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Lesson
The program provided the environment for private sector participation (PSP) in the sector, although this should only be seen as the start and not the conclusion. Further, independent power producers need to be contracted whenever possible, while carefully monitoring contingent liability risks. More PSP could be encouraged in water and wastewater operations,perhaps adopting franchise or concession arrangements, viability gap financing, or availability payments.

Project Number: 54151-001, 54151-003
Project Name: Palau Public Utilities Corporation Reform Program (Subprograms 1 and 2)
Report Date:
Lesson
When a project provides substantial climate mitigation and environmental benefits, a project economist with strong background and experience in environmental valuation method can undertake the project economic analysis at appraisal. Usually, energy efficiency improvement projects have very low pay back periods and high economic internal rate of return. ADB should investigate the ways in which it can formalize the use of carbon prices in energy efficiency project economic analysis.

Project Number: 47051-002
Project Name: Chemical Industry Energy Efficiency and Emission Reduction Project
Report Date:
Lesson
A holistic approach, including an exit strategy, helps improve the design of long-term support for the power sector. Therefore, the supervision of the investment program needs to closely track the capital works being implemented by the executing agencies using their own funds, and the assistance provided by other agencies, including complementary programs initiated by the government. Any gaps should be then filled by utilizing loan savings. ADB started supporting the Madhya Pradesh power sector over 20 years ago and the approved loans add up to $1,720 million.

Project Number: 43467-014, 43467-016
Project Name: Madhya Pradesh Energy Efficiency Improvement Investment Program (Tranche 2 and Multitranche Financing Facility)
Report Date:
Lesson
Discussion on investments in the Madhya Pradesh power sector can complement other programs of the Government of India and Government of Madhya Pradesh. Even after providing over $1.5 billion, it is unclear if the Madhya Pradesh Power Transmission Company Limited and the discoms would be able to meet future demand growth without ADB support.

Project Number: 47100-004
Project Name: Madhya Pradesh Power Transmission and Distribution System Improvement Project
Report Date:
Lesson
A close coordination mechanism among project agencies during the design phase can ensure the tracking of developments and continuous review. POWERGRID as the executing agency was responsible for the construction, installation, and commissioning of the transmission assets while the utilization of the project’s assets was the responsibility of National Load Dispatch Center. The asset’s utilization is dependent on external factors like phasing of generation capacities, system management, and demand from the consumers.

Project Number: 44426-016
Project Name: Green Energy Corridor and Grid Strengthening Project
Report Date:
Lesson
The final step of connecting to the grid could include arrangements for households to connect to the grid in project designs; otherwise, the project risks failure.

Project Number: 42361-013, 42361-014
Project Name: Medium-Voltage Sub-Transmission Expansion Sector Project and Additional Financing
Report Date:
Lesson
Building a robust power transmission grid that connects diverse sources of power generation to different regional load centers would not only reduce transmission losses but also benefit from the integration of higher amounts of low-carbon and intermittent energy resources like wind and solar, and storage batteries.

Project Number: 39630-013, 39630-034
Project Name: National Power Grid Development Investment Program (Tranche 3 and Multitranche Financing Facility)
Report Date:
Lesson
A better understanding of the institutional capacity and security risks in fragile and conflict-affected countries is essential to ensure project preparedness. Major changes in scope and implementation delays, including possible cancellations, are expected. Project processing can take more time as a result of unanticipated security concerns in post-conflict situations, frequent changes of government counterparts, and a lack of response from executing agencies. Building capacities and strengthening institutions is essential.

Project Number: 42094-032
Project Name: Energy Sector Development Investment Program—Tranche 2
Report Date:
Lesson
There are challenges in integrating intermittent renewable energy sources in the electricity system without affecting grid stability, e.g. while electricity storage and grid control technologies can help improve grid stability, due to technical constraints, diesel generation capacity is still required to balance the fluctuations of solar and wind energy sources.

Project Number: 44469-013
Project Name: Yap Renewable Energy Development Project
Report Date:
Lesson
Sustainability can only be achieved if distribution companies (DISCOs) can avoid running losses and transferring their debt upstream, which contributes to the so-called “circular debt” problem.

Project Number: 38456-033
Project Name: Power Distribution Enhancement Investment Program (Tranche 2)
Report Date:
Lesson
Consideration should be given to financing renewable energy, particularly wind, to lower the cost of electricity production and improve the Electric Power Company’s financial performance.

Project Number: 38183-013
Project Name: Power Sector Expansion Project
Report Date:
Lesson
Emphasis is needed on least-cost generation expansion and transmission planning to ensure optimum use of resources when assessing the risks and costs of implementation delays in power projects.

Project Number: 39630-023, 39630-033
Project Name: National Power Grid Development Investment Program (Tranches 1 and 2)
Report Date:
Lesson
A least-cost generation planning study is necessary to provide a sound plan for a schedule of investments in generation that optimizes efficiency of the country’s scarce resources.

Project Number: 46455-002
Project Name: Electricity Supply Security and Sustainability Project
Report Date:
Lesson
Better use of consulting services should be considered a primary concern during the preparation and review of bidding documents. Less than 15% of the budget for consulting services in the OCR loan was utilized. Input from additional experts would lower the possibility of rebidding, and project implementation would proceed according to schedule.

Project Number: 35242-013
Project Name: Gas Transmission and Development Project
Report Date:
Lesson
Ambitions of the National Highway Authority to undertake new projects demanding substantially more human and financial resources than its institutional capacity must be rationalized and tempered based on realistic expectations.

Project Number: 40075-023
Project Name: National Trade Corridor Highway Investment Program (Tranche 1)
Report Date: