Search

Displaying 1 - 15 of 26

Lesson
The project design included measures to improve billing and collection. Considering the excessive aggregate technical and commercial losses, a project design could include measures for reducing commercial loss that were being promoted by the government and being implemented in other areas e.g., high voltage distribution system in urban areas, use of aerial bundle conductors, and segregation of agricultural and domestic power supply in rural areas.

Project Number: 41626-013
Project Name: Bihar Power System Improvement Project
Report Date:
Lesson
A rational tariff policy is essential for improving the financial viability of a distribution utility. Two tariff revisions (in 2016 and 2021) helped improve the financial viability of Azerishiq's distribution-strengthening projects. Although the upgrade of distribution systems is still not fully financially viable, an improving financial internal rate of return (into positive territory) illustrates the benefits of lifting tariffs toward full cost recovery.

Project Number: 42401-014
Project Name: Power Distribution Enhancement Investment Program (Multitranche Financing Facility)
Report Date:
Lesson
The results-based lending (RBL) modality provides flexibility to adjust targets adversely affected by unforessen adverse events such as COVID-19. During 2020–2022, the COVID-19 pandemic affected the demand for electricity, lowering the State Electricity Company's (PLN) revenues and creating uncertainty in its investment plans. Sourcing equity financing and implementing ongoing projects within PLN became difficult under such conditions and adjustments were needed in scope and time targets of ongoing works.

Project Number: 50016-001
Project Name: Sustainable Energy Access in Eastern Indonesia—Electricity Grid Development Program
Report Date:
Lesson
When the minimum amount of disbursement needs to be established for some administrative reasons from ADB's co-financiers, it is beneficial to set it at the lowest possible level to enable financiers to respond flexibly to the disbursement needs on the ground. The Agence Française de Développement (AFD) required the minimum amount of $5 million to process disbursements, except for the first disbursement of $300,000, while the ADB did not impose such a threshold.

Project Number: 41074-013
Project Name: West Kalimantan Power Grid Strengthening Project
Report Date:
Lesson
ADB close mentoring and guidance are crucial to ensuring quality financial reports and well functioning financial systems. During the first reporting year of the project, the implementing agency had difficulty complying with the annual financial reporting requirements. Through ADB's close mentoring and guidance, the reports gradually improved, from the beginning of fiscal year 2019 up to 2021, and the auditors issued clean or unqualified opinions.

Project Number: 49214-002
Project Name: Solar Transmission Sector Project
Report Date:
Lesson
Following ADB Procurement Guidelines throughout will avoid any issues over unfamiliarity with or misunderstanding of the conditions. Although the use of the implementing agency's works and procurement policy and procedures was approved with conditions for smaller contracts, the implementing agency's decision to follow ADB's guidelines eased implementation and minimized procurement issues.

Project Number: 46537-002
Project Name: Solar Transmission Sector Project
Report Date:
Lesson
In addition to ensuring robust environmental assessment and management to avoid project delays and operational disruptions, it is imperative to plan for and link mitigation measures such as the installation of bird flight diverters to the commissioning of power lines and financial closure, rather than leaving such measures to be retrofitted after the power lines have become operational. Insufficient attention to forest clearance needs during project design and planning resulted in implementation delays. The quality of the environmental assessments fell short.

Project Number: 49214-002
Project Name: Solar Transmission Sector Project
Report Date:
Lesson
Early engagement with stakeholders and design of subsidy programs responsive to the needs of vulnerable groups could expedite the implementation of complex policy reforms. The success of this program highlights the importance of the government's continuing commitment in improving the performance and sustainability of the Palau Public Utilities Corporation.

Project Number: 54151-001, 54151-003
Project Name: Palau Public Utilities Corporation Reform Program 
Report Date:
Lesson
Lack of tariffs and insufficient operation and maintenance (O&M) budgets threaten the sustainability of water supply and sanitation facilities in FSM. The water supply and wastewater components are unlikely to be sustainable because of the unwillingness to charge for services, and the insufficiency of annual O&M budgets.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
A detailed market assessment is necessary to come up with reliable cost estimates. The actual costs deviated significantly from the original estimates, aggregating to only $29.35 million or 49% of the $60 million total estimated cost. This was mainly because of the nearly 30% drop in the actual cost of equipment realized through the international competitive bidding process, the reduction in the number of distribution transformers installed, and the reduction in the scope of underground cable installation actually undertaken.

Project Number: 47101-003
Project Name: Assam Power Sector Investment Program - Tranche 2
Report Date:
Lesson
Compliance with financial covenants on institutional reforms and asset valuation and reconciliation, need a high level of commitment, capacity, and resources from the executing agency. Further, substantial changes in state-owned enterprises take time to get implemented in full. Despite efforts made by executing agency, the Assam Power Generation Corporation Limited (APGCL), lack of capacity and resources resulted in some of loan covenants to be achieved only partially.

Project Number: 47101-002
Project Name: Assam Power Sector Investment Program - Tranche 1
Report Date:
Lesson
To avoid unnecessary financing commitments and fund allocations, it is important to undertake a detailed needs assessment of all planned components. The project cost was 31% lower than estimated because of lower bid prices received under the international competitive bidding, the transfer of part of the project scope to another tranche project, and non-implementation of some project activities. ADB financing was 22% lower than its $50 million loan commitment.

Project Number: 47101-002
Project Name: Assam Power Sector Investment Program - Tranche 1
Report Date:
Lesson
Key government policy changes need to be monitored for possible impacts on projects and project updates undertaken as necessary. Tranche 3 faced major resettlement challenges and experienced delays of up to 2.5 years beyond the initially approved loan closing date. This was because local authorities encountered difficulties in completing site clearance and subsequent compensation payments. Until the preparation of ADB’s project completion report, compensation payments have remained pending on (i) 3 subprojects because of

Project Number: 42039-033, 42039-036
Project Name: Power Transmission Investment Program
Report Date:
Lesson
Overestimated project costs lead to unutilized loan amounts and wastage of commitment fees. At appraisal, the investment program was estimated to cost $920.0 million, comprising ADB loans of $730.0 million (79.4%) and government contributions of $190.0 million (20.6%). At completion, the program cost totaled $669.3 million, of which ADB provided $253.8 million (37.9%).

Project Number: 42039-033, 42039-036
Project Name: Power Transmission Investment Program
Report Date:
Lesson
The use of a proven technology attractive to project participants can help ensure the attainment of development results. This project included two poorly prepared components—credit and technology transfer—one was not implemented at all and the other only achieved a portion of its targeted outputs. Having a tried and promising technology to promote is an important step toward project success.

Project Number: 45406-001
Project Name: Low Carbon Agricultural Support Project
Report Date: