PREB independent contractor issues anotherround of RFPs for green energy facilities
By The Star Staff
The independent contractor hired by the Puerto Rico Energy Bureau (PREB-IC) to tender power projects has published the requests for proposals (RFPs) for the second of six tranches of renewable energy facilities from which the Puerto Rico Electric Power Authority (PREPA) will draw energy.
For the Tranche 2, PREPA intends to pro-cure at least 500 megawatts (MW) of renewable energy resource capacity and at least 250 MW (1,000 MW-hours) of energy storage resource capacity with an effective duration of four hours, as well as all of their associated environmental credits under the terms of a document posted by Accion.com, the independent contractor.
The PREB-IC will accept proposals for all, or a portion, of such capacity. Utility-scale resources offered in response to the RFPs on a stand-alone basis must have generating capac-ity of at least 20 MW. Proponents may propose supply durations between 20 and 25 years.
Under the proposal, PREPA agrees to pay all of the energy provider’s costs and obligations as administrative expenses, which means they will be paid before any debt.
Proponents may also propose either new or existing energy resources, provided that any existing energy resource so proposed may not be covered by an existing contract, net meter-ing arrangement or other contract with PREPA.
All proposed energy storage resources shall provide discharge energy during PREPA’s evening peak periods, which normally extend from 4 p.m. through 10 p.m. but may also provide ancillary service capability such as frequency response, regulating capacity or operating reserves, the proposal states.
“This RFP solicits proposals for (i) the design, construction, installation, ownership, operation, and maintenance of Energy Resources, installed at sites across the island of Puerto Rico, and (ii) the sale and purchase of Energy or capacity, made available by such resources,” the draft RFP reads.
The current RFP represents the second of six tranches of RFPs to be issued in accordance with the Integrated Resource Program and a Dec. 8, 2021 order that requires the procurement of a cumulative total of 3,750 MW of renewable energy resources and 1,500 MW of energy stor-age resources during a three-year period.
PREPA last issued the RFP for renewable energy generation and energy storage systems, Tranche 1, on Feb. 22 and will continue to do so.