Public Disclosure Authorized Public Disclosure Authorized The World Bank Implementation Status & Results Vietnam System Efficiency Improvement, Equitization & Renewables Project (P066396) Operation Name: System Efficiency Improvement, Equitization & Renewables Project Stage: Implementation Seq.No: 13 Status: APPROVED Last Modified : 15-Mar-2012 Project (P066396) Country: Vietnam Approval FY: 2002 Product Line: IBRD/IDA Region: EAST ASIA AND PACIFIC Lending Instrument: Specific Investment Loan Implementing Agency(ies): Ministry of Industry, Electricity of Vietnam, Central Power Corporation, Power Company No. 1, Power Company No. 2, Power Company Dong Nai, Hai Duong Power Company Key s Board Approval 25-Jun-2002 Original Closing 31-Dec-2007 Planned Mid Term Review Last Archived ISR 23-Apr-2011 Effectiveness 19-Feb-2003 Revised Closing 31-Dec-2012 Actual Mid Term Review Project Development Objectives System Efficiency Improvement, Equitization & Renewables Project (P066396) Project Development Objective (from Project Appraisal Document) No change to PDO following restructuring. Has the Project Development Objective been changed since Board Approval of the Program? Yes No losure Authorized Public Disclosure Authorized System Efficiency Improvement, Equitization & Renewables Project (GEF Renewable Component) (P073778) Global Environmental Objective (from Project Appraisal Document) Promote renewable energy by removing barriers and reducing implementation costs Has the Global Environmental Objective been changed since Board Approval of the Program? Yes No Page 1 of 9
Component(s) Component Name Component Cost UPGRADING 500 KV AND 220 KV TRANSMISSION SYSTEMS 149.63 DSM PHASE 2 BY EVN 6.00 UPGRADING THE 110KV SUBTRANSMISSION SYSTEMS FOR RURAL ELECTRIFICATION 54.06 PROGRAMS REHABILITATION OF EXISTING SMALL HYDRO PLANTS AND WIND-DIESEL POWER PLANT 9.20 FOR PHU QUOC ISLAND COMMUNITY-BASED HYBRID RENEWABLE ENERGY GRIDS 5.80 CREATION OF DISTRICT AND COMMUNE-LEVEL JOINT STOCK DISTRIBUTION COMPANIES 7.00 STRENGTHENING REGULATION, PLANNING AND IMPLEMENTATION CAPACITY FOR 3.50 RENEWABLE ENERGY PROJECTS EVN STAFF TRAINING PROGRAM 3.00 Technical assistance to EVN 3.90 Support to ERAV 3.39 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Progress towards achievement of GEO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Implementation Status Overview The project continues to make progress towards to meeting its development objectives. 136 out of the 152 investment subprojects to upgrade the transmission and distribution networks with the Bank's total financing of about $254 million have been completed and putinto operation. The remaining subprojects are making good on satisfactory progress. In addition, five small hydropower plants with aggregate capacity of 15 MW have been rehabilitated, the rural network of one rural district has been upgraded, and one million compact fluorescent lamps (CFL) have been sold under the project. The Technical Assistance (TA) program supporting preparation and implementation of the institutional and regulatory framework for electricity tariffs, the Vietnam Competitive Generation Market (VCGM), technical codes and for demand side efficiency improvements has demonstrated its effectiveness. Electricity Regulatory Authority of Vietnam (ERAV) has strengthened as an institution and delivered high quality regulations, codes, and market rules based on international good practice, and workshops and training programs have provided consensus and capacity building. The National Load Dispatch Center NLDC under Electricity of Vietnam (EVN) is building capacity and strengthening its organization to carry out its functions as the System and Market Operator. The project cumulative disbursement as December 31, 2011 was 98% of the original budget and 91% of revised budget (including AF). The remain budget has been been largely committed to on-going subprojects and expected to be disbursed by the project closing date. Locations Page 2 of 9
Country First Administrative Division Location Planned Actual Vietnam Tinh Nghe An Tinh Nghe An Vietnam Tinh Soc Trang Tinh Soc Trang Vietnam Tinh Tuyen Quang Tinh Tuyen Quang Vietnam Tinh Yen Bai Tinh Yen Bai Vietnam Tinh Lao Cai Tinh Lao Cai Vietnam Tinh Bac Lieu Vinh Loi Vietnam Tinh Tay Ninh Suoi Vang Vietnam Tinh Soc Trang Tuan Tuc Vietnam Tinh Thua Thien-Hue Tinh Thua Thien-Hue Vietnam Tinh Soc Trang Thuan Hung Vietnam Thanh pho Ho Chi Minh Thanh pho Ho Chi Minh Vietnam Tinh Thanh Hoa Tinh Thanh Hoa Vietnam Tinh Thai Binh Tinh Thai Binh Vietnam Not Entered Tan Dinh Vietnam Tinh Quang Nam Tam Ky Vietnam Tinh Son La Tinh Son La Vietnam Tinh Soc Trang Soc Trang Vietnam Tinh Quang Tri Tinh Quang Tri Vietnam Tinh Quang Ninh Tinh Quang Ninh Vietnam Tinh Ca Mau Nam Can Vietnam Tinh Soc Trang My Huong Vietnam Tinh Quang Ninh Mong Duong Vietnam Tinh Soc Trang Long Hung Vietnam Tinh Long An Tinh Long An Vietnam Tinh Lai Chau Tinh Lai Chau Page 3 of 9
Country First Administrative Division Location Planned Actual Vietnam Tinh Kien Giang Kien Luong Vietnam Tinh Khanh Hoa Tinh Khanh Hoa Vietnam Tinh Quang Ninh Ha Long Vietnam Tinh Quang Nam Hoi An Vietnam Tinh Ha Tinh Tinh Ha Tinh Vietnam Tinh Ha Giang Tinh Ha Giang Vietnam Thanh Pho Hai Phong Haiphong Vietnam Tinh Dong Nai Tinh Dong Nai Vietnam Tinh Da Nang Turan Vietnam Tinh Lam Dong Da Lat Vietnam Tinh Dac Lak Tinh Dac Lak Vietnam Tinh Quang Ninh Cua Ong Vietnam Tinh Son La Chieng Ngam Vietnam Tinh Binh Dinh Tinh Binh Dinh Vietnam Tinh Bac Lieu Bac Lieu Vietnam Tinh Ben Tre Thi Xa Ben Tre Vietnam Tinh Soc Trang My Tu Huyen Vietnam Tinh Soc Trang Huyen My Xuyen Vietnam Tinh Soc Trang Huyen Thanh Tri Vietnam Tinh Can Tho Huyen Chau Thanh Vietnam Tinh Can Tho Huyen O Mon Vietnam Tinh Can Tho Huyen Thot Not Vietnam Tinh Can Tho Huyen Phung Hiep Vietnam Tinh Can Tho Huyen Long My Vietnam Tinh Kien Giang Huyen Tan Hiep Page 4 of 9
Vietnam Tinh Kien Giang Huyen Hon Dat Vietnam Tinh Gia Lai Thi Xa Pleiku Vietnam Tinh Long An Huyen Can Giuoc Vietnam Tinh Long An Huyen Ben Luc Vietnam Tinh Long An Huyen Thu Thua Vietnam Tinh Quang Ninh Thi Xa Cam Pha Vietnam Thu Do Ha Noi Huyen Dong Anh Vietnam Tinh Lam Dong Thanh Pho Da Lat Vietnam Tinh Lam Dong Huyen Da Teh Vietnam Tinh Lam Dong Huyen Lac Duong Vietnam Tinh Bac Ninh Tinh Bac Ninh Vietnam Tinh Bac Giang Tinh Bac Giang Vietnam Tinh Da Nang Tinh Da Nang Vietnam Tinh Binh Duong Huyen Ben Cat Vietnam Tinh Binh Phuoc Huyen Binh Long Vietnam Tinh Binh Phuoc Huyen Phouc Long Vietnam Tinh An Giang Huyen Chau Phu Vietnam Tinh An Giang Huyen Tri Ton Vietnam Tinh An Giang Huyen Tinh Bien Vietnam Tinh Thai Nguyen Tinh Thai Nguyen Vietnam Tinh Quang Nam Huyen Dien Ban Vietnam Tinh Quang Nam Huyen Dai Loc Vietnam Tinh Dong Nai Huyen Tan Phu Vietnam Tinh Binh Thuan Thi Xa Phan Thiet Vietnam Tinh Binh Thuan Huyen Ham Thuan Nam Page 5 of 9
Vietnam Tinh Vinh Phuc Huyen Vinh Tuong Vietnam Tinh Phu Tho Tinh Phu Tho Vietnam Tinh Quang Ngai Huyen Tu Nghia Vietnam Tinh Quang Ngai Huyen Binh Son Vietnam Tinh Quang Ngai Huyen Nghia Hanh Vietnam Tinh Quang Ngai Huyen Mo Duc Vietnam Tinh Ha Nam Tinh Ha Nam Vietnam Tinh Thua Thien-Hue Huyen Phong Dien Vietnam Tinh Bac Lieu Tinh Bac Lieu Vietnam Tinh Ca Mau Huyen Tran Van Thoi Vietnam Tinh Ca Mau Huyen Cai Nuoc Vietnam Tinh Ca Mau Huyen Dam Doi Vietnam Tinh Vinh Phuc Tinh Vinh Phuc Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Improving overall system efficiency to reduce losses & remove bottlenecks; rehab. of distrib netwk in rural econ. growth ctrs.& reduce peak demand & electricity consmptn thru large-scale DSM activts. Text Value Number of transmission line faults (time/year/100km) for 500kV/ 220kV/ 110kV: Transmission/Distribution losses % 500 kv: 0.34/ 220 kv: 0.61/ 110 kv: 3.4 Lossess: 4.35/8.65 (%) 18-Jan-2002 EVN data for the whole system, per 100 circuit km: 500 kv: 0.324/ 220 kv: 0.584/ 110 kv: 3.254. Transmission/ Distribution losses (%) : 3.47/6.68 (%) 31-Dec-2010 The data as of the end of 2011 will be updated in the next supervision mission planed in July, 2012 Project is completed on time and thereafter well operated and maintained 500 kv: 0.321/ 220 kv: 0.578/ 110 kv: 3.221 Losses: 3.75/7.25 (%) 31-Dec-2012 Page 6 of 9
Improved capacity of ERAV and a sound tariff regulations and efficient framework for power generation market in place Text Value None 17 regulations, including key decisions on market design, sector structure and tariff reform have been issued and enforced. ERAV staff ability to access effectiveness and improve regulations and implementation procedures has been improved thought the received training, both official and hand-on training. 06-Dec-2007 31-Dec-2011 31-Dec-2012 ERAV staff is capable to effectively prepare and get stakeholder supports for new regulations and to enforce these regulations after issuance Global Environmental Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Reduction of greenhouse gas emissions through electricity production from renewable energy and energy efficiency Intermediate Results Indicators Text Value None Government implements expanded renewable energy program through further projects to support Phase 2 of REAP 18-Jan-2002 31-Dec-2011 The target has been achieved. GoV signed Renewable Energy Development Project in June 2009 Government approval of a large scale renewable energy program 31-Dec-2012 Indicator Name Core Unit of Measure Baseline Current End Target Length of transmission line (km)/installed capacity of substations (MVA) under the project for: 1) 500 kv 2) 220 kv 3) 110 kv Rural access: number of new households electrified from off grid or minigrid Text Value 1) 500 kv:0 2)220 kv:0 3)110 kv:0 1)500 kv: 0km/900MVA 2)220 kv: 490km/3313 MVA 3)110 kv: 975 km/2343 MVA 30-Jun-2003 31-Dec-2011 31-Dec-2012 Text Value 0 Provided electricity to 460 households and improved service to more than 1200 households 1) 500 kv:0/450 MVA 2)220 kv:470 km/3370 MVA 3)110 kv:910 km/1700 MVA 10,000 households Page 7 of 9
Increase in grid connected small hydro rehabilitated under the project Power Sector reform (continue) 1) Number of ERAV staff received training 2) Number of regulations effective 30-Jun-2003 31-Dec-2011 31-Dec-2012 Text Value 0 14.9 MW 15 MW 30-Jun-2003 31-Dec-2011 31-Dec-2012 This component has been finished. Text Value Not in place 1) 74 staff received formal training. 2) 17 tariff, market and technical codes regulations have been issued; 12 market and technical procedures have been issued 06-Dec-2007 31-Dec-2011 31-Dec-2012 1) 75 formal training received by ERAV staff; 2) A2. 16 tariff, market and technical codes regulations issued; at least 5 market procedures and 5 technical procedures effective Data on Financial Performance (as of 11-Mar-2012) Financial Agreement(s) Key s Project Loan No. Status Approval Signing Effectiveness Original Closing Revised Closing P066396 IDA-36800 Effective 25-Jun-2002 24-Oct-2002 19-Feb-2003 31-Dec-2012 P066396 IDA-47810 Effective 23-Jun-2010 13-Aug-2010 11-Dec-2010 31-Dec-2012 P073778 TF-51229 Closed 24-Oct-2002 24-Oct-2002 19-Feb-2003 31-Dec-2010 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P066396 IDA-36800 Effective USD 225.00 225.00 0.00 269.47 3.43 120.00 P066396 IDA-47810 Effective USD 26.51 26.51 0.00 3.21 24.09 12.00 P073778 TF-51229 Closed USD 4.50 4.09 0.41 4.09 0.00 100.00 Disbursement Graph Page 8 of 9
Key Decisions Regarding Implementation The next supervision mission is planned in July 2012. Restructuring History Level two Approved on 29-Jun-2005, RVP Approved on 13-Nov-2007, CD Approved on 21-May-2009, Level two Approved on 30-Dec-2009 Related Projects P073778-System Efficiency Improvement, Equitization & Renewables Project (GEF Renewable Component), P120540-SEIER Additional Financing Page 9 of 9