The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) TZ-Rural Electrification Expansion Program (P153781) AFRICA | Tanzania | Energy & Extractives Global Practice | Requesting Unit: AFCE1 | Responsible Unit: IAFE3 IBRD/IDA | Program-for-Results Financing | FY 2016 | Team Leader(s): Jenny Maria Hasselsten, Kabir Malik, Mbuso Gwafila Seq No: 6 | ARCHIVED on 07-Jan-2020 | ISR39995 | Created by: Yuge Ma on 15-Dec-2019 | Modified by: Jenny Maria Hasselsten on 23-Dec-2019 Program Development Objectives Program Development Objective (from Program Appraisal Document) The Project Development Objectives are (a) to increase access to electricity in rural areas; and (b) to scale up the supply of renewable energy in rural areas while strengthening sector institutional capacity. Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Implementation Status and Key Decisions Implementation progress continues to be moderately satisfactory. Grid extension works are progressing well but there has been delays in the off- grid electrification programs due to the challenging sector and policy context. Monitoring and regular reporting of project works, and related safeguard issues remains weak and needs to be strengthened. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P153781 IDA-58940 Effective USD 200.00 200.00 0.00 72.47 123.58 37% P153781 TF-A2502 Effective USD 9.00 9.00 0.00 2.25 6.75 25% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P153781 IDA-58940 Effective 21-Jun-2016 15-Aug-2016 17-Mar-2017 31-Jul-2022 31-Jul-2022 P153781 TF-A2502 Effective 21-Jun-2016 15-Aug-2016 17-Mar-2017 31-Jul-2022 31-Jul-2022 1/7/2020 Page 1 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Program Action Plan Preparation of a Rural Electrification Master Plan (REMP) to strengthen the planning and coordination capacity of the Action Description sector institutions is underway. Source DLI# Responsibility Timing Timing Value Status Technical REA Due Date 31-Aug-2019 Delayed Completion Masterplan Completed and adopted Measurement REA expect to sign a new contract with Multiconsult to complete the work of the Rural Energy Masterplan (REMP) in Comments January. The REMP is expected to be completed by June 2020. Action Description Apply standard technical specifications and bid evaluation criteria Source DLI# Responsibility Timing Timing Value Status REA, TANESCO Recurrent Continuous In Progress Completion Measurement Comments Action Description Deployment of REA and or TANESCO staff to the regional level Source DLI# Responsibility Timing Timing Value Status Other REA, TANESCO Recurrent Continuous In Progress Completion Staff deployed to field Measurement Comments TANESCO regional and district staff are closely involved in supervision of works Staffing of the PMU, Directorate of Technical Services, and IAU ‐ recruit/appoint qualified and experienced staff to fill Action Description the gap in the two units or outsource the functions Source DLI# Responsibility Timing Timing Value Status Fiduciary Systems REA Due Date 31-Aug-2017 Completed Completion REA has recruited staff for project and contract management. Measurement REA has now recruited an environmental and social specialist, an environmental specialist and a gender specialist. Comments REA has also recruited additional 29 staff to manage each of the contracts under REA-3, Phase 1. REA has procured PMC. 1/7/2020 Page 2 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Procurement training ‐ trainings on preparation of bidding documents and request for proposal for large packages; Action Description evaluation of bids/proposals for large packages; and contract management Source DLI# Responsibility Timing Timing Value Status Technical REA Recurrent Continuous Delayed Completion Completion of training sessions Measurement Comments Training has not been undertaken. REA has procured PMC to for the preparation of tender documents Action Description Establish records keeping management system Source DLI# Responsibility Timing Timing Value Status Technical REA Recurrent Continuous In Progress Completion A digital record keeping management system is beeing installed at REA. Measurement Comments Action Description Establish system for timely disbursement of funds to the REA to meet its contractual obligations Source DLI# Responsibility Timing Timing Value Status MoF Due Date 17-Mar-2018 Delayed Completion Measurement Comments Strengthen capacity for ESIA: (a) a strategic ESIA for development of renewable energy; (b) an ESIA consultant Action Description qualification system at the REA; (c) training for ESIA consultants, implemented by REA and NEMC; (d) dedicated staff for processing at NEMC Source DLI# Responsibility Timing Timing Value Status Environmental and Social REA Due Date 30-Jun-2019 In Progress Systems Completion (a) a strategic ESIA for development of renewable energy; (b) an ESIA consultant qualification system at the REA; (c) Measurement training for ESIA consultants, implemented by REA and NEMC; (d) dedicated staff for processing at NEMC Comments A roster of consultants have been prepared by REA. Trainings organized by NEMC have been undertaken. 1/7/2020 Page 3 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Strengthen capacity for monitoring, and enforcement: (a) adding staff and equipment to the REA’s E&S unit; (b) place Action Description env. staff in TANESCO’s zonal offices to support district office supervision of grid‐extension projects;(c) EMO training program Source DLI# Responsibility Timing Timing Value Status Environmental and Social REA/TANESCO/NE Due Date 17-Mar-2018 In Progress Systems MC Completion Staff recruited Measurement Comments Staff added to REA's E&S unit. Strengthen the REA’s capacity for informing and consulting with all stakeholders, including district and local Action Description Governments through formulation and adoption of a Stakeholder Engagement Plan, and administer training in its application Source DLI# Responsibility Timing Timing Value Status Environmental and Social REA Due Date 31-Aug-2019 In Progress Systems Completion Formulation and adoption of SEP Measurement Comments SEP has been formulated. Training on implementation will be administered through contractors workshop. Action Description Prepare a detailed REA procedural manual Source DLI# Responsibility Timing Timing Value Status Fiduciary Systems REA Due Date 17-Mar-2018 Completed Completion Procedural Manual Completed. Measurement Comments Procedural manual has been completed and approved. Action Description Monitoring and annual reporting by the REA on social and environmental performance Source DLI# Responsibility Timing Timing Value Status Technical REA Due Date 01-Apr-2019 In Progress Completion Receipts of periodic Annual reports Measurement Comments REA is in progress of improving its E&S monitory and reporting system. Action Description Project Management Consultant will be hired by REA 1/7/2020 Page 4 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Source DLI# Responsibility Timing Timing Value Status Technical REA Due Date 30-Aug-2019 Completed Completion PMC hired Measurement Comments PMC hired PS MoFP will set up a Project Steering Committee to monitor TANESCO payments to SPPs. TANESCO will report to Action Description the Project Steering Committee, chaired by PS MoFP, and to the Association on a quarterly basis Source DLI# Responsibility Timing Timing Value Status TANESCO/MOFP Due Date 19-Jun-2017 Completed Completion Measurement Comments Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Substantial Substantial Macroeconomic Moderate Moderate Moderate Sector Strategies and Policies Substantial Substantial Substantial Technical Design of Project or Program Substantial Substantial Substantial Institutional Capacity for Implementation and Sustainability Substantial Substantial Substantial Fiduciary Substantial Substantial Substantial Environment and Social Low Moderate Moderate Stakeholders Moderate Moderate Moderate Other Substantial Substantial Substantial Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes 1/7/2020 Page 5 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Increase access to electricity in rural areas; and scale up the supply of renewable energy IN00785278 ►PDO Indicator 1: People provided with access to electricity under the program by household connections (Number, Custom) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 229,800.00 1,335,160.00 2,500,000.00 Date 30-Jan-2017 26-Apr-2019 20-Dec-2019 30-Jun-2022 Data on the number of people with electricity connections is estimated by multiplying the actual number of household connections with an estimate of the average household size (estimate of 5 people per household). The number of household connections that were verified by the Year 1 IVA 1 is 45,960, by Year Comments 2 IVA is 131,072. REA has reported 90,000 connections for year 3. This will be confirmed by Year 3 IVA report. Total of the three years is 267,032, equals to 1,335,160 people. IN00785279 ►PDO Indicator 2: Non-residential connections implemented under the Program (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4,159.00 16,022.00 30,000.00 Date 09-Mar-2018 26-Apr-2019 20-Dec-2019 30-Jun-2022 They include connections to educational facilities, healthcare facilities, water pumps, administration buildings, churches, businesses, and mosques, and are estimated as 6% of the total connections (267,032 Comments connections for Year 1,2&3). IN00785280 ►PDO Indicator 3: Generation Capacity of Renewable Energy Constructed Under the Program (Megawatt, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 17.00 Date 30-Jan-2017 26-Apr-2019 20-Dec-2019 30-Jun-2022 Comments IN00785311 ►PDO Indicator 4: People provided with access to electricity via off-grid supplies under the Program (SPP and renewables, including solar PV) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 310,000.00 Date 30-Jan-2017 26-Apr-2019 20-Dec-2019 30-Jun-2022 Comments IN00785312 ►PDO Indicator 5: Capacity for delivery of energy access and renewable energy generation strengthened (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 30-Jan-2017 26-Apr-2019 20-Dec-2019 30-Jun-2022 1/7/2020 Page 6 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Comments Intermediate Results Indicators by Results Areas Expanding Rural Access to Electricity IN00785313 ►IR Indicator 1.1: Cumulative number of grid electricity connections, including those under mini-grids, made under the program (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 45,960.00 267,032.00 500,000.00 Date 30-Jan-2017 26-Apr-2019 20-Dec-2019 31-Jul-2022 The number of household connections that were verified by the Year 1 IVA 1 is 45,960, by Year 2 IVA is 131,072. REA has reported 90,000 connections for year 3. This will be confirmed by Year 3 IVA report. Comments Total of the three years is 267,032. IN00785316 ►IR Indicator 1.2: Transmission and distribution lines constructed or rehabilitated under the program (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 24,000.00 Date 30-Jan-2017 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785319 ►IR Indicator 1.3: Households connected to the grid that are female-headed (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 24.00 30.00 30.00 24.00 Date 30-Jan-2017 26-Apr-2019 18-Dec-2019 31-Jul-2022 Estimation based on Year 2 IVA report. Percentage to be confirmed by Year 3 IVA report. Comments IN00785321 ►IR Indicator 2.1: Educational facilities connected under the program (5%) (Number (Thousand), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,158.00 2,058.00 25,000.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Estimation based on Year 2 IVA report (1% of total connections). Number to be confirmed by Year 3 IVA Comments report. IN00785323 ►IR Indicator 2.2: Health care facilities connected under the program (5%) (Number (Thousand), Custom) Baseline Actual (Previous) Actual (Current) End Target 1/7/2020 Page 7 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Value 0.00 350.00 620.00 25,000.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Estimation based on Year 2 IVA report (0.3 % of total connections). Number to be confirmed by Year 3 IVA Comments report. IN00785325 ►IR Indicator 2.3: Business, out of which number of female owned, connected under th program (30%) (Number (Thousand), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,919.00 4,619.00 150,000.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Estimation based on Year 2 IVA report (3% of total connections). Number to be confirmed by Year 3 IVA Comments report. Increasing Supply of Renewable Electricity in Rural Areas IN00785314 ►IR Indicator 3.1: Cumulative number of proposed MWs covered by SPP Loans for Small Power Projects reaching financial close under the CL (Megawatt, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 17.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785317 ►IR Indicator 4.1: Households provided with electricity via SPPs or renewable energy under the program that are female- headed (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 24.00 0.00 0.00 24.00 Date 30-Dec-2016 24-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785320 ►IR Indicator 4.2: SPP projects reaching financial close using CL (cumulative) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 10.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785322 ►IR Indicator 4.3: Loans to renewable energy companies reaching finacial close (culmulative) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target 1/7/2020 Page 8 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Value 0.00 0.00 0.00 12.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785324 ►IR Indicator 4.4: Cumulative value of eligible renewable energy sub-loans reaching finacial close (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 12,500,000.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785326 ►IR indicator 4.5: SPPs successfully in operation selling energy to both TANESCO and rural customers (cumulative) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 2.00 2.00 2.00 9.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785327 ►IR Indicator 4.6: Solar energy systems sold (Number (Thousand), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 10,000.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785328 ►IR Indicator 4.7: Other renewable energy systems sold (Number (Thousand), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 10,000.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments IN00785329 ►IR Indicator 4.8: Lanterns sold (Number (Thousand), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15,000.00 Date 30-Dec-2016 26-Apr-2019 20-Dec-2019 31-Jul-2022 Comments 1/7/2020 Page 9 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) Strengthening Capacity of the Sector to Deliver the NREP IN00785315 ►IR Indicator 5.1: Annual capacity building and project preparation activities completed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 30-Dec-2016 30-Apr-2019 20-Dec-2019 31-Jul-2022 Capacity strengthening is ongoing Comments IN00785318 ►IR Indictor 5.2: Implementation of the National Energy Policy of 2015 to enhance access to modern energy services completed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 30-Dec-2016 30-Apr-2019 20-Dec-2019 31-Jul-2022 The bidding process for the “Study for Unlocking Rural Electricity Connections” was completed by MoE, and the due diligence of finalist bidders is in process. The selected consultant is expected to initiate the work by end of December and finish the study by April 2020. MoE has ensured the alignment of the aforementioned Comments study with the ongoing Joint Energy Sector Review (J-ESR) and REMP. The studies, together with the Energy Access Survey that will be initiated by MoE and National Bureau of Statistics in January 2020, will inform the National Electrification Strategy to be prepared by the MoE. Disbursement Linked Indicators DLI_IND_TABLE ►DLI 1 DLI 1: Cumulative number of grid electricity connections, including those under mini grids, made under the program (Outcome, 151,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) July 31, 2022 Value 0.00 45,960.00 267,320.00 500,000.00 Date 14-Mar-2017 30-Apr-2019 20-Dec-2019 -- The number of household connections that were verified by the Year 1 IVA 1 is 45,960, by Year 2 IVA is 131,072. Year 3 reported 90,000 connections (to be confirmed by Year 3 IVA report), total of the three years is Comments 267,032. ►DLI 2 DLI2: Cumulative number of proposed MWs covered by SPP Loans for Small Power Projects reaching financial close under the CL (Outcome, 32,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) July 31, 2022 Value 0.00 0.00 0.00 17.00 Date 14-Mar-2017 07-Dec-2018 20-Dec-2019 -- Comments 1/7/2020 Page 10 of 11 The World Bank Implementation Status & Results Report TZ-Rural Electrification Expansion Program (P153781) ►DLI 3 DLI 3: Cumulative value of eligible renewable energy sub-loans reaching financial close (Output, 10,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) July 31, 2022 Value 0.00 0.00 0.00 12,500,000.00 Date 14-Mar-2017 07-Dec-2018 20-Dec-2019 -- Comments ►DLI 4 DLI 4: Annual capacity building and project preparation activities completed (Output, 15,000,000.00, 2%) Baseline Actual (Previous) Actual (Current) July 31, 2022 Cap Bldg Plan prepared for 2019/2020; No Planning and Targeted communities Preparation Department Cap Bldg Plan prepared program prepared; strengthened for year 1 and under Plan to strengthen Value -- revision for year 2 capacity for the planning No training and no department prepared; transaction advisors hired Feasibility studies for 26 regions prepared. Date 14-Mar-2017 30-Apr-2019 20-Dec-2019 -- The Year 1 Capacity building Plan was completed and the amount included in the first disbursement. The Year 2 and 3 Capacity building Plan, Targeted communities program (DLI 4.5), the plan to strengthen Comments capacity for the planning department (DLI 4.3), and the feasibility studies for 26 regions (DLI 4.7) were completed, and is tied to the second disbursement. ►DLI 5 DLI 5: Implementation of the National Energy Policy of 2015 completed (Output, 1,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) July 31, 2022 No implementation strategy The MoE study will start in MoE has not fully Value for subsidy policy January 2020 and be -- defined. completed completed by April 2020. Date 14-Mar-2017 07-Dec-2018 20-Dec-2019 -- MoE's selected consultant for the “Study for Unlocking Rural Electricity Connections” will start the contract by Comments the end of December 2019, and is expected to finish the study by April 2020. 1/7/2020 Page 11 of 11