Request for Qualification (RfQ) in Asset Recycling

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On this page: Find typical steps to follow during Request for Qualification. Read more below, or visit the Guidelines for Implementing Asset Recycling Transactions section and Content Outline, or Download the Full Report.
The purpose of the RfQ is to: The period for the RfQ would vary from transaction to transaction. It should typically be no more than eight (8) weeks from launch of the process to the closing date for submission of responses. The RfQ process would typically follow the steps below: The Business Case should direct the drafting of the RfQ. The Relevant Authority should consider the following when drafting the RfQ: The RfQ should contain sufficient information to allow potential bidders to assess the transaction opportunity with regards to whether they have the requisite capacity and capabilities to bid, identify potential partners for the transaction and identify potential project risks and issues. The information requested from bidders should be such that it enables the Relevant Authority to assess their technical, financial and legal capabilities to undertake the project and shortlist bidders (usually three to six) most capable of meeting the requirements of the Relevant Authority. The RfQ should not require bidders to spend significant resources in preparing the response. The RfQ should seek to provide the following information to the bidders: The RfQ should seek the following information from bidders: Agreed evaluation criteria and methodology defined at the business case stage should be applied. These include settling the following: The key evaluation criteria that should be applied at the RfQ stage should include: Table 7: Key Evaluation Criteria for RfQ Stage The composition of the consortium is an important consideration. The RfQ will request for information of the experience and financial strength, and track-record of each of the respective members. The responses to the RfQ will define the roles of each participant and demonstrate how the relationships between the parties operate. If the proposed organisations have not worked together previously, the evaluation team will consider how members of the consortium will collaborate to deliver the necessary outcomes for the management and operations of the asset. The RfQ will call for bidders to outline their proposed approach to the management and operations of the asset over the life of the contract. The bidder should demonstrate an understanding of the key issues and an understanding of the Relevant Authority’s objective/s with respect to the asset. An asset recycling transaction would involve the payment of an upfront fee from the winning bidder to the Relevant Authority. In some cases, capital investment may also be needed for asset refurbishment or expansion. The Relevant Authority should seek to understand the financial position of the bidders and/or their ability and experience in raising any required external funding as required. Affirmation of the bidder’s ability to secure funding requires an examination of the financial position of the members of the consortium and consideration of financiers’ perception of the organisations and the transaction in general. Bidders should meet the following requirements in a preliminary assessment to determine a short-list to proceed to RfP: Release RfQ Receive and evaluate proposals Shortlist biddersDevelop RfQ documents
Information to be provided to the bidders
Information to be sought from the bidders
Evaluation criteria and methodology
Key Evaluation Criteria for RfQ Stage
Evaluation criteria
Description
Examples of documents required
Composition of consortium Organisation chart, Memoranda of Understandings (MOUs), Consortium Agreement, etc. Track record The bidder’s experience and track-record in delivering transactions and projects of a similar nature. This assessment criteria needs to consider the bidder’s track-record in delivering outputs to comparable standards under long-term contractual arrangements (for instances under a Public Private Partnership arrangement). Past credentials, Project completion certificates from clients, etc. in a prescribed format Approach and innovation Technical proposal Financial position and financing Audited financial statements, letters of parent’s and potential financier’s support etc. Conflict of interest A bidder should confirm the absence of any conflicts of interest. A statement of absence of any conflicts of interest in accordance with the template Climate Resilience, Environmental and Social Prequalification (PQ) Process
The Guidelines have not been prepared with any specific transaction in mind and are meant to serve only as general guidance. It is therefore critical that the Guidelines be reviewed and adapted for specific transactions To find more, visit the Guidelines to Implementing Asset Recycling Transactions Section Overview and Content Outline, or Download the Full Report.