The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) SOUTH ASIA | Nepal | Energy & Extractives Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2019 | Seq No: 5 | ARCHIVED on 19-Jul-2021 | ISR47180 | Implementing Agencies: Alternative Energy Promotion Centre (AEPC), Government of Nepal, Ministry of Finance Key Dates Key Project Dates Bank Approval Date: 30-Jan-2019 Effectiveness Date: 30-Sep-2019 Planned Mid Term Review Date: 15-Dec-2021 Actual Mid-Term Review Date: Original Closing Date: 30-Apr-2023 Revised Closing Date: 30-Apr-2023 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to increase electricity generation capacity from renewable energy mini-grids in selected areas by mobilizing ESCOs. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component 1: Credit Facility to support Renewable Mini-grid Subprojects:(Cost $5.61 M) Component 2: Technical Assistance to the Mini-grid Sector, ESCOs and Partner Banks and Project Management Support:(Cost $2.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions The Project Management Team (PMT) at Alternative Energy Promotion Center (AEPC) is fully staffed and functional. In case sub-projects, four microhydro projects have been selected for implementation in the first phase, amongst which two have completed Detailed Feasibility Studies (DFS). In addition, three micro/mini hydro subprojects and their respective ESCOs have been selected for the approval process. They will be listed in the pipeline for implementation under the second lot of project implementation process. Nine solar subprojects have been selected for implementation as part of a first round of approvals. Three of these subprojects have completed DFS. DFS reports and Environmental and Social Management Plans (ESMP) have been prepared for both projects. It was agreed between AEPC and GoN that subsidy policy will be followed, and POM will be revised to reflect it. AEPC has thus proposed to amend the existing POM to update the subsidy portion to match the GoN’s subsidy policy and provide a concessional interest rate instead of a marginally commercial interest rate, which would better encourage the developers to develop the subprojects in the pipeline. The request has also been made 7/19/2021 Page 1 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) to include a new category of subprojects: “Solar and Micro/Mini Hydro Subprojects in On-grid Areas” to widen the project scope. The options proposed by AEPC is under discussion, especially given the request of concessional interest rate. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Substantial High Macroeconomic Moderate Substantial Substantial Sector Strategies and Policies Substantial Substantial Substantial Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and High High High Sustainability Fiduciary Substantial Substantial Substantial Environment and Social Moderate Moderate Moderate Stakeholders Substantial Substantial Substantial Other -- Substantial Substantial Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes To increase electricity generation capacity from RE mini-grids in selected areas by mobilizing ESCOs IN01006518 ►Generation capacity of energy constructed or rehabilitated (Megawatt, Corporate) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 3.80 Date 01-Mar-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006519 ►People provided with new or improved electricity service (Number, Corporate) Baseline Actual (Previous) Actual (Current) End Target 7/19/2021 Page 2 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) Value 0.00 0.00 0.00 126,000.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006520 ►Capital mobilized by private companies (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 121,738.00 3,363,000.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 Intermediate Results Indicators by Components Component 1: Credit Facility to Support Renewable Energy Mini-grid Subprojects IN01006571 ►Number of new mini-grid subprojects supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006573 ►Number of rehabilitated mini-grid subproject supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 4.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006575 ►Number of mini-grid interconnection subproject supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 9.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006577 7/19/2021 Page 3 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) ►Net greenhouse gas emissions (Tones/year, Corporate) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 29,486.86 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006579 ►Number of businesses provided with new or improved electricity service (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 82.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006580 ►Number of Women businesses provided with new or improved electricity service (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 27.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006581 ►Number of households provided with new or improved electricity service (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 27,000.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: IN01006582 ►Annual electricity output from renewable energy (Gigawatt-hour (GWh)) (Gigawatt-hour (GWh), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 27.50 Date 01-Feb-2019 30-Sep-2020 26-Apr-2021 30-Apr-2023 The delay in progress of indicator is due to risks outside the Project's control i.e. the COVID-19 pandemic. Comments: Component 2: Technical Assistance to Mini-grid Sector, ESCOs, and PBs and Project Management Support 7/19/2021 Page 4 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) IN01006572 ►People trained in project preparation and implementaiton (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 24.00 150.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 IN01006574 ►Number of women trained to engage in mini-grid sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 4.00 50.00 Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 IN01006576 ►Consultations with citizens and consumer feedback surveys with publicly disclosed reports summarizing findings (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No Yes Yes Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 IN01006578 ►Specialist services procured for project implementaiton (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-Feb-2019 30-Sep-2020 30-Jun-2021 30-Apr-2023 Overall Comments IR The project design includes multiple opportunities for citizen engagement and consultation with various stakeholders including households, women and business owners. Component 3 includes training for women to engage in the mini-grid sector. Similarly, ESCOs are encouraged to engage households and business owners on energy services planning. An indicator to track consultation and consumer feedback surveys is included in the RF. Due to the impact of COVID-19 and lockdown restrictions, these consultation and surveys have not been carried out yet. Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed 7/19/2021 Page 5 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) P149239 TF-A8336 Effective USD 2.00 2.00 0.00 0.00 2.00 0%% P149239 TF-A8382 Effective USD 5.61 5.61 0.00 0.89 4.72 16% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P149239 TF-A8336 Effective 30-Jan-2019 22-Apr-2019 30-Sep-2019 30-Apr-2023 30-Apr-2023 P149239 TF-A8382 Effective 30-Jan-2019 22-Apr-2019 30-Sep-2019 30-Apr-2023 30-Apr-2023 Cumulative Disbursements PBC Disbursement Achievement Disbursed amount in Disbursement % PBC ID PBC Type Description Coc PBC Amount Status Coc for PBC Restructuring History There has been no restructuring to date. Related Project(s) 7/19/2021 Page 6 of 7 The World Bank Implementation Status & Results Report Nepal: Private Sector-Led Mini-Grid Energy Access Project (P149239) There are no related projects. 7/19/2021 Page 7 of 7