Vanuatu : Energy Access Project
The project will increase energy access and renewable energy generation in the two islands of Espiritu Santo and Malekula, being second and third largest population centers after Efate. The project will assist Vanuatu install hydropower generation to replace diesel generation in Malekula and will extend the distribution grid in both Malekula and Espiritu Santo. Project preparatory technical assistance was used in project preparation.
Project Details
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Project Officer
Elbling, Elmar
Pacific Department
Request for information -
Country/Economy
Vanuatu -
Sector
- Energy
Related Projects
Project Name | Energy Access Project | ||||||||||||||||
Project Number | 49450-008 | ||||||||||||||||
Country / Economy | Vanuatu |
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Project Status | Active | ||||||||||||||||
Project Type / Modality of Assistance | Grant Loan |
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Source of Funding / Amount |
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Strategic Agendas | Environmentally sustainable growth Inclusive economic growth Regional integration |
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Drivers of Change | Gender Equity and Mainstreaming Knowledge solutions Partnerships Private sector development |
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Sector / Subsector | Energy / Renewable energy generation - small hydro |
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Gender | Effective gender mainstreaming | ||||||||||||||||
Description | The project will increase energy access and renewable energy generation in the two islands of Espiritu Santo and Malekula, being second and third largest population centers after Efate. The project will assist Vanuatu install hydropower generation to replace diesel generation in Malekula and will extend the distribution grid in both Malekula and Espiritu Santo. Project preparatory technical assistance was used in project preparation. | ||||||||||||||||
Project Rationale and Linkage to Country/Regional Strategy | Access to electricity nationwide in Vanuatu is low (33%), however drops even further in rural areas. Low access to reliable, affordable electricity has negative impact on the livelihoods of households, particularly rural households. Where electricity is available in the provinces, it is largely diesel generated. Cost of electricity is high, however, quality of supply is high which is partially due to the electricity grids being operated by the private sector. High cost and limited access to electricity is having a negative impact on economic development, particularly in the provinces. Over-reliance on imported fossil fuels (diesel) also has a negative macro-economic impact. In order to address these issues, the Government of Vanuatu has requested ADB to support development of least-cost renewable energy (hydropower) and grid extensions in targeted provincial centers. In order to address the above barriers, the Project will construct the Brenwe Hydropower Plant which would displace an estimated 90% of the diesel generation in Malekula. The Project will increase the residential customer base in Espiritu Santo by 25% and in Malekula by 90%. Hydropower has been assessed to be the least-cost baseload generation option for Malekula. The project is integrated into government long term strategic planning. The project supports the government's Priority and Action Agenda (PAA) 2006-2015, which aims to (i) reduce the cost of services, (ii) extend the coverage of rural electrification, and (iii) promote the use of renewable energy. The project is aligned with the government's action document Planning Long, Acting Short, 2009-2012 which aims to (i) ensure that electricity is more widely available at a fair price, and (ii) encourage investment in renewable electricity. The project is included in the Vanuatu National Energy Road Map (NERM) 2014. |
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Impact | Livelihoods of households in Espiritu Santo and Malekula improved |
Project Outcome | |
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Description of Outcome | Supply of clean renewable electricity to households in Espiritu Santo and Malekula increased |
Progress Toward Outcome | After the commissioning of the Brenwe Hydropower Plant and transmission lines in Malekula, scheduled for Q3/2023, clean and renewable electricity will be supplied to households in Malekula. |
Implementation Progress | |
Description of Project Outputs | Brenwe Hydropower Plant put into operation by the government Distribution grid extended and additional households connected by the government Capacity building for project beneficiaries undertaken |
Status of Implementation Progress (Outputs, Activities, and Issues) | The contract for the Brenwe Hydropower Plant was awarded on 13 November 2019 and was signed on 21 January 2020. Due to COVID-19 travel restrictions, the Contractor could only mobilize on 24 March 2021. The completion of the hydropower plant and transmission lines in Malekula is scheduled for Q3/2023, and the completion of the transmission lines in Espiritu Santo is scheduled for Q4/2023. |
Geographical Location | Nation-wide, Brennwe |
Safeguard Categories | |
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Environment | B |
Involuntary Resettlement | B |
Indigenous Peoples | C |
Summary of Environmental and Social Aspects | |
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Environmental Aspects | An initial environmental examination was prepared. The main potential environmental impacts are related to the construction of the access road, the removal of vegetation within a modified habitat, the plant installation at the intake and powerhouse sites, and vegetation trimming along the transmission line corridor. Environmental management plans have been updated based on the detailed designs. |
Involuntary Resettlement | The project had land acquisition impacts for the Brenwe Hydropower Plant are not deemed significant. The transmission line extension at Espiritu Santo follows the existing road corridor without any resettlement impacts. No physical relocation or loss of major income sources is expected from the implementation of the project. |
Indigenous Peoples | Melanesian Ni-Vanuatu groups constitute the majority population in the project area, their institutions are not separate from mainstream society, and these groups are not vulnerable because of their ethnicity. |
Stakeholder Communication, Participation, and Consultation | |
During Project Design | The stakeholders are the Vanuatu government (MFEM, MOCC, MLNR, VPMU, MIPU, PWD, Provincial Councils, affected land owners, and other relevant agencies) and development partners. |
During Project Implementation | The stakeholders are the Vanuatu government (MFEM, MOCC, MLNR, VPMU, MIPU, PWD, Provincial Councils, affected land owners, and other relevant agencies), and development partners. |
Responsible ADB Officer | Elbling, Elmar |
Responsible ADB Department | Pacific Department |
Responsible ADB Division | Pacific Liaison and Coordination Office in Sydney, Australia |
Executing Agencies |
Ministry of Finance & Economic Management |
Timetable | |
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Concept Clearance | 18 Dec 2012 |
Fact Finding | 27 Jan 2015 to 30 Jan 2015 |
MRM | 05 Mar 2015 |
Approval | 26 Sep 2017 |
Last Review Mission | - |
Last PDS Update | 26 Apr 2023 |
Grant 0543-VAN
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
26 Sep 2017 | 11 Oct 2017 | 18 Dec 2017 | 31 Mar 2024 | - | 06 Apr 2022 |
Financing Plan | Grant Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 2.50 | Cumulative Contract Awards | |||
ADB | 2.50 | 15 May 2023 | 2.50 | 0.00 | 100% |
Counterpart | 0.00 | Cumulative Disbursements | |||
Cofinancing | 0.00 | 15 May 2023 | 2.50 | 0.00 | 100% |
Status of Covenants | ||||||
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Category | Sector | Safeguards | Social | Financial | Economic | Others |
Rating | - | Satisfactory | Satisfactory | Partly satisfactory | - | Satisfactory |
Grant 0544-VAN
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
26 Sep 2017 | 11 Oct 2017 | 18 Dec 2017 | 31 Mar 2024 | - | - |
Financing Plan | Grant Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 7.00 | Cumulative Contract Awards | |||
ADB | 0.00 | 15 May 2023 | 0.00 | 6.85 | 98% |
Counterpart | 0.00 | Cumulative Disbursements | |||
Cofinancing | 7.00 | 15 May 2023 | 0.00 | 6.56 | 94% |
Grant 0811-VAN
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
03 Dec 2021 | 07 Dec 2021 | 20 Dec 2021 | 31 Mar 2024 | - | - |
Financing Plan | Grant Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 9.10 | Cumulative Contract Awards | |||
ADB | 6.00 | 15 May 2023 | 5.18 | 0.00 | 86% |
Counterpart | 3.10 | Cumulative Disbursements | |||
Cofinancing | 0.00 | 15 May 2023 | 3.48 | 0.00 | 58% |
Status of Covenants | ||||||
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Category | Sector | Safeguards | Social | Financial | Economic | Others |
Rating | - | Satisfactory | Satisfactory | Satisfactory | - | Satisfactory |
Loan 3572-VAN
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
26 Sep 2017 | 11 Oct 2017 | 18 Dec 2017 | 31 Mar 2024 | - | 18 Oct 2022 |
Financing Plan | Loan Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 2.50 | Cumulative Contract Awards | |||
ADB | 2.50 | 15 May 2023 | 2.42 | 0.00 | 100% |
Counterpart | 0.00 | Cumulative Disbursements | |||
Cofinancing | 0.00 | 15 May 2023 | 2.42 | 0.00 | 100% |
Status of Covenants | ||||||
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Category | Sector | Safeguards | Social | Financial | Economic | Others |
Rating | - | Satisfactory | Satisfactory | Satisfactory | - | 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.
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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.
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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
None currently available.
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.
ADB, Vanuatu Sign Agreements to Boost Renewable Energy Access
ADB and the Government of Vanuatu today signed agreements for a $15.1 million project to increase renewable energy generation and energy access in the islands of Malekula and Espiritu Santo.
Tenders
Tender Title | Type | Status | Posting Date | Deadline |
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Senior Gender and Development Analyst | Individual - Consulting | Closed | ||
Gender and Development Specialist | Individual - Consulting | Closed | ||
Project Manager | Individual - Consulting | Closed | ||
Loan 3572, Grant 0543, 0544 VAN: Vanuatu Energy Access Project [VEAP - BHP 01/2019] | Invitation for Bids | Closed | ||
Loan 3572, Grant 0543, 0544 VAN: Vanuatu Energy Access Project [VEAP - T&D 02/2019] | Invitation for Bids | Closed | ||
Design and Supervision Consultants | Firm - Consulting | Closed | ||
Hydropower Civil Engineer | Individual - Consulting | Closed |
Contracts Awarded
Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
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Implementation design supervision consultant | Grant 0811 | 14 Jul 2022 | Stantec New Zealand | 2 Hazeldean Road Addington Christchurch | Ministry of Finance & Economic Management | 153,036.78 | — |
Project management support to the Vanuatu Project Management Unit | Grant 0544 | 04 Oct 2021 | Tony Alvos | Bladinier Estate Shefa Province Port Vila Vanuatu | Ministry of Finance & Economic Management | 109,400.00 | — |
BRENWE HYDROPOWER PLANT | Loan 3572 | 24 Jan 2020 | MAP/VORTEX JOINT VENTURE | 27/23 TUKORAKO DRIVE MOUNT MAUNGANUI NEW ZEALAND | Ministry of Finance & Economic Management | 5,857,515.97 | 2,000,000.00 |
BRENWE HYDROPOWER PLANT | Grant 0544 | 21 Jan 2020 | MAP/VORTEX JOINT VENTURE | 27/23 TUKORAKO DRIVE MOUNT MAUNANUI NEW ZEALAND | Ministry of Finance & Economic Management | 3,857,515.97 | — |
BRENWE HYDROPOWER PLANT | Grant 0544 | 12 Dec 2019 | MAP/VORTEX JOINT VENTURE | 27/23 TUKORAKO DRIVE MOUNT MAUNANUI NEW ZEALAND | Ministry of Finance & Economic Management | 3,420,787.97 | — |
DESIGN AND CONSTRUCTION SUPERVISION CONTRACT | Grant 0544 | 02 Jul 2018 | STANTEC NEW ZEALAND | 6 HAZELDEAN ROAD ADDINGTON CHRISTCHURCH 8024 NEW ZEALAND | Ministry of Finance & Economic Management | 1,379,845.00 | — |
Procurement Plan
Title | Document Type | Document Date |
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Energy Access Project: Procurement Plan | Procurement Plans | Mar 2020 |