NAME OF ESCO
ESCO company registration number – CK _________________
ESCO VENDOR NO. __________________________
Postal and street address (including postal codes)
Tel : (011) _______________
Fax : (011) _______________
E-mail: ___________________________
NAME OF CUSTOMER
Customer company registration number – CK _________________
Postal and street address (including postal codes)
Tel : (011) _______________
Fax : (011) _______________
E-mail: ___________________________
NAME OF PROJECT:
TYPE OF PROJECT:
_______________________
_______________________
PROPOSAL ACCEPTED:
____________________________________
CUSTOMER
PROPOSAL SUBMITTED:
_____________________________________
ESCO
DATE:
_____________________________________
IDM Project Proposal Example
Template Identifier: 240-55464756 Rev 1
Effective date: 2013-02-13
Page 1 of 13
1.
PROJECT SITE INFORMATION:
Table 1: Project site information and responsible person
Site
Name of Company
Site information
Type of Operation
Postal
and Contact Person
Physical address
Contact
phone,
details,
cell
and
email
Site 1
Site 2
Site 3
Site 4
Site 5
IDM Project Proposal Example
Template Identifier: 240-55464756 Rev 1
Effective date: 2013-02-13
Page 1 of 13
2.
PROJECT SUMMARY
Short overview of project
a. State what you will be doing: lighting – replacing (state clearly the reason for
refurbishment), retrofitting or relamping.
b. What the MW and MWh savings will be?
c. Are the savings (MW and MWh) monthly/yearly/seasonal/winter/summer?
d. Are Eskom evening peaks – 17:00-19:00 (winter) and/or 18:00-20:00 (summer)
clearly defined?
e. Estimated Implementation period of the project.
f.
What are the monetary savings to the client due to the intervention?
g. State lifespan of company / mine. If possible also include yield g/ton for mine.
(Give references).
h. Is it possible to compare the lifespan and yield to other companies/mines in the
same group?
i.
Has the client signed a letter of intent (included later in the proposal) and also has
the client seen and signed the project proposal document?
j.
Is the client aware of the DSM agreement, and payment details, if applicable?
Show project costs – capital and labour, project management remember to include
ALL costs [especially audit fee, project management, travelling etc. if these are not
included in the labour costs in the table format see table example below].
Table 2: Project Savings and Finance Summary
Total Capital Costs
R xxx
Total Labour Costs
R xxx
Project Management and Travelling Subsistence Costs
R xxx
Total Costs
R xxx
Total Project Savings
xxx MW
R’m/MW
xxx
k. Indicate the R’m/MW –“Rand million per MW” (this is the total project costs excl.
VAT divided total project savings).
3.
TABLE OF CONTENTS
IDM Project Proposal Example
Template Identifier: 240-55464756 Rev 1
Effective date: 2013-02-13
Page 1 of 13
List all sections and tables, with page numbers
4.
INTRODUCTION
4.1
Background on ESCO

Include expertise / track record of company and personnel

Experience in project management

Experience/track record with regard to the technology proposed

Qualifications of staff

Capacity to complete the work

BEE/BWO/SMME status

Has a consultancy agreement been signed between the ESCO and the customer
(letter of intent)?
4.2
Background on Client – for example
Gold Fields LTD is the head office for GFI Mining S.A. (PTY) LTD. Driefontein is a deep
level mine situated in Carltonville. An audit was conducted, which included all sections of the
mine. (It is often necessary to do Internet research on company background [give reference])
The customer should sign off the proposal (both on the front page and initial each page).
Give a brief description as to how the project originated.
Is the customer aware:

5.
That M&V will be monitoring the project and will need access to the site?
PROJECT BACKGROUND
Mention what will be covered by the project (if there are many areas within one site like the
different areas on a mine, list them here) e.g.
IDM Project Proposal Example
[NAME OF PROJECT]
Table 3: Individual Site Proposed Savings
Site
Existing (KW)
Proposed (KW)
Savings
Site 1
Site 2
Site 3
Site 4
Site 5
Total
5.1. Classification
This project can be classified as an Industrial Energy Efficiency (ICEE) project
5.2. Targeted areas
The following areas will be targeted

Laboratory & Workshops

General Areas

Main Office

Etc. etc
5.3. Summary of Proposed Intervention
The following shows the summary of the costs and savings proposed per area.
Table 4: Proposed savings according to area of installation
Area of
Installation
Total Capital
Costs (R)
Labour Costs
(R)
Total Costs
(R)
Savings
kW
R 19,320,000
R 3,380,000
R 23,780,000
5999.264
Laboratory &
Workshops
General Areas
Main Office
TOTAL :
For the diversity of 80% = 4799.20 kW = 4.799 MW
IDM Project Proposal Example
[NAME OF PROJECT]
NB: For the detailed breakdown see the Appendix A: Consolidated Data, this will show,
location, existing versus proposed, project savings and costs etc. The table in Appendix A
(example for lighting) should be filled and can be adapted technology other than lighting.
6.
PROJECT / PROCESS BACKGROUND (SCOPE OF WORK)
Describe what you will be doing, and explain about the different areas – what will be done,
how will it be done (time frames etc.), and the list of material and pricing.
7.
SAVINGS & CONSUMPTION
7.1
Are the savings quantified, time stamped and stated on the proposal in terms of MWh
and MW? (Daily, weekly, monthly, summer vs. winter, seasonal average, yearly
average)
7.2
Have you included the methodology for the establishment of the savings (energy and
demand) in the proposal?
7.3
Load and power factors?
7.4
What is the baseline based on (actuals or manufacturers specifications)?
7.5
Are the BEFORE and AFTER DSM intervention load profiles included in the
proposal?
7.6
Is data for at least two months (used to calculate the baseline) included in the
proposal?
7.7
Have any variables that may affect the baseline been included in the proposal?
7.8
From which meter was the data taken to calculate the baseline (type of meter,
location of meter)?
7.9
Is the project, after implementation of the DSM measures, energy neutral?
7.10
What is the electrical efficiency of the proposed equipment?
7.11
Have you stated the operational hours of the system clearly? Have you also included
the tariff structure?
7.12
Have the voltage, energy and demand levels been measured and taken into
consideration?
8.
LOAD PROFILES
8.2 Daily load profile (kW/MW) - Should include baseline (before) vs. proposed profiles in
a form of a graph.
IDM Project Proposal Example
[NAME OF PROJECT]
Figure 1: Simple Baseline vs. Proposed profiles
Baseline VS. Proposed
30,000
Baseline profile
25,000
Power kW
20,000
Savings
15,000
Proposed profile
10,000
5,000
0
1
2
3
4
5
6
7
8
9
10
11
12
13
Hour (We e kday)
NB: This should be accompanied by data
IDM Project Proposal Example
[NAME OF PROJECT]
14
15
16
17
18
19
20
21
22
23
24
Some possibilities exist:

If there is an existing DSM project(s) of the same technology on the site, the profile of
the original baseline should be included and there will be a total of three profiles
namely: The original baseline (before any DSM intervention), Actual (after the first
intervention this is also the baseline for the new intervention), and then the proposed
profile (Example below).
Figure 2: Proposed profile for the site with an existing DSM project on the same technology
Baseline VS Proposed Profiles
35,000
Savings: Old or Existing Project
Original Baseline profile
30,000
New Baseline profile
25,000
Power kW
20,000
Proposed Savings: New Project
15,000
Proposed profile
10,000
5,000
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
Hour (Weekday)

If there are several technologies to be implemented, each technology should have its
own profile (Existing vs. Proposed)
8.3
Plant, Building Operating and Shifts should be indicated clearly:
8.4
Tariff Structure:
State municipality and type of tariff
IDM Project Proposal Example
[NAME OF PROJECT]
Copy of client’s electricity bill (if available)
8.5
9
FINANCE
9.1 Overall project costs
Table 5: Overall Costs
Total Capital Costs
R 19,320,000
Total Labour Costs
R 3,380,000
Project Management
R 800,000
Pre-Audit
R 80,000
Travelling Subsistance
R 200,000
Subtotal
R 1,080,000
Total Costs excl. VAT
R 23,780,000
Total Costs incl. VAT
R 27,109,200
NB: Figures should tie up with the ones given in earlier sections of the document.
9.2 Monetary savings (as a result of energy savings)
Show amount that client will save due to the intervention, also show calculations
10 PROJECT RISKS
10.1
10.2
Risks

State any risks that you know of that may be detrimental to the project.

Is there a risk associated with the technology/DSM Programme to the client?

Is there any risk associated with the new technology in South Africa?

If a risk assessment has been done for the project, kindly show the results.
Mitigation

State how all of the above risks will be mitigated correspondingly
IDM Project Proposal Example
[NAME OF PROJECT]
11 ENVIRONMENTAL ISSUES

State how unwanted / old material will be disposed of during the implementation
stage.

Environmental impacts table to be inserted.
12 PROCUREMENT DETAILS
12.1
Indicate Finances (reference section 9)
12.2
Scope of work (Reference Section 6)
12.3
List of Equipment and Pricing (Reference Section 6)
12.4
Detailed Labour Cost Breakdown
Labour cost: (specify who will be working on project and at what rate)
NB: Must be consistent in rates used and should tie-up with the figures given earlier
in the document
Table 6: Example of detailed labour costs breakdown
Quantity
Hourly Rate
Hours
Total Costs
Per Category
Project manager
1
R450/hr
60
R27,000
Site Supervisor
1
R250/hr
30
R7,500
Electrician
10
R110/hr
100
R11,000
Semi skilled
1
R50/hr
200
R10,000
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Description - Labour
Total Costs
12.5
R800,000
Project Pre-Audit Fees (rates and times must tie up with those already given).
IDM Project Proposal Example
[NAME OF PROJECT]
12.6
Travelling subsistence Costs (again rates and times must tie up with those already
given).
12.7
Use of Subcontractors (BEE, SMME, etc.), state if, when & where you will be using
a subcontractor and give details of the company/person etc.
Also should state portion of “work” to be allocated to BEE Company – e.g. 30% if
applicable.
12.8
State current list of directors and share percentages
Give details:
12.9
Current financial statements and letter from auditor showing business capacity (if
necessary, state accountant’s name and contact details)
12.10
Does the equipment to be used need to be imported? If so form “SA 47 I.G Rev 24”
must be completed
12.11
Current TAX clearance certificate (original to be attached)
12.12
Current VAT Certificate – Include copy
IDM Project Proposal Example
[NAME OF PROJECT]
APPENDIX A: CONSOLIDATED DATA SHEET
Table 7: Example Lighting: Consolidated Project Data
IDM Project Proposal Example
[NAME OF PROJECT]
Existing Total consumption should be greater
than Proposed Total consumption
Template Identifier: 240-55464756 Rev 1
Effective date: 2013-02-13
Page 10 of 13
APPENDIX B: DOCUMENTATION
B1. Letter of Intent
Notes
This letter must be on client’s letterhead as no proposal will be evaluated without this
important document. If the client is a municipality – the council resolution for the project must
be attached.
Also
Please note that the proposal must be signed off by the customer on the front page of the
proposal and each page should also be signed off.
IDM Project Proposal Example
[NAME OF PROJECT]