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The following are procedures that shall apply in the implementation of the Feed-in-Tariff.
a) Private investors who wish to become power producers shall send an expression of interest (EOI) to the Ministry of Energy. The EOI shall include preliminary information such as the renewable energy source to be used, location in the country where the power plant is to be located, proposed installed capacity, indicative tariff, expected duration of plant development and any other information that the private investors wishes to disclose to facilitate decision making.
b) A Feed-in-Tariff Committee comprising representatives of the Ministry of Energy, the grid operator (KPLC) and the Energy Regulator (ERC) will review the EOI. The purpose of the review is to determine how the proposed power plant can be integrated into the national power development plan and estimate suitability of proposed power plant location for interconnection including interconnection facilities and costs.
c) The results of the review shall be communicated to the private investor by the Feedin-Tariff Committee within three months from the date of receipt of the EOI. The EOI may be accepted or rejected and where it is rejected, the reason for the rejection shall be provided.
d) Where the EOI is accepted and no further studies are required, the applicant shall be asked to provide a detailed proposal describing the technical and financial viability of the project, proposed financing arrangements, etc.
e) Where the EOI is accepted, the applicant shall be notified and given non-renewable rights of first refusal for the use of the same technology for power generation at the same location for a period of two years.
f) Where the EOI is accepted and further studies need to be carried out to determine project viability, the applicant shall be given 12 months to carry out and conclude the studies. Progress report shall be provided to the Feed-in-Tariff Committee after 6 months. Where the 6 months progress report shows that the project is not viable within the feed-in tariffs, the a project shall be abandoned and the rights of refusal will lapse.
g) Where the detailed proposal received under (d) or feasibility studies carried out under (e) confirms that the project is viable within the feed-in tariffs, the applicant shall be given another 6 months to conclude the studies and project development including engineering design, financing arrangements, and PPA (standard) negotiations with the grid operators etc.
h) Construction works of all projects to be implemented under the Feed-in-Tariff system shall commence within 6 months from the date of the signing of the PPA. The project shall be completed and commissioned within a period of 24 months from the date of the signing of the PPA.