OFFICIAL
DOCUMENTS
ESMAP GRANT NUMBER B5205-AF
Energy Sector Management Assistance
Program Grant Agreement
(Additional Financing for COVID-19 Emergency Response and
Health Systems Preparedness Project)
between
ISLAMIC REPUBLIC OF AFGHANISTAN
and
INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT
INTERNATIONAL DEVELOPMENT ASSOCIATION
acting as administrator of the Energy Sector Management Assistance Program


ESMAP GRANT NUMBER B5205-AF
ENERGY SECTOR MANAGEMENT ASSISTANCE PROGRAM
GRANT AGREEMENT
AGREEMENT dated as of the Signature Date between the Islamic Republic of
Afghanistan ("Recipient") and INTERNATIONAL BANK FOR RECONSTRUCTION
AND DEVLOPMENT/INTERNATIONAL DEVELOPMENT ASSOCIATION
("Bank"), acting as administrator of Energy Sector Management Assistance Program
("ESMAP").
WHEREAS:
(A)    the Recipient has requested the Bank to provide assistance and make
available a grant in the amount of SDR 41,700,000, to assist in the financing of the Project
described in Schedule 1 to the financing agreement between the Recipient and the Bank of
the same date as this Agreement (the "Financing Agreement"), and a grant in the amount
of fifty million United States Dollars ($50,000,000) from the Afghanistan Reconstruction
Trust Fund ("ARTF") to assist in the financing of the Project described in Schedule 1 to
the ARTF grant agreement between the Recipient and the Bank, acting administrator of the
ARTF of the same date as this Agreement (the "ARTF Grant Agreement"); and
(B)    the Recipient, having satisfied itself as to the feasibility and priority of the
Project, has requested the Bank to extend a grant from the ESMAP to assist in the financing
of the Project;
NOW THEREFORE, the Recipient and the Bank hereby agree as follows:
Article I
Standard Conditions; Definitions
1.01.  The Standard Conditions (as defined in the Appendix to this Agreement) apply to
and form part of this Agreement.
1.02.  Unless the context requires otherwise, the capitalized terms used in this Agreement
have the meanings ascribed to them in the Standard Conditions, this Agreement
(including the Preamble hereto), and the Appendix to the Financing
Agreement, or in the Appendix this Agreement as the case may be.
2


Article II
The Project
2.01.  The Recipient declares its commitment to the objective of the project described in
Schedule 1 to this Agreement ("Project"). To this end, the Recipient shall carry
out the Project in accordance with the provisions of Article II of the Standard
Conditions.
Article III
The Grant
3.01.  The Bank agrees to extend to the Recipient a grant in an amount not to exceed
three million United States Dollars ($3,000,000) ("Grant") to assist in financing
the Project.
3.02.  The Recipient may withdraw the proceeds of the Grant in accordance with Section
III of Schedule 2 to this Agreement.
3.03.  The Grant is funded out of the abovementioned trust fund for which the Bank receives
periodic contributions from the donors to the trust fund. In accordance with Section
3.02 of the Standard Conditions, the Bank's payment obligations in connection with
this Agreement are limited to the amount of funds made available to it by the donors
under the abovementioned trust fund, and the Recipient's right to withdraw the Grant
proceeds is subject to the availability of such funds.
Article IV
Effectiveness; Termination
4.01.  This Agreement shall not become effective until evidence satisfactory to the Bank
has been furnished to the Bank that the condition specified below has been
satisfied, namely, that the Financing Agreement dated the same date as this
Agreement, between the Recipient and the Bank, providing a grant in support of
the Project, has been executed and delivered and all conditions precedent to its
effectiveness or to the right of the Recipient to make withdrawals under it (other
than the effectiveness of this Agreement) have been fulfilled.
4.02.  By signing the Grant Agreement, the Recipient shall be deemed to represent and
warrant that on the Signature Date, the Grant Agreement has been duly authorized
by, and executed and delivered on behalf of, the Recipient and is legally binding
upon the Recipient in accordance with its terms, except where additional action is
required to make such Grant Agreement legally binding. Where additional action
is required following the Signature Date, the Recipient shall notify the Bank when
3


such additional action has been taken. By providing such notification, the
Recipient shall be deemed to represent and warrant that on the date of such
notification the Grant Agreement is legally binding upon the Recipient in
accordance with its terms.
4.03.  Except as the Recipient and the Bank shall otherwise agree, this Agreement shall
enter into effect on the date upon which the Bank dispatches to the Recipient
notice of its acceptance of the evidence required pursuant to Section 4.01
("Effective Date"). If, before the Effective Date, any event has occurred which
would have entitled the Bank to suspend the right of the Recipient to make
withdrawals from the Grant Account if this Agreement had been effective, the
Bank may postpone the dispatch of the notice referred to in this Section until such
event (or events) has (or have) ceased to exist.
4.04. Termination for Failure to Become Effective. This Agreement and all obligations
of the parties under it shall terminate if it has not entered into effect by the date
ninety (90) days after the date of this Agreement, unless the Bank, after
consideration of the reasons for the delay, establishes a later date for the purpose
of this Section. The Bank shall promptly notify the Recipient of such later date.
Article V
Recipient's Representative; Addresses
5.01.  The Recipient's Representative referred to in Section 7.02 of the Standard
Conditions is its Minister of Finance.
4


5.02.  For purposes of Section 7.01 of the Standard Conditions: (a) the Recipient's
address is:
Ministry of Finance
Pashtunistan Watt
Kabul
Islamic Republic of Afghanistan; and
(b)    the Recipient's Electronic Address is:
Facsimile:
+93202103259
5.03.  For purposes of Section 7.01 of the Standard Conditions: (a) the Bank's address
is:
International Bank for Reconstruction and Development
International Development Association
1818 H Street, N.W.
Washington, D.C. 20433
United States of America; and
(b)    the Bank's Electronic Address is:
Facsimile:
1-202-477-6391
5


AGREED as of the Signature Date.
ISLAMIC REPUBLIC OF AFGH         TAN
By
ize Representative
Nan
Title:
Date:
INTERNATIONAL BANK FOR RECONSTRUCTION
AND DEVELOPMENT INTERNATIONAL
DEVELOPMENT ASSOCIATION
acting as administrator of the Energy Sector
Management Assistance Program
By           ___
Authorized Representative
Name: Homa-Zahra Fotouhi
Title:Acting Country Director
Date: April 1, 2020
6


SCHEDULE 1
Project Description
The objective of the Project is to respond to, and mitigate the threat posed by COVID-19
and strengthen national systems for public health preparedness in Afghanistan.
The Project consists of Part 1.2(a) as described in Schedule 1 to the Financing
Agreement, specifically to support the solarization of provincial cold storages and health
centers.
'7


SCHEDULE 2
Project Execution
Section I.    Institutional and Other Arran2ements
A.     General.
The provisions of Section I (Implementation Arrangements) comprising of
Section L.A (Institutional Arrangements), Section I.B (Vaccine Delivery and
Distribution Plan), Section LC (Standards for COVID-19 Vaccine Approval),
Section LD (Data Protection), Section I.E (Environmental and Social Standards),
in Schedule 2 to the Financing Agreement are incorporated by reference and shall
apply, mutatis mutandis, to this Agreement, and the Recipient undertakes to
comply with the provisions thereof to the same extent as if such provisions had
been set out in full in this Agreement provided that for the purposes of this
Agreement: (1) references to the "Financing" in said Sections shall be construed
as references to the Grant provided for under this Agreement; and (2) the
references to the "Association" in said Sections shall be construed as references to
the Bank.
Section II.   Project Monitoring, Reporting and Evaluation
A.     Documents; Records
In addition, and without limitation to the obligations set forth in Section 2.05 of
the Standard Conditions, the Recipient shall ensure that:
(a)    all records evidencing expenditures under the Project are retained
for seven years and six months after the Closing Date, such records to
include: (i) this Agreement, all addenda thereof, and any amendments
thereto; (ii) the Recipient's financial and narrative progress reports
submitted to the Bank; (iii) the Recipient's financial information related
to the Grant, including audit reports, invoices and payroll records; (iv) the
Recipient's implementation documentation (including sub-agreements,
procurement files, contracts, purchase orders); and (v) the corresponding
supporting evidence referred to in Section 3.04 of the Standard
Conditions; and
(b)    the representatives of the Bank are: (i) able to examine all records referred
to above in paragraph (a); (ii) provided all such information concerning
8


such records as they may from time to time reasonably request; and (iii)
able to disclose such records and information to the Donors.
B.     Project Reports
The Recipient shall ensure that each Project Report is furnished to the Bank not
later than one (1) month after the end of each calendar quarter, covering the
calendar quarter.
Section III.  Withdrawal of Grant Proceeds
A.     General
1.     The Recipient may withdraw the proceeds of the Grant in accordance with the
provisions of: (a) Article III of the Standard Conditions; and (b) this Section; to
finance Eligible Expenditures in the amount allocated and, if applicable, up to the
percentage set forth against each Category of the following table.
Amount of the        Percentage of
Category                Grant Allocated    Expenditures to be
(expressed in USD)       Financed
_   __             (inclusive of Taxes)
(1) Goods, works, non-consulting        3,000,000             100%
services, consulting services, and
Training under the Project
TOTAL AMOUNT                            3,000,000
B.     Withdrawal Conditions; Withdrawal Period
1.     Notwithstanding the provisions of Part A of this Section no withdrawal shall be
made for payments made prior to the Signature Date.
2.     The Closing Date is June 30, 2023.
9


APPENDIX
Definitions
1.    "Category" means a category set forth in the table in Section III.A of Schedule 2
to this Agreement.
2.     "Signature Date" means the later of the two dates on which the Recipient and the
Bank signed this Agreement and such definition applies to all references to "the
date of the Grant Agreement" in the Standard Conditions.
3.     "Standard Conditions" means the "International Bank for Reconstruction and
Development and International Development Association Standard Conditions for
Grant Financing Made by the Bank out of Trust Funds", dated February 25, 2019.
10