IE Involvement After Shortlist Notification Including Contract Negotiations Sample Clauses

IE Involvement After Shortlist Notification Including Contract Negotiations. Shortly after selection of the initial short list, PG&E contacted bidders on the short list to initiate the contract negotiation process. The IE’s role in this phase of the process is to: • Monitor the negotiation process to ensure it is fair, equitable, unbiased and consistent • Make periodic presentations to the PRG on the negotiation process • Advise the CPUC in Advice Letter filings whether the proposed contracts warrant approval • Identify principles used to evaluate negotiations • Assess whether similar information/options were made available to other bidders As a means of monitoring the contract negotiations process, Merrimack Energy monitored initial discussions with bidders, reviewed email traffic between the Company and bidders, participated in many negotiation sessions, reviewed red-lined contracts and issues lists/summaries prepared by PG&E, and participated in regular meetings with the PG&E project team to continually review the status of negotiations. While the large majority of shortlisted bidders provided the offer deposit required to remain on the short list, several declined to post the offer deposit and were no longer considered for further negotiations. Any issues regarding bid deposits were vetted with the IE. In all cases, the bidders effectively withdrew themselves from short list consideration and no bids were eliminated at the discretion of PG&E. In light of a large number of shortlisted bidders, Merrimack Energy recommended that PG&E develop a negotiation strategy, develop an issues list with respect to negotiations with each of the counterparties, and develop a set of negotiation priorities. PG&E agreed to undertake these activities, although it took some time to implement these suggestions. One of the outcomes of these discussions was a decision by PG&E, which was endorsed by the IE, to establish a Primary and Secondary list of bidders for short list categorization based on the bidders cost, Net Market Value, and project status from a viability perspective.11 Initially, PG&E contacted bidders on the short list and met in person or by telephone to identify issues pertaining to the proposals and issues that had been raised in bidder exceptions to the standard power purchase agreement. The IE monitored and listened in on most of the initial negotiation sessions. Based on the offers received and the preliminary discussions following shortlisting, a primary and secondary group of offers were put together and presented to the Procurem...
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