The World Bank Report No: ISR6062 Implementation Status & Results Philippines Rural Power Project (P066397) Public Disclosure Copy Operation Name: Rural Power Project (P066397) Project Stage: Implementation Seq.No: 13 Status: ARCHIVED Archive Date: 21-Mar-2012 Country: Philippines Approval FY: 2004 Product Line: IBRD/IDA Region: EAST ASIA AND PACIFIC Lending Instrument: Adaptable Program Loan Implementing Agency(ies): Department of Energy, Developmenet Bank of the Philippines Key Dates Board Approval Date 04-Dec-2003 Original Closing Date 31-Dec-2009 Planned Mid Term Review Date Last Archived ISR Date 08-Sep-2011 Effectiveness Date 06-May-2004 Revised Closing Date 31-Dec-2012 Actual Mid Term Review Date 17-Mar-2008 Project Development Objectives Rural Power Project (P066397) Project Development Objective (from Project Appraisal Document) The objective of the project is to assist in the implementation of the first phase of the Rural Power Development Program aimed at supporting reforms and priority investments to achieve the aforementioned objectives of the sector. Specifically, under APL1, the project would (a) test and demonstrate viable business models that maximize leveraging of public resources with private investment for decentralized electrification; (b) support transformation of ECs through institutional and operational improvements; and (c) avoid C02 emission through wider use of renewable energy. Has the Project Development Objective been changed since Board Approval of the Program? Yes No PH-GEF-Rural Power Project (P072096) Global Environmental Objective (from Project Appraisal Document) Mitigate global climate change caused by greenhouse gas (GHG) emissions through wider user of clean energy technologies Has the Global Environmental Objective been changed since Board Approval of the Program? Yes No Public Disclosure Copy Component(s) Component Name Component Cost 1. RURAL ELECTRIFICATION SUBPROJECTS 50.00 3. CAPACITY BUILDING 9.00 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Unsatisfactory Page 1 of 5 The World Bank Report No: ISR6062 Previous Rating Current Rating Progress towards achievement of GEO Moderately Satisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Unsatisfactory Public Disclosure Copy Overall Risk Rating Substantial Implementation Status Overview The project has made progress towards its development objectives. Over 16,000 connections have been made, more than 80% of the target. Nearly 50% of the annual avoided carbon target has been achieved, and the full target will be realized provided that sub-projects now in the pipeline are realized. The Department of Energy (DOE) GEF-financed component has closed, as has the GEF (Global Environment Facility) grant to DBP Development Bank of the Philippines). However, continued progress toward meeting the development objective is experiencing difficulties because the component managed by DBP has stalled; no new loans have been made with this line of credit, because DBP loan pricing has become structurally uncompetitive in a market that has witnessed very significant changes since late 2009. With half of the $40-million additional financing uncommitted, it will be critical to re-focus marketing efforts on the electric cooperative sector, within the framework of a co-financing agreement recently concluded with the National Electrification Administration (NEA). The project close at the end of December 2012 so this will be a significant challenge. Locations Country First Administrative Division Location Planned Actual Philippines Mimaropa Province of Romblon Philippines Not Entered Puerto Princesa City Philippines Bicol Claveria Philippines Eastern Visayas Catbalogan Philippines Caraga Butuan Philippines Central Visayas Province of Bohol Philippines Cagayan Valley Province of Batanes Philippines Central Luzon Province of Bataan Public Disclosure Copy Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target ECs supported are financially viable Text Value 0 10 of 11 participating EC's at least 85% of participating have acheived satisfactory ECs financial performance (91%) Date 06-May-2004 15-Feb-2012 31-Dec-2012 Comments Page 2 of 5 The World Bank Report No: ISR6062 new customers in rural areas provided with Text Value zero 21,775 total connections at least 20,000 mini-grid electrical connection or individual including about 19,500 solar RET services systems Public Disclosure Copy Date 04-Dec-2003 15-Feb-2012 31-Dec-2012 Comments Global Environmental Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target RET companies accredited and doing business Text Value zero 6 active Participating at least 4 in rural areas Companies Date 04-Dec-2004 15-Jul-2011 31-Dec-2012 Comments 150% completed CO2 emission avoided per year Text Value 25,000 tons as of end-2011 at least 40,000 tons Date 04-Dec-2004 15-Feb-2012 31-Dec-2012 Comments Target before the additional financing was agreed was 20,000 tons Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target rules and regulations for subsidy allocation and Text Value zero completed rules and regulations for tariff setting issued subsidy allocation and tariff setting issued Date 04-Dec-2003 15-Feb-2012 31-Dec-2012 Comments staff of public and private entities participated Text Value zero more than 500 at least 150 in RET TA and training activities Date 04-Dec-2003 15-Feb-2012 31-Dec-2009 Comments Public Disclosure Copy rules and regulations for subsidy allocation and Text Value zero completed rules and regulations for tariff setting issued subsidy allocation and tariff setting issued Date 04-Dec-2003 15-Feb-2012 31-Dec-2012 Comments staff of public and private entities participated Text Value zero 300 at least 150 in RET TA and training activities Date 04-Dec-2003 10-Feb-2012 31-Dec-2009 Comments Extensive training was provided to local authorities Page 3 of 5 The World Bank Report No: ISR6062 when the handover of SHS installed in public facilities was done in 2011. Public Disclosure Copy Data on Financial Performance (as of 02-Feb-2012) Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P066397 IBRD-72040 Closed 04-Dec-2003 08-Dec-2003 06-May-2004 31-Dec-2009 P066397 IBRD-76730 Effective 14-Apr-2009 25-May-2009 25-Sep-2009 31-Dec-2012 P072096 TF-52188 Closed 08-Dec-2003 08-Dec-2003 06-May-2004 31-Dec-2011 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P066397 IBRD-72040 Closed USD 10.00 10.00 0.00 10.79 0.00 108.00 P066397 IBRD-76730 Effective USD 40.00 40.00 0.00 14.30 26.55 36.00 P072096 TF-52188 Closed USD 9.00 9.00 0.00 7.01 1.99 78.00 Disbursement Graph Public Disclosure Copy Key Decisions Regarding Implementation Page 4 of 5 The World Bank Report No: ISR6062 DOE, DBP, the National Electrification Administration (NEA) and the World Bank will re-assess, in May 2012, the prospects of placing the remaining Rural Power Project funds with credit-worthy borrowers from the electric cooperative sector. Restructuring History Public Disclosure Copy Board Approved on 25-May-2009 Related Projects P072096-PH-GEF-Rural Power Project, P113159-Additional Financing for Rural Power Public Disclosure Copy Page 5 of 5