Invitation to Long-Term Competitive Bid SLP-1/2017

USAID, under its technical assistance to Mexico, is providing this unofficial English translation of the auction’s bidding announcement as a general reference.

This is an unofficial English translation of the original public document produced by Mexico’s National Energy Control Center (CENACE). Official documents and associated addenda are available on CENACE’s website.

National Center of Energy Control
Invitation to Long-Term Competitive Bid SLP-1/2017

The National Center of Energy Control (CENACE) is inviting all interested parties to participate in the First Long-Term Competitive Bid for 2017, the purpose of which will be to award Electricity Coverage Contracts for the Purchase of Power, Accumulative Electric Energy and Clean Energy Certificates (BID).

The purpose of the BID shall be to:

1. Allow Utilities Suppliers, in terms of Article 53 of the Electric Industry Law and other Load- Servicing Entities, pursuant to Term 14 of the Electricity Market Terms and the Long-Term Competitive Bidding Manual, to execute Electricity Coverage Contracts competitively in order to satisfy the Power, Accumulative Electric Energy and Clean Energy Certificate needs that require coverage through long-term contracts in accordance with current laws and based on the requirements set forth in RESOLUTION NO. RES/584/2016 from the energy regulating commission that amended resolution res/008/2016; thus, issuing the general administrative provisions establishing the requirements and minimum amounts of electricity coverage contracts that suppliers must execute related to electric energy, power and clean-energy certificates they will supply to load centers they represent and their verification, published in the Federal Daily Gazette on July 25, 2016; and to
2. Allow interested parties to generate and sell these products, compete under transparent conditions to be awarded these Electricity Coverage Contracts, and have a stable source of payment that contributes to support financing efficient investments required to develop and re-power power plants from where they products may be generated.

The BID shall take place in accordance with the provisions of the Electric Industry Law, the Electricity Market Terms, the Long-Term Competitive Bidding Manual and the Bidding Terms issued by the CENACE (BIDDING TERMS), which shall be published on April 28, 2017 on the CENACE Website http://www.gob.mx/cenace and the Secretary of Energy website http://www.gob.mx/sener.

The BIDDING TERMS may be viewed on the foregoing websites without the need to make any payment whatsoever. However, in order to participate in the BID, an indispensable requirement shall be the payment associated with obtaining the BIDDING TERMS, which comes with the right to participate in clarification meetings and other subsequent events. Furthermore, participation in the BID shall require interested parties to request registration as Potential Buyers or Prequalification of one or more Offers to Sell, as the case may be.

The cost of acquiring the BIDDING TERMS shall be the equivalent to 5,000 IUS in national currency plus VAT, using the value of the IU determined by the Bank of Mexico in the Federal Daily Gazette on the business day the BIDDING TERMS are issued. The BIDDING TERMS shall establish how said payment is to be made and how to verify payment.

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USAID’s Scaling Up Renewable Energy (SURE) program helps partner countries meet bold climate commitments by accelerating their transition to more affordable, reliable, and accessible energy that spurs growth, powers health systems, and reduces emissions. Through SURE, USAID provides a variety of services to help policymakers, utilities, and regulators plan, procure, and integrate renewable energy, modernize energy sectors, and create policies that enable sustainable energy markets to flourish. As more countries aim to achieve net-zero emissions by 2050 and reduce hazardous waste, SURE’s Innovation Fund supports clean energy technology, energy efficiency innovation, and a circular economy for renewable energy equipment.

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