The facility will finance the grant to Nauru for the Solar Power Development Project. The project will finance (i) a grid-connected solar power plant with a capacity of 6 megawatts (MW) of alternating current; and (ii) a 2.5-megawatt-hour (MWh), 5 MW battery energy storage system (BESS) to enable smoothing of intermittent solar energy. The system will be fully automated and integrated with the existing diesel generation system (17.9 MW of installed capacity, currently operated manually) to optimize solar energy use, enable optimal BESS charging and discharging, and allow optimal shut-off of the diesel engines. This will reduce Nauru's reliance on diesel for power generation and decrease production costs. The project will also support the institutional strengthening of Nauru Utilities Corporation (NUC).
| Project Name | Solar Power Development Project | ||||
| Project Number | 49450-009 | ||||
| Country | Nauru |
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| Project Status | Approved | ||||
| Project Type / Modality of Assistance | Grant |
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| Source of Funding / Amount |
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| Strategic Agendas | Environmentally sustainable growth Inclusive economic growth |
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| Drivers of Change | Gender Equity and Mainstreaming Governance and capacity development Knowledge solutions |
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| Sector / Subsector | Energy / Renewable energy generation - solar |
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| Gender Equity and Mainstreaming | Effective gender mainstreaming | ||||
| Description | The facility will finance the grant to Nauru for the Solar Power Development Project. The project will finance (i) a grid-connected solar power plant with a capacity of 6 megawatts (MW) of alternating current; and (ii) a 2.5-megawatt-hour (MWh), 5 MW battery energy storage system (BESS) to enable smoothing of intermittent solar energy. The system will be fully automated and integrated with the existing diesel generation system (17.9 MW of installed capacity, currently operated manually) to optimize solar energy use, enable optimal BESS charging and discharging, and allow optimal shut-off of the diesel engines. This will reduce Nauru's reliance on diesel for power generation and decrease production costs. The project will also support the institutional strengthening of Nauru Utilities Corporation (NUC). Project preparatory technical assistance (TA) was used to carry out project-enabling activities such as a Solar Power Expansion Plan for Nauru, project feasibility study, detailed design, and plant procurement contract bidding documents. | ||||
| Project Rationale and Linkage to Country/Regional Strategy | The project supports the operational priorities of ADB's Strategy 2030 by (i) tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability; (ii) accelerating progress in gender equality; and (iii) strengthening governance and institutional capacity. The project is also aligned with ADB's Strategy 2030 because it supports a country that is both a small island developing state and in a fragile and conflict-affected situation. Also, the project will directly support the target of 50% renewable energy for Nauru under the Nauru Energy Road Map 2018-2020, and assist the country in achieving its nationally determined contributions under the United Nations Framework Convention on Climate Change. The project is included in ADB's country operations business plan for 11 small Pacific island countries, 2019-2021. | ||||
| Impact | A reliable, affordable, secure, and sustainable energy supply to meet the socio-economic development needs of Nauru The project is aligned with 50% of grid electricity supplied from renewable energy sources (Nauru Energy Road Map 2018-2020) Viable power-generating capacity including alternative (renewable) energy sources (Long-term Milestone 2025, National Sustainable Development Strategy 2005-2025) |
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| Project Outcome | |
|---|---|
| Description of Outcome | The use of renewable energy within the grid will have increased and the cost of electricity generation will have decreased. |
| Progress Toward Outcome | |
| Implementation Progress | |
| Description of Project Outputs | Solar power plant installed Battery storage system installed Institutional capacity of NUC strengthened |
| Status of Implementation Progress (Outputs, Activities, and Issues) | |
| Geographical Location | Nation-wide |
| Safeguard Categories | |
|---|---|
| Environment | B |
| Involuntary Resettlement | C |
| Indigenous Peoples | C |
| Summary of Environmental and Social Aspects | |
|---|---|
| Environmental Aspects | |
| Involuntary Resettlement | |
| Indigenous Peoples | |
| Stakeholder Communication, Participation, and Consultation | |
| During Project Design | |
| During Project Implementation | |
| Responsible ADB Officer | Cinderella Tiangco |
| Responsible ADB Department | Pacific Department |
| Responsible ADB Division | PAEN |
| Executing Agencies |
Department of Finance Yaren District, Republic of Nauru, Central Pacific Ministry of Commerce, Industry and Environment Government House, Yaren Nauru |
| Timetable | |
|---|---|
| Concept Clearance | 29 Nov 2017 |
| Fact Finding | 29 May 2019 to 05 Jun 2019 |
| MRM | 12 Aug 2019 |
| Approval | 18 Sep 2019 |
| Last Review Mission | - |
| Last PDS Update | 26 Sep 2019 |
Grant 0664-NAU
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 18 Sep 2019 | 27 Sep 2019 | - | 28 Feb 2024 | - | - |
| Financing Plan | Grant Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 26.98 | Cumulative Contract Awards | |||
| ADB | 22.00 | 18 Sep 2019 | 0.00 | 0.00 | 0% |
| Counterpart | 4.98 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 18 Sep 2019 | 0.00 | 0.00 | 0% |
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 |
|---|---|---|
| Solar Power Development Project: Project Administration Manual | Project/Program Administration Manual | Sep 2019 |
| Solar Power Development Project: Financing Facility Plan | Investment Facility Report | Sep 2019 |
| Solar Power Development Project: Gender Action Plan | Gender Action Plans | Sep 2019 |
| Grant Agreement (Special Operations) for Grant 0664-NAU: Solar Power Development Project | Grant Agreement | Sep 2019 |
| Project Agreement (Special Operations) for Grant 0664-NAU: Solar Power Development Project | Project/Program Agreements | Sep 2019 |
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 |
|---|---|---|
| Solar Power Development Project: Land Due Diligence Report | Safeguards Due Diligence Reports | Jul 2019 |
| Solar Power Development Project: Initial Environmental Examination | Initial Environmental Examination | Jul 2019 |
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.
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Tenders
| Tender Title | Type | Status | Posting Date | Deadline |
|---|---|---|---|---|
| 49450-NAU: Solar Power Development Project [NUC/SPDP1] | Invitation for Bids | Active | 12 Sep 2019 | 05 Dec 2019 |
| SPDP2-Project Implementation Consultants | Firm - Consulting | Active | 11 Sep 2019 | 15 Nov 2019 |
| 49450-NAU: Solar Power Development Project | Advance Notice | Active | 11 Sep 2019 | |
| 49450-NAU: Solar Power Development Project | Advance Notice | Active | 11 Sep 2019 |
Contracts Awarded
No contracts awarded for this project were found
Procurement Plan
None currently available.