IESCO Accepts Lowly Korean Bid for Execution of ADB-Funded Advanced Metering Project

The Islamabad Electric Supply Company (IESCO)has accepted the lowest bid by Korea-based KT Kaifa Consortium for the execution of the Asian Development Bank (ADB)-funded Advanced metering project in the Rawalpindi circle.

Sources told ProPakistani that the IESCO has spoken to M/s KT Kaifa consortium with regards to the Proof of Concept for the project no ADB-PDEIP II Tranche1 AMI project IESCO package 1 (design, supply, installation, commissioning of an AMI project in Rawalpindi circle) customers information system, and a new billing system for the IESCO.

Sources said that the IESCO has accepted KT Kaifa Consortium’s lowest evaluated substantially responsive bid for the above-mentioned project despite the fact that the bid was submitted on 7 March 2019. As per the BDS-ITB-47.1 clause of section-II, the successful bidder will execute the proof of concept in accordance with responsibilities detailed in paragraph 7.3 of section-VI of the bidding document.

The IESCO has asked the company to mobilize a team for the execution of the Proof of Concept at the earliest. The Proof of Concept will be implemented at the cost of the Contractor who will not claim any charges for the implementation of the Proof of Concept from the IESCO. Additionally, the function/features of the Proof of Concept will be ensured, section-VI of the bidding document during the execution of the Proof of Concept.

The Notice of Award of contract and the subsequent contract agreement of the project will be subject to satisfactory establishment and verification of the Proof of Concept. Furthermore, JV KT-KAIFA will be required to strictly follow the local regulations for protecting workers and communities from COVID-19 during the entire implementation period.

The department has asked the company to send the acceptance of this NoPOC, duly signed and stamped and with an authorized signatory of the bid and contract agreement along with a detailed timeline for implementation of the Proof of Concept within 10 days from the issuance of this NoPOC. It is pertinent to note that the ADB had committed to giving a $400 million loan for Advanced Metering Infrastructure (AMI) in the IESCO or the Lahore Electric Supply Company (LESCO) jurisdiction.

However, the Executive Committee of the National Economic Council (ECNEC) approved the summary of the Ministry of Energy to the extent of the IESCO with directives to start the project without any delay as a pilot project, and include other electric supplying companies.

The Ministry of Energy had stated that the project envisages enhancing load control and loading management up to the interface of the electricity distribution system operated by the distribution companies (DISCOs).

The AMI project is designed as a least-cost solution to reduce losses and efficiently balance supply in the specific areas of the IESCO, including load control and loading management up to the interface of the electricity distribution system operated by the DISCOs.