SDG&E 2016 Preferred Resources Request for Offers Seeking Energy Storage System Power Purchase Tolling Agreements and Energy Storage System Equipment Supply Agreements and associated services

Latest News & Update

Respondents are encouraged to check this RFO Website periodically for updates, notices, and postings. SDG&E, at its sole discretion, pursuant to orders from the CPUC, may change the terms, requirements and schedule of this solicitation. Respondents should monitor the RFO Website for announcements regarding any updates or changes including posted questions & answers. SDG&E will post all solicitation announcements, including scheduling changes or RFO amendments to this website. In particular, check the RFO website for (i) details on the pre-bid conference call and (ii) posting of answers to submitted questions.

• 6/21/2016 - SDG&E posted an updated offer form for the UOGs bids to the UOG PA site.  This is for informational purposes only and should not be filled out or submitted by anyone other than the SDGE Cost Development Team.  See evaluation question # for more information.
• 6/15/2016 - FAQs have been updated
• 6/15/2016 – The ESSPPTA Pro Forma Agreement has been updated
• 6/10/2016 - FAQs have been updated
• 5/05/2016 – The ESSPPTA Pro Forma Agreement has been updated
• 5/04/2016 - FAQs have been updated
• 4/12/2016 - FAQs have been updated
• 4/08/2016 - The ESS RFO document has been updated
• 40/8/2016 - The Project Description Form has been updated
• 3/31/2016 - New FAQs are now posted
• 2/26/2026 - Launched!

Description of the RFO

In accordance with Decision ("D.") 13-10-040 – Decision Adopting Energy Storage Procurement Framework and Design Program (the “Energy Storage Decision”) approved on October 17, 2013 and D. 14-03-004 – Decision Authorizing Long-Term Procurement for Local Capacity Requirements due to the Permanent Retirement of the San Onofre Nuclear Generation Station (the “Track 4 Decision”) approved on March 13, 2014 and associated documents[1], and the Carlsbad Energy Center Conditional Approval Decision (“D.15-05-051”), San Diego Gas and Electric (“SDG&E”) is issuing its 2016 Energy Storage System (“ES” or “ESS”) Request for Offers (“RFO”) to solicit offers (“Offers”) from owners and operators of ES facilities and ES equipment suppliers and developers.

This RFO solicits Offers for both third party owned, contracted resources and utility owned resources; more specifically, SDG&E is seeking:

• Offers from owners and operators of ESS facilities to negotiate and enter into an Energy Storage System Power Purchase Tolling Agreement (“ESSPPTA”), or
• Offers from ESS developers to negotiate and enter into agreements associated with an Energy Storage System Turn-key Build, Own, Transfer (“ESSBOT”) approach that results in SDG&E acquiring and owning the ESS equipment, or
• Offers from ESS developers / equipment suppliers to negotiate and enter into agreements associated with Energy Storage System Turn-key Engineering, Procurement and Construction (“ESSEPC”) approach that results in SDG&E acquiring and owning the ESS equipment.

SDG&E is seeking up to 140 MW across all product types included in the 2016 Preferred Resources LCR RFO.

ESSBOT and ESSEPC offers will be coordinated by an internal group at SDG&E that will be assembling offers for potential utility ownership (“SDG&E’s Cost Development Team”).  ESSBOT and ESSEPC Respondents must provide a formal written expression of interest to the Cost Development Team via e-mail to 2016ESSEPCBOTRFO@sdge.com as more fully described in the RFO document on or before March 11, 2016.  Additionally, ESSEPC Respondents are required to execute a nondisclosure agreement.

The ESSBOT approach involves full development duties up to and including commissioning of the ESS including providing the site, permitting and interconnection.  Upon successful commissioning, SDG&E will take ownership of the ESS. The ESSEPC approach involves shared development with SDG&E in which SDG&E will provide the site and will take the lead in permitting and interconnection of the ESS. 

ESSBOT and ESSEPC Respondents will receive additional information related to providing information to SDG&E’s Cost Development Team via an “Addendum” to this RFO that more precisely describes the process for ESSBOT and ESSEPC offers, including a detailed schedule, pre-bid process description, pre-evaluation and ranking process description, and process for submitting final offers on or before the Closing Date (July 1, 2016). Additionally, the Addendum will contain an Energy Storage Specification, pro forma contract, and for EPC respondents, site descriptions of utility owned land available for ESSEPC offers.

Solicitation Documents

Forms are available on the RFO Website.  The failure to provide the listed information may result in the proposal being deemed non-conforming and may disqualify the proposal from further consideration.

• ESS RFO document (pdf) 

Required Forms and Documents

1. Energy Storage Offer Form  – The offer form should be completed (xls). 

2. Project Description Form – Please submit one per project (doc).

3. Electric Interconnection /Repowering Information

   Note: Please provide copies of completed studies, and provide the name of the substation and interconnection voltage applicable to the facility as well as the nearest 230kV substation in the Offer Form.

4. Credit Application (doc)

5. Diverse Business Enterprise Subcontracting Commitment and Reporting Requirements (DBE) Form (optional) (doc)

6. Redline forms of the ESSPPTA Pro Forma Agreement (doc) - ESSPPTA Respondents only.

The Model PPA includes some terms that provide options.  Respondent should provide a redline of the Model PPA that reflects the attributes of their proposed project by selecting the correct options.  Terms that do not provide options are non-modifiable.

All Offers must be uploaded to the PowerAdvocate® website no later than 1:00 p.m., Pacific Prevailing Time, on the CLOSING DATE (see RFO Schedule).  

Storage RFO Schedule

The following schedule and deadlines apply to this RFO.  SDG&E reserves the right to revise this schedule at any time and in SDG&E’s sole discretion.  Respondents are responsible for monitoring the RFO Website for updated schedules and possible amendments to the RFO or the solicitation process.

RFO Communication

The RFO and all subsequent revisions and documents are available for download from the RFO Website (http://www.sdge.com/2016PrefResourcesLCRRFO) and the 2016 ENERGY STORAGE SYSTEM (ESSPPTA) RFO event on the PowerAdvocate® website.  Potential Respondents are responsible for monitoring the RFO Website and PowerAdvocate® for subsequent updates, notices and postings.

The RFO website contains RFO forms and documents, the RFO Schedule, and Question and Answers.  All questions or other communications regarding this RFO must be submitted via email to PrefResourcesRFO@sdge.com and CC the IEs Jon Jacobs -jonathan.jacobs@paconsulting.com and Barbara Sands - Barbara.Sands@PAConsulting.com by the DEADLINE TO SUBMIT QUESTIONS as specified in Section 6.0 RFO Schedule.  SDG&E will not accept questions or comments in any other form except at the bidder’s outreach event on April 13, and will not respond to questions submitted after the DEADLINE TO SUBMIT QUESTIONS.

• Energy Storage Questions and Answers / FAQs (to be posted on/before June 24, 2016)

Outreach Event/Pre-Bid Conferences

SDG&E will host a bidder outreach event on April 13, 2016 for all respondents which will be an in-person event (with dial-in / webinar available for those that cannot attend in-person). 

In addition, the Cost Development Team will host one outreach event to describe the ESSBOT and ESSEPC pre-offer and pre-evaluation processes and timelines. More information about this event, including the date, is described in the Addendum documents that will be provided to ESSBOT and ESSEPC Respondents once their formal expression of interest has been provided and, for ESSEPC Respondents, an NDA has been executed.

Participation in these events is NOT mandatory in order to submit an offer.

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• LCR Pre-Bid Conference Presentation

• Pre-Bid Conference Audio Replay – available until June 12th
  Dial-in: 1-888-266-2081 or 1-703-925-2533
  Passcode: 1670738

Please monitor the RFO Website for further details (such as conference presentation materials and final arrangements).  SDG&E will make efforts to notify bidders of outreach event details via e-mail as well as providing this information via the RFO Website.

Any party interested in attending these events should email the following information to PrefResourcesRFO@sdge.com and CC the IEs Jon Jacobs -jonathan.jacobs@paconsulting.com and Barbara Sands - Barbara.Sands@PAConsulting.com:

• Company name, and
• Attendees’ names, titles and contact information

RFO Announcements

Please check this website periodically as SDG&E will post all solicitation announcements, including scheduling changes or RFO amendments if any.

Register to Submit Offers

Any party interested in submitting an Offer must register to receive access to the 2016 ENERGY STORAGE SYSTEM (ESSPPTA) RFO event on PowerAdvocate® in order to submit an Offer. To register, Respondents must follow the instructions outlined in Section 7 of this RFO, RFO Website and Communications. All Offers must be uploaded to the PowerAdvocate® no later than 1:00 p.m., Pacific Prevailing Time, on the CLOSING DATE (see RFO Schedule).  If Respondents encounter technical difficulties with the uploading process, they should provide evidence of such difficulties (e.g. a screen shot of the error message) and email the bid to:

The RFO mailbox: PrefResourcesRFO@sdge.com

Carbon Copy (CC) to: Jonathan.Jacobs@PAconsulting.com and Barbara.Sands@PAConsulting.com

Emails shall be received by 1:00 p.m., Pacific Prevailing Time, on the Closing Date.

[1] For example, SDG&E filed Application (A.) 14-02-006 – the Energy Storage Procurement Application - in response to the Energy Storage Decision.  A.14-02-006 can be found on SDG&E’s website at: http://www.sdge.com/regulatory-filing/10246/sdge%E2%80%99s-energy-storage-procurement-application