experience:

1.            Master's Degree in Economics, Quantitative Economics, Econometrics, Finance, Statistics or Business Administration.

2.            At least ten (10) years' working experience in the electricity sector as an economic regulation expert, of which at least five (5) years should have been in senior management capacity.

3.            Demonstrable knowledge of electricity sector issues and utility operations in Africa or similar conditions. Including the economic, financial, and legal regulatory aspects.

4.            Previous experience in power sector economic regulation in Sub-Saharan Africa will be an added advantage.

5.            Superior data management, modelling, analytical and research skills.

6.            Excellent report writing and presentation skills.

7.            Excellent written and verbal communication skills in English.

The attention of interested Consultants is drawn to paragraph 3.14 of the World Bank's Procurement Regulations Nov 2020 (Fourth Edition), setting forth the World Bank's policy on conflict of interest.

A Consultant will be selected in accordance with the Open Competitive Selection of Individual Consultant set out in the Procurement Regulations.

(The detailed Terms of Reference (TOR) for the assignment can be obtained the assignment can be found at the following link: https://www.zanzibar-energy.com/energy-sector-library/ then on the institution please select Ministry of Water, Energy and Minerals. Or upon asking through Email: (proc.zesta@majiemz.go.tz and copy to saleh.suleiman@majiemz.go.tz)

Further information can be obtained at the address below during office hour, 07:00 to 03.30pm East African Time.

Expressions of interest must be delivered in a written form to the address below: (Both hard copy along with soft copy by 1 February 2023 at 10:00).

Ministry of Water Energy and Minerals

ZURA building 5th floor,

Procurement Unit, Room No. 502.

Attn: Saleh Sald Suleiman (Project Coordinator)

P.O. Box 1569 Zanzibar

Maisara, Zanzibar

Tel: +255 778 858555

E-mail: proc.zesta@majiemz.go.tz and copy to saleh.sulelman@majiemz.go.tz

Note: Submission of Softcopy only will not be considered in opening ceremony and any difference in hard and soft copy, the Information in hard copy will be used for evaluation.