Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) Nam Theun 2 Social and Environment Project (P049290) EAST ASIA AND PACIFIC | Lao People's Democratic Republic | Environment Global Practice | IBRD/IDA | Specific Investment Loan | FY 2005 | Seq No: 7 | ARCHIVED on 30-Jun-2015 | ISR17532 | Implementing Agencies: Key Dates Key Project Dates Board Approval date:31-Mar-2005 Effectiveness Date:10-Jun-2005 Planned Mid Term Review Date:14-Feb-2011 Actual Mid-Term Review Date:25-Feb-2011 Original Closing Date:31-Dec-2017 Revised Closing Date:31-Dec-2017 Project Development Objectives Project Development Objective (from Project Appraisal Document) To generate revenues, through environmentally and socially sustainable development of NT2's hydropower potential, which will be used to finance priority poverty reduction and environmental management programs. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Hydropower Facility:(Cost $13.09 M) Management of Environmental and Social Impacts:(Cost $3.09 M) Monitoring and Evaluation Arrangements:(Cost $1.15 M) N/A Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Satisfactory  Moderately Satisfactory Overall Implementation Progress (IP)  Moderately Unsatisfactory  Moderately Unsatisfactory Overall Risk Rating  --  High 6/30/2015 Page 1 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) Implementation Status and Key Decisions The overall technical and financial performance of the Nam Theun 2 (NT2) hydropower project continues to surpass expectations. Electricity and revenue generation have consistently met or exceeded targets. To better mitigate the risk of extreme floods, a free-flow spillway is being added at the Regulating Dam, in accordance with the advice of the Project's Dam Safety Review Panel. NTPC is financing the spillway construction without further contribution from the lenders. Preparatory works began in September 2014 and construction is almost completed. The Revenue and Expenditure Management Program (REMP) was intended to channel NT2 revenues to finance priority poverty reduction and environmental management programs. While audits confirm that the revenues have been received in the Government Treasury and a significant proportion of NT2 revenues have been allocated to eligible sectors, implementation of the revenue and expenditure management arrangements is not yet consistent with related obligations. The government has partially met requirements related to the conduct of Public Expenditure Reviews, peer audit reviews and reporting on NT2 revenue allocations and expenditures, and has not met obligations regarding public disclosure NT2 revenue allocations and expenditures and regarding public consultations. The World Bank is working with Government to address these issues and restore compliance with the REMP requirements. The resettlement of households on the Nakai plateau is at an advanced stage of implementation. A socio-economic survey undertaken by NTPC in late 2014 confirmed that the Village Income Targets (VIT) specified in the Concession Agreement have been met. There are still some questions regarding the composition and sustainability of the resettler livelihoods, and the capacity of local authorities to maintain infrastructure and delive services at adequate levels. The independent social and environmental Panel of Experts has recently undertaken an assessment as to whether the Resettlement objectives specified in the Concession Agreement have been met at this time, and a report is expected in the near future. NTPC has expressed an intention to provide additional financing throughout the concession period in support of local development. In consultation with local authorities and the International Financial Institutions, NTPC has also designed a social safety net to ensure support beyond the closing of the Resettlement Implementation Period for a small number of socio-economically vulnerable households who currently receive support from the Company . Efforts to mitigate livelihoods impacts in communities affected by downstream impacts are an innovative feature of NT2. In accordance with the terms of the Concession Agreement, the Government assumed sole responsibility for the implementation of downstream activities in January 2013. A survey of the socio-economic situation in project-affected downstream villages carried out by NTPC in the first quarter of 2014 found apparently contradictory consumption, asset and income trends. Further analyses of the socio-economic situation of these villages, drivers of change, and the evolution of fisheries and fishing practices are envisaged. As regards the Project's watershed, the patrolling efforts of the Watershed Management Protection Authority (WMPA) have improved significantly in the past year, but local livelihoods development efforts continue to lag. Pressures on wildlife and high value timber persist. Efforts to reform and strengthen the WMPA are proceeding gradually. Recruitment of a new WMPA director is expected to be completed in the near future. 6/30/2015 Page 2 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) 6/30/2015 Page 3 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  --  High Macroeconomic  --  --  High Sector Strategies and Policies  --  --  Substantial Technical Design of Project or Program  --  --  Substantial Institutional Capacity for Implementation and Sustainability  --  --  High Fiduciary  --  --  High Environment and Social  --  --  High Stakeholders  --  --  Substantial Other  --  --  Moderate Overall  --  --  High Results Project Development Objective Indicators PHINDPDOTBL  Allocation and Utlization of NT2 Revenues for Poverty Reduction and Environmental Management Purposes (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target 6/30/2015 Page 4 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) Value 0.00 54.00 46.50 100.00 Date 31-May-2005 30-May-2014 31-Dec-2014 31-Dec-2017 PHINDPDOTBL  Household Income Targets of Resettled Households on Nakai Plateau (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value -- 97.00 97.00 100.00 Date 31-May-2005 30-May-2014 30-May-2014 30-Jun-2013 Comments Source: Living Standards Monitoring Survey #7, 2013, NTPC PHINDPDOTBL  Watershed Environmental Protection (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target There is limited scientific Conservation data, but the impression and of the task team, and the management of POE assessment, is that Available data the NT2 wildlife diversity is still indicates significant watershed decreasing, especially decline in populations results in no ground species Value Unknown of threatened species further vulnerable to snaring, in and degradation of degradation of most of the NPA with a habitat through logging habitats or possible slowdown or of highvalue timber. declines in small recovery in the populations of areas targeted for more threatened intensive patrolling since species. 2013. Date 31-May-2005 20-May-2014 30-Jun-2015 31-Dec-2017 PHINDPDOTBL  Generation Capacity of Hydropower constructed or rehabilitated under the project (Megawatt, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1070.00 1070.00 1070.00 6/30/2015 Page 5 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) Date 31-Mar-2005 31-Dec-2013 21-Nov-2014 31-Dec-2017 PHINDPDOTBL  Generation Capacity of Hydropower constructed under the project (Megawatt, Core Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1070.00 1070.00 1070.00 Date 31-May-2005 30-May-2014 21-Nov-2014 31-Dec-2017 PHINDPDOTBL  Resettled Villages Meeting Village Income Targets (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 100.00 100.00 Date 31-May-2005 -- 27-Feb-2015 31-Dec-2017 PHINDPDOTBL  Maintenance of pre-project levels of income and protein equivalent in affected villages in the Xe Bang Fai river and the Nam Theun river (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Affected villages in XBF and NT maintain their The Downstream pre-project Socioeconomic Survey levels of implemented by NTPC in income and 2009 provides baseline Value -- Not yet achieved protein values for incomes and equivalent from consumption of fish and alternate meat in affected villages livelihood prior to project impacts options during the immediate years after COD. Date 31-Mar-2009 -- 31-Oct-2014 31-Dec-2017 6/30/2015 Page 6 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) PHINDPDOTBL  Quality of Life in Enclave Villages (villages located in the watershed protected area) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Average household income was estimated to be around 375 USD per household per year. Schools were lacking in The available Improved most of the villages in the information suggests quality of life for NT2 Watershed and that there has been the enclave wherever there are schools some progress on land villages, with the level of teaching and use planning, modest higher incomes, Value facilities were poor. -- progress on education better access to Healthcare services were and health but little basic services erratic. Malaria, respiratory progress on agriculture, and their active diseases and gastro- livestock, infrastructure involvement in intestinal diseases were or communications. conservation. common. Infant mortality rates were very high, drinking water rarely boiled and general sanitation very poor. Date 31-Dec-1997 -- 30-Nov-2014 31-Dec-2017 Comments Source: Ethnic Minority Development Plan, SEMFOP 1. Watershed Management Protection Authority, 2005. PHINDPDOTBL  Water Quality Adequacy in Nam Theun reservoir and Xe Bang Fai (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Water quality is adequate to Water quality is ensure adequate to ensure sufficiency and sufficiency and diversity diversity of fish Value -- -- of fish stock in reservoir, stock in XBF and NT, and also reservoir, XBF pose no threat to public and NT, and health. also pose no threat to public health. Date 31-May-2005 -- 30-Nov-2014 31-Dec-2017 Overall Comments Intermediate Results Indicators 6/30/2015 Page 7 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) PHINDIRITBL  Key wildlife threats such as hunting and further habitat loss have greatly reduced (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-Mar-2005 -- 31-May-2015 31-Dec-2017 PHINDIRITBL  Annual average export to Electricite de Laos is not less than 200 GWh (Gigawatt-hour (GWh), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 363.00 320.00 200.00 Date -- 31-Dec-2013 31-Dec-2014 31-Dec-2017 Comments Source: NTPC Semi-Annual operating Report for July-December 2014. PHINDIRITBL  Annual average export to Electricity Generating Authority of Thailand is not less than 5,000 GWh (Gigawatt-hour (GWh), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5756.00 5963.00 5000.00 Date 31-May-2005 31-Dec-2013 31-Dec-2014 31-Dec-2017 Comments Source: NTPC Semi-Annual operating Report for July-December 2014. PHINDIRITBL  The Watershed Management Protection Authorty is able to execute all designated managerial functions in a technically sound, transparent and professional manner. (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 Comments WMPA is currently undergoing a reform process. A task force has recently recommended a revised institutional model, and recruitment of a 6/30/2015 Page 8 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) new director is ongoing. PHINDIRITBL  Effectiveness of Lenders' Technical Advisor (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Moderately Value 0 Moderately Satisfactory Satisfactory Unsatisfactory Date 30-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 Comments The Lenders’ Technical Advisor undertake semi-annual visits and provides reports that identify issues and recommend solutions on behalf of the lenders. PHINDIRITBL  Financial statements (of NT2 revenues) are published (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-May-2005 20-May-2014 31-May-2014 31-Dec-2017 Comments The GOL has submitted to the IFIs financial reports for FY09/10 – FY12/13 and for FY13/14, and the State Audit Organization (SAO) completed an audit of the NT2 revenue account for FY09/10 – FY12/13, which was submitted to the National Assembly in December 2014. 6/30/2015 Page 9 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) PHINDIRITBL  Audit reports for eligible programs (financed with NT2 revenues) are published (annually) (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-May-2005 20-May-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Basic public and social services are provided and improved in all resettlement villages on the Nakai Plateau (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The resettled The resettled population population benefit from benefit from improved The resettled improved and and affordable basic population affordable basic Public and social services services. The priority is benefit from services. The priority is Value were scarce and low now to ensure that improved, now to ensure that quality. access and quality stable and access and remain stable as these affordable basic qualityremain stable as assets are fully handed services. these assets are fully over to GOL. handed over to GoL. Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Effectiveness of Monitoring by Independent Expert Panels (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Dam Safety Review Panel and International Panel of Social and Environmental Experts demonstrate ability to ensure dam safety and Value 0 Effective Effective accomplishmen t of E&S objectives and CA commitments to income targets of resettlers, watershed preservation, etc. 6/30/2015 Page 10 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Private Capital Mobilized (Amount(USD), Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1150.00 1150.00 1150.00 Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Improved community water points constructed or rehabilitated under the project (Number, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 877.00 877.00 -- Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Vulnerable/marginalized people in proj. area aware of project inv. & benefits (%) (Percentage, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4827.00 99.00 -- Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 Comments This indicator now correctly being reported in percentage terms. In a 2014 survey of the Downstream Areas (NTPC, 2014) indicated that 99 percent of affected persons surveyed were aware of the NT2 project. All households on the Nakai Plateau are aware of the project, as many of these households were resettled. In both areas particular efforts have been made to consult with vulnerable groups such as ethnic minorities and to include women in consultations and awareness- raising. 6/30/2015 Page 11 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) PHINDIRITBL  Vulnerable/marginalized people aware of project inv. & benefits - male (Number, Core Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2402.00 2402.00 -- Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Vulnerable/marginalized people aware of project inv. & benefits - female (Number, Core Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2425.00 2425.00 -- Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  People in the project area - male (number) (Number, Core Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 77138.00 77138.00 -- Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  People in the project area – female (number) (Number, Core Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 81219.00 81219.00 -- Date 31-May-2005 13-Jun-2014 31-May-2015 31-Dec-2017 6/30/2015 Page 12 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) PHINDIRITBL  Roads rehabilitated, Rural (Kilometers, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 120.00 120.00 120.00 Date 31-May-2005 19-May-2014 31-May-2015 31-May-2017 PHINDIRITBL  Roads constructed, Rural (Kilometers, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 150.00 150.00 150.00 Date 31-May-2005 19-May-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Target popln with use or ownership rights recorded as a result of the project (Number, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 6300.00 6300.00 6300.00 Date -- 13-Jun-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Areas brought under enhanced biodiversity protection (ha) (Hectare(Ha), Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 400000.00 400000.00 -- Date -- 19-May-2014 31-May-2015 19-May-2014 6/30/2015 Page 13 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) PHINDIRITBL  Direct project beneficiaries (Number, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 158357.00 158357.00 -- Date 31-May-2005 -- 31-May-2015 -- PHINDIRITBL  Female beneficiaries (Percentage, Core Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 81219.00 81219.00 -- Date 31-May-2005 -- 31-May-2015 -- PHINDIRITBL  Transmission lines constructed or rehabilitated under the project (Kilometers, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 208.00 208.00 208.00 Date 31-May-2005 19-May-2014 31-May-2015 31-Dec-2017 PHINDIRITBL  Transmission lines constructed under the project (Kilometers, Core Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 208.00 208.00 208.00 Date -- 20-May-2014 31-May-2015 31-Dec-2017 6/30/2015 Page 14 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) PHINDIRITBL  Reservoir silting (volume loss) (million cubic meters) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0 -- 0.024 Less than 2 Date 31-May-2005 -- 31-Dec-2014 31-Dec-2017 Comments Source: NTPC Water quality monitoring. PHINDIRITBL  Ministry of Finance reports on implementation of revenue management arrangements and holds annual consultation with NT2 partners (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 31-May-2005 -- 15-Jun-2015 31-Dec-2017 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P049290 IDA-H1550 Effective XDR 13.10 13.10 0.00 13.10 0.00 100% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P049290 IDA-H1550 Effective 31-Mar-2005 26-Apr-2005 10-Jun-2005 31-Dec-2017 31-Dec-2017 Cumulative Disbursements 6/30/2015 Page 15 of 16 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nam Theun 2 Social and Environment Project (P049290) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 6/30/2015 Page 16 of 16 Public Disclosure Copy