P3 Authority opens call for RFQs to manage P.R.’s electric power system transformation
Puerto Rico Public-Private Partnerships Authority in collaboration with the Puerto Rico Electric Power Authority opened the call for Requests for Qualifications from companies and consortia interested in long-term management and operation of the island’s electric power transmission and distribution system, including the administration of federal disaster recovery funding.
The P3 Authority and PREPA wish to enter into a public-private partnership with a private sector partner to deliver low-cost electricity to island customers, increase T&D system resiliency, achieving performance in line with mainland U.S. utility median performance; increase T&D system reliability; deploy new technologies; and exercise industry best-practices and operational excellence, according to the RFQ.
P3 Authority Executive Director Omar Marrero said “the Rosselló Administration remains committed to providing greater stability, reliability, and efficiency to the energy system of our island.”
On January 22, 2018, Gov, Ricardo Rosselló announced the government’s intent to transform and modernize the electric system through private ownership, management or operation of PREPA’s assets.
On June 20, 2018, he signed Act 120 into law, which provides the legal framework through which the P3 Authority will determine the PREPA services and facilities that will be subject to P3s and the PREPA generation assets that may be sold, transferred or assigned to P3s.
Qualifications of the potential bidders must be submitted by Dec. 5 at 5 p. m. The results of the RFQ process will be announced during the second week of January 2019, the agency confirmed.
RFQ respondents must prove that they have: “experience operating a large electric utility; financial strength and capital resources, with significant access to the capital markets; and strong technical expertise, with a track record of high-quality operations,” according to the 38-page document.
Citigroup Global Markets Inc., one of the main advisors in the transformation process of PREPA, is part of this RFQ process.