REPUBLIC OF SOUTH AFRICA (RSA)
INFRASTRUCTURE PROJECT FINANCE TRANSACTION ADVISOR
CONSULTING SERVICES
Expressions of Interest
The Infrastructure Fund (“IF”), a unit housed within the Development Bank of Southern Africa, has applied for a financing from Agence Française de Développement ("AFD"), and intends to use part of the funds thereof for payments under the following project: recruitment of an infrastructure project finance transaction advisor.
The IF was established in 2020 to address the need for blended finance to enable the efficient execution of socio-economic infrastructure programmes and projects in South Africa. Blended finance solutions are intended to address market failures to improve the risk profile of infrastructure project bankability. The IF will structure bespoke blended finance solutions by playing a pivotal role across the following phases of the project development value chain: project identification, design and conceptualisation, preparation, structuring, budgeting, financing, procurement and implementation. The IF has been seed funded by the South African National Treasury with an indicative commitment of R100 billion over the next ten-year period, starting in 2021/22. The contribution is intended to be key to the structuring of blended finance solutions. This seed funding is targeted at catalysing R1 trillion of infrastructure delivery within the country.
The Services of the consultant shall consist of, amongst others and without limitation:
i) Providing the IF, with an infrastructure project finance transaction advisor for a 36-month period to be based in Johannesburg, with international experience;
a. Liaise and collaborate with IF team multi discipline officers to develop the terms and conditions for each transaction;
b. Conduct financial analysis and financial modelling;
c. Conduct the necessary due diligence on transactions;
d. Conduct the appraisal of proposed transactions;
e. Execute transactions and drive the approval of transactions through various internal approval committees;
f. Design and conduct the procurement processes;
g. Monitor existing projects;
h. Drive projects closure;
ii) Organising field and study trips in order to expose IF team to international good practices regarding infrastructure projects and their financing; and
iii) Managing the administrative matters related to the expatriation of the expert in South Africa.
More background regarding the consulting services sought after is provided in annex B.
The IF hereby invites Applicants to show their interest in delivering the Services described above.
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This Request for Expressions of Interest is open to: Consulting firms
❑ Individual consultants
❑ NGOs
❑ Joint Venture between NGO(s) and consulting firm(s)
Eligibility criteria to AFD financing are specified in sub-clause 1.3 of the "Procurement Guidelines for AFD-Financed Contracts in Foreign Countries", available online on AFD’s website: http://www.afd.fr.
The Applicant shall submit only one application, either in its own name or as a member of a Joint Venture (JV). If an Applicant (including any JV member) submits or participates in more than one application, those applications shall be all rejected. However, the same Subconsultant may participate in several applications.
If the Applicant is a JV, the expression of interest shall include:
− a copy of the JV Agreement entered into by all members,
or
− a letter of intent to execute a JV Agreement, signed by all members together with a copy of the Agreement proposal,
In the absence of this document, the other members will be considered as Subconsultants.
Experiences and qualifications of Subconsultants are not taken into account in the evaluation of the applications.
Interested Applicants must provide information evidencing that they are qualified and experienced to perform those Services. For that purpose, documented evidence of recent and similar services shall be submitted.
Determination of the similarity of the experiences will be based on:
− The contracts size: 1 million euros or higher
− The nature of the Services: technical expertise
− The technical area and expertise:
✓ Experience in major infrastructure project finance
✓ Experience in procurement processes for infrastructure projects
✓ Experience in infrastructure project due dilligence
✓ Experience in developing and delivering sustainable financing structures and solutions through various products and financial instruments which include blended finance structures, Public Private Partnerships, local currency funding, guarantees, project bonds, etc.
✓ Experience in concessional finance, climate finance, credit enhancement instruments and/or the investment premiums (or step down margins) to be obtained for resilient or mitigating solutions
− The location: Republic of South Africa, other big emerging countries, or any other country; Note that experience in countries other than RSA will be considered an added value.
The Client will also take into account for the evaluation of the applications the following items:
− Skills and availability of in-house technical back-up experts provided to the on-site experts
Each application will include a Statement of Integrity as detailed in Annex A.
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1. Proposed Procurement Method and Strategy
The method of sourcing is an Open International Tender, inviting national and international service providers. The DBSA website and the National Treasury e-Tender Portal will be used as well as the Agence Française de Développement - dgMarket website.
The procurement of a long-term finance expert is being funded by AFD. The DBSA has agreed to the use of the AFD procurement processes for Consulting Services that require in this case a two-stage process.
Stage 1 - Request for Expression of Interest (REOI)
This stage 1 consists of establishing a shortlist of a maximum of 6 Consultants who will be allowed to submit a Proposal in Stage 2. The REOI is to be advertised for 45 days, thereafter evaluated.
Criteria for evaluation of the Expressions of Interest
No
Functionality
Evidence to be provided
Weight
Score
1
Experience of the Applicant in providing Technical Assistance service through contracts of at least 1 M€
Provide a list of relevant contracts (purpose, amount, dates)
12%
4 or more = 12%
2 - 3 projects = 9%
Anything below 2 projects = 0 points
2
Experience of the Applicant in major infrastructure projects finance
Provide a list of relevent projects (project name, country, role and scope of work of the Applicant, period of the service)
15%
4 or more = 15%
2 - 3 projects = 10%
Anything below 2 projects = 0 points
3
Experience of the Applicant in procurement processes for infrastructure projects
Provide a list of relevant projects (project name, country, period of the service)
12%
4 or more = 12%
2 - 3 projects = 9%
Anything below 2 projects = 0 points
4
Experience of the Applicant in infrastructure project due dilligence
Provide a list of relevant projects (project name, country, period of the service)
12%
4 or more = 12%
2 - 3 projects = 9%
Anything below 2 projects = 0 points
5.
Experience of the Applicant in developing and delivering sustainable financing structures and solutions through various products which include blended finance structures, Public Private Partnerships, local currency funding, guarantees,etc.
Provide a list of relevent projects (project name, country, role and scope of work of the Applicant, period of the service)
15%
4 or more = 15%
2 - 3 projects = 10%
Anything below 2 projects = 0 points
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6
Experience of the Applicant in climate finance, credit enhancement instruments and/or the investment premiums (or step down margins) to be obtained for resilient or mitigating solutions
Provide a list of relevent projects (project name, country, role and scope of work of the Applicant, period of the service)
12%
4 or more = 12%
2 - 3 projects = 9%
Anything below 2 projects = 0 points
7
Experience of the applicant in infrastructure financing in RSA, other BRICS countries, or any other country ; Note that experience in countries other than RSA is required, with additional experience in RSA considered an added value
Provide a list of relevent projects (project name, country, role and scope of work of the Applicant, period of the service)
12%
4 or more = 12%
2 - 3 projects = 9%
Anything below 2 projects = 0 points
8
Skills and availability of in-house technical back-up experts provided to the on-site experts
Provide indication regarding the Applicant in-house expert rooster
10%
In house rooster available = 10%
In house rooster not available = 0%
The Applicant must have at least one experience in each functionality; otherwise the application will be disqualified. The 6 best scores will be shortlisted.
Stage 2 - Request for Proposal
Shortlisted Applicants will be provided with tender dossier for tendering in a Request for Proposal (RFP) process, which will take 45 days. Stage 2 will comprise of the technical evaluation (functional) and financial evaluation (financial offer).
2. Contract duration
• 3 years
3. Cancellation of the REOI
The Infrastructure Fund reserves the right to cancel the project.