1011009 - Aspen CCGT Power Station Project

To meet its future electrical supply needs, SaskPower anticipates the need for the development of a nominal 370 MW CCGT Facility located 17 km west of Lanigan, Saskatchewan to add to SaskPower’s current supply fleet by target date of July 1, 2027.  SaskPower wishes to ensure the CCGT Facility will be engineered, procured, constructed and commissioned in a manner that will achieve best overall value to SaskPower and for the province of Saskatchewan.

The purpose of this RFP is to solicit Proposals from qualified contractors (“Proponents”) and to enable SaskPower to select one Proponent (the “Preferred Proponent”) to enter into, with SaskPower, the Engineering Services Agreement (“ESA”) in the form set out in Appendix C, Exhibit 1 to this RFP.  Under the ESA the Preferred Proponent who enters into the ESA will provide paid engineering services to SaskPower by, among other matters, preparing a full commercial ‘turnkey’ proposal for the engineering, procurement and construction of the CCGT Facility under an Engineering, Procurement and Construction Agreement (“EPCA”). 

SaskPower will utilize an Early Contractor Involvement (“ECI”) contracting model on this procurement.  ECI is an integrated contracting method that involves the owner and the contractor working as a team in the early stage design and construction of the project.  SaskPower wishes to utilise this contracting model in order to fast track the design development, procurement and construction of the project as well as to address  supply chain and labour market risks.  ECI principles include, without limitation:

• engaging the parties early in the design to collaborate and value engineer the overall project, which the selected Proponent might also execute (i.e. construction, commissioning, etc.);
• the Preferred Proponent who enters into the ESA will provide transparency to be provided by the Preferred Proponent in respect of cost inputs, expenses, borrowing costs, and related transactions with third parties;
• “risk and rewards” sharing where agreed to while all parties pursue a predetermined project budget target;
• open, frequent and transparent communications and reporting throughout all phases of project execution; and 
• the delivery of fair market value, with evidence, for all costs and profits throughout the project’s delivery.