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Lesson
Sponsors can identify qualified local maintenance providers. CPTL’s international maintenance provider departed with the majority shareholders and was successfully replaced with a local provider. If the project sponsors or project management teams are able to find suitably qualified local operation and maintenance solutions, costs to the project are likely to be lower and an important opportunity to create skilled jobs is created from the outset.

Project Number: 40914-018
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
Controls over project cash flows and bank accounts protect project interests. The loan structure included strict controls over the project bank accounts. Bank accounts specifically dedicated to the CPTL project needed to be opened and maintained both outside the host country (the offshore account) and within it (the onshore account). All amounts payable to the project are required to be paid into the offshore account and may only be withdrawn according to the payment priorities and amount limits specified in the loan document.

Project Number: 40914-017
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
More modern ways by which program management consultants and engineering supervision consultants to monitor and encourage contractor performance on the environmental dimensions of their work is helpful. Reference could be made, for example, to an excellent system of environmental quality monitoring of contractors, linked with small (but rising) withholdings from their monthly invoice payments until shortfalls are corrected. Consultants developed and applied the system for the Ministry of Public Works of Jordan some 4 years ago, which now has a record of proven success.

Project Number: 30240-013
Project Name: Greater Mekong Subregion: Cambodia Road Improvement Project
Report Date:
Lesson
Additional resident mission resources could aid in due diligence. Whether this dispute and its potential to disrupt the business could have been prevented through a change in due diligence procedures requires consideration, although the causes of the dispute itself are not clear. All existing due diligence requirements appear to have been completed, including checklists, and PSOD used an external consultant and included the resident mission in its due diligence process, even without a formal due diligence requirement to do so.

Project Number: 40914-016
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
For short periods these conditions are tolerable, but for a major outage such as that witnessed during the evaluation mission, these plans are inadequate. Losses to businesses due to outages included cancelled bookings at smaller hotels without backup generators, food spoilage due to no refrigeration, less customer traffic due to discomfort for patrons in the high temperatures, and inability to manage booking changes or take credit card payments due to inoperable electronic ticketing and payment systems.

Project Number: 40914-021
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
The CPTL project itself offers a meaningful demonstration effect. It was well constructed and delivered electricity on time and to agreed specifications, in turn allowing EDC to deliver electricity to its customers. Under the PPA, EGAT delivers electricity to EDC via CPTL as agreed. EDC meets its contractual payment obligations to EGAT and CPTL. EAC monitors tariffs and licensees, allowing project benefits to be passed on to the end-users in the form of lower tariffs.

Project Number: 40914-015
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
Emergency power plans are outdated. An accident resulted in a 4-day power outage for Siem Reap. In times of grid outages, Siem Reap is served by EDC’s 10.5 MW diesel-powered plant combined with individually owned generator sets that run on diesel and fuel oil. Those who depend on EDC for power suffer rolling brown-outs, but the many people and small businesses that are not connected to the EDC plant and have no individual backup generators face total blackout, i.e., these people have no power at all, and often, no water.

Project Number: 40914-020
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
Long-term sector engagement facilitated the enabling environment. ADB’s long-term focus on energy sector development has contributed to the improving electrification rates in Cambodia. Since 1992, ADB’s country strategy for Cambodia has always prioritized the energy sector (in coordination with other donors, especially the World Bank, and aligned with government interest). These efforts contributed to the 2001 Electricity Law that codified the sector's regulatory agencies. Confidence in the regulator is a key element of private sector participation in the sector.

Project Number: 40914-014
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
Guardrails might mitigate against transmission line accidents. The CPTL line runs along regional highways on government-owned rights of way and by necessity the poles are close to the road. During the evaluation mission there was a vehicle accident that required 10 poles to be replaced. Although nobody was hurt in the accident and the coordinated CPTL–EDC emergency response plan was very effective, Siem Reap was without grid power for 4 days. One possible mitigation of such a risk might be guardrails along the road.

Project Number: 40914-019
Project Name: (Cambodia) Power Transmission Lines Co., Ltd., Power Transmission Project
Report Date:
Lesson
The devolution of project administration responsibilities to the resident mission during the project helped facilitate close working relationships between ADB staff and key officials. The experience Electricite? du Cambodge (EDC) gained in this project and the relationships that have developed between the resident mission and counterparts should greatly benefit any future project.

Project Number: 34390-013
Project Name: Greater Mekong Subregion Transmission Project
Report Date:
Lesson
There were implementation delays in the initial period, especially in achieving loan effectiveness, recruiting implementation consultants, and awarding civil works contracts. These delays occurred even though advance procurement action had been approved. The formation of a new government following loan approval was a major factor in this respect, as was the time taken for a new executing agency to climb the learning curve on use of ADB procurement procedures.

Project Number: 34390-013
Project Name: Greater Mekong Subregion Transmission Project
Report Date:
Lesson
The project found very few agroenterprises in the target districts. Toward the end of the project, the focus switched to providing agribusiness skills to the higher-performing farmer households that had already been trained in the new technologies. A number of examples emerged where these farmer households moved along the production chain and got involved in the production and/or sale of farm inputs to other farmers—e.g., chicks for chicken farming, fingerlings for fish farming, chicken feed, vaccines.

Project Number: 34380-013
Project Name: Agriculture Sector Development Program
Report Date:
Lesson
Although there clearly was a commitment to change in relation to most tranche conditions, there was back-tracking on the initial commitment to divest state-owned enterprises. However, after considerable reflection and reconsideration of options over the program period, all state-owned enterprises were successfully divested, and the benefits of this - significantly better operations and financial performance of the ongoing enterprises, and cost savings for those wound up - are increasingly appreciated.

Project Number: 34380-013
Project Name: Agriculture Sector Development Program
Report Date:
Lesson
The project targeted a large number of districts (18) in four different provinces. The geographical spread meant that a decentralized training model was essential. Project staff deployed in the provinces and districts needed to be skilled to a level commensurate with the requirements of the project - i.e., agricultural commercialization and diversification. MAFF provided this training and skills development centrally but enabled provincial and district extension staff to provide training and back-up support to the farmer households.

Project Number: 34380-013
Project Name: Agriculture Sector Development Program
Report Date:
Lesson
It was not until the establishment of working groups for each of the tranche conditions in late 2005, under the initiative of the program support unit (PSU), that ownership of the process became more localized. There were delays in the development of work plans and budgets, and the consequent disbursement of funds to the working groups caused a delay in meeting tranche conditions. However, resolving difficulties and obstacles was made easier by empowering the working groups to come up with their own ideas and solutions through internal processes.

Project Number: 34380-013
Project Name: Agriculture Sector Development Program
Report Date: