2018 Block Energy (AIC, ComEd, and MEC) and Capacity (AIC) Procurement Events

On September 25, 2017, the IPA submitted its Procurement Plan (“Plan”) to the Illinois Commerce Commission (“ICC”) in compliance with Public Act 095-0481 (the “Act”), which includes the Illinois Power Agency Act (“IPA Act”). The ICC issued its Order with regards to the Plan on December 20, 2017. The Plan approved by the ICC provides for (i) a Spring 2018 procurement of monthly on-peak and off-peak standard block forward products as well as combinations for AIC, ComEd, and MEC; (ii) a Spring 2018 procurement of capacity for AIC for a period starting June 1, 2019; (iii) a Fall 2018 procurement of monthly on-peak and off-peak standard block forward products as well as combinations for AIC, ComEd, and MEC; and (iv) a Fall 2018 procurement of capacity for AIC for a period starting June 1, 2019. The supply period for the standard block forward products will be June 1, 2018 to May 31, 2021. These procurement events are held under the Block Energy and Capacity RFP or “BEC RFP”.

Spring 2018 Block Energy and Capacity Calendar

Click here to view archived Block Energy and Capacity FAQs from Spring 2018

Spring 2018 Block Energy and Capacity RFP Results


Spring 2018 Block Energy and Capacity RFP

FINAL Spring 2018 Block Energy and Capacity RFP Targets

Spring 2018 Block Energy and Capacity RFP Bidder Information Webcast

FINAL Spring 2018 Block Energy and Capacity RFP Documents

FINAL SPRING 2018 BLOCK ENERGY AND CAPACITY RFP – ENERGY AGREEMENTS

FINAL Spring 2018 (AIC) Confirmation Agreement

FINAL Spring 2018 ComEd Energy Master Agreement

FINAL Spring 2018 (MEC) Confirmation Agreement

FINAL SPRING 2018 BLOCK ENERGY AND CAPACITY RFP – THE (AIC) CAPACITY AGREEMENT

FINAL Spring 2018 (AIC) Capacity Agreement

Draft Spring 2018 Block Energy and Capacity RFP Documents

Spring 2018 Energy Contracts Comment Process

Draft Spring 2018 (AIC) Confirmation Agreement

Draft Spring 2018 ComEd Energy Master Agreement

Draft Spring 2018 (MEC) Confirmation Agreement

Spring 2018 Capacity Agreement Comment Process

Draft Spring 2018 (AIC) Capacity Agreement


Block Energy and Capacity FAQs

Click on the question to see the answer:

FAQ-BEC-10
Q: Do we need a new Pre-Bid Letter of Credit if we participated in the auction earlier this year?

Yes, a new Pre-Bid Letter of Credit will be required given the pre-bid letter of credit for purposes of your participation in the Spring 2018 BEC RFP would have expired or returned to you.

08-14-2018

FAQ-BEC-1
Q: How do I register to receive announcements for the Block Energy and Capacity RFP?

Please register here and select “Block Energy and Capacity RFP”:

https://www.ipa-energyrfp.com/contact-us/register/

or contact the Procurement Administrator via email.

02-23-2018

FAQ-BEC-2
Q: Can you please point me to the Pre-Bid Letter of Credit for each Company?

The Procurement Administrator posted the Standard Pre-Bid Letter of Credit for each Company to the Draft Documents page of the Spring Block Energy and Capacity section of the IPA website on February 26, 2018. While the Standard Pre-Bid Letter of Credit for each Company is posted in its final form to the Draft Documents page, the Standard Pre-Bid Letters of Credit will be re-posted with the final RFP documents to the Final Materials page of the Spring Block Energy and Capacity section of the IPA website on March 14, 2018.

02-27-2018

FAQ-BEC-3
Q: Can bidders provide comments on the Pre-Bid Letters of Credit for the Spring 2018 Block Energy and Capacity RFP?

No. A Bidder may only provide comments on or propose modifications to the changes that have been made to the Standard Pre-Bid Letter of Credit for a procurement event for a Company relative to the previously used Standard Pre-Bid Letter of Credit. The Procurement Administrator will not solicit comments on the Standard Pre-Bid Letter of Credit when such changes are limited to these administrative updates: (i) expiration date, date of the procurement event, and dates of the supply period; (ii) docket number; or (iii) contact information for the Company. The changes that have been made to the Standard Pre-Bid Letters of Credit are administrative only and, as such, the Procurement Administrator will not be soliciting comments on the Standard Pre-Bid Letters of Credit.

02-27-2018

FAQ-BEC-4
Q: When will acceptable modifications to the Pre-Bid Letters of Credit for the Spring 2018 Block Energy and Capacity RFP be posted to the procurement website?

Documents containing acceptable modifications to the Pre-Bid Letters of Credit were posted to the Final Materials page of the Spring Block and Energy and Capacity section of the procurement website on March 16, 2018.

02-27-2018

FAQ-BEC-5
Q: Does the Spring 2018 Block Energy and Capacity RFP schedule posted to the procurement website also pertain to the IPA’s Adjustable Block Program?

No. The Spring 2018 Block Energy and Capacity (“BEC”) RFP and the Adjustable Block Program are different.

The Spring 2018 BEC RFP consists of the procurement of: (i) monthly on-peak and off-peak standard block forward products as well as combinations for Ameren Illinois Company (“AIC”), Commonwealth Edison Company (“ComEd”), and MidAmerican Energy Company (“MEC”); and (ii) capacity for AIC (25% of the 2019-2020 planning year forecast requirement).

The Adjustable Block Program is proposed as part of the Illinois Power Agency’s Long-Term Renewable Resources Procurement Plan (“LTRRPP”).  The Illinois Commerce Commission (“Commission”) will render a decision on the LTRRPP and this decision is expected on April 3, 2018.  The Commission may change in whole or in part the proposal made by the Illinois Power Agency with regard to the Adjustable Block Program.

The details of the Adjustable Block Program will not be provided on this website once the Commission renders its decision and the Procurement Administrator will not respond to questions in this regard.  Please refer to the IPA’s website, https://www2.illinois.gov/sites/ipa/Pages/default.aspx, where the LTRRPP as approved by the Commission will be posted once it becomes available.

02-28-2018

FAQ-BEC-6
Q: Can surety bonds be used in place of a Pre-Bid Letter of Credit for the purposes of bid assurance collateral?

No, surety bonds cannot be used in place of a Pre-Bid Letter of Credit. With the Part 2 Proposal, a Bidder that intends to submit Bids for a procurement event for a Company must submit an executed Pre-Bid Letter of Credit to that Company in an amount sufficient to support its Bids as specified in the RFP Rules. Bidders participating in a procurement event for Energy Products must submit a Pre-Bid Letter of Credit for a Company in an amount no less than $5,000 per block of the Bidder’s Maximum Quantity subject to a $250,000 minimum for AIC and ComEd and subject to a $25,000 minimum for MEC. The required amount of the Pre-Bid Letter of Credit for the AIC Capacity Product is $200,000. You must either use the Standard Pre-Bid Letter of Credit provided as an Appendix to the RFP Rules, or the Pre-Bid Letter of Credit must incorporate only those modifications to the Standard Pre-Bid Letter of Credit approved by a Company and posted to the procurement website.

02-28-2018

FAQ-BEC-7
Q: If we have an existing fully executed supplier contract with a Company, are we required to execute a new supplier contract if we have winning Bids approved by the Commission in the upcoming procurement events?

The transactions will be under the applicable supplier contract posted on the procurement website and suppliers may not rely on any existing supplier contract previously executed with a Company.

For the Part 1 Proposal, a Bidder will be asked to provide all information necessary for the preparation of the applicable supplier contract documents by completing the applicable Insert.  If a Bidder fails to submit the Insert for a procurement event, the Officer of the Bidder must acknowledge that, if the Procurement Administrator notifies the Bidder that the Bidder has Bids that are identified as winning Bids to the ICC for the procurement event, the Bidder will be required to provide all necessary information by 12 PM (noon) CPT on the day after such notification is received. The Officer of the Bidder makes such acknowledgment by completing the applicable Contract Delay Insert prepared for this purpose. The applicable Contract Delay Insert is submitted by email or by upload to the online Part 1 Form.

The applicable supplier contract documents are prepared by the Company after the Procurement Administrator notifies the Bidder that the Bidder has Bids that are identified as winning Bids to the ICC for a procurement event. If such Bidder relies on the financial standing of an RFP Guarantor, ComEd will prepare the Guaranty for execution as well.  For AIC and MEC, such Bidder will be responsible for preparation and delivery of the Guaranty.

02-28-2018

FAQ-BEC-8
Q: It is my understanding that Appendix A has been added to the Form of Guaranty so that all outstanding Agreements with ComEd and all Guaranteed Obligations are consolidated under a single Guaranty. Can you provide more detail on the following sentence taken from the Form of Guaranty? “The maximum aggregate liability of the Guarantor found in Section 1 of this Guaranty shall be applicable to the Guaranteed Obligations under each of the Agreement(s) listed above.”

You are correct that Appendix A has been added to the Form of Guaranty so that the obligations of Seller under several agreements may constitute Guaranteed Obligations covered by the single Guaranty. As such, there will be a single Guaranty to cover the credit exposure of Seller across the agreements listed in Appendix A. In this case, the amount of the Guaranty needs to be specified in Section 1 of this new Guaranty. The Guaranty amount should be no more than the Collateral Threshold Amount applicable to the Guarantor provided in Section I, Subsection A of Paragraph 10 to the Collateral Annex as amended in the Cover Sheet. For example, if the Guarantor is rated BBB- by S&P and Fitch and Baa3 by Moody’s, then the Guaranty amount to be indicated in the new Guaranty should be no greater than the Maximum Collateral Threshold Amount, which is the lower of 6% of the Guarantor’s tangible net worth and $20,000,000.

03-06-2018

FAQ-BEC-9
Q: When will instructions for the submission of the Bid Participation Fee be provided to bidders?

The instructions for submission of the Bid Participation Fee will be provided to bidders along with login credentials (March 14, 2018 for the Spring 2018 BEC RFP).

03-13-2018

FAQ-BEC-10
Q: When will the Spring 2018 Part 1 Form be made available to Bidders?

The Spring 2018 Part 1 Form will be made available to Bidders the morning of March 15, 2018. The Part 1 Window runs from March 15, 2018 until 12 PM (noon) Central on March 22, 2018 (the Part 1 Date).

03-13-2018

FAQ-BEC-11
Q: Are the RFP documents and supplier agreements available in Microsoft Word Format?

The Procurement Administrator does not make documents posted as PDFs to the procurement website available in Microsoft Word format.

03-14-2018

FAQ-BEC-12
Q: Will the benchmarks applicable in the evaluation of Bids be disclosed to Bidders?

No. The benchmarks, as well as the methodology used to develop the benchmarks, are confidential.

03-14-2018

FAQ-BEC-13
Q: Is bilateral credit envisaged under the energy or capacity supplier contracts?

No, bilateral credit is not envisaged under the supplier contracts for the energy procurement events or the capacity procurement event.  As such, the credit and collateral requirements under the applicable supplier contracts applies only to Seller but not to Buyer.

03-14-2018

FAQ-BEC-14
Q: Where can I find the banking information needed to complete Paragraph 7 of the Standard Pre-Bid Letters of Credit?

Please send an email to the Procurement Administrator requesting the banking information. In your email, please specify the procurement event for which you would like to receive the banking information.

03-15-2018

FAQ-BEC-15
Q: Can you confirm that the AIC Capacity Inserts are numbered correctly? Slide 42 from the March 14, 2018 Bidder Information Webcast lists different numbers of the AIC Capacity Inserts than how the AIC Capacity Inserts are numbered on the procurement website.

The AIC Capacity Inserts are numbered correctly. Slide 42 of the webcast slides posted to the procurement website has been updated to include the correct numbering.

03-15-2018

FAQ-BEC-16
Q: With reference to the (AIC) Capacity Agreement, please confirm that there are no payment adjustments for ZRCs that are from the compliance zone, which is LRZ 4.

Yes, this is correct. Only ZRCs from outside the compliance zone are subject to payment adjustments under the term of the (AIC) Capacity Agreement.

03-16-2018

FAQ-BEC-17
Q: I understand that there could be a payment adjustment under the (AIC) Capacity Agreement if the ZRCs are not from the compliance zone. Can you provide an example where the adjustment will add to the payment to Seller?

Under the terms of the (AIC) Capacity Agreement, payments to Seller will only be adjusted to reflect an increased payment if the Source Zone ACP is greater than the Compliance Zone ACP where the Compliance Zone is LRZ4. For purposes of the below example, the “ACP” refers to the Auction Clearing Price from the 2019/2020 MISO Planning Resource Auction and the Compliance Zone is LRZ4. See below for a hypothetical example.

No. of ZRCs won by Seller: 25 ZRCs from Zone 3

Average Winning Bid Price under the (AIC) Capacity Agreement: $50/MW-day

Payment to Seller = $50 x 25 ZRCs x 365 = $456,250

MISO 2019/2020 PRA Results:

LRZ 4 ACP = $30/MW-day

LRZ 3 ACP = $100/MW-day

Adjustment to Payment = ($100 – $30) x 25 ZRCs x 365 = $638,750

Adjusted Payment = $456,250 + $638,750 = $1,095,000

03-16-2018

FAQ-BEC-18
Q: I understand that there could be a payment adjustment under the (AIC) Capacity Agreement if the ZRCs are not from the compliance zone. Can you provide an example where the adjustment will result in a reduced payment to Seller?

Under the terms of the (AIC) Capacity Agreement, payments to Seller will be reduced if the Compliance Zone ACP is greater than the Source Zone ACP where the Compliance Zone is LRZ4. If the amount of the payment reduction is greater than the unadjusted payment, then Seller (not Buyer) will have to pay Buyer under the (AIC) Capacity Agreement.  We provide 2 examples below to illustrate this point.

For purposes of the below example, the “ACP” refers to the Auction Clearing Price from the 2019/2020 MISO Planning Resource Auction and the Compliance Zone is LRZ4.

Example 1:  Where the adjustment results in a reduced payment from Buyer to Seller.

No. of ZRCs won by Seller: 25 ZRCs from Zone 3

Average Winning Bid Price under the (AIC) Capacity Agreement: $90/MW-day

Payment to Seller = $90 x 25 ZRCs x 365 days = $821,250

MISO 2019/2020 PRA Results:

LRZ 4 ACP = $100/MW-day

LRZ 3 ACP = $30/MW-day

Adjustment to Payment = – ($100 – $30) x 25 ZRCs x 365 days = – $638,750

Adjusted Payment = $821,250 – $638,750 = $182,500

Example 2:  Where the adjustment results in payment from Seller to Buyer.

No. of ZRCs won by Seller: 25 ZRCs from Zone 3

Average Winning Bid Price under the (AIC) Capacity Agreement: $50/MW-day

Payment to Seller = $50 x 25 ZRCs x 365 days = $456,250

MISO 2019/2020 PRA Results:

LRZ 4 ACP = $100/MW-day

LRZ 3 ACP = $30/MW-day

Adjustment to Payment = – ($100 – $30) x 25 ZRCs x 365 days = – $638,750

Adjusted Payment = $456,250 – $638,750 = – $182,500 (i.e., payment from Seller to Buyer)

03-16-2018

FAQ-BEC-19
Q: We (the Bidder) are rated by a single ratings agency. Is a single rating sufficient to receive unsecured credit under the supplier contracts?

Yes. The entity on whose financial standing the Bidder relies need only be rated by one of S&P Global Ratings (“S&P”), Moody’s Investors Service (“Moody’s”), or Fitch Ratings (“Fitch”), provided that they meet the minimum rating requirements of the supplier contracts. The minimum ratings are “BBB-” from S&P, “Baa3” from Moody’s, and “BBB-” from Fitch. The maximum amount of unsecured credit that could be granted to a party would be based on the party’s credit rating and tangible net worth.

03-16-2018

FAQ-BEC-20
Q: Is it possible to get a review of the Pre-Bid Letter of Credit prior to issuance by the bank? We have included modifications that were acceptable in a previous procurement event and we want to make sure these remain acceptable.

There is no process for review of draft Pre-Bid Letters of Credit prior to issuance.  A Pre-Bid Letter of Credit submitted for a procurement event must be in the form of the Standard Pre-Bid Letter of Credit for a procurement event or incorporate only modifications approved by a Company and posted to the procurement website. Please check whether the modifications made by your bank are included in the list of modifications posted to the Final Materials page of the Spring Block Energy and Capacity section of the procurement website.

03-16-2018

FAQ-BEC-21
Q: When were instructions for submission of the Bid Participation Fee sent to bidders?

The instructions for submission of the Bid Participation Fee were provided to bidders along with login credentials on March 14, 2018. Please email the Procurement Administrator should you wish to receive the instructions to submit the Bid Participation Fee.

03-19-2018

FAQ-BEC-22
Q: Do we need to provide financial information for the Bidder in Section 3 of the Part 1 Form, Financial Requirements, if we are relying on the financial standing of a Guarantor?

No. Section 3 of the Part 1 Form, Financial Requirements, only requires that you provide financial information for the Entity on whose financial standing the Bidder relies. In your case, you would provide the financial information for the Guarantor.

03-19-2018

FAQ-BEC-23
Q: Is there a way we can list additional contacts in the Part 1 Form so that the Procurement Administrator can send correspondence to those individuals in addition to the Representative of the Bidder?

The Fourth Item of Section 1, Contact Information, of the online Part 1 Form allows the Bidder to provide the name, title, and contact information of up to three (3) individuals who are designated by the Officer of the Bidder or the Representative as Nominee(s) to receive communications from the Procurement Administrator by providing the Nominee Insert (#P1-2). The Nominee Insert must be completed and signed by the Officer of the Bidder or the Representative. Please note that the Representative of the Bidder should not be named a Nominee.

03-20-2018

FAQ-BEC-24
Q: Is there a guide for completing the online Part 1 Form?

The Illustrative Part 1 Form posted to the Final Materials page of the Spring Block Energy and Capacity section of the procurement website, while illustrative only, can be a useful guide for completing the online Part 1 Form.

03-20-2018

FAQ-BEC-25
Q: Are redline comparisons between the Fall 2017 and Spring 2018 supplier contracts available?

On February 20, 2018 the Procurement Administrator posted redlines between the draft supplier contracts for the Spring 2018 procurement events and the final supplier contracts from the Fall 2017 procurement events. These documents are available on the Draft Documents page of the Spring Block Energy and Capacity section of the procurement website. On March 13, 2018 the Procurement Administrator posted redlines between the draft supplier contracts and the final supplier contracts for the Spring 2018 procurement events for those documents for which minimal changes were made. These documents are available on the Final Materials page of the Spring Block Energy and Capacity section of the procurement website.

03-21-2018

FAQ-BEC-26
Q: How should we proceed if there are delays in the overnight delivery service that we use to send the check for the Bid Participation Fee to the IPA?

If you provide evidence of payment (i.e., a copy of the check) through Section 2 of the online Part 1 Form, you will have fulfilled the requirements of that section, but your Part 1 Proposal will remain deficient until the IPA has confirmed receipt of your Bid Participation Fee.  As further information, we would appreciate receiving the tracking number for the package and proof that the package was sent (and, to the extent that your Proposal is otherwise deficient when we receive this information, you will be provided additional time to cure all deficiencies of the Proposal).

Please assess whether it is possible that the overnight delivery service that you are using would fail to deliver the Bid Participation Fee to the IPA by the date at which the Procurement Administrator qualifies Bidders and sends the Part 1 Notifications (Tuesday, March 27).  A Bidder always has the option to use e-pay for the payment of the Bid Participation Fee (at which point, if your check is eventually received by the IPA, the check will be destroyed or returned to you).

03-22-2018

FAQ-BEC-27
Q: Can you provide an overview of the Products sought by the Block Energy and Capacity RFP?

The Block Energy and Capacity RFP is for the purchase of wholesale power by the utilities.

For the solicitation of energy blocks, all on-peak hours in a given month constitute the “On-Peak Segment” for that month and all off-peak hours of that month constitute the “Off-Peak Segment” for that month. A “Product” is a constant quantity of energy to be supplied to a Company (Ameren Illinois, ComEd, or MEC) at the delivery point specified by that Company in either the On-Peak Segment or the Off-Peak Segment of a specific month.

A successful Bidder that becomes a Seller to a Company provides a constant amount of energy to that Company corresponding to the sum of the number of blocks won of the Product for that Segment of that month, and the number of blocks won of any Combination that includes that Segment of that month, times 25 MW. For each Segment of each month, the price paid to the Seller is the average of the Seller’s own approved Bids for all blocks of that Product and for all blocks of a Combination that includes that Segment of that month.

For the solicitation of capacity for Ameren Illinois, the “Product” consists of annual Zonal Resource Credits (“ZRCs”), as such term is defined in MISO’s Business Practice Manuals and MISO’s Open Access Transmission, Energy and Operating Reserve Market Tariff for the 2019-2020 Planning Year. A successful Bidder that becomes a Seller delivers the contracted quantity of ZRCs by submitting the appropriate transactions in the Module E Capacity Tracking Tool. The amount paid to the Seller is the average of the Seller’s own approved Bids for all ZRCs in the Planning Year, in $/MW-Day, multiplied the number of ZRCs delivered, multiplied by the number of calendar days in the Planning Year. If any of the ZRCs that are delivered are not located in Local Resource Zone 4, which is the zone in which AIC capacity obligations reside, the payment to the Seller is adjusted as specified in the applicable supplier contract.

Please review the details of the applicable supplier contracts and the RFP Rules on the “Spring Block Energy and Capacity” tab of the procurement website.

03-22-2018

FAQ-BEC-28
Q: Can you please provide the W-9s for the Companies?

The Form W-9 for each Company is available upon request from the Procurement Administrator. Please send your request via email and please indicate the Company or Companies for which a W-9 is required.

03-22-2018

FAQ-BEC-29
Q: Where should the bank send the Pre-Bid Letters of Credit?

Please see Paragraphs V.2.3, V.3.3, V.4.3, and V.5.2 of the RFP Rules for delivery addresses for the Pre-Bid Letter of Credit for AIC Energy, ComEd, MEC, and AIC Capacity respectively.

03-23-2018

FAQ-BEC-30
Q: Are Bidders provided with a list of other Bidders with their Part 1 Notification or after successfully completing the Part 2 Proposal?

No. Bidders are not provided with a list of other Bidders at any point.

However, in accordance with the Act and ICC Orders, information listed in Paragraph VI.2.15 of the RFP Rules, as pasted below, will be made public at the time of the ICC approval of a procurement event:

  • For the procurement of Energy Products for a Company: (i) the names of successful Bidders; (ii) the load-weighted average of the winning Bids for each Segment of each month; (iii) the load-weighted average of the winning Bids for each Product and for each Combination; (iv) the number of megawatts awarded for each Segment of each month, provided that there are at least three (3) successful Bidders; and (v) the number of megawatts awarded for each Product and for each Combination, provided that there are at least three (3) successful Bidders.
  • For the procurement of the Capacity Product for AIC: (i) the names of successful Bidders; (ii) the average of the winning Bids; and (iii) the number of ZRCs awarded, provided that there are at least three (3) successful Bidders.
03-27-2018

FAQ-BEC-31
Q: When is the online Part 2 Form made available to Bidders for the Spring 2018 procurement events?

The online Part 2 Form is made available to Bidders on Wednesday, March 28, 2018 at the beginning of the business day.

03-27-2018

FAQ-BEC-32
Q: When will the final Targets become available?

Final Targets were provided to Bidders with their Part 1 Notifications on March 27, 2018. The final Targets will be posted to the Final Materials page of the Spring Block Energy Capacity page of the procurement website by the Part 2 Date.

03-28-2018

FAQ-BEC-33
Q: Can cash be posted as Pre-Bid Security instead of a Pre-Bid Letter of Credit?

No, cash cannot be used in place of a Pre-Bid Letter of Credit. With the Part 2 Proposal, a Bidder must submit an executed Pre-Bid Letter of Credit for the procurement event(s) in which the Bidder is participating.  Bidders must either use the Standard Pre-Bid Letter of Credit provided as an Appendix to the RFP Rules, or the Pre-Bid Letter of Credit must incorporate only those modifications to the Standard Pre-Bid Letter of Credit approved by a Company and posted to the procurement website.

03-28-2018

FAQ-BEC-34
Q: How do you calculate the maximum amount for the Pre-Bid Letter of Credit if the Bidder bids on all Products and all Combinations for a Company?

If a supplier bids on all Products and all Combinations for a Company in a block energy procurement event, the maximum number of blocks (with each block representing a given Segment and month) that a supplier could win is equal to the sum of the individual monthly targets.   These are maximums on the number of blocks that a supplier may win, whether the supplier wins these months/segments as a result of submitting Bids on individual Products or as a result of submitting Bids on Combinations.

03-28-2018

FAQ-BEC-35
Q: Are we able to provide comments on the Letters of Full Transfer included as Schedules 1, 2, and 3 of the Standard Post-Bid Letters of Credit for AIC during the Part 2 Window?

Bidders had the opportunity to provide comments on or propose modifications to the changes that were made to the Standard Post-Bid Letter of Credit for AIC Energy Products as well as the Standard Post-Bid Letter of Credit for the AIC Capacity Product relative to the previously used Standard Post-Bid Letters of Credit during the Part 1 Window. No changes were made to the Letters of Full Transfer (Schedules 1, 2, and 3) relative to the previously used Letters of Full Transfer. Thus there is no opportunity for proposing modifications to the Letters of Full Transfer for the Spring 2018 procurement event.

03-28-2018

FAQ-BEC-36
Q: We realized that there is an error in the Pre-Bid Letter of Credit that was sent by our bank to a Company. How do we go about making the correction?

Your bank can issue an amendment to the Pre-Bid Letter of Credit that corrects the error and send this amendment to the Company.

04-02-2018

FAQ-BEC-37
Q: We submitted all materials for our Part 2 Proposal except for the Pre-Bid Letters of Credit and this is our only outstanding deficiency. Why are we locked out of the online Part 2 Form? How can we provide the scans of our executed Pre-Bid Letters of Credit?

You are locked out of the online Part 2 Form because you have submitted all portions of the Part 2 Proposal that are reviewed by the Procurement Administrator. The Pre-Bid Letters of Credit are to be sent directly to the Companies in accordance with the instructions provided to you. A scanned copy of an executed Pre-Bid Letter of Credit is not a requirement of the Part 2 Proposal. If you wish to provide scans and you do not have an email address for one or more of the Companies, please request them from the Procurement Administrator via email.

04-02-2018

FAQ-BEC-38
Q: It is possible that the bank that is issuing our Pre-Bid Letter of Credit also provides services to other entities that could bid in the same procurement event. Could this impair our ability to make the certifications of the Part 2 Proposal?

A requirement of the Proposal is that Bidders bid independently and maintain the confidentiality of their Proposals.  The Officer of the Bidder must make a number of certifications in the Part 2 Proposal, including that: (i) the Bidder is bidding independently and that it has no knowledge of any Proposal submitted for the procurement event by another Bidder in response to the Block Energy and Capacity RFP (“BEC RFP”); and (ii) the Bidder has maintained and will continue to maintain the confidentiality of its Proposal during the preparation of the Proposal.  To ensure that the Officer of the Bidder can make these certifications, it is essential for your bank not to provide you with information related to another Bidder’s Proposal.   To that end, you should require that the representatives from your bank not provide any information to you regarding other entities in case such entities are also submitting Proposals in the procurement events under the BEC RFP. The Procurement Administrator can also contact a representative from the bank on your behalf.

04-02-2018

FAQ-BEC-39
Q: We were notified that our Pre-Bid Letter of Credit requires an amendment. Where should we send the amendment?

Any amendment required by a Company should be sent directly to that Company at the address used to send the original executed Pre-Bid Letter of Credit.

04-02-2018

FAQ-BEC-40
Q: We issued our Energy Pre-Bid Letters of Credit based on the Initial Targets and not the Final Targets. What are the maximum Pre-Bid Letter of Credit amounts needed to bid on all of a Company’s Energy Products?

A Pre-Bid Letter of Credit in an amount of at least $2,180,000 allows a Bidder to bid on all Blocks available for AIC’s Energy Products. A Pre-Bid Letter of Credit in an amount of at least $7,115,000 allows a Bidder to bid on all Blocks available for ComEd’s Energy Products. A Pre-Bid Letter of Credit in an amount of at least $165,000 allows a Bidder to bid on all Blocks available for MEC’s Energy Products.

04-03-2018

FAQ-BEC-41
Q: How do we amend the amount of our Pre-Bid Letter of Credit for a Company’s Energy Products?

You may change the amount of your Pre-Bid Letter of Credit for a Company’s Energy Products by issuing an amendment to reflect the desired amount. Any amendment changing the amount of the Pre-Bid Letter of Credit for a Company’s Energy Products should be sent directly to that Company at the address used to send the original executed Pre-Bid Letter of Credit.

04-03-2018

FAQ-BEC-42
Q: The Officer of the Bidder who made the representations and certifications required by the Part 1 Proposal is unavailable and cannot make the representations and certifications required by the Part 2 Proposal. How should we proceed?

All representations and certifications required by the Block Energy and Capacity RFP, including those in the Part 1 Proposal and the Part 2 Proposal, must be made by a single individual who is an Officer of the Bidder. An Officer of the Bidder is an individual empowered to undertake contracts and bind the Bidder.

Please name another individual with the appropriate qualifications to serve as Officer of the Bidder by updating the first item of Section 1, Contact Information. The new Officer of the Bidder will, in addition to making all certifications of the Part 2 Proposal, be required to make all certifications of the Part 1 Proposal and submit these with the Part 2 Proposal.

04-03-2018

FAQ-BEC-43
Q: Are the Targets included in the Bid Forms attached to Bidders’ Part 1 Notifications the Final Targets?

Yes. The Targets included in the Bid Forms attached to Bidders’ Part 1 Notifications are the Final Targets.

04-04-2018

FAQ-BEC-44
Q: What are the Supplier Fees for the Spring 2018 procurement events?

The Supplier Fees are the following:

$ 178 per on-peak block

$ 118 per off-peak block

$ 20 per ZRC

04-04-2018

FAQ-BEC-45
Q: When is the next scheduled AIC Capacity procurement event?

As specified in the IPA’s 2018 Procurement Plan, an AIC Capacity procurement event will be held in Fall 2018 to procure up to 50% of AIC’s capacity requirements for the 2019-2020 Delivery Year. A schedule of events is not yet available.

04-13-2018

FAQ-BEC-46
Q: We won blocks during the latest procurement event. How do we determine the amount of the Supplier Fee owed to the IPA?

An invoice will be provided to you directly by the IPA.

04-13-2018

Please contact the Company for any question that relates to the contract execution process.

04-24-2018

FAQ-BEC-48
Q: Why was only a portion of the ZRC Target filled in the Spring 2018 procurement event?

The evaluation of Bids for the procurement of the Capacity Product for AIC proceeds in two steps.  In the first step, all Bids that fail to meet the benchmarks are eliminated.  In the second step, the Procurement Administrator evaluates the Bids that meet or beat the benchmarks and selects the lowest priced Bids.  The outcome of this procedure was that only a portion of the ZRC Target was filled.

04-24-2018

FAQ-BEC-49
Q: Will the ZRC Target for the Fall 2018 AIC Capacity procurement event be increased given that not all ZRCs were procured in the Spring 2018 AIC Capacity procurement event?

As specified in the Commission Order, additional capacity will be procured in the Fall procurement event given that the Spring procurement event fails to procure 25% of AIC’s capacity requirement for the 2019-2020 planning year.

04-24-2018