Hydro-Québec Distribution said March 4 that it has issued a call for tenders for the purchase of 500 MW of firm capacity and associated energy to meet the long-term domestic electricity needs of its Québec customers.
The associated energy must be available for a minimum of 300 hours, mainly in winter months. The contracts will be over a 20-year period, starting on the commencement date of deliveries, and the power must be available and guaranteed as of Dec. 1, 2018. A bidder may submit a proposal with deliveries starting after this date, by Dec. 1, 2019, at the latest. Hydro-Québec Distribution will, however, give priority to bidders whose guaranteed delivery dates begin on Dec. 1, 2018. If the requested quantities are not completely met at this date, Hydro-Québec may then consider bids whose delivery dates are after Dec. 1, 2018.
Since June 2000, Hydro-Québec is required, under the Hydro-Québec Act, to supply a base volume of up to 165 TWh a year of heritage pool electricity for the Québec market, as set out in the act respecting the Régie de l’énergie. To meet needs in excess of the heritage pool, the act respecting the Régie de l’énergie obliges Hydro-Québec Distribution to issue tenders calls for the purchase of electricity open to all interested bidders, including Hydro-Québec Production.
The March 4 tender is therefore issued to meet the very high demand during the winter peak period. Hydro-Québec Distribution has retained the services of Raymond Chabot Grant Thornton to assist in the tendering process, analyze received bids and to act as its official representative. The deadline for submitting bids is May 20.