ENCL_2_Performance_Work_Statement_1131PL19RDS11080.pdf

SECTION D – ANY CONTRACT DOCUMENTS, EXHIBITS OR ATTACHMENTS

D.1 PERFORMANCE WORK STATEMENT (PWS)

D.1.1. OVERVIEW:

The U.S. Trade and Development Agency (USTDA) is a foreign assistance agency that delivers its program commitments through grants and contracts. The projects supported by USTDA activities represent strong and measurable development priorities in the host country and offer opportunities for the sale of U.S. goods and services. Requests for USTDA assistance are made by either public or private sector project sponsors for implementation in developing and middle income countries.

D.1.2. SCOPE OF WORK:

USTDA requires services under this non-personal services Contract to support or improve its decision-making relative to the funding of activities in sub-Saharan Africa. The Contractor shall provide analysis and recommendations (i.e. a Desk Study (DS) or Project Report) to USTDA that will assess and justify whether or not USTDA should provide funding for proposed feasibility studies, technical assistance, pilot projects or other trade capacity building activities.

USTDA intends to contract with multiple U.S. companies (“Contractor”) to provide “Initial Evaluations” of proposals for renewable energy feasibility studies, technical assistance activities or pilot projects in sub-Saharan Africa, to provide “Project Reports” with fully developed funding recommendations for activities for USTDA consideration, and to provide a Public Market Report as defined in Section D.1.2.3.4. and D.1.2.3.5.1 of this PWS. The Contractor is required to evaluate the proposed activities’ eligibility for USTDA’s program and for funding under USTDA’s Power Africa interagency agreement with the U.S. Agency for International Development (USAID) and USTDA’s interagency agreement with the Department of State under the U.S.-Africa Clean Energy Finance Initiative (US-ACEF). The review and preparation of each of the recommended projects selected in consultation with USTDA would include an analysis of whether the project meets the eligibility requirements outlined in the USTDA-Power Africa and U.S.-ACEF transfer agreements. For the identified projects, the Contractor is required to collect all information and documentation necessary from the project sponsors, through independent research and from relevant entities to develop a detailed funding recommendation report including terms of reference (TOR) and budget estimate and confirm U.S. industry competitiveness and foreign competition for sources of supply and implementation of the project.

In performance of this contract, each awardee will be required to complete two (2) Initial Evaluations, three (3) Project Reports, and one (1) Public Market Report.

Nine (9) additional Optional Project Reports may be available to awardees during the contract period of performance. Any number of Project Reports numbers 1 through 6, should they be authorized, will require prior written direction from the Contracting Officer’s Representative (COR), notifying the Contractor that it is authorized to proceed with those assigned Project

Reports. Optional Project Reports numbers 7 through 9 against Contract Line Item Number (CLIN) 005 will require a USTDA Contracting Officer to exercise the OPTIONAL CLIN and provide funding via a Modification prior to assignment and execution.

The Contractor shall not proceed any of the Optional Project Reports (numbers 1 through 9) without the written authorization of USTDA. Option Project Reports will be assigned at the full discretion of the Government based on Contractor availability and performance.

In summary, this contract shall include the following:

(1) Two (2) written Initial Evaluations,

(2) Three (3) Project Reports (a.k.a. the Desk Study Business Confidential Analysis and

Recommendation), which shall include everything outlined in Attachment I, “Desk Study Business Confidential Analysis and Recommendation Outline,”

(3) One (1) Public Market Report; and

(4) Zero (0) to nine (9) Optional Project Reports.

D.1.2.1. USTDA Funding Criteria:

The Contractor’s recommendations shall be based upon USTDA funding criteria, which state that the Project(s) must: (1) be likely to receive implementation financing; (2) have a procurement process that provides “equal access” to U.S. companies; (3) represent an opportunity for sales of U.S. goods and services that is many times greater than the initial investment of USTDA assistance; (4) be a development priority of the Project sponsor and host country where the Project is located and have the endorsement of the U.S. Embassy in that host country; and (5) involve U.S. companies that are facing market entry problems and/or strong competition from foreign companies which often receive subsidies and other support from their governments.

The Contractor shall also evaluate the proposed activities’ eligibility for USTDA’s program and funding under USTDA’s Power Africa interagency agreement with the U.S. Agency for International Development (USAID), a summary of which is included in Attachment X, “Power Africa Background and Eligibility Criteria, and USTDA’s interagency agreement with the Department of State under the U.S.-Africa Clean Energy Finance Initiative (US-ACEF), a summary of which is included in Attachment XI.”

D.1.2.2. Climate Resilience Screening:

Per Executive Order (EO) 13677, USTDA is required to consider climate resilience in its international development work. The Agency has determined that in order to be compliant with the EO, climate resilience screenings must be conducted at the project scoping stage for all feasibility studies (FS) and technical assistance (TA) activities. Accordingly, the Contractor shall conduct a climate resilience screening utilizing the guidance provided in Attachment IX, “Guidance on Climate Resilience Screening.” Categorical exclusions to climate resilience screening include: all Global Procurement Initiative activities, all de minimis training grants, and all International Business Partnership Programs (i.e. reverse trade missions, conferences, and workshops). Activities that fall into the categorical exclusions do not need to undergo a climate resilience screening.

D.1.2.3. Project Profile:

Renewable energy activities reviewed and prepared under this contract would support the U.S.

Government’s Power Africa program, the Electrify Africa Act, and the U.S.-Africa Clean Energy Finance Initiative (US-ACEF) that seek to increase access to power in sub-Saharan Africa and encourage greater private sector investment in the region’s power generation capacity.

Power Africa is a U.S. Government program launched in 2013 to increase the number of people with access to power in sub-Saharan Africa and support an enabling environment for private sector investment in the region’s energy sector development. With additional funding from the U.S. Department of State under the U.S.-Africa Clean Energy Finance initiative (US-ACEF), USTDA is utilizing its project planning programs to support the development of renewable energy projects that are eligible for financing and insurance products from the U.S. Overseas Private Investment Corporation's (OPIC) / Development Finance Corporation (DFC), the Export- Import Bank of the United States (U.S. Ex-Im) or other international financiers. USTDA supports the Power Africa program, the Electrify Africa Act, and U.S.-ACEF through the strategic deployment of its program tools it works through the U.S. private sector to implement its programs, bringing best practices and U.S. technology to bear in delivering specific, results-oriented development assistance.

D.1.2.3. Methodology:

The Contractor shall complete the following:

D.1.2.3.1. Desk Study Kick-Off: After reviewing the proposal, the Contractor shall arrange a conference call or meeting with the COR to discuss plans and expectations for the DS. At this time, USTDA will provide the Contractor with additional guidance on the Agency’s requirements for the preparation of TOR and budget. The Contractor shall also consult with USTDA's Evaluations Department regarding the drafting of host country development impact measures for the Project Reports (see Attachment I below, Section P.6 of the Business Confidential Analysis and Recommendation Outline).

D.1.2.3.2. Initial Evaluations: The Contractor shall assist USTDA in the review of two (2) project proposals and/or project concepts (“Initial Evaluation”). The project proposals or concept papers may be in various formats, stage of readiness/completeness, and originate from foreign government/private sector and/or U.S. companies. USTDA will notify the Contractor when it has a project proposal or concept for review. To complete an Initial Evaluation of each project proposal or project concept, the Contractor shall review the proposal and/or supporting documentation and coordinate a call with USTDA and the project sponsor to discuss the proposed activity and ask questions during the call or in follow up correspondence to collect all necessary information needed for an initial evaluation of the proposal or project concept. Upon completion of the assessment, Contractor shall provide a written statement (“Initial Evaluation Statement”) to USTDA that includes, but is not limited to: 1) a brief summary of the proposed project and request for assistance, and 2) a summary of the Contractor’s high-level assessment of the proposed activity and fit with USTDA/Power Africa and U.S.-ACEF project criteria identified in this Scope of Work (Attachment X, “Power Africa Background and Eligibility Criteria”).

In the event that the Contractor does not recommend a proposed activity for further consideration by USTDA or that it is not competitive with other proposals under evaluation, the Contractor’s Initial Evaluation Statement shall identify the specific factors leading to this determination. The Contractor’s feedback in the assessment may be used by USTDA to inform project sponsors of the areas for improvement in their proposals and/or technical factors that may make the proposed activity not suitable for further consideration by USTDA.

The Contractor shall provide an Initial Evaluation for each project proposal or concept to USTDA via email (Microsoft Word document attachment) within five (5) days of notification by USTDA that the proposal or concept is ready for review. If it is anticipated that the Initial Evaluation cannot be provided within five business days, the Contractor shall immediately contact the COR via email and phone call to note the specific reasons for the delay and establish a new target date for submission of the Initial Evaluation.

D.1.2.3.3. Project Reports: The Contractor is required to develop three (3) full Project Reports and may be required to develop up to an additional nine (9) Optional Project Reports via the optional performance line items. The Project Reports shall be developed in accordance with guidelines provided in this PWS and the Project Report Outline (Attachment I). USTDA will direct the Contractor to develop a full Business Confidential Analysis and Recommendation report (“Project Report”) for project proposals that USTDA determines meet the identified criteria based on the assessment of USTDA program staff or the Contractor. USTDA may direct the Contractor to develop a Project Report for a proposal that has not yet received a formal Initial Evaluation if, in USTDA’s assessment, the necessary documentation has been provided to commence development of the Project Report.

Once USTDA has indicated that the Contractor should develop a Project Report, the Contractor shall conduct a review of the proposal, as necessary, solicit additional information, documentation, and/or clarifications from the project sponsor(s) in order to evaluate the project as outlined in the PWS. A copy of any such requests or correspondence with the project sponsor should be provided to the COR. Where applicable, the Contractor’s review shall include an assessment of the project for funding under the Power Africa and U.S.-ACEF transfer agreement criteria (Attachment X, “Guidance on Climate Resilience Screening”).

Based on the proposal and any additional information or clarifications provided by the project sponsors and participating U.S. firms, the Contractor shall prepare and provide to the COR a first draft Project Report (email attachment of Microsoft Word/Excel budget files is acceptable). The Contractor shall provide the first draft Project Report to USTDA within fifteen business days of receiving approval from USTDA to develop an identified project. The draft report must be clearly marked “First Draft” on the cover. If it is anticipated that the draft cannot be provided within fifteen business days, the Contractor shall immediately contact the COR via email and phone call to note the specific reasons for the delay and request a new date for submission of the draft report. USTDA will review the first draft Project Report and provide comments.

The Contractor shall provide to USTDA and to the project sponsor for its review and comment a second draft Project Report, which incorporates USTDA’s comments on the first draft Project Report (email attachment is acceptable) within one week of receipt of USTDA’s comments.

This draft Project Report must be clearly marked “Second Draft” on the cover.

The Contractor shall discuss the comments from the project sponsor and any participating U.S.

firms with the COR and, based on that discussion, prepare and provide to USTDA within one week of receiving comments from the project sponsor a finalized Project Report. The Contractor shall also email the finalized Project Report to the COR (both Microsoft Word/Excel files and a combined PDF file). The finalized Project Report shall be grammatically correct and free of typographical errors. The Contractor may submit an invoice upon completion of each finalized Project Report deliverable with USTDA approval.

D.1.2.3.4. Public Market Report: After all Initial Evaluations and Project Reports (required and optional) are completed and delivered and at the direction of the COR, the Contractor shall prepare a single, stand-alone Public Market Report that will share current market information in the country(ies) and sector(s) considered under this contract (rather than the project-specific analysis contained in the Project Reports) with U.S industry, to better enable U.S. companies to assess and pursue export opportunities. The Public Market Report shall include the sections of the Contractor’s research most likely to be useful to U.S. firms considering the market(s). The Contractor shall provide a draft of the Public Market Report for USTDA comment that is complete and free of typographical and grammatical errors. The Contractor shall incorporate any comments and make requested changes from USTDA. The finalized Public Market report shall also be grammatically correct and free of typographical errors. Note that USTDA may publish the Contractor’s Public Market Report on its website and/or in other media; therefore, the Contractor shall ensure that Public Market Report is suitable for publication. The Contractor shall not include any business confidential information in the Public Market Report and shall include the following confidentiality certification in the final invoice:

“I hereby certify that the Public Market Report contains no business confidential information.”

D.1.2.3.5. Deliverables:

D.1.2.3.5.1. The Contractor shall provide to USTDA the following (“Deliverables”):

(a) Initial Evaluations: Initial Evaluations for two (2) proposals or project concepts reviewed by the Contractor. (See Section D.1.2.3.2.)

(b) Project Reports: A Business Confidential Analysis and Recommendation report (“Project Report”) for three (3) feasibility study, technical assistance or pilot projects identified by USTDA for development. The Project Report must conform to the outline found in Attachment I and provide the requested information and analysis, unless otherwise agreed in writing by USTDA. (See Section D.1.2.3.3.)

(c) Optional Project Reports (nos. zero (0) through nine (9): Business Confidential

Analysis and Recommendation reports (“Project Reports”) may be required for up to nine

(9) feasibility study, technical assistance or pilot projects identified by USTDA for development. The Project Report must conform to the outline found in Attachment I and provide the requested information and analysis, unless otherwise agreed in writing by USTDA. (See Section D.1.2.3.3.) The nine (9) optional Project Reports may be available to awardees and will be assigned at the discretion of the Government based on Contractor availability and performance.

(d) Public Market Report: Prepare a Public Market Report summarizing the current market information in the country or countries and sector(s) considered in the Initial Evaluations and Project Reports. The Public Market Report must conform to the outline found in Attachment II and, unless otherwise agreed in writing by USTDA, provide the requested information and analysis in sufficient market detail to be useful to prospective equipment and service providers. The Public Market Report must not contain any confidential information and be suitable for public distribution. (See Section D.1.2.3.4.)

The Contractor’s Deliverables shall incorporate all mutually agreed upon material and revisions.

The Deliverables shall include all supporting documentation. The Project Report shall be grammatically and factually correct in all respects, internally consistent, and all statements and tables shall be clear and easily understood by a competent reader and contain no typographical errors. Upon notification from the COR that the Deliverable is acceptable, the Contractor shall submit one (1) electronic original to USTDA. No hardcopy submissions will be accepted.

All finalized reports must be paginated, clearly labeled, and submitted electronically in Adobe PDF format to USTDA via the following email:

finalreports@ustda.gov

The email subject line must include the title of the desk study and the project number so that it is easily identifiable. The Contractor shall also submit to the COR via e-mail one electronic copy of each finalized Deliverable in Microsoft Word or other editable file format. Upon government acceptance of each Deliverable, the Contractor shall submit an invoice to USTDA.

D.1.2.3.3.2. The Contractor shall submit all Deliverables under this Contract to the COR on or about February 28, 2021.

D.1.3. PERIOD OF PERFORMANCE:

The Period of Performance for this Contract shall be two years from the date of the Contracting Officer’s signature on the Contract. It is anticipated that each Project Report will have a period of performance of approximately one month and the Contractor shall provide the Project Report to USTDSA with fifteen business days of receiving approval from USTDA to develop each identified project.

D.1.4. PLACES OF PERFORMANCE:

The places of performance shall be at USTDA's Office, Arlington, VA and at the Contractor’s facility.

D.1.5. QUALITY CONTROL AND PERFORMANCE ASSESSMENT:

D.1.5.1. Quality of Final Report:

All deliverables shall be grammatically and factually correct in all respects, internally consistent, and all statements and tables shall be clear and easily understood by a competent reader, and contain no typographical errors. The Contractor is responsible for quality control actions necessary to achieve quality in the delivery of the required services, which may include the services of a professional editor. The COR will reject a finalized deliverable that does not conform in all respects to the Contract requirements, including but not limited to written quality.

The Contractor shall correct all deficiencies at no additional cost to the Government.

D.1.5.2. Performance Assessment

1. Monitoring Performance. During the course of contract period, the COR will track Contractor’s performance. At the end of the performance period, the COR will assess the Contractor’s performance in accordance with FAR 42.15 and report to the Contracting Officer for submission to the Contractor Performance Assessment Reporting System

(CPARS).

2. CPARS Assessment. The COR will consider all pertinent information during the preparation of the Contractor’s performance assessment. The Contractor will be afforded the opportunity to identify factual errors. The COR’s assessment is not subject to negotiation and the COR will not engage in discussions with the Contractor. Any errors identified by the Contractor will be addressed by the Reviewing Official. A copy of the final performance assessment will be available in the Past Performance Information Retrieval System (PPIRS).

D.1.6. CONFIDENTIALITY:

The proposals to be reviewed are proprietary documents and should not be distributed without permission from USTDA and the proposal author. The Contractor shall treat any proposal and supporting information as business confidential in its entirety, unless otherwise stated in writing by the participating firms. The Contractor shall not include any business confidential information in the Public Market Report and shall include the following confidentiality certification in the final invoice:

“I hereby certify that the Public Market Report contains no business confidential information.”

D.1.7. INTELLECTUAL PROPERTY:

This Contract is funded by the United States Government. All intellectual property generated and/or delivered pursuant to this Statement of Work shall be subject to appropriate federal acquisition regulations which entitle the Government to unlimited rights to technical data developed exclusively with Government funds. The Government may: (1) use; (2) disclose; (3) reproduce; (4) prepare derivative works; (5) distribute copies to the public; (6) perform publicly;

and (7) display publicly, the “data” in any manner and for any purpose, and have or permit others to do so (i.e., the Government may sublicense these rights to another contractor). See FAR 52.227-14(a).

D.1.8. IMPARTIALITY:

It is essential that the Desk Study be conducted with complete impartiality and objectivity and that the Contractor and its Subcontractors not obtain an unfair competitive advantage in USTDA-funded activities resulting from this Contract. In accordance with the principles of FAR Subpart

9.5 and USTDA policy, the Contractor and its Subcontractors, if any, for this Contract shall be ineligible to compete for, as a prime or subcontractor or otherwise, USTDA-funded activities that result from this Contract, unless USTDA through its Office of Acquisition Management, shall have granted a waiver, based upon FAR 9.503, that preclusion of the Contractor or its Subcontractors from the follow-on activity would not be in the Government’s interest. This restriction shall remain in effect for three (3) years from the termination of this Contract or until the awarding of a USTDA-funded grant resulting from this contract. The Contractor is responsible for including this restriction in all subcontracts under the Contract.

D.1.9. COORDINATION WITH OTHER CONTRACTORS:

The government may award other contracts for additional work not prescribed in this contract.

The Contractor shall fully cooperate with such other contractors in performance of the requirement herein, and as directed by the Contracting Officer. The Contractor shall not commit or permit any act, which will interfere with the performance of work by any other USTDA Contractor.

D.2 ATTACHMENTS

I Desk Study Business Confidential Analysis and Recommendation Outline

II Desk Study: Public Market Report Guidance and Outline III Impact on U.S. Labor Statement IV USTDA Nationality Requirements V Required Budget Format VI Task Completion Schedule VII Budget Narrative Requirements VIII Guidance on Development Impact Assessment IX Guidance on Climate Resilience Screening X Power Africa Background and Eligibility Criteria

XI U.S.-Africa Clean Energy Finance Initiative Eligibility Criteria

Attachment I- 1

Attachment I

Desk Study: Business Confidential Analysis and Recommendation Outline

A. Executive Summary.

The Desk Study contractor (“Contractor”) shall provide an executive summary of the Contractor’s findings and recommendations.

B. Project Description.

The Contractor shall provide a brief description and history of the project (the “Project”). The Contractor shall describe the proposed technology from the U.S. firm to be used in the Project.

The Contractor shall describe whether the proposed U.S. solution is technically viable and/or commercially available. If the Contractor finds the proposed U.S. solution is not technically viable and/or commercially viable, the Contractor shall discuss these issues with USTDA program staff before providing a recommendation.

The Contractor shall describe relevant issues to the Project [e.g. host country and/or other stakeholders, sector, Project location, source of raw materials, infrastructure requirements, proposed technological approach, legal and regulatory framework (licenses, permits, etc.), implementation schedule, economic fundamentals (estimated capital cost, operating costs, interest expense, taxes, expected revenues, etc.), the specific objectives of the proposed activity, how the proposed USTDA activity supports the Project implementation process, and any other variables or issues the Contractor deems critical as part of a thorough activity/Project evaluation.]

C. Project Sponsor’s Capabilities and Commitment.

This section describes the Project sponsor’s commitment and capabilities to undertake the activity and the subsequent Project. The purpose is to understand the experience of the Project sponsor and any previous work undertaken by the Project sponsor in the sector. This section should also include a discussion of any potential risks of working with the Project sponsor that could delay Project implementation. This can take many forms but should at a minimum address the applicable points below:

• A thorough description of the host country Project sponsor, including its structure, capabilities, operations, and decision-making ability pursuant to the Project, and

• An assessment of the Project sponsor’s commitment and ability to implement the Project (e.g. the Project sponsor’s previous experience, current commitments, responsiveness, business activities, financial situation, and government mandate).

D. Implementation Financing.

This section describes the Project sponsor’s plans to secure financing to implement the Project.

This can take many forms but should at a minimum address the points below:

• An assessment of the overall cost estimate of the Project;

• For Projects involving potential equity investment, the Project’s proposed debt-equity structure to ensure that it corresponds to the requirements of the prospective lenders (this aspect is critical to USTDA’s decision making); and

• A review of the financing options for Project implementation.

The Contractor is required to contact officials from the potential financing institutions, including, where appropriate, multilateral lending institutions, Export Import (Ex-Im) Bank, Overseas Private Investment Corporation (OPIC) / Development Finance Corporation (DFC), and private/commercial sources, to ensure that the Project sponsor(s) has adequately explored all financing options. The Contractor shall provide names and phone numbers of contacts at the potential financing institutions and summarize their comments. The Contractor must determine the most likely source(s) of implementation financing for the Project. The Contractor must ensure that the Terms of Reference (TOR) for the activity fulfill the requirements of the most likely financing source(s).

E. U.S. Export Potential.

This section describes the U.S. export potential that may result if the Project is implemented.

The purpose is to estimate the U.S. export potential in order to justify USTDA funding for the activity. This can take many forms but should at a minimum address the points below:

The Contractor shall provide a best estimate of potential procurement of U.S. goods and services for Project implementation. This should be provided in both narrative form and in the form of an editable chart in word document format. This estimate should be supported by a breakdown by category and dollar value of goods and services likely to be imported for the Project and an illustrative list of potential U.S. suppliers of the goods and services for those goods and services listed as likely U.S. exports. The Contractor shall include U.S. content in their evaluation of U.S. exports, including an analysis of U.S. manufacturing and services sourced from the United States that would most likely be used for the Project. The Contractor shall cross-check the U.S.

firm’s estimates of U.S. export potential with independent relevant sources, such as:

• Direct outreach to U.S. suppliers in the sector;

• USTDA program staff and USTDA’s evaluations data;

• The U.S. Department of Commerce’s International Trade Administration; and

• Industry and trade associations.

The Contractor shall describe how procurements are typically conducted: 1) in the sector; 2) by the Project sponsor; and 3) in the host country. The Contractor shall confirm whether there are local content requirements or procurement restrictions in this sector or for the Project and whether a local provider/distributor will be or is likely to be involved in Project implementation. The Contractor shall also list any import licensing requirements or permits needed by U.S. companies to participate and supply goods for the Project. The Contractor shall also identify any U.S.

companies already working with the Project sponsor or working in the respective sector in the host country.

The Contractor shall provide a report that summarizes its discussions with U.S. companies that provide goods or services for the Project, and their level of interest in the Project should also be included. The Contractor shall take note on not only the U.S. company’s general interest in the relevant sector or country, but also interest in the specific Project. The Contractor shall analyze how competitive the U.S. company’s goods or services would be if the Project reaches the implementation stage. To ensure no one is given unfair advantage to compete for USTDA’s funding or the Project implementation, the Contractor should be sensitive to disclosing information about the proposed USTDA activity.

The Contractor shall submit a complete list of U.S. companies and other entities contacted, with the name and contact information of individuals interviewed and their responses.

F. Foreign Competition and Market Entry Issues.

This section describes foreign competition and market entry issues in the host country. The purpose is to demonstrate why USTDA funding may be needed in order to level the playing field for U.S. companies. This can take many forms but should at a minimum address the points below.

The Contractor shall provide a discussion of the foreign competition for goods and services likely to be procured for Project implementation by category. The Contractor shall include a discussion of U.S. industry competitiveness in each category, taking into account geographic factors, host country industry capabilities, technology and licensee issues, past procurement tendencies of the Project sponsor, and how the procurement is likely to be conducted. Where relevant, the Contractor shall discuss the extent to which market entry issues impede exports and trade and how the activity will help overcome these obstacles.

G. Evaluation Strategy.

This section describes the strategy by which the Project, if implemented, should be evaluated.

The purpose is to concisely describe the baseline goals and objectives of the Project, along with any potential risks or timeline hindrances, so the actual implementation results can be evaluated accordingly. This can take many forms but should at a minimum address the points below:

• Goals and objectives:

o Clearly define the goals of the Project and identify what will constitute success

Ex: For trade capacity building or legal project, any change in law as result of Project o Identify key sources for information needed to determine if USTDA’s activity attained its objective o Identify potential methods of measurement for evaluation specific to the Project

• Process and Timeline:

o What is the step-by-step process the Project will follow to be implemented, following USTDA’s funding?

o What is the anticipated Project development timeline? This may change, but it is important to know what the original goal is as it will influence USTDA’s evaluation effort.

o How are procurements typically conducted in the sector for this host country?

o Will there be local content requirements?

o Will a local provider/distributor be involved?

o Will there be one big procurement or several smaller ones? Will other entities be involved if the procurements are small?

• Risks:

o Identify potential difficulties in measuring results and ways to mitigate those difficulties o Is any regulation needed before the Project can be developed (e.g. power purchase agreement standards)?

o Are there other entities that must authorize/approve implementation? List them according to their priority in the approval chain.

• Key Leads:

o Are there US companies that already have business with the Project sponsor or in the sector? If so, what is USTDA’s added value for these companies’ ability to pursue additional business?

o Are there any companies short-listed for procurements? If so, are they short listed via direct sales, distributor, etc.?

H. Project Implementation Risks.

This section describes the unique risk profile for the proposed USTDA-funded activity, as well as for the underlying Project to be supported by the activity. The Contractor shall assess and articulate the most prominent risks that could impact the USTDA-funded activity and/or Project implementation as well as the potential risk mitigants that may enable the activity and/or Project implementation success, such as through specific design of the TOR or assurances USTDA should seek prior to committing funding. This analysis can take many forms but should at a minimum consider the points below:

• Support for the Project:

o How has the host country government expressed support for the Project?

o Is there a stated host country government strategy, policy, or regulation that supports implementation of the Project?

o What is the breadth and depth of grantee support/engagement on the activity and

Project?

o If a generation Project, what support has the prospective off-taker expressed for the Project?

• Risk Profile of the Proposed Project Sponsor and Contractor:

o Do the Project sponsor and U.S. contractor (if sole-sourced) have a track record working in the host country and industry? With the proposed technology?

Bringing early-stage deals with this technology and/or in the host country to financial close?

o What assurances are there that the parties have the financial and technical wherewithal to implement the activity?

o Should the Project sponsor or U.S. contractor (if sole-sourced) be asked for audited financials? If so, do they have them? If not, what else can the contractor provide to demonstrate financial/operational health?

o If sole-sourced, what percentage of the U.S. contractor’s overall company revenue would be represented by the USTDA grant or multiple USTDA-supported activities?

• Political, Regulatory, Legal and Economic Risks:

o Which permits, licenses, or government agreements that are required at this stage of the Project’s development remain outstanding? What are the expected timelines for these approvals? Are any challenges anticipated to obtaining all required approvals for the project?

o Will any federal/state/local political cycles or other political considerations, such as sanctions, impact implementation of the Project?

o Are there contract sanctity challenges in the market and will these challenges have any bearing on implementation? For example, is there a high likelihood that a power purchase agreement may not be honored if lower energy prices become readily available?

• Financial Strength and Management Acumen:

o Once the TOR is complete, what will be the remaining impediments to financing the project?

o What assurances are there that the parties have the wherewithal to implement the

Project?

• Other risks:

o Are there any other notable risks associated with the implementation of the USTDA-funded activity or the implementation of the Project that USTDA should consider?

• Potential Risk Mitigants:

o Are there USTDA-activity specific mitigants (e.g. through the terms of reference, cost share/success fee structure, USTDA disbursement timing, etc.) that could help mitigate the above risks and enable Project or activity implementation success?

o Are there any performance or completion guarantees or other mechanisms that could be incorporated into the activity to mitigate completion risks?

o If the risks cannot be mitigated, what factors make the activity and/or Project likely to be successfully implemented?

I. Developmental Impact.

The Contractor shall identify at least one viable and quantifiable Development Impact Measure that will result from the Project being implemented based on the recommendations of the USTDA activity. The Contractor shall work with the proposed Project sponsor and USTDA to identify the most viable Development Impact Measure(s) that will result for the host country. Please refer to the Development Impact Guide provided in Attachment VIII for the complete list of indicators and further instruction on how these indicators should be selected and estimated.

The Program Evaluation Office may provide additional guidance. The indicator should be chosen according to the sector. More than one Development Impact Measure may be identified for an activity but they must be viable and quantifiable. If the Contractor believes it is necessary to recommend a Development Impact Measure that is not contained in the list, please contact the COR and the Program Evaluation Office.

The Contractor shall provide the following information for each indicator identified for each activity: 1) current status, prior to USTDA’s activity and Project implementation (Baseline); 2) anticipated outcomes should the Project be implemented, based on the recommendations of the USTDA activity; 3) the anticipated timeline for the realization of these outcomes; and, 4) how such information can be measured and what sources could be utilized to determine whether the outcome was realized.

J. Impact on the Environment.

The Contractor shall provide a statement regarding the likely consequences the proposed Project may have on the environment. The Contractor shall ensure that the TOR for the activity includes, at a minimum, a preliminary review of the Project’s impact on the environment, with reference to local requirements and requirements of potential financing source(s) of the Project. The Contractor should identify potential negative impacts and discuss the extent to which they can be minimized or mitigated.

The Contractor shall conduct a climate resilience screening utilizing the guidance provided in Attachment IX and, based on climate resilience screening results, provide details, including rationale, on whether (a) an in-depth analysis is recommended; (b) an in-depth analysis is not recommended; or (c) whether or not the climate resilience screening has indicated that a proposed Project should not move forward. If in-depth analysis is recommended, the Contractor shall propose language for the TOR (see section P, #4).

K. Impact on U.S. Labor.

The Contractor shall provide an assessment of the impact of the Project on U.S. labor. The Contractor shall address the legislative prohibitions on the use of Foreign Assistance funds described in Attachment III and any implication such prohibitions may have on the activity and/or Project.

L. Qualifications.

The Contractor shall provide a review of the capabilities of the U.S. firm submitting the proposal and the qualifications of the proposed U.S. firm’s personnel.

M. Justification.

The Contractor shall provide an explanation of why USTDA’s grant funding is needed, including a description of how the Project would support U.S. government policy priorities and promote trade, how USTDA's participation would add value to the Project's development, and how the success of the Project would be measured in terms of trade capacity and development impact.

N. Recommendations.

The Contractor shall provide analysis and recommendations as to whether or not the Project meets USTDA’s basic funding criteria as defined in Section D.1.2.1 in the Desk Study Statement of Work.

If the recommendation is that USTDA should fund the activity, but in a phased approach or only if certain outstanding issues are resolved or conditions met, those phases, issues or conditions should be clearly delineated and discussed in the recommendation.

O. Contacts.

The Contractor shall provide a list of individuals contacted during the Desk Study. The list shall include the address, phone and fax numbers, and e-mail address of each individual.

P. Terms of Reference.

The Contractor shall be responsible for submitting to USTDA a Terms of Reference (“TOR”) and budget for the activity that conforms to USTDA’s requirements. This work shall entail working with the U.S. firm and the proposed Project sponsor to develop the TOR and budget for the activity using the U.S. firm’s and Project sponsor’s draft proposal as a basis. The TOR, which must be approved by the Project sponsor and the U.S. firm, shall include, at a minimum include: the purpose and objective of the activity, a kickoff meeting for the activity, a development impact assessment, a U.S. Source of Supply report, and a final report. In addition to these elements, the TOR should reflect the specific needs of the Project. Possible elements include, but are not limited to:

1. Purpose and objective of the activity. This section will contain a concise statement describing the activity.

2. A kick-off meeting and technical assessment. This section will include a kickoff meeting for the Project Sponsor, Contractor, and potentially other relevant stakeholders to approve a work plan for the Project. This work plan should reflect relevant background information and analysis that is pertinent to the technical feasibility of the Project (e.g. site selection, gap analysis, data collection, comparative analysis, parameters for pilot project implementation, baseline indicators and key performance indicators, a review of any previous reports or studies related to the Project, and an assessment of technologies to be used in pilot project implementation).

3. An economic analysis of the Project. This section will include a detailed analysis on all of the costs associated with the implementation of the Project, and relevant additional economic analyses relevant to the viability of the Project. This section shall provide all relevant information pertaining to the economic analysis of the Project (e.g.

a cash flow analysis, analysis of market conditions, raw material availability, supply agreements, off-take agreements, competing alternative methods of achieving the same or similar Project objectives). This analysis should also include the internal rate of return under a variety of different assumptions (e.g. different interest rates, depreciation, licensing fees, and import duties).

In addition, in order to provide the Project sponsor with sufficient information to responsibly implement, manage, and maintain the Project for the duration of the investment, this section will provide a Life Cycle Cost Analysis (LCCA) as part of the overall Project cost estimate. The LCCA shall examine the total initial capital costs to plan, design, develop, and build the Project, and also shall include a detailed analysis of the costs associated with the medium-term and long-term operation of the Project, which includes maintaining the facilities, equipment, and other assets financed as part of the Project. Such costs include, but are not limited to, warranties, operation, maintenance, acquisition, installation, refurbishment, and disposal costs that could be encountered throughout the life of the Project.

4. A financing plan for the Project. This section shall provide an analysis on the different types of financing (e.g. equity, debt) available for Project implementation.

This section will assess whether or not potential public and private financing organizations (e.g. the World Bank, relevant regional multilateral development banks, Ex-Im and OPIC/DFC) are interested in providing financing for Project implementation. This section shall include a financing plan and a financing strategy, including several approaches to securing financing for the Project based on discussions with the Project sponsor, potential lenders and potential financiers. This section shall outline the rationale for the financing plan and financing strategy and shall take into account a number of relevant factors (e.g. timing, interest rates, and potential financing terms). This section shall also provide a recommendation for the most effective financing sources for the Project.

This section shall include a sensitivity analysis of the return on investment (ROI). The sensitivity analysis shall account for the cost recovery indicators based on different assumptions for key Project variables, such as electricity tariffs, sales volumes, capital and operating cost estimates, and interest rates and investment requirements.

If sources of financing are not yet confirmed, this section shall identify the potential sources of financing. The U.S. firm, with the Project sponsor’s express permission, shall contact the potential sources of financing to assess the likelihood of receiving financing from such sources. This section shall outline the sources including, but not be limited to, bilateral financing institutions, multilateral financing institutions, international financing institutions and local and regional commercial banks.

This section shall also identify any and all Project risk factors and including a risk avoidance/reduction plan for each factor by means of insurance and bonding or other means. The plan shall meet the requirements of the potential financing sources, including host country sources, multilateral financiers, international financing institutions and others.

5. An appropriate full or preliminary environmental analysis of the Project. This section shall include a full or preliminary review of the Project’s anticipated impact on the environment with reference to host country requirements and those of potential financiers (e.g. the World Bank). This review would identify potential negative impacts, discuss the extent to which they can be mitigated. The U.S. firm shall develop plans for a full environmental impact assessment if and when the Project moves forward to the implementation stage. This includes the identification of steps that will need to be undertaken by the Project sponsor subsequent to the activity’s completion and prior to Project implementation. Based on the Contractor’s climate resilience screening, if an in-depth analysis for the Project is needed, then the Contractor shall propose language detailing how the U.S. firm should complete such an in-depth analysis for the Project (see Attachment IX).

6. A review of regulatory issues and the legal framework related to the Project. This section shall include a discussion of the relevant regulatory structure needed, including an assessment of any regulations that would impact the Project's viability, a prognosis to move forward, and a need for additional regulations. Unless otherwise specified, this review shall include a review of current and proposed regulations, permitting requirements, licensing requirements, legal framework, construction approvals, foreign participation regulations, regulations that impact environmental requirements, and any other regulatory issues that may have a significant impact on the Project. This section shall identify policy and/or legislative actions that could either act as potential barriers to the implementation of the Project or would be necessary for implementation of the Project. This section shall also review any pending or potential regulatory actions that may impede Project implementation. If the Project does not meet all requirements, the U.S. firm shall identify methods to overcome those deficiencies.

7. An analysis of key host country development impacts. This section of the TOR shall detail the anticipated host country impacts of the Project, in accordance with USTDA’s Development Impact Measures, should the Project be implemented following the recommendations provided through the activity. This task shall incorporate the baseline information gathered by the Contractor, in accordance with Section I of this Attachment I, and provide clear instructions to the Project sponsor and U.S. firm to update this baseline information to accurately reflect new projections based on the analysis of Project feasibility and recommendations set forth in other tasks. This task shall instruct the U.S. firm to utilize the Development Impact Guide provided in Attachment VIII, in conjunction with the baseline data. The U.S. firm shall work closely with the Project sponsor during this task to ensure that the projected development impacts are viable and measurable.

8. U.S. sources of supply. This section of the TOR shall contain a task for an assessment of U.S. sources of supply for all goods and services required to implement the Project.

This section shall include a list that includes (i) the possible U.S. sources of supply and/or services for the Project, (ii) a detailed description of relevant products, solutions and/or services to be provided, and (iii) contact information for the party or parties responsible for marketing/sales in the host…