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RFP-TOR FOR CONSULTANCY SERVICES TO CONDUCT A MARKET ASSESSMENT AND BASELINE STUDY FOR THE ENERGY TRANSITION CHALLENGE FUND (ETCF) – NIGERIA, FEB 2024

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The AECF

The AECF is a number one growth finance group that helps companies to innovate, create jobs, and leverage investments to construct resilience and sustainable incomes for rural and marginalized communities in Africa. AECF’s objective is to bridge the funding hole between early-stage enterprises and enterprise maturity for entrepreneurs serving the poorest communities.
The AECF supplies affected person capital to new and revolutionary enterprise fashions within the agribusiness and renewable energy sectors throughout Sub-Saharan Africa by means of varied financing devices, which embody grants, zero-interest loans, ensures, and dealing capital amenities. AECF’s financing merchandise are supplemented by three extra development help providers to enhance the viability and sustainability of our investees, particularly, (i) Advisory Providers to enhance investee inside capabilities (ii) Funding Assist in elevating business capital in important volumes, and (iii) Data and Insights for studying and proof gathering for coverage influencing and advocacy.
AECF has efficiently applied programmes throughout 26 nations in Sub-Saharan Africa (SSA), supporting over 343 enterprises, elevating US$ 392 million in funding for programmes, leveraging $750 million in extra capital, and impacting 28 million lives.
The AECF 2021-2025 new strategy goal is to construct resilience and sustainable incomes for rural and marginalized communities in Africa. Via catalytic funding, the AECF surfaces and helps the commercialization of latest concepts, enterprise fashions, corporations, and applied sciences designed to extend agricultural productiveness, increase energy entry, and alleviate poverty whereas additionally addressing the cross-cutting themes of ladies and youth.

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The Nigeria Vitality Transition Problem Fund (ETCF)

Nigeria’s Web Zero ambition relies on a transition to full electrification of the financial system by 2060 – 250 GW of put in capability (90% renewable), 80% of the fleet from EV, and clear cooking for 80% of the inhabitants. Reaching such targets requires revolutionary financing and first loss investments (equivalent to catalytic grants) in technological enhancements, productive energy and gas switching in precedence sectors, enterprise mannequin iteration and scaling for common entry, expertise and jobs creation in ET precedence sectors.
Within the context of the Monetary Cooperation with the Federal Republic of Nigeria, KfW, on behalf of BMZ, intends to arrange a brand new Problem Fund mechanism to contribute to the implementation of Nigeria’s Vitality Transition Plan (ETP). The mechanism will kind a part of the broader set of growth cooperation actions between Nigeria and Germany within the energy area. The “Vitality Transition Problem Fund” (ETCF) will co-finance tasks from the private and non-private sectors to advertise the uptake of renewable energy applied sciences, energy efficiency-enhancing investments and the growth of vocational coaching alternatives within the space of renewable energies and energy effectivity. A requirement-driven, aggressive software mechanism will likely be used to systematically choose the tasks with the best affect potential in relation to the requested grant funds. The choice of tasks will likely be made by means of an internationally skilled Mission Executing Company (PEA) on the idea of clear analysis standards that will likely be collectively agreed with the accomplice aspect previous to launch.
The ETCF will likely be launched with an preliminary funding of EUR 20 Mio (grant funding). Topic to profitable efficiency and out there funding, the mechanism will likely be additional expanded in upcoming years. Topic to additional dialogue with the accomplice aspect, the ETCF may sooner or later additionally perform venture competitions with respect to different societal challenges in Nigeria.

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Overview of the Nigeria ETCF Idea

Context

Technological enhancements;

The Authorities of Nigeria has developed the Nigerian Vitality Transition Plan (ETP) with transition pathways for Energy provide, Residential Buildings, Trade, Transport and Oil & Fuel, and highlights the size of the hassle required for Nigeria’s transition to web zero by 2060. Nigeria’s Web Zero ambition relies on a transition to full electrification of the financial system by 2060 with 250 GW of put in capability 90% renewable, 80% of the fleet from EV, and clear cooking for 80% of the inhabitants. The Nigerian Vitality Transition has the potential to create as much as 840,000 web new jobs by 2060.
The ETP presents alternatives for transition to renewable and clear energy options together with gas/technology switching, productive use of energy together with financial development alternatives in energy nexus sectors equivalent to agriculture, health and education, and drive job creation, particularly in native meeting/manufacturing.
To succeed in the bold targets of ETP, it’s important to leverage revolutionary financing and first loss investments (equivalent to catalytic grants, local weather financing) and technical help in areas equivalent to:

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Productive energy and gas switching in precedence sectors;
Enterprise mannequin iteration and scaling for common entry; and
Expertise and jobs creation in ET precedence sectors.

Goal and Principle of change of ETCF

The first targets of ETCF embody selling the adoption of renewable energy applied sciences; enhancing funding in energy effectivity; and increasing vocational coaching in renewable energies (RE) and energy effectivity (EE). Under is a snapshot of the proposed Principle of Change (ToC)

Construction of the ETCF

The ETCF is structured into three home windows with two home windows specializing in selling totally different renewable energy/clear cooking applied sciences together with energy effectivity and the third window specializing in expertise growth.
NB: For cooking options, Tier 2 biomass stoves, biogas, briquettes/pellets will not be prioritized however shall be assessed throughout the baseline at inception if value consideration.

Funding choices below ETCF

The ETCF funding is structured into two strands i.e. small and enormous investments as summarized under and shall be accompanied by related technical help to the chosen recipients. Co-financing from the recipients shall be required. This shall nonetheless be fine-tuned after conducting the preliminary market examine.

Implementation method

ETCF will likely be applied by a mixture of two funding devices i.e. results-based financing and milestone-based grants relying on the technology kind and nature of help. Related technical help/capability shall accompany the funding both by means of AECF academy (digital) or devoted in-person TA.

Goal beneficiaries and geographical scope

The initiative targets growth-stage companies selling renewable energy /clear cooking applied sciences for households, establishments and companies, and public establishments planning to put in renewable energy applied sciences for captive use primarily below the primary two elements. The third part focuses on expertise growth therefore concentrating on personal/public technical coaching/capacity-building establishments with expertise in renewable energy and energy effectivity. The beneficiaries are anticipated to display co-financing capability.
The initiative is open to all states in Nigeria and with focus in peri-urban and rural areas. Nevertheless, particular geographical areas shall be prioritized in collaboration with the federal government conducting the preliminary market examine.

Key Efficiency Indicators (KPIs)

The next KPIs are earmarked and shall be quantified at a later stage. The outcomes of this market evaluation shall inform the quantification of the KPIs.

Overview and objective of the task.

AECF is searching for a consultancy agency to conduct a market evaluation previous to commencing the ETCF. The market evaluation is aimed toward offering the market standing of the totally different energy applied sciences in Nigeria in addition to offering the preliminary baseline knowledge to information the venture roll-out, geographical scope, technology selections, financing fashions and choices, and growth of the KPIs. The objective of this task is to map out the alternatives for ETCF to unlock affect primarily based on the evaluation of the related market gaps for the totally different home windows.
The particular targets of the task embody:

Present an general market segmentation and standing of the energy entry, energy effectivity and energy transition in Nigeria.
Mapping and prioritization of the availability and distribution chain for renewable energy, clear cooking, PURE, and energy effectivity applied sciences/providers.
Mapping and prioritization of related monetary/funding choices and fashions, monetary establishments, suppliers, and intermediaries for the totally different applied sciences proposed below the ETCF together with a segmentation for enterprises, public establishments, households, and TVET suppliers.
Mapping of key stakeholders and current programmes just like the ETCF and assessing the complementarity or potential duplication of efforts.
Assess the enabling surroundings for renewable energy, clear cooking and energy effectivity in Nigeria, together with conducting a rustic and/or sectoral risk evaluation with respect to ETCF.
Assess the standing of expertise growth in renewable energy, clear cooking and energy effectivity in Nigeria, together with a mapping of presidency, growth and personal sector TVET suppliers within the nation highlighting their strengths and weaknesses.
Identification and prioritization of market limitations and gaps that shall translate into alternatives for ETCF for the totally different home windows and respective applied sciences.

Scope of labor
Market segmentation and standing of energy entry and energy effectivity in Nigeria

The guide will present an general market segmentation and standing of energy entry and energy effectivity in Nigeria together with penetration ranges and market demand, primarily based on just lately out there knowledge from dependable sources. The output of this work shall kind the baseline knowledge of the venture and shall ideally be disaggregated by energy entry kind and area.
This evaluation shall embody a deep dive into the standing of energy entry and energy effectivity applied sciences within the proposed home windows i.e. clear cooking, SHS, micro/mini-grid, PUE in agricultural worth chains, business, institutional, and industrial energy options, and energy effectivity measures.
The guide shall particularly:

Develop a listing of information varieties and parameters to gather and agree with AECF earlier than knowledge assortment. Under is a listing of potential questions as a information to this job which might be tailored accordingly:

That are the most typical energy applied sciences within the Nigerian market and segmented by energy source, technology kind, software, and buyer kind?
What’s the penetration of every technology per buyer kind and/or software?
Which agricultural worth chains have probably the most potential for productive use of renewable energy (PURE)?
What’s the standing of PURE applied sciences for agro purposes? Categorise by most mature to least mature applied sciences (and for which purposes).
Which knowledge is out there on the subject of energy effectivity within the Nigeria market and segmented by trade kind? e.g. variety of corporations conducting energy audits, corporations implementing energy effectivity measures together with associated energy financial savings, corporations offering energy effectivity applied sciences and providers and many others.
What are the dependable sources for the required datasets?

Gather, from current dependable sources (that shall be cited), the datasets for energy entry and energy effectivity in Nigeria in keeping with the pre-agreed datatypes and parameters. The info must be disaggregated per administrative models or areas relying on the decision of obtainable knowledge.
Synthesise the collected knowledge whereas guaranteeing completeness and accuracy and put together the ultimate datasets that will likely be fed into a web based database (related database platform agreed with AECF and ideally Airtable).
Analyse the ultimate datasets and generate findings and insights that shall information the inception of the ETCF venture together with prioritisation of applied sciences & geographical scopes in addition to informing the implementation approaches.

Mapping and prioritization of the availability and distribution chain for renewable energy, clear cooking and energy effectivity applied sciences/providers

The guide will overview the availability and distribution chain of renewable energy, clear cooking and energy effectivity applied sciences and providers in Nigeria with the purpose of mapping and prioritizing key gamers within the sector, figuring out out there technological choices, and figuring out and mapping the important thing enterprise fashions and distribution channels. This shall be carried out for every technology/service anticipated below ETCF.
The guide shall particularly:

Develop a listing of inquiries to assess and knowledge varieties to gather and agree with AECF earlier than knowledge assortment. Under is a listing of potential questions as a information to this job which might be tailored accordingly:

Do we’ve got a database of corporations selling renewable energy/clear cooking/energy effectivity applied sciences and providers?

What number of? At what scale (small, medium, giant)?
Which energy applied sciences/providers do they supply/promote?
Is there a must stimulate worldwide corporations to set base in Nigeria or help extra native corporations?

How is the protection of those corporations within the nation?

Which areas do these corporations cowl? Is that this enough for the sector?
Which renewable energy/clear cooking/energy effectivity applied sciences/providers are demanded in rural areas and which corporations are efficient in selling them there?
Are there areas that aren’t coated or have restricted protection by the recognized corporations or their distribution channels?

How is the affordability of the applied sciences/providers addressed? What’s the standing of shopper financing of renewable energy/clear cooking/energy effectivity applied sciences/providers? Are monetary intermediaries/establishments taking part in a big function in shopper financing? What about PAYGO?
How is the standard of applied sciences/providers assured? Is there market spoilage from substandard merchandise/counterfeits?
How is the funding panorama in Nigeria for the enterprises working in renewable energy, clear cooking and energy effectivity area?
What’s the standing of technical and after sales help for the applied sciences together with e-waste management?
That are the rising renewable energy/clear cooking/energy effectivity applied sciences that require additional growth of enterprise fashions?
Which potential agro-energy options that require innovation for acceptable RE applied sciences?
How can renewable energy suppliers leverage on current networks e.g. aggregators, cooperatives?

Develop a database of key provide and distribution chain gamers for energy entry and energy effectivity applied sciences and providers.
Draw a consultant pattern from the recognized key gamers and conduct a cellphone survey to reply to questions pre-agreed with AECF. Questionnaires shall be developed and agreed upon throughout inception.
Put together an outline of the availability and distribution channels for energy entry and energy effectivity applied sciences and providers primarily based on the findings of the survey.
Develop a guidelines for prioritising the businesses to take part within the ETCF for the totally different home windows primarily based on the findings of the survey.

Mapping and prioritization of related monetary/funding choices, monetary establishments, and intermediaries

The guide will overview the funding panorama for renewable energy, clear cooking and energy effectivity sector in Nigeria with the target of figuring out related monetary/funding alternatives (native, regional & worldwide) together with acceptable monetary/funding schemes for the companies/enterprises, public establishments, households, and shoppers. This shall additionally contain mapping of monetary establishments/intermediaries, and different key financing suppliers/traders.
The guide shall particularly:

Compile a listing of inquiries to assess and knowledge varieties to gather and agree with AECF earlier than knowledge assortment. Under is a listing of potential questions as a information to this job which might be tailored accordingly:

How is the funding panorama in Nigeria for the enterprises working in renewable energy and energy effectivity area?
What’s the standing of entry to acceptable shopper financing for renewable energy/clear cooking/energy effectivity applied sciences/providers?
What are these monetary/funding options/fashions/choices?
Who’s offering these monetary/funding options?
What are the important thing points and challenges to financing, and potential options primarily based on native realities?
What revolutionary financing devices might be deployed for renewable energy/clear cooking/energy effectivity applied sciences/providers?

Compile a database of traders and/or monetary establishments/intermediaries/suppliers offering acceptable funding or financing for renewable energy/energy effectivity area together with the sort and options of the funding/financing options.
Draw a consultant pattern from the recognized key monetary intermediaries/traders and conduct a cellphone survey to reply to questions pre-agreed with AECF. Questionnaires shall be developed and agreed upon throughout inception.
Put together an outline of the funding and monetary panorama for energy entry and energy effectivity applied sciences and providers primarily based on the findings of the survey.
Develop a guidelines for categorising and prioritising the financiers/traders to collaborate with within the ETCF for the totally different home windows primarily based on the findings of the survey.
Suggest methods for leveraging current monetary/funding alternatives to help the companies and public establishments that will likely be collaborating within the ETCF, notably on the subject of matching fund necessities.
Suggest methods for enhancing entry to shopper finance for the totally different segments and sorts of applied sciences.

Mapping of stakeholders and current programmes like ETCF and assessing the complementarity or potential duplication of efforts

The guide will establish and map all key stakeholders and current programmes supporting the renewable energy and energy effectivity market growth in Nigeria and with particular emphasis on enterprises and enchancment of the enabling surroundings.
This shall encompass:

Compiling a listing of key stakeholders and their roles within the renewable energy, clear cooking and energy effectivity sector.
Compiling a database of programmes and initiatives of donors and growth companions within the renewable energy, clear cooking and energy effectivity
Establish the targets and focus of the prevailing programmes.
Assess complementarity or potential duplication of efforts with ETCF.

Assess the enabling surroundings for renewable energy, clear cooking and energy effectivity in Nigeria, together with conducting a rustic and/or sectoral risk evaluation with respect to ETCF

The guide will present an outline of the enabling surroundings governing the energy sector in Nigeria, specifically the renewable energy, clear cooking and energy effectivity and its implications to ETCF in addition to compiling a rustic/sectoral risk evaluation matrix that shall inform the set-up of ETCF. This shall entail:

Establish, analyse, and summarise the related legal guidelines, rules and insurance policies governing the renewable energy and energy effectivity sector in Nigeria together with implications to ETCF.
Establish and summarise the requirements for renewable energy applied sciences in Nigeria and assess their adequacy.
Establish key sectoral dangers, implications, and mitigation measures and notably with respect to the ETCF.

Assess the standing of expertise growth in renewable energy (RE) and energy effectivity (EE) in Nigeria

The guide can even analyse the abilities growth area for renewable energy/clear cooking/energy effectivity with the view of figuring out candy spots for ETCF to intervene. The evaluation shall entail however not restricted to the next:

Compile a database of establishments offering RE/EE/CC coaching and capability building in Nigeria (personal/public) per kind of establishment and together with offering and abstract of current trainings/programs/capability building measures.
Establish rules, requirements and pointers governing RE/EE/CC trainings and professions (together with licensing of practitioners).
Assess if the trainings and programs are recognised by the education system and/or regulatory/licensing our bodies (together with worldwide our bodies). Establish any gaps/limitations in curriculum development and trainings.
Assess the present financiers, financing fashions and choices for coaching and capability building in RE/EE/CC within the nation. Establish any gaps/limitations to financing coaching and capability building.
Draw a consultant pattern from the recognized establishments (in addition to key stakeholders and RE/EE companies) and conduct a cellphone survey to reply to notably on expertise growth wants. The questionnaires shall be developed throughout inception.
Put together an outline of expertise growth in RE/EE/CC primarily based on the findings of the survey with extra emphasis on expertise growth wants.
Establish coaching and expertise growth gaps which may very well be addressed by the ETCF and suggest particular options and suggestions related for implementation below ETCF.
Advocate particular establishments which might be efficient in collaborating in expertise growth part of the ETCF, together with financing companions.

Identification and prioritization of market limitations and gaps that shall translate into alternatives for ETCF for the totally different home windows and respective applied sciences.

The guide shall consolidate the findings of the above workstreams and put together a consolidated evaluation and evaluation of key limitations that ETCF is effectively positioned to help within the type of alternatives for the respective home windows. This shall additionally embody proposed implementation approaches in keeping with the ETCF idea and a risk matrix. A validation workshop (bodily or digital) for the train shall even be carried out.
The duties entails:

Consolidation and synthesis of findings and suggestions of the above works streams
Doc the consolidated report of the task (reporting templates agreed throughout inception)
Current the findings of the task in a validation workshop to be organised by AECF.

Deliverables and length

The next deliverables and tentative timelines are anticipated:
Deliverable
W 1
W 2
W 3
W 4
W 5
W 6
W 7
W 8
Contracting and kick off assembly
Inception report and related knowledge assortment instruments
Knowledge and Evaluation of the RE/EE/CC market standing and key findings
Knowledge and Evaluation of the RE/EE/CC provide and distribution chain and key findings
Knowledge and Evaluation of the RE/EE/CC monetary and funding choices and key findings
Knowledge and Evaluation of RE/EE/CC sector stakeholders and enabling surroundings and key findings
Knowledge and evaluation of RE/EE/CC expertise growth and wishes
Draft Report
Validation workshop presentation and workshop report
Remaining report
The task is anticipated to run between 1100-1500 man-days inside a interval 2 months with a mixture of senior consultants, junior consultants and enumerators.

{Qualifications}

AECF is searching for a consultancy agency with a capability to deploy a workforce comprising of an acceptable mixture of engagement chief, senior consultants, junior consultants, and enumerators. The agency is anticipated to fulfill the next standards:

Registered and primarily based in Nigeria and assembly all statutory necessities.
Not less than 8-10 years of sensible expertise in conducting market assessments, surveys, stakeholder, and knowledge evaluation; stakeholder consultations, human centered design, and programme design within the growth sector and ideally in Nigeria.
Not less than 5 years’ expertise in growth, management and /or monitoring of RE/EE/CC programmes in Sub Saharan Africa and ideally in Nigeria.
An in-depth understanding of the RE/EE/CC trade, together with an understanding of the RE/EE/CC regulatory and coverage surroundings in Nigeria.
Be fluent in English and Nigerian Native languages.

Proposal submission

and certified consultancy companies are invited to submit their proposal(s) comprising the next:

A technical proposal, max 15 pages (excluding annexes)

An understanding of the consultancy necessities.
Methodology and work plan for performing the task.
Detailed reference record indicating the scope and magnitude of comparable assignments.
Not less than 3 reference signed reference letters of comparable work finished
Related providers undertaken up to now 5 (5) years.
Letters of references from 3 earlier corporations/assignments
Registration and different related statutory paperwork (this is applicable to Institutional consultants).
As per the Analysis standards

A monetary proposal – Obtain template right here: Monetary Proposal Template – ETCF Nigeria.xlsx (https://aecfafrica-my.sharepoint.com/:x:/g/private/dmuturi_aecfafrica_org/ETpXdfK5655Fsf04uVc1jrgBX6kz46aVP2Tp_RfwAuEiqw?e=c0bqow)

Monetary proposal clearly displaying the proposed workforce member, roles, and proposed days and the proposed skilled price (every day fee and complete quantity per workforce member). The monetary proposal shall additionally embody a sign of reimbursables (travel, communication e.t.c).
Notice that the workforce members, man-days and charges used on this template are generic for illustrative functions. Please adapt accordingly.
The finacial proposal in USD

Pricing

The guide shall submit a monetary proposal indicating an all-inclusive every day fee for the anticipated interval of task in addition to the anticipated reimbursables.

Analysis Standards

An analysis committee will likely be shaped by the AECF which is able to embody workers. All members will likely be certain by the identical requirements of confidentiality. Bidders ought to be sure that they totally reply to all standards to be comprehensively evaluated. In deciding the ultimate choice of certified bidder, the technical high quality of the proposal will likely be given a weighting of 70% primarily based on the analysis standards under. Solely the monetary proposal of these bidders who qualify technically will likely be reviewed. The monetary proposal will likely be allotted a weighting of 30% and the proposals will likely be ranked by way of complete pointsscored.
NO.
CRITERIA FOR ASSESSMENT
Weighted Award

TECHNICAL PROPOSAL

70

An understanding of the phrases of reference

20
Show understanding of the task and anticipated outcomes.
5
Show related expertise to undertake the given task (8-10 years)
15

Methodology and work-plan that may ship one of the best worth on the task

30
Methodology and supply method of enterprise the task within the supplied timelines.
15
Show related providers supplied within the final three years with pattern of labor.
10
Geographical Attain: Show related geographical expertise, information and attain to successfully perform the task.
5

Qualification and Expertise

20
{Qualifications} and competence of the important thing workers associated to the examine Bidders should present descriptions and Documentation of workers/groups’ technical experience, expertise, and task to the duty
10
Provision of registration documentation and different related statutory doc
5
Not less than 3 reference signed reference letters of comparable work finished
5

FINANCIAL PROPOSAL: Readability, relevance, actuality to market worth/ worth for cash of value for the task (inclusive of any relevant tax, reimbursables and travel).

30
Complete Rating
100

Utility

AECF invitations certified consulting companies to ship a proposal to aecfprocurement@aecfafrica.org, clearly marked “ CONSULTANCY SERVICES TO CONDUCT A MARKET ASSESSMENT AND BASELINE STUDY FOR THE ETCF – NIGERIA” to be acquired no later than the fifteenth of March 2024, by 5.00 pm East Africa Time (GMT +3) addressed to: The AECF, Procurement Division. All clarifications and or questions must be despatched to aecfprocurement@aecfafrica.org by seventh March 2024.

Disclaimer

AECF reserves the best to find out the construction of the method, variety of short-listed individuals, the best to withdraw from the proposal course of, the best to vary this timetable at any time with out discover and reserves the best to withdraw this tender at any time, with out prior discover and with out legal responsibility to compensate and/or reimburse any celebration.
NB: The AECF doesn’t cost an software price for participation within the tender course of and has not appointed any brokers or intermediaries to facilitate purposes. Candidates are suggested to achieve out on to the AECF PROCUREMENT DEPARTMENT.
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