USAID Vietnam Urban Energy Security
Scope of Work
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Activity: Support formulation of finance mechanism to enforce the energy efficiency action plan in Da Nang
Position: Policy and Legal framework expert, Financial policy expert
Level of Effort: TBD
Period of Performance: July 1, 2021 – December 31, 2021
Base of Operations: Da Nang or Vietnam
Project Background
As Vietnam experiences steep increases in energy demand and rising air pollution challenges, there is growing recognition that cleaner, more reliable sources of energy are needed and greater capital investment is necessary. USAID Vietnam Urban Energy Security project (the Project) works closely with target cities (Danang and Ho Chi Minh City - HCMC) to improve enabling frameworks, mobilize investment, and increase the adoption of innovative solutions for advanced, distributed energy.
The overall goal of the project is “advanced, distributed energy solutions deployed to improve urban energy resilience and energy security” in Vietnam. At its completion, the Vietnam Urban Energy Security must achieve the following high-level expected results:
- At least 400 megawatts (MW) of advanced, distributed energy systems deployed in the selected cities.
- At least $600 million in public and private investment mobilized for advanced, distributed urban energy systems.
- At least 20 innovative solutions to address urban energy and environment issues demonstrated and/or commercialized.
In recent years, electricity demand in Vietnam has been increasing at an annual rate of around 10% while electricity demand in the industrial sector has been growing at 11%, and the commercial sector at 12%[1] [2]. With 54% of overall electricity consumption by the industrial sector and 6% by the commercial sector, the commercial and industrial sectors (C&I) represent the largest energy consumer in Vietnam.
To promote implementation of the energy efficiency and conservation (EE&C) law, in 2019 the Government of Vietnam (GVN) approved the Vietnam National Energy Efficiency Plan 2019 – 2030 (VNEEP3). VNEEP3 proposes a range of ambitions, including a reduction in consumption by intensive energy consuming sectors; the establishment and piloting of an Energy Efficiency Fund; a demonstration of financing mobilization, the certification of Energy Efficient solutions; operationalizing the energy service company (ESCO) model; promoting the adoption of energy efficiency solutions in industrial sectors; increasing awareness of energy issues and capacity building. VNEEP3 also requests the city must allocate financial resources to implement and enforce the program, study and issue mechanism and intensive policy, as well as mobilize appropriate financial sources, etc. to implement the planned activities.
In response to VNEEP3, on December 16, 2020, Da Nang issued the Energy Efficiency Action Plans in period 2020 – 2030 (EEAP) with defined activities and energy efficiency targets. The EEAP covers almost socio-economic sectors in Da Nang. However, the existing state budget guidelines for EE activities, such as 142/2007/TTLT/BTC-BCT, 45/2014/TTLT-BCT-BTC-BKH?T, are expired thus activities under EEAPs, especially at local government side, have not been implemented effectively yet.
In May 2021, the Department of Industrial and Trade (DOIT) of Da Nang requested the Project to provide an ad-hoc support to help DOIT for developing a financial mechanism and intensive policy to promote and enforce successfully the EEAP in the city.
Objective
In order to implementing achievably the EEAP in Da Nang, the Project seeks to study on financial mechanism and intensive policy to help DOIT and the city formulate a financial mechanism and intensive policy to promote and enforce successfully the EEAP in the city.
The study is expected to provide a clear figure, gaps analysis and policy mapping of current legal framework and financial regulations, and policy impact assessment at both city and national levels to implement energy efficiency and renewable energy activities under both local government and enterprise sides. It is also expected to provide enough information and insight into the national and city context to be able to make decision about whether and how to achieve EEAP targets until 2030.
Through the study and its events, the Project expects to share lessons and experiences on implementing clean energy activities, and updates and clarifications regarding existing and forthcoming legal frameworks and regulations for project developers, policy makers.
The ultimate objective of the study is to provide policy makers in Da Nang with a comprehensive assessment of the legal-financial frameworks, recommendations of financial mechanism(s) and intensive policy(ies) as well as a draft of a city public cost provisions resolution to implement effectively activities and provide its intensive supports as nominated in the EEAP in period 2022 - 2030.
Responsibilities
The Project is seeking a combination of national individual consultants (hereafter referred to as the “Consultant”) to provide technical services on financial mechanisms, policies, and energy efficiency enforcements for implementation of EEAP in Da Nang city.
The Consultant will be required to conduct the following activities:
- A review and assessment of the context of legal frameworks, financial policies/regulations mapping and gaps analysis at both national and city level for implementing EE activities at city level.
- Provide policy impact assessment report.
- Study and propose norms and annual budgets for Danang People Committee (PPC) to implement adopted Da Nang EEAP 2022-2030.
- Provide content for a draft resolution to be issued by PPC and DOIT on the norm and budget to implement Danang EEAP in period 2022 – 2030.
- Support DOIT during consultation with PPC and relevant departments in Danang.
The Consultant is expected to conduct the activities through on in-depth desk research, working closely with Da Nang DOIT to engage and interview key stakeholders, such as DOF, DPI, DONRE, DOT, and relevant stakeholders for gathering data, documents, reports, and understand common practices in the subject matter.
The Consultant is also required to participate and present the findings in policy dialogues, and consultation workshops co-organized by the Project and DOITs.
Scope of Work
This study will be undertaken by the Consultant consisting of (i) a Policy and Legal framework expert/team leader, and (ii) a Financial policy expert.
The major tasks under this study to be undertaken by the Consultant include, but may not be limited to, the following Scope of Work:
- Policy impact assessment report and recommendations on financial mechanism and intensive policy for EEAP enforcement:
- Work closely with DOIT and relevant stakeholders to collect data and necessary secondary data to perform this study.
- Review and evaluate the context of legal frameworks, financial policies/regulations at both national and city level, such as Law on energy efficiency and conservation, Law on state budget, Law on local government organization, Law on promulgation of legislative documents and relevant other documents.
- Provide policy mapping and gaps analysis, and policy impact assessment for implementing EE activities at city level.
- Review the estimated budgets of Da Nang EEAP.
- Provide recommendations to formulate financial mechanism and intensive policy for EEAP enforcement.
- Recommend norms, cost structure, and estimate annual budgets for both public and private sectors that are required to implement each activity as planned in Da Nang EEAP.
- A draft of a city resolution on public cost provisions for financial mechanism for implementation of Danang EEAP in period 2022 – 2030
- Support consultations with PPC and relevant department in Danang
- Work closely with the Project and DOIT to engage the stakeholders for the meetings.
- Prepare a stakeholder interview plan, data collection form/questionnaires, and conduct stakeholder interviews/consultations under guidance of DOIT and the Project.
- Prepare slides of interim and final results, and content of draft resolution.
- Take notes and prepare minutes of meeting in the consultation/interview meetings, policy dialogue and consultation workshop.
- Present in the policy dialogue and consultation workshops organized by the Project and DOITs
Deliverables
Throughout the assignment, the Consultant is expected to participate in regular phone calls and meetings to provide progress updates and should provide outlines of deliverables for comment and approval before developing the reports and prepare drafts for feedback and input before finalizing. Additionally, the Consultant should provide information regarding interviews held, including interview notes, minutes of meeting, workshops notes, etc.
The Consultant is expected to produce the following key deliverables:
- Policy impact assessment report and recommendations: September 2021.
- Draft city public cost provisions resolution: October 2021.
- Slides Desk and Presentations on Policy dialogues: September and November 2021.
- Final report: December 2021.
Location and Reporting
The Consultant will report to the Deputy Chief of Party (DCOP). The work-products and deliverables will be reviewed, commented and approved by both the Project and DOIT.
Depending on the location of the Consultant, the reporting may be through in-person meeting (if based in Hanoi) and/or through weekly conference call (if based elsewhere).
All communication will be in English (written and verbally). The presentations will be in both English and Vietnamese. Other deliverables will be in Vietnamese.
Qualifications
- Experience in finance and/or economic mechanism and policy advocacy with more than 5 years;
- Experience in formulating legal framework document with more than 3 years;
- Experience in conducting financial mechanism and intensive policy, prefer experiences for energy and/or EE in Vietnam;
- Demonstrated ability to work with Danang government/authority and have extensive contacts and networks in city;
- University degree or higher is required;
- Fluency in Vietnamese;
- Good writing, speaking, and reading skills in English; demonstrated report writing skills in English is required.
Application Instructions
Interested Consultants should send their CVs and cover letters detailing their relevant experience and information regarding their proposed approach to [email protected] [3].
Deadline for the application: Open until filled
DAI Organization and Values
DAI is a global development company with corporate offices in the United States, the United Kingdom, EU, Nigeria, Pakistan, and Palestine and project operations worldwide. We tackle fundamental social and economic development problems caused by inefficient markets, ineffective governance, and instability. DAI works on the frontlines of global development. Transforming ideas into action—action into impact. We are committed to shaping a more livable world.
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