Tennessee Valley Authority, Purchasing, WR 3R, 1101 Market Street, P.O. Box 11127, Chattanooga, TN 37401-2127

C -- ENGINEERING, PROCUREMENT, AND CONSTRUCTION FOR BELLEFONTE IGCC DEMONSTRATION PROJECT SOL To Be Determined. POC Buyer: R. V. Owens, Phone: (423) 751-6214. TVA intends to purchase the following goods or services by Competitive Negotiation: The Tennessee Valley Authority (TVA) intends to request proposals from a list of prospective qualified engineering, procurement, construction firms for services to be provided when and as needed to perform engineering, design, procurement, construction management, and startup services for a TVA fossil power-generating plant (integrated gasification combined cycle (IGCC) project). Services of engineering, construction management, and support personnel will be needed including, but not limited to, architects, engineers, designers, technicians, drafters, inspectors, planners, startup personnel, and controllers. Job assignments will be in the areas of architectural, civil, electrical, chemical, instrumentation/control, mechanical engineering; design, procurement, and construction; drafting; plant start-ups; and field engineering, maintenance, and modification support. The proposed period of performance is through late 2002. TVA desires to select a firm that has a history of successful experience in gasification and combined cycle technology and has a corporate philosophy consistent with TVA's needs. TVA has certain minimum mandatory qualification requirements that respondents must meet before consideration. The following is a summary of the minimum mandatory requirements: A) Have successfully served as the prime EPC of record (design, procurement, construction management, and startup) on: (1) at least one major electric power generation project where the total budget equaled or exceeded $500 million; (2) six major electric power generation projects, each with a total project cost of at least $100 million; (3) three combined cycle projects, each with a capacity of at least 50 MW; (4) one repowering project with a capacity of at least 50 MW; and (5) six coal receiving, preparation, and handling projects of at least 750 tons/hour capacity each. This experience requirements must be met by the respondent(s) and not through the experience of others (no flow through). If respondents is a joint venture or other entity of more than one party, the experience requirements must be met in full by the same combination of participants. B) Have completed the design of one IGCC project with a capacity of at least 50 MW. C) Have an acceptable safety program with a current EMR no greater than 1.0 and an OSHA/BLS recordable injury frequency rate no greater than 1.0 and an OSHA/BLS recordable injury frequency rate no greater than 7.0, with demonstrated ability to assign onsite safety professionals. D) Have a total quality program that is an integral part of day-to-day operations and demonstrates continuous process improvement. E) Have experience in use of computer-based project control systems. F) All work is performed under TVA's Construction Project Agreement (CPA). Respondents agrees to be signatory to the project agreement with the Labor Unions. TVA intends to consider proposals only from prequalified firms who have certified in writing and can demonstrate that they meet all of the above minimum mandatory requirements. Written requests for copies of the solicitation must contain a statement that the requester meets all of the above requirements and must be received no later than 5 p.m. EST ten (10) calendar days following final CBD publication by R. V. Owens, Contract Specialist, 1101 Market Street (WR 3R), Chattanooga, TN 37402, fax (423) 751-2364. Issuing solicitation, receipt of proposals, and/or award will be contingent upon TVA's pending determinations to proceed. TVA presently intends to issue solicitation approximately 15 business days after day of initial CBD publication. Technical data will be furnished with solicitation. Proposals must be received by TVA Purchasing no later than 5 p.m. EST thirty (30) calendar days following issuance of solicitation. Solicitation will issue 10 days after date of CBD publication. Technical data will be furnished with solicitation. Delivery Date: To Be Determined. F.O.B.: Scottsboro, AL. All responsible sources may submit an offer which will be considered by TVA. For copies of solicitation or further information contact Buyer. (043)

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