Background

 

Background

  • PNG has experience in PV with solar home systems (SHSs), but not with PV mini-grids. There has not yet been a single demonstration in PNG of a solar PV mini-grid.
  • PV mini-grids tend to be substantially larger than SHSs, with solar panels usually mounted on the ground. They serve multiple buildings or other loads via a mini-grid and may have a battery system to provide stored power when the sun is not shining. With substantially larger capacity than SHSs, PV mini-grids can promote the use of renewable energy to generate more income for local people via “productive applications.”
  • Milne Bay Province, PNG, is not connected to the main power grid and thus depends on diesel generators for its power. It is power short.
  • In Milne Bay Province, PNG Power Limited (PNG Power) is responsible for power provision in Alotau, the provincial center, and Samarai, an island which it serves due to historical reasons. Power provision in all other places in the province (including other district centers) are the responsibility of the provincial administration and the respective district administrations.
  • To date, some districts have already used diesel generator sets, but the increased costs of fuel, maintenance, and logistics, in conjunction with budgetary constraints, limit regular provision of power. At the same time, some other areas (or district centers) are in the process of acquiring new diesel generator sets without much consideration of the problem of ongoing operational expenses, as the sets can be conveniently purchased, installed and operated.
  • Due to lack of know-how and experience, there is little renewable-energy-based power generation in Milne Bay Province. Yet, if FREAGER could show that PV mini-grids are much lower cost over time than diesel systems and can be conveniently built and operated with reliable uninterrupted supply, it is believed the districts would be interested in adopting PV mini-grids.
  • Samarai Island of Milne Bay Province is the intended location for the first PV mini-grid demo in PNG. While Samarai had a prominent past, it has declined over the decades, first losing its position as provincial capital and then losing its position as district center. It now has a population of just 300 persons. Yet, there are plans to revive the island, both as a historic tourist center and potentially as a commercial center and district center.
  • PNG Power has two Cummins diesel generators of 80 kW capacity each and a well-established local power grid on Samarai. It operates one generator at a time. The average load is 31 kW and the maximum load is 38 kW. Diesel use is 205 liters per day; and power delivery is 560 to 580 kWh per day.
  • Total costs to PNG Power of the Samarai diesel power operations are 38,451 Kina (USD12,132) per month including diesel and staff. Of this, diesel costs (including dinghy transport to the island) are 25,432 Kina (USD8,024) per month. Revenues are 19,600 Kina (USD6,185) per year. Thus, Samarai is a “loss center” for PNG Power, generating losses of 226,536 Kina (USD71,471) per year.
  • The proposed Samarai PV Mini-Grid will have a PV capacity of 50.1 kW and lithium battery bank storage of 150 kWh. This assumes a lifetime of 20 years and that the battery bank is replaced after about ten years. (The batteries have a lifetime of 4,000 cycles.). If power demand rises over time with the development of Samarai, the PV mini-grid system could be expanded. Existing diesel generators will be maintained for backup.
  • The goal of the Samarai PV mini-grid will be to demonstrate: (1) the potentially much lower cost of PV mini-grids over their lifetime as compared to diesel systems; (2) how to achieve a lower  price and high reliable power  in setting up such mini-grids in PNG; (3) how to operate and maintain a PV mini-grid; and (4) how to make productive use of the power to generate more income for local people. In addition, the goal of the demonstration, based on the learnings and capacity building carried out, will be to (5) stimulate its replication in other districts in Milne Bay Province and the country.
  • Based on annual diesel expenditures at present and cost of the PV mini-grid system, the PV system will recover its investment in fuel savings in just over three (3) years. After that, it will generate annual operational   savings of about K575,000.
  • Currently, the Samarai diesel mini-grid is emitting about 200 tons of CO2 annually. Over its lifetime, the Samarai PV mini-grid will generate about 4,010 tons CO2 in direct emission reductions. Assuming the mini-grid is replicated with similar scale in four other districts of Milne Bay Province, the associated indirect emission reduction over these four systems’ 20-year lifetimes will total about 16,040 tons CO2.
  • Capacity building for Milne Bay Province on the development, design, installation, and operation of PV mini-grid systems. This will include workshops in Alotau and a PV mini-grid how-to guidebook.
  • Capacity building for Samarai District on the topic of developing economic activity on Samarai Island that can make more use of the PV mini-grid power available.
  • Capacity building for people on Samarai Island to develop productive uses of PV mini-grid power that increase their incomes. Areas may include: (i) tourism, (ii) cold storage of fish from nearby islands aggregated on Samarai, (iii) pearl cultivation on nearby islands with processing aggregated on Samarai, and (iv) redevelopment of Samarai as a shopping hub for people from nearby islands.
  • Production of a promotional documentary on the history and current potential opportunities of Samarai Island.
  • Milne Bay Provincial Government and district governments: Discussions are underway about potential co-financing support (in-kind or cash) to the Samarai Demo or its replication by the Milne Bay Provincial Government or some of its various district governments. For now, the provincial government has pledged general support in facilitating the success of the Samarai Demo and its replication.
  • The project targets that four districts in Milne Bay Province will begin planning and work for replication of the Samarai demo during the four-year lifetime of the FREAGER project. FREAGER and PNG Power  can support the province and districts in building the capacity to achieve replication of the demo PV mini-grid systems (at a reasonable price and with good quality). They can also support the districts in implementing effective billing to generate funds for payback of the investment in the system and for maintenance of the system.

Duties and Responsibilities

Duties and Responsibilities

  • Check and review designs by the EPC contractor on the basic items such as the Solar panels, batteries, Regulators, Inverters, cables, remote control and all associated systems to allow smooth and harmonious operations between the PV System and the diesel system.
  • Provide needed training to bridge gaps associated with the designing of a solar power system
  • Provide technical guide on procurement specifications including the Bill of Quantities (BOQ) for the Samarai system and recommend equipment that meet Australian/New Zealand Standards.
  • Supervise the procurement and construction of the PV system
  • Supervise testing and commissioning of the Samarai PV System
  • Ensure transfer of PV documentation to PNG Power  including Operation and Maintenance manuals

 

Competencies

Competence

 

  • Demonstrates integrity by modelling the UN values and ethical standards;
  • Displays cultural, gender, religion, race, nationality and age sensitivity and adaptability; and
  • Treats all people fairly without fear or favour.
  • Excellent speaking and writing skills in English are necessary;
  • High level planning, organizational and time management skills, including flexibility, attention to detail and the ability to work under pressure to meet challenging deadlines;
  • Excellent interpersonal skills, including ability to establish strong cooperative relationships with senior government officials, civil society and donors; 
  • Ability to quickly adapt to change, and to remain calm under pressure; and
  • Proven cross-cultural communication and the ability to function effectiveness in an international, multi-cultural environment.

Required Skills and Experience

Required Skills and Experience

  • Fluency in English and Tok Pisin with excellent verbal and written skills.

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Submission Instructions

Incomplete proposals and failure to comply with proposal submission instruction will not be considered or will result in disqualification of proposal.

Completed proposals should be submitted via email procurement.png@undp.org , no later than 1st August, 2019.

For any clarification regarding this assignment please write to Ripana James on procurement.png@undp.org.

Please be guided by the instructions provided in this document above while preparing your submission.

UNDP looks forward to receiving your Proposal and thank you in advance for your interest in UNDP procurement opportunities.