The World Bank Report No: ISR5646 Implementation Status & Results Afghanistan Afghanistan Power System Development Project (P111943) Public Disclosure Copy Operation Name: Afghanistan Power System Development Project (P111943) Project Stage: Implementation Seq.No: 6 Status: ARCHIVED Archive Date: 27-Jun-2011 Country: Afghanistan Approval FY: 2009 Product Line: Recipient Executed Activities Region: SOUTH ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Ministry of Energy and Water/DABS Key Dates Board Approval Date 22-Oct-2008 Original Closing Date 31-Jul-2012 Planned Mid Term Review Date 30-Jun-2012 Last Archived ISR Date 27-Jun-2011 Effectiveness Date 19-Mar-2009 Revised Closing Date 31-Jul-2013 Actual Mid Term Review Date Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the project is to support : Increasing access to grid power and the quantity of available power to the consumers in the target areas of the urban centers at Pul-e-Khumri, Charikar, Gulbahar, Jabul-Seraj, Doshi and Khenjan. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Distribution System Rehabilitation. 32.00 Institutional Capacity Building, Energy Efficiency and Project management support 8.00 Rehabilitation of Transmission Switchyards associated with Naghlu and Mahipur hydropower stations 20.00 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Unsatisfactory Unsatisfactory Overall Implementation Progress (IP) Unsatisfactory Moderately Unsatisfactory Overall Risk Rating Implementation Status Overview The Project was originally planned for $ 60 million, which was divided in two phases due to limited funds available in ARTF at the time of project approval in 2008. Funding of $35 million for Phase I was provided at the outset. Request for the balance $25 millionwas discussed in the ARTF Management Committee meeting on January 18, 2011 along with a request for extension in Project Completion Date (PCD) by one year, i.e., up to July 31, 2013. Both requests (additional funding and PCD extension) were approved. The time extension was approved to cover the delays which had occurred due to issues of pole design/strength, security, customs clearance, budget release at the start of new Solar Year Page 1 of 4 The World Bank Report No: ISR5646 (SY) and issue of contract extensions. Now almost all these issues have been resolved. Design of the distribution system in Charikar, Gulbahar, Jabul Seraj and Pul-e-Khumri is complete and has been signed off by the supervision consultants. The warehouse has been completed and most equipment has been procured. The pole design issue has been resolved and a factory capable of producing in-specification poles has been established and trial Public Disclosure Copy production runs were reported to be under way since July. It is estimated that construction in Pul-e-Khumari, provided there are sufficient materials including poles, can be completed within eight months. Work on the Charikar 220/20 KV substation to be funded by Government of India has been delayed. The Government of India recently announced the approval by the Cabinet to fund the turnkey design and construction of the Charikar and Doshi Substations. However, the work on the substations is yet to start. MEW has now requested the Bank to consider funding a mobile substation for the interim period to ensure electricity supply to areas where distribution work will be completed before the Charikar substation. The Bank is working with MEW to realign funds within the project for the mobile sub-station. The project is supporting energy efficiency activities of MEW through the setting up of an Energy Efficiency Cell. The aim is to strengthen Afghanistan’s capabilities to incorporate energy efficiency into its core energy development strategy and mitigate the impacts of high generation costs on consumers.The Cell has been established at MEW led by a Energy Efficiency Advisor (National) and staffed with three engineers. Recruitment for three more engineers is in process. Bids for three demonstration project have been received/opened on December 17, 2011. Procurement for public outreach component is also in progress. The EE Cell has also undertaken audits of some large building. A household energy survey was completed. Results show that respondents are willing to pay more for more and better quality electricity, and there is awareness about energy saving and alternate energy measures. After some delays, the procurement of a supply and installation contract for the rehabilitation of the Naghlu and Mahipur hydro plant 110kV switch yards has now been completed and a contract was awarded on October 10, 2011. Equipment supply is now under way. The contract completion time is 18 months, giving completion in April 2013, which though close to PCD is achievable provided there are no major issues in implementation. MEW has requested additional Technical Assistance under this project to cover the cost of project management consultants for all three power projects (APSDP, EPRP and KAMPP) and for consultants for the Central Asia South Asia (CASA) power transmission project. MEW has also requested that staffing and capacity building of MEW Planning Cell may be funded under this project. The Bank awaits a revised Procurement Plan from MEW so that the project restructuring can be processed. Locations No Location data has been entered Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Public Disclosure Copy Increase in electricity access rate in Charikar, Text Value 15,000 residential consumers No increase at present, as At least 40 % increase over Doshi, Gulbahar and Jabul-Seraj (% of having access as of March construction is under way. the baseline levels. households). 2008. Access rate will be determined by survey. Date 01-Oct-2008 19-Dec-2011 31-Jul-2013 Comments Page 2 of 4 The World Bank Report No: ISR5646 Increase in power supply quantity to project Text Value 26.7 GWh as of March 2008. No increase at present, as Increase by 50 % over the areas in Pul-e-Khumri; Charikar, Gulbahar and construction is under way. baseline value. Jabul-Seraj (in MWh). Date 30-Mar-2009 19-Dec-2011 31-Jul-2013 Public Disclosure Copy Comments The project work has focused mainly on design, survey, approval of vendors, manufacturing and shipments. No interim progress can yet be reported on these indicators. Initiation of the energy efficiency promotion Text Value Nil Currently an Energy Energy Efficiency Campaign activities in Afghanistan. Efficiency Cell has been launched in Kabul. established, and audits have been started. A campaign can follow when solid information is available. Date 30-Mar-2009 19-Dec-2011 31-Jul-2013 Comments Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Installation of new 20/0.4 kV distribution Text Value Nil Construction is under way. 50 nos. 20/0.4 kV distribution transformers in distribution systems of Pule transformers installed and Khumari, Charikar, Gulabahar, Jabul Seraj. commissioned Date 01-Oct-2008 19-Dec-2011 31-Jul-2013 Comments Survey and engineering design completed, vendors approved for major equipment. Some equipment has arrived and some more is under manufacture. Public Disclosure Copy Building MEW institutional capacity for Text Value Nil Energy Efficiency Cell EE Cell established and promotion of Energy efficiency activities in established and audits have operationalized with at least Afghanistan. been started. two staff in MEW. Date 01-Oct-2008 19-Dec-2011 31-Jul-2013 Comments Data on Financial Performance (as of 05-Dec-2011) Financial Agreement(s) Key Dates Page 3 of 4 The World Bank Report No: ISR5646 Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P111943 TF-93513 Effective 19-Mar-2009 19-Mar-2009 19-Mar-2009 31-Jul-2013 Disbursements (in Millions) Public Disclosure Copy Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P111943 TF-93513 Effective USD 35.00 35.00 0.00 8.59 51.41 25.00 Disbursement Graph Key Decisions Regarding Implementation The Project will need to be restructured to address the technical assistance needs of MEW and to cover the cost of mobile substation. Public Disclosure Copy Restructuring History There has been no restructuring to date. Related Projects There are no related projects. Page 4 of 4