Nauru: Electricity Supply Security and Sustainability

Sovereign Project | 46455-002 Status: Approved


Latest Project Documents

Consulting Notices

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Procurement Notices

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Procurement Documents

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Project Name Electricity Supply Security and Sustainability
Project Number 46455-002
Country Nauru
Project Status Approved
Project Type / Modality of Assistance Grant
Technical Assistance
Source of Funding / Amount
Grant 0414-NAU: Electricity Supply Security and Sustainability Project
Asian Development Fund US$ 2.00 million
Grant 0424-NAU: Electricity Supply Security and Sustainability Project
Electricity Supply Sec. & Sustain.-NAU US$ 2.70 million
TA 8754-NAU: Tariff and Subsidy Policy Reform
Technical Assistance Special Fund US$ 225,000.00
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Private sector development
Sector / Subsector

Energy - Energy utility services

Gender Equity and Mainstreaming No gender elements
Project Rationale and Linkage to Country/Regional Strategy
Impact Improved livelihoods of Nauru households and businesses served by the NUC.
Project Outcome
Description of Outcome Increased reliability and lower cost of power generation in Nauru.
Progress Toward Outcome The project management unit (PMU) with the assistance of design and supervision consultants (DSC) is currently undertaking design activities to include appropritate functionalities to upgrade electricity generation for Nauru.
Implementation Progress
Description of Project Outputs

1. New diesel-fired generation put into service to supply reliable base-load power for NUC.

2. Improvements to existing powerhouse structure, specifically repair/replacement of the existing roof and structural reinforcements.

3. Efficient project management services.

Status of Implementation Progress (Outputs, Activities, and Issues)

By December 2016, 2.6-3.0 MW of new diesel-fired generation commissioned

By December 2016, repair and/or replacement of existing roof and structural reinforcements of NUC powerhouse

Design and Supervision Consultants commenced in May 2015 and currently designing, preparaing specifications and bid documents for bidding in October 2015

Selection of consultants for Tariff and Subsidy Policy Reform is underway expected to mobilise in October 2015.

Geographical Location
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects The generator will be installed within the construction footprint already covered by the approved initial environmental examination (IEE) for the project prepared during project preparatory stage. Any environmental impacts beyond those already identified in the IEE will be minimal. Based on the preliminary climate risk screening, the project is considered at low risk for climate change impacts.
Involuntary Resettlement The project scope is not expected to involve any physical displacement or relocation of people. All activities will be undertaken at the existing site of NUC's powerhouse and will not require additional land acquisition. No resettlement plan is required by ADB's Safeguard Policy Statement (2009).
Indigenous Peoples The majority of the people living in the project area are not considered to be distinct from mainstream society. The project scope is not expected to affect any distinct and vulnerable group of indigenous peoples, as they are defined by ADB's Safeguard Policy Statement. It does not require an indigenous peoples' plan. The project outputs will be delivered in a culturally appropriate manner.
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation

ADB fielded a joint mission during June 2015 in parallel with the inception of the project implementation. The government officials from the Ministry of Finance, representatives from the Nauru Electricity Corporation (NUC), Government of Australia and the design and supervision consultant participated at this mission. The project scope and implementation schedule were discussed in detail and a memorandum of understanding (MOU) was signed between ADB and NUC.

The Government of Australia pledged A$6.4 million additional financing, fully administered by ADB, for the project for supply and commissioning of similar rated second generator and 11kV switchgear to enhance generation capacity and the safety. The administration of additional cofinancing is currently being processed by ADB.

Business Opportunities
Consulting Services Effective project implementation support to the Project Management Unit (PMU) will be provided by the design and supervision consultants (DSC) to be selected in accordance with ADB's Guidelines on the Use of Consultants (2013, as amended from time to time). The DSC will prepare detailed engineering designs, and bidding documents for all lots to be funded by ADB and EU grants; conduct bidding; respond to clarification requests; prepara a bid evaluation report; assist in negotiations; and supervise supply, construction and commissioning. The DSC will be recruited through fixed-budget selection, and will have an 18-month contract duration.

All procurement of goods and works will be carried out in accordance with ADB's Procurement Guidelines (2013, as amended from time to time). Except as ADB may otherwise agree, procurement of goods and works will be conducted through international competitive bidding procedures using ADB's standard bidding documents. The relevant sections of ADB's Anti-Corruption Policy (1998, as amended to date) will be included in all documents and contracts.

Procurement of goods, works and services will be conducted through contracts for: (i) the 2.6-3.0MW medium-speed diesel generator, auxiliaries, civil works, installation and training; and (ii) rehabilitation of the powerhouse roof.

The contract for the 2.6-3.0MW medium-speed diesel generator will include final design and engineering, supply and installation of equipment, construction works and commissioning, and an operations and maintenance knowledge transfer program for at least 1 year after plant commissioning.

The contract for the rehabilitation of the powerhouse roof will cover removal of existing roofing material, minor roof structure repairs and minor building repairs.

Responsible ADB Officer Pivithuru Indrawansa
Responsible ADB Department Pacific Department
Responsible ADB Division Pacific Liaison and Coordination Office in Sydney, Australia
Executing Agencies
Ministry of Finance
Government Building
Concept Clearance 22 Nov 2013
Fact Finding 07 Jul 2014 to 12 Jul 2014
MRM 18 Aug 2014
Approval 07 Nov 2014
Last Review Mission -
Last PDS Update 21 Sep 2015

Grant 0414-NAU

Approval Signing Date Effectivity Date Closing
Original Revised Actual
07 Nov 2014 09 Feb 2015 16 Apr 2015 31 Dec 2016 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2.84 Cumulative Contract Awards
ADB 2.00 07 Nov 2014 0.15 0.00 7%
Counterpart 0.84 Cumulative Disbursements
Cofinancing 0.00 07 Nov 2014 0.04 0.00 2%

Grant 0424-NAU

Approval Signing Date Effectivity Date Closing
Original Revised Actual
07 Nov 2014 09 Feb 2015 16 Apr 2015 31 Dec 2016 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2.70 Cumulative Contract Awards
ADB 0.00 07 Nov 2014 0.00 0.20 7%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 2.70 07 Nov 2014 0.00 0.05 2%

TA 8754-NAU

Approval Signing Date Effectivity Date Closing
Original Revised Actual
07 Nov 2014 - 07 Nov 2014 31 Dec 2015 31 May 2016 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
225,000.00 0.00 0.00 0.00 0.00 0.00 225,000.00 07 Nov 2014 14,315.89

Safeguard Documents

See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Title Document Type Document Date
Electricity Supply Security and Sustainability Initial Environmental Examination Jul 2014

Evaluation Documents

See also: Independent Evaluation

None currently available.

Related Publications

None currently available.

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