Investment Planning and Tariff Study
FortisTCI was negotiating its regulatory framework with the Turks and Caicos Islands Government (TCIG) while the Government was also considering developing a multisector regulatory agency. FortisTCI hired K&M to assist them in writing a response to Kairi Consultants, a consulting firm hired by TCIG to assess the existing regulatory frameworks for public utilities. K&M prepared a Report on Reform of the Regulatory Framework Applicable to FortisTCI. This report described FortisTCI and its applicable regulatory framework, benchmarked regulatory frameworks in other Caribbean jurisdictions, and provided recommendations for the relevant framework for regulating FortisTCI.
A confidential Colombian equity fund which provides debt and/or equity financing to power projects engaged K&M to perform a technical, environmental, and social due diligence review of a gas-fired reciprocating engine power generation project composed by six (6) Wartsila 20V34SG generating units, three (3) Jenbacher JGC 320 GS-SL gensets as well as a dedicated gas supply line and 115kV electric transmission line. The technical due diligence review was for a transaction where the confidential client is interested to acquire and operate the asset. K&M’s scope of work included technical due diligence of the power generation assets, as well as environmental legal compliance, and compliance with IFC Performance Standards on Environmental and Social Sustainability.
The National Electric Power Company (NEPCO), a national electric utility responsible for operating Jordan’s transmission network planning system expansion including procurement of new generating facilities selected the Attarat Power Company, a private company incorporated in Jordan, whose shares are owned Malaysian, Chinese, and Estonia entities, to develop, design, finance, construct, test, commission, complete, own, insure, operate and maintain a 470 MW (net) oil shale fired power plant (together with the mine and water extraction facilities). The project consists of two 235 MW (net) unit. The project will sell its capacity and energy to NEPCO under a long-term Power Purchase Agreement (PPA). K&M was selected to serve as an Independent Engineer on the project serving both NEPCO and APCO and getting paid by both parties on a 50/50 basis.
A confidential US client which provides debt and/or equity financing to power projects engaged K&M to perform a commercial due diligence review to support a loan transaction for the Inkia generation portfolio.
A confidential US client which provides debt and/or equity financing to power projects engaged K&M to perform a technical due diligence review. The technical due diligence review was for a transaction where the confidential client is providing debt financing to a holding company which has power assets in Peru and Guatemala.
For the assets in Peru, K&M performed a due diligence review of seven power plants including one gas turbine combined cycle power plant with capacity of 871 MW, three gas turbine simple cycle power plants with combined capacity of 1093 MW, and three hydropower plants with combined capacity of 933 MW. K&M reviewed operating and maintenance records, upgrade and expansion plans, inputs to the financial model, and identified major technical risks.
For the distribution company in Guatemala, K&M reviewed available information on conditions of the assets, historic operation data and key performance indicators including losses, collection rates, and service interruption statistics. K&M also identified major technical risks that could impact the company’s performance and financial projections.
K&M was contracted by the World Bank to review and prepare an outline for privately funded power generation projects in Pakistan. K&M evaluated the following projects: 1) 4×323 MW, oil-fired station, 2) 3×340 coal-fired station, 3) lignite-fired multi-unit station with fluidized bed combustion, and 4) hydroelectric station. K&M also assisted the World Bank in the preparation of cost estimates for these projects.
For the United States Agency for International Development (USAID) and International Development and Energy Associates (IDEA), K&M provided a performance evaluation of the $20.5 million Conventional Energy Technical Assistance (CETA) project. The project’s primary purpose was to provide developing countries with technical assistance in exploring and evaluating their indigenous conventional energy resources and facilitating their access to technology, services, and capital investment.
K&M was contracted by the International Finance Corporation (IFC), on behalf of the Sultanate of Oman’s Ministry of Electricity and Water, to review the detailed technical and economic feasibility study for a 3×30 MW central power station to be located near Bilah Manah. K&M reviewed the feasibility study and made recommendations on how to improve it. K&M also examined the energy demand for the region and recommended the best methods for meeting that demand.
K&M served as technical consultant to the US Trade Development Agency (USTDA) to evaluate the potential for implementation of automated process control systems in several key industrial sectors in Malaysia. For the Advanced Thermal Energy Improvement Program, K&M performed the following tasks: 1) reviewed the Government of Malaysia’s goal for infrastructure investment activity, 2) estimated annual budget allocation projected for thermal expansion, 3) conducted a financial analysis for the potential for U.S. exports of goods and services, 4) assessed export potential for U.S. goods and services, 5) assessed the competitive position of the U.S. in terms of being able to provide goods and services to the project, and 6) prepared the final report.
K&M served as technical consultant to the Egyptian Ministry of Supply under a multi services contract on behalf of the Egyptian Electricity Authority and US Agency for International Development (USAID). K&M completed a design review, provided construction management and start-up services for a 3 x 3 MW diesel generating station located in southern Egypt on the Red Sea.