OFFICIAL OCUMENTS THE WORLD BANK IBRD IDA I woRiDAwKwGROuP May 1, 2017 Honorable Snyder Rini Minister of Finance and Treasury Ministry of Finance and Treasury P.O. Box 26 Honiara Solomon Islands Dear Minister, Solomon Islands: Additional Financing for Sustainable Energy Project Credit No. 5379-SB and Grant No. H913-SB Amendment to the Financing Agreement We refer to the Financing Agreement (-Financing Agreement") between Solomon Islands (-Recipient") and the International Development Association ("Association") for the above mentioned Project ("Project") dated April 1, 2014. We also refer to the letter dated January 29, 2016 from the Ministry of Finance and Treasury to the Association requesting some amendments be made to the Financing Agreement. We are pleased to inform you that the Association agrees to your request and proposes to amend the Financing Agreement as follows: 1. Schedule I to the Financing Agreement is amended to read as follows: "Part 1. Strengthening Management Carrying out a program of activities designed to strengthen the capacity of the Project Implementing Entity, such activities to include: (a) provision of engineering services for design and supervision of the capital works program and the recruitment and maintenance of a capital projects manager; (b) provision of technical assistance and training in power system dispatch and control, power system planning, integration of intermittent renewables, independent power producers, and project management; (c) recruitment of finance and due diligence advisors; and (d) provision of technical assistance for the preparation of feasibility engineering services and safeguard studies for renewable energy activities. Part 2. Technical Operations Carrying out a program of activities designed to strengthen the technical operations of the Project Implementing Entity, such program to include: (a) installation of a transformer and a second switchboard at Ranadi zone substation; (b) installation of a transformer at Lungga power station; (c) construction of a zone substation at Kola'a Ridge, including a transformer; and (d) construction, around the airport, of a new overhead power line and an underground circuit that links the East Honiara substation to the feeder 12 area." 1818 H Street NW - Washington, DC 20433 USA Honorable Snyder Rini -2- May 1, 2017 2. Section IV.B.2. of Schedule 2 to the Financing Agreement is amended to read as follows: -2. The Closing Date is March 31, 2019.- Except as specifically amended by this Letter of Amendment, all other provisions of the Financing Agreement shall remain unchanged and in full force and effect. Unless the context otherwise requires or unless otherwise defined in this Letter of Amendment, all capitalized terms used in this Letter of Amendment shall have the meanings given to them in the Financing Agreement. Please confirm the Recipient's agreement to the foregoing by having an authorized official of the Recipient sign and date both enclosed copies of this Letter of Amendment, and returning one copy to the Association. Upon receipt by the Association of the countersigned copy of this Letter of Amendment, the amendments herein shall become effective as of the date of the Recipient's countersignature. Sincerely, INTERNATIONAL DEVELOPMENT ASSOCIATION By_ _ _ _ Michel Kerf Country Director Timor-Leste, Papua New Guinea & Pacific Islands East Asia and Pacific Region AGREED: SOLOMO ISLANDS By: _ Auth zed Representative Name: PradipVer ef E i O i l o Is Title: l- t ML&I J-4 Q e% C4 1114s Date: L1R. - -) ,-t- cc: Pradip Verma, Chief Executive Officer, Solomon Islands Electricity Authority