The World Bank Implementation Status & Results Report Tunisia Energy Sector Improvement Project (P168273) Tunisia Energy Sector Improvement Project (P168273) MIDDLE EAST AND NORTH AFRICA | Tunisia | Energy & Extractives Global Practice | IBRD/IDA | Investment Project Financing | FY 2019 | Seq No: 8 | ARCHIVED on 11-Jul-2023 | ISR55293 | Implementing Agencies: STEG, STEG Key Dates Key Project Dates Bank Approval Date: 24-Jun-2019 Effectiveness Date: 12-Jun-2020 Planned Mid Term Review Date: 06-Mar-2023 Actual Mid-Term Review Date: 05-Jun-2023 Original Closing Date: 30-Jun-2024 Revised Closing Date: 30-Jun-2024 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to: (i) strengthen Tunisia’s electricity transmission system; and (ii) improve STEG’s commercial performance. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Strengthening the electricity transmission network:(Cost $115.50 M) Commercial performance improvement:(Cost $35.50 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions The Project is making progress on both PDO objectives. On Component 1, both HV Lines and Substations RFP are reaching closure. Regarding Component 2:  HV/MV customers provided with a smart meter: The meters have arrived in Tunisia, training sessions are ongoing and will be fully operational by December 2023;  Incorporation of large LV customers into Revenue Protection Program: All large customers (customers consuming more than 1750 kWh/month) have been integrated into the Revenue Protection Program, and are being integrated into STEG’s database;  Improving bill collection rate among private clients: The bill collection rate has deteriorated due to Covid-19 and rising inflation, which led to customers' lower ability to pay. Therefore, the 2022 target of 99 percent was not met;  Reading LV meters through hand-held devices: The equipment has arrived in Tunisia, training sessions are ongoing and meters will be used by December 2023; 7/11/2023 Page 1 of 7 The World Bank Implementation Status & Results Report Tunisia Energy Sector Improvement Project (P168273)  Communication/Outreach campaigns: Multiple communication campaigns, consisting of TV/radio shows, journal articles, and pamphlets, were completed to explain customers’ rights and responsibilities related to bill payment and fraud. The targets were met. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Moderate Moderate Macroeconomic Substantial Moderate Moderate Sector Strategies and Policies Substantial Moderate Moderate Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and Moderate Moderate Moderate Sustainability Fiduciary Moderate Moderate Moderate Environment and Social Substantial Moderate Moderate Stakeholders Moderate Moderate Moderate Other -- -- -- Overall Substantial Moderate Moderate Results PDO Indicators by Objectives / Outcomes Strengthened Tunisia’s electricity transmission system IN01262313 ►Increased transmission capacity along the South-North corridor (Megawatt, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 721.00 721.00 721.00 3,090.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 30-Jun-2024 Improved commercial performance of STEG IN01262312 ►Increase in cash recovery index (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target 7/11/2023 Page 2 of 7 The World Bank Implementation Status & Results Report Tunisia Energy Sector Improvement Project (P168273) Value 83.00 89.00 89.00 92.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 30-Jun-2024 The cash recovery index is defined as the billing efficiency (ratio of energy billed over energy consumed) Comments: multiplied by the collection efficiency (ratio of consumer bills paid over total consumer bills). Intermediate Results Indicators by Components 1. Strengthening the electricity transmission network IN01262315 ►Transmission lines constructed under the projects (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 284.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 30-Jun-2024 Comments: Transmission lines constructed include 400 kV (192 km) and 225 kV (192 km) IN01262317 ►Substations constructed and/or reinforced (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 3.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 28-Jun-2024 2. Improving STEG's commercial performance IN01262314 ►High and medium voltage customers provided with a smart meter (Percentage, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 12.30 12.30 100.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 IN01262316 ►Large low voltage customers incorporated into the revenue protection program (Percentage, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 100.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 Percent of large low voltage customers (consuming more than 1750 kWh per month) classified as "large customers" and are included in the revenue protection program, which means they are treated similar to Comments: medium and high voltage customers, get their meters read and receive their bills monthly, and are managed by a unit devoted to large customers. 7/11/2023 Page 3 of 7 The World Bank Implementation Status & Results Report Tunisia Energy Sector Improvement Project (P168273) IN01262318 ►Bill collection of private customers (Percentage, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 92.00 99.00 93.00 99.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 IN01262319 ►Low voltage meters read remotely or with handheld devices (Percentage, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 The percent of low voltage meters get read remotely (smart meters) or with handheld meter reading Comments: devices IN01262320 ►Communication/outreach campaigns on customer rights and responsibilities (Number, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 7.00 7.00 7.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 In accompanying its effort to streamline the billing, collection, and customer processes, STEG will carry out multiple outreach initiatives, targeting regions of high non-technical and collection losses. The Comments: campaign will raise awareness about STEG’s efforts to improve its customer service while motivating the customers to abide by the collective responsibility of billing by meter and on time bill payment. IN01262321 ►Ratio of female to male customers using electronic payment (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.65 0.65 0.65 0.85 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 The number of female customers over the number of male customers using electronic payment (STEG Comments: website, mobile payment, etc.) IN01262322 ►Share of customers aware of STEG's performance improvement effort (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 14.10 14.10 14.10 30.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 Comments: Percentage of customers knowing about STEG's effort to improve its performance IN01262323 Share of female customers aware of STEG's performance improvement effort (Percentage, Custom Breakdown) 7/11/2023 Page 4 of 7 The World Bank Implementation Status & Results Report Tunisia Energy Sector Improvement Project (P168273) Baseline Actual (Previous) Actual (Current) End Target Value 12.50 12.50 12.50 30.00 Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 IN01262324 ►The results of the consumer feedback sessions and the customer satisfaction survey, and STEG responses, are published (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 31-Dec-2018 21-Nov-2022 14-Jun-2023 31-Dec-2023 A citizen engagement mechanism will be implemented by soliciting and incorporating customer feedback into STEG's implementation of project activities through a series of public consultation across different Comments: customer types in representative regions and one customer satisfaction survey within the first half of the project (by 2021). The results of these sessions and the survey will be published on STEG's website, including STEG's responses to the feedback, on an annual basis. Performance-Based Conditions IN01262325 ►PBC 1 High and medium voltage customers provided with a smart meter (Percentage, Output, 2.00, 0.00%) Baseline Actual (Previous) Actual (Current) 2023 Value 0.00 12.30 12.30 -- Date -- 21-Nov-2022 14-Jun-2023 -- IN01262326 ►PBC 2 Large low voltage customers incorporated into the revenue protection program (Percentage, Output, 12.00, 0.00%) Baseline Actual (Previous) Actual (Current) 2023 Value 0.00 100.00 100.00 -- Date -- 21-Nov-2022 14-Jun-2023 -- IN01262327 ►PBC 3 Bill collection of private customers (Percentage, Intermediate Outcome, 14.00, 0.00%) Baseline Actual (Previous) Actual (Current) 2023 7/11/2023 Page 5 of 7 The World Bank Implementation Status & Results Report Tunisia Energy Sector Improvement Project (P168273) Value 92.00 99.00 93.00 -- Date -- 21-Nov-2022 14-Jun-2023 -- IN01262328 ►PBC 4 Low voltage meters read remotely or with handheld devices (Percentage, Output, 2.00, 0.00%) Baseline Actual (Previous) Actual (Current) 2023 Value 0.00 0.00 0.00 -- Date -- 21-Nov-2022 14-Jun-2023 -- IN01262329 ►PBC 5 Communication/outreach campaigns on customer rights and responsibilities (Number, Output, 5.50, 0.00%) Baseline Actual (Previous) Actual (Current) 2023 Value 0.00 7.00 7.00 -- Date -- 21-Nov-2022 14-Jun-2023 -- Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P168273 IBRD-89890 Effective USD 151.00 151.00 0.00 33.56 117.44 22% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P168273 IBRD-89890 Effective 24-Jun-2019 30-Jan-2020 12-Jun-2020 30-Jun-2024 30-Jun-2024 Cumulative Disbursements 7/11/2023 Page 6 of 7 The World Bank Implementation Status & Results Report Tunisia Energy Sector Improvement Project (P168273) Restructuring History Level 2 Approved on 28-May-2020 ,Level Approved on 10-Jun-2020 Related Project(s) There are no related projects. 7/11/2023 Page 7 of 7