Expression of Interest
– Legal Consultant
1. Background
The
Government of
Senegal (GoS) and the National Sanitation Office of Senegal (ONAS) (the “Client”)
identified a site to develop a new wastewater treatment plant (WWTP) in
Tivaouane Peulh that will be developed as a public private partnership (PPP)
designed under a hybrid PPP scheme as part of the Senegal Water Security and
Sanitation Multi-Phased Program by the World Bank (the
"Project"). IFC Advisory Services (“IFC
Advisory”) has been retained by the GoS to provide direct transaction advisory services
develop the Project.
The Project will be
developed under a hybrid PPP scheme whereby ONAS seeks to identify a private
sector participant to design, partly finance, build and operate the WWTP while
the Government will provide between 40 and 60% of CAPEX
funding through a WB loan, to improve the affordability of the Project. The
duration of the PPP contract is expected to be between 20 and 35 years (to be
confirmed).
The proposed WWTP is
expected to have a design capacity of 39,000m3/d. The WWTP design is
expected to include a primary, secondary and tertiary treatment process, as
needed to safely enable treated wastewater reuse in agriculture. The proposed
Tivaouane Peulh WWTP would be a greenfield plant that would double Dakar’s current
wastewater treatment capacity.
IFC will appoint a law firm (the “Consultant”) to provide legal support during the various phases of the
project - Phase 1 (legal due diligence) and Phase 2 (PPP tender implementation)
of the Project. The support relates to all legal aspects of the project,
including legal due diligence, preparation of tender documents (draft tender
documents and final tender documents), drafting of the PPP Agreement and any
other transaction documents, and conducting a fair and transparent tender
process, through to commercial close.
2 The Project
Most of Dakar relies on onsite
sanitation, primarily latrines. Only 32% of the population is covered by the
sewerage system (122,258 connections). The Office National d’Assainissement
du Sénégal (ONAS) manages both onsite and sewered sanitation, as well as
stormwater management. According to World Bank data, although Greater Dakar
consumes 445,555 m³ of water each day, only 126,000 m³/day of wastewater is
collected by the sewage system. The total capacity of Greater Dakar’s 12
existing wastewater treatment plants (WWTP) is only of 35,531 m³/day, treating
just 28% of the collected wastewater, with only about 9,500 m³/day treated to
tertiary levels.
Poor sanitation affects health,
productivity, and the environment. It also increases disease, infant mortality,
and school absenteeism and disproportionately impact women who manage water
collection, cooking, cleaning, and childrearing.
To overcome this problem, the
Government of Senegal (GoS) and ONAS seek to extend the collective sanitation
system to the East area of Dakar in order to cover the departments of Pikine
and Guédiawaye and to develop a new centralized WWTP in Tivaouane Peulh. The
Project is intended to have a design, finance, build, operate, transfer (DFBOT)
structure.
3 Project Phases
IFC’s
advisory services are to be carried out in 2 phases, in each case, subject to
confirmation by IFC and the Client to proceed to the next phase:
·
Phase 1: Transaction Preparation: Legal
investigations; Feasibility Assessment, PPP Structuring and approvals, followed
by, after a consultation period, and if approved by the Client:
·
Phase 2: PPP Transaction Implementation: Tender
implementation; bid evaluation; negotiation and award.