The World Bank Report No: ISR5073 Implementation Status & Results Jordan Promotion of a Wind Power Market (P093201) Public Disclosure Copy Operation Name: Promotion of a Wind Power Market (P093201) Project Stage: Implementation Seq.No: 7 Status: ARCHIVED Archive Date: Country: Jordan Approval FY: 2008 Product Line: Global Environment Project Region: MIDDLE EAST AND NORTH AFRICA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Ministry of Energy and Mining Key Dates Board Approval Date 26-Jun-2008 Original Closing Date 31-Dec-2012 Planned Mid Term Review Date 30-Dec-2011 Last Archived ISR Date 15-Jun-2011 Effectiveness Date 26-Nov-2008 Revised Closing Date 31-Dec-2012 Actual Mid Term Review Date 29-Sep-2011 Global Environmental Objectives Global Environmental Objective (from Project Appraisal Document) The main objective of the project is to increase electricity supply from renewable energy sources in a sustainable manner through the private sector and thereby help reduce the level of carbon emissions from hydrocarbon-based power generation sources. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Development of a Promotional Wind IPP Power Plant 0.90 Jordan Renewable Energy and Energy Efficiency Fund (Jordan REEF) 3.40 Renewable Energy Technical Assistance Support 1.40 Development of a Market for Renewable Energy 0.30 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of GEO Moderately Satisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Unsatisfactory Overall Risk Rating Implementation Status Overview 1. An energy mission to Jordan was carried out during September 25-29, 2011, including supervision of this project. 2. The tender process of the Fujeij Wind IPP Project is progressing. On July 14, 2011 the Ministry of Energy and Mineral Resources (MEMR) received 4 bids, opened their technical envelopes and proceeded in technical evaluation of the bids. Page 1 of 5 The World Bank Report No: ISR5073 3. The three technical assistance assignments, financed by the GEF Grant, are being concluded. The three assignments are (1) Integration of Wind Farms in the National Electric System of Jordan; (2) Strengthening the Legal, Regulatory and Institutional Frameworks for the Development of Renewable Energy Resources; and (3) Estimating Indicative Prices for Various Renewable Energy Products. The execution and completion of these consultancy assignments and associated analytical work and recommendations will be Public Disclosure Copy essential for the implementation Jordan's renewable energy development strategy. 4. The establishment of the Jordan Renewable Energy and Energy Efficiency Fund ( Jordan REEF) continues to experience delays and that could impact Component 2 of the GEF Grant including the provision of US$3 million GEF performance-based subsidy to renewable power projects (in principle to the Fujeij Wind project) and which was envisaged to be channeled through the Jordan REEF. Although a temporary renewable energy and energy efficiency law was approved by the Cabinet and Royal Court in early 2010--requiring the establishment of Jordan REEF--the law is not yet approved by the parliament and has delayed the establishment of Jordan REEF. Locations No Location data has been entered Results Global Environmental Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Electricity supply from grid-connected Text Value 72 GWh 73 GWh (FY2010) 272 GWh renewable power Date 26-Jun-2008 16-Nov-2011 31-Dec-2014 Comments 4 bids for Fujeij Wind Project received on July 14, 2011 and under evaluation. Electricity supply will be provided when power plant is constructed. The number of private developers of renewable Text Value 0 One or more electricity generation Date 26-Jun-2008 16-Nov-2011 31-Dec-2012 Comments 4 bids for Fujeij Wind Project received on July 14, 2011 and under evaluation. However, Public Disclosure Copy participation will be achieved only when projects are developed. Avoided direct CO2 emission Text Value 32,500 tons per year 122,500 tons per year Date 26-Jun-2008 16-Nov-2011 31-Dec-2014 Comments Will be achieved when renewable projects are developed and operational Intermediate Results Indicators Page 2 of 5 The World Bank Report No: ISR5073 Indicator Name Core Unit of Measure Baseline Current End Target Risk and barriers for independent wind power Text Value Gaps in the legal, policy and Legislative changes enacted development regulatory framework for Public Disclosure Copy electricity withrespect to renewable energy Date 26-Jun-2008 16-Nov-2011 31-Dec-2012 Comments Renewable Energy and Energy Efficiency Promotion Law was approved by Government in Feb 2010 but now pending parliament approval. Bylaws and regulations are under development Financing mechanism for renewable energy Text Value No formal financing Jordan REEF established and mechanism for renewable operational, or alternative in energy in place. place. Date 26-Jun-2008 16-Nov-2011 31-Dec-2012 Comments Jordan REEF establishment is pending parliament approval of the REEE Law The capacity of NEPCO and MEMR to Text Value Weak capacity Renewable energy, including incorporate renewable energy, including wind wind power, fully incorporated power, in energy planning model in the energy planning Date 26-Jun-2008 16-Nov-2011 31-Dec-2012 Comments TAs are being concluded and expected to be completed by end of 2011. Status of the contract for development of the Text Value No contract in place. A contract for development of wind power plant. the wind power plant signed and project financing close Public Disclosure Copy completed. Date 26-Jun-2008 16-Nov-2011 29-Jun-2013 Comments 4 bids for Fujeij Power Project were received on July 14, 2011 and under evaluation. Data on Financial Performance (as of 24-May-2011) Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date Page 3 of 5 The World Bank Report No: ISR5073 Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P093201 TF-92162 Effective 28-Aug-2008 28-Aug-2008 26-Nov-2008 31-Dec-2012 Disbursements (in Millions) Public Disclosure Copy Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P093201 TF-92162 Effective USD 6.00 6.00 0.00 0.98 5.02 16.00 Disbursement Graph Key Decisions Regarding Implementation 1. An energy mission to Jordan was carried out during September 25-29, 2011, including supervision of this project. 2. The tender process of the Fujeij Wind IPP Project is progressing. On July 14, 2011 the Ministry of Energy and Mineral Resources (MEMR) received 4 bids, opened their Public Disclosure Copy technical envelopes and proceeded in technical evaluation of the bids. 3. The three technical assistance assignments, financed by the GEF Grant, are being concluded. The three assignments are (1) Integration of Wind Farms in the National Electric System of Jordan; (2) Strengthening the Legal, Regulatory and Institutional Frameworks for the Development of Renewable Energy Resources; and (3) Estimating Indicative Prices for Various Renewable Energy Products. The execution and completion of these consultancy assignments and associated analytical work and recommendations will be essential for the implementation Jordan's renewable energy development strategy. 4. The establishment of the Jordan Renewable Energy and Energy Efficiency Fund ( Jordan REEF) continues to experience delays and that could impact Component 2 of the GEF Grant including the provision of US$3 million GEF performance-based subsidy to renewable power projects (in principle to the Fujeij Wind project) and which was envisaged to be channeled through the Jordan REEF. Although a temporary renewable energy and energy efficiency law was approved by the Cabinet and Royal Court in early 2010--requiring the establishment of Jordan REEF--the law is not yet approved by the parliament and has delayed the establishment of Jordan REEF. Page 4 of 5 The World Bank Report No: ISR5073 Restructuring History There has been no restructuring to date. Public Disclosure Copy Related Projects There are no related projects. Public Disclosure Copy Page 5 of 5