African Development Bank Cote D'ivoire
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AFRICAN DEVELOPMENT BANK Public Disclosure Authorized Public Disclosure COTE D’IVOIRE POWER TRANSMISSION AND DISTRIBUTION NETWORKS REINFORCEMENT PROJECT (PRETD) APPRAISAL REPORT Public Disclosure Authorized Public Disclosure ONEC DEPARTMENT November 2016 Translated Document TABLE OF CONTENTS PROJECT OVERVIEW ......................................................................................................................... ii I. IPROJECT PRESENTATION, ALIGNMENT AND BENEFICIARIES ..................................... 1 A. Project Context, Development Objectives and Specific Objectives ....................................... 1 B. Expected Project Outcomes and Impacts ............................................................................... 1 C. Project Outputs ....................................................................................................................... 2 D. Project Rationale..................................................................................................................... 2 E. Project’s Alignment with National Development Goals ........................................................ 2 F. Project Alignment on Bank Strategies and Policies ............................................................... 3 G. Integration of Requirements Set Out Under Presidential Directive No. 02/2005 ................... 3 H. Consultation Process and Ownership by the Country ............................................................ 3 I. Project Target Areas, Beneficiaries and Selection Criteria ........................................................ 4 II. PROJECT COST AND FINANCING........................................................................................ 5 A. Estimated Project Cost and Financing Arrangements ............................................................ 5 B. Coordination of Joint Project Donors ..................................................................................... 5 III. PROJECT FEASIBILITY .......................................................................................................... 5 A. Project Economic and Financial Performance ........................................................................ 5 B. Sensitivity of Project’s Financial and Economic Performance .............................................. 6 C. Environmental and Social Impact ........................................................................................... 6 D. Climate Change ...................................................................................................................... 7 E. Gender .................................................................................................................................... 7 IV. PROJECT IMPLEMENTATION AND MANAGEMENT ....................................................... 7 A. Governance ............................................................................................................................. 7 B. Implementation Schedule ....................................................................................................... 8 C. Procurement Strategy and Plan ............................................................................................... 8 D. Financial Management ........................................................................................................... 9 E. Monitoring and Evaluation ..................................................................................................... 9 F. Sustainability .......................................................................................................................... 9 G. Risk Management ................................................................................................................. 10 V. LEGAL INSTRUMENTS AND AUTHORITY ...................................................................... 10 A. Legal Instrument ................................................................................................................... 10 B. Conditions Associated with Bank’s Intervention ................................................................. 10 40. The Bank’s financing is subject to the following conditions: .............................................. 10 VI. RECOMMENDATIONS .......................................................................................................... 11 Annex 1: Web Links Annex 2: Map of Project Area Annex 3: Project Implementation Schedule Annex 4: Procurement Systems Annex 5: Justification of Level of Côte d’Ivoire’s Project Counterpart Funding CURRENCY EQUIVALENTS August 2016 1 Unit of Account = 822.4586 XOF 1 Unit of Account = 1.2529 EUR 1 Unit of Account = 1.3934 USD 1 January to 31 December WEIGHTS AND MEASURES 1 kilometre (km) = 1 000 m 1 km² = 1 000 000 m² 1 hectare (ha) = 10 000 m² 1 tonne = 1 000 kg 1 kilojoule (kJ) = 1 000 Joules (J) 1 kilovolt (kV) = 1 000 Volts (V) 1 kilovolt-ampere (kVA) = 1 000 Volt – ampere (VA) 1 kilowatt (kW) = 1 000 Watts 1 Megawatt (MW) = 1 000 000 W = 1 000 kW 1 Gigawatt (GW) = 1 000 000 kW = 1 000 MW 1 kilowatt-hour (kWh) = 1 000 Watt-hours = 3 600 000 Joules (J) 1 Megawatt hour (MWh) = 1 000 000 Wh = 1 000 kWh 1 Gigawatt hour (GWh) = 1 000 000 kWh = 1 000 MWh 1 tonne of oil equivalent (Toe) = 41 868 Joules = 11 630 kWh 1 million tonnes of oil equivalent (MToe) = 1 000 000 Toe ACRONYMS AND ABBREVIATION : ADF African Development Fund BD : Bidding Documents CIE : Compagnie Ivoirienne d’Electricité CI-ENERGIES : Société des Energies de Côte d’Ivoire CIPREL : Compagnie Ivoirienne de Production de l’Energie Electrique CLSG : Côte d’Ivoire, Liberia, Sierra Leone and Guinea Interconnection Project CSP : Country Strategy Paper DC : Direct Contracting EIB : European Investment Bank ERR : Economic Rate of Return ESIA : Environmental and Social Impact Assessment ESMP : Environmental and Social Management Plan GDP : Gross Domestic Product HV : High Voltage ICB : International Competitive Bidding LCB : Limited Competitive Bidding LV : Low Voltage MDG : Millennium Development Goals MOT : Mean Outage Time MV : Medium Voltage NA : Not available NCB : National Competitive Bidding NDE : Non-distributed energy OCB : Open Competitive Bidding PAP : Project Affected People PAR : Project Appraisal Report PEPT : Electricity for All Programme PIA Project Impact Area PIU : Project Implementation Unit PND National Development Programme PRONER : National Rural Electrification Programme PSV : People in Situations of Vulnerability QCBS : Quality- and Cost-Based Selection RAP : Resettlement Action Plan RO : Regional Operations SDG : Sustainable Development Goals SP : Simplified Procedures TFP : Technical and Financial Partners UA : Unit of Account i PROJECT OVERVIEW Project Name Power Transmission and Distribution Networks Reinforcement (PRETD) Country Côte d’Ivoire Project SAP Code P-CI-FA0-014 Geographic Location Districts: Abidjan, Montagnes and Bas Sassandra Identification Sector Energy Sub-Sector Electricity Name and Telephone Olivier KOFFI of Project Task Tel.: (225) 20 20 61 71 Manager Acceleration of the economy’s structural transformation Overall Objective through industrialization and improvement of the people’s living conditions Improve grid performance in order to provide consumers Specific Objectives with high quality energy and increase the electricity access rate Transmission lines and sub-stations, distribution lines and Description Outputs sub-stations, project studies and management, mitigation of environmental and social impacts Reduction of technical losses, NDE and MOT Outcomes Improved access rates Improvement of the people’s quality of life Impacts Job creation Increased GDP growth rate Country Strategy The 2016-2020 PND and the Energy Sector Strategic Plan /Objective aligned on Strategic The Bank’s strategy The Bank’s Ten-Year Strategy, High 5s and the New Deal Thrust aligned on for Energy in Africa CSP Pillars aligned Pillar II (2013-2017 CSP). on Population 1 400 000 Beneficiaries Women (%) 51 Minorities (%) NA Environmental Score or Yes/No/N.A. and Social Environmental Category 1 Impacts Does an ESIA exist? YES Does an ESMP exist? YES Does an RAP exist? YES Climate change resilience YES Safeguards Involuntary resettlement NO required Gender inequalities YES Governance issues NO Executing Agency’s Name and CI-ENERGIES Address 01 B.P. 1345 Abidjan 01 Project Procurement strategies adopted National system, Bank’s system and Management United Nations system Implementation Period 36 months ii Yes/No/N.A. Have the key executing agency staff assumed duty? YES Has the executing agency opened a bank account? NO Have the project counterpart funds been disbursed? NO Project Does a Detailed Project Implementation Plan (DPIP) exist? YES Readiness Does a detailed financial plan exist? YES Does a detailed procurement plan exist? YES Does a Results Monitoring and Evaluation Framework exist? YES Estimated Loan/Grant Signature Date 24 October 2016 Amount % of total cost (in UA million) Cost and Total cost 162.14 100 Financing ADB loan 137.82 85 Government/Sponsor 24.32 15 Lending currency Euro (EUR) or any other convertible currency Loan type Fully Flexible Loan Tenor To be determined (not exceeding 25 years) Grace period To be determined (not exceeding 8 years) To be determined (depending on the depreciation Weighted average maturity1 profile) Repayments Semi-annual payments after the grace period Base rate + Funding margin +Lending spread + Interest rate Maturity premium This interest rate must be above or equal