THE WORLD BANK A I WORLDBANKGROUP I v V 2022 H.E. Mahamat Hamid Koua Minister of Economy, Planning and International Cooperation Ministry of Economy, Planning and International Cooperation N'Djamena, Republic of Chad Re: IDA Grant D985-TD Chad Energy Access Scale-Up Project Additional Instructions: Disbursement and Financial Information Letter. Excellency: I refer to the Financing Agreement between the Republic of Chad (the "Recipient") and the International Development Association (the "Association") for the above-referenced Project. The General Conditions, as defined in the Financing Agreement, provide that the Recipient may from time to time request withdrawals of the Grant amount from the Grant Account in accordance with the Disbursement and Financial Information Letter, and such additional instructions as the Association may specify from time to time by notice to the Recipient. The General Conditions also provide that the Disbursement and Financial Information Letter may set out Project specific financial reporting requirements. This letter constitutes such Disbursement and Financial Information Letter ("DFIL") and may be revised from time to time. I. Disbursement Arrangements, Withdrawal of Grant Funds, and Reporting of Uses of Grant Funds The Disbursement Guidelines for Investment Project Financing, dated February 2017, ("Disbursement Guidelines") are available in the Association's public website at hopsw i' ;odban.or~s and its secure website "Client Connection" at hIIps:. cieniCunn w . ank <;t. The Disbursement Guidelines are an integral part of the DFIL, and the manner in which the provisions in the guidelines apply to the Grant is specified below. (i) Disbursement Arrangements * General Provisions (Schedule 1). The table in Schedule 1 sets out the disbursement methods which may be used by the Recipient, information on registration of authorized signatures, processing of withdrawal applications (including minimum value of applications and processing of advances), instructions on supporting documentation, and frequency of reporting on the Designated Account. (ii) Electronic Delivery. Section 11.01(c) of the General Conditions The Recipient will deliver Withdrawal Applications (with supporting documents) electronically through the Association's web-based portal "Client Connection" at htts:,//clientconnection.wo,,rl d!ba!nk.org. This option will be effected after the officials designated in writing by the Recipient who are authorized to sign and deliver Withdrawal Applications have registered as users of "Client Connection". The designated officials will deliver Applications electronically by completing the Form 2380, which is accessible through "Client Connection". By signing the Authorized Signatory Letter, the Recipient confirms that it is -2- authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the Association by electronic means. The Recipient may exercise the option of preparing and delivering Withdrawal Applications in paper form on exceptional cases (including those where the Recipient encounters legal limitations), and which were previously agreed with the Association. By designating officials to use SIDC and by choosing to deliver the Applications electronically, the Recipient confirms through the authorized signatory letter its agreement to: (a) abide by the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation, available in the Association's public website at https:/world;nkrg and "Client Connection"; and (b) to cause such official to abide by those terms and conditions. H. Financial Reports and Audits. (i) Financial Reports. The Recipient must prepare and furnish to the Association not later than forty-five (45) days after the end of each calendar quarter, interim unaudited financial reports ("IFR") for the Project covering the quarter. (ii) Audits. Each audit of the Financial Statements must cover the period of one fiscal year of the Recipient, commencing with the fiscal year in which the first withdrawal was made. The audited Financial Statements for each such period must be furnished to the Association not later than six (6) months after the end of such period. III. Other Information. For additional information on disbursement arrangements, please refer to the Loan Handbook available on the Association's website (http://www.worldbank.org/) and "Client Connection". The Association recommends that you register as a user of "Client Connection". From this website you will be able to prepare and deliver Applications, monitor the near real-time status of the Grant, and retrieve related policy, financial, and procurement information. For more information about the website and registration arrangements, or if you have any queries in relation to the above, please contact the Association by email at A.k1 ng \\ BanH org using the above reference. Yours sincerely, Rasit Pertev Country Manager for Chad West and Central Africa Region Attachments 1. Statement of Expenditure ("SOE") 2. Customized SOE Schedule 1: Disbursement Provisions Basic Information Country Republic of Chad Closing Date Section IV.B.2. of Schedule 2 to the Grant Recipient Republic of Chad Financing Agreement. Number D985-TD Name of the Chad Energy Access Scale-Up Project Disbursement Four (04) months after the closing Project Deadline Date date. Subsection 3.7 ** Disbursement Methods and Supporting Documentation Disbursement Methods Methods Supporting Documentation Section 2 (**) Subsections 4.3 and 4.4 (**) Direct Payment Yes Copy of Records Reimbursement Yes Category 1,2,3&5: Statement of Expenditure (SOE) in the format provided in Attachment 1 of the DFIL Category 4: Customized Statement of Expenditure in the format provided in Attachment 2 of the DFIL Designated Account Yes Category 1,2,3&5: Statement of Expenditure (SOE) in the format provided in Attachment 1 of the DFIL Category 4: Customized Statement of Expenditure in the format provided in Attachment 2 of the DFIL Special Commitments Yes Copy of Letter of Credit Designated Account (Sections 5 and 6 **) Type Segregated Ceiling Fixed Financial Institution - UBA: CEP MPE Currency XAF Name ECOBANK: CEP SNE Frequency of Reporting Monthly Amount DA-A: 1,5 billion managed by SNE Subsection 6.3 (**) DA-B:2 billon Managed by MPE Minimum Value of Applications (subsection 3.5) The Minimum Value of Applications for Reimbursement, Direct Payment and Special Commitment Issuance is equivalent to 20 percent of the outstanding Designated Account balance. Authorized Signatures (Subsection 3.1 and 3.2 **) The form for Authorized Signatories Letter is provided in Attachment 1 of this letter Withdrawal and Documentation Applications (Subsection 3.3 and 3.4 **) Applications for this Financing will be signed by the official(s) authorized to sign Applications as indicated in your letter of January 26, 2022, and signed by H.E. Dr. Issa DOUBRAGNE, Minister of Economy, Development Planning and International Cooperation All Withdrawal Applications and its supporting documentation will be electronically sent via the World Bank's web Portal Client Connection Additional Instructions 1. Category 4: No expenditure should be reported until approval of the verification report and related documentation received by the Bank. 2. Disbursements under Category 5 of Section III.A of Schedule 2 of the Financing Agreement (Part 5 of the Project - Contingency Emergency Response CERC will be subject to the conditions precedent to accessing the CERC funds, namely that the Recipient has provided, and the Bank has accepted, evidence of the occurrence of an eligible crisis or emergency and the Recipient has prepared and adopted/adhered to the CERC Operations Manual. Disbursements under this component will follow procedures described in the CERC Operations Manual including supporting documentation; provided that this disbursement letter will first need to be amended and reinstated at a later date to reflect those specific arrangements. In order to provide necessary liquidity for fast response, the ceiling of the Advance under the CERC could be up to 100% of the amount allocated to the CERC category. ** Sections and subsections relate to the "Disbursement Guidelines for Investment Project Financing ", dated February 2017. Attachment 1 - Statement of Expenditures format Statement of Expenditures Financier Payment made during the period from to Grant # Application # The following expenditures have been incurred during the retroactive financing period (please tick) Yes No Category # The following expenditures have been incurred before the closing date of the grant (please tick) Yes No Page # ONLY for the Designated Account 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Item Supplier's Brief Prior Contract # Contract Invoice Date of Total % Eligible Exchange Date of Amount No Name Description Review Currency Number Payment Amount of Financed Amount Rate Withdrawal Withdrawn of the (Contract?) (Client and Invoice from the from the from the Expenditure Connection Amount Covered by Bank (Col 9 x Designated Designated (YES or #for Prior Application 10) Account Account NO) Review (Original + Contracts) Amendment) (Net of (Col 11/12) Retention) 0.00 0.00 TOTAL 0.00 Supporting documents for this SOE are retained at (insert location) A separate form should be used for each category. Attachment 2 The World Bank APPLICATION FOR WITHDRAWAL STATEMENT OF EXPENDITURES - CUSTOMIZED (SOE)l Category RBF No. 1 2 3 4 5 6 7 8 9 10 11 - Total Brief T Payme oo amount Description b nt Amount Z Name and Address of Reference/Agree of by request Paid From - ment No. & Date Activities ion t Eligib1 Designate P a Beneficiary , ion (net C+_ (or other ref.) performed of e for d Account o by the r o Financ (if any) retentio . beneficiary U n ing Supporting documents for this Customized SOE retained at:(insert location)