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Nauru: Electricity Supply Security and Sustainability

Sovereign (Public) Project | 46455-002 Status: Closed
 
Project Name Electricity Supply Security and Sustainability
Project Number 46455-002
Country Nauru
Project Status Closed
Project Type / Modality of Assistance Grant
Technical Assistance
Source of Funding / Amount
Grant 0414-NAU: Electricity Supply Security and Sustainability Project
concessional ordinary capital resources lending / 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
Grant 0443-NAU: Electricity Supply Security and Sustainability - Additional Financing
Government of Australia US$ 4.74 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Partnerships
Private sector development
Sector / Subsector

Energy / Energy utility services

Gender Equity and Mainstreaming No gender elements
Description
Project Rationale and Linkage to Country/Regional Strategy
Impact Improved power service for NUC customers.
Project Outcome
Description of Outcome Increased reliability, lower cost, and greater sustainability of power generation in Nauru
Progress Toward Outcome The project has been successfully completed. The installation and commissioning of generators completed on 29 December 2017 and roof replacement works on 7 February 2017.
Implementation Progress
Description of Project Outputs

1. New diesel-fired generation put into service to supply reliable base-load power for NUC. Two units each of 2.6-3.0 MW of new diesel-fired generation and 11kV switchgear will be commissioned.

2. Repair and/or replacement of existing roof and structural reinforcements of NUC's powerhouse.

3. Efficient project management services.

Status of Implementation Progress (Outputs, Activities, and Issues) Installation and commissioning of both generators and switch gear have been completed as of 31 December 2017. The repairs to power house was completed in June 2017. Supervising consultants performance is satisfactory and assisted Nauru Utilities Corporation to complete installation and commissioning of the generators by end of 2017.
Geographical Location
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects The generators were installed within the construction footprint covered by the approved initial environmental examination (IEE) for the project prepared during project preparatory stage. The environmental impacts beyond those already identified in the IEE were minimal. As envisaged during the preliminary climate risk screening, the project risks remained low for climate change impacts.
Involuntary Resettlement The project scope did not involve any physical displacement or relocation of people. All activities were undertaken at the existing site of NUC's powerhouse and did not require additional land acquisition. No resettlement plan was 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 did not affect any distinct and vulnerable group of indigenous peoples, as they are defined by ADB's Safeguard Policy Statement. It did not require an indigenous peoples' plan. The project outputs were delivered in a culturally appropriate manner.
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation

ADB fielded joint missions during June 2015 in parallel with the inception of the project and also in October 2017 during implementation. The mid-term review was held in June 2016. 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 these missions. The project scope and implementation schedule were discussed in detail and aide memoire and memorandum of understandings (MOUs) were 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 commissioning and installation of the two generators was successfully completed by the end of 2017. Grant funds have been fully utilized and all payments to contractors completed by September 2018. Financial close will take place by the last quarter of 2018.

Business Opportunities
Consulting Services Effective project implementation support to the Project Management Unit (PMU) were provided by the design and supervision consultants (DSC) selected in accordance with ADB's Guidelines on the Use of Consultants (2013, as amended from time to time). The DSC prepared detailed engineering designs, and bidding documents funded by ADB and EU grants; conducted bidding; responded to clarification requests; prepared a bid evaluation report; assisted in negotiations; and supervised supply, construction and commissioning. The DSC was recruited through cost and quality based selection in June 2015.
Procurement

All procurement of goods and works were carried out in accordance with ADB's Procurement Guidelines (2013, as amended from time to time). The procurement of goods and works were 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) were included in all documents and contracts.

Procurement of goods, works and services will be conducted through contracts for: (i) 2 units of each 2.6-3.0MW medium-speed diesel generators, auxiliaries, civil works, installation and training; and (ii) rehabilitation of the powerhouse roof.

The contract for the 2 units of each 2.6-3.0MW medium-speed diesel generators 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 Indrawansa, P.P.G.P.P.
Responsible ADB Department Pacific Department
Responsible ADB Division Pacific Liaison and Coordination Office in Sydney, Australia
Executing Agencies
Department of Finance
Yaren District, Republic of Nauru,
Central Pacific
Timetable
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 28 Sep 2018

Grant 0414-NAU

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
07 Nov 2014 09 Feb 2015 16 Apr 2015 31 Dec 2016 30 Jun 2018 23 Oct 2018
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 2.00 0.00 100%
Counterpart 0.84 Cumulative Disbursements
Cofinancing 0.00 07 Nov 2014 2.00 0.00 100%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory - - - -

Grant 0424-NAU

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
07 Nov 2014 09 Feb 2015 16 Apr 2015 31 Dec 2016 30 Sep 2018 23 Oct 2018
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 2.14 79%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 2.70 07 Nov 2014 0.00 2.14 79%

Grant 0443-NAU

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
16 Oct 2015 06 Nov 2015 08 Jan 2016 30 Sep 2017 30 Jun 2018 23 Oct 2018
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 4.74 Cumulative Contract Awards
ADB 0.00 16 Oct 2015 0.00 4.85 97%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 4.74 16 Oct 2015 0.00 4.85 97%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory - - - -

TA 8754-NAU

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
07 Nov 2014 - 07 Nov 2014 31 Dec 2015 30 Jun 2017 -
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 221,224.88
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory - - - -

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

Title Document Type Document Date
Electricity Supply Security and Sustainability Project: Completion Report Project/Program Completion Reports Oct 2019
Electricity Supply Security and Sustainability: Audited Project Financial Statements (July 2017-June 2018) Audited Project Financial Statements Apr 2019
Electricity Supply Security and Sustainability Project: Audited Project Financial Statements (1 July 2016-30 June 2017) Audited Project Financial Statements Feb 2018
Electricity Supply Security and Sustainability Project: Audited Project Financial Statements (July 2015-June 2016) Audited Project Financial Statements Jan 2017
Nauru Electricity Supply Security and Sustainability Project: Procurement Plan Procurement Plans Mar 2016
Electricity Supply Security and Sustainability Project: Additional Financing Grant Change in Scope, Amount, and Implementation Arrangements Sep 2015
Electricity Supply Security and Sustainability: Summary Poverty Reduction and Social Strategy Summary Poverty Reduction and Social Strategies Jul 2015
Grant Agreement (Special Operations) for Electricity Supply Security and Sustainability Project Grant Agreement Feb 2015
Grant Agreement (Externally Financed) for Electricity Supply Security and Sustainability Project Grant Agreement Feb 2015
Project Agreement for Electricity Supply Security and Sustainability Project Project/Program Agreements Feb 2015
Electricity Supply Security and Sustainability Project: Report and Recommendation of the President Reports and Recommendations of the President Oct 2014
Electricity Supply Security and Sustainability Project: Project Administration Manual Project/Program Administration Manual Oct 2014

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.

Evaluation Documents See also: Independent Evaluation

Title Document Type Document Date
Nauru: Electricity Supply Security and Sustainability Project Validations of Project Completion Reports Jun 2020

Related Publications

None currently available.


The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.

Tenders

No tenders for this project were found.

Contracts Awarded

Contract Title Approval Number Contract Date Contractor Contractor Address Executing Agency Contract Description Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
Policy and Advisory Technical Assistance 8754 14 Oct 2015 DHInfrastructure, USA 25 Main Street, Suite 217, Northampton, MA 01060, USA Ministry of Finance 199,346.00