ENQEIR1011 - Energy Trading Partner

AI-generated analysis of the documents. Check the official notice and any amendments for current submission details.

1. At a glance

2. Scope of Work

This procurement seeks an Energy Trading Partner to act as an agent for EirGrid plc and other EirGrid Group companies, facilitating the buying and selling of energy in the Great Britain (GB) market. The primary function is to manage countertrading activities over DC interconnectors, responding to EirGrid's operational needs. The contract is expected to be awarded to a single entity.

The scope of requirements includes:

• Balancing Mechanism Unit (BMU) Registration: The successful bidder will be responsible for registering BMUs at their own cost.
• EWIC BMUs require a Generation Capacity and Demand Capacity of 1030 MW.
• Greenlink BMUs require a Generation Capacity and Demand Capacity of 1034 MW.
• The Trading Partner may combine EirGrid's trades with their own market-based trades on the same BMU, provided the BMU can handle the specified trade sizes.
• Communications and Trade Execution:
• Requests and agreements for trades will primarily occur via email exchange and telephone.
• Trade requests will be made within I-SEM trading windows. The Trading Partner must respond and analyse requests in a timely manner.
• EirGrid may issue multiple trade requests per settlement period, requests that cross I-SEM windows, or requests for single half-hour periods.
• Requests will specify the interconnector for the trade.
• Trades can be requested at any time, on any day of the year.
• Trade requests are to be submitted via emails with follow-up calls. A nomination file with an agreed naming convention must be used and maintained.
• Trade Offer and Acceptance:
• The Trading Partner must offer EirGrid a firm volume and firm price for the requested trade.
• The Trading Partner assumes responsibility for any imbalance if volumes cannot be traded in the GB market.
• EirGrid will accept or reject the trade offer. Upon acceptance, EirGrid will submit Physical Notifications for the relevant Interconnector BMUs.
• Reporting:
• Daily statements are required, listing each trade conducted within the I-SEM trading day on an Imbalance Settlement period basis. These statements must provide sufficient detail to confirm trade volumes and prices accepted by EirGrid.
• Monthly statements are required, including a worksheet for each day and a summary sheet for the month.
• These reports serve financial management and regulatory audit purposes.
• Credit Cover: EirGrid may require credit cover, such as cash collateral or a letter of credit, based on the Trading Partner's potential monthly liability. Evidence of creditworthiness will be required.
• Conflict of Interest Mitigation: The Trading Partner must detail proposed mechanisms and measures to mitigate any potential perceived conflicts of interest, ensuring assurance to regulators and stakeholders.
• Account Management: A dedicated Account Manager with extensive experience and strong communication skills must be nominated. This individual will be the primary contact, attend bi-annual meetings (or more frequently if required), and proactively ensure service levels and quality standards are met.
• Environmental Management: The supplier must have a programme to manage and minimise environmental impact, promoting efficient energy management, waste reduction, water conservation, and sustainable sourcing.
• Continuous Improvement: EirGrid seeks continuous improvement in quality, performance, process efficiencies, and innovative approaches throughout the contract duration.

3. Background & buyer context

EirGrid plc, as the Transmission System Operator (TSO) in the Republic of Ireland, is procuring an Energy Trading Partner to facilitate countertrading on interconnectors. This measure is part of EirGrid's obligation to minimise the curtailment of priority dispatch generation, primarily renewables. Countertrading is also used to address security of supply obligations and interconnector testing. The Trading Partner will operate in the GB market post I-SEM market gate closure, executing trades based on volumes identified by the TSO for priority dispatch, security of supply, optimisation of large single infeeds, and interconnector testing. The procurement is being conducted by EirGrid on behalf of all companies within the EirGrid Group.

4. Eligibility & selection criteria

Candidates must meet minimum requirements to be considered for shortlisting. These are assessed via a Pre-Qualification Questionnaire (PQQ).

• Turnover requirement: Candidates must demonstrate annual turnover on relevant services specific to this contract of at least €500,000 in one of the past three financial years, or pro-rata if more recently established.
• Insurance: Specific insurance levels are not explicitly stated as minimum requirements in the provided extract for the PQQ stage. Candidates are directed to confirm levels in the Information Memorandum and PQQ. However, the document lists standard insurance levels for consideration:
• Employers Liability: €13,000,000 any one occurrence
• Public Liability: €6,500,000 any one occurrence
• Professional Indemnity: €5,000,000 in the annual aggregate
• Product Liability: €6,500,000 any one occurrence and in the aggregate
• Cyber Insurance: €5,000,000 in the annual aggregate
• Certifications: Candidates must have a documented Quality Management System (QMS) in place to pass the Quality Assurance criterion. ISO 9001:2015 or equivalent is mentioned in relation to quality assurance. ISO 27001 or equivalent is queried under Cyber Security Assurance.
• Past experience: Candidates must provide details of the three (3) most relevant contracts undertaken in the last five (5) years. Each contract is evaluated on client organisation/industry, candidate's role, and scale (value/duration).
• Personnel: A dedicated Account Manager with extensive experience is required. Specific minimum years of experience for this role are not detailed in the PQQ extract.
• Geographic / facility constraints: The scope of work involves trading in the GB market. No specific geographic constraints for the bidder's facilities are mentioned.

5. Award criteria & scoring

The PQQ process is Stage 1, focusing on pre-qualification. Candidates are assessed against selection criteria with minimum requirements and weightings. Those who meet minimum requirements and achieve suitably high marks will be shortlisted for Stage 2 (Tender).

Criterion Weighting Minimum Requirement