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CSV
Lesson
The strategic oversight of funds is enhanced when their governance structure includes some form of third-party engagement. The original Board paper outlined the governance structure of CCF and included at its apex ADB and external financing partners, whose function would be to provide strategic direction to the CCF and to meet ADB for annual consultations and to review progress, administration, and the annual work program. Since there are no external financing partners, ADB sits alone at the apex of the governance structure.

Project Number: No PN
Project Name: Climate Change Fund, 2008–2019
Report Date:
Lesson
Technical assistance with a narrow focus, immediate policy relevance, and carried out with national champions with financial and/or planning authority was key to the successful integration of climate technologies in country investment plans. Careful and realistic planning is required for the production and dissemination of outputs, since this involves multiple institutions within a given timeframe.

Project Number: No PN
Project Name: Climate Change Fund, 2008–2019
Report Date:
Lesson
Institutional capacity development on climate change in ADB’s DMCs requires long-term engagement. Just over half of CCF resources went toward capacity development. The lack of basic climate data, technical expertise, and qualified local staff in many DMCs means that some processes, especially baseline studies, vulnerability assessments, and cost–benefit analysis of mitigation and adaptation measures, have to be adjusted to reflect realities on the ground.

Project Number: No PN
Project Name: Climate Change Fund, 2008–2019
Report Date:
Lesson
Clear delineation of country activities with transparent funding allocations in cross-border RCI TA projects involving several countries helps smooth implementation and increase project success. The transaction costs in cross-border RCI TA projects tend to be high both in terms of resources and the time required to achieve agreement among stakeholders in the participating countries. It takes much longer to negotiate and agree to a common proposal in a cross-border RCI TA project than in a usual TA project.

Project Number: No PN
Project Name: Regional Cooperation and Integration Fund, 2007–2019
Report Date:
Lesson
Active engagement of national stakeholders and ADB resident missions from the outset helps improve ownership and project success. The likelihood of success is greater when an RCIF TA project is designed with genuine consultation with concerned line ministries, national agencies, the private sector (if relevant), and ADB resident missions. Active engagement of in-country stakeholders helps ADB to identify binding constraints and solutions, and to internalize implementation challenges at the TA design stage. This makes clear the roles and responsibilities of each stakeholder.

Project Number: No PN
Project Name: Regional Cooperation and Integration Fund, 2007–2019
Report Date:
Lesson
The privatization of KESC demonstrates that private sector ownership in the energy sector has benefits in terms of efficiency gains. System losses are declining significantly, and KESC’s financial performance has improved substantially since privatization, such that it is now self-financing since first turning a profit in 2012. This accomplishment is remarkable considering the environment in which it operates includes a constrained availability of fuel for its thermal power plants and an unfavorable security and law and order situation.

Project Number: 32146-013
Project Name: Energy Sector Restructuring Program
Report Date:
Lesson
WAPDA was unbundled because the organization had degenerated into an unwieldy, overcentralized, and multilayered bureaucracy, dominated by political expediency and experiencing declining efficiency and quality of service. Even though the unbundling was carried out, operational and financial performance of the unbundled entities did not improve significantly.

Project Number: 32146-013
Project Name: Energy Sector Restructuring Program
Report Date:
Lesson
Cross-indebtedness has been an energy sector issue since the 1980s. Although the ESRP provided the government the means to eliminate crossindebtedness by financing the arrears out of the budget, the respite provided by the ESRP was temporary, and cross-indebtedness became a major issue again shortly thereafter, reaching unprecedented levels of about PRs503 billion by mid-2013.

Project Number: 32146-013
Project Name: Energy Sector Restructuring Program
Report Date:
Lesson
The ESRP comprised three loans. The largest (Loan 1807) was for $300 million and was designed as a three tranche plus incentive tranche program loan. The other two loans were a $50 million Asian Development Fund loan (Loan 1808) and a $5 million TA loan (Loan 1809). The government availed of the first and incentive tranches of Loan 1807 for $150 million as well as the $50 million Asian Development Fund loan when it complied with the first tranche loan conditions.

Project Number: 32146-013
Project Name: Energy Sector Restructuring Program
Report Date:
Lesson
Subsidization of electricity is a drain on budgetary resources and not sustainable in the longer term when an economy is growing and tax revenues are stagnant. Under the ESRP, electricity subsidies were expected to be eliminated with the establishment of NEPRA, and the tariff was expected to reflect and recover the full cost of production. However, the government continues to subsidize electricity, primarily to domestic and agricultural customers.

Project Number: 32146-013
Project Name: Energy Sector Restructuring Program
Report Date:
Lesson
Ensure thorough diagnostics of the institutional and policy environment before embarking on a complex reform program.

Project Number: 32058-033
Project Name: Punjab Road Development Sector Project
Report Date:
Lesson
Define criteria for the closure of incomplete projects.

Project Number: 32058-033
Project Name: Punjab Road Development Sector Project
Report Date:
Lesson
Ensure robust cost estimation and due diligence during project design, taking into account realistic base costs and adequate price escalation factors. (

Project Number: 32058-033
Project Name: Punjab Road Development Sector Project
Report Date:
Lesson
Bear in mind ADB’s role as a development partner, and the development results to be achieved, when considering closure of an ongoing project.

Project Number: 32058-033
Project Name: Punjab Road Development Sector Project
Report Date:
Lesson
Assess the country context, notably the political situation, as a potential risk at the project design stage.

Project Number: 32058-033
Project Name: Punjab Road Development Sector Project
Report Date:
CSV