On April 11, 2025, the Estonian competition authority announced a public consultation for stakeholders concerning the tender conditions for heat purchases by AS Narva Soojusvõrk. This initiative aims to gather insights and opinions from market participants and interested parties.

The authority highlighted that Appendix 6, titled 'Evaluation Criteria and Measurable Indicators,' is still under clarification by AS Narva Soojusvõrk. Consequently, the updated tender invitation will be issued with these clarifications included.

One of the main points of contention between the competition authority and AS Narva Soojusvõrk is the evaluation criteria for bids. The authority suggests that the Levelized Cost of Heat (LCOH) method should be employed as the primary criterion for assessing bids. This method provides a more realistic view of the actual costs of heat production, allowing for a comprehensive, long-term, and objective comparison of different technologies and cost structures.

The competition authority believes that using the LCOH method will enhance transparency in the evaluation process and help identify solutions that ensure the lowest possible total cost of heat production over the investment's lifetime. To facilitate this, the authority is keen to hear the perspectives of market participants.

Stakeholders are encouraged to submit their justified comments and opinions on the tender conditions by April 28, 2025, via email. Based on the feedback received, the tender conditions may be reasonably adjusted. If any participant wishes to extend the deadline for submitting opinions, the authority will grant an additional week.

Related Portfolios