USAID's $133.7M IDEA Activity Aims to Boost Energy Security in Developing Nations
Contract Overview
Contract Amount: $13,368,661 ($13.4M)
Contractor: Black & Veatch Special Projects Corp.
Awarding Agency: Agency for International Development
Start Date: 2022-09-14
End Date: 2027-09-11
Contract Duration: 1,823 days
Daily Burn Rate: $7.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: THE PURPOSE OF THE USAID INVESTMENTS IN DEVELOPING ENERGY ASSETS (IDEA) ACTIVITY IS TO IMPROVE REGIONAL ENERGY SUPPLY SECURITY, RELIABILITY AND EFFICIENCY THROUGH SUPPORTING INVESTMENTS IN ALL SEGMENTS OF THE ENERGY SECTOR, INCLUDING HEAT AND POWER G
Plain-Language Summary
Agency for International Development obligated $13.4 million to BLACK & VEATCH SPECIAL PROJECTS CORP. for work described as: THE PURPOSE OF THE USAID INVESTMENTS IN DEVELOPING ENERGY ASSETS (IDEA) ACTIVITY IS TO IMPROVE REGIONAL ENERGY SUPPLY SECURITY, RELIABILITY AND EFFICIENCY THROUGH SUPPORTING INVESTMENTS IN ALL SEGMENTS OF THE ENERGY SECTOR, INCLUDING HEAT AND POWER G Key points: 1. Focuses on improving regional energy supply security, reliability, and efficiency. 2. Supports investments across all segments of the energy sector, including heat and power generation. 3. Contract awarded to Black & Veatch Special Projects Corp. via full and open competition. 4. Long-term contract with a duration of 1823 days, ending in September 2027.
Value Assessment
Rating: good
The contract type is Cost Plus Fixed Fee, which allows for cost reimbursement plus a fixed fee. This can be appropriate for complex projects where costs are uncertain, but requires careful oversight to manage expenses.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. This method generally leads to more competitive pricing by allowing all eligible contractors to bid.
Taxpayer Impact: By fostering energy sector investments, this activity aims to improve economic conditions and reduce reliance on less secure energy sources, potentially leading to long-term taxpayer savings through increased stability.
Public Impact
Enhances energy infrastructure in developing countries, potentially leading to economic growth. Aims to improve the reliability and efficiency of energy supply, benefiting local populations. Supports regional energy security, reducing dependence on volatile global energy markets. Investments may spur further private sector engagement in the energy sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type requires diligent cost monitoring.
- Long contract duration may present evolving risks and require adaptive management.
Positive Signals
- Full and open competition promotes competitive pricing.
- Focus on energy security addresses a critical development need.
- Supports sustainable development goals through infrastructure investment.
Sector Analysis
This contract falls under 'All Other Professional, Scientific, and Technical Services' (NAICS 541990). Spending in this broad category can vary significantly, but investments in energy infrastructure are crucial for developing economies.
Small Business Impact
The data indicates the prime contractor is Black & Veatch Special Projects Corp. There is no specific information provided regarding small business participation in this contract.
Oversight & Accountability
The Agency for International Development (USAID) is responsible for oversight. The Cost Plus Fixed Fee structure necessitates robust financial monitoring and performance evaluation to ensure accountability and prevent cost overruns.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Agency for International Development Contracting
- Agency for International Development Programs
Risk Flags
- Potential for cost overruns with Cost Plus Fixed Fee structure.
- Geopolitical and economic risks in developing regions.
- Dependency on contractor performance and effective oversight.
- Long-term sustainability of energy investments.
Tags
all-other-professional-scientific-and-te, agency-for-international-development, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Agency for International Development awarded $13.4 million to BLACK & VEATCH SPECIAL PROJECTS CORP.. THE PURPOSE OF THE USAID INVESTMENTS IN DEVELOPING ENERGY ASSETS (IDEA) ACTIVITY IS TO IMPROVE REGIONAL ENERGY SUPPLY SECURITY, RELIABILITY AND EFFICIENCY THROUGH SUPPORTING INVESTMENTS IN ALL SEGMENTS OF THE ENERGY SECTOR, INCLUDING HEAT AND POWER G
Who is the contractor on this award?
The obligated recipient is BLACK & VEATCH SPECIAL PROJECTS CORP..
Which agency awarded this contract?
Awarding agency: Agency for International Development (Agency for International Development).
What is the total obligated amount?
The obligated amount is $13.4 million.
What is the period of performance?
Start: 2022-09-14. End: 2027-09-11.
What specific metrics will be used to measure the improvement in regional energy supply security, reliability, and efficiency?
The contract should outline key performance indicators (KPIs) to track progress. These might include metrics like reduction in power outages, increase in energy generation capacity, improvement in transmission efficiency, and diversification of energy sources. Regular reporting by the contractor against these KPIs will be crucial for USAID to assess the activity's effectiveness and ensure value for taxpayer money.
How will the activity mitigate risks associated with investing in developing energy infrastructure, such as political instability or currency fluctuations?
Mitigation strategies could involve thorough risk assessments prior to investment, diversification of investments across different countries and energy types, and building strong local partnerships. The contract may also include clauses for currency hedging or political risk insurance. USAID's oversight will be critical in monitoring these risks and adapting the strategy as needed.
What is the expected long-term impact of these investments on the energy markets and economic development in the recipient regions?
The expected impact includes enhanced energy access, reduced operational costs for businesses, and attraction of further private investment. Improved energy reliability can foster economic growth, create jobs, and improve the quality of life. The long-term success will depend on the sustainability of the projects and the integration into local economies.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 7200AA22R00057
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 6800 W 115TH STREET SUITE 2200, OVERLAND PARK, KS, 66211
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $44,992,154
Exercised Options: $44,992,154
Current Obligation: $13,368,661
Actual Outlays: $5,131,555
Subaward Activity
Number of Subawards: 13
Total Subaward Amount: $2,306,742
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2022-09-14
Current End Date: 2027-09-11
Potential End Date: 2027-09-11 00:00:00
Last Modified: 2025-09-17
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