Regional: Ensuring Sustainability of Greater Mekong Subregion Regional Power Development

Sovereign Project | 43293-012

Summary

To satisfy the rapid power demand growth in the GMS the Master Plan is expected to include a number of power generation and transmission projects which become operational between 2010 and 2025. Even if the GMS has a history of a decade long energy cooperation the SEA of energy developments is a relatively new concept and SEA is particularly addressed in the ongoing planning process. To fill this gap additional work on SEA of the GMS Master Plan is needed in order to make it complete and to impact on its implementation. The new RETA will integrate in the process of the GMS Power Master Plan i) a strategic environmental assessment (SEA) to address environmental, climate change, and social externalities; ii) energy security and energy efficiency measures to deal with supply diversification (fuel type and origin of supply) as well as to factor in risks associated with price volatility of fossil fuels; iii) economic pricing of indigenous fossil fuels to address market pricing distortions.

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Project Name Ensuring Sustainability of Greater Mekong Subregion Regional Power Development
Project Number 43293-012
Country Regional
Project Status Approved
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 7764-REG: Ensuring Sustainability of Greater Mekong Sub region Regional Power Development
Agence Francaise de Developpement US$ 1.35 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Regional integration
Drivers of Change Governance and capacity development
Partnerships
Sector / Subsector Energy - Electricity transmission and distribution - Energy efficiency and conservation
Gender Equity and Mainstreaming Some gender elements
Description To satisfy the rapid power demand growth in the GMS the Master Plan is expected to include a number of power generation and transmission projects which become operational between 2010 and 2025. Even if the GMS has a history of a decade long energy cooperation the SEA of energy developments is a relatively new concept and SEA is particularly addressed in the ongoing planning process. To fill this gap additional work on SEA of the GMS Master Plan is needed in order to make it complete and to impact on its implementation. The new RETA will integrate in the process of the GMS Power Master Plan i) a strategic environmental assessment (SEA) to address environmental, climate change, and social externalities; ii) energy security and energy efficiency measures to deal with supply diversification (fuel type and origin of supply) as well as to factor in risks associated with price volatility of fossil fuels; iii) economic pricing of indigenous fossil fuels to address market pricing distortions.
Project Rationale and Linkage to Country/Regional Strategy The TA connects with two of the four main pillars of the GMS Regional Cooperation Strategy which are the following: i) strengthen connectivity and facilitating cross-border movement and tourism and ii) manage the environment and shared natural resources to help ensure sustainable development and conservation of natural resources. The activities are linked with the ADB cooperation with the Mekong River Commission (MRC) and its ongoing work on the MRC Initiative on Sustainable Hydropower (ISH), including the preparation of a Strategic Environment Assessment (SEA) of proposals for mainstream dams in the Lower Mekong Basin in the 2009 - 2010 timeframe. There is also a link with the MRC's Environmental Programme and the MRC's Climate Change and Adaptation Initiative.
Impact
Project Outcome
Description of Outcome
Progress Toward Outcome
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues) The consultants submitted to ADB the draft manuscripts for the 3 knowledge products (KPs) on Feb 2014: (i) Integrating Strategic Environmental Assessment (SEA) into power planning in the GMS; (ii) Applying sustainability analysis for power development planning in the GMS Selecting security indicators; and (iii) Comparing alternative energy scenarios for power planning in the GMS - How SEA impacts on the selection of power plan. These were then edited and refined further by an economic editor based on comments received from peer review and from the GMS countries. The revised manuscripts are now in the final stages of the publication process, i.e., securing clearances for the revised print-ready copy from the concerned departments and units within ADB. The publications are expected to be released in 2015.
Geographical Location Regional
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design .
During Project Implementation TA physically completed on 30 November 2014 and financially closed on 4 March 2015.
Business Opportunities
Consulting Services

Consulting Firm

30 person-months international

34 person-months national

QCBS

80:20

Responsible ADB Officer Hyunjung Lee
Responsible ADB Department Southeast Asia Department
Responsible ADB Division Energy Division, SERD
Executing Agencies
Asian Development Bank6 ADB Avenue, Mandaluyong
Metro Manila, Philippines
P.O. Box 789, 1099 Manila,
Philippines
Timetable
Concept Clearance 24 Jul 2010
Fact Finding 12 Oct 2010 to 15 Oct 2010
MRM -
Approval 12 Nov 2010
Last Review Mission -
PDS Creation Date 15 Sep 2010
Last PDS Update 19 Mar 2015

TA 7764-REG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
12 Nov 2010 - 12 Nov 2010 30 Sep 2012 30 Nov 2014 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
0.00 1,350,000.00 0.00 0.00 0.00 0.00 1,350,000.00 12 Nov 2010 1,204,667.70

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