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SECTION IV - PROPOSAL PREPARATION INSTRUCTIONS

NOTE:

To facilitate evaluation, proposers are to organize their

proposals to correspond precisely to the proposal preparation

instructions in SECTIONS IV.1, IV.2, IV.3, and IV.4,

which

correspond to the evaluation criteria in SECTIONS V.2, 1.3.1,

1.3.2, and V.3.3 of this PON.

1.

PREPARATION OF VOLUME I: QUALIFICATION DISCUSSION

The preparation of this volume is extremely important. If the

proposal does not meet the requirements identified in SECTION V.2,

"Preliminary Evaluation," the proposal shall not undergo compre

hensive evaluation. The offeror must address each of the Qualifica

tion Criteria listed in SECTION V.2(a) of this PON and clearly show

how the proposal meets the qualifications. The discussion should be

sufficient unto itself for a determination as to whether or not the

proposal meets the Qualification Criteria. DOE has no obligation

to refer to other volumes if the discussion provided in Volume I

does not show that the Qualification Criteria have been clearly and

unambiguously met.

For those criteria that require the completion

of the certification forms provided in Appendix I of this PON,

these forms must be submitted in this Volume.

Such certifications

must be completed and signed by an individual with authority to

represent and bind the offering organization. The information

required to satisfy the Qualification Criteria is indicated below:

(a) LOCATION OF DEMONSTRATION

The demonstration project or facility must be located in the
United States. The offeror must clearly show that the location
proposed will be within the United States. Information should
be included to indicate the state, county, and municipality
(if applicable) in which the project or facility will be
located.

(b) USE OF U.S. COALS

The proposed project or facility shall be designed for and

operated with coal(s) mined in the United States. The proposer

must provide a description of the type and source of coal(s) sufficient to indicate that the coals to be utilized are mined in the United States.

(c) COST-SHARING

The proposer must complete the certification form contained

in Appendix I of the PON and include it in Volume I of the

proposal to confirm that Government cost-sharing will not

exceed 50 percent of the total project cost and that not more

than 50 percent of the funds required in each of the three

phases, Design and permitting, Construction and Startup
("Shakedown"), and Operation, Data Collection, Reporting, and
Disposition, will be requested from the Government.

(d) SITE AVAILABILITY

The proposer must provide firm evidence that the proposed

project site is either owned by the offeror and is available

or that the offeror will have use of the site for the duration

of the project. This requirement may be met by providing a

copy of title to the property, a firm lease or option, or

other legally binding documentation concerning site availability.

(e) CLEAN AIR ACT COMPLIANCE

The proposer must complete and sign the certification form

contained in Appendix I of this PON concerning compliance of

the proposed technology, alone or in conjunction with other

technologies, with the Clean Air Act. This certification will

indicate that, as a minimum, the proposed technology in the

specified market application will be capable of complying with

the requirements of the Clean Air Act as amended, and with the

relevant regulations promulgated thereto, in regions of the

United States where commercialization of the technology is

contemplated.

(f) TEAMING AGREEMENT

If a teaming arrangement is proposed, the proposer must provide

a letter of intent or executed teaming agreement from all parties

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will be required prior to execution of the Cooperative Agreement.

2.

PREPARATION OF VOLUME II: TECHNICAL PROPOSAL

The text below identifies the information needed by DOE to evaluate

the proposal according to the criteria contained in SECTION V.3.1,

"Technical Evaluation Criteria."

The Technical Evaluation Criteria are divided into two major categories. The first, "Commercialization Factors," addresses the projected commercialization of the proposed technology. This is different from the proposed demonstration project itself. It deals with all of the other steps and factors involved in the commercialization process.

The second major category, "Demonstration Project Factors,"
recognizes the fact that the proposed demonstration project re-
presents the critical step between "pre-demonstration" scale of

operation and commercial readiness, and deals with the proposed

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The technical proposal (Volume II) must contain a narrative

discussion of, and supporting data and analyses for, the

commercialization factors described below.

The purpose of this discussion is to demonstrate the degree to

which the proposal satisfies these criteria and to document the

relevant data and/or analyses that substantiate the anticipated and

claimed commercial viability and environmental performance of the

proposed commercial version of the clean coal technology.

Appendix L provides energy projection data which must be used when

proposers are making projections of the economics and marketability

of their technologies. However, the offeror may include additional

analyses provided that documentation is given of the assumptions

used, and also that the methodology used is explained.

(a)

ENVIRONMENTAL, HEALTH, SAFETY, AND SOCIOECONOMIC (EHSS) ASPECTS

Based upon the information provided in the market projections
of SECTION 2.1(b), "Marketability" (below), provide informa-

tion on how applicable EHSS statutes and regulations (as of

January 1, 1986) will be met in regions where significant

market potential is projected. In this context, EHSS includes,

but is not limited to, air quality and emissions, water quality

and effluents, waste disposal, water resource requirements, health,

safety, and, if applicable, socioeconomic aspects. A discussion

must be provided stating how anticipated environmental emissions,

occupational or public exposure to liquid and solid waste

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