The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) EUROPE AND CENTRAL ASIA | Albania | Energy & Extractives Global Practice | IBRD/IDA | Investment Project Financing | FY 2008 | Seq No: 19 | ARCHIVED on 28-May-2021 | ISR45655 | Implementing Agencies: Albanian Power Corporation (KESH), Albania Financial Supervisory Authority Key Dates Key Project Dates Bank Approval Date: 30-Jun-2008 Effectiveness Date: 16-Dec-2008 Planned Mid Term Review Date: 30-Nov-2015 Actual Mid-Term Review Date: 07-Apr-2016 Original Closing Date: 31-Dec-2013 Revised Closing Date: 31-Dec-2021 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The objectives of the Project are to: (i) contribute to safeguarding the hydroelectric dams on the Drin and Mat river cascades in the territory of the Borrower; and (ii) improve the operational efficiency of said hydroelectric dams and enhance the stability of power supply in the regional market. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Physical infrastructure investments:(Cost $54.81 M) Technical Assistance and Training:(Cost $10.98 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions After commencement of works in January 2019, the contractor for rehabilitation of spillways, Ciltug from Turkey is progressing with spillway rehabilitation on both HPPs. The project implementation progress is so far satisfactory. The rehabilitation works have been completed in the following elements: (i) Fierza HPP – The rehabilitation works to Spillway Tunnel No.3 (including Stoplog and Radial Gate) have been completed in September 2020. The new shelter in gate house (control room) has been completed on February 2021. The final successful test was conducted in March 2021, reaching 100% opening, which means full discharge capacity. The Spillway Tunnel No.3 is handed over to KESH; (ii) Fierza HPP – The rehabilitation works to Spillway Tunnel No.4 have been completed for the Stoplog No.4 (December 2020) and Stoplog No.4 is handed over to KESH. The works for Radial Gate No.4 restarted in April 2021 after the wet season. The completion is expected in October 2021; (iii) Komani HPP – The rehabilitation works on the Spillway Tunnel No.3 have been completed for the Stoplog No.3 and the Stoplog No.3 is handed over to KESH. The works on Radial Gate No.4 restarted in April 2021, after the wet season. The completion is expected in October 2021 5/28/2021 Page 1 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) (iv) Komani HPP – The rehabilitation works to Spillway Tunnel No.4 (including Stoplog and Radial Gate) have been completed in October 2020. The successful test was conducted gradually reaching the 100% opening. The Spillway Tunnel No.4 is handed over to KESH. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Moderate Moderate Macroeconomic -- Low Low Sector Strategies and Policies -- Moderate Moderate Technical Design of Project or Program -- Moderate Moderate Institutional Capacity for Implementation and -- Moderate Moderate Sustainability Fiduciary -- Moderate Moderate Environment and Social -- Low Low Stakeholders -- Low Low Other -- Moderate Moderate Overall -- Moderate Moderate Results PDO Indicators by Objectives / Outcomes Regional Market Liberalization IN00958783 ►Regional Market Liberalization (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The shareholding Finally, the shareholding arrangement between arrangement between both the Albanian and both the Albanian and the Kosovar the Kosovar transmission transmission The Albanian Power companies (OST-AL and companies (OST-AL Exchange to be Value 0% in most countries KOSTT-KO) was and KOSTT-KO) was Functional and concluded and signed on concluded and signed Operational October 6, 2020. In June on October 6, 2020. 2020, the Kosovar power The ALPEX has been transmission operator registered on October submitted its 23, 2020. The shareholding offer. The selection of the service 5/28/2021 Page 2 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) selection of the service provider is ongoing; provider is ongoing and the tender commenced is expected to be on March 2021 and awarded by December the contract will be 2020. It is expected that awarded possibly on ALPEX will commence its July 2021. It is dry-run operation in April expected that ALPEX 2021, and the first Day will commence its dry- Ahead Market (DAM) run operation in April auction is expected in 2022, and the first Day July 2021. Ahead Market (DAM) The deregulation process auction is expected in is continuing. After twelve June 2022 (postponed customers connected in for one year), including HV are qualified as the coupling with eligible; the other 96 MV Kosovo. The Intraday customers connected in Market will be 35 kV were deregulated operated on April (half of supplied by 2023. distribution with “market The deregulation base price”). The other process is continuing. group of customers After twelve customers potential to be connected in HV are deregulated are the qualified as eligible; customers connected in the other 96 MV MV (20, 10, 6 kV); there customers connected are around 4000 in 35 kV were customers. OSHEE deregulated (only 25% (distribution company) of customers are reported that it is working supplied by on standard load profile, OSHEE/FTL with identifying customers in monthly “market base low-voltage levels for price”). The other deregulation and for group of customers alternative suppliers. potential to be deregulated are the customers connected in MV (20, 10, 6 kV); there are around 4000 customers. OSHEE (distribution company) reported that it is working on standard load profile, identifying customers in low- voltage levels for deregulation and for alternative suppliers. Date 10-Mar-2011 30-Oct-2020 28-May-2021 31-Dec-2021 Comments: The power exchange will speed up the electricity market liberalization and deregulation. OST, Albania’s state-owned transmission system operator (TSO), has established a company to operate the power exchange. The shareholding agreement for the Albanian Power Exchange (ALPEX) was just concluded, paving the way for initial operation in the first half of 2022 (postponed for one year). The Council of Ministers approved the establishment of ALPEX on May 15, 2019. In June 2020, the Kosovar power transmission operator submitted its shareholding offer. Finally, the shareholding arrangement between both the Albanian and the Kosovar transmission companies (OST-AL and KOSTT-KO) was concluded and signed on October 6, 2020. The ALPEX is registered on October 23, 2020. The selection of the service provider is ongoing; the tender commenced on March 2021 and the contract will be awarded possibly on July 2021. It is expected that ALPEX will commence its dry-run operation in April 2022, and 5/28/2021 Page 3 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) the first Day Ahead Market (DAM) auction is expected in June 2022 (postponed for one year), including the coupling with Kosovo. The Intraday Market will be operated on April 2023. Improve the dams’ operation efficiency IN00958785 ►Improve the dams’ operation efficiency (Gigawatt-hour (GWh), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 15.00 25.00 31.00 Date 19-May-2008 30-Oct-2020 28-May-2021 31-Dec-2021 The electromechanical rehabilitation works for Komani HPP (the largest hydro power plant in Albania) is fully completed on March 2019; The refurbishment and rehabilitation of all four units have increased the power plant: (i) reliability (the availability of units is high and the benefit from the cascade operation during good hydrology is significant) and (ii) efficiency (water leakages are eliminated and the estimated GWh Comments: 25 lost during one year is reduced to zero). The full rehabilitation of all spillway capacities in Fierza HPP, Komani HPP and Vau Deja HPP will increase significantly the efficiency and the benefit from cascade operation (Optimization factor). Safeguarded dams and generation capacities IN00958784 ►Safeguarded dams and generation capacities (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The main hydropower • The main capacities in Albania are hydropower capacities affected by safeguards in Albania are affected measures (Drin and Mat by safeguards Rivers Cascades). measures (Drin and The dam geological, Mat Rivers Cascades). seismic and geodetic • The dam geological, monitoring systems are seismic and geodetic functional (both monitoring systems Cascades). are functional (both COMPLETED. Cascades). The Rockfall danger COMPLETED. protection works in all • The Rockfall danger three Drin River Dams Safeguard remedies protection works in all Safeguard measures are are COMPLETED are implemented at Value three Drin River Dams not functional Komani dam toe Drin and Mat Rivers are COMPLETED rehabilitation works are Cascades • Komani dam toe COMPLETED on July rehabilitation works 2016 are COMPLETED on KESh and Albanian July 2016 institution are adopting • KESh and Albanian the recommendations of institution are adopting “Strengthening of the the recommendations Institution set-up of Dam of “Strengthening of Safety and Emergency the Institution set-up of Preparedness” study. Dam Safety and COMPLETED Emergency Rehabilitation works in Preparedness” study. Komani HPP are COMPLETED completed and four 5/28/2021 Page 4 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) generation units are in • Rehabilitation works operation. in Komani HPP are COMPLETED on March completed and four 2019. generation units are in The contract for Fierza operation and Komani’s Spillways COMPLETED on Rehabilitation works, is in March 2019. implementation phase • The rehabilitation since January 2019. The works have been rehabilitation works have completed in Spillway been completed in Tunnel Nb3 in Fierza Tunnel Nb3 in Fierza HPP (1780 m3/sec) HPP and Tunnel Nb4 in and Spillway Tunnel Komani HPP. The Nb4 in Komani HPP operational spillway (1700 m3/sec). Last capacity ready for winter (October2020 - winter/rainy season, is April2021) has been doubled (1,600 m3/sec) verified the satisfactory in Fierza HPP (compared operation of spillway with that before the capacities in both rehabilitation) and is back power plants. The to the designed capacity rehabilitation works (3,600 m3/sec) in are continuing for Komani HPP. Radial Gate Nb4 in Fierza HPP (Stoplog Nb4 is completed) and Radial Gate Nb3 in Komani HPP (Stoplog nb3 is completed), and should be completed in October 2021 Date 19-May-2008 30-Oct-2020 28-May-2021 31-Dec-2021 The significant contribution of the project is focused on safeguarding the hydropower dams on the Drin River Cascade in the territory of Albania. The main hydro power capacities are directly affected by safeguards remedial measures including those with very high priority, high priority and medium priority: (i) the dam geological, seismic and geodetic monitoring systems are functional; (ii) KESh and Albanian institution are implementing the strengthening of the Institution set-up of Dam Safety and Emergency Comments: Preparedness based on risk analysis; (iii) the Komani dam toe is fully reinstated; (iv) the Rockfall danger protection is implemented in three hydro power plants; (v) four units in Komani HPP are renovated and re- commissioned; (vi) the rehabilitation of Spillways in three power plants are in implementation phase; and (vii) the recommendation for the hydrology risk management and new additional spillway capacities in Komani and Fierza HPPs are provided. Overall Comments PDO The EnC Secretariat pointed out the positive developments in the establishment of day-ahead markets in Albania. However, the pace of reforms in the WB6 region overall must be accelerated if market coupling is to take place within the time horizon foreseen. The establishment of a legal framework harmonized with the Third Energy Package and a power exchange, the key prerequisites, are yet to be completed by all WB6 Contracting Parties. The EnC Sekretaria is urging the GoA to speed up the distribution unbundling and limiting the market power of OSHEE. The partial unbundling of three activities under the holding umbrella is carried out and be finalized during this year. The restructuring is ongoing, but the COVID-19 crisis and the political election have postponed the procedures and actions. Drin River Cascade operational efficiency is significantly improved. The generation is increased, and the Bank provided the recommendations and tool for the simulation of the Albanian system in order to optimize the utilization of hydro resources. The Drin River SCADA system (including the alarm system) is in implementation phase. The electromechanical rehabilitation works for Komani HPP (the largest hydro power plant in Albania) is fully completed on March 2019 and the refurbishment and rehabilitation of all four units have increased the power plant: (i) reliability (the availability of units is high and the benefit from the cascade operation during good hydrology is significant) and (ii) efficiency (water leakages are eliminated and the estimated GWh 25 lost during a year is reduced to zero. 5/28/2021 Page 5 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) Intermediate Results Indicators by Components Physical Infrastructure Investments IN00958861 ►The rehabilitated spillways are tested and functional for very high priority investments (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The rehabilitation works The rehabilitation have been completed in works have been the following elements: (i) completed in the to Fierza HPP – The following elements: (i) rehabilitation works to Fierza HPP – The Spillway Tunnel No.3 rehabilitation works to (including Stoplog and Spillway Tunnel No.3 Radial Gate) have been (including Stoplog and completed in September Radial Gate) have 2020. The test was been completed in conducted successfully, September 2020. The gradually reaching new shelter in gate around 50% opening, house (control room) which means around 800 has been completed cubic meters per second on February 2021. The discharge. This is KESH final successful test record discharge since was conducted in the original construction; March 2021, reaching (ii) to Fierza HPP – The 100% opening, which rehabilitation works to means full discharge Spillway Tunnel No.4 are capacity. The Spillway ongoing; the works for Tunnel No.3 is handed the Stoplog No.4 will be over to KESH; (ii) completed in December Fierza HPP – The 2020 and the works for rehabilitation works to Feasibility Study (FS) Rehabilitation tested Value Radial Gate No.4 will be Spillway Tunnel No.4 completed and completed resumed in May 2021 have been completed after the winter/rainy for the Stoplog No.4 season; (iii) to Komani (December 2020) and HPP – The rehabilitation Stoplog No.4 is works on the Spillway handed over to KESH. Tunnel No.3 have been The works for Radial completed for the Gate No.4 restarted in Stoplog No.3 and the April 2021 after the works on Radial Gate wet season. The No.4 will be resumed in completion is expected May 2021, after the in October 2021; (iii) winter/rainy season; and Komani HPP – The (iv) to Komani HPP – The rehabilitation works on rehabilitation works to the Spillway Tunnel Spillway Tunnel No.4 No.3 have been (including Stoplog and completed for the Radial Gate) have been Stoplog No.3 and the completed in October Stoplog No.3 is 2020. The test was handed over to KESH. successfully conducted, The works on Radial gradually reaching the Gate No.4 restarted in 100% opening. April 2021, after the kfW is financing the wet season. The Spillway Gates completion is expected Rehabilitation and new in October 2021; (iv) 5/28/2021 Page 6 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) Stop-logs in Vau Deja Komani HPP – The Dams; the progress is rehabilitation works to reported on rehabilitation Spillway Tunnel No.4 on two stoplogs in Zadeja (including Stoplog and Dam. The works for new Radial Gate) have stoplog in Qyrsaq dam been completed in will start in February October 2020. The 2021. successful test was conducted gradually reaching the 100% opening. The Spillway Tunnel No.4 is handed over to KESH. kfW is financing the Spillway Gates Rehabilitation and new Stop-logs in Vau Deja Dams. The actual works at the Zadeja Dam are progressing very slowly, with significant delays due to repeated claims by the Contractor and a slower approval process. Actually, the rehabilitation works for the Stoplog have been completed and the works for two Radial Gates (Bay No1 and Bay No2) started. The works for new Stoplog in Qyrsaq dam has not yet started. After the underwater inspection, the new design for new stoplog is required (some dimensions were not correct). The second design will be provided by the contractor for review and approval by KESH and ALCOLD.. Date 10-Mar-2011 30-Oct-2020 28-May-2021 31-Dec-2021 IN00958862 ►High priority remedial measures completed (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value FS completed The Intermediate The Intermediate Rehabilitation Indicator is COMPLETED Indicator is completed (i) The Electro- COMPLETED Mechanical (i) The Electro- Rehabilitation works in Mechanical Komani HPP are Rehabilitation works in completed. Four Komani HPP are generation units are re- completed. Four commissioned and in generation units are 5/28/2021 Page 7 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) operation since March re-commissioned and 2019. in operation since (ii) The Dam's March 2019. Instrumentation and (ii) The Dam's Monitoring Systems are Instrumentation and COMPLETED. The Monitoring Systems additional instruments are COMPLETED. The and other facilities are additional instruments provided by SECO and and other facilities are COMPLETED; the provided by SECO and underwater inspection to COMPLETED; the verify the water leakages underwater inspection in Komani Dam, is to verify the water COMPLETED. leakages in Komani (iii) The Komani Dam toe Dam, is COMPLETED. rehabilitation works, the (iii) The Komani Dam consolidation of scour toe rehabilitation area and dredging to the works, the tailrace channel are consolidation of scour COMPLETED. area and dredging to (iv) The Prefeasibility and the tailrace channel Feasibility studies are are COMPLETED. both COMPLETED. The (iv) The Prefeasibility recommendations for and Feasibility studies new additional spillways are both in Fierza and Komani COMPLETED. The Dams are provided. recommendations for new additional spillways in Fierza and Komani Dams are provided. Date 10-Mar-2011 30-Oct-2020 28-May-2021 31-Dec-2020 IN00958863 ►Remedial measures of medium priority and operational improvements completed (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value FS completed The intermediate The intermediate Remedial measures Indicator is partially Indicator is partially and operational COMPLETED COMPLETED improvements (i). The Risk Analysis and (i). The Risk Analysis completed preparation of and preparation of Emergency Emergency Preparedness Plan Preparedness Plan (EPP) is COMPLETED; (EPP) is the Albanian responsible COMPLETED; the institutions are adopting Albanian responsible the recommendations institutions are provided in EPP. adopting the (ii) The internal recommendations organization is provided in EPP. COMPLETED; the new (ii) The internal dam safety department is organization is established. The Internal COMPLETED; the Operational procedures new dam safety are continuously department is improved. KESH is established. The adopting the Internal Operational “Strengthening of the procedures are Institution set-up of Dam continuously improved. Safety and Emergency KESH is adopting the 5/28/2021 Page 8 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) Preparedness” study “Strengthening of the recommendations. Institution set-up of (iii) The Rock-fall Dam Safety and protection in Fierza HPP, Emergency Komani HPP and Vau Preparedness” study Deja HPP are recommendations. COMPLETED The (iii) The Rock-fall rockfall danger protection protection in Fierza and rockfall stochastic HPP, Komani HPP modeling are completed and Vau Deja HPP are in all Drin Cascade Dam COMPLETED The (iv) The Drin River rockfall danger SCADA system protection and rockfall (including the alarm stochastic modeling system) is in are completed in all implementation phase; Drin Cascade Dam that is financed by KfW (iv) The Drin River (v) Drin river operation SCADA system optimization (WBG (including the alarm finances) - system) is in COMPLETED. The study implementation phase; (finalized in 2012) that is financed by KfW presents the results of (v) Drin river operation the simulation of the optimization (WBG Albanian system in order finances) - to optimize the utilization COMPLETED. The of hydro resources. study (finalized in 2012) presents the results of the simulation of the Albanian system in order to optimize the utilization of hydro resources. Date 10-Mar-2011 30-Oct-2020 28-May-2021 31-Dec-2020 IN00958864 ►Safety of Dams Expert Panel (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The Panel of Experts The Panel of Experts is is fully operative; the fully operative; the individual contracts are individual contracts are valid until December Terms of reference Value valid until December 2021. The final Panel in full operation. drafted 2020 and will be summary meeting extended until December between KESH and 2021. Panel will be held in fall 2021. Date 10-Mar-2011 30-Oct-2020 28-May-2021 31-Dec-2021 IN00958865 ►Hydrology analysis and water management (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value Planning stag The intermediate The intermediate The system is Indicator is COMPLETED Indicator is completed and COMPLETED functional 5/28/2021 Page 9 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) The Prefeasibility and The Prefeasibility and Feasibility studies are Feasibility studies are both COMPLETED. both COMPLETED. The recommendations The recommendations for new additional for new additional spillways in Fierza and spillways in Fierza and Komani Dams, are Komani Dams, are provided. provided. Date 10-Mar-2011 30-Oct-2020 28-May-2021 30-Jun-2019 Comments: IN00958866 ►Emergency preparedness plan (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The intermediate The intermediate indicator is indicator is COMPELTED COMPELTED The Risk Analysis and The Risk Analysis and preparation of preparation of Emergency Emergency Preparedness Plan Preparedness Plan Value Planning stage (EPP) is COMPLETED (EPP) is COMPLETED Continuation Albanian responsible Albanian responsible authorities and authorities and institutions are adopting institutions are the recommendations adopting the provided in EPP recommendations provided in EPP Date 10-Mar-2011 30-Oct-2020 28-May-2021 31-Dec-2019 IN00958867 ►Strengthen the capacities of KESH’s dam safety department and AlbCOLD (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The intermediate Indicator is The intermediate COMPLETED Indicator is COMPLETED The internal The internal organization organization is is COMPLETED; the new COMPLETED; the dam safety department is new dam safety established. The internal department is operational established. The improvements are internal operational Value Planning stage Completion ongoing. KESH is improvements are adopting the ongoing. KESH is “Strengthening of the adopting the Institution set-up of Dam “Strengthening of the Safety and Emergency Institution set-up of Preparedness” study Dam Safety and recommendations Emergency Preparedness” study recommendations Date 10-Mar-2011 30-Oct-2020 28-May-2021 30-Jun-2019 5/28/2021 Page 10 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) IN00958868 ►Prepare a new structure and organization for KESH Generation (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The internal organization is The internal organization COMPLETED; the is COMPLETED; the new new dam safety dam safety department is department is established. The internal established. The operational internal operational improvements are improvements are ongoing. KESH is ongoing. KESH is adopting the adopting the “Strengthening of the “Strengthening of the Institution set-up of Dam Institution set-up of Value Planning stage Safety and Emergency Dam Safety and Completion Preparedness” study Emergency recommendations. Preparedness” study KESH made an internal recommendations. reorganization and listed KESH made an the PMU under the internal reorganization KESH Generation and listed the PMU Department. PMU has under the KESH been always an Generation independent unit under Department. PMU has KESH CEO. been always an independent unit under KESH CEO. Date 10-Mar-2011 30-Oct-2020 28-May-2021 30-Jun-2019 IN00958869 ►Financial management capacity building (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value Planning stage Financial Management The assignment, KESH’s annual (FM) TA: The contracted completed in financial statements consulting firm has September 2020, are prepared in full delivered all the tasks aimed strengthening compliance with IFRS envisaged under the the KESH’s financial terms of reference. The management capacity final Report and the in maintaining financial Consultant’s Completion management systems Report are submitted to and reporting in full KESH and accepted. compliance with IFRS One of the outputs of the standards. As a result TA has been the of the assignment, the preparation of the overall quality of the financial statements for KESH financial the year ended statement has December 31, 2018 in improved, as KESH compliance with addressed a number International Financial of IFRS departures Reporting Standards and weaknesses. (IFRS) However, the Bank team notes that KESH audited financial several bases for the statements for 2018 and audit opinion 2019. The draft audit qualifications still opinion on 2018 financial remain unresolved as statements (FS), higher decision making 5/28/2021 Page 11 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) submitted to KESH (from the board and during the mission, shareholder) is anticipates two key required. The latter issues: (i) the adequacy puts completion of the of the methodology used activity and for the impairment achievement of the review, and (ii) PDO-level indicator in disagreement on the jeopardy. In this measurement and regard, the Bank team classification of financial has advised KESH instruments (especially management to inform those related to OSHEE the supervisory board and OST) and and shareholder borrowings. The final accordingly, and audit opinion and audited advise on the financial statements are necessary steps to be expected once both taken to address the parties agree on the audit existing financial opinion. The audit has statements been prolonged because qualifications, aiming of the adjustments an unmodified opinion accounted in FS as an for the financial output of the FM TA, and statements for the year related audit verifications, 2020.The KESH team as well as delays due to informed on the status Covid-19 lockdown and of audited financial consequences. Despite statements, in disagreements in the compliance with Bank opinion, there is an audit requirements, for improvement in the the year 2019 and quality of FS compared 2020. The audit to prior years. In prior fieldwork for the year year audits, the 2019, was completed significance of the and the respective limitations on the audit audit report is scope, did not allow the forthcoming. auditor to issue an audit The KESH team opinion at all, while the informed that the basis current audit has of qualifications identified the measurable presented the 2018 impact of the audit report remain disagreements, which unresolved for 2019 as allow users to be well, including (i) the informed. adequacy of the methodology used for the impairment review, (ii) disagreement on the measurement of certain borrowing items and financial instruments, and other presentation and classification departures. Meanwhile, the audit of KESH and project financial statements for the year 2020, has just started. The auditor’s fieldwork is planned between June-August 2020, while the issuance of the audit report for the 5/28/2021 Page 12 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) project and KESH entity is expected by September and October 2021, respectively. Date 10-Mar-2011 30-Oct-2020 28-May-2021 31-Dec-2021 IN00958870 ►Percentage of grievance received and addresses within agreed timeframe (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 95.00 Date 31-Jan-2018 30-Oct-2020 28-May-2021 31-Dec-2021 The Project has set up a GRM which is fully staffed and accessible to all citizens but no complaints have been received to date. A staff member in the implementing agency, Mr. Fatos Bundo, is assigned to receive feedback/complaints and to facilitate a process by which feedback would be addressed and follow up would take place. A logbook has been set up as part of this. The GRM is supported by a phone and Comments: email hotline and accepts complaints in writing. Information about the GRM is made available at project sites and in neighbor communities, which reflects a recent attempt of the implementing agency to support knowledge about the GRM within communities. Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P110481 IBRD-81110 Closed USD 21.60 21.60 0.00 17.76 0.00 100% P110481 IBRD-88620 Effective USD 14.90 14.90 0.00 8.97 5.17 63% P110481 IDA-44800 Closed USD 35.30 35.30 0.00 32.10 0.00 100% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P110481 IBRD-81110 Closed 20-Dec-2011 17-Feb-2012 31-May-2012 30-Dec-2016 31-Dec-2020 P110481 IBRD-88620 Effective 25-May-2018 21-Jun-2018 29-Nov-2018 31-Dec-2020 31-Dec-2021 P110481 IDA-44800 Closed 30-Jun-2008 02-Jul-2008 16-Dec-2008 31-Dec-2013 31-Dec-2020 Cumulative Disbursements 5/28/2021 Page 13 of 14 The World Bank Implementation Status & Results Report Energy Community of South East Europe APL Program - APL 5 for Albania DAM SAFETY (P110481) PBC Disbursement Achievement Disbursed amount in Disbursement % PBC ID PBC Type Description Coc PBC Amount Status Coc for PBC Restructuring History Level 2 Approved on 15-Dec-2015 ,Level 2 Approved on 27-Dec-2016 ,Level 2 Approved on 21-Dec-2020 Related Project(s) P125856-DAM SAFETY - ADDITIONAL FINANCING ,P166469-Second Additional Financing for Energy Community of South East Europe APL Program APL 5 for Albania Dam Safety 5/28/2021 Page 14 of 14