Samoa: Preparing the Power Sector Expansion Program (formerly "Preparing the Power Sector Development Program" and "Supporting Energy Sector Reforms")

Sovereign Project | 38183-012

Summary

The proposed TA will (i) develop a comprehensive reform program, including a regulatory framework, that would enable private sector participation and enhance the efficiency in the sector; (ii) develop a program to reform the Electric Power Corporation's (EPC) internal business and management procedures to enhance governance and cost efficiency; and (iii) prepare an investment road map to diversify the country's energy resources, meet future load growth, and reduce the burden of diesel imports.

Successful implementation of this TA is envisaged to lead to efficient and reliable electricity services to end consumers and to an ensuing loan that would support the power system expansion program. The power system expansion program will help the country and EPC, and ultimately end consumers, to reduce exposure to global fuel prices by promoting indigenous and renewable energy resources.

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Project Name Preparing the Power Sector Expansion Program (formerly "Preparing the Power Sector Development Program" and "Supporting Energy Sector Reforms")
Project Number 38183-012
Country Samoa
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 4791-SAM: Preparing the Power Sector Expansion Program (formerly "Preparing the Power Sector Development Program" and "Supporting Energy Sector Reforms")
Technical Assistance Special Fund US$ 450,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Partnerships
Sector / Subsector Energy - Energy sector development and institutional reform
Gender Equity and Mainstreaming No gender elements
Description

The proposed TA will (i) develop a comprehensive reform program, including a regulatory framework, that would enable private sector participation and enhance the efficiency in the sector; (ii) develop a program to reform the Electric Power Corporation's (EPC) internal business and management procedures to enhance governance and cost efficiency; and (iii) prepare an investment road map to diversify the country's energy resources, meet future load growth, and reduce the burden of diesel imports.

Successful implementation of this TA is envisaged to lead to efficient and reliable electricity services to end consumers and to an ensuing loan that would support the power system expansion program. The power system expansion program will help the country and EPC, and ultimately end consumers, to reduce exposure to global fuel prices by promoting indigenous and renewable energy resources.

Project Rationale and Linkage to Country/Regional Strategy

Developing indigenous and renewable energy resources to reduce the economy s risk exposure to foreign exchange fluctuations and fuel price increases is a high development priority for the country and articulated in the Government s Statement of the Development of Samoa (SDS) 2005 2007. Imports of petroleum products account for 15% of Samoa s total import expenditure in FY2004/05.

EPC s Corporate Plan identifies diversification through the development of indigenous and renewable energy resources as a key priority to reduce current reliance on diesel as the primary source of energy. Fuel is by far the single largest expense item, representing 74% of total generation costs and 51% of EPC s overall costs. This leaves EPC, and ultimately electricity consumers, highly exposed to changes in world market oil prices and foreign exchange rates.

Impact
Project Outcome
Description of Outcome
Progress Toward Outcome
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Independent State of Samoa
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services

A firm will be engaged to provide about 19.5 person-months of international and 6 person-months of domestic consulting services. The international team will consist of a regulatory expert (3 person-months), a corporate governance and institutional development expert (2 person-months), a financial management specialist (2 person-months), a power system planner (3 person-months), a hydropower engineer (3 person-months), a renewable energy specialist (1.5 person-months), and a resettlement specialist (1.5 person-months). The international team will be supported by domestic experts in engineering (2 person-months), environment (2 person-months), and resettlement (2 person-months). The TA will be implemented with intermittent consultancy services over an 8-month period, commencing in September 2006 with expected completion in May 2007.

A firm will be engaged by ADB in accordance with the Guidelines on the Use of Consultants by Asian Development Bank and Its Borrowers and other arrangements satisfactory to ADB for the engagement of domestic consultants. The firm will be recruited using quality- and cost-based selection procedures; simplified technical proposals will be requested.

Responsible ADB Officer ADB Disclosure
Responsible ADB Department Pacific Department
Responsible ADB Division Pacific Operations Division
Executing Agencies
Ministry of FinanceMs. Hinauri Petana, -hinauri@samoa.wsMinistry of Finance Government of Samoa Private Bag, Apia, Samoa
Timetable
Concept Clearance 03 Sep 2006
Fact Finding 06 Mar 2006 to 10 Mar 2006
MRM -
Approval 25 May 2006
Last Review Mission -
PDS Creation Date 19 Apr 2006
Last PDS Update 11 Jun 2008

TA 4791-SAM

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
25 May 2006 09 Jun 2006 09 Jun 2006 31 May 2007 31 Dec 2008 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
450,000.00 0.00 0.00 0.00 0.00 0.00 450,000.00 25 May 2006 718,573.07
Title Document Type Document Date
Preparing the Power Sector Expansion Program Consultants' Reports Nov 2006
Preparing the Power Sector Expansion Program Technical Assistance Reports May 2006

Safeguard Documents

See also: Safeguards

No documents found.

Evaluation Documents

See also: Independent Evaluation

No documents found.


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