The World Bank Report No: ISR10558 Implementation Status & Results Nepal Nepal - Village Micro Hydro (P095978) Public Disclosure Copy Operation Name: Nepal - Village Micro Hydro (P095978) Project Stage: Implementation Seq.No: 4 Status: ARCHIVED Archive Date: 18-Jun-2013 Country: Nepal Approval FY: 2007 Product Line: Carbon Offset Region: SOUTH ASIA Lending Instrument: Implementing Agency(ies): Alternative Energy Promotion Centre (AEPC) Key Dates Board Approval Date 30-Jun-2007 Original Closing Date 15-Dec-2015 Last Archived ISR Date 30-Dec-2012 Effectiveness Date 30-Jun-2007 Revised Closing Date 15-Dec-2015 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Unsatisfactory Overall Risk Rating Implementation Status Overview Although there are positive indications for the project progress, such as 82% of 450 micro hydro power plants (MHPs) were constructed, 227 energy meters (EMs) were installed by December 2011, additional 168 EMs would be newly installed by July 15, 2013, and the project verification process has been underway, the project was rated “Moderately Unsatisfactory� due to no progress on the safeguards monitoring nor Community Benefit Plan (CBP) survey. By May 2013, 450 MHPs with total generation capacity of 14,971kW were selected as a final set of projects declaring Carbon Emission Reduction (CER) for this carbon offset project. Construction of 370 MHPs with capacity of 11,093kW has been accomplished: 190 MHPs with 5,966kW among 235 MHPs with 8,383kW by Energy Sector Assistance Programme (ESAP), in addition to 180 MHPs with 5,127kW among 215 MHPs with 6,588kW by Rural Energy Development Programme (REDP) and Renewable Energy for Rural Livelihood (RERL). All the rest of 80 MHPs with 3,878kW (45 MHPs with 2,417kW by ESAP and 35 MHPs with 1,461kW by REDP/RERL) will be constructed by FY2014. 237 energy meters (EMs) were procured by Alternative Energy Promotion Centre (AEPC) using fund allocated from Power Development Project (PDP). Among them, 227 EMs were installed to MHPs by December 2011, but 4 EMs would be relocated to the other 4 MHPs because of permanent shut-down of the originally installed 4 MHPs. Additional EMs will be Public Disclosure Copy also installed to 168 MHPs by July 15, 2013. AEPC have been collecting data of generated electricity volume (to calculate amount of CER) at 227 MHPs where energy meters were installed, since January 2012. The verification process has started and is expected to complete by December 2013. During the midterm review in June 2012, the WB team and AEPC discussed methodology, instruments, monitoring of indicators for CBP, and schedule for environmental and social assessment of the MHPs. Then, AEPC submitted the TOR for “Assessment of Subprojects for Safeguards Compliance, Revision of Environment Management Guidelines, and Evaluation of Community Benefits from Micro Hydro� (or surveys) to hire a consultant using funds from the PDP on June 29, 2012, and the WB provided No Objection to it on July 4, 2012. The surveys, however, have not started, since the selection of a consultant failed due to the unsatisfactory proposal submitted from only one consultant among the shortlisted consultants in November 2012. Locations Page 1 of 3 The World Bank Report No: ISR10558 Country First Administrative Division Location Planned Actual Nepal Eastern Region Udayapur Public Disclosure Copy Nepal Eastern Region Taplejun Nepal Western Region Tanahun Nepal Eastern Region Solukhumbu Nepal Central Region Sindhuli Nepal Central Region Sarlahi Nepal Eastern Region Sankhuwasabha Nepal Mid Western Region Rukum Nepal Mid Western Region Rolpa Nepal Central Region Rasuwa Nepal Central Region Ramechhap Nepal Mid Western Region Pyuthan Nepal Western Region Parbat Nepal Eastern Region Panchthar Nepal Eastern Region Okhaldhunga Nepal Western Region Myagdi Nepal Mid Western Region Mugu Nepal Eastern Region Khotang Public Disclosure Copy Nepal Western Region Kapilbastu Nepal Mid Western Region Kalikot Nepal Central Region Kabhre Palanchok Nepal Mid Western Region Jumla Nepal Mid Western Region Jajarkot Nepal Mid Western Region Humla Nepal Western Region Gulmi Page 2 of 3 The World Bank Report No: ISR10558 Country First Administrative Division Location Planned Actual Nepal Western Region Gorkha Public Disclosure Copy Nepal Far Western Region Doti Nepal Central Region Dolakha Nepal Central Region Dhading Nepal Far Western Region Darchula Nepal Mid Western Region Dailekh Nepal Far Western Region Dadeldhura Nepal Eastern Region Bhojpur Nepal Far Western Region Bajura Nepal Far Western Region Bajhang Nepal Far Western Region Baitadi Nepal Western Region Baglung Nepal Far Western Region Achham Nepal Central Region Sindhupalchok Nepal Eastern Region Terhathum Key Decisions Regarding Implementation As of May 2013, 82% of 450 micro hydro power plants (MHPs) for the carbon offset project were constructed; 168 energy meters (EMs) have been newly installing to the MHPs in addition to already installed 227 EMs; and the project verification process has been underway. Public Disclosure Copy Related Projects There are no related projects. Page 3 of 3