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Lesson
Tariff reform in the water sector is difficult due to cultural and political sensitivities. As such, a strategic approach to tariffs and cost recovery is needed. It may include a clear timeline to increase tariffs, and address the unwillingness to charge for water and sanitation services. A clear approach to the broader sustainability of the project needs to be set out in project proposals.

Project Number: 30303-013
Project Name: Karnataka Urban Development and Coastal Environmental Management Project
Report Date:
Lesson
Future projects need to develop clear rules and obligations for efficient water sharing. ADB loan covenants need to ensure that city governments, with assistance from state and national governments, resolve cost-sharing arrangements before the project is closed and assets are transferred.

Project Number: 30303-013
Project Name: Karnataka Urban Development and Coastal Environmental Management Project
Report Date:
Lesson
RPL is a strong company with extensive resources, enabling it to quickly identify appropriate technology, supervise quality construction, and be a good corporate partner within the communities it serves. To meet the requirements of CERC’s tariff regulations, RPL needed to develop and construct a project in a short period of time that would withstand the local climate conditions. The project’s performance above expectations is due to RPL’s decisions about technology, design, and construction quality.

Project Number: 45915-014
Project Name: Dahanu Solar Power Project
Report Date:
Lesson
ADB’s long-term focus on energy sector development in India has supported all aspects of the improving energy situation in the country. Work done by ADB has contributed to policy changes, new infrastructure, and increased private sector participation in the delivery of electricity to end-users. Established knowledge of the local situation, and particular focus on renewable energy enabled ADB to respond quickly to the policy changes supporting solar power and provide timely support to an important client to deliver the first utility-scale solar PV plant in India.

Project Number: 45915-014
Project Name: Dahanu Solar Power Project
Report Date:
Lesson
The DSPP entity undertook non-operational decisions relating to the company name and accounting practices without gaining the required approvals from the lenders before implementing the decisions. While these matters have been satisfactorily explained subsequently, they raise concerns for lenders seeking to confirm that the project entity is being managed in accordance with the requirements of the loan documents; significant time is expended to work through these issues as they are discovered.

Project Number: 45915-014
Project Name: Dahanu Solar Power Project
Report Date:
Lesson
The hedging policy approved at appraisal did not reflect the foreign exchange hedging instruments available in the local market. When exchange rates deteriorated, the hedging policy and the required sponsor support needed to be renegotiated. It is fairly usual to have rolling foreign exchange hedging requirements, rather than the life-of-loan program that was originally documented, and better investigation of the likely options that would be available to the project could have reduced the work required to adapt to the situation as it arose.

Project Number: 45915-014
Project Name: Dahanu Solar Power Project
Report Date:
Lesson
Projects aimed at achieving ecological and biodiversity gains, in this case for migratory birds and wetland species, face significant monitoring challenges that should not be underestimated. Careful consideration of these challenges is required at the design phase of the project in terms of resources, training and technology.

Project Number: 35289-013
Project Name: Sanjiang Plain Wetlands Protection Project
Report Date:
Lesson
The survey and focus group discussions with affected people during this evaluation, which yielded high satisfaction rates in response to the project, clearly demonstrated that the project’s pioneering and successful provision of alternative livelihoods through noncash compensation or in-kind support can work in wetland restoration projects.

Project Number: 35289-013
Project Name: Sanjiang Plain Wetlands Protection Project
Report Date:
Lesson
Strong leadership and ownership, as evidenced through the commitment of the provincial and county governments along with backing from the central government, undoubtedly contributed to the project’s overall success.

Project Number: 35289-013
Project Name: Sanjiang Plain Wetlands Protection Project
Report Date:
Lesson
The assessment of process efficiency highlighted the need for clear communication, understanding and training on administrative and financing arrangements during the design of cofinanced projects, particularly for complex natural resource management projects such as this, to avoid subsequent delays in implementation.

Project Number: 35289-013
Project Name: Sanjiang Plain Wetlands Protection Project
Report Date:
Lesson
The project was the first tranche of the first MFF investment program developed in the PRC.17 Based on the experience from this project, the MFF modality should be suitable for future projects in the PRC where there are discrete components. The MFF enabled sequential construction and financing requirements that were funded by separate tranches, thus limiting unnecessary duplication of administrative effort and approvals.

Project Number: 39652-023
Project Name: Gansu Heihe Rural Hydropower Development Investment Program— Erlongshan Hydropower Project
Report Date:
Lesson
The project demonstrated the importance of retaining qualified and competent consultants at the project preparation stage. Knowledge of the project design and implementation that was transferred from ADB to the government was highly valued, and officials expressed the view that this was more important than the loan financing.

Project Number: 39652-023
Project Name: Gansu Heihe Rural Hydropower Development Investment Program— Erlongshan Hydropower Project
Report Date:
Lesson
Continuity of officials and staff at the executing agency, implementing agency, and ADB, who were involved in the development, implementation, and operation of the project, was maintained throughout the project. This continuity, together with stability in personnel capacity, was an important factor in the success of the project. While this lesson may be self-evident, it is not easily achieved and is often overlooked.

Project Number: 39652-023
Project Name: Gansu Heihe Rural Hydropower Development Investment Program— Erlongshan Hydropower Project
Report Date:
Lesson
The success of the Erlongshan Hydropower Project resulted from a combination of strong government ownership and the commitment of the Erlongshan Hydropower Company. These factors ensured that any actual or potential problems were quickly and effectively resolved.

Project Number: 39652-023
Project Name: Gansu Heihe Rural Hydropower Development Investment Program— Erlongshan Hydropower Project
Report Date:
Lesson
The timely availability of counterpart funding prevented cash flow problems from arising, which could have delayed project completion. Because counterpart government funding was timely, there were no delays and the project was completed early.

Project Number: 39652-023
Project Name: Gansu Heihe Rural Hydropower Development Investment Program— Erlongshan Hydropower Project
Report Date: