44 ;W D ASIAALTENAMEENERY UNT (ATÅE STTSREOT# r � , k �Е t � � г Ё` !. ' TABLE OF CONTENTS Ra9p Introduction ........................................................................................................................... I Highlights of FY95 W ork Program ....................................................................................................................... 2 Pipeline Development In-Country Capacity Building Sector Work Best Practices Dissemination Aid Coordination ................................................................................................................... 9 Aid Coordination Mid-Term Evaluation Finances ................................................................................................................................. 10 Staffing Resource Mobilization Resource Utilization Conclusions ....................................................................... .................................................... 12 LIST OF TABLES AND FIGURES lables A. ASTAE Technical Assistance and Training of World Bank Clients - FY95 B. Use of Local Consultants - FY95 C. Twinning Arrangements D. Resource Mobilization - Donor and World Bank Funding Flows to ASTAE, FY92-96 E. Resource Utilization - ASTAE Expenditures, FY92-96 Figures A. World Bank/GEF Support for Alternative Energy in Asia, FY92-FY2000 B. The Growing Asia Region FY93-97 Alternative Energy Portfolio C. Renewable Energy Projects by Technology and Policy Measure D. Demand-Side Management Projects by Technology and Policy Measure Attachments 1. ASTAE Status Report #1, November 1994 2. Status of World Bank/GEF Loans, Credits and Grants for Alternative Energy Support (FY93-97) 3. Total Power Capacity Installed and Avoided in Alternative Energy (FY93-97) 4. ASTAE Conference Presentations: 1992-1995 5. ASTAE Training of World Bank Staff: 1992-1995 6. ASTAE Key Funding Events 7. FY95 Expenditures (a) Netherlands Alternative Energy Policy and Project Development Trust Fund (b) USDOE Alternative Energy Project Development Trust Fund (c) World Bank 11 THE ASIA ALTERNATIVE ENERGY UNIT (ASTAE) STATUS REPORT #2 FY95 INTRODUCTION 1. This Report covers the World Bank's fiscal year 1995 (FY95)', the third complete fiscal year of operation of the Asia Alternative Energy Unit (ASTAE). ASTAE's work program expanded considerably during this period. This expansion includes project pipeline development, in-country capacity building, country energy sector reviews as well as training and best practices dissemination. The year was also marked by a positive Mid-Term Evaluation of ASTAE's performance by its two major Donors, the Netherlands Ministry of Foreign Affairs (DGIS) and the U.S. Department of Energy (USDOE). 2. This Report summarizes ASTAE's FY95 activities and work program, staffing status and resource mobilization and utilization. It also highlights consultant findings, stemming from the joint DGIS/USDOE Mid-Term Evaluation. (See Attachment I for ASTAE's Status Report #1, covering the period from January 1992 through October 1994.) Highlights of FY95 3. By June 30, 1995, the cumulative FY93-97 portfolio of ongoing and projected World Bank and Global Environment Facility (GEF)-supported operations in the Asia Region had grown to over US$830 million for 17 different projects, with total project costs estimated at more than $3.0 billion. This compares most favorably to the Asia Region portfolio status, as of May 18, 1994, which amounted to only $432 million for 10 alternative energy projects. During FY95, ASTAE intensified borrower training and technical assistance to enhance local capacity to design and implement renewable energy and energy efficiency projects. ASTAE also continued to work closely with its World Bank Group partners, consisting of the five Asia Region Country Departments, the Industry and Energy Department (IEN), the GEF and the International Finance Corporation (IFC). Cooperation and joint efforts with bilateral/multilateral and NGO/private sector partners also increased. In FY95, key new funding resources (in-kind and cash) were secured. Agreements reached in FY95 include the U.S. National Renewable Energy Laboratory (NREL) participation in the China Renewable Energy Development Study, the allocation of Japan PHRD grant resources for India Demand-Side Management (DSM) activities and European Community (EC) support for Wind Farm Development studies in Sri Lanka. In FY95, ASTAE benefited from over US$2.5 million of direct and in-kind Donor support, of which nearly $2.3 million was received from the Netherlands and the U.S. and over US$250,000 from other Donors. Over the past year, the World Bank's total financial contribution to ASTAE also increased to nearly $1.1 million, supporting 43% of total Unit expenditures. FY95 = July 1, 1994 - June 30, 1995. 1 WORK PROGRAM Pipeline Development 4. Over the past decade, World Bank financial support for power sector development in Asia Region (and the rest of the developing world) has stagnated. Instead, the steady growth since FY92 of World Bank/GEF loans/credits/grants in support of renewable energy and energy efficiency projects in Asia signals success in mainstreaming alternative energy investments into power operations. As of June 30, 1995, the cumulative FY93-97 World Bank/GEF Alternative Energy Portfolio in Asia had reached over US$830 million for 17 projects in eight countries (see Figure A: World Bank/GEF Support for Alternative Energy, FY92-2000). 5. Figure A provides the dollar volume of loans/grants and information on the processing status (identification, preparation, appraisal, etc.) of each of the 17 projects in the Portfolio as of June 1995. (See Attachment 2 for additional information on the current status of each project/project component.) ASTAE has directly participated in 13 out of the 17 FY93-97 Asia alternative energy operations. When completed, these renewable energy projects and project components are projected to add collectively over 410 MW of renewable energy capacity to Asia's power mix. The DSM investments are projected to save more than 530 MW of installed capacity (see Attachment 3). 6. In FY95, seven projects were added to the FY93-97 Portfolio of Bank/GEF-supported alternative energy projects/project components in the Asia Regions.2 These were: * India Solar Thermal Project (GEF stand-alone) * China Henan (Qinbei) Thermal Power (DSM) * China Energy Conservation (GEF-supported) * Pakistan Energy Efficiency * Pakistan Waste to Energy (GEF-supported) * Vietnam Dai Ninh Hydro Power (DSM) * India DSM 7. The steady increase of the cumulative FY93-97 Asia Alternative Energy Portfolio from May 1994 to June 1995 is indicated in Figure B (The Growing Asia Region FY93-97 Alternative Energy Portfolio) Each of the 5 bars in Figure B represents the volume of lending/grants in US$ for projects in the Asia Region FY93-97 Alternative Energy Portfolio at a given month during the year. Both the dollar volume and number of projects/components in the FY93-97 portfolio expanded considerably during FY95. 2 An eighth project, the FY 94 Indonesia Sumatera & Kalimantan Power Project, which contains a $1.8 million DSM technical assistance component, was inadvertently omitted from the cumulative alternative energy portfolio FY93-97, derived from the May 1994 lending reports and timetables. 2 FIGURE A: WORLD BANKlGEF SUPPORT FOR ALTERNAT EAST ASIA & PACIFIC, AND SOUTH ASIA REGI01 Supported By A) Alternative Energy Loans, Credits, and GEF Grantsb GEF ASTAE FY92 FY93 FY94 FY95 FY96 FY97 1) Nepal Telecommunications V 2) India Renewable Resources Developmentc X X 41.0 3) Thailand MEA Distribution System & Energy Efficiencyd X X k4. 4) Lao PDR Provincial Grid Integratione X 5) Indonesia Sumatera & Kalimantan Power (DSM) 6) Indonesia Second Rural Electrification X 7) India Orissa Power Sector Restructuring (DSM) X 8) India Solar Thermal x x iS7,0 9) China Henan (Qinbei) Thermal Power (DSM) x T1 0 10) China Energy Conservation x 50 11) Pakistan Energy Efficiency 12) India Uttar Pradesh Power Sector Restructuring (DSM) x. 13) Indonesia Renewable Energy Development X X 14) Pakistan Waste to Energy x $I t 15) Sri Lanka Energy Services Deliveryh x x 16) Vietnam Dai Ninh Hydro Power (DSM) x $50 17) India Stand-Alone DSM x 18) India Haryana Power Sector Restructuring (DSM) x 19) China Renewable Energy Promotion' x x 20) Pakistan Second Rural Electrificationi x 21) Bangladesh Rural Energyk X 22) Nepal Renewable Energy' X 23) Lao PDR Renewable Energym x 24) Mongolia Energy Sector (Energy Efficiency)n X 25) Vietnam Renewable Energyo X FY92 FY93 FY94 FY95 FY96 FY97 B) Total - Alternative Energy Lending (ASIA) $2.0 $152.0 $1.8 $18.0 $147.0 $515. C) Total - Power Sector Lending (ASIA) $2,475.9 $1,720.0 $1,276.5 $1,218.0 $2,325.0 $3,260.( D) Cumulative Alternative Energy Lending (FY 93-FY 97) [< $833.8 Sources: FY92-95 Staff Appraisal Reports; FY95-99 Lending Reports and Monthly Timetables as of 6/20/95; and Status of IBRD/IDA Projects in Execution, as of 9/30/94. ORT FOR ALTERNATIVE ENERGY, FY92 - FY2000' ND SOUTH ASIA REGIONS, US$ million 95 FY96 FY97 FY98(est.) FY99 (est.) FY00 (est.) PROJECT STATUS (Generalized Into One Year Intervals) RECONNAISSANCE AND IDENTIFICATION PREPARATION APPRAISAL, NEGOTIATION, LOAN/CREDIT/GRANT AMOUNT, BOARD APPROVAL, AND SIGNING SUPERVISION NOTES a) Includes renewable energy and energy efficiency/Demand- Side Management (DSM) technologies and processes. b) Includes lending for free standing projects and project components. c) Private sector investments in Solar PV, wind farms, and mini-hydro sub-projects (GEF) Loan 3544-INICredit 2449-IN. d) GEF-supported five-year DSM plan in Loan 3598-TH. e) Technical assistance for DSM institution building (Credit 2425-LA). f) Small geothermal and grid-connected mini-hydro components and technical assistance for planning the integration of renewables into rural electrification. g) Lending may reach US$250 million. Includes support to private sector for grid-connected and off-grid solar PV, and biomass, and mini-hydro, and support to PLN for mini-hydro and mini-geothermal. h) Possible components include off-grid solar PV and micro-hydro; TBD Wgrid-connected mini-hydro and a pilot wind farm; and DSM (GEF). i) Proposed $30 million GEF component. j) Renewable energy component not yet defined. k) Unidentified. Possible credit component of $50-75 million. .TD.. 1) Unidentified. Possible credit of $50-75 million. 95 FY96 FY97 FY98 (est.) FY99 (est.) FY00 (est.) m) Unidentified. Possible credit of $50-75 million. $18.0 $147.0 $515.0 n.a. n.a. n.a. n) Unidentified. Possible credit component of $10-20 million. 1,218.0 $2,325.0 $3,260.0 n.a n.a na. o) Unidentified. Possible credit of $50-75 million. 533.8 >] ASTAE 6/30/95 FIGURE B: THE GROWING ASIA REGION FY93-97 ALTERNATIVE ENERGY PORTFOLIO Lending (US$ millions) 900 800 700 600 500 - 300 20- 432 100 0-- May 1994 Nov. 1994 Jan. 1995 May 1995 June1995 Cumulative FY93-97 Alternative Energy Project Portfolio at Specific Dates c( = Number of Projects [Z2= Lending Amount in Millions of US$ Source: FY95-97 Lending Reports and Monthly Timetables as of May 1994, November 1994, January 1995, May 1995 and June 1995. 8. Figure C (Renewable Energy Projects by Technology and Policy Measure) analyzes the ASTAE renewable energy portfolio in terms of renewable energy technologies and/or planning and policy measures supported. As Figure C indicates, the five renewable energy projects/project components in ASTAE's FY93-97 work program support investments in all six of the standard renewable energy commercial and near commercial technologies (wind power, small hydro, solar photovoltaics, small geothermal, solar thermal electric and biomass power). Figure C also indicates whether lending operations address the need for appropriate planning and policy infrastructure. These measures include renewable energy development plans, small power purchase agreements, rationalization of tariffs and import duties and other technical assistance to assure the requisite infrastructure environment. For example, the Indonesia Second Rural Electrification Project (REII) provides the electric utility (PLN) with financial support to develop mini-hydro and mini-geothermal projects. Bank support for the REII Project also helped to set in place regulatory and policy measures, such as renewable energy development plans, a small-power purchase agreement to facilitate sale of electricity to PLN from private developers and an adjustment of the electricity tariffs to allow PLN to attain target returns on its investments. With these critical measures in place, ASTAE is part of the Bank team now helping the Government of Indonesia to prepare the proposed WB/GEF-assisted Renewable Energy Development (RED) Project. The RED Project will finance development of a range of renewable energy technologies and will enhance significantly the role of the private sector in energy services delivery. 4 FIGURE C: RENEWABLE ENERGY PROJECTS BY TECHNOLOGY AND POLICY MEASURE Technology Development Planning and Policy Solar RerNable Small-Powr Tariff and O1ter Wind Small- small- Thermnal Biomnass Energy Devel. Purchase Duty Techia Power I Hydro Photovoltaic GeotSemlb Eechic POW Plans Agremnts Ratiorlizatonl Assistanced India newable Rm ources Devi opment sla Second lural Eectd1 rThennal a) Includes small-, mini-, and micro-hydro. d) Includes institutional strengthening activities. b) Includes small-, mini-, and micro-geothenal. e) Includes private sector and utility implemented projects. c) Includes electricity tariff and import duty rationalization. Project includes Project may include Nect does not include technology/policy measure technologylpolicy measure technology/policy measure FIGURE D: DEMAND-SIDE MANAGEMENT PROJECTS BY TECHNOLOGY AND POLICY MEASURE Technology Development Planning and Policy Iod Load Codes and Technical Lighting Appliances Moos HVAC Cogenerationb Management DSM Pland Research Standards' Assistanae Lao IiDR Provinci I Grid Integrjtion Si nka Ene Services Dez 'etnarn Dai Ni - India Stan, a) Includes vapor absorption technology. d) Institutional strengthening activities. b) Includes industrial and biomass cogeneration. e) Includes energy efficiency building codes and equipment c) Includes monitoring and evaluation activities. standards. Project includes oject may include Project does not include technology/policy measure I w chnology/polcy measure tecnologylpolicy measure 5 9. Figure D (Demand-Side Management Projects by Technology and Policy Measure) analyzes ASTAE's Demand-Side Management project portfolio in terms of technology emphasis and planning and policy measures. The nine operations in the cumulative ASTAE DSM FY93-97 portfolio support investments in lighting, appliances, motors, HVAC, cogeneration and load management. Many address the need for appropriate energy efficiency codes and standards. Most contain provisions for DSM Plans and Load Research. Like Bank projects in general, all 13 alternative energy projects analyzed in Figures C and D contain technical assistance components for capacity building. In-Country Capacity Building 10. Building local capability to develop and sustain alternative energy projects is as important as providing investment support. During FY95, ASTAE continued to foster the development of in- country capacity to identify potential alternative projects and bring them to fruition via (a) provision of borrower training and technical assistance, (b) use of local consultants and (c) twinning arrangements, particularly South-South cooperation for technical skills transfer. 11. Borrower Training and Technical Assistance - In FY95, ASTAE substantially increased its technical assistance and training to help its clients design and implement alternative energy activities. Six major activities were planned, initiated or brought to completion. ASTAE adopts a collaborative approach to equip utility staff and energy managers with the know-how and skills to manage the domestic demand for electricity services, conduct energy audits and implement energy efficiency and DSM activities. During FY95, workshops and seminars were planned in the Philippines, India and Sri Lanka to involve stakeholders in the decision-making process and to stimulate borrower ownership of energy efficiency and DSM programs (see Table A: ASTAE Technical Assistance and Training of World Bank Clients - FY95). Table A: ASTAE Technical Assistance and Training of World Bank Clients - FY95' Borrower Training/-: Type of Number or Technical Assistance . Activity,' Sponsor$ Location Participants ^ Picipants CFL Demand-Side Management Strategy FY 95/96 Development and Lighting Efficiency Study ASTAE Manila, The Utility Staff, Gov't., t.b.d. in the Philippines (FATL and MERALCO) Philippines Industry Urban Rural Electricity Consumption Colombo, Utility Staff, FY 95/96 Assessment for Sri Lanka ASTAE Sri Lanka Gov't. t.b.d. Delivery of Energy Efficiency Services by Bombay, Utility Staff, Gov't., July 1995 the Private Sector ASTAE India Private Sector 60 Workshop in Advancing Sugar Uttar Pradesh, Utility Staff, Gov't., July 1995 Cogeneration Policy ASTAE India Private Sector 20 Technology Development and Bombay, Utility Staff, Gov't., July 1995 Commercialization in DSM ASTAE India Private Sector 25 Planning and preparation undertaken in FY95 for Events to be held in FY96. 12. Use of Local Consultants - In FY95, ASTAE considerably intensified its use of local consultants to build local technical capacity and to ensure the sustainability of alternative energy projects. Over $165,000 was disbursed in FY95 for local Indonesian, Thai, Indian and Sri Lankan consultants to carry out India DSM studies and project preparation, to help implement the India Renewable Resources Development Project and Lao PDR Commercial Sector DSM activities and to help prepare the Indonesia RED and Sri Lanka Energy Services Delivery (ESD) Projects. This compares with a total of only about $63,000 for local consultant use in prior years (see Table B: Use of Local Consultants - FY95 and page 6 of Attachment 1). 6 Table B: Use of Local Consultants - FY95 FY95 FYFY95 Funding Name of ConsultantlFirm Nationality Project/Activity Task Dates Amount urn (USS) Energy Conservation Center of Thai Lao PDR Twinning Arrangement Lao PDR Commercial Sector 10/26/94- 3.4 7,300 Netherlands Thailand Energy Audit Report 01/01/95 PT Spektra Matrika Indah Indonesian Indonesia Renewable Energy Preparation of proposed 01/16195 - 9.0 42,116 Netherlands Development Renewable Energy Dewelopmeni 03121/95 Project in Indonesia The Agenc for the Assessment and Indonesian Indonesia Renewable Energy PreParation of proposed 0016/95 - 1830 8,325 Netherlands Application of Technology (BPPT) Development Renewable Energy Development 04/12/95 Project in Indonesia Energy Economy & Environmental Indian Orissa State Power Sector Prefeasibility Studies in Orissa 02/05/95. 8.0 6,000 Japan Grant Consultants Restructuring 03/31/95 Innoten Engineers Pvt. Ltd. Indian Orissa State Power Sector Motor Rewinding Study 02/05/95- 5.0 3.500 Japan Grant _ Restructuring 09/30/95 Energy Conservation Center of Thai Lao Commercial Sector DSM Lao PDR Commercial Sector, 02/24/95- 6.8 14,400 Netherlands Thailand Energy Audit Workshop 06/01/95 Energy Conservation Center of Thai Lao Commercial Sector DSM Lao P DR Commercial Sector 02/24/95- 2.4 2,400 Netherlands Thailand Energy Audit Workshop 03/03/95 Dalai Consultants & Engineers Pvt. Indian Orissa State Power Sector Prefeasibility study on Pilot DSM 05/08/95- 9.0 5,000 Japan Grant Ltd. Restructuring Municipal Water Project 08/31/95 ," : I I National Productivity Council Indian U. P. State Power Sector In-Plant Load Management 05/08/95 - 10.6 8,000 Japan Grant Restructuring 09/31/95 Tala Energy Research Institute Indian U. P. State Power Sector Agricultural DSM 06/01/95 - 6,6 5.000 Japan Grant Restructuring I i/31/95 Consultancy and Professional Sri Lankan Sri Lanka Energy Services Project Pipeline Development 06/05/95- n.a. 31,665 Netherlands Services Pvt. Ltd. Delivery 09/25/95 Lanka Asia Management Systems Sri Lankan Sri Lanka Energy Services Credit Line Development 06/15/95- n.a. 31,580 Netherlands Co. Pvt. Ltd. Delivery 11/01/95 S165,286 13. Twinning Arrangements - During FY95, ASTAE continued to strengthen the local capacity of the Lao PDR's Electricite du Laos (EdL) by the use of two innovative South-South Twinning Arrangements. ASTAE suggested twinning the Electricity Conservation Center of Thailand (ECCT) with the EdL to enhance EdL staff capacity to conduct commercial sector energy efficiency audits. ASTAE also helped arrange a twinning relationship between the EdL and the Malaysia utility (TENAGA) to enhance DSM and utility management capabilities funded by the IDA-supported Provincial Grid Integration Project. During FY95, ASTAE also helped initiate a third twinning arrangement between the Philippines Energy Regulatory Board and the U.S. Oregon State Public Utility Commission, regarding DSM regulatory issues (see Table C: Twinning Arrangements). This activity, which received an Institutional Development Fund (IDF) grant from the World Bank, will be implemented in FY96-97. Table C: Twinning Arrangements Date Actlvlty 1 Sponsors P" itr Tp o, Nubeeti ______ ____________ rcipauts.", Paticipants, Commercial Sector Audit Workshop for Lao PDR Energy Conservation July 1995 Power Utility Staff Twinning ECCT/EdL. ASTAE Center of Thailand Utility Staff, Gov't 20 Location - Vientiane. Lao PDR (ECCT) Officials Lao PDR Twinning EdLJTenaga - Malaysia in DSM and Started in Management ASTAEl Tenaga EdL Utility 30 FY95 Location - Vientiane, Lao PDR/Kuala Lumpur, EAIIN Staff and Managers Malaysia IDF DSM Collaborative Process FY96-97 Location - Portland, Oregon ASTAEl ERB, Oregon PUC Utility Staff Gov't., 40 EAIIN Private Sector 7 Sector Work 14. The Bank's economic and sector work (ESW) provides an analytical framework for evaluating development strategies and Donor assistance activities, and underpins the Bank's lending program and policy advice. In FY95, ASTAE participated in two ESW activities with the Bank's China and Mongolia Country Department, the Mongolia Energy Sector Review and China Renewable Energy Development Study. These activities will provide an opportunity to identify and select sustainable alternative energy investment opportunities that are consistent with the borrowers' power sector needs and constraints. 15. As part of the Mongolia Energy Sector Review, ASTAE was responsible for evaluating the country's isolated energy systems. The sector work included an evaluation of the heat and power supply infrastructure, institutional arrangements and barriers, financial performance of Energy Utility Organizations and the economic viability of various supply and demand-side energy alternatives (including renewable energy and energy efficiency options). The Energy Sector Review determined that the most crucial power sector need is to rehabilitate the country's coal industry and infrastructure. Energy efficiency components are expected for a proposed FY2000 energy sector investment project. Although there is evidence of exploitable renewable energy resources in Mongolia, the Energy Sector Review concluded that greater resource assessment and characterization is required prior to investment. ASTAE is currently searching for Donor assistance for such activities. 16. The China Renewable Energy Development Study was jointly initiated in FY95 by the Government of China and the World Bank. The purpose of the Study is to provide analytical information and recommendations to assist both the Government and the international community to identify priorities and strategies for China's power-related renewable energy development. ASTAE and IEN co-manage this Study with guidance from the Bank's China/Mongolia Department. The Study includes: (a) an assessment of the economic viability of renewable energy technologies compared with competing conventional alternatives; (b) a review of the issues and policy barriers affecting public and private sector development of these technologies; and (c) an outline of priorities for international and technical assistance support through multilateral lending and bilateral aid programs, expanded private sector participation, and the GEF. The Government of China is expected to request GEF and possible Bank investment support, based on the results and recommendations of the Study. Best Practices Dissemination 17. Sustainable alternative energy development requires dissemination of lessons learned and best practices from previous endeavors. In FY95, ASTAE continued to share its experiences and expertise with Bank staff and the international community, via: (a) a report of best practices regarding the use of solar photovoltaics (PV) for rural electrification; (b) conference participation; (c) peer review of the work of other Bank units as requested; and (d) Bank staff training. 18. Best Practices for Solar Home System Programs: In FY95, ASTAE completed a Draft report on "Best Practices for Photovoltaic Household Electrification Programs." This Draft reviews and evaluates photovoltaic (PV) rural electrification experiences in Indonesia, the Philippines, Sri Lanka and the Dominican Republic and identifies the conditions and actions necessary for increasing the success of PV programs. The findings of the Draft report have been integrated into the design of the solar home systems components of the proposed Indonesia RE) and Sri Lanka ESD Projects. The Final Report is expected to be issued in FY96. 8 19. To solicit international public and private sector input to the Best Practices document, ASTAE, together with the USDOE, jointly sponsored a Photovoltaics and Rural Electrification Roundtable in Waikoloa, Hawaii in December 1994. The Roundtable, held in conjunction with the First World Conference on Photovoltaic Energy Conversion, was attended by over 50 energy decision-makers from 22 countries. 20. Conference Participation: ASTAE and USDOE also co-sponsored a Forum entitled "Renewable Energy: A Key to Sustainable Growth in the Asia/Pacific Region" which was held in conjunction with the First World Conference on Photovoltaic Energy Conversion. Representatives from Asia/Pacific countries were invited to highlight their renewable energy programs and projects and to discuss their contribution to sustainable growth in the region. 21. In addition to the Renewable Energy Forum and the Solar PV Roundtable, ASTAE staff participated in seven other conferences and workshops in FY95 (see Attachment 4). 22. Peer Review: In FY95, ASTAE was asked to provide peer review inputs regarding the following documents: * "Energy Strategies for Rural and Poor People in the Developing World" - Draft Policy Paper of the Industry and Energy Department (IEN); * "Rural Electrification in Asia - A Review of Bank Experience" - Report of the Operation Evaluation Department (OED); * "Solar Pre-grid Electrification" - IEN paper; and * "Tunisia Solar Water Heating Project" - Country Department 2 of the Middle East and North Africa Region (MENA) These activities (and the inclusion of the ASTAE Program Manager on the Bank-wide Energy Sector Panel) reflect growing institutional recognition of ASTAE's alternative energy capabilities. 23. Bank Staff Training: In addition to hosting or participating in four alternative energy seminars for Bank staff in FY95, ASTAE planned and conducted a Second World Bank Renewable Energy Study Tour to California and Nevada. The Study Tour enabled 10 Bank staff to visit geothermal, biomass, solar PV, wind, and solar thermal power facilities in California and Nevada. (See Attachment 5 for a complete list of ASTAE's Bank staff training events.) AID COORDINATION Aid Coordination 24. The fourth ASTAE Donors Meeting was held in Washington in May 1995. In addition to Bank staff, attendance included representatives from the Netherlands DGIS, the U.S. DOE, AID, ECRE and Treasury, the UNDP, the German BMZ and GTZ, the European Commission and the British ODA, as well as the Executive Directors' Offices for the US, Australia, Canada, Norway and Switzerland and the Embassies of the Netherlands and the UK. 9 Mid-Term Evaluation 25. In response to the November 1994 ASTAE Status Report #1, the Netherlands DGIS and the USDOE requested a Mid-Term Review of ASTAE performance. The Evaluation was conducted by Messrs. Julio Castro, representing the Netherlands DGIS and George Sterzinger, representing the USDOE. The two consultants visited the Bank from January 17-25, 1995. Extensive meetings were held with individual ASTAE staff, Task Managers for projects with alternative energy components as well as Energy Sector Division Chiefs and Country Department Directors in the two Asia Regions. Messrs. Castro and Sterzinger also met with the two Asia Regional Vice Presidents, representatives of the Industry and Energy Department (IEN) and the Global Environment Coordination Division (ENVGC - responsible for coordination with the GEF). 26. Following their Mid-Term Evaluation review, the consultants prepared a Draft Report, entitled "A New Role for Renewables and Energy Efficiency in the World Bank Power Sector Strategy," which was submitted to ASTAE in May 1995. The Draft concluded that ASTAE has made positive progress towards meeting the initial four goals set out at the inception of the program. The Draft focused principally on how the World Bank power sector policies impede the mainstreaming of alternative energy investments in Asia and other regions. 27. After the May 1995 ASTAE Donors Meeting, preliminary views on the Draft Report were exchanged between representatives of the Bank, the Netherlands DGIS, the USDOE and the UNDP regarding the findings of the Evaluation. It was agreed that the Bank would submit comments on the Draft to the consultants. Specifically, ASTAE would comment on ASTAE-specific matters and IEN would comment on the consultants' references to Bank-wide energy policy matters. 28. Messrs. Castro and Sterzinger subsequently met with ASTAE staff and Mr. Trevor Byer, Adviser, IEN on June 20, 1995, to review consolidated Bank comments on their Draft Report. Substantial agreement was reached on errors and omissions as well as areas requiring further clarification. Messrs. Sterzinger and Castro agreed that greater emphasis should have been given to the need for (a) attention to implementation to ensure sustainable alternative energy operations, and (b) direct operational support from ASTAE for mainstreaming DSM as well as renewable energy investments. Finally, as per their Terms of Reference (TORs) with the Donors, the consultants agreed to submit a short Note of Findings and Recommendations to the Netherlands DGIS and the USDOE. 29. The Evaluation helped focus both Donor and Bank attention on ASTAE operations and the need to define the administrative future of the Unit. In this regard, the ASTAE Program Manager was asked to submit a Prospects Paper outlining options for the Unit after FY97. The paper is due to the Asia Regional Vice Presidents, by February 1996. FINANCES Staffing 30. As of June 1995, ASTAE's core staff comprised 10 higher level and 6 support level staff, including one vacant Renewable Energy Specialist position. ASTAE higher level staff changes in FY95 included conversion of the lead Renewable Energy Specialist from consultant to Fixed-Term status. Since June 1995, 3 new higher level positions have been created, including a Principal Energy 10 Economist, an Alternative Energy Economist and an Operations Analyst. Recruitment is underway for the vacant Renewable Energy Specialist position. Resource Mobilization 31. Funding flows to ASTAE in FY95 increased significantly over the previous years. This was mainly due to the timing of installments from the Netherlands Alternative Energy Program and Project Development Trust Fund, the entry into operations of the USDOE Alternative Energy Project Development Trust Fund in September 1994 and a substantial growth in financial support from World Bank sources. (See Attachment 6 for ASTAE Key Funding Events.) FY95 funding flows to ASTAE totaled $3.6 million, compared to $2.1-2.4 million in the previous two years. In total, ASTAE benefited from over $2.5 million of direct and in-kind Donor support in FY95. As indicated in Table D (Resource Mobilization - Donor and World Bank Funding Flows to ASTAE, FY92-96), the Netherlands DGIS contributed the largest share ($1.5 million). The second major source of ASTAE funding was the World Bank itself ($1.1 million). The total U.S. contribution ($756,000) grew by nearly 70% from the previous year.3 A total of $250,400 of in-kind support was received from UNEAP and other Donors. Table D: Resource Mobilization - Donor and World Bank Funding Flows to ASTAE, FY92-96 'FYV92 FY93 l FY FY95 Total USs % US$ % USS - % CS %L 4SS % Netherlands DGIS 0 0 1,558,200 66 821,100 9 1,497,200 42 608 4.44,500 37 U.S. I/ 08,000 32 396,500 17 445,300 2i, 756,400 21 855 2,561,200 21 UNEAP 0 0. 0 0 69,500 :3 190.900 5 190,9O0 451,300 3 Other Donors 2/ 0 0 0 0 60.000 . 4, 59,500 3 . 210, 329,500 3 World Bank 3/ 226,400 68 419,100 17 688,100 33 1,046.000 29 258,52 4.437,600 36 Total 334,400 100 2,373,800 100 2,084,000 100 3,550.000 100 13,921,900 I 2.2b4,100 100 Footnotes: I/Includes USDOE, USTDA, USAID, US/ECRE, US/NREL, Sandia National Laboratory, US/NRECA and US/IFREE. 2/ Includes New Zealand Ministry of Foreign Trade, German BMZIGTZ, European Community and IEA. 3/ Includes ASTAE World Bank/GEF Annual Discretionary Budget, Office Occupancy, Consultant Trust Funds, Japan PHRD, IDF, PPF and PDF. Resource Utilization 32. Increased funding flows supported higher ASTAE expenditures in FY95. Total expenditures were over $2.4 million (see Table E: Resource Utilization - ASTAE Expenditure, FY92- 96). Consultant fees accounted for about 40% of total ASTAE disbursements and comprised over 75% of disbursements from ASTAE's two major Donor Trust Funds. Attachment 7 contains details on salaries for short-term and long-term consultants and staff as well as travel, support and administrative expenditures met through funding from ASTAE's three main sources of support - the Netherlands DGIS Trust Fund, the USDOE Trust Fund and the World Bank. Slight differences in FY92-96 funding between Table D and Table I of the ASTAE Status Report #1 are due to the amalgamation of direct and in-kind funding from all U.S. sources in Table D. Table I of the ASTAE Status Report #1 reported USDOE contributions separately from other U.S. donor agencies. 11 33. Over 90% of FY 95 disbursements from the Netherlands DGIS Trust Fund and over 80% of the USDOE Trust Fund disbursements financed consultant fees and travel (see Attachments 7a and 7b). Trust Fund disbursements in all other categories comprised only 6% of total ASTAE expenditures. Table E: Resource Utilization - ASTAE Expenditures, FY92-96 f_T77 Ali_i FY93 A WFW4ll FY95 Total S. USS % US5 USS % s' S5 % Netherlands DGIS J0 530,300 40 928 636,800 26 2,995,100 29 U.S. 1/ 108, 32 390,600 29 4 43 606,500 25 2,229,300 21 UNEAP 0 0 85,000 3 3 419,800 4 Other Donors 2/ .0 0 '6 59,500 3 329,500 3 World Bank 3/ 226,400 68 419.100 31 688,1O00 . 1.046.000 43 258, 4,437,600 43 Total 334,400 100 1,340,000 100 2,I602 ija 2.433,800 100 L4,!A2L 10,411,300 100 Footnotes7 I/ Includes USDOE, USTDA, USAID, US/ECRE, US/NREL, Sandia National Laboratory, US/NRECA and US/IFREE. 2/ Includes New Zealand Ministry of Foreign Trade, German BMZ/GTZ, European Community and IEA. 3/ Includes ASTAE World Bank/GEF Annual Discretionary Budget, Office Occupancy, Consultant Trust Funds, Japan PHRD, IDF, PPF and PDF. 34. World Bank expenditures in support of ASTAE accounted for over 43% of total FY95 ASTAE expenditures, compared to 32% in the prior fiscal year. The growing proportion of World Bank support is due mainly to two factors. The first is the increased demand from World Bank Country Departments for ASTAE staff support, which is reflected in budget (or CAM) transfers. The CAM payments to ASTAE from Asia Country Departments totaled $316,300 in FY95, compared to $207,200 in FY94 (a 53% increase). The second growing source of World Bank support comes from ASTAE's utilization of World Bank Trust Funds. In FY95, this included a Japan Population and Human Resources Development (PHRD) grant for support of India DSM activities. A total of $230,500 of this $700,000 grant was disbursed in FY95. Also during FY95, ASTAE mobilized substantial World Bank funding commitments for its operations in FY96-97. These include a Philippines Institutional Development Fund (IDF) grant, a Project Preparation Facility (PPF) advance and a GEF Project Development Facility (PDF) grant for preparation of the Sri Lanka ESD Project as well as a PDF grant from the GEF for the China Renewable Energy Development Study. These various World Bank funding resources total over $1.6 million. 35. Staff salaries accounted for 44% of World Bank FY95 expenditures for ASTAE. Operational and Administrative Expenses (including office occupancy) accounted for over 20% of World Bank support. During FY95, ASTAE was also relocated back to the Bank's Main Complex Building. The shift in office location has a positive effect on the work program, since it brings the Unit closer to the Asia Technical Department offices and to the offices of four of the five Country Departments serving Asia. CONCLUSIONS 36. By June 1995, ASTAE had built a robust portfolio of Asia alternative energy projects and project components. Close to $6 million of Donor support has been used to leverage Bank/GEF financing of over $830 million for 17 investments, with total project costs of more than $3.0 billion. These projects and project components cover a wide range of renewable energy and demand-side 12 management technologies, planning tools and implementation arrangements. ASTAE has also provided client-focused technical assistance and training to develop in-country capacity through innovative stakeholder workshops, policy and regulatory measures, South-South and North-South twinning arrangements and extensive use of local consultants. In applying the lessons of the FINESSE experience, the ASTAE approach has stressed the need for in-country ownership, enhanced environments for public/private partnerships and coalition building among energy sector partners, both within and outside the Bank. 37. By the end of FY95, ASTAE had successfully introduced renewable energy and energy efficiency activities into the World Bank's operations in seven of its active Asian borrowing members. This has included project preparation/supervision, policy support, technical assistance, training, dissemination of best practices and aid coordination activities. However, with more than 50% of the world's poor - over a billion in Asia - and with Asian energy demand growing rapidly at more than 6- 10% per annum, much critical work remains. The ASTAE experience in Asia underscores the need for appropriate policies, institutional arrangements, and private-public sector partnerships to ensure sustainable alternative energy development. This includes commercialization of energy markets, development of incentives to encourage private sector investments and provision of suitable credit mechanisms for energy suppliers and consumers. Creation of this enabling environment requires strong and sustained government commitment throughout the project cycle. 38. The ASTAE experience thus far demonstrates that a dedicated World Bank/Donor- supported program can generate broad Bank/GEF support for alternative energy investments. The necessary resources and work program commitments are already in place to support the Unit over the next two years (through June 1997). Looking to the future, ASTAE will continue to work with its Asian clients to develop new tools and to incorporate the lessons learned. The Unit will also continue to collaborate closely with the Country Departments, the GEF and other partners (IEN, IFC, ADB, Donor agencies and NGOs) to: * Introduce renewable energy lending into Bank/GEF operations in Nepal, the Lao PDR and Vietnam; * Extend renewable energy and DSM/energy efficiency operations to Mongolia and Pakistan; * Replicate successful renewable energy and demand-side management models in new provinces/states in Indonesia, India and China; and * Identify and prepare sustainable renewable energy and DSM projects/components in other sectors than power (e.g. agriculture, forestry, municipal water supply, health and education). 13 Attachment 1 Page 1 of 15 THE WORLD BANK ASIA ALTERNATIVE ENERGY UNIT (ASTAE) - STATUS REPORT - November 1994 Washington, DC Attachment 1 Page 2 of 15 THE ASIA ALTERNATIVE ENERGY UNIT (ASTAE) Status Report November 1994 1. The World Bank Asia Alternative Energy Unit (ASTAE) began operations in January 1992. Its mandate, as agreed upon by its principal donors, the World Bank, the Netherlands Directorate General For Development Cooperation (DGIS) and the U.S. Department of Energy (USDOE), was to test whether renewable energy and energy efficient (DSM) technologies could be mainstreamed into World Bank- supported investments in the East Asia and Pacific and South Asia Regions. Since its beginning, ASTAE has become a recognized leader in alternative energy project development within the Bank. This Report provides a comprehensive review of the World Bank and ASTAE's operational achievements relative to the performance targets agreed with ASTAE Donors. The Report presents a brief description of ASTAE's background, the financial agreements and performance of the donors and the World Bank. This funding history is followed by a discussion of World Bank lending commitments to date, FINESSE follow-up, use of local consultants, resource mobilization and other significant achievements. BACKGROUND 2. In 1988, the USDOE, the Netherlands DGIS, the United Nations Development Programme (UNDP) and the World Bank initiated the FINESSE Program to identify opportunities for "Financing Energy Services for Small-Scale Energy End-Users" in Thailand, Malaysia, the Philippines and Indonesia. Country- specific "Energy Sector Market Studies" were conducted in all four countries to identify economically and technically viable renewable energy and DSM project proposals. While the FINESSE program did not focus on country institutional constraints nor the fit of project proposals within overall country development strategies, it did generate considerable enthusiasm at the country level. Involvement of World Bank Asia Region staff in the FINESSE program was also limited. Nonetheless, FINESSE set the stage for the Bank, its borrowers and the donor community to support alternative energy lending throughout Asia. 3. As a direct product of the FINESSE experience, in January 1992, The World Bank established the Asia Alternative Energy Unit (ASTAE) within the Asia Technical Department of the Bank. ASTAE is a pilot program, funded principally by the original FINESSE partners - the World Bank, the Netherlands DGIS, the USDOE and the UNDP. The Unit is also supported by the U.S. Agency for International Development, the German BMZ/GTZ, the European Community and other donors. To fulfill its prime mission, ASTAE's functions include: assistance in project preparation (including follow-up of viable FINESSE proposals); technical assistance and training in best practices to Bank staff and to client and implementing agencies; collaboration with donor agencies; and resource mobilization. Attachment 1 2 Page 3 of 15 DONOR FINANCIAL OBLIGATIONS 4. At the First ASTAE Donors Meeting in March 1992, basic agreement was reached on the respective financial obligations of the donors and the World Bank as well as performance targets for the Asia Alternative Energy Unit. 5. Agreement: The Netherlands DGIS and the USDOE originally agreed to support a 3 year pilot program (1992-1994) of renewable energy and energy efficiency/demand-side management (DSM) activities, with annual allocations of approximately $1 million from each Donor. Each Donor pledged to support one alternative energy expert and to share expenses for a third, full-time alternative energy expert. 6. Status: (See Table 1: Donor and World Bank Funding Flow to ASTAE, FY92-96 and Annex 1, ASTAE Key Funding Events, 1992-1996). A total of $7 million has now been committed to ASTAE from the Netherlands DGIS and the USDOE through Trust Fund Arrangements with the World Bank and in-kind support. While this exceeds the original $6 million pledge, financial transfers to ASTAE have lagged significantly behind the original schedule and now span a 5 year period (1992-1996). In addition, the Netherlands DGIS now accounts for approximately 60% and the USDOE now accounts for approximately 40% of the combined DGIS/USDOE commitment to ASTAE. TABLE 1: DONOR AND WORLD BANK FUNDING FLOW TO ASTAE, FY92-96 FY92 FY93 FY94 FY95 FY96 Total USS % USS % USS % USS % USS % USS % Netherlands DGIS 0 0 1,558,300 64 821,100 40 1,499,300 39 522,500 18 4,401,200 36 UNFSTD 0 0 0 0 69,500 3 205,000 5 205,000 7 479,500 4 USDOE 100,000 30 200,000 8 250,000 12 700,000 18 700,000 24 2,650,000 1/ 22 Others 2/ 8,000 2 271,000 11 272,200 13 221,500 6 50,000 2 822,700 7 World Bank 3/ 227,000 68 419,100 17 661,300 32 1,222,500 32 1,398,500 49 3,928,400 32 Total 335,000 100 2,448,400 100 2,074,100 100 3,848,300 100 2,876,000 100 12,281,800 100 Footnotes 11 Total includes FY97 installment of $700,000. 21 Includes USAID (S324,000 of direct and parallel funding), plus in-kind funding from the US/ECRE ($292,700), European Community (S70,000). and German BMZIGTZ (S60,000). ASTAE 3/ Includes World Bank. GEF, IDF and Consultant Trust Funds. miss 7. As shown in Annex 1, Netherlands DGIS funding began in June 1993.1 The final Tranche of the DGIS' total $4.4 million commitment is expected to be disbursed in September 1995. USDOE in-kind support began in January 1992, as originally envisaged. USDOE financial support began in September 1992, channeled through the USTDA Consultant Trust Fund. The USDOE Trust Fund for ASTAE only became active in October 1994. The full transfer of committed USDOE $2.7 million funding is scheduled to be completed in October 1996. Retroactive to July 1992. 2 Retroactive to July 1994. Attachment 1 3 Page 4 of 15 WORLD BANK FINANCIAL OBLIGATIONS 8. Agreement: The World Bank originally pledged one World Bank professional (Program Manager) and one support staff to ASTAE. The Bank assigned a second professional staff (Senior Operations Officer) to the Unit in January 1992. In Proposals for Donor Support and Trust Fund Arrangements with the Netherlands DGIS and the USDOE, the Bank subsequently agreed to assume a progressively larger share of ASTAE budget support. Specifically, the costs of the three donor-funded full-time ASTAE alternative energy experts would be taken over by the Bank, within the timeframe July 1994-July 1996. The Bank agreed to fund one expert, beginning July 1, 1994, a second, beginning July 1995 and a third, beginning July 1996. The Bank also agreed to assume a progressive share of project support costs, namely 20% by July 1, 1994, 40% by July 1, 1995 and 60% by 1997.3 9. Status: World Bank/GEF budget support has steadily increased from $227,000 in FY92, to $661,000 in FY94 and is projected to reach $1.2 million in FY95. Due to the delay in start-up of donor funding, the Bank's financial support initially accounted for over 60% of the funds received by ASTAE in FY92. To overcome the one year lag in DGIS funding, the Bank opened an Interim $500,000 Fund for ASTAE (see Annex 1) in November 1992.4 World Bank/GEF budget support now accounts for approximately 30% of ASTAE's FY95 budget, which is within the agreed funding target range. (See Table 1.) Based on budget support from the Country Departments, the Asia Technical Department has offered a 3 year fixed term contract to Mr. Anil Cabraal, ASTAE Renewable Energy Expert, beginning in January 1995. This is notwithstanding budget constraints that are reshaping priorities. PERFORMANCE TARGETS 10. The Netherlands DGIS, the USDOE and the UNDP identified four targets to measure performance. These targets are listed below and discussed in the following paragraphs: a) At least 10% of the World Bank's Asia power sector lending by FY96 would be for alternative energy components/projects; b) ASTAE would follow up on project concepts identified in the FY91 FINESSE country studies; c) ASTAE would rely, to the extent possible, on local consultants to build local capacity for sustainable alternative energy project development; and d) ASTAE would broaden its financial base, by mobilizing resources from other donors and ensuring donor coordination and consultation. Performance Targets A & B (Lending Volume & FINESSE Follow-up) 11. The May 1992 ASTAE Proposal for Donor Support set the goal of at least 10% of the Bank's Asia power sector development lending for alternative energy components or free-standing projects by FY96. Table 2: "World Bank/GEF Lending for Alternative Energy by Fiscal Year," shows the actual See page 8 of the May 1992 Proposal for Support for ASTAE and Side Letter of May 27, 1993 regarding DGIS support for ASTAE. The Interim Fund was reimbursed with the first DGIS Tranche for ASTAE in June 1993. Attachment 1 4 Page 5 of 15 commitments for FY92-94 and planned power sector pipeline and alternative energy projects/components for FY95-96, as of November 18, 1994. Table 2 shows that the planned FY96 alternative energy pipeline for East Asia & Pacific and South Asia borrowers is nearly $250 million, or 12.1% of total projected World Bank power sector lending for that fiscal year. TABLE 2: WORLD BANK/GEF LENDING FOR ALTERNATIVE ENERGY BY FISCAL YEARa EAST ASIA & PACIFIC AND SOUTH ASIA REGIONS, US$ million A) Alternative Energy Loans and Credits' FY92 FY93 FY94 FY95 FY96' FY97' 1 ) Nepal Telecommunications V 2.0 2) Thailand MEA Distribution System & Energy Efficiencyc9. 3) Lao PDR Provincial Grid Integration d1. 4) India Renewable Resources Development* 4. 5) Indonesia Sumatera & Kalimantan Power (DSM) 6) Indonesia Second Rural Electrificationf 18.0 7) Sri Lanka Energy Services Deliveryg 24.0 8) India Haryana Power Sector Restructuring (DSM) 20.0 9) India Orissa Power Sector Restructuring (DSM) 5.0 10) Indonesia Renewable Energy Developmenth 200.0 11) India Uttar Pradesh Power Sector Restructuring (DSM) 70.0 12) Vietnam Dai Ninh Hydro Power (DSM) 5.0 13) Pakistan Energy Efficiency 50.0 B) Total - Alternative Energy Lending 2.0 152.0 1.8 18.0 249.0 125.0 C) Total Power Sector Lending (ASIA) 2476.0 1720.0 1278.0 1361.0 2059.0 n.a. D) Alternative Energy Lending / Power Sector Lending (ASIA) 0.1% 8.8% 0.1% 1.3% 12.1% Source: FY92-94: Staff Appraisal Reports: FY95-97: Lending Reports and Monthly Timetable as of 10/18/94. Footnotes a) Includes renewable energy and energy efficiency/Demand-Side Management (DSM) technologies and processes. b) Includes lending for free standing projects and project components. c) GEF-supported five-year OSM plan in Loan 3598TH. d) Technical assistance for OSM institution building (Credit 2425LA). e) Private-sector investments in solar PV, wind farms, and mini-hydra sub-projects (GEF) (Loan 3544IN/Credit 24491N). t) Small geothermal and grid-connected mini-hydro components. g) Possible components include off-grid solar PV and micro-hydro; grid-connected mini-hydra and a pilot wind farm; and DSM (GEF). h) Lending may reach UIS$250 million, Includes support to private sector far grid-connected and off-grid solar PV, biomass, mini-hydra, mini-geothermal, wind, and hybrid components (GEF). ASTAE1 I) Tentative estimates - projects are in identification and preparation stages. 1 1/1&.94 9. 12. Before FY93 , there were virtually _po World Bank loans/credits or GEF grants in support of alternative energy. ASTAE is now engaged in alternative energy activities in India, Indonesia, Sri Lanka, Thailand, the Philippines, the People's Republic of China, Mongolia and the Lao PDR. (See Annex 2 for information on the 12 Bank lending operations in Asia FY93-97, which support alternative energy.) Table 2 also shows that ongoing and prospective Bank lending and GEF grants for FY93-97 that support renewable energy or DSM development amount to nearly $550 million, with total project costs of well over $1 billion. 13. Three of the lending operations identified in Table 2 - the DSM component of the Thailand MEA Distribution System and Energy Efficiency Project, the proposed Indonesia 2nd Rural Electrification Project and the proposed GEF-supported Indonesia Renewable Energy Development Project - are direct follow-up on project concepts identified in FY91 FINESSE country studies. Others, such as the proposed Sri Lanka Thc World Bank's fiscal 1993 or FY93 is from July 1, 1992-June 30, 1993. Attachment 1 5 Page 6 of 15 Energy Services Delivery Project, use the FINESSE approach to build a public/private partnership to deliver renewable energy and demand-side management services. Performance Target C (Use of Local Consultants) 14. ASTAE identifies and utilizes qualified local consultants whenever possible to build local technical capacity to develop and sustain alternative energy projects. This has been done in the India Renewable Resources Development Project, preparation of the Indonesia RED Project and in the identification of the Sri Lanka Energy Services Delivery Project. (See Table 3: Use of Local Consultants: 1992-1994.) TABLE 3: USE OF LOCAL CONSULTANTS: 1892-1994 Name of Staff- Funding Consultant/Firm Nationality Pro{ect/Activity Task Dates weeks Amount Source insan Harapan indoiesian S6olar.P Best Practices for Indonesia CaseStudy ;11/2-'8.1 412,415 USAID Sejahtera Household Electrification 03/93.... D.G.V.K. Jayasuriya Sri Lankan Solar PV Best Practices for Sri Lanka Case Study 01/93- 4.4 $1,073 Netherlands Household Electrification 03/93 Sunil Bastian Sri Lankan Solar PV. Best Practices for Sri Lanka Case Study . 01193- 4.4 $1,073 Netherlands Household Electrification - 03/93 ARO Inc. Filipino Philippines CFL Lighting Market Research 01194- 11.0 $23,100 Netherlands Efficiency Study Component 12/94 Lanka Market Resear Sri Lankan Sri Lanka Energy Services Risidential Electricity 03/94- n.a. 425,600 Netherlands Bureau Delivery Project Consumption Assessment 11/94: ___:. TOTAL - LOCAL CONSULTANTS $63,261 Performance Target D (Donor Coordination and Resource Mobilization) 15. ASTAE exchanges information and coordinates its work program with parallel alternative energy activities of the Asian Development Bank, the UNFSTD, the USAID, the USDOE, the German BMZ/GTZ, the Netherlands DGIS and the European Community. ASTAE also collaborates with alternative energy industry organizations such as the European Photovoltaics Energy Association, the Japan NEDO (New Energy Development Organization), US/ECRE, (the umbrella U.S. renewable energy trade association) and the International Institute for Energy Conservation and has used the fora of international conferences to advocate alternative energy development through public/private and donor partnerships. ASTAE has also been selected as a potential World Bank partner for the E-7 (an international environmental initiative of seven European, U.S. and Japan electric power utilities). In addition to its core funding from the World Bank/GEF, the Netherlands DGIS and the USDOE, through November 1994, ASTAE has mobilized significant resource commitments from the UNFSTD ($480,000), the USAID ($324,000 in direct and parallel support), US/ECRE ($230,000 of in-kind support) and ($130,000) from the German BMZ/GTZ and the European Community (see Table 1). ADDITIONAL ASTAE ACHIEVEMENTS 16. Strengthening Institutional Capacity: ASTAE is increasing appreciation of alternative energy approaches among World Bank staff and strengthening institutional capacity in key institutions in client countries, through country-based technical assistance, twinning arrangements, targeted support and training. See Annex 3. Attachment 1 6 Page 7 of 15 17.. Customized technical assistance based on country-specific needs. ASTAE's technical assistance builds on local capacity to support proposed alternative energy investments. The Unit has coordinated technical assistance for mini-hydro and mini-geothermal project preparation in Indonesia, development of PV bid specifications in India and evaluation of micro-hydro plant rehabilitation in Sri Lanka.7 As a basis for DSM strategy development, ASTAE provided technical assistance for electricity consumption assessments to Thailand and the Lao Peoples' Democratic Republic. It is now engaged in a similar effort in Sri Lanka. ASTAE also has provided assistance to Indonesia for energy efficiency improvements in commercial building design. These activities provide essential information on end-users electricity consumption behavior patterns and on technology performance in specific country contexts. They also strengthen local technical capacity and, in the process, build an understanding of and consensus for these new initiatives. 18. South-South twinning arrangements to transfer knowledge and practices. ASTAE has also encouraged South-South cooperation for institutional strengthening, for the mutual benefits it offers the provider and recipient organizations as well as for their lower costs, as compared to conventional forms of technical assistance. ASTAE has helped twin Electricite du Laos with Malaysia's utility TENAGA for organizational and management training, which is funded under the IDA-assisted Provincial Grid Integration Project. ASTAE has also helped twin Electricite du Laos with Tunisia's Agence pour la Matrise de l'Energie for training in commercial sector energy audits. (See Table 4.) Because the Lao PDR is an exporter of electricity, this technical assistance promotes efficient domestic electricity consumption, while increasing export earnings needed for the country's economic development. TABLE 4: USE OF SOUTH-SOUTH TWINNING ARRANGEMENTS: 1992-1994 Name of Staff- Funding Consultant / Firm Nationality Project / Activity Task Dates weeks Amount Source Kerredine Guellouz Tunisian Lao Institutional Commercial Sector Energy 09/93- 4.3 $9,901 Netherlands Development Efficiency Strategy 10/93 Abid Abdessattar Tunisian Lao Institutional Commercial Sector Energy 09/93- 3.0 $8,839 Netherlands Development Efficiency Strategy 10/93 Pinij Gritiyaransan Thai Lao Commercial Sector Workshop Preparation 10/94- 2.2 $6,195 Netherlands Energy Audit Workshop 12/94 Chirasak Boonrowd Thai Lao Commercial Sector Workshop Preparation 10/94- 1.2 $2,495 Netherlands Energy Audit Workshop 12/94 TOTAL - TWINNING ARRANGEMENTS $27,430 19. Targeted support for key institutions. ASTAE works to establish and strengthen key institutions for alternative energy development. In Thailand, ASTAE has helped define a new role and functions for the Energy Conservation Center of Thailand (ECCT), an institution with a crucial role to play in implementing the GEF-assisted Thailand DSM Project. In Indonesia, ASTAE has helped establish a PV Steering Committee to identify appropriate village cooperatives for PV energy services, which could be funded under the proposed GEF-assisted Renewable Energy Development Project. In the Philippines, ASTAE is helping the Fuels and Appliance Testing Laboratory to assess the performance of compact fluorescent lamps under local conditions and to conduct market research on CFL use in the residential and commercial sectors. This ASTAE assistance will help the Philippines avoid costly investments in energy efficient technologies that do not perform well within that particular country context, either because of technical or socio-econonic considerations. 7 See Annex 4 "List of ASTAE Reports." 8 See Annex 4 "List of ASTAE Reports." Attachment 1 7 Page 8 of 15 20. Training. ASTAE organizes, supports and provides training for Bank staff and client countries in all aspects of renewable energy and energy efficiency project development. For Bank borrowers, this has included the training of trainers, in-country workshops on economic and financial methods for renewable energy project appraisal, conducting energy audits and formulation of least cost electrification and DSM strategies. (See Table 5.) TABLE 5: TRAINING OF BANK STAFF & BORROWERS: 1992 -1995 Bank Staff Training Activltv Sponsors April 1992 Roundtable: Demand-Side Management: "Energy Efficiency in Power ASTAE/ASTEG Utility and Environmental Planning" September 1992 Seminar: "Rural Electrification: Private Sector Solar Photovoltaic ASTAE/ASTENISA3EI Initiatives in Sri Lanka" September 1992 Seminar: "Benefits of Grid-Support Photovoltaic Applications in India: .: ASTAEISA21E A Case Study of the Andhra Pradesh State Electricity Board System" September Exhibit: "Energy Alternatives for Development" featuring energy efficiency ASTAE October 1992 & renewable energy technologies; WB/IMF Annual Meetings, Sheraton Park Hotel, Washington, D.C. and WB "E" Building Mezzanine October 1992 Inauguration Reception for the "Energy Alternative Development ASTAE Exhibit" and the launching of ASTAE March 1993 Seminar: Small-Scale Geothermal Applications for Rural Electrification ASTAEILACTD April 1993 Briefing at Soltech '93: "Solar Technologies for the Developing World" ASTAE/CISEIA July 1993 First World Bank Alternative Energy Study Tour to California & Nevada ASTAEIPMDTR August 1993 Seminar Indonesia Eastern Islands Pilot Project, "GIS Mapping and ASTAE Surveying for Renewable Energy-Based Hybrid Village Power Systems" May 1994 Seminar: Public & Private Wind Energy Development in Asia ASTAE/SA2EG May 1994 Seminar: World Wind Energy Resources & Wind System Technology ASTAE/USDOE September 1994 Second World Bank Alternative Energy Study Tour to California and Nevada ASTAE/PMDTR Borrower Training Activity Sponsors July 1992 Demand-Side Management Training and Commercial Building Energy ASTAE Audit for Indonesia PLN Delegation October 1993 Demand-Side Management Workshop for the Philippines Energy ASTAE Regulatory Board (ERB) February 1994 DSM Workshop for the Ceylon Electricity Board in Sri Lanka ASTAE June 1994 DSM Workshop for Philippines Power Utilities ASTAE April 1995 - Commercial Sector Audit Workshopfor Lao PDR Power Utility Staff ASTAEITunisian Energy Management Agency (AME) ASTAE 21. Fostering Public-Private Sector Partnerships: ASTAE support for public-private sector partnerships includes help for: Drafting small power purchase agreements. One of the most promising areas for public-private sector partnerships is private power generation for sale to the public sector-controlled grid. ASTAE has helped Bank staff and counterparts in Indonesia and Sri Lanka to formulate small power purchase agreements, standardized tariff arrangements and related grid interconnection specifications for private power generation from renewable energy sources. Pre-feasibility studies. The private sector is often unwilling to spend its resources on pre-feasibility studies where the commercial viability of alternative energy projects is unknown. To overcome this barrier, Attachment 1 8 Page 9 of 15 ASTAE supports pre-feasibility studies for wind, solar photovoltaics, small-hydro and biomass cogeneration in Indonesia and Sri Lanka. ASTAE also recently participated in a reconnaissance of potential renewable energy opportunities in China and Mongolia. Establishing standards and guidelines. The private sector needs clear standards and guidelines to facilitate risk assessment. In the case of the Indian Renewable Resources Project, ASTAE is helping to establish guidelines for bid documentation, tender evaluation and project development. ASTAE also provides assistance in establishing minimum performance standards and guidelines for alternative energy technologies. ASTAE's "Solar Photovoltaics: Best Practices for Household Electrification" Report offers guidance to plan and implement sustainable rural solar PV projects.9 DSM collaborative process. Conflicting objectives among energy planners, regulatory boards, utilities and consumers and donors can delay or hinder DSM implementation. In this regard, the U.S. has had a positive experience with the "Collaborative DSM Process," which uses an open dialogue among energy stakeholders to reach mutually acceptable agreements and compromises. Drawing on this experience, ASTAE has initiated a pilot DSM collaborative process in the Philippines, working directly with the Energy Regulatory Board, the Department of Energy, MERALCO - the largest private distribution utility - and private sector and consumer organizations in the Philippines.'0 CONCLUSIONS 22. In less than three years, ASTAE has made demonstrable progress in integrating alternative energy options into the energy development strategies of its Asian borrowers. Three key elements underlie ASTAE's achievements to date: visible Bank management support for the Unit and its work; donor encouragement, financial assistance and feedback; and ASTAE's strong client focus. Taken together, they have permitted ASTAE to become an aggressive advocate of alternative energy solutions within the Bank as well as a source of technically sound and reliable advice for alternative energy project development within the Asia region. 23. More work remains to be done. Bank staff and our Asian counterparts increasingly recognize that renewable energy and demand-side management options offer technically and economically viable and environmentally benign solutions. However, these constituencies remain small, relative to the majority of energy sector planners and project implementors, who are more comfortable with conventional supply solutions. Alternative energy projects are innovative and require new approaches, new skills and new behaviors. As a result, implementation is resource-intensive. The actual cost-effective delivery of alternative energy services is yet to be demonstrated in the field. Thus, while ASTAE has begun the process of mainstreaming alternative energy projects, changing the culture of energy sector strategy and project development-both within the Bank and in the Asia Regions-remains a long-term challenge. 9 See Annex 4 "List of ASTAE Reports." 10 See Annex 4 "List of ASTAE Reports." Attachment 1 Page 10 of 15 ANNEXES ANNEX 1: ASTAE KEY FUNDING EVENTS: 1992 - 1996 ANNEX 2: STATUS OF WORLD BANK LOANS AND CREDITS FOR ALTERNATIVE ENERGY SUPPORT ANNEX 3: CONFERENCE PARTICIPATION AND INFORMATION DISSEMINATION: 1992 - 1994 ANNEX 4: LIST OF ASTAE REPORTS ASTAE KEY FUNDING EVENTS: 1992-1996 Year Month Agency Event Amount Source USS 1992 January WB Creates ASTAE with 2 WB staff and 1 seconded USDOE renewable energy consultant $327,000 1/ WB/USDOE March ASTAE Donors Meeting #1 (WB/ASTAE funding proposal to donors) May ASTAE Submits funding proposal (revised) to Netherlands DGIS ($4,798,500) July USAID Approves ASTAE funding through USAID/WB Trust Fund (TF) $200,000 USAID July UNFSTD Submits funding proposal to Netherlands DGIS for ASTAE support ($607,392) September USDOE Funds to USTDA TF for ASTAE support $200,000 USDOE/USTDA November WB Creates Interim Fund for ASTAE while awaiting donor funding $500,000 2/ WB 1993 March ASTAE Submits funding proposal to USDOE ($3,500,000 for ASTAE) May ASTAE Donors Meefing #2 May NETH. DGIS Netherlands TF Arrangement signed ($4.401,184) 31 NETH. DGIS June NETH. DGIS Netherlands TF Tranche #1 $1,558,288 NETH. DGIS September NETH. DGIS Netherlands DGIS/UNFSTD Funding Agreement signed ($479,520) 4/ NETH./UNFSTD October USDOE Funds to USTDA TF for ASTAE support $250,000 USDOE/USTDA December NETH. DGIS UNFSTD TF Tranche #1 $69,500 NETH./UNFSTD December NETH. DGIS Netherlands TF Tranche #2 $821,140 NETH. DGIS 1994 April ASTAE Donors Meetng #3 September NETH. DGIS Netherlands TF Tranche #3 $914,022 NETH. DGIS September USDOE USDOE Funding Agreement signed ($3,000,000) 5/ USDOE October USDOE USDOE TF Tranche #1 (for ASTAE) $685,000 USDOE Projected: 1994 November NETH. DGIS Netherlands TF Tranche #4 $585,246 NETH. DGIS December NETH. DGIS UNFSTD TF Tranche #2 December WB Approves IDF Grant for Philippines DSM capacity building $290,000 IDF December USDOE USDOE TF Tranche #2 $315,000 6/ USDOE 1995 March GEF Approves Project Preparation Grant for Sri Lanka Energy Services Delivery Project $500,000 7/ GEF April ASTAE Donors MeeUng #4 September NETH. DGIS Netherlands TF Tranche #5 $522,488 NETH. DGIS October USDOE USDOE TF Tranche #3 (for ASTAE) $700,000 5/ USDOE 1996 October USDOE USDOE TF Tranche #4 (for ASTAE) $700.000 5/ USDOE Note: Does not include annual World Bank support to ASTAE of $419,100 in FY93, $661,300 in FY94, $1,222,500 in FY95, and $1,398,500 in FY96, as well as other In-kind and parallel funding. Footnotes 1/Includes $227,000 committed by WB plus secondment by USDOE of Anil Cabraal and other consultants to ASTAE during FY92 (January-June 1992). 21 Reimbursed to WB in June 1993. following receipt of Netherlands funding. 31To be disbursed in five tranches over 3-year period, retroactive to July 1992. 41 To be disbursed in tranches over 3-year period. 51 To be disbursed in tranches of $1,000,000 per year over 3-year period, of which ASTAE receives $700,000 per year, retroactive to July 1994. 6/Completes first $1,000,000 installment to World Bank 71Estimate of project preparation costs. 03 rt GQ rt Netherlands DGIS: Netherlands Directorate General for International Development WB: World Bank UNFSTD: United Nations Fund for Science & Technology for Development USAID: United States Agency for Intenational Development USOE United States Department of Energy IDF. World Bank Institutional Development Fund Grant (D USTOA: United States Trade and Development Agency GEF: Global Environmental Facility Grant ASTAE I-h rt 11/1894 Lni Page 12 of 15 ANNEX 2 PAGE 1 OF 2 STATUS OF WORLD BANK LOANS AND CREDITS FOR ALTERNATIVE ENERGY SUPPORT A) Ongoing Loans and Credits 1) Thailand MEA Distribution System and Energy Efficiency FY 93 ASTAE is responsible for supervising the Electricity Generating Authority of Thailand's (EGAT) implementation of a Global Environmental Facility (GEF) financed five-year Demand-Side Management (DSM) program. To date, EGAT's Demand Side Management Office (DSMO) has implemented a Fluorescent Tube Replacement program and a High Efficiency Refrigerator Rebate program. DSMO also plans to offer a High Efficiency Air Conditioner program and a New Commercial Construction program in 1995 to meet a demand reduction goal of 238 MW by the end of 1997. Total GEF lending for the DSM component is USS9.5 million. Loan #3598-TH; USS109.0 million Loan of July 30, 1993; effective date: November 29, 1993; executing agency: Metropolitan Electricity Authority (MEA). 2) Lao PDR Provincial Grid Integration (PGI) FY 93 This project includes components for Demand-Side Management and Institutional Building. ASTAE is coordinating a South-South twinning arrangement between Electricite du Laos and Tenaga Nasional Berhad (the Malaysian electric utility) to provide the Lao electric utility with comprehensive training in utility operations. ASTAE has also helped twin Electricite du Laos with Tunisia's Agence pour la Matrise de L'Energie for training in commercial sector audits. Activity funded under PGI credit. Total DSM component is USS1.5 million. Credit 2425-LA; US$36 million Credit of December 23,1992; effective date: July 6, 1993; executing agency: Electricite du Laos (EDL). 3) India Renewable Resources Development FY 93 ASTAE has supervised the overall design and appraisal of and is assisting in the supervision of the solar PV, wind, and mini-hydro components of this project. A US$26 million GEF grant supports both the windfarm and solar photovoltaic market development components. Two windfarm schemes with combined capacity of 20 MW and a 2 MW small hydro scheme are included. As of Spring 1994, the windfarm components had catalyzed the installation of 114 MW of wind power in the country. Lending for the solar PV component totals US$55 million and is expected to address the financing, delivery, and installation of up to 3 MW of equipment for lighting, water pumping, and other applications. A PV market study has characterized the markets for PV in India and identified intermediaries with the potential to commercialize PV. Total World Bank/GEF lending for the renewable energy components is USS141 million. Loan 3544-IN; Credit 2449-IN; GEF Grant 28633-IN; USS75 million Loan, US$115 million Credit, and USS26 million Grant of March 5, 1993; effective date: April 6, 1993; executing agency: Indian Renewable Energy Development Agency Limited (IREDA). 4) Indonesia Sumatera & Kalimantan Power FY 94 The Project will support the Government of Indonesia's long-term policy agenda for the power sector, including increased private sector participation, restructuring of PLN, implementing regulatory oversight and introducing a formula-based tariff structure. The DSM component will consist of technical assistance for an institutional study which will make recommendations on DSM staffing and policy requirements necessary to prepare a DSM strategy. Total DSM component: USS1.8 Million. Approved June 21, 1994. B) Prospective Loans and Credits 5) Indonesia Second Rural Electrification (REII) FY 95 This project is an extension of support for the national power utility's (PLN) least cost rural electrification program, which includes renewable energy generation. ASTAE is supervising the preparation and appraisal of the small geothermal and grid-connected mini-hydro components, to be implemented by PLN. A key policy component of the proposed project is the creation of a sustainable and efficient small power market. Understanding has been reached that central to the realization of such a market is the implementation of the small power purchase tariff and standardized power purchase contract. Total World Bank lending for renewable energy components of this project is USS18 million. Appraisal: January 1, 1994; Board approval: November 29, 1994. 6) Sri Lanka Energy Services Delivery FY 96 ASTAE is preparing this project. It is designed to; (a) encourage participation of the private sector, NGOs, and cooperatives in the provision of grid and off-grid energy services using environmentally sound renewable energy ASTAE 11/18/94 Attachment 1 Page 13 of 15 ANNEX 2 PAGE 2 OF 2 technologies; (b) support development of a DSM strategy and cost-effective programs for the residential and commercial building sectors; and (c) strengthen the public and private institutional capacity to deliver energy services through renewable energy and DSM. The proposed project includes three components: a Private Sector Renewable Energy Fund for grid-connected and off-grid alternative energy investments, to be implemented as a window of the proposed Private Sector Infrastructure Development Fund; a CEB-executed Pilot Wind Farm; and Technical Assistance for renewable energy and DSM support. Total World Bank/GEF alternative energy lending for this project is projected to be USS24 million. Appraisal: August 18, 1995; Board approval: March 28, 1996. 7) India Harvana Power Sector Restructuring FY 96 ASTAE is assisting the identification and preparation of DSM components in the state's power sector reform program. Possible DSM investments include rehabilitation and modernization of electrical agricultural pumpsets, direct control of distribution transformers and redesign of low voltage feeder lines. Total DSM component: USS20 million. Appraisal: January 20, 1995; Board approval: July 25, 1995. 8) India Orissa Power Sector Restmucturing FY 96 ASTAE is assisting the identification and preparation of a DSM component in the state's power sector reform program. DSM investments under consideration include end-use consumer load research linked to a proposed metering program, municipal water pumping and storage systems, electrical cooker programs, and industrial energy efficiency measures. Total DSM component: USS5 million. Appraisal: January 10, 1995; Board approval: July 25, 1995. 9) Indonesia Renewable Energv Development (RED) FY 96 ASTAE is assisting in the design and development of the RED project which would support investments funded and/or implemented by the private sector, NGOs and cooperatives. Possible components include grid-connected and off-grid investments in solar PV, biomass, wind, mini-hydro, mini-geothermal and hybrid systems as well as technical assistance, training, renewable resource characterization and information systems development. Renewable technologies that provide a cost effective basis for reducing greenhouse gas emissions will be promoted under a grant from GEF. Total World Bank/GEF alternative energy lending for this project is USS200 million (lending may reach US$250 million). Appraisal: October 1, 1995; RVP approval: January 8, 1997 10) India Uttar Pradesh Power Sector Restructuring FY 97 ASTAE is assisting in the design and development of a DSM component investment strategy in the state's power sector reform program. The possible DSM component includes investments in end-use consumer load research linked to a proposed metering program, industrial energy conservation (rewinding of electrical motors, in-plant load management and technologies), sugar cogeneration, and agricultural and commercial sector DSM. Total DSM component: USS70 million. Appraisal: July 15, 1995; Board approval: April 9, 1996. 11) Vietnam Dai Ninh Hydro Power FY97 This project will support the Government of Vietnam's hydropower development to meet the demand in the South beyond the year 2000. The DSM component(s) will consist of technical assistance to prepare a DSM strategy and possible associated investments. Tentative DSM component-USS5 million. Appraisal: July 20, 1995; Board approval: July 23, 1996. 12) Pakistan Energy Efficiency FY 97 The proposed project would support a number of prospective commercialization programs for energy efficiency improvements for key end user sectors via a revolving fund for energy efficiency investments. The project would also provide technical assistance for capacity building and training components. Appraisal date: July 1, 1995; Board approval date: June 18, 1996. ASTAE 11/18/94 Page 14 of 15 ANNEX 3 CONFERENCE PARTICIPATION & INFORMATION DISSEMINATION: 1992-1994' Date Conference Seaker October "The Role of Multilateral Development Banks in Aggregating Worldwide Markets for PV", L. Schaeffer, ASTAE 1992 11th European PV Solar Energy Conference & Exhibition, Montreux, Switzerland Program Manager October "Update on World Bank Alternative Energy Activities in Asia", Fifth Full Meeting of the A. Cabraal, ASTAE 1992 Committee on Renewable Energy Commerce and Trade Renewable Energy Specialist April "Design Considerations of the World Bank-Assisted $55 Million Photovoltaic Market A. Cabraal, ASTAE 1993 Development Project in India", Soltech '93, Washington, D.C. Renewable Energy Specialist April "Large Scale Financing for Renewable Projects", Soltech '93. Washington, D.C. L. Schaeffer, ASTAE 1993 Program Manager June "DSM: Reducing the Environmental Impacts of Energy Growth in Developing Countries", L. Schaeffer, ASTAE 1993 Global Environment Conference, Arlington, Virginia Program Manager September "Support for Alternative Energy in Asia", Conference on Energy for Sustainable L. Schaeffer, ASTAE 1993 Development: Post Rio Challenges & Dutch Responses, Amsterdam, The Netherlands Program Manager September "Designing DSM Projects in Asian Countries", Second International Energy Efficiency L. Schaeffer, ASTAE 1993 and OSM Conference, Stockholm, Sweden Program Manager April "Lessons Learned from PV Rural Electrification Experiences in Developing K. Jensen, ASTAE 1994 Countries", 12th European Photovoltaic Solar Energy Conference and Exhibition, DSM Specialist Amsterdam, The Netherlands June "Models for Success: The Asia Experience", Conference on Renewable Energy in the H. Messenger, AST 1994 Americas (REIA '94), Puerto Rico Director July "Institutional Coalitions and Energy Efficiency", Global Energy Efficiency Initiative, U.S. L. Schaeffer, ASTAE 1994 Working Group Program Manager September "The Potential for World Bank Support of Solar Thermal Technologies", 7th International M. Cosgrove-Davies, ASTAE 1994 Symposium on Solar Thermal Concentrating Technologies, Moscow, Russia Renewable Energy Specialist October "Some Best Practices for Village Power Programs", NREL Village Power Workshop M. Cosgrove-Davies, ASTAE 1994 1994, Washington, D.C. Renewable Energy Specialist December "The World Bank's Renewable Energy Program", Forum on Renewable Energy: A Key L. Schaeffer, ASTAE 1994 to Sustainable Growth in the Asia/Pacific Region, Waikoloa, Hawaii Program Manager December Roundtable: Photovoltaics and Rural Electrification, First World Conference on L. Schaeffer, ASTAE 1994 Photovoltaic Energy Conversion, Waikoloa, Hawaii Program Manager a/ For information dissemination to client agencies/organizations in Asia see borrower training activities in Table 5, page 7 of text ASTAE 11/18/94 Page 15 of 15 ANNEX 4 LIST OF ASTAE REPORTS 1. The Philippines, Manila Electric Company (MERALCO): Industrial Energy-Efficiency Program (September 1993) 2. The Energy Conservation Center of Thailand (ECCT): Future Roles and Functions (January 1994) 3. The Philippines, Energy Regulatory Board (ERB): Regulatory Aspects of Demand-Side Management Workshop (January 1994) 4. Sri Lanka, The Ceylon Electricity Board (CEB): Sri Lanka Micro Hydro Feasibility Study (January 1994) 5. Indonesia, Perusahaan Umum Listrik Negara Pusat (PLN): PLN Headquarters Design Assistance (February 1994) 6. Solar Photovoltaics: Best Practices for Household Electrification (October 1994) ASTAE 11/18/94 －吧二 Attachment 2 PAGE I OF 3 STATUS OF WORLD BANKIGEF LOANS, CREDITS AND GRANTS FOR ALTERNATIVE ENERGY SUPPORT - EAST ASIA & PACIFIC AND SOUTH ASIA REGIONS (FY 93-97) A) Ongoing Loans and Credits 1) India Renewable Resources Development FY 93 ASTAE has assisted in supervising the overall design and appraisal of this project and is assisting in the supervision of the solar PV, wind, and mini-hydro components. A US$26 million Global Environmental Facility (GEF) grant supports both the windfarm and solar photovoltaic market development components. Two windfarm schemes with a combined capacity of 20 MW and a 2 MW small hydro scheme are included. The windfarm component had catalyzed the installation of 114 MW of wind power in the country. Lending for the solar PV component totals US$55 million and is expected to address the financing, delivery, and installation of up to 3 MW of equipment for lighting, water pumping, and other applications. A PV market study has characterized the markets for PV in India and identified intermediaries with a potential for commercializing PV. Total World Bank/GEF support for the renewable energy components is USS141.0 million with total project support of US$216.0 million. Loan 3544-IN for US$75 million; Credit 2449-IN of US$115 million; GEF Grant 28633-IN for US$26 million; Board approval date: December 17, 1992; effective date: April 6, 1993; executing agency: Indian Renewable Energy Development Agency Limited (IREDA). 2) Thailand MEA Distribution System and Energy Efficiency FY 93 ASTAE is responsible for supervising the Electricity Generating Authority of Thailand's (EGAT) implementation of a GEF financed five-year Demand-Side Management (DSM) program. To date, EGAT's Demand-Side Management Office (DSMO) has implemented a Fluorescent Tube Replacement program and a High Efficiency Refrigerator Rebate program. DSMO also plans to offer a High Efficiency Air Conditioner program and a New Commercial Construction program in 1995 to meet a demand reduction goal of 238 MW by the end of 1997. Total GEF lending for the DSM component is USS9.5 million. Loan 3598-TH for US$109.0 million; Board approval date: April 27, 1993; effective date: November 29, 1993; executing agency: Metropolitan Electricity Authority (MEA). 3) Lao PDR Provincial Grid Integration (PGI) FY 93 This project includes components for Demand-Side Management and Institutional Building. ASTAE is coordinating a South-South twinning arrangement between Electricite du Laos and Teenage Nasional Berhad (the Malaysian electric utility) to provide the Lao electric utility with comprehensive training in utility operations. ASTAE has also helped twin Electricite du Laos with Tunisia's Agence pour la Matrise de L'Energie for training in commercial sector energy audits. This activity is funded under a PGI credit. The total Bank DSM component is USS1.5 million. Credit 2425-LA of USS36.0 million; Board approval date: October 6, 1992; effective date: July 6, 1993; executing agency: Electricite du Laos (EDL). 4) Indonesia Sumatra & Kalimantan Power FY 94 This program will support the Government of Indonesia's long-term policy agenda for the power sector, including increased private sector participation, restructuring of the national power utility (PLN), implementing regulatory oversight, and introducing a formula-based tariff structure. The DSM component will consist of technical assistance for an institutional study which will make recommendations on DSM staffing and policy requirements necessary to prepare a DSM strategy. The total Bank support for the DSM component of this project is US$1.8 million. Loan 3761-IND for US$ 260.5 million; Board approval date: June 21, 1994; effective date: November 23, 1994; executing agencies: PLN and Bureau of Environment and Technology. 5) Indonesia Second Rural Electrification (REII) FY 95 This project is an extension of support for PLN's least cost rural electrification program, which includes renewable energy generation. ASTAE is supervising the preparation and appraisal of the small geothermal and grid-connected mini-hydro components, to be implemented by PLN. A key policy component of the proposed project is the creation of a sustainable and efficient small power market. Understanding has been reached that central to the realization of such a market is the implementation of the small power purchase tariff and standardized power purchase contract. Total World Bank lending for renewable energy components of this project is USS18.0 million. Loan 3979-IND of US$398.0 million; Board approval date: February 28, 1995; executing agency: PLN. ASTAE 6/30/95 Attachment 2 PAGE 2 OF 3 B) Prospective Loans and Credits 6) India Orissa Power Sector Restructuring FY 96 ASTAE is assisting in the identification and preparation of a DSM component in the state's power sector reform program. DSM investments under consideration include end-use consumer load research linked to a proposed metering program, municipal water pumping and storage systems, electrical cooker programs, and industrial energy efficiency measures. The total Bank support for the DSM component is USS80.0 million with atotal loan of US$350.0 million. Appraisal: February 17, 1995; Board approval date: October 31, 1995. 7) India Solar Thermal FY 96 This project is designed to promote solar thermal power in India, replacing fossil fuel based generating systems with environmentally benign technology. A 35 MW gross electricity generating plant based on parabolic trough technology is expected to enhance awareness and confidence about solar thermal power, while generating 50 million units of electricity. ASTAE has offered assistance in the project's design, and will offer continued support in the appraisal and implementation of the project. This stand-alone alternative energy project has total World Bank/GEF support estimated at USS57.0 million. Appraisal: December 1, 1995; Board approval date: April 23, 1996. 8) China Henan (Oinbei) Thermal Power FY 96 This Bank-assisted project includes an electricity conservation component comprised of three site-specific projects, including the installation of high-efficiency lighting in industrial and commercial applications, the installation of variable- speed motor control systems, and the use of efficient pumps for industrial and commercial utilization. In addition, there will be several technical assistance components for DSM support, such as training in commercial business planning and development and performance contracting. The total loan of this project is US$440.0 million, with an energy efficiency component of US$10.0 million. Appraisal: May 18, 1995; Board approval date: October 31, 1995. 9) China Energy Conservation FY 97 ASTAE is aiding this GEF stand-alone program aimed at reducing greenhouse gas emissions through the promotion of energy conservation investments. The total commitment by the GEF for this project is currently US$50.0 million. Appraisal: October 15, 1996; Board approval date: April 15, 1996. 10)Pakistan Energy Efficiency FY 97 The proposed project would support a number of prospective commercialization programs for promoting improvements for key end energy user sectors via a revolving fund for energy efficiency investments. The project would also provide technical assistance for capacity building and training components. The Bank/GEF support for this stand-alone DSM project is US$50.0 million. Appraisal: September 15, 1996; Board approval date: May 15, 1997. S1)India Uttar Pradesh Power Sector Restructuring FY 97 ASTAE is assisting in the design and development of a DSM component investment strategy in the state's power sector reform program. The proposed DSM component includes investments in end-use consumer load research linked to a proposed metering program, industrial energy conservation (rewinding of electrical motors, in-plant load management and technologies), sugar cogeneration, and agricultural and commercial sector DSM. Total DSM component: US$70.0 million with a total loan of US$300.0 million. Appraisal: October 15, 1995; Board approval date: July 16, 1996. 12)lndonesia Renewable Energy Development (RED) FY 97 ASTAE is assisting in the design and development of the RED project which would support investments funded and/or implemented by the private sector, NGOs and cooperatives. Possible components include grid-connected and off-grid investments in solar PV, biomass, wind, mini-hydro, mini-geothermal and hybrid systems as well as technical assistance, training, renewable resource characterization and information systems development. Renewable technologies that provide a cost effective basis for reducing greenhouse gas emissions will be promoted under a GEF grant. The total World Bank/GEF support for this renewable energy stand-alone project is US$185.0 million. Appraisal: July 1, 1996; Board approval date: January 7, 1997. 13)Pakistan Waste to Energy FY 97 The GEF will support the design and construction of a privately-managed power station fueled by methane gas, which would otherwise be emitted into the surrounding atmosphere, collected from an urban landfill. Although this technology has been proven in developed countries, the feasibility of transferring the technology and its application under the local ASTAE 6/30/95 Attachment 2 PAGE 3 OF 3 conditions remains to be tested. This stand-alone GEF project has a total grant amount of US$11.0 million. Appraisal: January 31, 1996; Board approval date: October 1, 1996. 14)Sri Lanka Energy Services Delivery FY 97 ASTAE is managing this project, designed to: (a) encourage participation of the private sector, NGOs, and cooperatives in the provision of grid and off-grid energy services using environmentally sound renewable energy technologies; (b) support development of a DSM strategy and cost-effective programs for the residential and commercial building sectors; and (c) strengthen the public and private institutional capacity to deliver energy services through renewable energy and DSM. The proposed project includes three components: a Private Sector Renewable Energy Fund for grid-connected and off-grid alternative energy investments, to be implemented as a window of the proposed Private Sector Infrastructure Development Fund; a CEB-executed Pilot Wind Farm; and Technical Assistance for renewable energy and DSM support. Total World Bank/GEF support for this stand-alone alternative energy project is projected at US$24.0 million. Appraisal: June 13, 1996; Board approval date: February 25, 1997. 15)Vietnam Dai Ninh Hydro Power FY 97 This project will support the Government of Vietnam's hydropower development program to meet the demand in the South beyond the year 2000. The DSM component(s) will consist of technical assistance to prepare a DSM strategy and possible associated investments. The tentative DSM component is US$5.0 million with a total credit of US$150.0 million. Appraisal: December 15, 1995; Board approval date: October 31, 1996. 16)India Stand-Alone DSM FY 97 This Demand-Side Management Project includes a component for the Bombay Suburban Electricity Supply Limited (BSES) sub-distribution network and industrial and commercial customers. The project has components for other private utilities. This stand-alone DSM project currently has a loan amount of US$100.0 million. Appraisal: June 15, 1996; Board approval date: January 14, 1997. 17)lndia Haryana Power Sector Restructuring FY 97 This Bank-assisted project will support major restructuring and policy reforms in the Haryana power sector. Efficiency improvements on the demand side, including metering systems and DSM programs will be included in an investment component. The total World Bank commitment for this proposed project is US$300.0 million, with a DSM component of US$20.0 million. Appraisal: March 15, 1996; Board Approval date: September 17, 1996. ASTAE 6/30/95 Attachment 3 Total Power Capacity Installed and Avoided in Alternative Energy World Bank/GEF-assisted Projects/Project Components (FY93-97) Project Name Total Renewable Total Capacity Energy Installed Avoided (MW) (MW) India Renewable Resources Development 188 - Thailand MEA Distribution System & Energy - 238 Efficiency Lao PDR Provincial Grid Integration -_- Indonesia Sumatera & Kalimantan Power - 27.4 Indonesia Second Rural Electrification 27.5 - India Orissa Power Sector Restructuring - 234 India Solar Thermal 35.0 - China Henan (Qinbei)Thermal Power - 17.5 China Energy Conservation n/a Pakistan Energy Efficiency n/a India Uttar Pradesh Power Sector Restructuring - n/a Indonesia Renewable Energy Development 132* Pakistan Waste to Energy n/a - Sri Lanka Energy Services Delivery 30.0* 18.0* Vietnam Dai Ninh Hydro Power - n/a India Demand-Side Management -_n/a India Haryana Power Sector Restructuring - n/a TOTAL 412 535 * projected figures n/a - not available ASTAE CONFERENCE PRESENTATIONS: 1992-1995* Date Paper/Presentation/Conference Speaker Type of Audience Sponsor "The Role of Multilateral Development Banks in Aggregating Worldwide October 1992 Markets for PV', 11th European PV Solar Energy Conference & Exhibition, Pg aager Montreux, Switzerland Program Manager October 1992 "Update on World Bank Alternative Energy Activities in Asia", Fifth Full A. Cabraal, ASTAE Meeting of the Committee on Renewable Energy Commerce and Trade Renewable Energy Specialist April 1993 "Design Considerations of the World Bank-Assisted $55 Million Photovoltaic A. Cabraal, ASTAE Market Development Project in India", Soltech '93, Washington, DC Renewable Energy Specialist "Large Scale Financing for Renewable Projects", Soltech '93, Washington, L. Schaeffer, ASTAE DC Program Manager "DSM: Reducing the Environmental Impacts of Energy Growth in Developing L. Schaeffer, ASTAE Countries", Global Environment Conference, Arlington, Virginia Program Manager June 1993 "Least Cost Renewable Energy Planning Tool", NREL Village Power M. Cosgrove-Davies Government, Industry USDOE/NREL Modelling Workshop 1993, Golden, CO M._Cosgrove-Davies_ Government,_industry_USDOE/NREL "Support for Alternative Energy in Asia", Conference on Energy for September 1993 Sustainable Development: Post Rio Challenges & Dutch Responses, L. Mchaee Amsterdam, The Netherlands Program Manager "Designing DSM Projects in Asian Countries", Second International Energy L. Schaeffer, ASTAE Efficiency and DSM Conference, Stockhom, Sweden Program Manager Nov./Dec. 1993 USETI DSM Training Workshop C. Tager, ASTAE Government USETI "Lessons Learned from PV Rural Electrification Experiences in Developing K. Jensen, ASTAE April 1994 Countries", 12th European Photovoltaic Solar Energy Conference and NGO, Technical, Govt. Exhibition, Amsterdam, The Netherlands DSM Specialist April 1994 "The Role of the Multilateral Development Banks in Realizing a Sustainable L. Schaeffer, ASTAE Graduate students IIEC Energy Future", SAIS (Johns Hopkins) Program Manager May 1994 "DSM Experience in South and Southeast Asia", Seminar on DSM/IRP in the Carolyn Tager, ASTAE Bank Staff, Govt. Officials, USAID U.S. and Developing Countries, Washington, DC Senior Operations Officer Industry, NGOs June 1994 USETI DSM Training Workshop Carolyn Tager, ASTAE Government USETI June 1994 "Models for Success: The Asia Experience", Conference on Renewable H. Messenger, AST Energy in the Americas (REIA '94), Puerto Rico Director _ "Institutional Coalitions and Energy Efficiency", Global Energy Efficiency L. Schaeffer, ASTAE NO July 1994 NGOs M0 Initiative, U.S. Working Group Program Manager _ "Economic Analysis of Renewable Energy Systems", NREL Rural Energy M. Cosgrove-Davies, ASTAE August 1994 Modelling Workshop, Golden, CO Renewable Energy Specialist Government, Industry USDOEINREL ;J .It ASTAE CONFERENCE PRESENTATIONS: 1992-1995* Date Paper/Presentation/Conference Speaker Type of Audience Sponsor "The Potential for World Bank Support of Solar Thermal Technologies", 7th M. Cosgrove-Davies, ASTAE Technical, Govt. Officials, September 1994 International Symposium on Solar Thermal Concentrating Technologies, Renewable Energy Specialist Academics, Industry Moscow, Russia October 1994 "Some Best Practices for Village Power Programs", NREL Village Power M. Cosgrove-Davies, ASTAE Government, Industry, NGOs USDOE/NREL Workshop, 1994, Washington, DC Renewable Energy Specialist Technical, NGOs, Govt. "Best Practices for PV Solar Home System Projects," First World Conference M. Cosgrove-Davies, ASTAE Offical, Poe Uti on Photovoltaic Energy Conversion, Waikoloa, Hawaii Renewable Energy Specialist Represntties Acdics Representatives, Academics Technical, NGOs, Govt. "Least Cost Analysis of Renewable Energy Projects," First World Conference M. Cosgrove-Davies, ASTAE Offical, Poe Uti on Photovoltaic Energy Conversion, Waikoloa, Hawaii Renewable Energy Specialist Represntties Acdics Representatives, Academics "The World Bank's Renewable Energy Program", Forum on Renewable L Schaeffer, ASTAE Technical, NGOs, Govt. December 1994 Energy: A Key to Sustainable Growth in the Asia/Pacific Region, First World Officials, Power Utility USDOEIASTAE Conference on Photovoltaic Energy Conversion, Waikoloa, Hawaii Representatiives, Academics Technical, NGOs, Govt. December 1994 Roundtable: Photovoltaics and Rural Electrification, First World Conference L. Schaeffer, ASTAE Tecial, os Gt. Decmbr 194..Officials, Power Utility ASTAEIUSDOE on Photovoltaic Energy Conversion, Waikoloa, Hawaii Program Manager Representatives, Academics "Economic Analysis of Renewable Energy Systems," NREL Workshop on M. Cosgrove-Davies, ASTAE Government, Intemational March 1995 Economics and Financing of Renewable Energy Based Village Power Renewable Energy Specialist Industry, NGOsUSDOEINREL Projects, Washington, DC "1995 IEA Workshop on the Role of Financing Organizations in the A. Cabraal, ASTAE Bank Staff, Consulting May 1995 Development and Deployment of Renewable Energy Technologies, Renewable Energy Specialist Companies, NGOsUSDOE/NREL Washington, DC June 1995 "Energy Efficiency in India - Issues & Opportunities", Workshop on Power S. Padmanabhan, ASTAE Utereenaivs, Gow Bsness Projects in India, New York DSM Planner Officials Intelligence *nrt *For information dissemination to client agencies/organizations in Asia see borrower training activities. r 0 M 4-) Attachment 5 ASTAE TRAINING OF WORLD BANK STAFF: 1992-1995 Bank Staff Activity Sponsors Presenter Type of No. of Training Participants Participants Roundtable: Demand-Side Management: "Energy ASTAEl April1992 Efficiency in Power Utility and Environmental Planning" ASTEG 25 ASTAE/ Sept. 1992 Seminar: "Rural Electrification: Private Sector Solar ASTEN/ Photovoltaic Initiatives in Sri Lanka" SA3EI Seminar: "Benefits of Grid-Support Photovoltaic Sept. 1992 Applications in India: A Case Study of the Andhra SAE 35 Pradesh State Electricity Board System" SA21E Exhibit: "Energy Alternatives for Development" Sept. 1992 - featuring energy efficiency & renewable energy Set1992 technologies: mounted at the WB/IMF Annual ASTAE IMF/WordeBank- Meetings, Sheraton Park Hotel in Washington, DC and .the World Bank's "E" Building Mezzanine Oct. 1992 Inauguration Reception for the "Energy Alternative ASTAE Bank-Wide Development Exhibit" and the launching of ASTAE March 1993 Seminar: Small-Scale Geothermal Applications for ASTAE/ Rural Electrification LACTD April 1993 Briefing at Soltech '93: "Solar Technologies for the ASTAE/ Developing World" CISEIA July 1993 First World Bank Alternative Energy Study Tour to ASTAE/ California and Nevada PMDTR Seminar: Indonesia Eastern Islands Pilot Project, "GIS Aug. 1993 Mapping and Surveying for Renewable Energy- ASTAE Based Hybrid Village Power Systems" May 1994 Seminar: "Public & Private Wind Energy Development ASTAE/ in Asia" SA2EG May 1994 Seminar: 'World Wind Energy Resources & Wind ASTAEl System Technology" USDOE Sept. 1994 Second World Bank Alternative Energy Study Tour to ASTAE/ 12 California and Nevada PMDTR Brown Bag Lunch: Use of Load Research in DSM ASTAE/ Dec. 1994 Planning and Design, Washington, DC Metering M. Hajny Bank Staff 10 Engineering Seminar: India Renewable Resource Development Feb. 1995 Project: The Photovoltaics Component at AFTES Workshop on Renewable Energy Strategy for Africa, AFTES A. Cabraal Bank Staff 30 Washington, DC Seminar: "Private Power, Environment, and Load ASTAE/ D.G.D.C. April 1995 Growth: Utility Planning in Turbulent Times", S Bank Staff 30 Washington, DC SA1EF Wijeratna ASTAE KEY FUNDING EVENTS Year Month Agency Event Amount Source US$ 1992 January WB Creates ASTAE with 2 WB staff and 1 seconded USDOE renewable energy consultant $327,000 1/ WB/USDOE March ASTAE Donors Meeting #1 (WBIASTAE funding proposal to donors) May ASTAE Submits funding proposal (revised) to Netherlands DGIS ($4,798,500) July USAID Approves ASTAE funding through USAID/WB Trust Fund $200,000 USAID July UNEAP Submits funding proposal to Netherlands DGIS for ASTAE support ($607,392) September USDOE Funds to USTDA Trust Fund for ASTAE support $200.000 USDOEIUSTDA November WB Creates Interim Fund for ASTAE while awaiting donor funding $500,000 21 WB 1993 March ASTAE Submits funding proposal to USDOE ($3,500,000 for ASTAE) May ASTAE Donors Meeting #2 May NETH. DGIS Netherlands Trust Fund Arrangement signed (54.401.180) 31 NETH. DGIS June NETH. DGIS Netherlands Trust Fund Tranche #1 $1,558,290 NETH. DGIS September NETH. DGIS Netherlands DGIS/UNEAP Funding Agreement signed ($479.520) 41 NETH.IUNEAP October USDOE Funds to USTDA Trust Fund for ASTAE support $250,000 USDOE/USTDA December NETH. DGIS UNEAP Trust Fund Tranche #1 $69,500 NETH./UNEAP December NETH. DGIS Netherlands Trust Fund Tranche #2 $821,140 NETH. DGIS 1994 April ASTAE Donors Meeting #3 September 1NETH. DGIS Netherlands Trust Fund Tranche #3 $914,020 NETH. DGIS September USDOE USDOE Funding Agreement signed ($3,000,000) 5/ USDOE October USDOE USDOE Trust Fund Tranche #1 (for ASTAE) $885,000 USDOE October WB Japan PHRD Grant approved for use for India DSM $700,000 WB/JAPAN PHRD November NETH. DGIS Netherlands Trust Fund Tranche #4 $583.220 NETH. DGIS December NETH. DGIS UNEAP Trust Fund Tranche #2 $190,880 NETH/UNEAP 1995 April WB Approval IDF Grant for Philippines DSM capacity building $245,000 WBIlDF May ASTAE Donors Meeting #4 September WB Approval Project Preparation Facility (PPF) Advance for Sri Lanka Energy Services Delivery $340,000 WB/GEF Projected: 1995 October USDOE USDOE Trust Fund Tranche #2 (for ASTAE) $314,000 USDOE October WB Approval GEF-Project Development Facility (PDF) Grant for Sri Lanka Energy Services Delivery $200.000 WB/GEF October WB Approval GEF-Project Development Facility (PDF) Grant for China Renewable Energy $140.000 WBIGEF December NETH. DGIS Netherlands Trust Fund Tranche #5 $608.000 NETH. DGIS December NETH. DGIS UNEAP Trust Fund Tranche #3 $190,880 NETH.JUNEAP 1998 April ASTAE Donors Meeting #5 April USDOE USDOE Trust Fund Tranche #3 (for ASTAE) $350,000 USDOE September USDOE USDOE Trust Fund Tranche #4 (for ASTAE) $350,000 USDOE 1997 April USDOE USDOE Trust Fund Tranche #5 (for ASTAE) $401,000 USDOE Note: Does not include annual World Bank support. Footnotes: 1/Includes $227,000 committed by WB plus secondment by USDOE of Anil Cabreal and other consultants to ASTAE during FY92 (January-June 1992). 21 Reimbursed to WB in June 1993, following receipt of Netherlands funding. 3/ To be disbursed in five trenches over 3-year penod. Retroactive to July 1992 41 To be disbursed in tranches over 3-year period. ( 5/ To be disbursed in tranches of $1,000,000 per year over 3-year period, of which ASTAE receives $700,000 per year. Retroactive to July 1994. Neth DGIS: Netherlands Directorate General for International Development USAID: Untted States Agency for International Development UNEAP United Nations Energy and Atmosphere Programme IDF: World Bank Institutional Development Fund Grant USDOE United States Department of Energy GEF: Global Environmental Facility Grant USTDA United States Trade and Development Agency PPF: Project Preparation Facility WB. World Bank PDF: Project Development FaciAty - GEF FY95 EXPENDITURES 1/ Attachment 7(a) NETHERLANDS ALTERNATIVE ENERGY POLICY AND PROJECT DEVELOPMENT TRUST FUND I. Consultant Fees A. Short Term Consultants Proiect Name Amount (USSI Best Practices for PV Household Electrification Programs 5,300 China Henan Thermal Power 43,000 China Renewable Energy 15,105 India Renewable Resources Development 15,854 Indonesia Renewable Energy Development 82,046 Indonesia Renewable Energy Development (GEF Project) 50,442 Lao Commercial Sector TA 18,563 Lao PDR Twinning EDLJECCT TA 7,300 Philippines CFL Lighting TA 23,550 Philippines DSM - Utility Perspective TA 23,076 Sri Lanka Energy Services Delivery 93,472 Subtotal - Short Term Consultants $377,707 B. Long Term Consultants Energy Efficiency/DSM Services 89,667 Renewable Energy Services 41,445 Subtotal - Long Term Consultants $131,112 Total Consultant Fees $508,819 II. Travel Expenses Project Name Am China Henan Thermal Power 10,320 China Renewable Energy 5,109 India DSM 2,498 India Renewable Resources Development 1,373 Indonesia Renewable Energy Development 24,813 Indonesia Renewable Energy Development (GEF Project) 6,164 Lao Commercial Sector Workshop TA 4,074 Lao PDR Twinning EDLIECCT TA 1,266 Philippines CFL Lighting TA 9,432 Seminar: "Private Power, Environment & Load Growth" 980 Sri Lanka Energy Services Delivery 5,621 Thailand MEA Distribution System & EE (GEF Project) 933 Total Travel Expenses $72,585 Ill. Support Level Salaries $55,428 IV. Operational and Administrative Expenses $0 2! Total FY95 Netherlands Trust Fund Expenditures $636,832 1/ World Bank fiscal year 1995: July 1, 1994 -June 30, 1995. 2/ In FY95, no Operational and Administrative Expenses were charged to the Netherlands Trust Fund. Prior to the establishment of the USDOE Trust Fund in September 1994, U.S. funds received through the USTDA could not be used for Support Level Salaries or Operational and Administrative Expenses. These expenditures were consequently borne disproportionately with regard to the Netherlands Trust Fund during prior fiscal years. FY95 EXPENDITURES Attachment 7(b) USDOE ALTERNATIVE ENERGY PROJECT DEVELOPMENT TRUST FUND I. Consultant Fees A. Short Term Consultants Prolect Name Amount (US$) Best Practices for PV Household Electrification Programs 9,300 First World Conference on PV Conversion 4,580 Sri Lanka Energy Services Delivery 71,200 Subtotal - Short Term Consultants $85,080 B. Long Term Consultants Renewable Energy Services 197,014 Energy Efficiency/DSM Services 41,551 Subtotal - Long Term Consultants $238,665 Total Consultant Fees $323,645 II. Travel Expenses Project Name Amount (US$) China Renewable Energy 2,891 First World Conference on PV Conversion (Dyncorp consultant) 2,882 Z/ Indonesia Renewable Energy Development 7,139 Mongolia Energy Sector Review 3,909 Second Renewable Energy Study Tour 1,283 Solar Energy Conference - Colorado 847 Sri Lanka Energy Services Delivery 34,323 Total Travel Expenses $53,275 Ill. Support Level Salaries 21 $64,056 3/ IV. Operational and Administrative Expenses I Amount (US$) Internal Computing 16,958 Direct Communications 8,981 Equipment, Supplies 0 Contractual Services 0 Representation 515 Miscellaneous 210 Office Occupancy 0 Total Operational and Administrative Expenses $26,664 1/ Total FY95 USDOE Trust Fund Expenditures $467,640 At 1/ World Bank fiscal year 1995: July 1, 1994 - June 30, 1995. 2/ In addition, $31,586.84 was disbursed (against a USDOE deposit of $30,836.92) for the travel expenses of USDOE participants at the First World Conference on PV Conversion: Hawaii, December 4 - 9, 1994. 2/ Prior to FY95, U.S. funds received the USTDA could not be used for Support Level Salaries or Operational and Administrative Expenses. Following the establishment of the USDOE Trust Fund in September 1994, an unusually large proportion of these expenses were attributed to this Fund to compensate for lack of funding in prior years. The amount of Support Level Salaries plus Operational and Administrative Expenses will be lower in FY96 so as to remain within the 11% life-of-project cap specified in the Statement of Work. 4/ Does not include World Bank Administrative Fee (10% of total deposits). Attachment 7(c) FY95 EXPENDITURES 1 WORLD BANK 1. Staff Salaries Amount (US$) A. Higher Level Salaries 218,600 Benefits 152,950 Subtotal - Higher Level Salaries $371,550 B. Support Level Salaries 34,400 Benefits 24,050 Temporaries 25,100 Overtime 200 Subtotal - Support Level Salaries $83,750 Total Salaries $455,300 II. Consultant Fees Amount (US$M Long Term 51,200 Short Term 21,300 Total Consultant Fees $72,500 Ill. Travel Expenses Amount (U$) Staff Travel 35,200 Consultant Travel 24,800 Total Travel Expenses $60,000 IV. Operational and Administrative Expenses Amount (US$) Internal Computing 10,300 Direct Communications 6,700 Equipment, Supplies 1,800 2/ Contractual Services 1,100 Representation 700 Miscellaneous 100 Office Occupancy 207,000 I Total Operational and Administrative Expenses $227,700 Total World Bank/GEF $815,500 4/ Japan PHRD Grant for India DSM $230,500 Total FY95 World Bank Expenditures $1,046,000 1/ World Bank fiscal year: July 1, 1994 - June 30, 1995. 2/ Depreciable fixed costs of computer equipment, copying machines, etc. not included. 3/ Based on World Bank occupancy cost estimates. Actual chargeback to the Department begins in FY96. 4/ ASTAE Annual Discretionary Budget, of which $124,100 was funded by GEF in the categories of Staff Salaries, Consultant Fees and Travel. h *L