USAID's $62.7M East Africa Energy Program Task Order to Boost Power Africa's Goals

Contract Overview

Contract Amount: $62,679,379 ($62.7M)

Contractor: Research Triangle Institute

Awarding Agency: Agency for International Development

Start Date: 2018-11-23

End Date: 2023-09-30

Contract Duration: 1,772 days

Daily Burn Rate: $35.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::OT::IGF EAST AFRICA ENERGY PROGRAM (EAEP) TASK ORDER WILL HELP POWER AFRICA ACHIEVE ITS STRATEGIC GOALS TO EXPAND THE GENERATION AND THE DELIVERY OF MORE AFFORDABLE AND RELIABLE ELECTRICITY SERVICE IN EAST AFRICA, WHILE SUPPORTING OTHER DEVELOPMENT PRIORITIES, INCLUDING INCLUSIVE ENERGY GROWTH SECURITY, AND IMPROVED HEALTH AND EDUCATION, FOR THE PURPOSE OF THIS ACTIVITY.

Plain-Language Summary

Agency for International Development obligated $62.7 million to RESEARCH TRIANGLE INSTITUTE for work described as: IGF::OT::IGF EAST AFRICA ENERGY PROGRAM (EAEP) TASK ORDER WILL HELP POWER AFRICA ACHIEVE ITS STRATEGIC GOALS TO EXPAND THE GENERATION AND THE DELIVERY OF MORE AFFORDABLE AND RELIABLE ELECTRICITY SERVICE IN EAST AFRICA, WHILE SUPPORTING OTHER DEVELOPMENT PRIORITIES, INCLUDING INCL… Key points: 1. The task order supports USAID's Power Africa initiative, aiming to increase affordable and reliable electricity in East Africa. 2. It addresses broader development priorities like inclusive energy growth, security, health, and education. 3. The contract was awarded to Research Triangle Institute. 4. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 5. This falls under Administrative Management and General Management Consulting Services.

Value Assessment

Rating: fair

The contract's Cost Plus Fixed Fee structure can lead to higher costs than fixed-price contracts. Benchmarking against similar consulting services is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. However, the Cost Plus Fixed Fee pricing structure may not have driven the most cost-effective outcome.

Taxpayer Impact: Taxpayer funds are being used to support energy development and broader humanitarian goals in East Africa, with potential for significant long-term economic and social benefits.

Public Impact

Enhances electricity access in East Africa, potentially improving economic opportunities and quality of life. Supports multiple development objectives beyond energy, including health and education. Invests in regional stability through improved energy infrastructure and security. Could lead to job creation and economic growth in the supported regions.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type
Lack of specific performance metrics in provided data
Long contract duration

Positive Signals

Supports a critical development initiative (Power Africa)
Addresses multiple development priorities
Awarded through full and open competition

Sector Analysis

This contract falls within the professional services sector, specifically management consulting. Spending in this area supports government agencies in achieving strategic objectives. Benchmarks for similar large-scale, multi-year consulting contracts vary widely based on scope and complexity.

Small Business Impact

The provided data does not indicate any specific subcontracting or participation by small businesses in this contract.

Oversight & Accountability

Oversight would typically be managed by USAID's program and contracting officers to ensure adherence to the Cost Plus Fixed Fee terms and achievement of program objectives.

Related Government Programs

Administrative Management and General Management Consulting Services
Agency for International Development Contracting
Agency for International Development Programs

Risk Flags

Cost Plus Fixed Fee pricing may lead to higher overall costs.
Potential for scope creep given the long duration and broad objectives.
Lack of specific performance metrics in the provided data makes direct effectiveness assessment difficult.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Agency for International Development awarded $62.7 million to RESEARCH TRIANGLE INSTITUTE. IGF::OT::IGF EAST AFRICA ENERGY PROGRAM (EAEP) TASK ORDER WILL HELP POWER AFRICA ACHIEVE ITS STRATEGIC GOALS TO EXPAND THE GENERATION AND THE DELIVERY OF MORE AFFORDABLE AND RELIABLE ELECTRICITY SERVICE IN EAST AFRICA, WHILE SUPPORTING OTHER DEVELOPMENT PRIORITIES, INCLUDING INCLUSIVE ENERGY GROWTH SECURITY, AND IMPROVED HEALTH AND EDUCATION, FOR THE PURPOSE OF THIS ACTIVITY.

Who is the contractor on this award?

The obligated recipient is RESEARCH TRIANGLE INSTITUTE.

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 $62.7 million.

What is the period of performance?

Start: 2018-11-23. End: 2023-09-30.

What specific deliverables and performance metrics were established to ensure the 'Power Africa' initiative's strategic goals are met effectively within the allocated budget?

The provided data lacks specific performance metrics or detailed deliverables. Effective oversight would require USAID to track progress against defined milestones related to energy generation, delivery, affordability, and reliability, as well as the impact on secondary development priorities like health and education. The Cost Plus Fixed Fee structure necessitates close monitoring to ensure costs remain reasonable and aligned with the intended outcomes.

How does the Cost Plus Fixed Fee structure mitigate risks associated with project scope changes or unforeseen challenges in a complex energy development program?

The Cost Plus Fixed Fee structure allows for flexibility in addressing unforeseen challenges common in large-scale development projects. However, it shifts the risk of cost overruns to the government. Robust oversight is crucial to scrutinize costs, ensure efficiency, and prevent scope creep that inflates expenses without proportional benefit. Clear baseline cost estimates and regular audits are essential.

What is the projected long-term impact of this $62.7 million investment on electricity access and economic development in East Africa?

The projected impact is significant, aiming to expand affordable and reliable electricity services, which is foundational for economic growth, improved health, and education. Quantifying the exact return on investment is complex and depends on successful implementation, market conditions, and complementary policies. The investment supports USAID's broader Power Africa goals, which aim for substantial increases in energy generation and access.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 72067418R00016

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3040 E CORNWALLIS RD, RESEARCH TRIANGLE PARK, NC, 27709

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $65,493,440

Exercised Options: $65,493,440

Current Obligation: $62,679,379

Actual Outlays: $57,554,528

Subaward Activity

Number of Subawards: 83

Total Subaward Amount: $16,372,232

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 72067418D00004

IDV Type: IDC

Timeline