Public Disclosure Copy The World Bank Implementation Status & Results Report Palau: ICT Sector Technical Assistance (P160504) Palau: ICT Sector Technical Assistance (P160504) EAST ASIA AND PACIFIC | Palau | Digital Development Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2018 | Seq No: 1 | ARCHIVED on 05-Apr-2019 | ISR36344 | Implementing Agencies: Ministry of Finance, Ministry of Finance Key Dates Key Project Dates Bank Approval Date:10-Apr-2018 Effectiveness Date:01-May-2018 Original Closing Date:30-Apr-2022 Revised Closing Date:30-Apr-2022 Project Development Objectives Project Development Objective (from Project Appraisal Document) The activity's development objective is to support the Recipient on its ongoing reforms to help create the conditions necessary to increase competition in the ICT sector. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  --  Moderately Satisfactory Overall Implementation Progress (IP)  --  Moderately Satisfactory Implementation Status and Key Decisions The appointment of a regulatory adviser to support the Bureau of Regulation established within MPIIC is nearly complete. It will be important for Government to prioritize the appointment of the Director of the Bureau so that the regulatory adviser is supervised effectively and has a counterpart to work with on a daily basis. The next urgent action is the procurement of a governance adviser to provide support in a governance capacity, particularly on the public-sector processes involved in identifying, evaluating and implementing reforms. The governance adviser will assist Government in recruiting and managing other consultants retained under the Project, ensuring that the consultants produce high quality products responsive to the Government’s needs, helping to communicate recommendations to national leadership, and working with the Government in 4/5/2019 Page 1 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Palau: ICT Sector Technical Assistance (P160504) making decisions and implementing reforms based on the outputs of work carried out under the Project. A key focus will also include making sure that there is a strong factual foundation for advice which is submitted to Government by its consultants, assisting in analyzing options and recommendations, focusing on key benefits, risks, organizational and people impacts and requirements, especially financial, economic and social. The governance adviser will prepare and maintain a time-bound action plan, including identifying costs and resources, so that Government can implement quickly and effectively. A second priority activity will be the procurement of a firm to provide financial, legal and technical advice for BSCC and PNCC to identify and recommend ICT sector reform options to maximize the long-term benefits of competition and new private sector investment in the sector, including recommendations for reorganizing the debts, assets, obligations and investment priorities of PNCC and BSCC. BSCC and PNCC are currently pursuing overlapping, duplicative investments. There is an urgent need to rationalize the strategic and business priorities of these two SOEs. The sector reform work and the regulatory support will need to be closely coordinated. The sector working group should be established as soon as possible to assist with Project oversight and to provide strategic guidance on implementation activities. This procurement activity will be supported by the governance adviser and has not yet commenced. Risks Overall Risk Rating Risk Category Rating at Approval Previous Rating Current Rating Overall  Moderate  --  Moderate Results Project Development Objective Indicators PHINDPDOTBL Strengthened policymaking for ICT sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 3.00 Date 01-Dec-2017 -- 01-Feb-2019 30-Jun-2021 PHINDPDOTBL Strengthened regulatory capacity for ICT sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 3.00 Date 01-Dec-2017 -- 01-Feb-2019 30-Jun-2021 4/5/2019 Page 2 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Palau: ICT Sector Technical Assistance (P160504) PHINDPDOTBL Impact on telecom sector of World Bank Technical Assistance (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 1.00 3.00 Date 01-Dec-2017 -- 01-Feb-2019 30-Jun-2021 Overall Comments The team has provided technical support to MPIIC describing the spectrum options for mobile broadband in a competitive market entitled “Mobile Spectrum options for LTE and beyond”. This analysis, based on global best practices, includes information regarding the sub 1 GHz spectrum for coverage, mid-band spectrum for capacity and timely planning of bands for future 5G technology. In mid 2018 an updated “Baseline assessment of existing fixed and mobile networks/ infrastructure, business and future needs” paper was completed and shared with the MPIIC. Ad hoc support has also been provided to PNCC focusing on mobile and fixed broadband, including options to improve its network resilience and options for implementing Fiber to the Home (FTTH). Technical assistance has also been provided helping to address serious Internet performance problems at the Capital and other business broadband connection, which started after the recent migration to the fiber optic cable. On policy related issues, the team has also advice government on actions to address "Netsafe" related concerns and managing risks associated with harmful communications. Intermediate Results Indicators PHINDIRITBL Options report for reorganizing PNCC and BSCC delivered (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Dec-2017 -- 01-Feb-2019 30-Jun-2021 PHINDIRITBL ICT infrastructure needs analyzed and an investment plan prepared (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Dec-2017 -- 01-Feb-2019 30-Jun-2021 4/5/2019 Page 3 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Palau: ICT Sector Technical Assistance (P160504) PHINDIRITBL Report on options for improving regulatory outcomes delivered (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Dec-2017 -- 01-Feb-2019 30-Jun-2021 PHINDIRITBL Interim GM recruited internationally to lead PNCC (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Dec-2017 -- 01-Feb-2019 30-Jun-2021 Overall Comments PNCC has indicated it no longer wishes to use Project funds to recruit a new general manager (although the position remains vacant and no efforts are being undertaken to fill it). The team has discussed this decision with Government and agreed to maintain a watching brief. It may be that PNCC changes its mind as it becomes more comfortable with the reform process. Otherwise the corresponding indicator may be deleted and project funds reprioritized accordingly. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P160504 TF-A7208 Effective USD 0.60 0.60 0.00 0.00 0.60 0% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P160504 TF-A7208 Effective 10-Apr-2018 01-May-2018 01-May-2018 30-Apr-2022 30-Apr-2022 Restructuring History 4/5/2019 Page 4 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Palau: ICT Sector Technical Assistance (P160504) There has been no restructuring to date. Related Project(s) There are no related projects. 4/5/2019 Page 5 of 5 Public Disclosure Copy