A. General Information Applicant Institution: Ministry of Energy and Energy Affairs Principal Contact: Mr. Randy Maurice Address: Tower C, International Waterfront Centre, #1 Wrightson Road, Port-of-Spain Telephone: (868) 623-6708 ext. 2793 Email: rmaurice@energy.gov.tt Internet homepage: rmaurice@energy.gov.tt B. Project Concept Project Title: Toolkit for Development of Power Purchase Agreements (PPAs) for Renewable Energy Grid Integration Country of Implementation: Trinidad and Tobago (T&T) Goals and Deliverables: Goal: Trinidad and Tobago is seeking to effectively develop its renewable energy (RE) resources; however, one of the main barriers is the lack of a supporting legal and regulatory framework for RE power generation. Currently, a standard contract for renewable electricity generators does not exist and in this regard, assistance is being sought for the design of a toolkit for the development of renewable energy power purchase agreements and contracts. Objectives Trinidad and Tobago has already developed a Renewable Energy Policy Framework, which is being incorporated into the Draft Energy Policy Green Paper. In the Framework, wind energy has been identified as one of the available RE Resources for power generation in Trinidad and Tobago. The Government is expected to embark on a Wind Resource Assessment Programme (WRAP) to quantify the wind resource potential for T&T and identify possible locations for the installation of wind farms. Following the WRAP, the development of PPAs for wind generated electricity will be a fundamental step not only for the planning and effective implementation of a successful wind project but also for other prospective RE projects. In addition to developing a standard PPA for large generators, it is also desirable to develop a standardized contract (or simplified PPA model) for small installations. As T&T works to develop its renewable energy resources, having standard renewable energy power purchase agreements and contracts available will help ensure effective contracts are created. The assistance of the OAS in this regard will be of great value. ACTIVITIES The Government of Trinidad and Tobago has identified three specific Goals as outlines below: Goal A: Provide capacity building for local stakeholders in developing a supportive legislative framework for RE in T&T Goal B: To develop a model PPA and deliver an associated PPA training Goal C: To provide training for the development of a monitoring and evaluation plan Goal A includes review Trinidad and Tobago energy sector national Acts, regulations, decisions, orders, including the Trinidad and Tobago Electricity Commission Act and the Regulated Industries Commission Act, as well as other key documents including the Renewable Energy Policy Framework incorporated in the Draft Energy Policy Green Paper; compare them to best practices and options; review of legal system of Trinidad and Tobago in terms at what level of government can act with statutes or regulations to make legal changes for interconnection, renewable power and IPPs supply/sale of power. This goal includes a training workshop on drafting legislation and regulations, with focus on drafting terms for actual effective legislation, whether and how to use statutes, regulations, orders or protocols. Goal B includes developing a framework or toolkit for power purchase agreements (PPAs) that ensure effective contracts are created for renewable energy generators seeking long term and secures investments. An associated training on the use of the PPA will assist in the construction of suitable contract options under the Feed-in Tariff scheme that the country is exploring, for both large and small renewable energy generators. The model PPAs will include technology specific suggestions as Annexes for wind, solar PV, waste-to-energy, and bioenergy. This goal includes training with members of the Feed-in Tariff Policy Committee and other key stakeholders on the application of the model PPAs. The purpose of this training will be to review the key ingredients to a successful PPA and contract negotiations, including interconnection agreements, shifting PPA risks, project tariffs, and PPA alternative dispute resolution mechanisms. Based on feedback from workshop, final standard model agreements/contracts for small RE Generators and model PPA for large RE Generators will be developed. Goal C in order to ensure that renewable energy growth and development is sustainable over time, the PPAs will undergo occasional monitoring and evaluation. This training will assist in the following activities: Assessing the effectiveness of PPAs; Ensuring compliance with the terms and conditions of the PPA over the contract period; and Revising and making the necessary amendments to PPAs, taking into account changing market conditions. C. Development Impact Overall Expected Result: The development of PPAs will be a major impetus for the growth of the renewable energy industry in Trinidad and Tobago. Investors and project developers both foreign and local will benefit from established PPAs. Overcoming the legislative barrier and designing appropriate PPAs will be a catalyst for future renewable energy projects particularly spearheaded by the Ministry of Energy and Energy Affairs seeking to lead by example. Additionally, the economy, society and the environment will all benefit from this crucial advancement. The increase in renewable energy investment will contribute to the country’s sustainable development by reducing its carbon emissions and addressing the issue of climate change. Project Sustainability: By creating an enabling environment, the project will achieve the goals set out in the Framework for Renewable Energy by supporting the regulatory and legislative environment. Increasing access to the grid will increase investment and the uptake of renewable energy technologies. It will assist T&T in achieving its target of 5% of present peak demand (or 60MW) by 2020. Utilizing renewable energy will diversify the country’s energy mix and increase energy security as currently almost 100% of its electricity is supplied by non-renewable natural gas resources. While the remit of power generation lies within the Ministry of Energy and Energy Affairs, it is expected that the Ministry of Public Utilities, the Trinidad and Tobago Electricity Commission and the Regulated Industries Commission will play major roles in the amendments of their respective legislation, negotiations of PPAs and the development of electricity tariffs. D. Partners Partner Name: Trinidad and Tobago Electricity Commission Principal Contact: Kelvin Ramsook Email: cbrown@ttec.co.tt Telephone: (868) 623-2611 Internet home page: https://ttec.co.tt/ Partner Name: Ministry of Public Utilities Principal Contact: Jacinta Bailey-Sobers Email: jbailey-sobers@mpu.gov.tt Telephone: (868) 628-9202 Internet home page: http://www.mpu.gov.tt/home/ Partner Name: Regulated Industries Commission Principal Contact: Glenn Khan Ag Email: maraji@ric.org.tt Telephone: (868) 625-5384 Internet home page: http://www.ric.org.tt/