Tonga : Renewable Energy Project

Sovereign Project | 49450-012

Tonga Renewable Energy Project (TREP) has three components: (i) a large BESS capacity on Tongatapu to ensure that the intermittent electricity generated from solar photovoltaic and wind power to be funded by private independent power producers can be stored and used overnight without negatively affecting Tonga Power Limited's grids; (ii) electricity generation from the most feasible renewable resources in Tonga in Eua and Vava'u islands, and in five outer islands (O'ua, Tungua, Kotu, Mo'unga'one, and Niuafo'ou); and (iii) grid technologies and management upgrade to adapt to new electricity sources in five outer islands. The project also includes capacity building and project management support, with an emphasis on providing women with training and economic empowerment opportunities.

Project Details

Project Name Renewable Energy Project
Project Number 49450-012
Country / Economy Tonga
Project Status Active
Project Type / Modality of Assistance Grant
Source of Funding / Amount
Grant 0640-TON: Renewable Energy Project
Asian Development Fund US$ 12.20 million
Grant 0641-TON: Renewable Energy Project
Green Climate Fund US$ 29.90 million
Grant 0642-TON: Renewable Energy Project
Government of Australia US$ 2.50 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Knowledge solutions
Partnerships
Private sector development
Sector / Subsector

Energy / Electricity transmission and distribution - Renewable energy generation - solar

Gender Effective gender mainstreaming
Description Tonga Renewable Energy Project (TREP) has three components: (i) a large BESS capacity on Tongatapu to ensure that the intermittent electricity generated from solar photovoltaic and wind power to be funded by private independent power producers can be stored and used overnight without negatively affecting Tonga Power Limited's grids; (ii) electricity generation from the most feasible renewable resources in Tonga in Eua and Vava'u islands, and in five outer islands (O'ua, Tungua, Kotu, Mo'unga'one, and Niuafo'ou); and (iii) grid technologies and management upgrade to adapt to new electricity sources in five outer islands. The project also includes capacity building and project management support, with an emphasis on providing women with training and economic empowerment opportunities.
Project Rationale and Linkage to Country/Regional Strategy TREP will help Tonga rapidly move from its heavy dependence on imported fossil fuels for power generation (about 90%) to using clean and renewable energy resources that are low carbon and climate resilient. TREP will also provide technical solutions, such as a battery energy storage system, and capacity building for promoting more private sector investments in renewables, which will help Tonga meet its 50% renewable energy target by 2020 and 70% by 2030. TREP will also increase energy access of marginalized populations in the outer islands, where access is low and limited.
Impact

Reduced Tonga's dependency on imported fossil fuel for power generation

Project Outcome
Description of Outcome

Expanded access to clean, resilient and affordable energy for the population in Tonga at a lower cost

Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Battery Energy storage system (BESS) facilities on Tongatapu installed

Grid-connected renewable energy generation on 'Eua and Vava'u installed

Renewable-based hybrid systems and mini-grids on outer-Islands installed

Strengthening of capacity building installed

Status of Implementation Progress (Outputs, Activities, and Issues) Achieved - BESS on Tongatapu completed Nov 2021 and commissioned Oct 2022. Achieved - Eua and Vavau commissioned March 2023. Renovation works to TPL's Control Room in Eua is ongoing.Ongoing - a contract to construct renewable energy-based hybrid mini-grids on 4 Haapai outer islands and Niuafoou was awarded in Mar 2020 but delayed faced due to COVID-19 pandemic and finalization of contract variations which was completed in April 2023. Local sub-contractor mobilized to start site preparatory works in June 2023. Main contractor mobilizing to Niuafoou in September 2023. A contract to construct mini grids on 4 Vavau outer islands was awarded in July 2023 and the contractor will mobilize in December 2023. 2 contracts to modernize TPL's control centre are ongoing.Work by the PMU consultants and the Consultancy Services Contract firm continues. 2 consultants for the independent power producer transaction advisory services continue to work with TPL to achieve Tonga's 80% renewable energy target.
Geographical Location Nation-wide
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects Enviro- The IEE has been approved by the Department of Environment and has been revised to include additional scope. The CEMPs for each site have also been approved and complied with. The EA/IA are complying with the legal covenants and no actions are required to maintain compliance.
Involuntary Resettlement IR- The RP has also been approved and has been revised to include additional scope. The EA/IA are complying with legal covenants.
Indigenous Peoples IP- Not applicable.
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation The IA has been undertaking consultations with the communities before construction works commenced and these are ongoing until the project is complete. Several consultations have also been done for landowners and affected persons prior to construction works commencing.
Responsible ADB Officer King, Grace
Responsible ADB Department Pacific Department
Responsible ADB Division Pacific Subregional Office in Suva, Fiji (SPSO)
Executing Agencies
Ministry of Finance
Timetable
Concept Clearance 14 Dec 2019
Fact Finding 30 Jul 2018 to 03 Aug 2018
MRM 22 Jan 2019
Approval 11 Mar 2019
Last Review Mission -
Last PDS Update 17 Sep 2023

Grant 0640-TON

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
11 Mar 2019 13 Sep 2019 22 Nov 2019 30 Apr 2023 30 Apr 2024 -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 17.80 Cumulative Contract Awards
ADB 12.20 17 Sep 2023 11.72 0.00 96%
Counterpart 5.60 Cumulative Disbursements
Cofinancing 0.00 17 Sep 2023 7.91 0.00 65%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory Satisfactory Partly satisfactory Satisfactory Satisfactory

Grant 0641-TON

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
11 Mar 2019 13 Sep 2019 22 Nov 2019 30 Apr 2023 30 Apr 2024 -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 29.90 Cumulative Contract Awards
ADB 0.00 17 Sep 2023 0.00 28.86 97%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 29.90 17 Sep 2023 0.00 19.74 66%

Grant 0642-TON

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
11 Mar 2019 13 Sep 2019 22 Nov 2019 30 Apr 2023 30 Apr 2024 -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 5.50 Cumulative Contract Awards
ADB 0.00 17 Sep 2023 0.00 2.49 99%
Counterpart 3.00 Cumulative Disbursements
Cofinancing 2.50 17 Sep 2023 0.00 1.91 76%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory 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.

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
Renewable Energy Project: Procurement Plan Procurement Plans Feb 2023
Renewable Energy Project: Tonga Power Limited Audited Project Financial Statements (July 2021-June 2022) Audited Project Financial Statements Feb 2023
Renewable Energy Project: Ministry of Meteorology, Energy, Information, Disaster Management, Environment, Climate Change, and Communications Audited Project Financial Statements (July 2021-June 2022) Audited Project Financial Statements Dec 2022
Amendment to the Grant Agreements for Grant 0640, 0641, 0642-TON: Renewable Energy Project Grant Agreement Jul 2022
Renewable Energy Project: Tonga Power Limited Audited Project Financial Statements (July 2020-June 2021) Audited Project Financial Statements Jun 2022
Renewable Energy Project: Ministry of Meteorology, Energy, Information, Disaster Management, Environment, Climate Audited Project Financial Statements (July 2020-June 2021) Audited Project Financial Statements Dec 2021
Renewable Energy Project: Ministry of Meteorology, Energy, Information, Disaster Management, Environment, Climate Audited Project Financial Statements (July 2019-June 2020) Audited Project Financial Statements Apr 2021
Renewable Energy Project: Tonga Power Limited Audited Project Financial Statements (July 2019-June 2020) Audited Project Financial Statements Mar 2021
Project Agreement for Grants 0640-TON, 0641-TON, and 0642-TON: Renewable Energy Project Project/Program Agreements Sep 2019
Grant Agreement (Externally Financed - Green Climate Fund) for Grant 0641-TON: Renewable Energy Project Grant Agreement Sep 2019
Grant Agreement (Externally Financed - the Government of Australia) for Grant 0642-TON: Renewable Energy Project Grant Agreement Sep 2019
Grant Agreement (Special Operations) for Grant 0640-TON: Renewable Energy Project Grant Agreement Sep 2019
Renewable Energy Project: Investment Facility Report - Pacific Renewable Energy Investment Facility Investment Facility Report Mar 2019
Renewable Energy Project: Gender Action Plan Gender Action Plans Mar 2019
Renewable Energy Project: Project Administration Manual Project/Program Administration Manual Mar 2019
Renewable Energy Project: Gender Action Plan Gender Action Plans May 2018
Renewable Energy Project: Initial Poverty and Social Analysis Initial Poverty and Social Analysis Mar 2018

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
Renewable Energy Project: Environmental and Social Monitoring Report (January-June 2023) Environmental and Social Monitoring Reports Jul 2023
Renewable Energy Project: Environmental and Social Monitoring Report (July-December 2022) Environmental and Social Monitoring Reports Jan 2023
Renewable Energy Project: Environmental and Social Monitoring Report (January-June 2022) Environmental and Social Monitoring Reports Jul 2022
Renewable Energy Project: Environmental and Social Monitoring Report (July-December 2021) Environmental and Social Monitoring Reports May 2022
Renewable Energy Project: Outer Islands Initial Environmental Examination Initial Environmental Examination Sep 2021
Renewable Energy Project: Resettlement Plan Resettlement Plans Sep 2021
Renewable Energy Project: Environmental and Social Monitoring Report (January-June 2021) Environmental and Social Monitoring Reports Jul 2021
Renewable Energy Project: Environmental and Social Monitoring Report (July-December 2020) Environmental and Social Monitoring Reports Dec 2020
Renewable Energy Project: Environmental and Social Monitoring Report (January-June 2020) Environmental and Social Monitoring Reports Aug 2020
Renewable Energy Project: Tongatapu Initial Environmental Examination Initial Environmental Examination Jan 2019
Renewable Energy Project: Outer Islands Initial Environmental Examination Initial Environmental Examination Jan 2019
Renewable Energy Project: Resettlement Plan Resettlement Plans Jan 2019
Renewable Energy Project: Outer Islands Initial Environmental Examination Initial Environmental Examination Mar 2018
Renewable Energy Project: Resettlement Plan Resettlement Plans Mar 2018
Renewable Energy Project: Tongatapu Initial Environmental Examination Initial Environmental Examination Mar 2018

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.

Tenders

Tender Title Type Status Posting Date Deadline
G0640/G0641/G0642-TON Renewable Energy Project [TREP-12] - Rebidding Invitation for Bids Closed
G0640/G0641/G0642-TON Renewable Energy Project Invitation for Bids Closed
G0640/G0641/G0642-TON Renewable Energy Project (TREP-13) Invitation for Bids Closed
PMU O&M Specialist Individual - Consulting Closed
Project Management Unit (PMU) Manager Individual - Consulting Closed
Social Safeguards and Gender Officer Individual - Consulting Closed
O&M Contracts Expert Individual - Consulting Closed
Renewable Energy Control and Integration Expert Individual - Consulting Closed
Project Accountant Individual - Consulting Closed
IPP Transaction Advisory Services (Technical) Individual - Consulting Closed
IPP Transaction Advisory Services (Commercial) Individual - Consulting Closed
49450-TON: Tonga Renewable Energy Project [TREP-03] - CORRIGENDUM Invitation for Bids Closed
49450-TON: Tonga Renewable Energy Project [TREP-03] - ORIGINAL Invitation for Bids Closed
Loan No. 49450-TON: Renewable Energy Project [TREP-02] Invitation for Bids Closed
Construction Supervision and Capacity Building Consultant Firm - Consulting Closed
49450-012-TON: Tonga Renewable Energy Project [TREP-01] Invitation for Bids Closed

Contracts Awarded

Contract Title Approval Number Contract Date Contractor | Address Executing Agency Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
TREP-12 Renewable Energy based mini grids in Vava'u Outer Islands - Turnkey Grant 0641 18 Jul 2023 CBS Power Solutions (Fiji) Pte. Ltd. | Lot 17 Debea Lane, Valelevu, NASINU Ministry of Finance 2,927,394.01
TREP-12 Renewable Energy based mini grids in Vava'u Outer Islands - turnkey supply install and commission Grant 0640 18 Jul 2023 CBS Power Solutions (Fiji) Pte. Ltd. | Lot 17 Debea Lane, Valelevu, NASINU Ministry of Finance 1,339,944.20
O & M Specialist Grant 0642 27 Apr 2022 MMDMM Engineering Limited | 7 Maple Crescent Ministry of Finance 107,761.83
PMU SAFEGUARDS AND GENDER SPECIALIST Grant 0642 16 Apr 2020 ESETELELITA FULIVAI | NUKU'ALOFA TONGA Ministry of Finance 119,882.37
IPP TRANSACTION ADVISORY SERVICES-COMMERCIAL Grant 0642 10 Feb 2020 AMANDA LONSDALE (THRU) MAGNITUDE GLOBAL | 2723 36TH PLACE NW WASHINGTON UNITED STATES DC UNITED STATES Ministry of Finance 257,725.44
ICS-CONTROL AND INTEGRATION EXPERT Grant 0642 19 Feb 2020 KEITH SCOLES | MARCHWIEL TIMARU NEW ZEALAND Ministry of Finance 113,154.94
IPP ADVISOR - TECHNICAL Grant 0642 29 Jan 2020 GAVIN STREET | 1ST FLR 263 KINGSGROVE ROAD KINGSGROVE NSW AUSTRALIA 1480 AUSTRALIA Ministry of Finance 257,635.20
PROJECT MANAGER - PMU Grant 0642 26 Jan 2020 SIMON ALAN MURRAY WILSON | RD 6 BIENHEIM NEW ZEALAND Ministry of Finance 375,834.56
PROJECT MANAGER - PMU Grant 0640 26 Jan 2020 SIMON ALAN MURRAY WILSON | 202 SHANDS RD RD 6 BIENHEIM NEW ZEALAND Ministry of Finance 123,945.44
TREP-02: 'THE VILLA' BATTERY ENERGY STORAGE SYSTEM Grant 0641 14 Nov 2019 AKUO ENERGY SAS | 140 AVENUE DES CHAMP ELYSEES PARIS FRANCE Ministry of Finance 10,570,550.82

Procurement Plan

Title Document Type Document Date
Renewable Energy Project: Procurement Plan Procurement Plans Feb 2023