Burlington Electric Department RFP System
RFP# 027-25 Energy Storage System
RFP# 027-25
Deadline: February 7, 2025 11:30 am
Questions added to this RFP please scroll down!
BED requests that the proposal conform to the following:
Storage Technology – Lithium Ion preferred, however, alternate technologies will not be
excluded.
Storage Size/Discharge Duration – Up to 5MW, duration of discharge 4 hours initially,
with potential to increase over contract term.
Structure – Purchase Power Agreement (“PPA”), term of up to 20 years – ownership to
remain with provider. Escalating price preferred over levelized pricing (but escalation
factor should not materially exceed average inflation rates). PPA should assume BED
retains all wholesale market value produced by the system and should come with a
performance guarantee.
Maintenance/Warranty – Responsibility of provider, degradation over term permitted if
limited to a stated amount (percent or kw).
Discharge Capability – Daily or near daily (300+ cycles annually over term)
Location – Inside the Burlington, VT City Limits.
Control of Storage – Control of storage by BED is preferred (a proposal for owner-based
control may be made provided that all benefits of such discharge accrue to BED).
Site Control – Site-specific proposals with demonstrated site control may be submitted,
or site-independent proposals (with site-related cost assumptions provided in detail).
BED requests respondents providing site-specific proposals to include a site independent alternative as well for RFP comparison purposes.
| Milestone | Date |
| Release of Formal RFP | December 27, 2024 |
| Submission of written questions, if any, to BED | January 10, 2025 4:30PM EPT |
| BED provides responses to questions to all Bidders | January 24, 2025 |
| Last Date to Submit Written Proposal | February 7, 2025 |
| Evaluation of Proposals | February 2025 + |
| Selection of contractor(s) | Dependent on Review |
We have questioned asked and we have answered them, please see below:
Q1) In RFP Section III., Detailed Requirements, A. Project, Structure, can BED provide clarification of the statement “and should come with a performance guarantee.”
A1) The value BED receives for the storage system will likely come from discharging the storage during high priced times and peak events. This will require frequent though perhaps not daily dispatch of the asset and BED will need certainty that the battery will discharge at its rating during events. If BED is unable to discharge the storage at full value during those times due to the issues with the storage system, BED would seek to be made whole through a performance guarantee.
Q2) Please describe the desire and expectation for augmentation of the system. Is the dept looking for increased capacity or duration of BESS at a later date? At what point or threshold would the Dept be looking for this augmentation? What is the magnitude of augmentation that the dept is looking for?
Q3) In Section III, A, Storage Size/Discharge Duration, could you clarify the phrase 'with potential to increase over the contract term'?
A2&3) Augmentation of discharge duration was the form of augmentation BED had in mind. BED is not prepared to estimate this at this time when this will occur or the amount of additional discharge duration as it will be driven by changing load shapes in New England and their impact on predictability of peak events.
Q4) Is the Dept going to provide the system impact study for the proposed interconnection location?
A4) Not prior to the close of the RFP. Normal interconnection procedures will be followed after vendor selection and vendors should make clear what assumptions they have used for interconnection costs or if none are assumed.
Q5) Is BED looking for proposals that are less costly than peak power from the ISO-NE mix for larger peaks?
Q6) The energy storage resource would be used almost every day. This would include many smaller peaks. Is BED hoping for proposals that would be less costly than ISO-NE mix for smaller peaks as well?
A5&6) What is being asked by Q5 is not completely clear to BED. BED is going to evaluate the proposals relative to the cumulative value (from multiple value streams) that they can provide relative to the cost of system. Potential value streams include transmission which is based on the Vermont monthly peaks which would require significantly more discharges than simply trying to reduce the ISO-NE annual peak. Energy arbitrage opportunities may trigger more frequent discharges as well.
Q7) What is the minimum power rating for the BESS that BED will accept?
A7) No specific minimum power rating though BED will consider the administrative burden/costs relative to battery size when evaluating proposals.
Q8) What guaranteed minimum energy capacity relative to Beginning-of-Life Capacity at COD will BED accept over the term of the ESSA?
A8) BED can evaluate either a proposal containing a specific degradation amount annually over the life of the storage providing that output will be guaranteed not to fall by more than predicted degradation, or proposals that maintain the capacity over the term of the ESSA.
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