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The Government of Canada, through Public Services and Procurement Canada, is taking the next step in rehabilitating and greening its heating and cooling plants in the National Capital Region.

The government is looking for interested parties to participate in the Request for Qualifications for the Energy Services Acquisition Program’s (ESAP) Energy Service Modernization (ESM), which involves the modernization of the district energy system that currently heats and cools over 80 buildings in the National Capital Region, including the Parliament Buildings.

The estimated cost of the project is CAD1.2 billion (US$960 million).

The modernization will save on costs. With the current system, it would cost almost CAD4 billion to heat and cool the buildings on the network over the next 40 years. Modernization will save over CAD750 million over the same time period. 

This procurement process will result in a public-private partnership, where the private partner will be responsible for designing and building a more modern and efficient energy system, while exploring the feasibility of using alternative low- or no-carbon sources of energy to further reduce greenhouse gas emissions. The partner will also be responsible for the short-term financing of the construction and for the long-term operation and maintenance of the assets. 

The submission deadline is November 1, 2017. The RFQ is available here.

Three pre-qualified candidates will be invited to submit technical and financial proposals for the project through a Request for Proposal (RFP) process in early 2018. A contract is expected to be finalized with the successful private partner in the spring 2019.

The Energy Services Acquisition Program is part of the government’s plan to reduce greenhouse gas emissions, while creating jobs for the middle class and supporting the clean-tech industry.

Carla Qualtrough, Minister of Public Services and Procurement, stated:

“Our government is leading the way on the transition to a low-carbon economy by investing in greening government operations. Today’s Request for Qualifications is an important milestone as we move toward greener, more sustainable energy in our buildings. This initiative is a great example of a long-term and strategic investment that is good for the environment, the economy and Canadians.”