Rural Electrification Phase I Project of the Rural Electrification (APL) Program

Abstract*

The Rural Electrification (Phase 1 -APL) Project for the Peoples Democratic Republic of Lao aims to: (1) increase access to electricity of rural households in villages of targeted provinces; and (2) improve financial performance of the power sector. Global environmental objectives include substantially adopting off-grid renewable energy in Government's rural electrification program; and increased efficiency of energy supply by Electricite du Laos... Show More

Development Objective

The objective of REP I Project are to: (i) increase access to electricity of rural households in villages of targeted provinces; and (ii) improve financial performance of the power sector.

Key Details

Project Details

Project ID
P075531
Status
Closed
Team Leader
Veasna Bun
Borrower 2
N/A

Country
Lao People's Democratic Republic
Disclosure Date
August 27, 2003
Approval Date
(as of board presentation)
April 27, 2006
Effective Date
August 30, 2006

Total Project Cost 1
US$ 50.88 million
Implementing Agency
N/A
Region
East Asia and Pacific
Fiscal Year 3
2006

Commitment Amount
US$ 29.42 million
Environmental Category
B
Last Update Date
January 15, 2013
Closing Date
July 31, 2012

Last Stage Reached
BANK APPROVED

Associated Projects
P119715
P080054

Notes
1. Total project cost includes funding from World Bank and non-bank sources in US$ millions. Active and Closed projects show current commitments. Proposed (pipeline) and dropped projects show the forecast amount. The commitment amount for projects in the pipeline is indicative and may be modified during the project preparation.
2. Borrower refers to the Borrower of a Loan or Recipient of a Grant.
3. ”Fiscal Year” is the fiscal year in which the project was approved (or dropped if the status is dropped). The World Bank's fiscal year is from July 1 - June 30. For example, a fiscal year of 1996 corresponds to July 1, 1995 - June 30, 1996.

Sectors

Themes

FY17 - Environment and Natural Resource Management

FY17 - Climate change17%
- FY17 - Mitigation17%

FY17 - Finance

FY17 - Finance for Development8%
- FY17 - Agriculture Finance8%

FY17 - Private Sector Development

FY17 - Business Enabling Environment17%
- FY17 - Regulation and Competition Policy17%

FY17 - Public Sector Management

FY17 - Public Administration17%
- FY17 - State-owned Enterprise Reform and Privatization17%

FY17 - Urban and Rural Development

FY17 - Rural Development41%
- FY17 - Rural Infrastructure and service delivery33%
- FY17 - Rural Markets8%

Project Map

Interactive Map

Finances

Financing Plan (US$ Millions)

Financier	Commitments
Borrower/Recipient	13.35
Local Communities	4.36
Mekong AusAID Energy Fund	9.42
IDA Grant	10.00
GLOBAL ENVIRONMENT - Associated IDA Fund	3.75
NORWAY: Norwegian Agency for Dev. Coop. (NORAD)	10.00

Total Project Financing (US$ Millions)

Product Line	IBRD/IDA
IBRD Commitment	N/A
IDA Commitment	10.00
IBRD + IDA Commitment	10.00

Lending Instrument
Grant Amount	19.42
Total Project Cost**	50.88

Summary Status of World Bank Financing (US$ Millions) as of March 31, 2025

No data available.

Detailed Financial Activity as of March 31, 2025

Download:

Period	Financier	Transaction Type	Amount (US$)
Apr 27, 2006	IDA-H2180	Loan Commitment	10,000,000.00

Footnotes

Ratings

IMPLEMENTATION RATINGS

Name	Review	Date
Progress towards achievement of PDO	Satisfactory	2011-09-27
Counterpart Funding	Highly Satisfactory	2011-09-27
Monitoring and Evaluation	Satisfactory	2011-09-27
Overall Implementation Progress (IP)	Satisfactory	2011-09-27
Financial Management	Moderately Satisfactory	2011-09-27
Procurement	Moderately Satisfactory	2011-09-27
Project Management	Satisfactory	2011-09-27

COMPLETION RATINGS

INDICATOR	IMPLEMENTATION COMPLETION & RESULTS REPORT: 01-31-2013
Outcomes	Substantial
Risk to Development Outcome	Modest
Bank Performance	Substantial
Borrower Performance	Moderately Satisfactory
Government Performance	Moderately Satisfactory
Implementing Agency	Substantial

INDEPENDENT EVALUATION RATINGS

INDICATOR	ICR REVIEW: 08-20-2015	PROJECT PERFORMANCE ASSESSMENT REPORT:
Outcome Rating	Moderately Satisfactory	N/a
Risk To Development Outcome	Moderate	N/a
Bank Performance	Moderately Satisfactory	N/a
Borrower Performance	Moderately Satisfactory	N/a
Government Performance	Moderately Satisfactory	N/a
Implementing Agency	Moderately Satisfactory	N/a
Icr Quality	Satisfactory	N/a
M&e Quality	Substantial	N/a

Results Framework

PROJECT DEVELOPMENT OBJECTIVE INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Number of HH and village electrified	Value	About 42,000 of households (HH) electrification in	An additional 65,897 HHs and 671 village have been	An additional 64,000 HH and 640 villages electri
	Date	June 1, 2006	December 8, 2011	March 31, 2012
	Comment		On grid: 57,039 HH in 570 villages. Off-grid: 8,858 HH by SHS; 230 villages in 17 provinces	Original target of 42,000 HH and 250 villages was increased with AusAID additional financing (8000 HH on-grid plus 5000 off-grid)and to correct the error in the number of on-grid villages (540 in the intermediate indicator) and correct the omission of theoff-grid target values (9000 HH in 200 villages).

Implementation status of the Power Sector Financial Sustainability Action Plan	Value	Tariff adjustment initiated in July 2005 EdL syste	1) New tariff increase was approved by the govern	Satisfactory implementation of Sustainability Acti
	Date	June 1, 2006	March 31, 2012	March 31, 2012
	Comment		Overall implementation of Action Plan for Financial Sustainability of the Power Sector has been broadly on track with theexceptionof sufficient budget allocated by MOF to settle annual consumption.

INTERMEDIATE RESULTS INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Establishment of DSM cell and implementation of pilot DSM/energy efficiency & awareness building programs	Value	No DSM cell; no program to build efficiency or awa	Established and operational. 50 GoL central agenci	Energy audit and other pilot programs implemented
	Date		December 8, 2010	March 31, 2012
	Comment		Further implementation of action plan to be done under REPII

Development of a sector financing strategy and pilot projects	Value	Recommendations made by consultants on sector fina	Completed	Sector financing strategy developed and legal docu
	Date	December 31, 2005	December 8, 2011	March 31, 2012
	Comment

Grid extension: Incremental number of villages and HHs electrified	Value	about 428,000 HHs in about 35% of villages	57,039 (36,645 due to normal connections, and 20,3	Revised target: 50,000 HH in 540 villages
	Date	June 1, 2006	December 8, 2011	March 31, 2012
	Comment		AusAID AF is to fill a financial gap to reach the original target - 11,500 HH connected by EdL and an additional 8000 HH under P2P.	Original target was to add 42,000 HHs in 540 villages in the 7 central provinces; targeted number of HHs was revised upward withthe AusAID additional financing (8000 HH under P2P)

EdL system losses Value About 22% in 2005 10.45 below 17%
Date June 1, 2006 December 8, 2011 March 31, 2012
Comment target exceeded

Off-grid: Incremental number of villages and HHs HHs electrified	Value	6,000 HH in 7 provinces; only 150 out of the 6,000	230 villages, 17 provinces - 8,858 new HHs by SHS	Add 14,000 HHs over 200 villages in 17 provinces
	Date	June 1, 2006	December 8, 2011	March 12, 2012
	Comment	Indicator name should have also mentioned "village hydro share in HHs electrified through off-grid"	No additional SHS or VH expected to be installed before the closing date. AusAid financed SHS will be installed under REPII.	The original end of project target was 10,000 HH over 200 villages in 17 provinces, including 1,000 (10%) HHs through VH. This wasincreased to 14,000 with the AusAID additional financing.

"Market share" of off-grid renewable HHs under REP I	Value	8% "Market share" of off-grid renewable HHs during	13% of newly electrified HHs have SHS/VH	19% of newly-electrified HHs have SHS/VH
	Date	June 1, 2006	December 8, 2011	March 31, 2012
	Comment		14,081 off grid / 65,706 off and on grid (including P2P) = 21%.

Measurable increase in awareness and adoption of energy efficiency technologies and practices by Government agencies and other EdL customers	Value	A complete lack of awareness by EdL customers	76% public sector, 46% residential, 66% commercial	100% central Government agencies, 20% of domestic
	Date	June 1, 2006	December 8, 2011	March 31, 2012
	Comment		As reported in DSM/EE Phase 1 - Baseline on EE Awareness Report (by IIEC) in Nov 2008; New survey to be done before end of project

Establishment and operation of a Rural Electrification Fund	Value	REF Decree to be issued by the Prime Minister's Of	REF established and operational - Satisfactory	REF established and operational
	Date	December 31, 2005	December 8, 2011	March 31, 2012
	Comment

Rate of return on revalued assets of EdL Value 0.00 1.00 4.00
Date December 31, 2005 December 8, 2011 March 31, 2012
Comment

Development of alternative delivery models	Value	Only one model for solar home system exists	Completed	Alternative delivery models developed
	Date	December 31, 2005	December 8, 2011	March 31, 2012
	Comment	needs diversified models for other off-grid technologies, e.g. micro hydro	IFC, as transaction advisor to MEM, has developed model bid documents for microhydro projects on a public-private partnership basis

Implementation of the Action Plan for DOE Organizational Strengthening	Value	Development of the Action Plan was under way		Action Plan developed and agreed with the Bank ful
	Date	December 31, 2005	September 1, 2010	March 31, 2012
	Comment		Various training programs have been completed.

Estabishment of RE Master Plan and Database	Value	Initial version of RE Database developed	Initial RE Master Plan and RE Database developed	Initial RE Masterplan and RE Database developed
	Date	December 31, 2005	December 31, 2010	March 31, 2012
	Comment		Fully Satisfactory

Financial Performance	Value	2004 financial performance indicators	DSCR 1.26 times; SFR 5%	debt service coverage ratio (DSCR)>1.5 times; self
	Date		December 8, 2011	March 31, 2012
	Comment		Based on EDL's FY10 unaudited accounts

EdL system losses	Value	About 22% in 2005	10.45	below 17%
	Date	June 1, 2006	December 8, 2011	March 31, 2012
	Comment		target exceeded

Rate of return on revalued assets of EdL	Value	0.00	1.00	4.00
	Date	December 31, 2005	December 8, 2011	March 31, 2012
	Comment