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ADB Pacific Energy Update 2020

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ADB Pacific Energy Update 2020 PACIFIC ENERGY UPDATE 2020 Creative Commons Attribution 3.0 IGO license (CC BY 3.0 IGO) © 2021 Asian Development Bank 6 ADB Avenue, Mandaluyong City, 1550 Metro Manila, Philippines Tel +63 2 632 4444; Fax +63 2 636 2444 www.adb.org Some rights reserved. Published in 2021. Publication Stock No. ARM210008-2 The views expressed in this publication are those of the authors and do not necessarily reflect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent. ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. The mention of specific companies or products of manufacturers does not imply that they are endorsed or recommended by ADB in preference to others of a similar nature that are not mentioned. By making any designation of or reference to a particular territory or geographic area, or by using the term “country” in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area. This work is available under the Creative Commons Attribution 3.0 IGO license (CC BY 3.0 IGO) https://creativecommons.org/licenses/by/3.0/igo/. By using the content of this publication, you agree to be bound by the terms of this license. For attribution, translations, adaptations, and permissions, please read the provisions and terms of use at https://www.adb.org/terms-use#openaccess. This CC license does not apply to non-ADB copyright materials in this publication. If the material is attributed to another source, please contact the copyright owner or publisher of that source for permission to reproduce it. ADB cannot be held liable for any claims that arise as a result of your use of the material. Please contact [email protected] if you have questions or comments with respect to content, or if you wish to obtain copyright permission for your intended use that does not fall within these terms, or for permission to use the ADB logo. Corrigenda to ADB publications may be found at http://www.adb.org/publications/corrigenda. Notes: In this publication, “$” refers to United States dollars. Unless otherwise cited, the source for all tables and boxes is information provided by ADB’s Pacific Department to the author. On the cover: Mele Tuifua, born and raised on the island of Ha' apai, is part of an all-woman crew that refurbish powerlines to provide clean, cheap, and reliable solar energy to the people of Tonga (photo by ADB). CONTENTS Foreword iv Acknowledgments v ADB Energy Operations in the Pacific vi Abbreviations viii Overview 1 By the Numbers—ADB’s Support for the Energy Sector in the Pacific 2 Regional 8 Cook Islands 12 Federated States of Micronesia 15 Kiribati 17 Marshall Islands 20 Nauru 22 Palau 24 Papua New Guinea 28 Samoa 32 Solomon Islands 35 Tonga 37 Tuvalu 42 Vanuatu 43 TABLE, FIGURES, AND BOXES TABLE Country Data, 2019 1 FIGURES 1 Total Energy Sector Investments: Per Year during 2007–2019 2 2 Total Energy Sector Investment by the Financing Sources 2 3 Total Energy Sector Investment by Country 3 4 Total Energy Sector Grants and Investment by Category 3 5 Power Generation Capacity Added by ADB Projects during 2007–2019 4 6 Transmission and Distribution Lines Built or Upgraded during 2007–2019 4 7 Households Connected to Electricity for the First Time, by Country 5 8 Cumulative Greenhouse Gas Emission Reduction during 2007–2009 5 BOXES 1 Strategy 2030—In Support of Better Energy Systems and Achieving the Sustainable 6 Development Goals in the Pacific 2 Reforms and Capacity Building to Strengthen Long-Term Sector Sustainability 10 3 Poverty Reduction and New Job Opportunities for Women on the Outer Islands 13 4 “One ADB” Approach is Supporting Private Sector Renewables in Palau 25 5 Impacts of COVID-19 on Pacific Power Utilities: Charting the “New Normal” 26 6 Scaling-Up Private Investment in Energy Sectors across the Pacific 33 7 Renewable Energy Project: Accelerating Gender Equality and Private Sector Participation with Renewable Energy Investments 40 iv Welcome to the 2020 edition of the Pacific Energy Update of the Asian Development Bank (ADB). ADB’s Pacific Department partners with governments, communities, and the private sector to increase access to electricity generated by clean and renewable sources of power. Our support to the Pacific seeks to increase renewable energy generation capacity; improve energy access and efficiency; and strengthen the enabling environment for resilient, low-carbon economic growth. The Pacific Energy Update series provides an annual review of ADB’s technical assistance, grant, and lending activities in the region. It showcases the impacts and outcomes of ongoing and recently completed initiatives as of December 2020, and describes select projects slated for implementation in the years to come. The Pacific Energy Update 2020 marks an important milestone for ADB’s engagement in the Pacific energy sector, as the last energy update to review projects designed under the Pacific Approach, 2016–2020strategic framework. As ADB develops its new engagement strategy for the region (slated for approval in 2021), this year’s energy update reflects on the key impacts and outcomes of energy sector work to date. It also considers the important changes brought on by the coronavirus disease pandemic, and how ADB will support its Pacific developing member countries to respond to this pressing issue. As ADB continues to scale-up its energy sector operations in the region, we reflect back on decades of partnerships and hard work, and look forward to the progress ahead. Leah Gutierrez Director General Pacific Department v ACKNOWLEDGMENTS The preparation of the Pacific Energy Update 2020 was led by Eun Young So (Energy Specialist, Pacific Energy Division) with guidance from Olly Norojono (Director, Pacific Energy Division) and contributions from Pacific Department colleagues and one consultant, Roble P. Velasco-Rosenheim. Cecilia C. Caparas and Raymond De Vera oversaw the publication process, and Albert Julian coordinated inputs throughout. A special thanks to all contributors, including those quoted directly in the report. For more information, please contact the Energy Team, Pacific Department, Asian Development Bank Olly Norojono, Director Albert Julian, Administrative Assistant [email protected] [email protected] Rafayil Abbasov, Energy Specialist Woo Yul Lee, Senior Energy Specialist [email protected] [email protected] Cynthia Ambe, Operations Assistant Teresita Leono, Associate Project Officer [email protected] [email protected] Faith Joy Buentipo, Senior Operations Assistant Noelle O’Brien, Principal Climate Change Specialist [email protected] [email protected] Aivy Katherine Dizon, Project Analyst Fred Ramos, Project Officer (Energy) [email protected] [email protected] Elmar EIbling, Infrastructure Specialist Takeshi Shiihara, Senior Energy Specialist [email protected] [email protected] Jane Fantilanan, Associate Project Analyst Eun Young So, Energy Specialist [email protected] [email protected] Alexandra Sybille Galperin, Senior Disaster Risk Cinderella Tiangco, Principal Energy Specialist Management Specialist [email protected] [email protected] Hanna Uusimaa, Senior Climate Change Specialist Len George, Principal Energy Specialist [email protected] [email protected] Ranishka Wimalasena, Energy Specialist Pivithuru Indrawansa, Senior Project Officer (Infrastructure) [email protected] [email protected] ADB ENERGY OPERATIONS IN THE PACIFIC ACTIVE COMPLETED PROPOSED MAJURO POWER NETWORK STRENGTHENING PROJECT SOUTH TARAWA RENEWABLE ENERGY PROJECT Active—Total fi nancing: (. million) Active—Total fi nancing: . million SOLAR POWER DEVELOPMENT PROJECT ENERGY SECURITY PROJECT Active—Total fi nancing: . million SOUTH TARAWA WATER SUPPLY PROJECT Proposed—Total fi nancing: (. million) (. million and Active—Total fi nancing: . million . million proposed additional fi nancing) FEDERATED STATES OF MICRONESIA MARSHALL ISLANDS PALAU RENEWABLE ENERGY DEVELOPMENT PROJECT INCREASING ACCESS TO RENEWABLE ENERGY PROJECT Proposed—Total fi nancing: (. million) (. million and . million proposed additional fi nancing) Active—Total fi nancing: million NAURU KIRIBATI PAPUA NEW GUINEA TUVALU PALAU PUBLIC UTILITIES CORPORATION REFORM SOLOMON ISLANDS RENEWABLE ENERGY SECTOR PROJECT PROGRAM SUBPROGRAMS AND SAMOA Active—Total fi nancing: . million Active—Total fi nancing: . million DISASTER RESILIENT CLEAN ENERGY FINANCING COOK FACILITY PROJECT ISLANDS Active—Total fi nancing: . million FIJI VANUATU TONGA NIUE RENEWABLE ENERGY DEVELOPMENT AND POWER SECTOR REHABILITATION PROJECT TOWN ELECTRIFICATION INVESTMENT PROGRAM, TRANCHE Active—Total fi nancing: . million Active—Total fi nancing: . million SOLAR POWER DEVELOPMENT PROJECT TOWN ELECTRIFICATION INVESTMENT PROGRAM, TRANCHE Active—Total fi nancing: . million Active—Total fi nancing (ADB): . million ALAOA MULTIPURPOSE DAM PROJECT PORT MORESBY POWER GRID DEVELOPMENT PROJECT Proposed—Total fi nancing: . million Active—Total fi nancing (ADB): . million IMPROVED ENERGY ACCESS FOR RURAL COMMUNITIES Completed—Total fi nancing (Cofi nancing): . million POWER SECTOR DEVELOPMENT PROJECT Proposed—Total fi nancing: million CYCLONE GITA RECOVERY PROJECT Active—Total fi nancing: . million OUTER ISLAND RENEWABLE ENERGY PROJECT Proposed—Total fi nancing: . million TINA RIVER HYDROPOWER PROJECT TONGA RENEWABLE ENERGY PROJECT Active—Total fi nancing: . million Active—Total fi nancing: . million REGIONAL SOLAR POWER DEVELOPMENT PROJECT Active—Total
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