Public Disclosure Copy The World Bank Implementation Status & Results Report PNG Energy Sector Development Project (P101578) PNG Energy Sector Development Project (P101578) EAST ASIA AND PACIFIC | Papua New Guinea | Energy & Extractives Global Practice | IBRD/IDA | Investment Project Financing | FY 2013 | Seq No: 9 | ARCHIVED on 31-May-2018 | ISR32091 | Implementing Agencies: Department of Petroleum and Energy, PNG Power Limited (PPL), Department of National Planning and Monitoring Key Dates Key Project Dates Bank Approval Date:21-Feb-2013 Effectiveness Date:27-Nov-2013 Planned Mid Term Review Date:30-Nov-2015 Actual Mid-Term Review Date:30-Nov-2015 Original Closing Date:31-Jan-2018 Revised Closing Date:31-Jul-2019 Project Development Objectives Project Development Objective (from Project Appraisal Document) Project Development objective: The project development objectives (PDO) are to (i) strengthen policy development andstrategic framework for renewable energy and rural electrification; and (ii) to attract investors for sustainable development ofnew hydropower generation to supply to the Port Moresby electricity grid. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Institutional and Policy Development for Renewable Energy and Rural Electrification:(Cost $1.50 M) Technical Assistance for Preparation and Planning for Port Moresby Hydropower Supply:(Cost $7.10 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  High  High Implementation Status and Key Decisions 5/31/2018 Page 1 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report PNG Energy Sector Development Project (P101578) Project performance ratings remain Moderately Unsatisfactory for both implementation progress (IP) and progress towards the development objective (DO) due to the delays experienced to date within both the DPE and PPL components. Project commitments currently stand at 82 percent of the IDA credit and 96 percent of the GEF grant and overall the project has disbursed 58%. It is expected recruitment of an energy advisor at DPE may assist in progressing some of the delayed activities. The Naoro Brown project was approved by cabinet in April 2018 which is a major breakthrough and should enable progress in the PPL component. The project experiences financial management and procurement delays. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  Substantial  Substantial Macroeconomic  --  Substantial  Substantial Sector Strategies and Policies  --  Low  Low Technical Design of Project or Program  --  Substantial  Substantial Institutional Capacity for Implementation and Sustainability  --  High  High Fiduciary  --  Substantial  Substantial Environment and Social  --  Substantial  High Stakeholders  --  High  High Other  --  Low  Low Overall  --  High  High Results Project Development Objective Indicators PHINDPDOTBL  National Energy Policy and rural electrification strategy finalized by the Department of Petroleum and Energy following participatory process (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 22-Jan-2013 03-Oct-2017 11-Apr-2018 31-Jul-2019 PHINDPDOTBL  Financing structure for the Naoro Brown Hydropower Project is approved by government (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 5/31/2018 Page 2 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report PNG Energy Sector Development Project (P101578) Value N N N Y Date 22-Jan-2013 03-Oct-2017 14-May-2018 31-Jul-2019 Overall Comments Intermediate Results Indicators PHINDIRITBL  Naoro Brown Hydropower Project (NBHP) consultation process progresses in a way that results in decisions that responds to the interests and concerns of women & men in the NBHP area (Comp. 2). (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 22-Jan-2013 03-Oct-2017 14-May-2018 31-Jul-2019 PHINDIRITBL  Elements of Rural electrification strategy prepared (Component 1) (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 22-Jan-2013 25-Sep-2017 25-Sep-2017 31-Jul-2019 PHINDIRITBL  Strategic Environmental and Social Assessment (SESA) completed as part of NEROP (Component 1) (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 22-Jan-2013 25-Sep-2017 25-Sep-2017 31-Jul-2019 5/31/2018 Page 3 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report PNG Energy Sector Development Project (P101578) PHINDIRITBL  Improved GoPNG institutional capacity in the energy sector to support future investment in rural and renewable energy (Component 1) (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 22-Jan-2013 25-Sep-2017 25-Sep-2017 31-Jul-2019 PHINDIRITBL  Improved institutional capacity at PPL related to preparation and planning for hydropower development (Component 2) (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 22-Jan-2013 25-Sep-2017 14-May-2018 31-Jul-2019 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P101578 IDA-52010 Effective USD 7.30 7.30 0.00 3.95 2.92 58% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P101578 IDA-52010 Effective 21-Feb-2013 29-May-2013 27-Nov-2013 31-Jan-2018 31-Jul-2019 Cumulative Disbursements 5/31/2018 Page 4 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report PNG Energy Sector Development Project (P101578) Restructuring History Level 2 Approved on 29-Jun-2016 ,Level 2 Approved on 12-Jul-2017 Related Project(s) P122974-GM- PG Energy Sector Development Project 5/31/2018 Page 5 of 5 Public Disclosure Copy