Maldives: Preparing Outer Islands for Sustainable Energy Development

Project Name Preparing Outer Islands for Sustainable Energy Development
Project Number 46122-001
Country / Economy Maldives
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 8268-MLD: Preparing Outer Islands for Sustainable Energy Development
Technical Assistance Special Fund US$ 400,000.00
Strategic Climate Fund US$ 700,000.00
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Private sector development
Sector / Subsector

Energy / Conventional energy generation - Energy efficiency and conservation

Gender Effective gender mainstreaming
Description ADB and the Government of Maldives are working together to transform the existing energy grids on the archipelago into a hybrid renewable energy system. The Preparing Outer Islands for Sustainable Energy Development Project is installing energy management and control systems; energy storage; and improvements in distribution networks, in order to significantly reduce the need for diesel to generate electricity. The work includes installing equipment for solar diesel hybrid grids on about 160 islands. The project will replace inefficient diesel-based power generation grids on the islands with hybrid systems of both renewable energy and diesel in order to reduce the cost of electricity and the emissions created, as well as lower the subsidy burden on the government budget.
Project Rationale and Linkage to Country/Regional Strategy The Maldives is the only country in South Asia to achieve 100% access to electricity. This includes the half of the population who live on outer islands. Given the geographic spread of the archipelago, each island is electrified with its own diesel-powered grid system, resulting in expensive and not very reliable electricity supply. Diesel power is also costly and requires government subsidies in excess of $40 million a year. The 100% diesel dependence of the Maldives makes it reliant on oil imports and also makes its carbon emissions per unit of electricity among the highest in the region. The Maldives has the potential for significant renewable energy resources, including solar energy and some areas appropriate for wind power. Studies show that the cost of energy generation from a hybrid system of renewable energy and fossil fuels would be significantly lower than the existing options. The transition to renewable energy has a sound economic rationale. It improves the financial situation of the government while at the same time lowering costs for consumers.
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
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation The TA was completed in 31 December 2014. The final report was submitted and is being finalized. The ensuing grant was approved 29 September 2014 and was declared effective on 19 Jnauary 2015.
Responsible ADB Officer Cabral Wijayatunga, Priyantha
Responsible ADB Department South Asia Department
Responsible ADB Division Energy Division, SARD
Executing Agencies
Ministry of Environment (formerly Ministry of Environment and Energy; Ministry of Housing and Environment)
Green Building, Handhuvaree Hingun,
Maafanu, Male', 20392, Republic of
Maldives
Timetable
Concept Clearance -
Fact Finding -
MRM -
Approval 10 Dec 2012
Last Review Mission -
Last PDS Update 19 Mar 2015

TA 8268-MLD

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Dec 2012 11 Jan 2013 11 Jan 2013 31 Mar 2014 31 Jul 2015 31 Jan 2016
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
400,000.00 700,000.00 0.00 0.00 0.00 0.00 1,100,000.00 17 Jun 2022 1,056,502.54

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Source URL: https://www.adb.org/projects/46122-001/main