98234 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIANAGENCYFORDEVELOPMENT CONTENTS Project information 1 Statement by the Project management 2-3 Independent auditor's report -.s Statement of receipts and disbursements 6 Statement of fund balance 7 Notes to the financial statements 8 18 Appendix I- STATEMENT OF RECEIPTS AND DISBURSEIVIENTS 19 ANDSTATEMENTOFFUNDBALANCEOFTHE RURAL ELECTRIFICATION FUND (UNAUDITED) RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY FOR DEVELOPMENT PROJECT INFORMATION FOR THE YEAR ENDED DECEMBER 2014 The Government of the Lao People's Democratic Republic ("GoL") through the Ministry of Energy and Mines ("MEM"), formerly the Ministry of Industry and Handicrafts, entered into a Development Grant Agreement with: the International Development Association ("IDA"); the Global Environment Facility ("GEF"), through the International Bank for objective to households in villages of targeted provinces throughout Lao PDR, and to the financial of the power sector. The original duration of the Project was from 2 August 2011 to 30 June 2014 and the project was extent the closing date to 30 June 2015 regarding to the new amendment in which agreed by world bank and ministry of finance. The a1nendment date 22 November 2013 IDA Grant No. H538-LA (SDR 12,6oo,ooo), GEF Grant No. TFog8662-LA (USD 1,818,ooo) and NORAD (USD 4,ooo,ooo) JL1LJLLP1L"-'JI. .."ll"··d'll ...JI.ll.IL.f'. agency Rural Electrification Program Office (Off-Grid Rural Electrification), Department of Electricity, MEM, Government of Lao PDR. Register office Ministry of Energy and Mines Vientiane, Lao PDR Auditors PricewaterhouseCoopers (Lao) Co., Ltd. 1 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY FOR DEVELOPMENT STATEMENT BY THE PROJECT MANAGEMENT Off-Grid Rural Electrification The Rural Electrification Progratn Phase II ("the Project") is being implemented by the Government of the Lao People's Democratic Republic ("GoL") through the Ministry of Energy and Mines ("MEM"), formerly the of and and Electricite Du Laos ("EDL"). The Project being funded the v.l.V'IJU.J.v.!.J.LAssociation with Grant No. the Global Environment Facility the International Bank for Reconstruction and Development, the implementing agency for the for and the Lao The grants have been approved based on the agreement dated 2 August 2011 between the IDA, GEF and NORAD and the Govern1nent of Lao PDR in the following amounts: IDA Grant No. H538o-LA (SDR 12,6oo,ooo) 20,000,000 GEF Grant No. TFo98662-LA 1,818,000 NORAD Grant 4,000,000 The Project's objective is to increase access to electricity of rural households in ·villages of targeted provinces throughout Lao PDR and to improve the financial performance of the power sector. The Project is composed of two parts and its cost is estimated as follows: cost Part A. Grid Rural Electrification 19.38 15.90 1.00 2-48 (EDL component) Part B. Off-Grid Rural Electrification 6-44 4.10 0.82 1.52 (MEM component) Total 20.00 4.00 The Project management, under the MEM through the Department of Electricity, declares its commitment to the objectives of the Project, as set forth in the agreement, and will carry out Part B of the Project (the MEM component) with due diligence and efficiency and in conformity with appropriate administrative, financial, technical and electrical utility and engineering practices, and sound social and environmental standards acceptable to the Donors. The Project maintains its records and prepares its special purpose financial statements on the cash receipts and disbursements basis of accounting. Any direct payments by Donors for Project expenditures are recorded by the Project upon the notification of payment from the Donors. 2 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY FOR DEVELOPMENT STATEMENT BY THE PROJECT MANAGEMENT The special purpose financial statements ("the financial statements") are the responsibility of the Project's management. The following components of the financial statements summarise the Project's financial position and performance: Statement of receipts and disbursements Staternent of fund balance Notes to the financial statements the rc.c•p•,'J,'_l,'jl>J.Lv VLL.!.vH-1..!.0) we do state that the financial statements, to the best of our •rr"""T'Arl and belief: have been prepared in accordance with the Donors' requirements, and have been prepared in all material respects of the fund balance of the Project as at 31 December 2014 and its cash receipts and disbursements for the year ended 31 December 2014, in accordance with the basis of accounting set out in Note 2 to the financial statements. On behalf of the Project: Director General Institute for Renewable Energy Promotion Ministry of Energy and Mines Date: 25 June 2015 Mr. Anousak PHONGSAVATH Mr. Phayvanh VONGSALY Project Manager REP I & II Finance Officer Institute for Renewable Energy Promotion Project Consultant Ministry of Energy and Mines Date: 25 June 2015 Date: 25 June 2015 3 INDEPENDENT AUDITOR'S THE GOVERNMENT OF THE DEMOCRATIC MANAGEMENT OF THE RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION AND THE INTERNATIONAL DEVELOPMENT ASSOCIATION STATEMENTS UNDER VIe have audited the staten1ents of the Rural Electrification Program Phase II, Off-Grid Rural Electrification (Part B) for Grant Agreements No" H5380- LA, No.TF098662- LA and NORAD ("the Project"), which comprise the statement of receipts and disbursements for the year ended 31 December 2014, the statement of fund balance as at 31 December 2014 and a summary of significant accounting policies and other explanatory information. The financial statements have been prepared by the management of the Project in accordance with the accounting policies described inN ote 2 to the financial statements. Management is responsible for the preparation of these financial statements in accordance with the accounting policies described inNote 2 to the financial statements and for such internal controls as management determines is necessary to enable the preparation of financial statements that are free from material misstaternent, whether due to fraud or error. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial staternents are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. ··································································································································································································································································· 1 PricewaterhouseCoopers (Lao) Co., Ltd., 4th Floor, ANZ Vientiane Commercial Building, 33 Lane Xang Avenue, PO Box 7003, Telephone:+ 856 21222718-9, Facsimile:+ 856 21222723, www.pwc.comjla 4 In our opinion, the financial statements of the Project for the year ended 31 December 2014 are prepared, in all material respects, in accordance with the accounting policies described in Note 2 to the financial statements. the the financial provisions of the agreement above. As a result, the financial statements may not be suitable for other purposes. This report is intended for the information of the Project and the IDA/the World Bank, and for no other purpose. However, upon release by the IDA/the World Bank, this report will be a matter of public record and its distribution will not be limited. We do not, in giving this opinion, accept or assume responsibility for any other purpose or to any other person to whom this report is sho~Am or into whose hands it may come, where our prior consent in writing. For PricewaterhouseCoopers (Lao) Co., Ltd Vientiane, Lao PDR Date: 25 June 2015 PricewaterhouseCoopers (Lao) Co., Ltd., 4th Floor, ANZ Vientiane Commercial Building, 33 Lane Xang Avenue, PO Box 7003, Telephone: + 856 21 222718-9, Facsimile: + 856 21 222723, www.pwc.comjla 5 RURAL ELECTRIFICATION PROGRAM PHASE THE DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE FACILITY UNDER GRANT AGREEMENT N o.TF098662-LA AND THE NORWEGIAN AGENCY FOR DEVELOPMENT STATEMENT OF RECEIPTS AND DISBURSEMENTS FOR THE YEAR ENDED 31 DECEMBER 2014 GRANT IDA No. H5380-LA GEF GRANT Notes From 1January January As at31 2014 to As at31 As at31 As 2014 to As at31 December December December December December December December December 2013 RECEIPTS USD International Development Association 4-1 1,628,499 438,109 2,066,608 NORAD 4-2 935,028 235,978 1,171,006 GEF 4-3 54,598 54,598 1,628,499 438,109 2,066,608 935,028 235,978 54,598 54,598 ---- DISBURSEMENTS Consultant services 5-2.1 175 231,923 232,098 859,881 206,178 1,066,059 Incremental operating costs 5 .2.2 100,554 24,833 125,387 240 so 290 Goods 5-2-3 1,483,886 108,455 1,592,341 Consultant construction 5·2·4 71,959 71,959 54,598 54,598 --- 1,584,615 437,170 2,021,785 860,121 206,228 54,598 54,598 --- Surplusj(Deficit) of receipts over disbursements 43,884 939 44,823 74,907 29,750 2 Mr. Anousak PHONGSAVATH VONGSALY Project Manager Date: 25 June 2015 The accompanying notes on pages 8 to 18 form an "'"-'--.U.U.-'.~.v.U.>l.J. statements. 6 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE AGREEMENT No.TFog8662-LAAND THE NORWEGIAN AGENCY FOR DEVELOPMENT STATEMENT OF FUND BALANCE AS AT 31 DECEMBER 2014 Note FUND BALANCE As at31 December 2014 2013 USD USD USD Opening fund balance 43,884 20,342 74,907 214,247 Surplus of receipts over 939 23,542 29,750 disbursements Closing fund balance Represented by: Cash on hand and cash at banks Cash on hand and cash at 3 44,823 43,884 banks 2 Mr. Anousak PHONGSAVATH VONGSALY Project Manager Date: 25 June 2015 The accompanying notes on pages 8 to 18 form an ..u.H.c-F,.l..a.l. ,__~..u.........U.\...-.LC"--" statements. 7 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY DEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS FORTHE ENDED DECEMBER GENERAL INFORMATION The Government of Lao PD R through the Ministry of Energy and Mines, formerly the Ministry of Industry and Handicrafts ("MIH"), entered into a Development Grant Agreement with the IDA and GEF, through the International Bank for Reconstruction and Development (the implementing agency for GEF), to assist in funding the Project in Lao PDR. The donors have provided funding via grants (reference numbers IDA Grant GEF Grant and NORAD as well as a contribution from the Lao Government through the Rural Electrification FuncL The follovving programs are included in the vr,.-,,,CI,..T· L Off-Grid Investment Program 2. Off-Grid Institutional Strengthening 3. Alternative Rural Electrification Technologies and Models 4· Rural Electrification Master Plan and Database s. Organisational Strengthening of the MEM Institute for Renewable Energy Promotion Project implementation started on 2 August 2011 and was expected to be completed by 30 June 2014, with the grant closing date setting for 30 June 2014 regarding to the original grant agreement. According to the new arnendment, the project was extent the closing date to 30 June 2015 which agreed by World Bank and Ministry of Finance. The amendment date was 22 November 2013. SIGNIFICANT ACCOUNTING POLICIES a. The statements of receipts and disbursements and fund balance expressed in USD, have been prepared under the historical cost convention and the cash receipts and disbursements basis of accounting. Under the cash receipts and disbursements basis of accounting, transactions are recorded when cash is received or paid rather than when incurred. Staff advances are included in the Project's disbursements. Receipts represent cash received from donors, the International Development Association ("IDA"), the Government Environmental Facility ("GEF") and the Norwegian Agency For Development ("NORAD") and are recognised when they are actually received, rather than when earned or, in the case of direct payments made by donors, when a notified of payment advice is received from the Donors. 8 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY DEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER SIGNIFICANT ACCOUNTING POLICIES c. Cash Disbursements represent all cash expenses of the Project paid in line with its objectives and approved budgets. to the T"\rrnnr,on staff are recorded staff advance the of cash advance to staff These staff advances are included in the disbursements liquidation, the advances are credited into the related expense line concerned. The cost of fixed assets is charged as an expense at the time of purchase. Fixed assets purchased are charged to the expense categories to which they relate. The Project maintains a fixed asset register, which includes vehicles, office equipment and furniture, for control purposes only. The measurement and presentation currency of the Project is the USD. Transactions in currencies other than the USD are translated into USD using the rates prevailing at the transaction dates. Cash balances in currencies other than the USD are translated into USD using the rates at the year ended 31 December 2014 which is Kip 8,078 /USD (2013: Kip 8,oo6/USD). All foreign exchange differences arising are included in the statement of receipts and disbursements. 9 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY FOR DEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS THEYEARENDED DECEMBER CASH ON HAND AND CASH BANKS LA - IDA special account 43,828 43,884 995 GrantNORAD - NORAD special account 104,657 Cash at banks represents cash deposited in current accounts at local banks, which carry no interest, under the accountability of the Project. The details of the accounts used for cash at banks are as follows: IDA special account Account No. 00000.100-4541.0101 Account Name Rural Electrification Program Phase II (IDA 538-LA) Depository Bank BanlcofLao PDR under the na.Ine ofRural Electrification Program Phase II, authorised by the Ministry of Finance Address Yonet Road, P.O. Box 2925 Vientiane, Lao PDR Related credit Project Grant No. H538o-LA Currency USD Type of account Current 10 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT ANDTHENORWEGIANAGENCYFORDEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS FORTHEYEARENDED DECEMBER CASH ON HAND AND CASH AT BANKS Account No. 0320101010000057 Account Na1ne Rural Electrification Program Phase II Deposito1y Bank Lao Development bank, Naxay branch Address Nongbone Road, village, Xaysetha District Vientiane, Lao PDR Related credit Project Grant No. USD Type of account Current Account No. 00000.100-4562.0101 Account Narne Rural Electrification Program Phase II (NORAD) Depository Bank Bank of Lao PD R under the name of Rural Electrification Program Phase II, authorised by the Ministry of Finance Address Yonet Road, P.O. Box 2925 Vientiane, Lao PDR Related credit Project NORAD Grant Currency USD Type of account Current 11 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT ANDTHENORWEGIANAGENCYFORDEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS FORTHEYEARENDED DECEMBER FUND RECEIPTS This represents funds received by the Project, through the Ministry of Finance, from the IDA and NORAD grants for the year ended 31 December 2014. balance as at 1 Fund received during the year Direct payments from IDA 423,549 223,138 as Fund fromNORAD 2013 USD USD Opening balance as at 1 January 935,028 734,372 Fund received during the year 235,978 200,656 Direct payments from NORAD Sub-total Closing balance as at 31 December 4·3 Fund receipts from GEF 2014 2013 USD USD Opening balance as at 1 January Fund received during the year 54,598 Direct payments from GEF Sub-total 54,598 Closing balance as at 31 December 54,598 12 RURAL ELECTRIFICATION OFF~GRID ELECTRIFICATION FUNDED THE INTERNATIONAL ASSOCIATION UNDER AGREEMENT THE GLOBAL ENVIRONMENT UNDER NORWEGIAN AGENCY as Support for the International 437,170 Association Fund for the Global ,,n-.nArT For Development Fund Support for the Bio gas Assessment and Piloting Fund ("GEF") 54,598 13 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL AGREEMENT No.TFo98662-LA AND THE NORWEGIAN AGENCY FOR DEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2014 5· DISBURSEMENTS 5.2 Disbursements the Project's comoonent activities are as 5.2.1 Consultant services GRANT NORAD GEFGRANT From From From 1January 1 January ary As at31 2014 to 31 As 31 As at31 at~1 2014 to 31 As 31 December December December December December December December 2013 2014 2014 2013 2014 2014 USD USD USD USD USD USD USD USD USD Consultancies and Training* 175 231,923 232,098 859,881 206,178 1,066,059 175 231,923 * Consultancies and training mainly represent the salaries for the Project . .,. . ,_._. ._._~~,-.,'""' . . . ._._, _._. to Envir Tech Consultant Co., Ltd for the assisting and consulting services to the of Energy to •rn-nlc,.,.,,".,..,i"" the Off-Grid Promotion and Support Office ("VOPS"). 14 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT FACILITY UNDER GRANT AGREEMENT No.TFo98662-LA AND THE NORWEGIAN AGENCY FOR DEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2014 5· DISBURSEMENTS (Continued) 5.2.2 Incremental operating costs GRANT NORADGRANT GEFGRANT From From From 1January 1 1 As at31 2014 to 31 As at31 As at31 2014 to 31 As As at 31 2014 to 31 As at December December December December December December December December December 2013 2014 2014 2013 2014 2014 2013 2014 2014 USD USD USD USD USD USD USD USD USD Transportation allowance 30,445 1,448 31,893 Fuel and oil 22,793 6,577 29,370 Maintenance costs 16,228 2,989 19,217 Office supplies 12,106 6,436 18,542 Communication expenses 10,159 3,552 13,711 Bank charges 1,505 144 150 50 200 Insurance 604 282 886 90 Other incremental costs 6,714 2,405 9,119 Advance to pretty cash - 1,000 1,000 100,554 24,833 240 50 15 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION BY THE DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT FACILITY UNDER GRANT AGREEMENT No.TFo98662-LA AND THE NORWEGIAN AGENCY FOR DEVELOPMENT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2014 5· DISBURSEMENTS 5.2.3 Goods GRANT IDANo.H5380-LA GEF GRANT From From From 1 January 1 January As at31 2013 to 31 As at31 2013 to 31 As at31 _1\.s at 31 to As at31 As at31 December December December December December December December December December 2013 2014 2013 2014 2014 2.014 2014 2014 USD USD USD USD USD USD USD USD USD Solar Home System Equipment* 1,454,143 1,454,143 Office equipment 29,743 53,565 83,308 Purchase Vehicles 54,890 54,890 1,483,886 108,455 1,592,341 *During the year ended 31 December 2014, the Project had spent fund from Grant IDA No.Hs38o-LA to office Vehicles truck Mitsubishi 2 unites under procurement agreement no. B3-MEM/DOE date 23 Nov 2011 as approved Project Manager 16 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT AGREEMENT No.TF098662-LAAND THE NORWEGIAN AGENCY NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2014 5· DISBURSEMENTS 5.2.4. Consultancy Construction GRANT IDANo.H5380-IA GRANT GEF From From tJanuary tJanuary As at31 2013 to 31 As at31 2013 to 31 As As December December December December December December 2013 2014 2013 2014 2014 2014 2014 USD USD USD USD USD USD USD -- Village Hydro Development 71,959 71,959 Biogas Assessment and Piloting 54,598 54,598 --- --- 71,959 71,959 54,598 54,598 * During the year end d 31 December 2014, the Project had spent fund from Grant IDA support lc:malrYrYl'110YYI"' and used fund form Grant GEF No.o98662 amount 54,598 USD to support Bio gas Assessment and Piloting. 17 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY FOR DEVELOPMENT 6. Commitments: As at 31 December 2014, the Project had commitment balance as below: USD Contract to staff* Contract to consultant an training 210,026 Contract to construction * Contract committed for project staff which covered financial management specialist, project secretary ** Contract committed to consultant comprises with Envir Tech Consultant Co., Ltd, Lao Consulting Group Co., Ltd and Procurement Advisor as detail below: Contract committed to Envir Tech Consultant Co., Ltd for the services of assist the Department of Energy to implement the Off Grid Rural Electrification Program through the Village Off-Grid Promotion and Support Office (VOPS) with total amount USD 1,081,539. And the remaining balance USD 164,285 will be settled in the following year. Contract committed to Vientiane College for service training with total amount USD 42,420. and the remaining balance USD 37,620 will be settled in the following year. Contract committed to PricewaterhouseCoopers (Lao) Co., Ltd for audit service with total amount USD 46,961. and the remaining balance USD 8,120 will be settled in the following year. *** Contract commitment to Tech-System Engineering Co., Ltd (TSE) for construction Installation of Micro-hydro Power Generation systems total amount USD 359,793. and the remaining balance USD 287,835 will be settled in the following year. Contract commitment to K.S.C. Construction- Maintenance of Road & Bridge Co., Ltd for the Biogas based Power Generation unit at UD Farm total contract amount USD 545,983. and the remaining balance USD 491,385 will be settled in the following year. 18 RURAL ELECTRIFICATION PROGRAM PHASE OFF-GRID RURAL ELECTRIFICATION FUNDED BY THE INTERNATIONAL DEVELOPMENT ASSOCIATION UNDER GRANT AGREEMENT THE GLOBAL ENVIRONMENT FACILITY UNDER GRANT AGREEMENT AND THE NORWEGIAN AGENCY APPENDIX STATEMENT OF RECEIPTS AND DISBURSEMENTS OF ELECTRIFICATION FUND ENDED DECEMBER 513,147 257,302 770,449 19,975 19,973 39,948 277,275 Works (Service supports) 401,912 211,652 613,564 Goods 134,570 134,570 Consultant services 6,000 6,000 Incremental operating costs 9,265 17,962 27,227 Training 7,814 8,488 16,302 UNESCAP Project 14,504 14,504 Staff advance 31,144 63,717 94,861 590,705 316,323 907,028 over (57,583) (39,048) (96,631) STATEMENT OF FUND BALANCE OF RURAL ELECTRIFICATION FUND As at 31 December As at31 FUND BALANCE 2013 2014 USD USD Opening fund balance from Surplus of receipts over disbursements Closing fund balance *As at 31 December 2014, the outstanding advance to staff is including both the amount from previous fiscal year and current year. The above statement is presented as additional information only, which is not the part of the audit scope as agreed in our service contract no. HMTA/REP I & II/PWCAudit/CQS/2011 date 16 September 2011 with the Project. Source of information: The figures for the Rural Electrification Fund Grant recorded in the general ledger as at 31 December 2014 were obtained from Mr. Phayvanh VONGSALY, Finance Officer 19