Since 2015, Oasis Energy has provided its clientele a holistic energy solution in varied consultancy mandates. Read our illustrative examples of consultancy mandates below.
High-Level “Scope of Development Work” for a Power Generation Project until Financial Close.
Prepare relevant feasibility studies based on existing data and precedents.
Provide consultancy services to the client in relation to negotiating project agreements in the “bankable security package” such as:
- Power Purchase Agreement (including regulator-approved tariff),
- Fuel Supply Agreement
- EPC Contract
- EIA Study
- O&M Contract
- Generation License
- Lenders’ & Owner’s Engineer Contract
- Land Lease Agreement
- Implementation Agreement/Sovereign Guarantee etc
Provide consultancy services to the client in relation to negotiating terms & conditions of third-party debt on a non-recourse basis from local and foreign financial institutions/guarantors.
Provide consultancy services to the client in relation to negotiating terms & conditions of third-party equity to the extent required to fill any equity funding gap and the relevant shareholder & subscription agreements.
Develop a robust Financial Model including financial statements contained therein (P&L, Cash Flow, Balance Sheet) and downside/upside analysis of the shareholder economics;
Coordinate with all relevant local/provincial/federal governmental agencies for consents and approvals.
Provide consultancy services to the client in relation to setting up and staffing the project company;
All other incidental and miscellaneous activities and steps required for a successful Financial Close (defined as the date on which the first drawdown of debt takes place to start construction work) .
For a power utility company “turn around” mandate .
Capture critical commercial processes that lead to revenue and collection improvements towards achieving the required change, including revamping of existing processes and organizational restructuring.
Aim to optimize infrastructure to achieve capacity building to derive maximum output to ensure strategic expansion.
Work towards a sustainable business environment with clearly identifiable goals and targets to ensure that the organization is self-sufficient and is able to serve its consumers fully while achieving operational and commercial excellence.
Deploy subject-matter specialists to review all core business areas and suggest/propose a renewed approach to productivity and efficiency enhancement. These specialists redefine the business processes to empower employees, improve decision making, and achieve higher level of customer services, among other objectives and quantitative-cum-qualitative key performance indicators.
Ensure that all business activities will be monitored through robust supervisory techniques to ensure that the overall business strategy is implemented and yielding the desired results.
With on-the-ground professional team overseen by the senior leadership, Company will aim to create a far-reaching impact for their client in terms of loss reduction, recovery enhancement, network expansion and optimization, capacity building of employees, and customer satisfaction.
Consultancy Services to a Strategic Bidder/Financial Investor participating in the Privatization of a Power Utility Company
Business Plan – assist the client in developing a holistic 5-year Business Value Creation Plan to set the strategic direction for the utility company
Valuation / Bid Price - help determine the utility company’s fundamental valuation and associated bid price range (as part of and beyond a financial modelling exercise) against established benchmarking methodologies (DCF, EV/EBITDA Trading Comps & Precedent Transactions, Sum-of-the-Parts, etc.) and competitive landscape, using best-in-class Private Equity (PE) evaluation tools including the likely route and timing of an (optional) Exit strategy
Transaction Structuring – work with the client to implement the most optimal buyout structure including, but not limited to, a staggered payout formula, strategic technical and/or other partners (as needed), etc.
HR / Organization Structure - assist the client on an optimal and redesigned Organization Structure (and associated key senior level staffing) to help achieve the objectives of the 5-year Business Value Creation Plan, with particular emphasis on change management, productivity enhancement, and the relevant industrial relation (blue collar) labor matters from a legal-cum-political standpoint;
Multi-Year Tariff (MYT) Regime - help “peel the onion” on the existing MYT regulated tariff formula/regime, and also assist in any pre-takeover negotiations with the regulator to sustain its long-term viability
Generation Plan – prepare a fully-baked and bankable feasibility study and 5-year (generation) business plan to develop, finance, and build the requisite “embedded generation” and third-party IPP generation capacity
Climate change policy – in conjunction with the above, prepare a holistic Climate Change Policy for the utility company on the four-pillars of
(i) Energy conservation
(ii) Energy efficiency
(iv)Environment; Sustainability Program – help prepare a comprehensive Sustainability Program (including the ESG framework) for the utility company in line with the Global Reporting Initiative (GRI) international guidelines
Business Plan Implementation - provide overall advisory support to the utility company’s management/shareholder team to implement the 5-year Business Value Creation Plan
Generation Capacity - bring forth incremental, advanced-stage, and fully-funded IPP proposals to the utility company in line with its 5-year (Generation) Business Plan
New Connections - introduce and help implement large-scale industrial and commercial “new connection” customers (who would otherwise go captive) to improve the utility company’s sales mix;
Governmental / Regulatory Affairs - assist in negotiations with the various government ministries and regulatory authorities on material issues concerning the utility company
Media Management - advise and assist on handling the key local and national media groups (opinion makers and shapers) to protect and enhance the utility company’s brand image
HR Management - advise on and implement an optimal Organization Structure (and associated key staffing) to help achieve the objectives of the 5-year Business Value Creation Plan, with particular emphasis on change management approach and productivity enhancement, various industrial relation (blue collar) labour matters, etc. The HR strategy may include, but not be limited to, the following initiatives:
- Roll out of Change Management Program – multiple interactive sessions to bridge the communication gap between junior employees and senior management, and between the employees and new private owners
- Fresh Blood Infusion - through Graduate Trainee, Management Trainee, and Technical Apprentice programs
- Training - standardized and structured learning interventions through setting up of a “Learning Institute”. Targeted training interventions catering to unique organizational needs such as ‘Handling Difficult Situations Program’ designed for field employees who face mobs and violence, and exclusively designed Management Development Program for mid-level employees
- Performance Appraisal System – implementing an annual “Bell Curve” evaluation system for management and staff, along with a “Variable Yearly Performance Reward Matrix”
Distribution Support – provide advisory support to the utility company’s Distribution team against a comprehensive 5-year (Distribution) Business Plan to progressively reduce the Aggregate Technical & Commercial (ATC) losses and improve customer service. This may include, but not been limited to, the following activities:
- Implementation of New and Reengineered Processes
- State-of-the-art Billing & CRM system rollout (SAP-ISU)
- Energy Measurement System (EMS) for better network visibility
- Organizational restructuring to create several ring-fenced P&L business units to deliver the overall 5-year Business Plan
- Build modern customer service centers
- Implementation of a performance-based incentive program for front-line employees
- Formulate a load shedding policy based on losses and recovery rates, with preferential treatment given to industrial customers
Process improvement to reduce red tape and bureaucracy
Convert large-scale industrial and commercial “new connection” customers for ECG (who would otherwise go captive) to improve its sales mix
- Replacing electro-mechanical meters with electrostatic meters for reduction in tampering ability and increased accuracy
- Use of Aerial Bundle Cables on High Loss Transformers to control theft
- Smart Grid initiative (remotely managed smart meters at customer premises and transformers)
- Technical Loss Reduction Project (improving HT/LT ratio, for instance)
- Handheld mobile meter reading solution; and
- Upgraded IT systems to enhance data mining and customer analysis capability