Public Disclosure Copy The World Bank Implementation Status & Results Report China Energy Efficiency Financing II (P113766) China Energy Efficiency Financing II (P113766) EAST ASIA AND PACIFIC | China | Energy & Extractives Global Practice | IBRD/IDA | Financial Intermediary Loan | FY 2010 | Seq No: 12 | ARCHIVED on 28-Dec-2016 | ISR26687 | Implementing Agencies: China Minsheng Banking Corp. Ltd. Key Dates Key Project Dates Bank Approval Date:22-Jun-2010 Effectiveness Date:02-Nov-2010 Planned Mid Term Review Date:28-Oct-2013 Actual Mid-Term Review Date:04-Nov-2013 Original Closing Date:31-Dec-2014 Revised Closing Date:31-Dec-2016 Project Development Objectives Project Development Objective (from Project Appraisal Document) The objective of the Project is to improve the energy efficiency of selected enterprises, and thereby reduce their adverse environmental impacts through scaling-up commercial lending for energy efficiency investments. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Energy Efficiency Investment Sub-projects:(Cost $100.00 M) Technical assistance and capacity building:(Cost $0.80 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Unsatisfactory  Moderately Unsatisfactory Overall Implementation Progress (IP)  Moderately Unsatisfactory  Moderately Unsatisfactory Overall Risk Rating  Moderate  Moderate Implementation Status and Key Decisions 12/28/2016 Page 1 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report China Energy Efficiency Financing II (P113766) Commercial lending by Minsheng for energy efficiency has continued to be problematic, while at the same time their lending for renewable energy has grown. Energy efficiency lending was hampered by the downturn in the economy, and the focus of investment on traditional heavy industrial sectors that currently have over-capacity. As a result, the project will not meet its objective related to energy savings resulting from energy efficiency investments. Given the importance of energy efficiency to China's economic and environmental goals, it is important to examine the successes and failures of the World Bank’s energy efficiency investment program. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  Low  Low Macroeconomic  --  Moderate  Moderate Sector Strategies and Policies  --  Low  Low Technical Design of Project or Program  --  Moderate  Moderate Institutional Capacity for Implementation and Sustainability  --  Moderate  Moderate Fiduciary  --  Moderate  Moderate Environment and Social  --  Moderate  Moderate Stakeholders  --  Moderate  Moderate Other  --  --  -- Overall  --  Moderate  Moderate Results Project Development Objective Indicators PHINDPDOTBL  Projected lifetime energy savings (Megawatt hour(MWh), Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 314,204,000.00 314,204,000.00 402,116,000.00 Date 21-May-2010 19-Oct-2016 19-Oct-2016 31-Dec-2016 PHINDPDOTBL  Amount of accumulated EE investments and renewable commercial lending supported and leveraged by the project (million USD) (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target 12/28/2016 Page 2 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report China Energy Efficiency Financing II (P113766) Value 0.00 1,561.00 1,561.00 1,000.00 Date 21-May-2010 25-Jan-2016 25-Jan-2016 31-Dec-2016 PHINDPDOTBL  Associated annual energy savings from the EE investments (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.74 1.74 2.47 Date 21-May-2010 19-Oct-2016 19-Oct-2016 31-Dec-2016 PHINDPDOTBL  Reduction in GHGs from the EE investments (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.32 4.32 6.10 Date 21-May-2010 19-Oct-2016 19-Oct-2016 31-Dec-2016 Overall Comments The project will not meet its PDO indicator targets. Once the final lending numbers are available to the end of December — there is a three month grace period during which disbursements can be made — these will be used to update the PDO indicators. Intermediate Results Indicators PHINDIRITBL  Cumulative amount of EE lending (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 37.12 37.12 100.00 Date 21-May-2010 19-Oct-2016 19-Oct-2016 31-Dec-2016 12/28/2016 Page 3 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report China Energy Efficiency Financing II (P113766) PHINDIRITBL  Number of training courses conducted on the operation manual (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 8.00 8.00 8.00 Date 21-May-2010 26-Feb-2016 26-Feb-2016 31-Dec-2016 PHINDIRITBL  Environmental and social risk assessment and control system strengthening plan completed and recommended to Minsheng management (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value NA Under preparation Under preparation Completed Date 21-May-2010 25-Jan-2016 25-Jan-2016 31-Dec-2016 PHINDIRITBL  Study of business opportunities for Minsheng in carbon financing and trading is completed (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value NA Completed Completed Completed Date 21-May-2010 25-Jan-2016 25-Jan-2016 31-Dec-2016 Overall Comments (see comment above on updating the final disbursement number indicators) Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P113766 IBRD-79350 Effective USD 100.00 100.00 0.00 59.37 40.63 59% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date 12/28/2016 Page 4 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report China Energy Efficiency Financing II (P113766) P113766 IBRD-79350 Effective 22-Jun-2010 11-Aug-2010 02-Nov-2010 31-Dec-2014 31-Dec-2016 Cumulative Disbursements Restructuring History Level 2 Approved on 28-Dec-2014 ,Level 2 Approved on 25-Mar-2015 Related Project(s) There are no related projects. 12/28/2016 Page 5 of 5 Public Disclosure Copy