The World Bank seeks to hire a consultant firm to assist state power and
water utilities, and State and National entities in charge of electricity and
water in the Federated States of Micronesia to assess and develop electricity
and water tariff methodologies/frameworks that allow recovery of costs incurred
for efficient service delivery. The consultant firm is expected to:
·
Review existing electricity,
water/wastewater tariff setting frameworks applicable in main and outer islands
for each SPWUC, including methodologies for setting and periodically
adjusting Allowed Revenue Required (ARR), tariff structure and procedures for
cost allocation among categories of consumers, subsidization schemes, procedures
adopted at the national and state levels for adjusting tariffs.
·
Propose improved methodologies
for determination and periodic adjustment of Allowed Revenue Required (ARR) of each
SPWUC to cover costs incurred in all segments of the value chain for efficient
delivery of electricity and water services to their customers.
·
Propose improved
tariff structures for electricity and water services provided by SPWUCs in main
islands and selected outer islands and procedures for allocation of ARR among
categories of consumers.
·
Develop and conduct a
tailored training workshop (including preparation of training materials)
for relevant staff of SPWUCs, state entities with competences on the
electricity and water sectors, Department of Resources and Development
(DoR&D), and Department of Finance (DoFA).
·
Propose a strategy and
roadmap for the transition period towards achieving financial sustainability of
electricity and water sectors.