Bid assurance collateral is the collateral required before the Bidder may submit Bid(s) in the procurement event. Bid assurance in the amount of $4/REC (and $8/REC for forecast quantities) is due by all qualifying Bidders with the Part 2 Proposal on the Part 2 Date. This collateral is returned to losing Bidders, and is to be replaced by performance assurance for winning Bidders after the procurement event.

Performance assurance collateral is the collateral required under the SPV Contract, which will be refunded with the Seller’s first REC payment after the System has been Energized, registered with PJM-EIS GATS or M-RETS and has Delivered REC(s) to the IPA. Under the SPV Contract, performance assurance is required from Bidders who win Bids in the RFP. Performance assurance is in the amount of $8/REC for identified systems ($16/REC for forecast quantities).

For winning Bidders who provide the bid assurance collateral in the form of cash, the bid assurance collateral automatically becomes part of the required performance assurance collateral, and thus the incremental new collateral required is the performance assurance collateral requirement net of already-submitted bid assurance collateral amount. This amount is due to be submitted within fourteen (14) calendar days of ICC approval of results of the procurement event.

Performance Assurance Collateral is returned to Bidders along with payment for the first delivery of RECs, and invoices for the first REC delivery should include the performance assurance collateral required to be returned.

Please note that any requests for return of cash must be in the form of an invoice to the Illinois Power Agency and, as such, processing of requests for return of cash will be delayed until a Fiscal Year 2016 State of Illinois budget is officially adopted, or an appropriation for the Illinois Power Agency is otherwise approved into law.

This FAQ has been updated since it was originally posted on 05-21-2015.