Determination of fair value of property, plant and equipment of NPC "Ukrenergo" as of 31 December 2021

Request FOR Expressions of Interest (Consulting Services) UKRAINE SECOND POWER TRANSMISSION PROJECT (PTP-2) Loan No. 8462-UA Assignment Title: Determination of fair value of property, plant, and equipment of NPC "Ukrenergo" as of 31 December 2021 Reference No .: Package UE/23 INTRODUCTION NPC "Ukrenergo" (the "Client") has received financing from the World Bank toward the cost of the Second Power Transmission Project and intends to apply part of the proceeds for consulting services for Valuation of property, plant, and equipment to measure the fair value of assets in accordance with the requirements of International Valuation Standards (the "IVS") and International Financial Reporting Standards (the "IFRS"). In addition to the above-mentioned international standards, the consulting services (the "Services") must be provided in accordance with the current legislation of Ukraine. SCOPE OF WORK The objects of residual value and residual terms of useful life assessment include electricity transmission lines and equipment on substations. Detailed information on the objects for the assessment will be additionally provided by the Client. The objects for impairment model assessment include assets determined according to IAS 36. DELIVERABLES The Services shall be completed not later than 45 (forty-five) calendar days from the date of concluding the contract. As a result of completion of stages of services, the following reports should be provided to the Client: Stages of services Report Service #1 Stage 1.1 1. Methodology of assessment of residual value and residual useful life of electricity transmission lines and equipment on substations of NPC "Ukrenergo" agreed with the Client (in electronic form). 2. Database of electricity transmission lines and equipment on substations applicable for residual value assessment as of 1 January 2021 and 31 December 2021 agreed with the Client (in electronic form). 3. Database of electricity transmission lines and equipment on substations applicable for their residual useful life assessment as of 31 December 2021 agreed with the Client (in electronic form). Stage 1.2 1. Residual Value Draft Report on residual value of the Client's electricity transmission lines and equipment on substations as of 1 January 2021 and 31 December 2021 (in electronic form). 2. Residual Useful Life Draft Report on residual useful life of the Client's electricity transmission lines and equipment on substations as of 31 December 2021 (in electronic form). Stages 1.3-1.4 1. Residual Value Final Report on residual value of the Client's electricity transmission lines and equipment on substations as of 1 January 2021 and 31 December 2021, approved by the Client (in electronic and paper form). 2. Residual Useful Life Final Report on residual useful life of the Client's electricity transmission lines and equipment on substations as of 31 December 2021, approved by the Client (in electronic and paper form). 3. Database of electricity transmission lines and equipment on substations with residual value as of 1 January 2021 and 31 December 2021 (in electronic form). 4. Database of electricity transmission lines and equipment on substations with residual useful life as of 31 December 2021 (in electronic form). Service #2 Stage 2.1 Residual Value Methodology and Procedures Draft Report on methodology of assessment of residual value of the Client's electricity transmission lines and equipment on substations (in electronic form). Stage 2.2 Residual Value Methodology and Procedures Final Report on methodology of assessment of residual value of the Client's electricity transmission lines and equipment on substations, approved by the Client (in electronic and paper form). Service #3 Stage 3.1 Methodology and main assumptions of preparation of impairment model of non-current assets of NPC "Ukrenergo" agreed with the Client (in electronic form). Stage 3.2 Impairment Model of Non-current Assets Draft Report (in electronic form). Stages 3.3-3.4 Impairment Model of Non-current Assets Final Report, approved by the Client (in electronic and paper form). The Residual Value Final Report, Residual Useful Life Final Report, Residual Value Methodology and Procedures Final Report and Impairment Model of Non-current Assets Final Report must be submitted to the Client in number of 5 (five) copies in paper form and 1 (one) copy in electronic form in Ukrainian and English. The shortling ctiteria are: Project leader - not less than 5 years' experience in the valuation. Manager (not less than 2 employees) - not less than 5 years' experience in the valuation. Permanent Staff (not less than 30 employees) - employing with the Consultant at least 1 year. The Consultant's employees shall have valid qualification certificates of appraisers issued by the State Property Fund of Ukraine (the minimum number - not less than 5 certified employees, on the terms of their employment as the main place of work). Information on the confirmation of qualifications and experience of the Consultant's employees is provided in the following form of the table (with copies of all documents specified in it, which must be certified by the signature of the authorized official of the Consultant and its seal, if used): Full name of employee #№ and date of employment order Employee position № and date of qualification certificate issued by State Property Fund of Ukraine №, date and type of international certificates The Consultant shall show the availability of the employees with international certification that could be confirmed by the copies of the ASA (Accredited Senior Appraiser) / CFA (Chartered Financial Analyst) / RICS (Royal Institution of Chartered Surveyors) certificates of the Consultant's employees (not less than 2 internationally certified employees). The Consultant shall demonstrate the following experience in valuation for the last 5 years: experience in the valuation of not less