Midwest Renewable Energy Association (MREA) is seeking qualified contractors to submit proposals for the design, procurement, and installation of new residential and commercial geothermal systems at bulk prices lower than the prevailing single system market rate. This program is for new and retrofit geothermal heat pump systems.
The “group buy” program is being led by Midwest Renewable Energy Association. The goal of the program is to increase consumer education and geothermal installations in Champaign County, Piatt County, and Vermilion County, Illinois, through a group purchase involving a competitive contractor selection process, an advantageous pricing and rebate structure, and free information sessions about geothermal heating and cooling.
This Geothermal group buy program is offered with support from MREA, Geothermal Alliance of Illinois (GAOI), and the City of Urbana, with high visibility in the area. MREA will coordinate and deliver a minimum of 15 free, public Geothermal Power Hour information sessions and market them widely with physical posters, email blasts, paid social media promotion, in the press, and more.
RFP Published August 31, 2020
RFP Questions Due September 8, 2020
RFP Responses to Questions Posted September 10, 2020
RFP Proposals Due September 26, 2020
QUESTIONS & ANSWERS:
- What do you mean by “Workmanship Warranty?”
This is also referred to as a labor warranty from the contractor.
- What will be the approximate range in customer size?
We expect an average of 3-7 tons per system.
- Is there an anticipated ratio split between residential and commercial customers?
Based on our experience with solar, we anticipate 90%+ of systems to be residential residential.
- Will there be an opportunity for bulk simultaneous installations on new developments or communities.
Unlikely, but not prohibited.
- Will there be any district loop opportunities?
Unlikely, but not prohibited.
- How does the Group Buy program work and who are the participating members?
How it works – A geothermal installer is selected through a competitive Request for Proposals process involving an advisory committee of community stakeholders. Free, public information sessions (we call them “Power Hours”) are hosted throughout the community over a period of several months. Local jurisdictions, organizations, volunteers, and MREA help spread the word to the community to invite as many people as possible to learn about and potentially invest in geothermal for their property. As more people decide to go geothermal, the price comes down for everyone. Participants have a deadline to make a “go” or “no-go” decision. After that, the group buy pricing goes away. Geothermal installations happen throughout the program timeline.
Who can participate – Any property owner in Champaign, Piatt, and Vermilion County is eligible to participate.
- Will the partner contractor be required to install all systems at these “flat rate per ton” prices? There is a significant difference in the cost per ton of a 2 ton system versus a 6 ton system. Similarly it is not possible to provide an accurate flat rate cost for adder items such as ductwork upgrade or electrical upgrade as these costs vary greatly depending on the specific scope of work for each job. We can certainly provide all costs based on an average but want to be sure that we can provide the customer with the best possible pricing to maintain the intent of the program.
Proposing firms may enter a price range in some boxes. Or a $/unit or $/linear foot.