The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) Power Distribution Improvement Project (P178477) EAST ASIA AND PACIFIC | Lao People's Democratic Republic | IBRD/IDA | Investment Project Financing (IPF) | FY 2023 | Seq No: 4 | Archived on 30-Oct-2024 | ISR02109 Implementing Agencies: Electricité du Lao (EDL) 1. OBJECTIVE 1.1 Development Objective Original Development Objective (Approved as part of Approval package on 31-May-2023) To strengthen the capacity and efficiency of the distribution system in the Project Areas and improve EDL’s financial management capacity; and in case of an Eligible Crisis or Emergency, respond promptly and effectively to it. Has the Development Objective been changed since Board Approval of the Project Objective? No 2. COMPONENTS Name Component 1: Substation Investments and Grid Monitoring Systems:(Cost 46,000,000.00) Component 2: Financial Management System and SAP Implementation:(Cost 5,000,000.00) Component 3: Contingent Emergency Response:(Cost 0.00) 3. OVERALL RATINGS Name Previous Current Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial 4. KEY ISSUES & STATUS Oct 31, 2024 Page 1 of 6 The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) 4.1 Implementation Status and Key Decisions The Power Distribution Improvement Project (PDIP) was approved by the Board on June 1, 2023 and became effective on September 27, 2023. While overall implementation progress is experiencing some delays, key procurement packages are under way, with contracts awarding anticipated in the coming months. The pace of the Project's implementation is expected to accelerate once these key procurement packages are finalized. 5. SYSTEMATIC OPERATIONS RISK-RATING TOOL Rating at Approval Last Approved Rating Risk Category Approval Package - ISR Seq. 03 - 06 May Proposed Rating 01 Jun 2023 2024 Political and Governance High High High Macroeconomic High High High Sector Strategies and Policies High High High Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and Substantial Substantial Substantial Sustainability Fiduciary Substantial Substantial Substantial Environment and Social Substantial Substantial Substantial Stakeholders Moderate Moderate Moderate Overall Substantial Substantial Substantial Oct 31, 2024 Page 2 of 6 The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) 6. RESULTS 6.1 PDO Indicators by PDO Outcomes Strengthened capacity and efficiency of distribution system Baseline Actual (Previous) Actual (Current) Closing Period Indicator Name Value Month/Year Value Date Value Date Value Month/Year 0.00 Aug/2023 0.00 21-Mar-2024 0.00 17-Oct-2024 34.00 Aug/2028 Increase in efficiency at the Comments on This indicator calculates the loss of transformers at the targeted existing substations as the targeted substations achieving targets base value by considering the load profile, transformers' capacities, and their manufactured (Percentage) year. Then it is calculated along the implementation and is compared with the base value. Increase in distribution 397,000.00 Aug/2023 397,000.00 21-Mar-2024 397,000.00 17-Oct-2024 710,000.00 Aug/2028 capacity at the targeted Comments on This indicator is calculated by sum of distribution transformers' capacity in the targeted substations (Kilovolt- achieving targets substations. The baseline is the existing transformers' capacity. Amphere(KVA)) Improved EDL’s financial management capacity Baseline Actual (Previous) Actual (Current) Closing Period Indicator Name Value Month/Year Value Date Value Date Value Month/Year Reduction in the amount of 5.00 Aug/2023 5.00 21-Mar-2024 5.00 17-Oct-2024 3.00 Aug/2028 time to complete annual Comments on This indicator is calculated by the amount of time (in months) to finalize the annual financial financial reports for Ministry achieving targets reports by EDL to be submitted to the Ministry of Finance of Finance (Months) Reduction in the number of 3.00 Aug/2023 3.00 21-Mar-2024 3.00 17-Oct-2024 0.00 Aug/2028 issues raised in the disclaimer Comments on This indicator measures the reduction in the number of issues raised in the disclaimer opinion opinion of the audit reports achieving targets of the audit reports (Number) Page 3 of 8 The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) 6.2 Intermediate Results Indicators by Components Component 1: Substation Investments and Grid Monitoring Systems Baseline Actual (Previous) Actual (Current) Closing Period Indicator Name Value Month/Year Value Date Value Date Value Month/Year Increased share of female 8.00 Nov/2022 8.00 21-Mar-2024 8.00 17-Oct-2024 13.00 Jul/2028 staff in technical and Comments on Percentage share of female staff in technical and management positions management positions achieving targets (Percentage) 0.00 Aug/2023 0.00 21-Mar-2024 0.00 17-Oct-2024 12.00 Aug/2028 Number of transformers Comments on Number of existing transformers to be rehabilitated (cumulative targets over years) rehabilitated (Number) achieving targets 0.00 Aug/2023 0.00 21-Mar-2024 0.00 17-Oct-2024 3.00 Aug/2028 Number of new transformers Comments on Number of New Transformers installed/added (cumulative targets over years) installed (Number) achieving targets 0.00 Aug/2023 0.00 21-Mar-2024 0.00 17-Oct-2024 7,281.00 Aug/2028 Annual energy loss reduction Comments on This indicator calculates yearly reduction in energy losses that results from replacement of from transformers replaced achieving targets existing old transformers with new, more efficient ones. Theoretical target numbers for this (Megawatt hour(MWh)) indicator are calculated using a same load factor and capacity for both the old and new transformers. Number of EDL staff trained 0.00 Aug/2023 0.00 21-Mar-2024 0.00 17-Oct-2024 200.00 Jul/2028 (of which 50% female) Comments on Targeted training of EDL staff (at least 50 percent of total female staff training) on various (Number) achieving targets capacity building activities under project interventions (cumulative targets over years). Annual user satisfactory No Aug/2023 No 21-Mar-2024 No 17-Oct-2024 Yes Aug/2028 Page 4 of 8 The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) survey conducted targeting Comments on This indicator measures the undertaking of EDL’s existing annual user satisfactory survey project specific user groups achieving targets mechanism for the target group and feedback. such as existing grid- connected households and SMEs (Yes/No) 0.00 Aug/2023 0.00 21-Mar-2024 0.00 17-Oct-2024 30.00 Aug/2028 Increased response rate of Comments on In 2022, the EDL Annual User Satisfactory Survey received about 380 response (focusing only a the EDL Annual User achieving targets few districts in Vientiane Capital) out of 1.6 million customers nation wide. The response rate Satisfactory Survey is less than 0.0003. This indicator measures the increased rate of response to also cover (Percentage) Project target areas. Component 2: Financial Management System and SAP Implementation Baseline Actual (Previous) Actual (Current) Closing Period Indicator Name Value Month/Year Value Date Value Date Value Month/Year Increased number of staff 300.00 Aug/2023 300.00 21-Mar-2024 300.00 17-Oct-2024 500.00 Jul/2028 processing information Comments on This indicators measures the increase in numbers of staff processing information through SAP through SAP [50% target for achieving targets resulting from the project intervention, with at least 30 percent female staff participation as female staff participation] target. The numbers target are accumulated over years. (Number) Reduction in staff time used 24.00 Nov/2022 24.00 21-Mar-2024 24.00 17-Oct-2024 8.00 Aug/2028 to manually input and update Comments on This indicator measures the reduction of staff time (in hours) to manually input and update financial data (Hours) achieving targets financial data Reduced rate of SAP software 100.00 Aug/2023 100.00 21-Mar-2024 100.00 17-Oct-2024 10.00 Aug/2028 and hardware errors that EDL Comments on This indicator measures the reduction rate of SAP errors that EDL cannot solve in-house. cannot solve in-house achieving targets Currently EDL is not able to resolve any SAP issues internally (Percentage) No Manual Aug/2023 No Manual 21-Mar-2024 No Manual 17-Oct-2024 2 Manuals Jul/2028 Accounting Manual and SAP published on SOP Manual accessible for all EDL website EDL staff (Text) and EDL staff Page 5 of 8 The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) users trained Comments on Develop Accounting Manual and SAP SOP Manual accessible for all EDL staff achieving targets Page 6 of 8 The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) 7. DATA ON FINANCIAL PERFORMANCE 7.1 Cumulative Disbursements 7.2 Disbursements (by loan) Loan/Credit/TF Status Original Revised Cancelled Disbursed Undisbursed % Disbursed Historical Disbursed IDA-72970 Effective 25.50 25.50 0.00 2.37 23.16 9.28% 25.50 IDA-72960 Effective 25.50 25.50 0.00 0.00 24.91 0% 25.50 7.3 Key Dates (by loan) Loan/Credit/TF Status Approval Signing Effectiveness Orig. Closing Rev. Closing IDA-72960 Effective 01-Jun-2023 29-Jun-2023 27-Sep-2023 31-Aug-2028 31-Aug-2028 Oct 31, 2024 Page 5 of 6 The World Bank Implementation Status & Results Report Power Distribution Improvement Project (P178477) IDA-72970 Effective 01-Jun-2023 29-Jun-2023 27-Sep-2023 31-Aug-2028 31-Aug-2028 8. KEY DATES Key Events Planned Actual Approval 01-Jun-2023 01-Jun-2023 Effectiveness 27-Sep-2023 27-Sep-2023 Mid-Term Review No. 01 10-Mar-2026 Operation Closing/Cancellation 31-Aug-2028 9. RESTRUCTURING HISTORY 10. ASSOCIATED OPERATION(S) There are no associated operations Oct 31, 2024 Page 6 of 6