The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) SOUTH ASIA | Nepal | Energy & Extractives Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2019 | Seq No: 7 | ARCHIVED on 30-Aug-2022 | ISR51047 | Implementing Agencies: Alternative Energy Promotion Centre (AEPC), Nepal Key Dates Key Project Dates Bank Approval Date: 30-Jan-2019 Effectiveness Date: 30-Sep-2019 Planned Mid Term Review Date: 01-Aug-2021 Actual Mid-Term Review Date: 01-Feb-2022 Original Closing Date: 30-Apr-2023 Revised Closing Date: 30-Apr-2023 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to increase electricity generation capacity from renewable energy mini-grids in selected areas by mobilizing ESCOs. Has the Project Development Objective been changed since Board Approval of the Project Objective? Yes Board Approved Revised Project Development Objective (If project is formally restructured) The PDO is to increase energy generation capacity from the renewable energy systems in selected areas by mobilizing private developers. Components Table Name Component 1: Credit facility to support renewable mini-grid subprojects:(Cost $5.26 M) Component 2: Technical assistance to the mini-grid sector, ESCOs, private developers, PBs and project management support:(Cost $1.26 M) Component 3: Financing of invesment for biogas subprojects:(Cost $1.09 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions The Project continued with the project preparatory works despite the impacts of third wave of COVID-19 in Nepal. The pipeline consists of five subprojects including two mini-hydro and three solar mini-grids. Out of the five, four sub-projects are at advanced stages of preparation; technical and safeguards studies. One of the solar minigrid project has finisihed prepratory studies, acheived financial closure and now will move ahead with construction. The Project Management Team (PMT) has essential institutional arrangements in place for project implementation, including the human resources with the necessary qualifications and skills to perform the needed project management functions. 8/30/2022 Page 1 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) The project has been conducting periodic consultations with the stakeholders during the preparation of sub-projects, and the project documents have been disclosed through appropriate channels, including the bank and the client websites. A ToR for undertaking a Consumer Feedback Survey under the citizen engagement initiative is being prepared and the survey is planned for this FY. The project was restructured to incorporate the new component, i.e. Biogas, which has been successfully implemented in the SREP-Biogas Project. The purpose of the restructuring is to enhance the project impact through adding a new technology. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial High Substantial Macroeconomic Moderate Substantial Substantial Sector Strategies and Policies Substantial Substantial Substantial Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and High High High Sustainability Fiduciary Substantial Substantial Substantial Environment and Social Moderate Moderate Moderate Stakeholders Substantial Substantial Substantial Other -- Substantial Substantial Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes To increase electricity generation capacity from RE mini-grids in selected areas by mobilizing ESCOs IN01173294 ►Generation capacity of energy constructed or rehabilitated (Megawatt, Corporate) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2.56 Date 01-Mar-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01173298 ►People provided with new or improved electricity service (Number, Corporate) 8/30/2022 Page 2 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 65,800.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01173301 ►Capital mobilized by private companies (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 121,738.00 121,738.00 2,040,000.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 IN01173303 ►Total biogas output for thermal application (Cubic Meter(m3), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 15,372,614.00 -- 20,000,000.00 26,450,178.00 Date 31-Aug-2021 -- 17-Feb-2022 30-Apr-2023 Overall Comments PDO The project faced significant implementation delays due to government decision on subsidy arrangement for the subprojects under this Project. In addition, the Project was further delayed due to restrictions and economic downturn because of COVID-19 pandemic. Therefore, the update on the target values for several indicators in the result framework is not satisfactory as they are linked to subproject implementation. Intermediate Results Indicators by Components Component 1: Credit Facility to Support Renewable Energy Mini-grid Subprojects IN01173295 ►Number of new mini-grid subprojects supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 5.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01173304 ►Net greenhouse gas emissions (Tons/year, Corporate) Baseline Actual (Previous) Actual (Current) End Target 8/30/2022 Page 3 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) Value 0.00 0.00 0.00 29,486.86 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 IN01173306 ►Number of businesses provided with new or improved electricity service (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 50.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01173307 ►Number of women businesses provided with new or improved electricity service (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 12.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01173308 ►Number of households provided with new or improved electricity service (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2,080.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01173309 ►Annual electricity output from renewable energy (Gigawatt-hour (GWh), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 4.80 Date 01-Feb-2019 26-Apr-2021 26-Apr-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: Component 2: Technical Assistance to Mini-grid Sector, ESCOs, and PBs and Project Management Support IN01173296 ►People trained in project preparation and implementation (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target 8/30/2022 Page 4 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) Value 0.00 24.00 24.00 150.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 IN01173299 ►Number of women trained to engage in mini-grid sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.00 4.00 50.00 Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 IN01173302 ►Consultations with citizens and consumer feedback surveys with publicly disclosed reports summarizing findings (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 IN01173305 ►Specialist services procured for project implementation (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-Feb-2019 30-Jun-2021 30-Jun-2021 30-Apr-2023 Component 3: Financing of Investment for Biogas Sub-projects IN01173297 ►No. of off-grid generation plants created and operational by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 193.00 -- 194.00 205.00 Date 31-Aug-2021 -- 17-Feb-2022 30-Apr-2023 IN01173300 ►Net greenhouse gas (GHG) emissions (Metric tons/year, Corporate) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 12,420.00 Date 31-Aug-2021 -- 17-Feb-2022 30-Apr-2023 Overall Comments IR 8/30/2022 Page 5 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) The project faced significant implementation delays due to government decision on subsidy provisions applicable for the subprojects under this Project. In addition, the Project was further delayed due to restrictions and economic downturn because of COVID-19 pandemic. Therefore, the update on the target values for several indicators in the result framework is not satisfactory as they are linked to subproject implementation. The RF also reflects the restructuring and revised targets and addition of new indicators. Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P149239 TF-A8336 Effective USD 2.00 2.00 0.00 0.00 2.00 0%% P149239 TF-A8382 Effective USD 5.61 5.61 0.00 1.25 4.36 22% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P149239 TF-A8336 Effective 30-Jan-2019 22-Apr-2019 30-Sep-2019 30-Apr-2023 30-Apr-2023 P149239 TF-A8382 Effective 30-Jan-2019 22-Apr-2019 30-Sep-2019 30-Apr-2023 30-Apr-2023 Cumulative Disbursements 8/30/2022 Page 6 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) Restructuring History Level 2 Approved on 07-Jun-2022 Related Project(s) There are no related projects. 8/30/2022 Page 7 of 7