Project Administration Manual

Accelerated Rural Electrification Project (RRP MYA 53223)

Project Administration Manual

Project Number: 53223-001 Loan Number: XXXX November 2020

Republic of the Union of Myanmar: Accelerated Rural Electrification Development Project

ABBREVIATIONS

ADB – Asian Development Bank APFS – audited project financial statements CBA – community based assessment ECD – Environmental Conservation Department EMP – environmental management plan EIA – environmental impact assessment ESE – Electricity Supply Enterprise FMA – financial management assessment IEE – initial environmental examination MOEE – Ministry of Electricity and Energy OAG – Office of the Auditor General OCB – open competitive bidding PAM – project administration manual PIC – project implementation consultant PIU – project implementation unit PMU – project management unit REGDP – resettlement and ethnic group development plan SEMP – site environmental management plan SCS – Stakeholder Communication Strategy SPS – ADB’s Safeguard Policy Statement 2009

Weights and Measures km – kilometer kV – kilovolt MVA – megavolt-ampere

CONTENTS

I. PROJECT DESCRIPTION 1 II. IMPLEMENTATION PLANS 2 A. Project Readiness Activities 2 B. Overall Project Implementation Plan 3 III. PROJECT MANAGEMENT ARRANGEMENTS 4 A. Project Implementation Organizations: Roles and Responsibilities 4 B. Key Persons Involved in Implementation 5 C. Project Organization Structure 6 IV. COSTS AND FINANCING 7 A. Cost Estimates Preparation and Revisions 7 B. Key Assumptions 8 C. Detailed Cost Estimates by Expenditure Category 9 D. Allocation and Withdrawal of Loan Proceeds 10 E. Detailed Cost Estimates by Financier 11 F. Detailed Cost Estimates by Outputs and/or Components 12 G. Detailed Cost Estimates by Year 13 H. Contract and Disbursement S-Curve 14 I. Fund Flow Diagram 15 V. FINANCIAL MANAGEMENT 16 A. Financial Management Assessment 16 B. Disbursement 17 C. Accounting 18 D. Auditing and Public Disclosure 18 VI. PROCUREMENT AND CONSULTING SERVICES 19 A. Advance Contracting 19 B. Procurement of Goods, Works, and Consulting Services 19 C. Procurement Plan 20 D. Consultant's Terms of Reference 25 VII. SAFEGUARDS 25 VIII. GENDER AND SOCIAL DIMENSIONS 31 IX. PERFORMANCE MONITORING, EVALUATION, REPORTING, AND COMMUNICATION 32 A. Project Design and Monitoring Framework 32 B. Monitoring 36 C. Evaluation 38 D. Reporting 39 E. Stakeholder Communication Strategy 39 X. ANTICORRUPTION POLICY 40 XI. ACCOUNTABILITY MECHANISM 41 XII. RECORD OF CHANGES TO THE PROJECT ADMINISTRATION MANUAL 41

Project Administration Manual Purpose and Process

1. The project administration manual (PAM) describes the essential administrative and management requirements to implement the project on time, within budget, and in accordance with the policies and procedures of the government and Asian Development Bank (ADB). The PAM should include references to all available templates and instructions either through linkages to relevant URLs or directly incorporated in the PAM.

2. The Ministry of Electricity and Energy (MOEE) and Electricity Supply Enterprise (ESE) are wholly responsible for the implementation of ADB-financed projects, as agreed jointly between the borrower and ADB, and in accordance with the policies and procedures of the government and ADB. ADB staff is responsible for supporting implementation including compliance by MOEE, and ESE of their obligations and responsibilities for project implementation in accordance with ADB’s policies and procedures.

3. At loan negotiations, the borrower and ADB shall agree to the PAM and ensure consistency with the loan agreement. Such agreement shall be reflected in the minutes of the loan negotiations. In the event of any discrepancy or contradiction between the PAM and the loan agreement, the provisions of the loan agreement shall prevail.

4. After ADB Board approval of the project's report and recommendations of the President (RRP), changes in implementation arrangements are subject to agreement and approval pursuant to relevant government and ADB administrative procedures (including the Project Administration Instructions) and upon such approval, they will be subsequently incorporated in the PAM.

I. PROJECT DESCRIPTION

1. The project will construct 44 substations of 66/33/11 kilovolts (kV) and about 1,006 kilometers (km) of 66 kV and 33 kV distribution lines in Ayeyarwady, Bago (East), and Magway regions and Kayin State in Myanmar. The project will establish for the first time in Myanmar, a computerized distribution automation system (DAS) to improve operational efficiency and reduce losses in the distribution systems. 1 The project will enable the government to electrify an additional 400,300 households in more than 2,815 villages, contributing to the achievement of the country’s plan of universal electricity access by 2030. The project aims to support Myanmar’s inclusive growth by expanding electricity access in rural areas; and improve the project regions’ response to the impacts of the coronavirus disease (COVID-19) pandemic through better access to information, education, and work opportunities. The technical assistance (TA) will support empowerment of women in villages for the safe and productive use of electricity in the project areas.

2. Impact and Outcome. The project is aligned with the following impact: (i) reliable and affordable electricity supply provided to support socio-economic development and poverty reduction, and (ii) universal electricity access achieved.2 The project will have the following outcome: capacity, regional coverage, and operational efficiency of power distribution system in Myanmar increased.

3. Output 1: New distribution facilities added to the distribution systems in Ayeyarwady, Bago (East), and Magway regions and Kayin State. This will be delivered by construction and commissioning of 44 distribution substations (18 in Ayeyarwady, 8 in Bago (East), 12 in Magway, and 6 in Kayin) and about 1,006 km of distribution lines (232 km in Ayeyarwady, 221 km in Bago (East), 315 km in Magway, and 238 km in Kayin). The location maps and details about the subprojects by region/state, number of townships, villages, and households to be electrified are shown in Appendix 1.

4. Output 2: New computerized distribution automation management system (DAS) established and pilot tested. This includes design, installation, and operation of a pilot DAS in each of the four project regions/state and Nay Pyi Taw; and training of ESE engineers in DAS operation. The DAS will optimize the power distribution operation by real-time monitoring, minimization of network faults, and fast detection of faults and restoration of power supply.

5. Output 3: Social and gender inclusive capacity of the Ministry of Electricity and Energy (MOEE), ESE, and village electrification committee (VEC) in the project areas enhanced. This will be delivered by through the implementation of the Gender Action Plan (GAP) and the development of a Gender Equity and Social Inclusion (GESI) roadmap for rural electrification, which the ESE will apply in the electrified rural areas. The GESI roadmap includes the policies and actions for ESE to mobilize gender-balanced village electrification committees (VECs) in (i) optimizing the demand for, and affordability of, connections for all households in newly electrified areas, and (ii) raising awareness on safe and efficient usage of electricity for time saving and livelihoods among women in ESE’s rural electrification program.

1 ADB provided a technical assistance to prepare the project. ADB. 2018. Technical Assistance for Southeast Asia Energy Sector Development, Investment Planning and Capacity Building Facility. Manila. 2 Government of Myanmar. 2018. Myanmar Sustainable Development Plan 2018- 2030. Nay Pyi Taw. Government of Myanmar. 2014. National Electrification Plan (Unpublished). Nay Pyi Taw

II. IMPLEMENTATION PLANS

A. Project Readiness Activities

Table 1: Project Readiness Activities Responsible Indicative Activities 2020 2021 Agency Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar ADB, Fact-finding mission MOEE/ESE Establish project ADB, implementation MOEE/ESE arrangements MOEE/ESE, DACU endorsement DACU Myanmar Parliament MOEE/ESE, approval Parliament Staff review meeting ADB Advance contracting ADB, actions (PIC) MOEE/ESE ADB, Loan negotiations MOPFI, MOEE/ESE ADB Board approval ADB Loan signing ADB, MOPFI ADB, Loan effectiveness MOPFI, MOEE/ESE

ADB = Asian Development Bank, DACU = Development Assistance Coordination Unit; ESE = Electricity Supply Enterprise, MOEE = Ministry of Electricity and Energy, MOPFI = Ministry of Planning, Finance and Industry, PIC = project implementation consultant Source: ADB staff estimates.

B. Overall Project Implementation Plan

6. It is envisaged that the project implementation period is 72 months. The project is expected to be physically completed by 30 June 2027. Monitoring of project performance and outcome will be until 31 December 2027, including preparation of project completion report. Loan closing date is 31 December 2027. The project preparation milestones and overall project implementation schedule are as follows:

Table 2: Overall Project Implementation Schedule 2020 2021 2022 2023 2024 2025 2026 2027 2028 Indicative Activities Quarter Quarter Quarter Quarter Quarter Quarter Quarter Quarter Quarter III IV I II III IV I II III IV I II III IV I II III IV I II III IV I II III IV I II III IV I II Establishment of project management unit (PMU) and project implementation units (PIUs) Advance contracting actions for project implementation consultant (PIC) Loan Approval Project outputs Output 1: New distribution facilities added to the distribution systems in Ayeyarwady, Bago (East), and Magway regions and Kayin State 1.1 Mobilize project implementation consultant (Q3 2021-Q3 2027) 1.2 Update bidding documents; update and implement resettlement and land acquisition plans (Q4 2021-Q3 2022) 1.3 Tender EPC contracts for substations (Q2 2022-Q4 2023) 1.4 Implement EPC contracts for substations (Q3 2022-Q4 2025) 1.5 Tender goods contracts for distribution lines (Q3 2022–Q3 2023) 1.6 Deliver goods (Q2 2023–Q2 2025) 1.7 Tender work contracts for distribution lines (Q1 2023–Q3 2025) 1.8 Implement work contracts (Q4 2023–Q4 2026) 1.9 Test and commission distribution facilities (Q3 2024–Q2 2027) 1.10 Develop and implement electricity safety trainings with participation of women (Q3 2024–Q2 2027) Output 2: New computerized distribution automation system (DAS) established and pilot tested 2.1 Prepare bidding documents for DAS (Q3 2021–Q4 2021) 2.2 Tender contracts (Q1 2022–Q2 2022) 2.3 Award contracts (Q3 2022) 2.4 Implement network reconfiguration (Q3 2022–Q1 2023) 2.5 Customize and install system (Q3 2022–Q2 2023) 2.6 Commission and conduct performance evaluation (Q2 2023–Q2 2024) 2.7 Provide capacity building for DAS operations (Q2 2023–Q4 2024) Output 3: Social and gender-inclusive capacity of the MOEE, ESE and VECs in the project areas enhanced 3.1 Mobilize the GESI team (the PIC GESI specialists and PMU and PIU gender responsible persons) (Q3 2021–Q3 2027) 3.2 Update, implement and monitor Project Gender and Social Development Action Plan (Q3 2021–Q3 2027) 3.3 Conduct training on the GESI for ESE headquarter staff, PMU, PIUs and PIC (Q3 2022). 3.4 Conduct consultations, develop the GESI roadmap for rural electrification, and adopt the GESI roadmap (Q2–Q4 2023). 3.5 Design and implement campaigns to increase recruitment of women in new positions in ESE (Q1 2024–Q3 2027) 3.6 Engage service provider(s) to support implementation of the GESI roadmap in target areas (Q4 2023) 3.7 Conduct training for women in electricity-based livelihood development (Q1 2024–Q4 2026) 3.8 Develop awareness materials and train VECs in the GESI roadmap (Q1 2024–Q4 2026) Project monitoring and reporting (i) Resettlement and land acquisition implementation monitoring (ii) Updating of EMP (upon commencement of EPC and works contracts) (iii) Environment management plan key activities (during implementation of EPC and works contracts) (iv) Communication strategy key activities (v) Periodic project review (vi) Midterm review (vii) Project closing activities (viii) Financial closing of loan account

Project implementation consultant (PIC) EPC contracts Goods contracts Works contracts

DAS = distribution automation system; EMP = environmental management plan; GESI = gender equality and social inclusion; EPC = engineering, procurement and construction; ESE = Electricity and Supply Enterprise. Source: ADB staff and Executing Agency staff estimates.

III. PROJECT MANAGEMENT ARRANGEMENTS

A. Project Implementation Organizations: Roles and Responsibilities

Table 3: Project Management Arrangements Project Implementation Management Roles and Responsibilities Organizations Ministry of Electricity and ➢ Responsible for overall supervision of project implementation; Energy (MOEE) ➢ Responsible for coordination with governmental agencies, ministries, and Yangon City authorities to support project implementation; ➢ Timely provision of agreed counterpart funds for project activities; ➢ Comply with all loan covenants in the Loan Agreement; and ➢ Review and endorse proposed key changes during project implementation, if any.

Electricity Supply ➢ Responsible for the overall supervision and execution of the project; Enterprise (ESE) ➢ Establish the PMU with sufficient staff and appropriate qualification; ➢ Timely provide agreed counterpart funds for project activities; ➢ Timely review detailed design of project components and resettlement plans submitted by PMU; ➢ Timely review and endorse bid evaluation reports and contract award recommendations submitted by PMU; ➢ Timely award contracts and signing contracts; ➢ Manage contract execution; ➢ Timely review and endorse withdrawal applications submitted by PMU and then submit to MOEE; ➢ Ensure timely financial audits as per agreed timeframe and take recommended actions; ➢ Comply with all loan covenants in the Loan Agreement; and ➢ Responsible for collection and retention of all support documents, reporting documents and annual audit report and financial statements.

Project Management Unit ➢ Together with PIC update all safeguards / resettlement plans, obtain (PMU) approval of safeguards / resettlement plans by MOEE and by ADB; ➢ Implement the approved safeguards / resettlement plans; ➢ Together with PIC, finalize bidding documents, conduct bidding and bid evaluation and finalize contracts for all contract packages; ➢ Execute the contracts with PIC support; ➢ Implement EMP, GAP, SCS with PIC and regional administration support; ➢ Prepare and obtain approval by MOEE of withdrawal applications; ➢ Monitor and evaluate project activities and outputs, including periodic review, preparation of review reports identifying issues and action plans; and ➢ Prepare regular periodic progress reports and project completion report and submit timely to ADB.

Ministry of Planning ➢ Signing the Loan Agreement; Finance and Industry ➢ Allocating and releasing counterpart funds; (MOPFI) ➢ Endorsing to ADB the authorized staff with approved signatures for withdrawal applications processing; and ➢ Processing and submitting to ADB any request, when required, for reallocating the loan proceeds.

Project Implementation Management Roles and Responsibilities Organizations Asian Development Bank ➢ Assist MOEE, ESE and the PMUs in providing timely guidance at (ADB) each stage of project implementation in accordance with the agreed implementation arrangements; ➢ Review all the documents that require ADB approval; ➢ Conduct an inception mission, periodic loan review missions, a midterm review, a completion mission for the project, and an overall project completion mission; ➢ Monitor and require compliance of all loan covenants; ➢ Timely process withdrawal applications and release eligible funds; ➢ Monitor and require the compliance of financial audit recommendations; ➢ Regularly update ADB’s project performance review reports with assistance of MOEE and ESE and its progress reports; and ➢ Regularly post on ADB website the updated project information documents for public disclosure.

ADB = Asian Development Bank; ESE = Electricity and Supply Enterprise; MOEE = Ministry of Electricity and Energy; MOF = Ministry of Finance; PIC = project implementation consultant; PMU = project management unit.

B. Key Persons Involved in Implementation

Executing/Implementing Agencies

Ministry of Electricity and Energy Permanent Secretary (MOEE) Telephone: (95) 67 410206 Office Address: Office Building No. 27, Naypyitaw

Electricity Supply Enterprise Managing Director (ESE) Telephone: (95) 67 431273 Office Address: Office Building No. 27, Naypyitaw Email address: [email protected]

Chief Engineer Tel. +95 9798888488, +95 95089858 Email address: [email protected]

Asian Development Bank Energy Division Mr. Toru Kubo Southeast Asia Department Officer-in-Charge (SEEN) Tel: +632 632 4358 / Fax: +632 636 2336 Email: [email protected]

Mission Leader Mr. Duy-Thanh Bui Principal Energy Economist Tel: +632 632 6140 / Fax: +632 636 2336 Email: [email protected]

C. Project Organization Structure

7. Ministry of Electricity and Energy (MOEE) will be the executing agency. Department of Electric Power Planning will be responsible for inter- and intra-ministerial coordination for project approval. ESE will be the implementing agency. The implementing agency will be responsible for overall project implementation and management.

8. ESE will establish a project management unit (PMU) which will be responsible for overall supervision of project implementation and preparation of progress reports, ensuring that financial and reporting requirements are met, and ADB procurement procedures are followed. ESE will also establish a project implementation unit (PIU) for each of the four project areas in Ayeyarwady, Bago (East), Magway, and Kayin.

9. ESE PMU with support from the project implementation consultant (PIC) will undertake the engineering design, bidding, and bid evaluation; conduct contract negotiations; finalize contracts and disbursement; and supervise supply, installation, and commissioning works. The PMU together with the PIC will implement the resettlement and ethnic group development plan (REGDP), the environmental management plan (EMP), stakeholder communication plan, gender action plan and monitor status of compliance with REGDP and EMP in their respective project areas. ESE on behalf of MOEE, will be authorized to sign and administer the contract packages that will be financed by ADB.

10. The PMU will comprise eight counterpart staff and each PIU will comprise six counterpart staff. The composition of PMU and PIU is in Table 4 below:

Table 4. PMU and PIU Composition Item ESE Project Management Unit Project Director (Managing Director) (PMU) Project Deputy Director/Distribution Engineer (Chief Engineer) Substation Engineer (Deputy Chief Engineer) Procurement Officer (General Manager of Material Department) Financial Officer (General Manager of Finance Department) Environment and Social Safeguards Manager (Superintendent Engineer) Environment Safeguards Officer Social Safeguards Officer Senior Communication Officer Gender mainstreaming responsible officer Project Implementation Unit Project Manager (Regional Chief Engineer) (PIU) Distribution Engineer Substation Engineer Safeguards Focal Officer Communication Officer Gender mainstreaming responsible officer ESE = Electricity Supply Enterprise; PIU = Project Implementation Unit; PMU = Project Management Unit.

Figure 1. Project Organization Structure

IV. COSTS AND FINANCING

11. The project cost is estimated at $191.74 million, including physical and price contingencies, financing charges during implementation, and taxes and duties. ADB will provide a loan of $171.27 million from the Ordinary Capital Resources (concessional) to cover the costs of (i) contracts for design, supply, installation, and commissioning of the substations; contracts for material supply and contract for goods and works under the project; (ii) consulting services; (iii) contingencies; and (iv) interest charges during implementation. The Government will finance taxes and duties; costs of project administration, costs of implementing environmental and social safeguard measures and costs of implementing communication and gender action plans. The total contribution of the Government is estimated at $20.46 million equivalent. The investment plan is summarized in the following tables.

A. Cost Estimates Preparation and Revisions

12. Base cost estimates were prepared by ESE, in conjunction with the project preparatory consultant, based on an assessment of unit quantities and recent tender prices received for

8 similar works. Contingencies and financing charges during implementation were estimated by ADB. During project implementation, project cost estimates are normally revised after contracts are awarded, using the Contract Price, and updated from time to time for quantity and price variations and the Final Contract Price. The revised cost estimates and contract prices are reflected during periodic updating of the Procurement Plan.

B. Key Assumptions

13. The following key assumptions underpin the cost estimates and financing plan:

(i) Exchange rate: MK 1,390 = $1.00 (as of 14 June 2020) (ii) Price contingencies based on expected cumulative inflation over the implementation period are as follows:

Table 5: Escalation Rates for Price Contingency Calculation Item 2020 2021 2022 2023 2024 Average Foreign rate of price inflation 1.5% 1.6% 1.6% 1.6% 1.6% 1.6% Cumulative escalator (foreign) 1.5% 3.1% 4.8% 6.5% 8.2% Domestic rate of price inflation 7.5% 7.0% 6.5% 6.5% 6.5% 6.8% Cumulative escalator (domestic) 7.5% 15.0% 22.5% 30.5% 38.9% Source(s): Asian Development Bank.

9 C. Detailed Cost Estimates by Expenditure Category

Table 6. Detailed Cost Estimates by Expenditure Category

D. Allocation and Withdrawal of Loan Proceeds

Table 7. Allocation and Withdrawal of Loan Proceeds ALLOCATION AND WITHDRAWAL OF LOAN PROCEEDS Total Amount Allocated for Basis for Withdrawal from the Number Item ADB Financing Loan Account (US$) Category Works and Goods (Engineering, Procurement, Construction – distribution substations, 1 138,860,000 100% of total expenditure claimed* distribution lines and installation works, and distribution automation system)

Consulting Services (Project 2 5,970,000 100% of total expenditure claimed* Implementation Consultant)

3 Interest Charge 5,160,000 100% of amounts due

4 Unallocated ** 21,280,000

TOTAL 171,270,000 * Exclusive of taxes and duties imposed within the territory of the Borrower. ** Unallocated may be used for physical and price contingencies

E. Detailed Cost Estimates by Financier

Table 8. Detailed Cost Estimates by Financier Item ADB COL Government Total Cost Amount % of Cost Amount % of Cost Amount Taxes & Category Category Duties a

A. Investment Costs a 1. Equipment - substations 48.43 90% 5.45 10% 53.88 5.45 2. Equipment - lines 50.78 90% 5.71 10% 56.49 5.71 3. Civil works and installation - substations 10.20 94% 0.69 6% 10.89 0.69 4. Civil works and installation - lines 15.45 94% 1.04 6% 16.49 1.04 5. Distribution system automation 14.00 90% 1.51 10% 15.51 1.51 6. Consultants a. Supervision and implementation 5.97 87% 0.92 13% 6.89 0.92 Subtotal (A) 144.83 90% 15.33 10% 160.16 15.33

B. Other Costs 1. Overheads and other charges b 0.00 0% 1.24 100% 1.24 0.00 2. Environmental and social mitigation 0.00 0% 1.00 100% 1.00 0.00 3. Land and compensation 0.00 0% 1.20 100% 1.20 0.00 Subtotal (B) 0.00 0% 3.44 100% 3.44 0.00

Total Base Cost 144.83 89% 18.76 11% 163.59 15.33

C. Contingencies 1. Physical c 10.80 93% 0.82 7% 11.62 0.00 2. Price d 10.48 92% 0.88 8% 11.36 0.00 Subtotal (C) 21.28 93% 1.70 7% 22.98 0.00

D. Financing Charges During Implementation 1. Interest during implementation e 5.16 100% 0.00 0% 5.16 0.00 Subtotal (D) 5.16 100% 0.00 0% 5.16 0.00

Total Project Cost (A+B+C+D) 171.27 89% 20.46 11% 191.74 15.33 a/ In Q2 2020 prices. Includes taxes and duties of $0 million. b/ Includes estimated audit fees of $0.3m for the audit of the annual project financial statements. c/ Computed at 7.1% of base costs. d/ Computed using ADB's forecasts of international and domestic inflation and includes provision for potential exchange rate fluctuation under the assumption of a purchasing power parity exchange rate. e/ ADB COL loan interest during construction computed using a rate of the 1.0%. Source: Asian Development Bank estimates

F. Detailed Cost Estimates by Outputs and/or Components

Table 9. Detailed Cost Estimates by Outputs and/or Components Item Total Cost Output 1 - Power Output 2 - Distribution Output 3 - Social and Distribution System Automation System Gender Inclusive Modernized Implemented Capacity Enhanced

Amount % of Cost Amount % of Cost Amount % of Cost Category Category Category

A. Investment Costs a 1. Equipment - substations 53.88 53.88 100.0% 0.00 0.0% 0.00 0.0% 2. Equipment - lines 56.49 56.49 100.0% 0.00 0.0% 0.00 0.0% 3. Civil works and installation - substations 10.89 10.89 100.0% 0.00 0.0% 0.00 0.0% 4. Civil works and installation - lines 16.49 16.49 100.0% 0.00 0.0% 0.00 0.0% 5. Distribution system automation 15.51 0.00 0.0% 15.51 100.0% 0.00 0.0% 6. Consultants a. Supervision and implementation 6.89 5.79 84.0% 0.25 3.6% 0.85 12.3% Subtotal (A) 160.16 143.54 89.6% 15.76 9.8% 0.85 0.5%

B. Other Costs 1. Overheads and other charges b 1.24 1.11 89.6% 0.12 9.8% 0.01 0.5% 2. Environmental and social mitigation 1.00 1.00 100.0% 0.00 0.0% 0.00 0.0% 3. Land and compensation 1.20 1.20 100.0% 0.00 0.0% 0.00 0.0% Subtotal (B) 3.44 3.31 96.3% 0.12 3.5% 0.01 0.2%

Total Base Cost 163.59 146.85 89.8% 15.88 9.7% 0.86 0.5%

C. Contingencies 1. Physical c 11.62 11.62 100.0% 0.00 0.0% 0.00 0.0% 2. Price d 11.36 10.18 89.6% 1.12 9.8% 0.06 0.5% Subtotal (C) 22.98 21.81 94.9% 1.12 4.9% 0.06 0.3%

D. Financing Charges During Implementation e 5.16 4.67 90.4% 0.47 9.1% 0.03 0.5%

Total Project Cost (A+B+C+D) 191.74 173.32 90.4% 17.47 9.1% 0.94 0.5%

a/ In Q2 2020 prices. Includes taxes and duties of $0 million. b/ Includes estimated audit fees of $0.3m for the audit of the annual project financial statements. c/ Computed at 7.1% of base costs. d/ Computed using ADB's forecasts of international and domestic inflation and includes provision for potential exchange rate fluctuation under the assumption of a purchasing power parity exchange rate. e/ ADB COL loan interest during construction computed using a rate of the 1.0%. Source: Asian Development Bank estimates

G. Detailed Cost Estimates by Year

Table 10. Detailed Cost Estimates by Year Item Total Cost Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 2021 2022 2023 2024 2025 2026 2027 2028

A. Investment Costs a 1. Equipment - substations 53.88 0.00 5.39 8.08 10.78 13.47 13.47 2.69 0.00 2. Equipment - lines 56.49 0.00 5.65 8.47 11.30 14.12 14.12 2.82 0.00 3. Civil works and installation - substations 10.89 0.00 1.09 1.63 2.18 2.72 2.72 0.54 0.00 4. Civil works and installation - lines 16.49 0.00 1.65 2.47 3.30 4.12 4.12 0.82 0.00 5. Distribution system automation 15.51 0.00 3.10 9.31 3.10 0.00 0.00 0.00 0.00 6. Consultants a. Supervision and implementation 6.89 0.34 0.69 1.03 1.38 1.38 1.72 0.34 0.00 Subtotal (A) 160.16 0.34 17.57 31.00 32.03 35.82 36.16 7.23 0.00

B. Other Costs 1. Overheads and other charges b 1.24 0.00 0.25 0.25 0.25 0.25 0.25 0.00 0.00 2. Environmental and social mitigation 1.00 0.00 0.44 0.24 0.24 0.04 0.04 0.01 0.00 3. Land and compensation 1.20 0.00 1.20 0.00 0.00 0.00 0.00 0.00 0.00 Subtotal (B) 3.44 0.00 1.89 0.48 0.49 0.28 0.28 0.01 0.00

Total Base Cost 163.59 0.34 19.45 31.49 32.52 36.10 36.45 7.24 0.00

C. Contingencies 1. Physical c 11.62 0.00 1.25 1.78 2.31 2.86 2.86 0.57 0.00 2. Price d 11.36 0.01 0.58 1.41 2.01 2.89 3.60 0.86 0.00 Subtotal (C) 22.98 0.01 1.83 3.18 4.33 5.75 6.46 1.43 0.00

D. Financing Charges During Implementation e 5.16 0.00 0.08 0.31 0.62 0.99 1.42 1.74 0.00

Total Project Cost (A+B+C+D) 191.74 0.35 21.36 34.98 37.47 42.84 44.33 10.41 0.00 % Total Project Cost 100.00 0.18 11.14 18.24 19.54 22.34 23.12 5.43 0.00

H. Contract and Disbursement S-Curve

14. The graph below shows the contract awards and disbursement projections over the implementation period for the project.

Figure 2. Contract and Disbursement S-Curve

Table 11. Contract Awards and Disbursement 2021 2022 2023 2024 2025 2026 2027 Total Contract Award Q1 0.0 16.2 0.0 0.0 0.0 0.0 0.0 Q2 0.0 67.9 17.9 0.0 0.0 0.0 0.0 Q3 0.0 9.4 0.0 0.0 0.0 0.0 0.0 Q4 6.9 49.4 0.0 0.0 0.0 0.0 0.0 167.8 Disbursements Q1 0.0 1.1 7.0 11.5 11.9 7.1 4.4 Q2 0.0 1.9 6.0 11.5 11.9 7.1 1.1 Q3 0.0 8.2 8.4 9.9 11.9 7.1 0.8 Q4 0.0 3.1 11.1 11.4 11.1 7.1 0.8 173.0

I. Fund Flow Diagram

Figure 3. Fund Flow Diagram

Asian Ministry of Planning, Development Bank Finance and Industry (ADB) (MOPFI)

Loan Status Reports Budget allocation for Submit government withdrawal counterpart fund applications

Direct payments to Ministry of Electricity and Energy contractors, Approval and (MOEE) suppliers, and endorsement of consultants claims for payment and invoices

Verification/ certification of work progress Contractors, Suppliers and and delivery of Project Implementation materials and Counterpart fund Consultants equipment by for project ESE management Project and progress implementation Design, Supply reporting and Install and contracts monitoring for distribution Submit claims Counterpart system for payment payments to and/or invoices contractors, Provision of suppliers, and project consultants implementation support to ESE

Electricity Supply Enterprise (ESE)

Legend:

ADB loan fund Government counterpart fund Claims/disbursements Contracts/services provision and progress reporting

V. FINANCIAL MANAGEMENT

A. Financial Management Assessment

15. The financial management assessment (FMA) was conducted in June 2020 in accordance with ADB’s Guidelines for the Financial Management and Analysis of Projects and the Financial Due Diligence: A Methodology Note. The FMA considered the capacity of the MOEE and ESE, including funds-flow arrangements, staffing, accounting and financial reporting systems, financial information systems, and internal and external auditing arrangements. Based on the assessment, the key financial management risks identified are that there is virtually no computerization of finance and accounting functions and no apparent plan for the gradual introduction of modern management information systems. ESE will need to address this shortcoming progressively over the next 5-10 years, particularly in light of the expected growth in ESE’s customer base and geographic coverage. The assessment also noted that previously identified weaknesses in internal and external audit have not yet been addressed. It is concluded that the overall pre- mitigation financial management risk of MOEE and ESE is substantial. The Ministry of Planning, Finance and Industry (MOPFI), MOEE and ESE have agreed to implement an action plan as key measures to address the deficiencies. The financial management action plan is provided in Table 12.

Table 12: Financial Management Action Plan Action Responsibility Resources Timing External audit risk is ADB and OAG ADB Technical Ongoing rated high due to Assistance funding resource constraints within OAG and an inability to issue English language audit reports. ADB will continue to work with OAG to assist in upgrading the accounting and auditing standards in Myanmar, and to address capacity building needs of OAG. ADB to support OAG to outsource audits of project financial statements to the private sector under the supervision of OAG.

ESE staff have limited ADB and ESE Training resources to be Staff identified by 31 understanding of provided by ADB and March 2021 and modern financial included in PIC terms of training executed by management practices reference 30 May 2021 and internal audit. This does not pose undue risk for the project but will have a bearing on efforts to modernize the entities’ finance functions. Additional staff will be trained in

Action Responsibility Resources Timing ADB’s financial management procedures. In addition, the PIC will be tasked to support and provide capacity building in financial reporting, monitoring and internal audit best practice.

ESE does not use ESE Government Approved plan computerization in a submitted to by 31 meaningful way for its March 2022. finance and accounting functions. As its network coverage and customer numbers increase, ESE’s manual systems may become strained – a substantial risk. ESE is to develop plan / roadmap for computerization of finance/accounting functions

Address 2017-18 audit ESE None By 30 September finding relating to 2021 contracts with electricity franchisees

B. Disbursement

1. Disbursement Arrangements for ADB Funds

16. The loan proceeds will be disbursed in accordance with ADB’s Loan Disbursement Handbook (2017, as amended from time to time),1 and detailed arrangements agreed upon between the government and ADB. Advance fund and statement of expenditures procedures shall not be used for this project. Online training for project staff on disbursement policies and procedures is available.2 Project staff are encouraged to avail of this training to help ensure efficient disbursement and fiduciary control.

17. Payments for goods, works and consulting services will be disbursed by ADB through commitment and direct payment procedures as applicable, and should be certified by the PMU and ESE based on the payment terms in the contracts. The PMU, through ESE and MOEE, will be responsible for (i) preparing disbursement projections; (ii) requesting budgetary allocations for counterpart funds; (iii) collecting supporting documents; and (iv) preparing and sending withdrawal applications to ADB. Each withdrawal application must include the claim or invoice from the contractor or consultant and approved by the borrower’s authorized representative.

1 The handbook is available electronically from the ADB website (http://www.adb.org/documents/ loan-disbursement- handbook. 2 Disbursement eLearning. http://wpqr4.adb.org/disbursement_elearning

18. Before the submission of the first withdrawal application (WA), the borrower should submit to ADB sufficient evidence of the authority of the person(s) who will sign the withdrawal applications on behalf of the government, together with the authenticated specimen signatures of each authorized person. The minimum value per WA is stipulated in the Loan Disbursement Handbook (2017, as amended from time to time). Individual payments below such amount should be paid by the MOEE, ESE and subsequently claimed to ADB through reimbursement, unless otherwise accepted by ADB. The borrower should ensure sufficient category and contract balances before requesting disbursements. Use of ADB’s Client Portal for Disbursements (CPD)3 system is encouraged for submission of withdrawal applications to ADB.

2. Disbursement Arrangements for Counterpart Fund

19. Counterpart fund through budgetary contribution from the government will finance taxes and duties, the costs for environmental safeguard measures, land acquisition, compensation, cost of implementing communication plan and gender action plan and project management costs. MOEE and ESE will be responsible for requesting budget allocation for the counterpart fund from the MOPFI. Disbursement and liquidation of counterpart fund will follow government procedures.

C. Accounting

20. ESE will maintain separate books and records by funding source for all expenditures incurred on the project following accrual-based accounting following the International Public Sector Accounting Standards. ESE will prepare consolidated project financial statements in accordance with the government's accounting laws and regulations which are consistent with international accounting principles and practices.

D. Auditing and Public Disclosure

21. MOEE will cause the detailed project financial statements to be audited by the Office of the Auditor General in accordance with International Standards of Supreme Audit Institutions acceptable to ADB. The audited project financial statements (APFS) together with the auditor’s opinion will be presented in the English language to ADB within 6 months from the end of the fiscal year by the MOEE.

22. MOEE will also cause ESE’s financial statements to be audited by the Office of the Auditor General in accordance with International Standards of Supreme Audit Institutions acceptable to ADB. The audited ESE financial statements, together with the auditors’ report and management letter, will be submitted in the English language to ADB within 1 month after their approval by the relevant authority, but within 6 months from the end of each fiscal year.

23. The audit report for the project financial statements will include a management letter and auditor’s opinions, which cover (i) whether the project financial statements present an accurate and fair view or are presented fairly, in all material respects, in accordance with the applicable financial reporting standards; (ii) whether the proceeds of the loan were used only for the purpose(s) of the project; and (iii) whether the borrower or executing agency was in compliance with the financial covenants contained in the legal agreements (where applicable).

3 The CPD facilitates online submission of WA to ADB, resulting in faster disbursement. The forms to be completed by the Borrower are available online at https://www.adb.org/documents/client-portal-disbursements-guide.

24. Compliance with financial reporting and auditing requirements will be monitored by review missions, and followed up regularly with all concerned, including the external auditor.

25. The government, MOEE and ESE have been made aware of ADB’s approach to delayed submission, and the requirements for satisfactory and acceptable quality of the APFS.4 ADB reserves the right to require a change in the auditor (in a manner consistent with the constitution of the borrower), or for additional support to be provided to the auditor, if the audits required are not conducted in a manner satisfactory to ADB, or if the audits are substantially delayed. ADB reserves the right to verify the project's financial accounts to confirm that the share of ADB’s financing is used in accordance with ADB’s policies and procedures.

26. Public disclosure of the APFS, including the auditor’s opinion on the project financial statements, will be guided by ADB’s Access to Information Policy.5 After the review, ADB will disclose the APFS and the opinion of the auditors on the project financial statements no later than 14 days of ADB’s confirmation of their acceptability by posting them on ADB’s website. The management letter, additional auditor’s opinions, and audited entity financial statements will not be disclosed.6

VI. PROCUREMENT AND CONSULTING SERVICES

A. Advance Contracting

27. All advance contracting will be undertaken in conformity with ADB Procurement Policy (2017, as amended from time to time) and Procurement Regulations for ADB Borrowers (2017, as amended from time to time). The issuance of invitations to bid under advance contracting will be subject to ADB approval. The borrower, MOEE and ESE have been advised that approval of advance contracting does not commit ADB to finance the project. Advance contracting actions will be undertaken for the recruitment of the Project Implementation Consultant (PIC).

B. Procurement of Goods, Works, and Consulting Services

28. All procurement of goods, works, and consulting services will be undertaken in accordance with ADB Procurement Policy (2017, as amended from time to time) and Procurement Regulations for ADB Borrowers (2017, as amended from time to time). Open competitive bidding (OCB) is the default method of procurement of goods, works, non-consulting services, and consulting services.

29. While ESE has experience in managing foreign-assisted projects, it does not have experience in undertaking procurement under the Procurement Regulations for ADB Borrowers and ADB Procurement Policy. Although it is expected that the PMU/PIU will manage the day-to-

4 ADB’s approach and procedures regarding delayed submission of APFS: (i) When APFS are not received by the due date, ADB will write to the executing agency advising that (a) the audit documents are overdue; and (b) if they are not received within the next 6 months, requests for new contract awards and disbursement such as new replenishment of advance accounts, processing of new reimbursement, and issuance of new commitment letters will not be processed. (ii) When APFS are not received within 6 months after the due date, ADB will withhold processing of requests for new contract awards and disbursement such as new replenishment of advance accounts, processing of new reimbursement, and issuance of new commitment letters. ADB will (a) inform the executing agency of ADB’s actions; and (b) advise that the loan may be suspended if the audit documents are not received within the next 6 months. (iii) When APFS are not received within 12 months after the due date, ADB may suspend the loan. 5 ADB. 2018. Access to Information Policy. Manila. 6 This type of information would generally fall under public communications policy exceptions to disclosure. ADB. 2011. Public Communications Policy. Paragraph 97(iv) and/or 97(v).

20 day project implementation, the staff need to be trained in procurement procedures based on ADB Procurement Policy and regulation. A project implementation consultant (PIC) will be recruited to support MOEE and ESE in project supervision and implementation and should be engaged early to assist ESE in pre-procurement activities such as bidding document preparation including preparation of technical specifications, drawings, and employer’s/purchaser’s requirements.

30. Strategic procurement planning (SPP) was carried out to ensure that fit-for-purpose procurement approaches are developed to achieve value for money and the project’s development objectives. As one of SPP activities, market research was conducted through questionnaire survey for potential bidders to confirm their financial capability, preferred size of contract packages, willingness to participate in tenders under the project, etc. An investigation of the packaging chosen under similar projects financed by other donors was also undertaken to confirm the appropriateness of the packaging and contract sizes.

31. Contract packaging was planned to reflect the most appropriate contract sizes and procurement method, in line with the SPP with the harmonization of the priorities of the EA direction to meet the project schedule and to lower dispute risk among contractors and suppliers during installation works. The market assessment confirms that there are international and national companies that can participate in the bidding as suppliers and contractors for power distribution substations and distribution systems in Myanmar. Thus, OCB with international and national advertisement will be used for most of the packages with following ADB Standard Bidding Document (SBD) for Goods, Works, and Plant.

32. The project involves the procurement of four (4) plant – design, supply, and installation contract packages consisting of three (3) packages for substations and one (1) package for the DAS; and two (2) goods contracts for conductors and hardware, which will be undertaken through OCB with international advertisement. One (1) goods contract with 3 lots for the supply of concrete poles and eight (8) line installation works packages with 26 lots will be undertaken through OCB with national advertisement. Single-stage one-envelop (1S1E) procedure will be used for the procurement of these contracts using ADB’s Standard Bidding Documents for Plant, Goods, and Request for Quotations (RFQ). ADB's prior review procedures will be followed, except for the line installation works with small contract values (the estimated contract value of each lot is in the range of $0.50-$0.70 million). ESE has experience in managing similar procurement works using post review procedures.

33. Before the start of any procurement, ADB and the government will review the available public procurement laws of the central and state governments to ensure consistency with ADB Procurement Policy (2017, as amended from time to time) and Procurement Regulations for ADB Borrowers (2017, as amended from time to time). ESE agreed to apply the COVID-19 related Health and Safety requirements in all procurement, namely submission of a COVID-19 Health and Safety Management Plan together with the bid, and highlight the safeguards compliance requirement in the special conditions of contract in relation to the EMP.

34. A 36-month procurement plan indicating review procedures, goods, works, and consulting service contract packages is in Section C below.

C. Procurement Plan

1. Basic Data

Project Name: Accelerated Rural Electrification Project (AREP) Project Number: 53223-002 Approval Number: LXXXX

Country: Myanmar Executing Agency: Ministry of Electricity and Energy (MOEE) Project Procurement Classification: B Implementing Agency: Electricity Supply Enterprise (ESE) Project Procurement Risk: High Project Financing Amount: $171.27 million Project Closing Date: 31 December 2027

Date of First Procurement Plan: Date of this Procurement Plan: 10 August 2020 10 July 2020 Procurement Plan Duration (in months): 36 Advance Contracting: e-Procurement: Yes No

2. Methods, Review, and Procurement Plan

35. Except as ADB may otherwise agree, the following methods shall apply to the procurement of goods, works, non-consulting services, and consulting services.

Procurement of Goods, Works, and Non-consulting Services Method Comments Open competitive bidding (OCB) with international Subject to prior review. Local contractors have advertisement for Plant and Goods limited capacity to implement power distribution system contracts (substations, DAS and goods) above $3 million. Open competitive bidding (OCB) with national Subject to prior review. For supply and delivery of advertisement for Goods concrete poles. Open competitive bidding (OCB) with national Subject to post review. For line installation works. advertisement for Works

Consulting Services Method Comments Open competitive bidding with international Subject to prior review. 90:10 quality-cost ratio. advertising, using Quality- and Cost-Based One international consulting firm for Project Selection (QCBS). Implementation Consultant (PIC) is required.

3. Lists of Active Procurement Packages (Contracts)

36. The following table lists goods, works, non- consulting services, and consulting services contracts for which the procurement activity is either ongoing or expected to commence within the procurement plan’s duration.

Goods, Works, and Non-consulting Services Advertisement Package General Estimated Valuea Procurement Bidding Date Number Description ($m) Method Review Procedure (quarter, year) Comments EPC Packages for Substations Advertising: 1 Design, 23.25 OCB Prior 1S1E Q2, 2022 International Supply, Installation and Prequalification of Commissionin Bidders: No g of substations in Domestic Ayeyarwady Preference: No 2 Design, 20.38 OCB Prior 1S1E Q2, 2022 Supply, Advance Installation and Contracting:No Commissionin g of Bidding substations in Documents:

Goods, Works, and Non-consulting Services Advertisement Package General Estimated Valuea Procurement Bidding Date Number Description ($m) Method Review Procedure (quarter, year) Comments Bago East and ADB SBD for Plant Kayin 3 Design, 15.00 OCB Prior 1S1E Q2, 2022 Supply, Installation and Commissionin g of substations in Magway Distribution lines packages 4 Supply and 8.14 OCB Prior 1S1E Q3, 2022 Advertising: delivery of International conductors (with separate Prequalification of deliveries for Bidders: No Ayeyarwady, Bago East, Domestic Kayin and Preference: No Magway) 5 Supply and 34.83 OCB Prior 1S1E Q3, 2022 Advance delivery of Contracting: hardware (with No separate deliveries for Bidding Ayeyarwady, Documents: Bago East, ADB SBD for Kayin and Goods Magway)

6 Supply and 7.82 OCB Prior 1S1E Q3, 2022 Advertising: delivery of National concrete poles Lot 6.1: 2.73 Prequalification of Ayeyarwady Bidders: No

Domestic Preference: No

Lot 6.2: Bago 2.32 Advance East and Kayin Contracting: No

Bidding Lot 6.3: 2.77 Documents: Magway ADB SBD for Goods

Line installation works (estimated contract value of each lot is in the range of $0.50-$0.70 million) 7 Ayeyarwady 1.69 OCB Post 1S1E Q1, 2023 Advertising: Lot 7.1 National Lot 7.2 Lot 7.3 Prequalification of 8 Bago East, 3.30 OCB Post 1S1E Q1, 2023 Bidders: No

including installation of Domestic lattice towers Preference: No

(1 of 5) Advance Lot 8.1 Contracting: Lot 8.2 No Lot 8.3 Lot 8.4 Bidding Lot 8.5 Documents:

Goods, Works, and Non-consulting Services Advertisement Package General Estimated Valuea Procurement Bidding Date Number Description ($m) Method Review Procedure (quarter, year) Comments 9 Bago East, 1.95 OCB Post 1S1E Q1, 2023 ADB Request for including Quotation (RFQ) installation of lattice towers (2 of 5) Lot 9.1 Lot 9.2 Lot 9.3 10 Bago East, 2.40 OCB Post 1S1E Q1, 2023 including installation of lattice towers (3 of 5) Lot 10.1 Lot 10.2 Lot 10.3 Lot 10.4 11 Bago East, 2.39 OCB Post 1S1E Q1, 2023 including installation of lattice towers (4 of 5) Lot 11.1 Lot 11.2 Lot 11.3 Lot 11.4 12 Bago East, 0.14 OCB Post 1S1E Q1, 2023 including installation of lattice towers (5 of 5) 13 Kayin 1.53 OCB Post 1S1E Q1, 2023 Lot 12.1 Lot 12.2 Lot 12.3 14 Magway 2.03 OCB Post 1S1E Q1, 2023 Lot 13.1 Lot 13.2 Lot 13.3 Distribution Automation System (DAS) 15 Systems, 14.00 OCB Prior 1S1E Q1, 2022 Advertising: Communicatio International ns and Network Prequalification of Reconfiguratio Bidders: No n Domestic Preference: No

Advance Contracting: No

Bidding Documents: ADB SBD for Plant 1S2E = single-stage:two-envelope, LCB = limited competitive bidding, OCB = open competitive bidding, Q = quarter a Estimated values are exclusive of contingency and taxes

Consulting Services Advertisement Package General Estimated Selection Type of Date Number Description Value ($m) Method Review Proposal (quarter, year) Comments

16 Project 5.97 QCBS Prior FTP Q4, 2020 Type: Firm Implementation Consultant (PIC) Quality-Cost Ratio: 90:10

Prequalification/ Short-listing of Firms: Yes

Advance Contracting: Yes

The estimated value is inclusive of provisional sums, but exclusive of contingency and taxes

FTP = Full technical proposal, Q = quarter, QCBS = quality- and cost-based selection 1S2E = single-stage:two-envelope, LCB = limited competitive bidding, OCB = open competitive bidding, Q = quarter a Estimated values are exclusive of contingency and taxes

4. List of Indicative Packages (Contracts) Required Under the Project

37. The following table lists goods, works, non-consulting services, and consulting services contracts for which the procurement activity is expected to commence beyond the procurement plan duration and over the life of the project.

Goods, Works, and Non-consulting Services Advertise Estimated ment Date Package General Value Procurement Bidding (quarter, Number Description ($m) Method Review Procedure year) Comments NONE

Consulting Services Package General Estimated Selection Review Type of Advertise Comments Number Description Value ($m) Method Proposal ment Date (quarter, year) NONE

5. List of Awarded and Completed Contracts

38. The following table lists the awarded and completed contracts for goods, works, non- consulting and consulting services.

Goods, Works and Non-consulting Services Package General Contract Value Date of ADB Date of Comments Number Description Approval of Completion Contract Award NONE

Consulting Services Package General Contract Value Date of ADB Date of Comments Number Description Approval of Completion Contract Award NONE

6. Non-ADB Financing

39. The following table lists goods, works, non-consulting and consulting services contracts over the life of the project, financed by non-ADB sources.

Goods, Works, and Non-consulting Services General Estimated value Estimated Procurement Comments Description (cumulative $m) Number of Method Contracts NONE

Goods, Works, and Consulting Services General Estimated value Estimated Procurement Comments Description (cumulative $m) Number of Method Contracts NONE

D. Consultant's Terms of Reference

40. The terms of reference for the project implementation consultant (PIC) is provided in Appendix 2. An estimated 581 person-months (135 international, 446 national) of consulting services are required to (i) support the PMU and PIUs in project implementation, monitoring, and reporting; and (ii) strengthen the institutional and operational capacity of the MOEE and ESE.

VII. SAFEGUARDS

41. All safeguards documents have been prepared in accordance with ADB’s Safeguards Policy Statement (SPS 2009) and the prevailing laws and regulations of the Republic of the Union of Myanmar on environment and social safeguards. 7 In compliance with ADB’s information disclosure, consultation and participation requirements, the safeguards documents which include the monitoring and corrective action plan (CAP) in the event of non-compliance will be posted on ADB’s website.8

42. Project Grievance Redress Mechanism. ADB’s SPS requires that the Government establishes and maintains a grievance redress mechanism (GRM) to receive and facilitate resolution of affected peoples’ concerns about project social and environmental performance. The PMU will establish the project safeguards GRM, as detailed in safeguard plans: Initial Environment Examination (IEE), EMP and REGDP within 60 days of the loan effectiveness date; it will coordinate the GRM and report complaints and their resolution to the ADB as part of its progress monitoring and reporting responsibilities. The GRM comprises a set of clear procedures to receive, record, and address concerns or complaints raised about safeguard issues at village, township, district and regional / state level. Affected persons (APs) will have the option of seeking redress through the existing country system or through the project-specific GRM entry points. The PMU will set up a Grievance Redress Committee (GRC) and ensure that GRM focal points are established within PIUs and contractor teams. GRC will function from construction to operation stage. The GRC will be established at two levels across the project area of influence where the subprojects will be implemented, as shown.

7 ADB. 2009. Safeguard Policy Statement. Manila. 8 ADB. 2018. Access to Information Policy. Manila.

a. GRC at PIU level (ESE PIU Office at Region/State). As practiced, the GRC at PIU level will include two local representatives of affected person (AP), including a woman representative and representative from local ethnic group, one GAD person from the concerned township, contractor EHS and GRM focal point persons (C-EHS and C- GRM), one representative from concerned government line agencies (e.g. Revenue, Forest, etc.), PIU E&S focal point person PIC national environment and social specialists, project manager and project director PIU region office.

b. GRC at PMU Level (ESE PMU Office at Naypyitaw). GRC at PMU level will include one representative of PMU (E&S manager, officers), director, project implementation (ESE), director, civil (ESE), director, planning (ESE).

43. Records of complaints received and how they are addressed will be maintained by the PMU and reported in the subproject quarterly progress reports (QPRs) and semi-annual environmental monitoring reports. The detailed procedures are set out in the project EMP and REGDP.

44. ADB rates project performance quarterly, safeguards indicators include assessment of whether GRM is functioning effectively. Indicators of a functioning GRM include:

c. PMU provided a formal letter that confirms that the GRM has been established and is operational with a list of GRC committee members at each level including PMU and PIUs focal point persons for GRM d. The project information booklet has the GRM steps explained and GRM focal point person contact information and has been handed out to all APs, households and available at local GAD offices e. Evidence of consultation/verbal dissemination of the project GRM to APs, households and public consultation (This could be shown through presentation materials, minutes of meetings, photos and attendance sheet) f. Evidence of project signage within the community and at construction sites / camps with GRM focal point person contact information g. GRM focal point persons mobilized and functioning in their role h. GRM record-keeping system is established and functioning i. Complaints and resolutions included in project QPR and semi-annual safeguards monitoring reports.

45. The safeguards categorization is B for environment, B for involuntary resettlement, and B for indigenous peoples and these are discussed in detail below.

A. Environment

46. The project is confirmed as environment category B. A draft IEE and EMP have been prepared to address the identified negative impacts which are mainly during construction. These are site-specific and can be reduced to an acceptable level through effective implementation of mitigation measures. No protected areas or other particularly sensitive environmental or cultural receptors have been identified in the project area of influence.

47. The ESE shall ensure that the design and construction of the project components to be financed under the loan are carried out in accordance with ADB SPS (2009), the applicable laws and regulations of the Government of The Republic of the Union of Myanmar, the IEE and EMP.

48. The key institutions involved in the environmental management and monitoring of the project will be the PMU and PIUs of the ESE and the PIC services. To ensure effective implementation of environmental safeguards requirements, the PMU will assign one staff person as an environment & social manager and two staff persons as environment & social safeguards officers, on full time basis. The PMU will assign to each PIU at least one staff person as environment and social safeguards focal point. The PIC will support the PMU, PIUs and contractors on all aspects of environmental management and monitoring for the project; PIC will include one international environment specialist (12 person months) and two national specialists (36 person-months each), respectively (refer to Appendix 1 – PIC Terms of Reference).

49. The PMU will be responsible for the overall project management and overseeing project compliance with environmental safeguards requirements based on the EMP provisions while the PIC in coordination with the PIUs will have primary responsibility for the implementation of EMP and oversight of the engineering, procurement, construction (EPC) and works contractors or third- party consultants.

50. The PMU will be responsible for environmental safeguards reporting. The PIC in coordination with the PIUs will conduct monitoring for each subproject and provide the environment input based on site visits, compliance checks and prepare the subproject Quarterly Progress Reports (QPR) for submission to the PMU. The PMU will verify the information and submit the project QPRs to ADB (Initially environmental safeguards reporting will be via the subproject QPRs). Once the Contractor is mobilized, semi-annual environmental monitoring reports will be prepared (a template is included in the IEE, Appendix 7). The PIC will support the PMU to use the information from the project QPR and prepare an environmental safeguards monitoring report for submission to ADB semi-annually during construction stage and annually during operation stage. The semi-annual report covering the period January to June will be submitted to ADB by 15 July and for the period July to December will be submitted 15 January. The environmental monitoring reports will be publicly disclosed on the ADB website. Reporting to ADB will continue until project completion report is issued.

51. The PIC will be responsible for environmental safeguards monitoring. The PIC will coordinate and interact with the PMU and PIUs on compliance to ADB safeguards requirements and with relevant government agencies and local authorities on permits and clearances and national environmental requirements, update and finalize the IEE and EMP as needed. The PIC will also be responsible for assisting the PMU, PIUs and contractors9 in handling complaints and/or grievances filed through the GRM, if any.

52. The PIC in coordination with PIUs will ensure that the contractor(s) will be informed of their responsibility of complying with the EMP and the ADB safeguards requirements, including developing and implementing site specific EMPs (SEMPs)10 and appointing dedicated / trained persons on staff as key focal persons for EHS and GRM such as Contractor EHS focal person

9 Contractors imply = Engineering Procurement, Construction (EPC) contractors, any key sub-contractors, and facility operators. Note: EMP implementation during operation stage will continue through the PIUs and for extension works at existing 230kV substations through Department of Power Transmission and Supply Control (DPTSC) that is the facility operator 230 kV substations in Myanmar. 10 Before the construction starts, the PIC in close coordination with the Contractor will develop a SEMP. The SEMP is to include all mitigation measures and monitoring requirements to be carried by the Contractor. The SEMP will be submitted to the PMU for review and approval. Contract documents shall explicitly indicate the requirement for the SEMPs. Construction cannot start until all SEMPs are prepared and agreed upon and the contractors have obtained all necessary permits and approvals. To ensure that the contractors allocate sufficient funds to implement the SEMPs, the tender and bid documents will require that the cost of implementing the EMP and SEMP is included in the Contractor bid price.

(C-EHS) and Contractor GRM focal person (C-GRM). The PIC and PIUs will monitor the contractor(s) work plan relevant to EMP implementation. The contractor(s) will submit weekly progress reports to PIC / PIUs on EMP implementation; these will be consolidated by PIC on monthly basis and form part of the project QPR. The PMU will be responsible for the overall compliance supervision.

53. ADB will oversee environmental compliance based on the subproject QPRs and semi- annual environmental safeguards monitoring reports provided by the PMU and site visits (generally one to two times per year). For any non-compliance, ADB will make recommendations for corrective action and improvement, if required. ADB’s monitoring and supervision activities are carried out on an on-going basis until a project completion report is completed.

54. Domestic Environmental Assessment Requirements. The project will also comply with the Government EIA Procedure issued in December 2015. The project proposal has been submitted by the ESE to the Environmental Conservation Department (ECD) of the Government Ministry of Natural Resources and Environmental Conservation (MONREC) in June 2020. The ECD / MONREC will confirm the project categorization after review of the project proposal. Based on ECD / MONREC review outcome, the IEE / EMP will be prepared at either preliminary design state or at detailed engineering design stage. The PIC will support the PMU for domestic approval.

Table 13. Indicative Staffing for Environment and Social Safeguards Agency Position Type of Assignment ESE (PMU) Environment and Social Full time Manager Environment Officer Full time Social Officer Full time ESE Regions /State (PIUs) PIU E&S focal point person Part time (concurrent to existing assignment) Project Implementation International Environment 12 persons-months Consultant (PIC) services Specialist Two National Environment 36 person-months Specialists each International 12 persons-months Social/Resettlement Specialist Two National 18 person-months Social/Resettlement Specialists each ESE = Electricity Supply Enterprise; E&S = environment and social; PIU = Project Implementation Unit; PMU = Project Management Unit.

55. Training and Capacity Development. The PIC will conduct necessary training and capacity development programs for safeguards implementation and compliance to project EMP for PMU, PIUs and contractors. The programs will be conducted at ESE (PMU) in Nay Pyi Taw and at regional and state PIUs in Ayeyarwady, Bago East, Kayin, and Magway. The program will focus on EMP implementation, monitoring and reporting, project GRM, information disclosure and participation as well as relevant national and international EHS guidelines and standards. This among others includes preparing the template and formats for consultations, GRM/procedures guidelines, grievance redress committee members’ roles, record keeping (grievance forms, logs etc.) etc., and training relevant staff and relevant project stakeholders (provincial/district/local

29 authorities, General Administration Department or GAD, etc.); As necessary, ADB safeguard staff will provide additional training.

B. Involuntary Resettlement

56. The project is classified as IR Category B in accordance with ADB’s SPS (2009). The project involves (i) permanent land procurement for substations; and (ii) temporary use of land during the construction of the distribution line. Construction of substations and medium voltage facilities will be carried out mostly in the land owned or land provided by various Government departments as feasible. Additional land required for substation component will be procured through willing buyer willing seller procedure (negotiated settlement). The distribution line alignment/right-of-way will utilize both Government and private land temporarily and will not require any permanent acquisition of land. The Project cause only temporary impacts in terms of damage of crops and trees if unavoidable during the stringing of distribution line.

57. To mitigate and manage the impacts, a REGDP has been prepared for the Project. This REGDP is at the appraisal stage and will be updated at the detailed design stage and will be approved by ADB. The REGDP include a review of government laws and regulations, analysis of the gaps between ADB SPS (2009) and the government policies, and gap-filling measures. The resettlement policy proposed in REGDPs is consistent with the provisions of the ADB’s SPS (2009) and takes into consideration relevant provisions of government laws and regulations.

58. The substations will permanently require 37.35 hectares of land, out of which 21.06 hectares are private land; 9.30 hectares are government land owned by ESE and other regional departments; and 6.99 hectares are land owned by village community and religious trust/Buddhist Monastery. The distribution lines will only temporarily utilize 2247.94 hectares of land during the erection of poles and stringing. Initial assessment reveals that about 73% of line alignment will traverse through private land and another 26% will traverse through various government land mostly existing road right of way.

59. The Project will not involve any permanent or involuntary acquisition of land and therefore no physical and economic displacement is envisaged. The loss of trees and temporary damage of crops during stringing of distribution line also will not cause any severe impacts or loss of livelihoods. The temporary impacts are expected to be minimal because of the wide use of road easements, the short construction period, and construction during the dry season when most of the farmland lies fallow.

60. All affected households are entitled to compensation at full replacement cost for their lost of non-land assets such as trees, crops or any other standing properties within the proposed right of ways of distribution line alignment. The REGDP specify the entitlement and budget, implementation arrangements, monitoring requirements, and grievance redress mechanisms. The compensation budget is included in the project costs to be financed by the MOEE. The implementing agencies will update the REGDP based on detailed engineering design and have them approved by ADB before any physical or economic displacement takes place.

61. The cost for the implementation of this REGDP is estimated at $1.20 million, which includes land acquisition, compensation, farming support and contingencies. Project information has been disclosed to the affected persons during the consultations and surveys that were undertaken during project preparation. A project information booklet will be prepared by ESE PMU and distributed to all the affected persons. During safeguard assessment survey, 55 consultation

30 meetings organized within the Project areas involving 2023 persons, which included 1498 (74%) male and 525 (26%) female.

62. The compensation rates and amount of assistance will be reviewed and adjusted based on the result of the census and details measurement surveys (DMS) and the replacement cost survey (RCS) at the time of REGDP implementation. The MOEE will finances all resettlement costs based on the agreed financing plan.

63. Effective monitoring and public consultation with all stakeholders and affected people at all stages of project implementation will be ensured. In compliance with ADB’s information disclosure and consultation requirements, the safeguard documents will be posted on ADB’s website. Stakeholder consultations will continue through formal and informal focus group discussions. A grievance redress mechanism will help to facilitate resolution of complaints regarding project performance. The REGDP will be updated and disclosed in English and local languages after detailed engineering design and cleared by ADB prior to contract award.

64. The PMU will be responsible for social safeguards reporting. The PIC in coordination with the PIUs will conduct monitoring for each subproject and provide social safeguards (REGDP) input based on site visits, compliance checks for the subproject Quarterly Progress Reports (QPR) for submission to the PMU. Initially social safeguards reporting will be via the QPRs. Once the Contractor is mobilized, semi-annual social safeguards monitoring reports will be prepared. The PIC will support the PMU to verify and use the information from the project QPR and prepare social safeguards monitoring report for submission to ADB semi-annually during construction stage and annually during operation stage. The semi-annual report covering the period January to June will be submitted to ADB by 15 July and for the period July to December will be submitted 15 January. The social safeguards monitoring reports will be publicly disclosed on the ADB website. Reporting to ADB will continue until project completion report is issued.

65. The PIC in coordination with PIUs will ensure that the contractor(s) will be informed of their responsibility of complying with the REGDP and the ADB safeguards requirements, including appointing dedicated / trained persons on staff as key focal persons for GRM such as Contractor GRM focal person (C-GRM). The PIC and PIUs will monitor the contractor(s) work plan relevant to REGDP implementation. The contractor(s) will submit weekly progress reports to PIC / PIUs on REGDP implementation; these will be consolidated by PIC on monthly basis and form part of the project QPR. The PMU will be responsible for the overall compliance supervision.

66. ADB will oversee social safeguards compliance based on the semi-annual social safeguards monitoring reports provided by the PMU and site visits (generally one to two times per year). For any non-compliance, ADB will make recommendations for corrective action and improvement, if required. ADB’s monitoring and supervision activities are carried out on an ongoing basis until a project completion report is completed.

C. Indigenous Peoples

67. The project is classified as IP Category B in accordance with ADB’s SPS (2009). The Project area is intermittently inhabited by Barmar, Rakhine, Kayin, Chin, Shan, Karen, Mon, Pa’O, etc. The project will not acquire lands that are traditionally used by the ethnic groups nor cause any adverse impacts on the identity, society, culture, and areas of spiritual importance or interfere with their sociocultural beliefs and livelihood systems. Ethnic group communities will benefit equally from the project through job opportunities and household electrification. However, the project also presents minor risks and challenges concerning ethnic groups, particularly in terms of ensuring that ethnic groups are not marginalized during the project implementation with regards

31 to employment opportunities and access to electricity. Any loss of crop or trees by these ethnic group people due to distribution line will be assessed and compensated as per the entitlement matrix included in this REGDP during the project implementation. The implementing agencies have properly consulted the ethnic groups and will address their concerns during REGDP implementation. The project will ensure adequate consultations and a comprehensive project management approach in project areas where there are already ethnic group organizations providing parallel social services and community infrastructure. REGDP has been developed with the approaches and entries that ensure project design and implementation shall foster full respect of ethnic groups and full respect for all affected households and stakeholders and that ethnic groups (i) do not suffer adverse impacts as a result of the project, (ii) have equitable access to benefits of the project, and (iii) can participate actively in the project.

68. Prohibited investment activities. Pursuant to ADB’s Safeguard Policy Statement (2009), ADB funds may not be applied to the activities described on the ADB Prohibited Investment Activities List set forth at Appendix 5 of the Safeguard Policy Statement (2009).

VIII. GENDER AND SOCIAL DIMENSIONS

69. Social dimensions. The project will contribute to Myanmar reaching Sustainable Development Goal (SDG7) of affordable, reliable, and sustainable energy for all by 2030 while also contributing to ending poverty (SDG 1) and promoting gender equality (SDG 5). The project beneficiaries are rural women, men, boys and girls, businesses, and public institutions in Ayeyarwady, Bago (East), Kayin, and Magway. More than 400,300 households and 2,815 public buildings (schools, clinics, and hospitals) will be newly electrified, increasing the average electrification ratio of the targeted townships across the four regions/states from 28% to 52%. The electrification of public facilities will increase access to improved health care and school facilities enhancing health and education outcomes in targeted townships. The increase in access to time- saving energy-based equipment for domestic and productive tasks will reduce women’s time poverty. Electrification will also create more opportunities for small and medium-sized enterprise development. The social aspects of the project are described in the Summary Poverty Reduction and Social Strategy.

70. Gender. The project is classified as Effective Gender Mainstreaming. One of the three project outputs is Social and gender-inclusive capacity of MOEE, ESE and VECs in the project areas enhanced. This output will focus on building ESE capacity to integrate gender equality and social inclusion into its national electrification program and its institutional policies and practices. A Gender and Social Development Action Plan (GAP) will ensure integration of gender equality measures across all outputs. The GAP includes measures to ensure women’s active involvement in consultation and planning throughout project implementation, promoting women’s participation on Village Electrification Committees, organizing information and training sessions about village and household connections, and safety targeted specifically for women. The GAP also targets training ESE staff and management on gender equality, integrating gender-responsive recruitment, employment, and promotion measures into ESE human resource policies and practices, leadership and technical training for women to access management positions and non- traditional technical occupations such as DAS. The GAP is in Appendix 3.

71. Attached TA will be implemented in parallel to the project and will support ESE to promote efficient electricity-based livelihood and time-saving options among women, including women from ethnic groups. The TA will also support ESE to work with VECs to develop viable options to increase connection rates among poor and vulnerable households.

72. During construction, contractors will be required to hire local labor. This requirement will include ensuring that at least 20% of local laborers to be hired are women. Campaigns will mitigate any risks related to HIV/AIDS and human trafficking. Priority will be given to women’s employment, with their consent, to provide an income-earning opportunity. The hiring of women by contractors will be documented in the project implementation reports.

73. At future construction sites the influx of male workers could lead to some prostitution and related sexually transmitted infections as awareness levels are low. To mitigate these impacts, construction contracts will include prevention and health and safety measures as well as core labor standards. A Code of Conduct for workers is included in the EMP. In addition, the PIC will conduct trainings and information campaigns for PIU, local communities and workers on gender equality, and HIV/AIDS and human trafficking prevention. The loan agreement specifies that contractors will abide the core labor standards. The PIC will train contractors and PIU staff on gender equity, core labor standard, HIV/AIDs mitigation and prevention of human trafficking. Attention will be made to ensure that ethnic group communities who may participate in the construction contracts understand fully their rights based on national, international standards and ADB policy.

IX. PERFORMANCE MONITORING, EVALUATION, REPORTING, AND COMMUNICATION

A. Project Design and Monitoring Framework

Impact of the Project is Aligned with Reliable and affordable electricity supply provided to support socio-economic development and poverty reduction (Myanmar Sustainable Development Plan 2018–2030); and universal electricity access achieved (National Electrification Plan, 2014)a

Data Sources and Performance Indicators with Results Chain Reporting Risks Targets and Baselines Mechanisms Outcome By 2028

Capacity, regional a. Capacity of distribution systems a–e. MOEE and ESE Uncertainty in timely coverage, and (66 kV and 33 kV) in rural areas annual reports; and mobilization of large operational increased by 410 MVAb (2018 project benefit capital investments efficiency of power baseline: 4,870 MVA) monitoring and post- needed for the distribution system evaluation reports expansion of the in Myanmar b. Electricity supply to the project generating capacity increased areas increased by 310 GWh per and rural year (2018 baseline: 2,600 GWh) electrification

c. Household access to electricity increased by at least 400,300 householdsc (2018 baseline: 4.0 million households)

d. At least 15% of poor households, including poor female headed households, connected in the villages electrified in the project area (2018 baseline: 0)

Data Sources and Performance Indicators with Results Chain Reporting Risks Targets and Baselines Mechanisms e. Annual CO2 emission reduced by 25,762 tons CO2 (2020 baseline: 104,440 tons CO2)

Outputs By 2027

1. New distribution 1a. 44 66/33/11 kV substations 1a–1d. ESE annual Implementation facilities added to constructed and operational (2018 reports; surveys; and delays in the the distribution baseline: not applicable) PIC quarterly reports recruitment of systems in consultants and Ayeyarwady, Bago 1b. 1,006 km of 66 kV and 33 kV works and good (East), and distribution lines constructed and contracts because Magway regions; operational (2018 baseline: not of the government’s and Kayin State applicable) multilayer approval requirements and 1c. At least 20% of local laborers impact of the hired for construction are women COVID-19 (2018 baseline: not applicable) pandemic

1d. 100% of electrified villages receive electrification safety training and women are at least 30% of the training participants (2018 baseline: not applicable)

2. New 2a. DAS installed and made 2a–2b. ESE annual computerized DAS operational (2018 baseline: not reports; surveys; and established and applicable) PIC quarterly reports pilot tested 2b. DAS operation and maintenance expertise transferred to ESE, such that at least five ESE staff (at least 40% of whom are women) can operate DAS independently (2018 baseline: not applicable) 3a–3e. ESE annual 3. Social and 3a. At least 40% of ESE staff in reports; surveys; and gender-inclusive headquarters and targeted regions PIC quarterly reports capacity of MOEE, and townshipsd report increased ESE, and VECs in knowledge in gender equality and the project areas social inclusion (2018 baseline: not enhanced applicable)

3b. GESI roadmap for rural electrification developed, adopted, and applied by ESE (2018 baseline: not applicable)

3c. At least 30% of new jobs in targeted regional and townshipd ESE offices created during project implementation are filled by women (2018 baseline: not applicable)

Data Sources and Performance Indicators with Results Chain Reporting Risks Targets and Baselines Mechanisms

3d. Training program on electricity- based livelihoods for women developed and implemented (at least 10 women per village benefit from the program for at least 10 villages per project region) (2018 baseline: not applicable)

3e. At least 25% of VEC members of newly electrified villages are women (2018 baseline: not applicable) Key Activities with Milestones 1. New distribution facilities added to the distribution systems in Ayeyarwady, Bago (East), and Magway regions and Kayin State 1.1 Mobilize project implementation consultant (Q3 2021-Q3 2027) 1.2 Update bidding documents; update and implement resettlement and land acquisition plans (Q4 2021– Q3 2022) 1.3 Tender EPC contracts for substations (Q2 2022-Q4 2023) 1.4 Implement EPC contracts (Q3 2022-Q4 2025) 1.5 Tender goods contracts for distribution lines (Q3 2022–Q3 2023) 1.6 Deliver goods (Q2 2023–Q2 2025) 1.7 Tender work contracts for distribution lines (Q1 2023–Q3 2025) 1.8 Implement work contracts (Q4 2023–Q4 2026) 1.9 Test and commission distribution facilities (Q3 2024–Q2 2027) 1.10 Develop and implement electricity safety trainings with participation of women (Q3 2024–Q2 2027) 2. New computerized DAS established and pilot tested 2.1 Prepare bidding documents for DAS (Q3 2022–Q4 2022) 2.2 Tender contracts (Q1 2023–Q4 2023) 2.3 Award contracts (Q1 2024) 2.4 Implement network reconfiguration (Q3 2022–Q1 2023) 2.5 Customize and install system (Q3 2022–Q2 2023) 2.6 Commission and conduct performance evaluation (Q2 2023–Q2 2024) 2.7 Capacity building for DAS operations (Q2 2023–Q4 2024) 3. Social and gender inclusive capacity of the MOEE, ESE, and VEC in the project areas enhanced 3.1 Mobilize the GESI team (PIC GESI specialists and PMU and PIU gender responsible persons) (Q3 2021–Q3 2027) 3.2 Update, implement, and monitor Project Gender and Social Development Action Plan (Q3 2021–Q3 2027) 3.3 Conduct training on the GESI for ESE headquarter staff, PMU, PIUs, and PIC (Q3 2022) 3.4 Conduct consultations, develop the GESI roadmap for rural electrification, and adopt the GESI roadmap (Q2–Q4 2023) 3.5 Design and implement campaigns to increase recruitment of women in new positions in ESE (Q1 2024–Q3 2027) 3.6 Engage a service provider(s) to support implementation of the GESI roadmap in target areas (Q4 2023) 3.7 Conduct training for women in electricity-based livelihood development (Q1 2024–Q4 2026) 3.8 Develop awareness materials and train VECs in the GESI roadmap (Q1 2024–Q4 2026)

Project Management Activities Full establishment of implementing units including the PMU, PIUs, and working mechanism between implementing agency and executing agency (Q3-Q4 2020) PIC recruitment (Q3 2021) (advance contracting actions)

Data Sources and Performance Indicators with Results Chain Reporting Risks Targets and Baselines Mechanisms Inputs ADB: $171,270,000 (loan) $1,000,000 (TASF 6) Government: $20,460,000 Assumptions for Partner Financing Not Applicable.

ADB = Asian Development Bank; CO2 = carbon dioxide; DAS = distribution automation system; EPC = engineering, procurement, and construction; ESE = Electricity Supply Enterprise; GESI = gender equality and social inclusion; GWh = gigawatt-hour; km = kilometer; kV = kilovolt; MOEE = Ministry of Electricity and Energy, MVA = megavolt- ampere; PIC = project implementation consultant; PIU = project implementation unit; PMU = project management unit; Q = quarter; TASF = Technical Assistance Special Fund, VEC = village electrification committee. a Government of Myanmar, Ministry of Planning and Finance. 2018. Myanmar Sustainable Development Plan, 2018−2030. Nay Pyi Taw; and Government of Myanmar. 2014. National Electrification Plan. Unpublished. b This is in addition to the 840 MVA to be added under ADB. 2018. Report and Recommendation of the President to the Board of Directors: Proposed Loan to the Republic of the Union of Myanmar for the Power Network Development Project. Manila. c This is in addition to the 330,000 households to be electrified under the Power Network Development Project (footnote b). d In Myanmar, the administrative hierarchy includes states or regions, townships, and villages. Source: Asian Development Bank estimates.

B. Monitoring

74. Project performance monitoring. Within 6 months of the date of loan effectiveness, MOEE/ESE will establish a project performance monitoring system (PPMS) for the project, in form and substance acceptable to ADB. The PPMS will track the project implementation activities, corresponding target dates, expected outcomes, and assigned responsibilities under a monitoring mechanism that can be used to track progress on specific activities. The PPMS will aim to detect any deficiency and discrepancy between the plan and the execution of the project in using the resources efficiently in order to ensure that timely corrections can be made to adjust the design of the project as feasible. These quarterly reports will provide information to regularly update ADB's project performance reporting (PPR) system.13

75. Compliance monitoring. Compliance for all loan covenants (environmental and social safeguards, financial, economic, and others) will be jointly monitored by MOEE, ESE and ADB through quarterly updates provided by the PIUs. In this respect, the PMU will submit to ADB a status report on the covenants summary with the explanation and time-bound actions on partly or non-complied covenants. As part of the joint efforts, ADB's Resident Mission in Myanmar will hold quarterly review meetings with MOEE and ESE to ensure the full compliance of all the loan covenants. In addition, MOEE, ESE and ADB shall undertake a comprehensive midterm review after 3 years of project commencement. At the conclusion of the mid-term review, ADB and the Government may agree on changes in both project scope and implementation arrangements, as deemed necessary.

1. Safeguards Monitoring

76. Environment monitoring. The PIUs and PIC will be responsible for environmental monitoring. Three types of project monitoring will be conducted under the EMP: a) Project readiness monitoring - to be conducted by the PMU and PIC; b) Environmental monitoring - to be conducted by PIC in coordination with PIUs and contractors across all stages of project implementation as described in the EMP and assessing compliance with applicable Myanmar environmental quality; and c) Compliance monitoring - to be conducted by the PMU and PIC to verify environmental management and monitoring plan compliance during project implementation, including random checks / audits of contractor’s EHS performance.

77. Monitoring of the EMP will have weekly reporting by the Contractor; and monthly reporting by the PIC. The PIC in coordination with the PIUs will be responsible for the following monitoring activities related to environmental safeguards: (i) project readiness monitoring; (ii) establishing a system to monitor the environmental aspects of the project including the indicators set out in the environmental monitoring plan; (ii) supervising and monitoring the implementation of environmental mitigating measures required for the construction activities; (iii) reviewing, monitoring, and evaluating the effectiveness of the implemented SEMPs, and recommending corrective actions, if required; (iv) preparing monthly environmental monitoring reports for PMU; and (v) preparing semi-annual environmental monitoring reports for ADB (template included in IEE, Appendix 7) and ECD. The PMUs will finalize the semi-annual environmental monitoring reports and ESE will submit the reports to ADB (and ECD). ADB will carry out regular loan review missions (at least semi-annually) to review safeguards compliance.

13 ADB's project performance reporting system is available at: http://www.adb.org/Documents/Slideshows/PPMS/default.asp?p=evaltool

Table 14. Reporting Requirements Responsibility Reporting Requirements Reporting to Contractor Weekly inspection and monitoring PIC / PIUs reports Project Monthly inspection and monitoring PMU Implementation reports Consultant Environment input for Quarterly PMU Services (PIC) Progress Reports (QPRs) during construction stage Draft QPRs and semi-annual PMU environmental monitoring reports during construction stage PMU Final QPRs and semi-annual ESE environmental monitoring reports during construction stage ESE Submission of semi-annual ECD environmental monitoring report during operation stage Submission of QPRs and semi-annual ADB environmental monitoring reports during construction stage and annual environmental monitoring report during operation stage until Project completion report is issued ADB = Asian Development Bank; ECD = Environment Conservation Department; ESE = Electricity Supply Enterprise; PIC = Project Implementation Consultant Services; PMU = Project Management Unit.

78. Involuntary resettlement. The PMU with support from the PIC will be responsible for internal monitoring of the REGDP implementation. The PMU will supervise and manage the monitoring of resettlement activities and implementation arrangements. Quarterly resettlement monitoring reports will be prepared by the PIC, in collaboration with the assigned PMU’s Social Safeguards representatives, and submit to the ESE/MOEE and ADB. The reports will include progress on the status of the REGDP implementation, information on location and number of people affected, land acquisition and compensation status, assistance provided to severely affected people and vulnerable people and any unforeseen impacts. The monitoring information should include georeferenced information of each household, linked to household level documents such as the inventory of loss (IoL), the detailed measurement surveys (DMS) and any other household level document generated. The ADB review missions will monitor and assess the resettlement activities during the project implementation period.

79. Monitoring of REGDP, with focus on land acquisition, compensation, and distribution of project benefits will be carried out by the PIC with support of PMU/PIUs through the township administration. Throughout the project implementation period, the PIC and PMU will conduct periodic monitoring by having regular meetings with (i) the affected people; (ii) severely affected households; and ethnic groups.

80. The REGDP monitoring by the PIC will assess whether (i) the standard of living of affected persons are restored or improved, (ii) the social safeguards related loan covenants are being met, (iii) the rehabilitation and compensation elements are sufficient, and (iv) where problems and risks are identified, come up with adequate measures to mitigate resettlement problems.

81. The monitoring reports should include an overview of REGDP implementation progress as well as verification of (i) progress in social safeguards loan covenants; (ii) changes in living standards and livelihoods; and (iii) need for further mitigation measures, if any.

82. The focus of REGDP monitoring will be as follows: (i) adequate mapping and documentation to support the resettlement implementation (e.g. maps, photos of each affected land, household, structures, and other assets to be impacted by the project); (ii) confirmation on the number of severely affected households, the area of permanent loss of land, temporary impacts, and vulnerable households; (iii) adequate provision of budget by MOEE to cover resettlement and compensation costs; (iv) disbursement of compensation to affected households according to the compensation policy agreed in the REGDP; (v) documentation of information dissemination and public participation that include (a) the number of public consultation meetings held during the preparation of the detailed compensation plan, (b) the number of affected households that participated, and (c) comments, suggestions, and concerns of the affected households and how these were addressed; (vi) documentation of the number of affected people with complaints, nature of the complaints, status of the resolution of the complaints, assessment of efficiency of the grievance redress mechanism (GRM); and (vii) participation of women in meetings and in the implementation of resettlement, concerns of women in connection with their resettlement and resolution of their grievances.

83. Gender and social dimensions monitoring. Key targets to monitor the gender and inclusion results of the project have been incorporated into the project design and monitoring framework. Additional gender and social inclusion indicators and targets are detailed in the GAP. The GAP will be implemented over the life of the project and GAP indicators will be incorporated into the overall project M&E plan. The PIU is responsible for coordinating implementation of the GAP with technical support from the PIC. To meet these project requirements, the PIC will have a full-time gender and social inclusion specialist to support GAP implementation and reporting.

C. Evaluation

84. Following loan signing, a project inception mission will be fielded to confirm the working relationship between ADB and MOEE, ESE and PMU/PIU staff involved in the implementation of the project and to ensure that MOEE/ESE/PMU/PIUs understand ADB’s project administration procedures. Following loan effectiveness, progress under the project will be subject to formal loan reviews every six months to review status of procurement, contract awards, disbursements, physical progress, safeguards and gender action plan implementation, loan covenants and financial management. A comprehensive midterm review is tentatively scheduled three years after the inception mission. The midterm review mission will be fielded to determine any corrective measures need to be undertaken for the project to ensure achievement of project objectives and enable adjustment of project design and implementation arrangements, where required. The

39 review will address policy, institutional, administrative, organizational, technical, environmental, social, economic, financial, and other relevant factors that may have an impact on project performance and its continuing viability. Within three months of physical completion of the project, MOEE and ESE will submit a project completion report to ADB. ESE will evaluate each project area performance based on indicators and targets stipulated in the design and monitoring framework and baseline profiling data collected at project appraisal. Subsequently, ADB will field a mission to finalize the project completion report. Evaluation activities are summarized in Table 15 below.

Table 15. Summary of Evaluation Activities Who are responsible Evaluation Activity Purpose Methodology and involved Review Mission Review the progress of Site visit and meetings ADB the project and provide with executing MOEE guidance to facilitate agency/implementing ESE implementation agency officials, contractors, consultants (twice a year) Midterm Review Assess whether Site visit and meetings ADB Mission attainment of project with executing MOEE immediate objective agency/implementing ESE (purpose in terms of the agency officials, design and monitoring consultants framework) is still likely (3 years after loan inception) Project Completion Evaluate the overall Site visit and meetings ADB Report output of the project with executing MOEE and its relevance and agency/implementing ESE suitability agency officials, consultants ADB = Asian Development Bank; ESE = Electricity Supply Enterprise; MOEE = Ministry of Electricity and Energy.

D. Reporting

85. The MOEE and ESE will provide ADB with (i) quarterly progress reports in a format consistent with ADB's project performance rating (PPR) system, no later than 30 days after the end of each quarter; (ii) semi-annual environmental monitoring reports (iii) semi-annual social safeguards monitoring reports (SSMR) within 30 days after reporting period; (iv) consolidated annual reports including (a) progress achieved by output as measured through the indicator's performance targets, (b) key implementation issues and solutions, (c) updated procurement plan, and (d) updated implementation plan for the next 12 months; and (v) a project completion report within 3 months of physical completion of the project. To ensure that projects will continue to be both viable and sustainable, project accounts and ESE’s audited financial statement together with the associated auditor's report, should be adequately reviewed.

E. Stakeholder Communication Strategy (SCS)

86. A SCS has been prepared in accordance with ADB’s Access to Information Policy (2018) and ADB’s SPS (2009) and is informed by consultations with a wide range of stakeholders including: 768 women and 1562 men at community level; 26 CSO regional representatives; 35 regional government representatives; 63 MOEE/ESE representatives; 6 representatives from Karen organizations; and 18 representatives from other sectoral ministries and departments.

87. The objectives of the SCS include: (i) fostering and sustaining stakeholders’ support for AREP, through interactive communication approaches that promote transparency, build trust between stakeholders and MOEE/ESE and enhance the project’s impact; (ii) building the capacity of officials in MOEE/ESE PMUs and PIUs to implement effectively the activities set out in the SCS; (iii) facilitating meaningful two way exchanges of information and promoting dialogue with different groups of stakeholders throughout the project cycle; and (iv) ensuring views and concerns of vulnerable groups are heard and taken account of in the design and implementation of AREP.

88. ESE will appoint one senior communication officer in the PMU with primary responsibility for SCS implementation. The officer in the ESE/PMU will be assisted by a communication officer located in each of the four regional/state PIUs. The focus of their work will include:

(i) Ensuring systematic liaison with affected people, particularly vulnerable groups, and other stakeholders, as well as executing broader communication responsibilities (i.e., media relations); (ii) Developing a range of relevant and easily understandable core and customized project information materials; (iii) Ensuring the timely disclosure of core and customized project information (including the EMP, REGDP gender action plan and grievance redress mechanism) to different stakeholders in a culturally appropriate and gender- sensitive manner in order to: (a) raise awareness of the project’s scope, and (b) highlight the benefits and potential impacts of the project; (iv) Enabling meaningful two way consultation, based on the prior disclosure of information, to capture and take account of views and feedback from directly affected people and other stakeholders in decision making on project design, mitigation measures, the sharing of benefits and opportunities and implementation issues; (v) Ensuring the full disclosure of all required documents; (vi) Developing the capacity of all staff with communication responsibilities to implement the activities detailed in the SCS; and (vii) Monitoring the implementation of the SCS throughout the project, ensuring corrective actions are taken where needed.

89. The full SCS is in Appendix 4. The SCS will be implemented by ESE throughout the project period, with the support of the Communication Specialist of the PIC.

X. ANTICORRUPTION POLICY

90. ADB reserves the right to investigate, directly or through its agents, any violations of the Anticorruption Policy relating to the project. 14 All contracts financed by ADB shall include provisions specifying the right of ADB to audit and examine the records and accounts of the executing agency and all project contractors, suppliers, consultants, and other service providers. Individuals and/or entities on ADB’s anticorruption debarment list are ineligible to participate in ADB-financed activity and may not be awarded any contracts under the project.15

91. To support these efforts, relevant provisions are included in the loan agreement/regulations and the bidding documents for the project. ADB’s Anticorruption Policy

14 Anticorruption Policy: http://www.adb.org/Documents/Policies/Anticorruption-Integrity/Policies-Strategies.pdf 15 ADB's Integrity Office web site: http://www.adb.org/integrity/unit.asp

(1998, as amended to date) was explained to and discussed with MOEE and ESE. To ensure transparency and good governance, ESE will publicly disclose on its website information on how loan proceeds are being used. For each procurement contract, ESE will disclose (i) the list of participating bidders, (ii) the name of winning bidder, (iii) basic details on bidding procedures adopted, (iv) the amount of the contract awarded, (v) a list of goods and services purchased, and (vi) the intended and actual utilization of loan proceeds under each contract being awarded.

92. An integrity due diligence was carried out in accordance with Operations Manual Sections C6 (Enhancing the Asian Development Bank’s Role in Combating Money Laundering and the Financing of Terrorism) and E1 (Financing Partnerships). No significant integrity risks were identified.

XI. ACCOUNTABILITY MECHANISM

93. People who are, or may in the future be, adversely affected by the project may submit complaints to ADB’s Accountability Mechanism. The Accountability Mechanism provides an independent forum and process whereby people adversely affected by ADB-assisted projects can voice, and seek a resolution of their problems, as well as report alleged violations of ADB’s operational policies and procedures. Before submitting a complaint to the Accountability Mechanism, affected people should make an effort in good faith to solve their problems by working with the concerned ADB operations department. Only after doing that, and if they are still dissatisfied, should they approach the Accountability Mechanism.16

XII. RECORD OF CHANGES TO THE PROJECT ADMINISTRATION MANUAL

94. All revisions and/or updates during implementation should be retained in this section to provide a chronological history of changes to implemented arrangements recorded in the PAM, including revision to contract awards and disbursement s-curves.

16 Accountability Mechanism. http://www.adb.org/Accountability-Mechanism/default.asp.

42 Appendix 1

Appendix 1

AREP Subproject Details by Region, Townships, Villages and Household

Appendix 1 43

Ayeyarwady

Number of Number of No. Description Villages Households New Construction of 66kV Double circuit line 10 mile from 66kV Myanaung-Hinthada 1 184 17273 Line to Kwin Kauk and 66/11kV, 10MVA new Subatation at Kwin Kauk New Construction of 66kV Double circuit line 0.15 miles from 66kV Ah Thoke-Kan 2 Kone(Pathein-1) Line to Kan Ka Lay Village and 66/11kV 10MVA new Substation at 101 9283 Kyaunggon Township, Kan Ka Lay Village New Construction of 33kV Line 8 miles of Ahpyauk- ZaKaGyi and 33/11kV 10MVA new 3 72 4971 Substation at ZaKaGyi New Construction of 66kV Switch Bay(1) Set at 230kV Kyaiklat Substation, 66kV Line 4 0.5 miles from KyaikLat Substation to Kyaiklat Township and 66/11kV 20MVA new 147 17786 Substation at Kyaiklat Township (Lattice Tower Type) New Construction of 66kV Switch Bay(1) Set at 66kV Kyaunggon Substation , 66kV 5 Line 30 miles at Kyaunggon-Thayet and 66/11kV 10MVA new Substation at Einme 84 24988 Township, Thayet Kone Village New Construction of 66kV Double circuit line 0.25 Miles from 66kV Hinthada-Yegyi -Ah 6 Thoke Line and 66/11 kV 10MVA new Substation at Hinthada Township, Shansu 130 11289 Village New Construction of 66kV Double circuit line 1 mile from 66kV Myaungmya-Labutta 7 Line and 66/11kV ,5MVA new Substation at Myaungmya Township, Thein Lar Village 50 6589 (Lattice Tower Type) New Construction of 66kV Double circuit line 1.5 miles from 66kV Oke Shit Pin- 8 Myanaung Line and 66/11kV 20MVA new Substation at Kyangin Township, Bet Ye 127 12087 Village New Construction of 33kV Switch Bay 12 Set at Einme Substation, 33kV Line 12 miles 9 160 61273 at Einme -Ywathit and 33/11kV 10MVA at Einme Township, Ywathit Village New Construction of 66kV Double circuit line 1.4miles from 66kV Line Gwa to 10 Thidakonepyin Junction (Ngathaingchaung Township) and 66/11kV, 20MVA Substation 179 14472 at Thidakonepyin Junction New Construction of 66kV Double circuit line 0.2 mile from 66kV Pathein-Nga Yoke 11 Kaung Taung and 66/11kV, 10MVA Substation at Pathein Township, Tha Lup Khwar 76 11013 Village New Construction of 66kV Line 17 miles from 66kV Bogale Substation to 12 Mawlamyainggyun, 66kV Switch Bay 1 Set at Bogale Substation and 66/11kV, 10MVA 103 14809 Substation at Mawlamyainggyun New Construction of 66kV Line 8 miles from 230kV Kan Kone Primary Substation to 13 119 11412 Kyaiklat and 66/11kV, 20MVA new Substation at Kyaiklat Township New Construction of 66kV Switch Bay 1 Set at Kangyidaunt Township, Kyaiklat Substation and 66kV Line 20 Miles from Kyaiklat Substation to Kyon War Village (5 14 Mile Junction) and 66/11kV, 10MVA new Substation at Myaungmya Township, Kyon 153 15789 War Village New Construction of 66kV Switch Bay 1 Set at 66kV Tha Lup Khwar Substation, 66kV 15 Line 12 miles from Tha Lup Khwar-Shawpya Line and 66/11kV 10MVA new Substation 45 4232 at Pathein Township, Shawpya Village New Construction of 66kV Double circuit line 5 miles from Myaungmya-Labutta Line and 16 41 4373 66/11kV, 20MVA new Substation at Labutta Township, Le Pyauk Village New Construction of 66kV Outgoing Switch 1 Set at 66kV Myaungmya Substation, 17 66kV Line 16 miles from Myaungmya Substation to Pyin Ywa Village and 66/11kV, 10 153 15789 MVA Substation at Pyin Ywa Village New Construction of 33kV Line 2.5 miles from Hlaingtharya-Nyaungdon and 33/11kV, 18 16 3480 5MVA Substation at Nyaungdon Township, Yoe Gyi Village

Sub Total for Ayarwaddy 1940 260908

44 Appendix 1

Appendix 1 45

Bago (East) Number of Number of No. Description Villages Households New Construction of 66kV Outgoing Switch Bay 2 Sets at 230kV Ka Mar Net Substation and 66kV Double circuit line 22.7 miles from 230kV Ka Mar Net Primary 19 Substation to Kyaik Sa Kaw Village, 66kV Line Switch Bay 4 Sets, 66kV Tr Bay 1 Set, 20 8660 66/11kV 10MVA Substation at Kyaik Sa Kaw Village (Lattice Tower Type) New Construction of 66kV Outgoing Switch Bay 2 Sets at 230kV Baing Dar (Wea Wun 20 Shan Su) Substation and 66kV (Double Circuit) Line 18 miles from Baing Dar (Wea Wun Shan Su) Substation to Kyaik Sa Kaw (Lattice Tower Type) New Construction of 66kV Outgoing Switch Bay 2 Sets at 230kV Baing Dar (Wea Wun Shan Su) Substation and 66kV (Double Circuit) Line 10 miles from 230kV Baing Dar 21 (Wea Wun Shan Su) Primary Substation to Nyaung Lay Pin , 66kV Line Switch Bay 4 41 5965 Sets, 66kV Tr Bay 1 Set, 66/11kV 10MVA Substation at Nyaung Lay Pin (Lattice Tower Type) New Construction of 66kV Outgoing Switch Bay 2 Sets at 230kV Thar Yar Kone 22 Substation and 66kV Double circuit line 14 miles from Thar Yar Kone Substation to Nyaung Lay Pin (Lattice Tower Type) New Construction of 66kV Outgoing Switch Bay 2 Sets at 230kV Thar Yar Kone Substation and 66kV Double circuit line 24 miles from 230kV Thar Yar Kone Primary 23 24 5576 Substation to Nyaung Pin Thar , 66kV Line Switch Bay 4 Sets, 66kV Tr Bay 1 Set, 66/11kV 10MVA Substation at Nyaung Pin Thar (Lattice Tower Type) New Construction of 66kV Double circuit line 15 miles from 66kV Nyaung Pin Thar 24 Substation to Nyaung Chay Htauk (Lattice Tower Type) New Construction of 66kV Outgoing Switch Bay 2 Sets at 230kV Taungoo Substation and 66kV Double circuit line 20 miles from 230kV Taungoo Primary Substation to 25 Nyaung Chay Htauk , 66kV Line Switch Bay 4 Sets, 66kV Tr Bay 1 Set, 66/11kV 32 4542 10MVA Substation at Nyaung Chay Htauk (Lattice Tower Type) New Construction of 66kV Line 9 miles from 230kV Baing Dar Primary to Pauk Taw Thi 26 36 10474 Village and 66/11kV, 5MVA substation at Pauk Taw Thi Village New Construction of 33kV Double circuit line 1 mile from 33kV Penwegon-Kyaukkyi 27 48 6884 Line to Nat Than Kwin and 33/11kV, 5 MVA Substation at Nat Than Kwin Village New Construction of 33kV Double circuit line 1 mile from 33kV Waw-Tha Pyay Kan Line 28 to Nyaung Khar Shey Village and 33/11kV, 5 MVA Substation at Nyaung Khar Shey 14 6193 Village New Construction of 33kV Double circuit line 1 mile from Taungoo-Leik Tho Line to Pa 29 54 7471 Tee Factory and 33/11kV, 5 MVA Substation at Pa Tee Factory Area

Sub Total for Bago 269 55765

46 Appendix 1

Appendix 1 47

Kayin Number of Number of No. Description Villages Households New Construction of 66kV Line 39 miles from 66kV Kyainseikgyi Substation to Ko Du 30 Kwe with 66kV Incoming/Outgoing Switch Bay 1 Set and 66/11kV , 10 MVA Substation 39 3919 at Ko Du Kwe Village New Construction of 66kV Line 26 Miles from 66kV Ko Du Kwe Substation to 31 3 778 Hpayarthonesu Line and 66/11kV, 10MVA Substation at Hpayarthonesu Township New Construction of 66kV(In/Out Double circuit line 3 miles from 66kV Koetie- 32 Kyainseikgyi Line, 66kV Incoming Switch Bay 1 Set and 66/11kV, 5MVA Substation at 37 6223 Winka Village New Construction of 66kV line 10.5 miles from 66kV Koetai to Kyon Doe and 66/11kV, 33 46 3478 10MVA Substation at Kyon Doe Township New Construction of 66kV line 44 miles from 66kV Koetai to Kyaikdon, 66/33kV, 34 60 6165 10MVA and 66/11kV, 10MVA Substation at Kyaikdon Township New Construction of 33kV line 25 miles from 33kV Taung Dee to Ah Nan Kwin, 35 Outgoing Switch Bay 1 Set at 33kV Taungdee Substation, Incoming Switch Bay 1 Set 38 5017 and 33/11kV, 5MVA Substation at Ah Nan Kwin Village Sub Total for Kayin 223 25580

48 Appendix 1

Appendix 1 49

Magway Number of Number of No. Description Villages Households New Construction of 66 kV Line 12 miles from Saw Township , Saw Substation to Long 36 She Village, 66/33kV, 10 MVA at Long She Village with 66/11kV, 5MVA and 66kV 46 3163 Switching Bay 1 Set at Saw Substation New Construction of 66kV Line 15 miles from 66kV Kyaukpadaung Substation to Shwe 37 50 5132 Pan Taw Village and 66/11kV 5MVA Substation at Shwe Pan Taw Village New Construction of 66kV Line 37 miles from 132kV Ta Nyaug Substation to Nyaung Ni 38 Chaung and 66kV Switch Bay 1set at Ta Nyaug Substation and 66/11kV, 5MVA 36 4961 Substation at Nyaung Ni Chaung New Construction of 66kV Line 22(18) miles from Natmauk City, 66kV Kan Gyi 39 Substation to near Tha Mone Kone Gyi Village , 66kV Switch Bay 1 Set at Kan Gyi 50 11539 Substation and 66/11kV, 5MVA Substation at near Tha Mone Kone Gyi Village New Construction of 66kV Lines 22 miles from 66V Koe Bin Substation to Da None 40 Myaung Village , 66kV Switch Bay 1 Set at Koe Bin Substation and 66kV Outgoing 29 5614 Switch Bay 1 Set, 66/11kV 5MVA Substation at Da None Myaung Village New Construction of 66kV Line 15 miles from 66kV Sinbaungwe Substation to 41 Sinbaungwe City , 66kV Switch Bay 1 Set at Koe Pin Village Substation and 66/11kV, 10 1741 5MVA Substation at Sinbaungwe Township New Construction of 66kV line 14.9 (13.5) miles from Thayet Substation to Yae Bwet 42 Village, 66kV switch bay 1 set at Thayet Substation and 66/11kV, 5MVA Substation at 23 2396 Yae Bwet Village New Construction of 66kV Line 19.5 (15) miles from Ngape Township, Pa Dan 43 Substation to Kan Toke Village , 66kV Switch Bay 1 Set at Pa Dan Substation and 24 4809 66/11kV, 5MVA Substation at Kan Toke Village New Construction of 66kV line 28(18) miles from Ngape Township, Padein Substation to 44 Goke Gyi Village, 66kV switch bay 1 set at Padein Substation and 66/11kV, 5MVA 12 1246 Substation at Goke Gyi Village New Construction of 33kV Line 10 miles from Magway Township, Kanbya Substation to 45 Nyaung Kan Village, 33kV Switch Bay 1 Set at Kanbya Substation and 33/11kV, 5MVA 69 13078 Substation at near Nyaung Kan Village New Construction of 66kV Line 20 miles from Aunglan Township, Da None Myaung 46 Substation to Hlan Tin Village and 66/11kV, 5 MVA Substation at near Hlan Tin Village 20 2854

New Construction of 66kV In/Out Double circuit line 0.76 miles from 66kV Man- Padein 47 14 1514 Line and 66/11kV, 5MVA Substation at Minbu Township, Lay Pin Village Sub Total Magway 383 58047 Grand Total 2815 400300

50 Appendix 1

Appendix 2 51

Appendix 2

PROJECT IMPLEMENTATION CONSULTANT (PIC)

Terms of Reference

1. Project Scope: The Project consists of design, supply, installation and commissioning of expansion and rehabilitation of distribution systems (66/33/11 kV substations, 66 kV and 33 kV lines) in following regions/states: Ayeyarwady, Bago (East), Magway and Kayin; construct new 44 substations; and construct about 1,006 kilometers of distribution lines. The project also includes (i) establishment of pilot computerized distribution automation system (DAS) in the four regions/states and Nay Pyi Taw; and (ii) enhancement of social and gender inclusive capacity of MOEE, ESE and village electrification committees (VECs) in the project areas. The project is expected to be implemented over a period of 6 years.

2. Objective of the Assignment: The services of a Project Implementation Consultant (PIC) is required to support the Ministry of Electricity and Energy (MOEE) and the Electricity Supply Enterprise (ESE) throughout the project implementation process, from procurement, construction, and commissioning. The main tasks are, but not limited to, the following: (i) conduct procurement of project packages; supervise project implementation including material supply contracts, construction and installation contracts and DAS contracts by the contractors; (ii) update, obtain approval or clearance by ADB of, and implement, the updated resettlement and ethnic group development plan and environment management plan (EMP) in accordance with the Government and ADB safeguard policies; (iii) support ESE in project monitoring and reporting in compliance with loan covenants; and (iv) support and build capacity of ESE’s project management unit (PMU)/project implementation units (PIUs) in financial management and reporting, disbursements, social & environmental planning and implementation, coordination with stakeholders, and overall project implementation, monitoring, and evaluation of the project’s progress.

3. List of Experts: A consulting firm will be engaged as the Project Implementation Consultant (PIC). It is estimated that the following key international and national experts in Table 1 will be required for this consulting assignment, consisting of about 141 person-months of international and 446 person-months of national consulting inputs.

Table 1. List of Experts Positions Number Person–Months International 10 141 Substation Engineer - Team leader 1 36 Distribution Engineer – Deputy team leader 1 30 Civil Engineer 1 6 Procurement Specialist 1 9 Financial Specialist 1 9 Environment Specialist 1 12 Social Resettlement Specialist 1 12 Gender Specialist 1 9 Stakeholder Communication Specialist 1 6 Distribution Automation System (DAS) 1 12 Specialist National 13 446 Substation Engineer 2 100 Distribution Engineer 2 100

52 Appendix 2

Positions Number Person–Months Financial Specialist 1 36 Environment Specialist* 2 72 Resettlement Specialist 2 36 Gender Specialist 2 48 Stakeholder Communication Specialist 1 48 Telecommunication Specialist 1 6 Total 23 587

* At least one (1) of the two (2) national environment specialists shall be a registered expert with the Environmental Conservation Department (ECD) under the Government Ministry of Natural Resources and Environmental Management (MONREC) for undertaking domestic EIA / IEE / EMP studies.

4. Tasks. The PIC will work closely with and support MOEE, ESE and PMU/PIUs. The detailed tasks of the PIC are, but not limited to, the following:

a. Task 1: Procurement

(i) Review and validate the draft bidding documents for all EPC, goods and works packages prepared by ESE/PMU, including preparation of detailed engineering technical design and employer’s requirements, as necessary. (ii) Finalize all the bidding documents for all contract packages included in the approved procurement plan, including any additional contract packages identified during project implementation, and assist ESE/PMU in obtaining approval by Government and ADB. (iii) Update and finalize the bidding documents for all distribution automation system (DAS) contract packages, including preparation of the detailed technical specifications, bill of quantity, cost estimates, and other information required for bidding, such as validation of available telecommunications network infrastructure for DAS. (iv) Ensure that all requirements related to environment, resettlement, safety and other safeguards provisions in the loan covenants are included in all bidding documents and contracts. (v) Assist ESE/PMU in all procurement steps of each contract package, from issuance of invitation for bids and final bidding documents, conduct of pre- bid meetings, preparing bid clarifications and addenda to the issued bidding documents, bid opening, bid evaluation and approval, contract finalization/negotiation and award, contract management (contract variations and procurement plan update); and (vi) Recommend appropriate procurement methods and prepare additional bidding packages and associated bidding documents for utilization of loan savings, if any, or due to a change in project scope, as necessary.

b. Task 2: Update and implement resettlement and ethnic group development plan (REGDP)

(i) Provide guidance to MOEE, ESE, PMU and PIUs on social safeguards aspects of the project with emphasis on land acquisition, compensation, livelihoods restoration, compliance monitoring and reporting. (ii) Provide training to relevant staff of MOEE, ESE, PMU and PIUs on national safeguards policy and ADB safeguards policy and their application. The training should include key concepts on the resettlement management

Appendix 2 53

process, demonstrating methods of implementing the REGDP in a timely manner. (iii) Based on the approved technical design and bidding documents, as well as the review and update of the REGDP, the following activities should be carried out: a) Conduct a detailed measurement survey (DMS) of affected assets and confirm the amount of permanent and temporary loss of land and assets. b) Conduct an asset registration survey to confirm all the impacted assets, impacted households, and the number of severely affected households due to the loss of productive agricultural land and residential structures. c) Provide maps with geo references (e.g., MapInfo, GIS, AutoCAD) of the affected villages and all the affected land (government and privately-owned land) using unique household identifiers to link HH documents and surveys to land. d) Provide photos of each of the affected households (preferably with all persons present) to be taken in front of their abode, with their household ID (unique identifier). Consent should be sought prior to taking photos and should the household refuse, a signed letter declining the photo is to be provided. e) All documents (IoL, DMS, compensation forms, grievances) should include the household IDs (unique identifier) and should be submitted both in document and e-file formats. f) Conduct social and gender assessments and document the affected people’s preferences regarding rehabilitation measures as well as design mitigation measures to address the affected peoples’ concerns, ensuring consultation with women and disaggregation of all data and viewpoints by sex. g) Identify and design appropriate livelihoods support programs and allowances to severely affected people and vulnerable people in accordance with the REGDP with particular attention to the livelihoods restoration needs of women and ethnic groups. h) Identify and provide special measures to assist vulnerable households, including female-headed households. i) Update the project specific entitlement matrix and the compensation costs. j) Implement the updated REGDP in a timely manner to meet the project’s schedule. (iv) Conduct a replacement cost survey to establish the current market prices of the assets that the affected people are to be compensated for, assist the government in consultations with the affected people and to arrive at the unit rates for compensation. (v) Ensure third-party validation of land purchased through negotiation as suggested in the REGDP and assist PMU/PIU in organizing related activities including documentation and reporting. (vi) Verify and confirm due diligence findings of substations documented in the REGDP and carry out additional social safeguard due diligence of new/alternate substations proposed during the implementation process and submit DDR and CAP (if necessary) to ADB for review and approval.

54 Appendix 2

(vii) Together with the communications specialist and ESE/PMU/PIU, conduct meaningful consultations with the affected people and stakeholders that encompass: a) Review and provide recommendations to the communication strategies to ensure effective communication with the affected peoples, ethnic groups and stakeholders, ensuring strategies geared to the differing information needs of women and men. b) Disseminate information and undertake consultations with the public about the project, together with PMU/PIU. c) Conduct consultations with affected households and representatives of the ethnic groups. d) Conduct regular field visits and whenever necessary during the construction to oversee the implementation of the REGDP. e) Assist PMU/PIU in the issuing of notice to harvest crops, remove rubber trees and vacate the land according to the schedule. f) Organize and attain a track record of the dissemination of information and public participation including: (a) the number of public consultation meetings, (b) the number of affected households that participated, as well as (c) comments, suggestions, and concerns of the affected households and how these were addressed. g) Assist PMU/PIU to ensure smooth transition period between the payment of compensation and assistance provided to the affected people and the clearance of areas prior to the commencement of civil works. h) Address gender concerns: ensure the participation of women in meetings and in the implementation of resettlement, and take notice of the concerns of women in connection with their resettlement and the resolution of their grievances. i) Address ethnic groups concerns: ensure the participation of representatives of ethnic groups in meetings and in the implementation of resettlement, and take notice of the traditional or culture concerns of the ethnic groups in connection with their resettlement and the resolution of their grievances. (viii) Assist ESE/PMU/PIU in providing special assistance, in the form of livelihoods support programs, to vulnerable households and households that will lose rubber plantations and/or will have to adhere to tree or crops’ height restrictions, in accordance with the entitlement matrix defined in the REGDP. (ix) Assist ESE/PMU/PIU to monitor the resettlement and compensation processes, comprising the following: a) Provide guidance to GAD on the preparation of monthly progress reports on the implementation of the REGDP. b) Prepare quarterly progress reports on the implementation of the REGDP. c) Prepare compensation completion reports. d) Prepare annual social monitoring reports. (x) Grievance Redress Mechanism (GRM): a) Assist MOEE, ESE, PMU/PIU in the development of a practical GRC and project GRM and establishing of recording, resolving and reporting on GRM.

Appendix 2 55

b) Maintain a track record of the number of affected people with complaints, the nature of these complaints, the status of the resolution of the complaints, as well as provide an assessment of the efficiency of the GRM. c) Include summary of status of GRM in periodic progress and safeguard reports submitted to ADB. c. Task 3: Construction Supervision

This task includes all necessary activities for delivery of goods, construction of substations and line installation works, and implementation of DAS. The details are as follow:

(i) Review and assist ESE/PMU in the approval of contractors’ detailed engineering design; (ii) Review and assist ESE/PMU in the approval of the equipment drawings, calculations, delivery program, and documents submitted by contractors; oversee the Clearance to Proceed notices issued by ESE/PMU following compensation of affected households/entities along the power transmission and distribution line route and substation areas; (iii) Witness and participate (if necessary) factory inspections and performance tests within the framework of the contracts; (iv) Identify any problem during project implementation, propose remedial actions, and promptly report any outstanding issues to ESE/PMU; (v) Conduct regular field visits and whenever necessary during equipment delivery, construction, installation, testing, and commissioning works; (vii) In line with the work programs of the contractors, prepare and advise ESE/PMU on the power outage planning of existing facilities during construction. The outage planning will be modified/ updated regularly. Prepare emergency and safety plans when any unplanned power outages resulting from any faults arising in the network during construction to avoid any accidents to workers and public, and to minimize power outage areas; (vii) Conduct safety training for workers prior to construction, workers’ safety check during construction, and public safety check and uninstalled materials disposal status after construction; (viii) Coordinate safety measures between electricity live lines/components in operation and lines/components under rehabilitation; give advice and when required, conduct training to ESE/PMU on safety planning and safety measures; (ix) Review and approve the commissioning test reports submitted by the contractors especially for DAS and substations; participate during the commissioning works; establish the list of deficiencies after commissioning; work with the contractor on the preparation of a timeframe for the contractors to remedy deficiencies, if any, and establish a monitoring program for this purpose; (x) Review and approve the as-built drawings and operations and maintenance manuals; (xi) Advise ESE/PMU on any contractual or technical disputes that may arise between contractors and ESE/PMU during contract implementation;

56 Appendix 2

(xii) Advise and assist ESE/PMU in securing required approvals from ADB for any proposed contract amendments or variation orders to be issued to the contractors; (xiii) Conduct training for DAS operation and maintenance to ESE/PMU ensuring that contractors/installers should transfer skills and knowledge of DAS to ESE operators in each region. (xiv) Review and verify the contractors’ invoices and assist ESE/PMU in the preparation of the withdrawal applications; and (xv) Prepare and issue the provisional acceptance certificate for the works as well as for spare parts; prepare the final taking over certificate along with the final payments to contractors to be issued by ESE/PMU after the end of the warranty period and the completion of remedies for all deficiencies.

d. Task 4: Environment (team composition - one (1) international environment specialist and two (2) national environment specialists)

Pre-construction Stage

Task 4.1. Preparation of domestic environmental assessment reports for ECD/MONREC approval

a) Preparation of domestic IEEs and EMPs, including translation into the local language (Burmese) of the project executive summary and EMP as required by ECD/MONREC17; b) Ensuring all public consultation and information disclosure requirements are met; and c) Assisting the PMU to submit and obtain approvals for domestic IEEs and EMPs from ECD/ MONREC, at preliminary design state and detailed design stage. d) In addition, coordinating with the ECD /MONREC and the local authorities on all other relevant permits and approvals, and environmental regulatory compliance issues

Task 4.2. Project Readiness Compliance

a) Assist ESE PMU in project readiness monitoring against checklist and indicators set out in the EMP, in particular: b) Update the IEE and EMP to take account of detailed engineering designs of the substations and distribution line infrastructure, factoring any new details and developments into the mitigation and monitoring plans including findings/ corrective actions obtained from physical EHS audit of existing facilities, budget and capacity development needs of ESE PMU and PIU staff. c) Ensure that all relevant requirements of the EMP, including any updates, are adequately addressed and included in the EPC bidding documents and civil work contracts. d) Ensure implementation of the environment safeguards planning document is compliant with the loan and grant covenants

17 PIC contract will include a specific line item allowing sub-contracting of an experienced English to Burmese translator.

Appendix 2 57

e) Implement and monitor meaningful consultations as per the project communication and participation plan throughput project implementation period f) Obtain ADB clearance of the updated IEE and EMP g) Implement the updated IEE and EMP h) Organize and conduct a training and capacity development program for the ESE PMU, PIUs and key contractors on topics as set out in EMP, including SEMP implementation, compliance monitoring of construction activities and preparation of periodic monitoring reports, supervision responsibilities and interaction with contractors and communities, documentation, resolution and reporting of non- compliances and complaints, provide on job trainings throughout the project implementation period. i) Ensure that a practicable Grievance Redress Mechanism (GRM) is in place and that affected persons / households, institutions and other relevant stakeholders are informed about it and procedures to place a complaint for any environment and social issues. Assist ESE with: (a) building capacity of the grievance redress committee (GRC) members; (b) maintaining adequate recording of the complaints (grievance logs and forms); (c) responses to complaints from affected persons/ households and institutions and ensure their resolution in a timely manner; (d) ensure follow-ups with affected persons / households to check that issues have been resolved satisfactorily; and (e) establishing and regularly updating a database of complaints received and status of their resolution and any bottlenecks, and summarizing the status of the GRM in the periodic and safeguards monitoring reports to be submitted to ADB. j) Assist with information disclosure, distribution of project information booklet (PIB) 18 , consultations, and participation with the public, ensuring at least 30% women’s participation overall and conducting separate consultations with women, on an ongoing basis throughout project implementation. k) Assist ESE in preparing monitoring reports for submission to the Government and ADB, including information on progress on gender mainstreaming.

Implementation Stage

Task 4.3. Implementation of IEE and EMP

a) Assist ESE PMU and PIUs in compliance assurance with relevant government laws and regulations and ADB SPS 2009 requirements. b) Assist ESE PMU in implementing IEE, EMP, and GRM. Ensure construction mitigation measures as set out in EMP are implemented.

18 A Project Information Booklet (PIB) in Burmese will be prepared (to be distributed and made available to affected persons / households in public consultation meetings, project construction field offices and at General Administration Departments (GADs). This will include the contact information including ESE website address, PMU, PIUs, PIC and contractors address and telephone number for local focal point persons e.g. PIU E&S focal point person, Contractor appointed EHS focal point person (C-EHS) and Contractor appointed GRM focal point person (C-GRM).

58 Appendix 2

c) Assist ESE in drafting and/or updating the Public Information Booklet (PIB) that will include project information including grievance redress committee (GRC), key focal point person contacts and any other details as relevant. d) Provide training to contractors, relevant PMU and PIU staff and facility operators on EMP implementation, provide training and checklists for monitoring parameters and responsibilities; on conducting consultations with affected people / households and communities on ongoing basis during project implementation. e) In coordination with contractors, prepare site environmental management plans (SEMPs) based on the updated EMP and on actual site conditions prior to mobilizing; take reference from SEMPs, and prepare Standard Operation & Maintenance Plans (SOMPs) for operation stage f) Coordinate with the ECD /MONREC and the local authorities on all relevant environmental regulatory compliance issues. g) Conduct environmental baseline surveys as set out in the EMP.19 h) Assist ESE PMU and PIUs with the information disclosure, meaningful consultation and participation on an ongoing basis throughput project implementation including dissemination of project information (e.g. project information booklets, results of environment baseline surveys, environmental safeguards, emergency response plans (ERPs), community health and safety measures and GRM; and integrate public views in project planning. i) Obtain monthly information from the contractors in a simple report template to report on mitigation activities, environmental issues and corresponding corrective actions proposed or taken, including grievances reported and status of resolution. j) Assist contractors and PIUs in environmental monitoring, preparation of project quarterly progress report (QPRs) and semi-annual and annual safeguard reporting during construction and operation phase, respectively. k) Assist the PMU and PIUs and contractors in conducting project level COVID-19 risk assessment; ensure that the contractor’s Occupational Health & Safety plans (OHSP) integrate measures to mitigate COVID-19 health risks that are aligned with government guidelines and measures listed in the EMP.20,21

Task 4.4. Construction Supervision of EPC Contractor

a) Conduct regular site visits and monitor construction, installation, testing, and commissioning of the works; identify any environment

19 PIC contractors shall include a specific line item allowing PIC to sub-contract consultancy services for conducting baseline surveys across area of influence. 20 National guidance on Covid-19 is issued by the Ministry of Health and Sports (MOHS); web- link: https://www.mohs.gov.mm/ 21 The contractor’s OHSP will be reviewed by PIC in consultation with public health inspectors of the area, local medical officers and other relevant health specialists; with a recommendation forwarded to the EA and IA for clearance.

Appendix 2 59

safeguards issues / problems during project implementation; propose remedial / corrective actions and report outstanding issues. b) Ensure appointment of trained key focal persons on staff (C-EHS, C- GRM) prior to civil works commencing c) Coordinate with contractors to finalize Site Environmental Management Plans (SEMPs) prior to civil works commencing and obtain approval from ESE PMU, supervise and regularly monitor implementation of EMP/ SEMP, community and occupational environment, health and safety (EHS) measures and GRM by all parties on the site. d) Supervise all environmental monitoring (air quality, noise, EMF) conducted by contractors e) Monitor compliance with applicable national labor laws and core labor standards, including but not limited to equal pay for equal work regardless of gender, race or ethnicity, and exclusion of child labor. e. Task 5: Gender equality mainstreaming

The International and National Gender and Social Development Specialists will support ESE to implement output three ESE capacity for gender and social inclusion enhanced as well as update and implement the GAP. The tasks will include assisting with capacity development of the regional PIUs. The tasks will include:

(i) Assist in updating the gender analysis and Gender Action Plan at project start-up and plan and execute activities to ensure its implementation. (ii) Support the operationalization of the Gender Action Plan (GAP) by working with the PMU and PIUs to prepare annual and semi-annual work plans that integrate the actions and targets into the project implementation cycle. (iii) Develop training modules and conduct gender equality and social inclusion training for ESE headquarter staff, PMU, PIUs, and other PIC team members. (iv) Review MOEE/ESE human resource policies and practices to recommend entry points for i) integrating gender-sensitive and inclusive HR practices, including reasonable workplace accommodation for people with disabilities and ii) increasing representation of women in senior management in headquarters and at all levels in regional and township offices of ESE. (v) Provide ESE management and HR with technical inputs to develop and deliver recruitment campaigns that target hiring women in new positions in ESE created during project implementation (vi) Develop a gender equality and social inclusion roadmap that describes the services, communication mechanisms and actions ESE will apply to mobilize and build the capacity of gender-balanced, representative and inclusive Village Electrification Committees (VECs), set targets for women’s representation on VECs, optimize demand and affordability of connections for all households in newly electrified areas, raise awareness on safe and efficient usage of electricity for time-saving and livelihoods among women and targeted groups and increase the representation of women in ESE positions that are in the frontline of serving communities (eg. meter readers). The roadmap will also outline the resources, staffing, coordination mechanisms with other government departments, rural

60 Appendix 2

development agencies and civil society organizations to optimize the use of electricity to achieve rural development and gender equality goals. (vii) Coordinate with Service Provider engaged under the Technical Assistance on Gender Equality and Social Inclusion in Rural Electrification to apply actions for the GESI Roadmap in targeted villages. Provide inputs to the Service Provider on developing the TA outputs including awareness-raising materials and training modules to ensure alignment with the GESI Roadmap. (viii) Support the ESE PMU and PIUs in supervising the TA on GESI in Rural Electrification by conducting ongoing monitoring and technical inputs to ensure alignment with ESE priorities for rural electrification and the GESI Roadmap. (ix) Document results and knowledge generated from the TA to brief the ESE headquarters management, human resources and regional offices on its implementation progress. (x) Coordinate with the Service Provide and ESE PMU to integrate the training modules, techniques and tools developed under the TA into ESE staff training programs to ensure ongoing application in other regions and townships. (xi) Identify leadership training opportunities for senior women professionals in ESE central and regional offices that will encourage their entry into management positions. Work with ESE management and HR to facilitate and arrange the leadership training program. (xii) Review and provide inputs in distribution line and sub-station detail design and construction to ensure that design elements maximize benefits and minimize negative impacts to women and vulnerable groups and consider the points raised by these groups during consultations throughout implementation. (xiii) Coordinate with engineering and environment teams to ensure that electricity safety training modules and delivery methods are gender sensitive and that participation of women meets GAP targets. (xiv) Support Resettlement specialists in consultation, training and facilitation methods that will reach out to men and women from different vulnerable groups of affected households and assist in implementing gender measures in the resettlement plans. (xv) Ensure that men and women from ethnic groups, affected women headed households are consulted effectively and have access to fair and timely compensation and to grievance procedures; follow-up to ensure that women from affected households are prioritized for project livelihood development programs. (xvi) Support data collection for monitoring based on sex-disaggregated monitoring indicators (together with Monitoring & Evaluation specialist); (xvii) Compile information and assist PMU and PIU to prepare progress reports on GAP, and gender and vulnerable actions in REGDPs. (xviii) Assist the ESE PMU to ensure that the measures identified in the GAP and SPRSS are included in the bidding documents and civil works contracts.

f. Task 6: Project Administration

(i) Review project performance indicators in the loan document (PAM and DMF). Set up a project performance monitoring program with measurable

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indicators, keep record of project performance, keep record of all correspondence between ESE/PMU, contractors, PIC and ADB; (ii) Prepare and monitor overall project disbursement plan and disbursement schedules for each contract, monitor project costs, and assist the PMU/PIUs in maintaining the project accounts; (iii) Monitor the project execution activities in line with the project implementation schedule and work programs provided by contractors; (iv) Prepare regular project progress reports in accordance with ADB requirements for submission to ESE/PMU and ADB; (vii) Prepare the Project Completion Report in accordance with ADB requirements; and (viii) Provide on-the-job training to ESE/PMU staff and PMU/PIU in financial management, procurement, contract management, as well as technical, environmental, and social aspects of the project. g. Task 7: Reporting

The PIC will prepare the following reports (in addition to the required deliverables under each of the Tasks mentioned above):

(i) Inception Report – demonstrating consultant mobilization, methodology to implement each task, communication etc., and stock taking of the preconstruction activities, to be submitted within two months from start of the services; (ii) Monthly Activity Report (to be submitted within 10 days after each calendar month from start of services) – a brief 3-5 page report on activities carried out and issues that occurred in the previous month; to include a bar chart (with monthly percentage accomplishment) listing important activities and deliverables or reports to be completed per TOR task; (iii) Quarterly project monitoring reports (to be submitted within 15 days after the end of each quarter which could be a consolidation of the previous 3 monthly activity reports), to include, but not limited to, project implementation activities and progress, utilization of ADB loan and counterpart funds, compliance with loan covenants, project issues and problems and measures undertaken, update on safeguards implementation progress (environmental, social, GAP), and work program for the next quarter. (iv) Update the REGDP and monitor and report on the implementation and completion of the REGDP; (v) Semi-annual environmental monitoring reports; and (vii) Project completion report. h. Task 8: Financial Management.

(i) Assist MOEE and ESE/PMU in establishing and maintaining the appropriate budgets for the Project ensuring that Project activities, contracts and disbursements are included in the Government of Myanmar’s Budget of MOEE leading to financial commitments in the Government of Myanmar’s Annual Budget allocations; (ii) Assist MOEE and ESE/PMU in establishing and maintaining project accounts (accounting and financial management systems and records) in

62 Appendix 2

compliance with the procedures and guidelines of the Government and the ADB; (iii) Assist MOEE/ESE/PMU in maintaining proper internal controls over the financial operations of the Project, particularly for bank accounts and cash advances; (iv) Assist MOEE in the approval of expenditures; assist ESE with preparation of withdrawal, check contractor invoices; (v) Prepare section on finance for regular project reporting (quarterly project reports); (vi) Assist ESE to implement the financial management action items by the agreed timeframes stated in the Financial Management Assessment; (vii) Assist MOEE/ESE/PMU in the recording, management and administration of all financial transactions under the Project; (viii) Assist ESE/PMU in the preparation of the project financial statements, entity financial statements (statutory reports) and any financial reports as required by ADB in a timely manner; (ix) Assist MOEE and ESE/PMU in facilitating the audit of the project financial statements, and entity financial statements (statutory reports) by OAG or other external auditors acceptable to ADB, in a timely manner for submission to ADB; (x) Assist ESE/PMU to implement the management letter recommendations and report on the status of previous recommendations not yet implemented; (xi) Ensure that the audited reports to be submitted to ADB are translated in English and the English translation properly signed off by the external auditors; and (xii) Provide on-the-job training and develop staff capability to counterpart MOEE and ESE/PMU staff on all aspects of financial management and project reporting processes and procedures in accordance with ADB standards and guidelines.

i. Task 9: Public consultation and communication

(i) Assist MOEE/ESE to review the Stakeholder Communication Strategy (SCS) at the start of the project and at regular intervals throughout project implementation to ensure it continues to reflect accurate approaches for engaging different stakeholder groups. Ensure gender considerations are fully integrated into the implementation of the communication strategy. (ii) Support the MOEE and ESE to implement the SCS by working with the PMU and PIUs to:

a) Develop and monitor implementation of annual workplans for communication staff and ensure these are aligned with those of environmental, social and gender counterparts who have consultation responsibilities. b) Develop a range of easily understandable core and customized project information materials to meet the needs of different stakeholder groups including women, ethnic groups, landless and elderly. Materials will include a Project Information Booklet (PIB), Frequently Asked Questions (FAQs), Pamphlets, Fact Sheets, Route Maps, and other relevant materials. c) Ensure timely dissemination of information materials to different stakeholder groups, particularly primary stakeholders or those directly affected by the project, to raise awareness of the project’s scope, benefits and impacts. d) Conduct meaningful two-way consultations with different groups of project affected people, including women and vulnerable groups, and other stakeholders, to build trust and support for the project. The

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consultation process, based on the prior disclosure of project information, will facilitate: (i) the capture of concerns and perceptions about the project (ii) the consideration of those concerns in decision making on areas such as project design, affordability of electricity, mitigation measures, the sharing of development benefits and implementation issues etc and (iii) the provision of feedback to stakeholders, disaggregated by sex, as to how their input has been taken account of. e) Ensure that all stakeholders have a full understanding of the role and structure of, and how to access, the Grievance Redress Mechanism (GRM). f) Collaborate/ form partnerships with selected CSOs/NGOs to enhance outreach to vulnerable groups to ensure that their voices are heard throughout project development. g) Ensure systematic consultations with Village Electrification Committees (VECs), village leaders and women’s groups on project scope and related issues including affordability for poorer groups. h) Monitor VECs and Village leaders information sharing/consultation with, and reporting to different groups, including women’s groups, within local communities. i) Ensure contractors appoint a communication focal point for each sub project. j) Ensure discussions between contractors and affected communities prior to start of construction on planned activities, compliance with EMP, labour issues, timeframe, etc. k) Assess ESE/VEC/village leadership capacity to implement approaches and activities detailed in the SCS and identify areas for capacity building. l) Develop corresponding training modules for PMU and PIU staff and VEC and village leaders. This should be done in close coordination with staff responsible for environmental, social and gender components of the project. m) Oversee trainings at national, regional/state and local level. n) Prepare monthly progress and biannual monitoring reports on compliance with communication requirements. o) Develop a communications protocol to ensure coordinated communications across the PMU and PIUs.

j. Other tasks. The PIC must satisfactorily perform all the above tasks. Apart from the tasks detailed above, the PIC is required to perform any other project-related tasks as may be requested by MOEE, ESE and PMU/PIUs for the successful implementation and completion of the project.

5. Qualification requirements of key experts. Key experts must meet the applicable qualification requirements below:

(i) International experts should have a university degree in related fields, preferably with post-graduate degree. (ii) The team leader and the deputy team leader should have at least 10 years of relevant experience in the power sector, particularly medium/high voltage power transmission lines and substations.

64 Appendix 2

(iii) The team leader and the deputy team leader should have demonstrated working experience in the design, construction and/or supervision of medium/high voltage transmission lines and substations. (iv) The team leader and the deputy team leader should have prior experience as a team member of a project implementation or supervision consultant in at least one ADB-financed project, evidenced by past experience records. (v) The team leader should be familiar with the monitoring and reporting requirements for ADB-financed projects, evidenced by past experience records. (vi) The team leader should have demonstrated leadership ability in working in developing countries in Southeast Asia and able to adapt to working environment in these countries. Working experience in Myanmar will be an advantage. (vii) The international DAS specialist should have at least ten years of relevant work experience in medium voltage power distribution networks, including at least five DAS projects in various countries. (viii) The international environment specialist and the international social development specialist (resettlement) should have prior work experience as a team member of an ADB-financed project, such as under project preparatory technical assistance, detailed design, and/or project supervision/implementation consulting assignment. (ix) Other international experts should have at least 7 years of relevant experience in similar assignments, preferably in the implementation of power projects including medium/high voltage transmission lines and substation systems. (x) The national experts shall have a bachelor’s, preferably with a post-graduate degree, and at least 5 years of relevant experience in similar assignments for power sector projects, including medium/high voltage transmission lines and substation systems. The experts should have a good knowledge of power transmission and substation sector in Myanmar. (xi) The national telecommunication specialist shall have a bachelor’s degree, preferably a post-graduate degree, and at least 5 years of relevant experience in the telecommunication systems. The expert should have a good knowledge of existing wireless (especially 3G/GPRS) communications in Myanmar. (xii) At least one (1) of the proposed national environment specialist shall be a registered expert with the Environmental Conservation Department (ECD) under the Government Ministry of Natural Resources and Environmental Management (MONREC) for undertaking domestic EIA / IEE / EMP studies.

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Appendix 3

GENDER ACTION PLAN

The gender analysis found that women in the target areas are supportive of the objective to electrify their village. The main benefits women identified were to reduce their workload through time-saving appliances, increase study-time for children through lighting, increase access to water from electric pumps, and develop electricity-based livelihoods for themselves or other members of the household. Safety for children was a key concern. Women were concerned about having information on the cost of household connections and utility costs. Women were aware of the project plans but had limited representation on Village Electrification Committees. The implementing agency, Electricity Supply Enterprise, has most women staff in its headquarters but more gender-balance is needed in region and township office staffing. The gender action plan identifies ways to address these concerns, ensure that gender equality is integrated across all outputs, and optimize the contribution of rural electrification to gender equality and women’s empowerment.

Activities Indicators and Targets Responsible Outcome: Increased capacity, regional coverage, and operational efficiency of power distribution in central and southern Myanmar. • 15% of poor households, including poor female headed household, in AREP electrified villages are connected (baseline =0) Output 1: New distribution facilities added to the distribution systems in Ayeyarwady, Bago, Kayin and Magway 1.1 Conduct consultation with women and 1.1.1. Women are at least 40% of total participants ESE PMU & ethnic groups at every stage of distribution in public consultations (baseline = 34%) PIUs facility detailed design and construction. (Q3 1.1.2. At least 1 separate consultation with women 2022-Q4 2025) held in preconstruction phase for every sub- Construction project contractors 1.1.3. Ethnic groups represented in consultations in proportion to % of the target population. 1.2 Require EPC contractors to hire a 1.2.1 Contractors report sex disaggregated labor PMUs & PIUs minimum percentage of women in unskilled data Contractors 1.2.2 20% of local laborers hired for construction labor in bidding documents (Q4 2021–Q3 PIC monitors 2022). are women 1.3 Include gender equality and fair labor 1.3.1. 100% of construction contracts include gender PMU & PIUs practices in contract documents including equality, and fair labor practices (minimum Construction (i) equal pay for work of equal value, (ii) those mentioned in (i) to (v)). Contractors gender-related core labor standards, (iii) PIC monitors facilities for women workers, (iv) gender- inclusive occupational safety, and (v) prevention of child labor. (Q4 2021–Q3 2022). 1.4 Conduct electrification information 1.4.1. Women are at least 40% of participants in PIUs with sessions at village level about connection electrification information sessions support from process, costs, and responsibilities of ESE, (baseline=0) PIC VECs and households with broad 1.4.2. Ethnic groups represented in information participation of women including FHH and sessions in proportion to % of target women from ethnic groups. (Q3 2022-Q2 population. 2027) 1.5 Promote awareness about electricity 1.5.1 Women are at least 30% of participants in PMU & PIUs safety among women, ethnic groups, electrification safety trainings (baseline = 0) with support including community health and safety 1.5.2 Ethnic groups represented in safety trainings from PIC guidelines for distribution and transmission. in proportion to % of target population. (Q3 2022-Q2 2027)

66 Appendix 3

Activities Indicators and Targets Responsible Output 2: New computerized DAS established and piloted 2.1 Transfer and train women employees in 2.1.1 At least 40% of staff trained in DAS are PMU DAS (Q3 2024–Q2 2027) women (baseline = 0) Output 3: Gender equality and social inclusion (GESI) capacity of ESE and village electrification committees (VEC) in the project areas enhanced 3.1 Develop and deliver training module on 3.1.1 Training module for gender and social ESE gender equality and social inclusion inclusion mainstreaming in ESE developed. management mainstreaming in i) the workplace and ii) in 3.1.2 95% of PMU, PIU, PIC staff trained in gender PMU & PIUs rural electrification programs for ESE staff. and social inclusion (baseline = 0). PIC Gender (Q4 2021-Q3 2022). 3.1.3 40% of staff in ESE headquarters and project Specialist targeted regional offices trained in gender and social inclusion (baseline=0) 3.2 Develop leadership training module for 3.2.1 40% of female ESE senior officers (assistant ESE senior women professionals in ESE central engineer, superintendent engineer) from management and regional offices to encourage their entry central and regional level attend a leadership PIC Gender into management positions. (Q3 2022 – Q2 development training course (baseline = 0 out Specialist 2024) 78 senior female officers attended course) 3.3 Develop and deliver recruitment 3.3.1 At least 30% of new jobs in ESE Regional and ESE campaigns that target hiring women in new township offices created during project management, positions in ESE created during project implementation are filled by women HR implementation. (Q1 2024 – Q3 2027) (baseline=20% existing female staff in PMUs & PIUs regions). PIC Gender 3.3.2 New recruitment tools (poster, social media Specialists advertisement, school visits) featuring women in ESE technical jobs created. 3.4 Develop MOEE/ESE gender and social 3.4.1 Gender and social inclusion roadmap for rural ESE PMU, inclusion roadmap for rural electrification electrification adopted by MOEE / ESE. PIUs covering: (i) affordability of connections for & PIC Gender poor, FHH, and ethnic group households; specialists (ii) Capacity of rural women, ethnic groups and poor households to safely and efficiently use electricity for time-saving and livelihoods; and (iii) women’s employment in ESE. 3.5 Set minimum number of places for 3.5.1 At least 25% of VEC members for newly PMU, PIUs, women on VEC and disseminate information electrified villages are women by 2027 PIC Gender about VECs to women to ensure their specialists participation. (Q1 2023) 3.6 Provide training on leadership, financial 3.6.1 80% of women members of VECs trained in PMU, PIUs, management to women representatives on leadership & finances (baseline=0). PIC Gender VEC. (Q12024 - 2027) Specialists 3.7 Train VECs in GESI roadmap with a 3.7.1 At least 50% of VECs in project target areas PMU, PIUs, focus on measures to increase affordability adopt at least one measure to facilitate PIC Gender of connections for poor households, FHH, electrification for households in lowest wealth specialists and ethnic group households (Q1 2024 - Q4 category (baseline=0). 2026) 3.8 Engage a livelihood service provider and 3.8.1 At least 1 module on electricity-based PMU, PIUs, implement training on women’s electricity- livelihood development for women created PIC Gender based livelihood development in project 3.8.2 At least 10 women per village trained in Spec. electrified villages. (Q1 2024 - Q4 2026) electricity-based livelihoods in at least 10 Livelihood villages per project targeted region. Contractor Project management 3.9.1 1 central and 4 regional PIU Gender MOEE/ESE Specialists and 1 national and 1 international management PIC Gender Specialist hired.

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Activities Indicators and Targets Responsible 3.9 Hire PIU Gender Specialists and hire 3.9.2 Women are 60% of PIU staff and 30% of PIU women in central and regional PIUs including supervisors/managers. in management roles. ESE = Electricity Supply Enterprise, FHH = female headed households, GESI = Gender Equality and Social Inclusion; MOEE = Ministry of Energy and Electricity, PIC = Project Implementation Consultant, PIU = Project Implementation Unit (regional), PMU=Project Management Unit, VEC= Village Electrification Committees

68 Appendix 4

Appendix 4

STAKEHOLDER COMMUNICATION STRATEGY (SCS)

I. Introduction

1. The lack of affordable and reliable energy supply to both urban and rural communities has been identified as a key constraint to poverty reduction and economic development in Myanmar.

2. To address this problem the government of Myanmar has prioritised: (i) the rehabilitation and construction of power plants to increase generating capacity; (ii) the expansion and upgrading of the transmission network to remove transmission constraints and (iii) the expansion of distribution systems to connect more customers to the electricity grid, particularly in underserved rural areas.

3. The Accelerated Rural Electrification Project (AREP), supported by ADB, is an integral part of these plans. Its overall aim is to increase electricity supply within Myanmar in support of Myanmar’s inclusive and sustainable development goals and to achieve universal electricity access by 2030.

4. Key activities of AREP include enabling the electrification of 400,300 households in 2,815 villages in Ayeyarwaddy, Bago (East), Magway regions and Kayin State by: (i) adding new distribution facilities; (ii) establishing and piloting a new computerised Distribution Automation System (DAS) and (iii) enhancing the social and gender inclusive capacity of Ministry of Electricity and Energy (MOEE) and Electricity Supply Enterprise (ESE).

II. Objectives of Communication Strategy

Overall Objective: To foster and sustain stakeholders’ acceptance and support for AREP, through interactive communication approaches that promote transparency, build trust and mutual understanding between stakeholders and project management and contribute to enhanced project outcomes.

Specific objectives: • To build the capacity of officials in MOEE/ESE Project Management Unit (PMU) & Project Implementation Units (PIUs) to implement effectively the activities detailed in the SCS; • To facilitate meaningful consultations on project scope and different aspects of rural electrifications with different groups of stakeholders throughout the project cycle; • To ensure views and concerns of vulnerable groups are heard and taken account of in the design and implementation of AREP.

III. Potential Issues/Risks

• Limited capacity of MOEE/ESE staff at Union and regional/state levels to implement the SCS, e.g. to engage constructively with all stakeholders, especially vulnerable groups within project- affected communities; (b) handle complaints competently throughout project development. • Village Tract Officials, Village head and Elders have limited understanding of AREP and risk raising unrealistic expectations and/or fueling concerns within project-affected communities.

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• Village Electrification Committees (VECs) do not adopt a transparent and inclusive approach to electrification of communities encouraging disaffection for/ lack of trust in the project by excluded households. • Different stakeholders in project-affected communities, including vulnerable groups, have only a cursory or incomplete understanding of the project and may feel that their concerns related to electrification, e.g. health and safety, are not addressed thus reducing support for the project. • Project-affected households may have either only a limited understanding of their entitlements and compensation levels or disagree with the level of compensation leading to opposition to the project. • All households in project-affected areas, especially households of vulnerable groups, may not be able to afford the cost of connections thus stoking discontent and opposition to the project.

IV. Stakeholders

Key Stakeholders Primary/Direct Secondary/Indirect Stakeholders Stakeholders Ministry of Energy & Village Electrification Engineering, Procurement Electricity (MOEE) Committees (VEC) and Construction (EPC) contractors Electricity Supply Enterprise Landowners and Farmers Village Head and (ESE)- Union and elders/Village Tract regional/state levels /Township Administration

Regional and State Businesses CBOs/CSOs/INGOs Government Departments of Ayeyarwady, Bago (East) and Magway and Kayin including: Rural Development; Health; Education; Agriculture Livestock and Irrigation, Forest and Land Cadastral General Administration Women Members of Parliament Department (GAD), (MPs) Environmental Conservation Vulnerable/Marginalised Temples/Monasteries Department Groups (includes poor HHs/FHHs/s, casual labourers (landless), ethnic groups, disabled and elderly) Myanmar Women’s Rural Youth and Children ESE township (meter Affairs Federation (MWRAF) readers, technicians and engineers) and ESE substation staff Asian Development Bank Health Centres (ADB) Schools

Key Stakeholders: those who can significantly influence or are important to the success of the project Primary Stakeholders: those who are directly affected by project activities

70 Appendix 4

Secondary Stakeholders: those who have some influence and/or who act as intermediaries in the project process.

V. Strategic Approach

5. The communication strategy is a cornerstone for strengthening engagement with AREP stakeholders. A stakeholder analysis for the project identifies and classifies stakeholders into the three groups, listed under section D, and provides an understanding of their different interests in the project as well as their concerns about it, The stakeholder analysis anchors the communication strategy by enabling targeting of different stakeholder groups and tailoring communication and engagement mechanisms to meet their particular needs.

6. The communication strategy adopts a multipronged approach that: (a) recognises the importance of delivering timely access to relevant and understandable information/ messages through appropriate communication channels; (b) promotes meaningful consultation through discussion, dialogue and feedback; (c) prioritises building MOEE/ESE’ capacity to engage productively and transparently with stakeholders; (d)) expands outreach to poor and vulnerable groups and amplifies their voice through collaboration/ partnership with civil society organisations (CSOs)/non-governmental organisations (NGOs) and (e) takes account of lessons learned in upgrading electricity infrastructure in earlier/ongoing projects.

7. This communication strategy acknowledges the importance of local knowledge and direct participation of stakeholders at all stages of the AREP project cycle. Systematic engagement with local communities, advocated by this strategy, may also help build their confidence to hold project management, VECs and related government agencies accountable for safe and efficient delivery of electricity.

8. The communication strategy should be viewed as a crucial underpinning of all AREP activities requiring a commitment and involvement from staff at all levels for its effective implementation. The precepts in the strategy are aligned with consultation principles set out in the REGDP, EMP, Gender and Social Development Plan. The strategy, therefore, envisages systematic collaboration between communication and environmental, social and gender staff within PMU/PIUs. The strategy is dynamic and will be revisited and updated at regular intervals.

Information and Communication Circle

Accessible information generated & targeted

Voice heard Information available via /response Equity appropriate communication channels

Inclusion Dialogue, expressing views/providing feedback

Different groups access information Discussion,/ clarification, understanding

Adapted from UNDP’s Access to Information Practice Note

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VI. Key Elements of Strategy

9. Establishment of a communications structure within AREP: A senior communication officer will form part of the staffing of the PMU in Nay Phi Taw and a communications officer will be recruited for each of the PIUs in Ayeyarwaddy, Magway, Bago (East) regions and Kayin State. The outreach of the communication officers will be both vertical i.e. linking the PMU at Union level to communities at local level, and horizontal requiring the communication officers within the PMU and PIUs to have systematic contact with their colleagues within the Units as well as stakeholders at central and regional levels. Communication focal points within communities at each sub project will be identified and contractors/construction companies will be required to appoint a communication focal point to facilitate relationships with communities.

10. Development of Key Messages : Key messages about AREP will be developed and will include: (i) main features of the project – its objectives, problems that AREP seeks to address, benefits and impacts focusing on the productive and safe use of electricity potential benefits and impacts, locations of project and intended beneficiaries etc; (ii) overview of planned activities ( also covering EMP, REGDP and GAS) including mitigation measures, sequencing of activities and time frame; (iii) mechanisms for stakeholder participation throughout project cycle (iv) Role and structure of Grievance Redress Mechanism (GRM), accessing the GRM (v) Environmental, Health and Safety (EHS) guidelines (vi) progress of project implementation ( vii) achievements and lessons learned. The PMU and PIU teams will ensure: (a) they have an up to date understanding of the type of information required by each stakeholder group, especially vulnerable groups, at each stage of project development and (b) timely delivery of that information through appropriate channels.

11. Dissemination of Key Messages: Information will be circulated through a wide range of easily understandable, relevant and culturally appropriate, local language materials. These will include leaflets, fact sheets, posters, Frequently Asked Questions (FAQs), public noticeboards, website, etc. and will be tailored to meet the needs of specific stakeholder groups. A Project Information Booklet (PIB) providing a detailed overview of the project, will be produced and circulated widely through a range of communication channels to stakeholders and general public.

12. Use of various communication channels: Information/messages about the project will be conveyed through appropriate communication channels to meet the specific needs of different stakeholder groups. These will include a mix of traditional and on line communication channels. Traditional mechanisms, including meetings, sign boards, loud speakers, television and local radio as well as sms will be prioritised at village level to ensure information can be accessed by all stakeholders, including vulnerable groups. Information about the project should also made be available online/social media/Facebook and MOEE/ESE project website for the ease and convenience of those stakeholder groups with ready access to the internet.

13. Two-way communications: Meaningful consultations through systematic interaction between project staff and different groups of stakeholders will take place throughout the project cycle. Priority will be given to primary stakeholders -those directly affected by the project- with the aim of ensuring that they understand the project’s objectives, activities, timeframe etc and are able to participate in meetings or other forums which allow them to discuss proposed actions, raise concerns, suggest additions/changes through monitoring of activities. Particular attention will be paid to ensuring that public meetings, focus group discussions, face to face meetings, etc. are scheduled in locations and at times convenient and safe for different stakeholder groups. At the same time project management will ensure that a feedback mechanism is put in place across the project through which staff in PMU and PIUs consider and respond to stakeholders’ feedback as an integral part of project planning and development.

72 Appendix 4

14. Building adequate capacity within MOEE/ESE to implement the SCS: Enhancing the capacity of officials within the ESE /PMU/PIUs to respond to/engage with stakeholders is an integral part of the communication strategy. Officials at all levels need to have both the confidence and competence to facilitate consultations on all aspects of electrification and related issues with different groups of stakeholders, respond to concerns/manage disputes raised through the Grievance Redress Mechanism (GRM), extend project outreach to the most disadvantaged stakeholder groups etc. Capacity building will mostly be in the form of workshops, seminars and on the job training.

15. A cascade approach to building communication capacity will be employed. The Project Implementation Coordinator (PIC), supported by an ADB communication specialist, will focus on strengthening communication capacity within the ESE PMU in Nay Phi Taw. The senior communication officer and other designated staff within the PMU will then prioritise strengthening/building the capacity of the communication officer and other staff in PIUs, including environmental, social and GRM officers, to implement communication activities at regional, township and community levels. PIU staff will in turn work to build the capacity of the VECs, Village Elders, Village Tract/Township officials communication focal points, including the contractor-appointed EHS focal point, to increase awareness of the safe introduction and productive and efficient use of electricity with different groups within communities. PIU staff will also train ESE local staff (e.g.- meter readers) to conduct awareness raising on efficient energy usage.

16. Collaboration with selected CBOs/CSOs/NGOs: Social, Environmental and Communication officers within the PMU and PIUs will seek to collaborate/ develop partnerships with those CBOs/CSOs/NGOs which have significant knowledge /experience of working with women and vulnerable groups in sub projects areas. Such collaboration will enable the project to have broader outreach to those groups and ensure that their interests and concerns are properly reflected in project plans and activities. All collaboration/partnership arrangements with CSOs/NGOs under the AREP will indicate clearly the required depth and frequency of interaction with different vulnerable groups.

17 Liaison with advocacy NGO/INGOs: Project Management, together with Social, Environmental and Communication officers, within the PMU and PIUs will liaise in a timely way with advocacy NGOs/ INGOs and ensure regular dissemination of information to respond to potential concerns and limit possible disruption to the project.

18. Establishing & Maintaining the Grievance Redress Mechanism (GRM): The GRM is an essential vehicle for encouraging stakeholder engagement in, and support for, AREP. Communication officials at PMU and PIUs will work closely with their environmental and social counterparts and other project staff to ensure that a multi-level GRM is established and maintained and that communities and other stakeholders are made aware of its purpose and how to access it during the project preparation phase.. It is expected that a fully functional GRM will help resolve disputes related to the project before they escalate and become more difficult to manage– serve as an ‘early warning system’ for project management; contribute to building trust and confidence of communities in sub projects and encourage productive working relations between communities and project staff/management. A functional GRM may also serve as a conduit for inviting suggestions, increasing community participation, and promoting transparency and accountability. It can also help deter fraud and corruption and mitigate project risks.

19. Project Updates: Project Management will share brief monthly updates with stakeholders through a mix of traditional and online communication channels. More detailed quarterly progress reports will be disseminated in advance of village-level meetings to discuss progress on implementation and related issues. Quarterly meetings at village level should be

Appendix 4 73 time bound and carefully planned and facilitated to encourage widespread participation and stimulate feedback. The PMU and PIU teams will be aware of the need to avoid ‘meeting fatigue’ at village level and coordinate carefully in advance so that where possible joint sectoral meetings take place at times that do not interrupt people’s work. Separate meetings in safe places will be planned with women and village meetings will be monitored to check the level of participation of other vulnerable groups such as landless households. Regular meetings will also take place with various indirect stakeholders.

20. Retention of specialist technical support: ADB communication specialist(s) will support MOEE/ESE to fulfil their responsibilities under the SCS.

VII. Institutional Responsibilities for implementation of Stakeholder Communication Strategy

ESE Project Management Unit (PMU) – Nay Phi Taw: Senior Communication Officer, Project Manager, Project Implementation Coordinator (PIC) and other designated staff, supported by the PIC

Responsibilities will include:

Oversight/ Supervision Responsibilities • Input to/ Supervise the implementation of PIUs’ annual communication workplans • Ensure that the stakeholder analysis for the project is reviewed and updated at regular intervals. • Ensure the Stakeholder Communication Strategy is implemented to an acceptable standards across all project areas. • Develop a protocol to ensure coordinated communications across AREP • Review monthly/quarterly communication reports from PIUs

Design, Development and Distribution of Information Materials • Develop/ Oversee the development and production of core and customized project information materials. (including Project Information Booklet (PIB), pamphlets, leaflets, FAQs, fact sheets, project maps, etc.), targeted to different stakeholder groups and tailored to meet their specific needs. Ensure that these are regularly reviewed and updated to reflect current status of project. • Oversee the development & regular updating of AREP website; upload project success stories • Supervise/Input to developing success stories, video clips for project website/ social media

Consultations, and Outreach to Vulnerable Groups • Conduct consultations with national level stakeholders • Oversee PIUs consultations with direct stakeholders • Support PIUs collaboration with/partnership with CSOs/CBOs • Ensure that a common feedback system is in place across the project.

Capacity Building and Awareness Raising • Develop training modules on key aspects of the SCS • Conduct training for PIU staff on the SCS: supervise/input to communication trainings conducted by PIU staff with VECs, village leaders and communication focal points • Ensure training is provided to government officials and all stakeholders on the role and structure (formation of Grievance Redress Committees at each level) of the Grievance Redress Mechanism (GRM); accessing the GRM, logging, processing, handling and reporting back on grievances etc.

74 Appendix 4

Media • Act as media contact point for the project.

Project Implementation Units (PIUs) in Ayayarawaddy, Bago (East), Magway regions and Kayin State: Communication Officer, Environmental, Social and Gender Officers and other designated staff. Supported by PMU and the PIC:

Responsibilities will include:

Development and Distribution of Information Materials • Develop/input to the development of core and customized information materials (including leaflets, FAQs, fact sheets, posters, distribution route maps etc), targeted to different stakeholder groups and tailored to meet their specific needs. Ensure that these are regularly reviewed and updated to reflect status of project. • Develop success stories, photos, video clips and post them on website/Facebook • Ensure photos are taken at project-related events and that these are posted with captions on social media (Facebook) and project website. • Distribution of printed information materials at community, township and regional levels • Set up project sign boards (to include name, key details of the project, contact phone numbers, address of local ESE/MOEE office) at relevant locations within the project area as well as PIU offices. • Set up public notice boards inside/outside PIU offices in each project area/ and other relevant places for easy public access e.g. village administrator’s office, VEC office • Post and update information, announcements, notifications, photos, route maps of distribution lines on public notice boards. • Create a Face book page for the project and update regularly; ensure questions asked via Facebook are answered in a timely way. • Input to project website and update regularly with project information (e.g. project documents, photos, success stories, maps, video clips).

Project Telephones • Set up and maintain a dedicated telephone line for the project in each PIU • Handle project telephone calls from public/affected people/CSOs/NGOs, other government departments etc. by providing accurate information in an appropriate manner. • Systematically register telephone queries, caller’s information and answers provided.

Consultations, and Outreach to Vulnerable Groups • Conduct systematic and frequent consultations with primary stakeholder groups, following prior disclosure of information, on broad range of issues related to electrification e.g. the role of VECs in implementing AREP; safe introduction and maintenance of electricity; enhancing livelihoods through productive and effective use of electricity; impact of electricity on health, education and other local public services etc. • Discuss feedback from communities with project team and ensure action taken; close ‘feedback loop’ by providing response to communities in subsequent consultations. • Liaise with village leadership to identify and support communication focal points within project- affected communities. • Identify and collaborate with relevant CSOs (those with knowledge/experience of working with vulnerable groups in sub project areas) to ensure meaningful consultations with vulnerable groups. • Create/maintain/update a communications network of village leaders ,trusted by different stakeholder groups, to foster dialogue and regular information sharing (to

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include name, phone numbers and other means in order to contact them when in need of disseminating urgent notifications). • Coordinate with environmental, social and gender officials on focus/timing and location of consultation meetings within communities to avoid ‘consultation fatigue’ on the part of communities. • Ensure regular consultations between contractors and communities. Consultations should begin prior to implementation.

Capacity Building and Awareness Raising • Train VEC membership, Village Leaders, communication focal points to carry out consultations and awareness raising sessions with different direct stakeholder groups. • Monitor VECs and village leaders’ consultations with communities • Raise awareness/provide training to all stakeholders on the role and structure (formation of Grievance Redress Committees (GRC) at each level) of the Grievance Redress Mechanism (GRM); accessing the GRM, logging, processing, handling and reporting back on grievances.

Reporting • Prepare and submit monthly reports to PMU • Develop regular brief reports, tailored to the needs of different groups of stakeholders, and share with them.

Project Implementation Coordinator (PIC)

Assist the MOEE/ESE to implement the SCS by supporting designated communication staff within the PMU and PIUs to:

Oversight and Supervision • review the Stakeholder Analysis(SA) and Stakeholder Communication Strategy (SCS) at the start of the project and updateat regular intervals throughout project implementation to ensure that the SA continues to provide an accurate reflections of all project stakeholders and the approaches for stakeholder engagement set out in the SCS remain relevant. Ensure gender considerations are fully integrated into the implementation of the communication strategy. • Input to and monitor implementation of annual workplans for communication staff and ensure these are aligned with those of environmental, social and gender counterparts who have consultation responsibilities. • Develop a communications protocol to ensure coordinated communications across the PMU and PIUs.

Design, Development and Distribution of Information Materials • Develop /revise/ update a range of easily understandable core and customized project information materials to meet the needs of different stakeholder groups including women, ethnic groups, landless and elderly. Materials will include a Project Information Booklet (PIB), Frequently Asked Questions (FAQs), Pamphlets, Fact Sheets, Route Maps, and other relevant materials. • Develop success stories, photo essays, video clips for project websites and social media including Facebook (both in relevant local and English language) • Ensure timely dissemination of information materials to different stakeholder groups, particularly primary stakeholders or those directly affected by the project, to raise awareness of the project’s scope, benefits, and impacts.

76 Appendix 4

Consultations and Outreach to Vulnerable Groups

• Conduct meaningful two-way consultations with different groups of project affected people, including women and vulnerable groups, and other stakeholders, to build trust and support for the project. The consultation process, based on the prior disclosure of project information, will facilitate: (i) the capture of concerns and perceptions about the project, (ii) the consideration of those concerns in decision making on areas such as project design, affordability of electricity, mitigation measures, the sharing of development benefits and implementation issues etc., and (iii) the provision of feedback to stakeholders, disaggregated by sex, as to how their input has been taken account of. • Collaborate/ form partnerships with selected CSOs/NGOs to enhance outreach to vulnerable groups to ensure that their voices are heard throughout project development. • Ensure systematic consultations with Village Electrification Committees (VECs), village leaders and women’s groups on project scope and related issues including affordability for poorer groups. • Monitor VECs and Village leaders information sharing/consultation with, and reporting to, different groups, including women’s groups, within local communities. • Ensure contractors appoint a communication focal point for each sub project. • Ensure discussions between contractors and affected communities prior to start of construction on planned activities, compliance with EMP, labor issues, timeframe, etc.

Capacity Building and Awareness Raising

• Assess ESE/VEC/village leadership capacity to implement approaches and activities detailed in the SCS and identify areas for capacity building. • Develop corresponding training modules for PMU and PIU staff and VEC and village leaders. This should be done in close coordination with staff responsible for environmental, social and gender components of the project. • Ensure that all stakeholders have a full understanding of the role and structure of, and how to access, the Grievance Redress Mechanism (GRM). • Oversee trainings at national, regional/state and local levels

Monitoring and Reporting • Prepare monthly progress and biannual monitoring reports on compliance with communication requirements.

Maintaining Stakeholder Support for AREP • Ensure (i) monthly and quarterly updates on project progress/feedback to all stakeholders (ii) feedback considered and response provided to communities and (iii) concerns are promptly addressed through a fully functional GRM through systematic meetings with communication and other designated staff in PIUs and PMU, regular visits to sub project sites together with review and follow up on progress reports.

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VIII. AREP SCS PRELIMINARY BUDGET ESTIMATES (2020 – 2026)

Item Description Unit Cost Total Funding per Cost source unit US$ US$ Electricity Supply Enterprise (ESE) Human Resources Senior Full time staff member in 1 TBD TBD ESE Communications PMU Officer Communication Full time staff members in 4 TBD TBD ESE Officers (PIUs) Communication Part time community level 47 TBD TBD ESE Focal Points in each sub project

Capacity Building & Awareness Raising Development of Printing/translation & 10 1,000 10,000 ESE training modules dissemination of training modules on different aspects of the SCS

Training of PMU staff Trainings on implementation of / ESE compliance with the 18 400 7,200 SCS 3 @ 2 days trainings per year@6 years Venue, refreshments, meals, stationery etc Training of PIU 3 @ 2 days trainings per 72 400 28,800 ESE staff/regional /state year @ 4 regions/State counterparts Venue, refreshments, meals, stationery etc Training of 6 @ 1 day training @ each 282 150 42,300 ESE VEC/village sub projects in 4 leadership, regions/State Communication focal Travel, venue, points/local ESE staff refreshments, meals, etc Awareness raising of 20 half day sessions for 940 100 94,000 different primary and each sub project Secondary Travel, venue, stakeholders refreshments, meals, stationery etc Sub Total 182,300 Design, Development & Distribution of Information Materials Design , Project Information Booklet ESE development, (PIB), Fact Sheets, FAQs, translation and Pamphlets, route maps, project website etc 9,000 5 45,000

78 Appendix 4 printing of Project 1,000 3 3,000 materials PIB in local language, PIB in English 23,500 0.25 5,875

Fact sheets in local 23,500 0.25 5,875 language (1 page) @ 500 11,750 2.50 29,375 for each sub project @47 4,700 1 4,700 sub projects 4,700 1.50 7,050 FAQs in local language (1 4,700 2.00 9,400 page) @500 for each sub 10,000 project @47 141 10 1,400 Pamphlets in local languages with photos (4 pages) @ 250 @47 Posters – 100 for each sub project@ 47 Route Maps @ 100 for each sub project@ 47 Success stories with photos( 2 pages) @100 @47 Newsletters & reports Provision of notice boards – 3 for each sub project@47

Video/animation Success and other stories 20,000 ESE productions for publication on project website & 20,000 Social media Weekly posts to project websites and Facebook by each PIU (to include a minimum of 2 photos) Distribution of Distribution of core and 40,000 Information tailored information to different stakeholder groups through appropriate communication channels Sub Total 201,675

Consultations and Outreach Two way interaction Various meetings with Lump 250,000 ESE with different groups different groups throughout sum of stakeholders project Quarterly consultations with each primary stakeholder group

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including with women, ethnic groups, landless and disabled Travel, venue, refreshments, meals, stationery

Outreach to Collaboration with 2000 94.000 vulnerable groups CSOs/NGOs in 47 sub projects Sub Total 344,000

Total 727,975

Contingency @ 5% 36,399 Grand Total 764,374

Project Implementation Consultant Item Description Unit Cost Total Funding per Cost source unit US$ US$ Communication Consultants International 12 person months over 6 1 20,000 240,000 PIC Communication years of project Per Consultant month International 12 missions of 16 days 1 3760 33,120 PIC Communication including travel: per Consultant 12 flights @2000; + 192 mission Travel days per diem @ 110 Regional Office/Site Transportation costs for 1 500 6,000 PIC visits international consultant Assumes 12 site visits covering 2 regions on each mission National 18 months over 6 years of 1 5,000 90,000 PIC Communications project Per Consultant month National 18 site visits 1 599 9,000 PIC Communications Consultant Sub Total 378,120

80 Appendix 4

IX. STAKEHOLDERS COMMUNICATION STRATEGY (SCS) MATRIX

Project Context

The Accelerated Rural Electrification Project (AREP), supported by ADB, is an integral part of the government of Myanmar’s plans to increase electricity supply within Myanmar in support of the country’s inclusive and sustainable development goals and to achieve universal electricity access by 2030. Key activities of AREP include enabling the electrification of 400300 households in 2815 villages in Ayeyarwaddy, Bago (East), Magway regions and Kayin State by: (i) adding new distribution facilities; (ii) establishing and piloting a new computerised Distribution Automation System (DAS) and (iii) enhancing the social and gender inclusive capacity of Ministry of Electricity and Energy (MOEE) and Electricity Supply Enterprise (ESE).

Overall Objective:

To foster and sustain stakeholders’ acceptance and support for AREP, through interactive communication approaches that build trust and mutual understanding between stakeholders and project management and contribute to enhanced project outcomes

Specific Objectives • To build the capacity of MOEE/ESE PMU and PIUs to implement effectively activities detailed in the Stakeholder Communication Strategy. • To facilitate meaningful consultations on project scope and different aspects of rural electrification with different groups of stakeholders throughout the lifetime of the project. • To ensure views and concerns of vulnerable groups are heard and taken account of in the design and implementation of AREP.

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

Key Stakeholders

MOEE/ESE Full understanding Accuracy Project Plans, Recruitment of Project MOEE & 1 senior Union level of the project, Completeness including communication Preparatio /ESE communicat especially benefits, and timeliness Environmental officials/ n PMU/PIC/ ion officer in entitlements & of information Management assignment of ADB PMU & impacts within Plan (EMP), communication

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Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

communities across Resettlement, responsibilities 4 the 4 project areas: Ethnic Group within PMU & communicat support for the Development PIUs. Training PMU ion officers project. Changes of Plan, and PIU officials Project in PIUs officials within (REGDP), Develop on implementing Preparatio Improved capacity MOEE/ESE. Gender & Capacity SES – specific n & Production to implement Confusion in Social Building focus on the role Implement & communication work-sharing Development modules for &structure of the ation disseminatio strategy and Plans; PMU/PIU staff GRM: n of responsibilities expected on the information Sufficient resources between PMU benefits from implementation materials – allocated (human and PIU. AREP, of activities Project Project (developme and financial) to potential detailed in the Information Preparatio nt, implement SCS at adverse SCS with Booklet (PIB), n & translation, all levels– clarity on impacts and special focus on Pamphlets, implement printing, communication how those will the GRM website, notice ation publishing roles and be mitigated boards, posters, by PMU responsibilities. and managed; Develop and Facebook, Project timeframe. circulate a internal implement Create and Commitment to Reputational range of easily newsletter, etc. ation maintain ensuring an risk due to understandable website effectively failure to core and Regular functioning GRM ensure customized distribution of Capacity across the project. effective GRM. Grievance information progress reports Building for Redress materials on PMU staff Mechanism electrification for Regular (GRM) different coordination stakeholder meetings, visits Environmental groups to PIUs, sub Health and project sites; Safety (EHS) Oversee review of Plan implementation progress reports, of SCS including implementation of EMP & REGDP etc.

82 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

Dedicated project Regular telephone line interaction with officials & key stakeholders to ensure their understanding of and support for the projects. PIUs (ESE) at Full understanding Accuracy Project Input to the Systematic Project ESE/PM regional & of AREP, and sub Completeness Assessments development of training on Preparatio U/ Capacity state level projects within and timeliness & Plans, Capacity implementing n & PIC/ADB Building/ respective region & of information including the Building SCS and GRM. Implement awareness state especially IEE, EMP, modules for PIU ation raising for benefits and REGDP, staff on SCS PIU staff impacts of Social and , and GRM- PIB, Pamphlets, ESE/PM electrification. Health and specific focus website, notice U/PIC/ Limited Safety Plans; on the role of boards, posters, Communi Production Capacity to capacity of expected GRM in the Facebook, cation & implement SCS PIU officials to benefits and project – internal Officers/ distribution satisfactorily implement impacts of establishing and newsletter etc. ADB of SCS – change electrification maintaining a information Transparent, of officials addressing functional GRM. materials inclusive and Lack of trust concerns (e.g. Systematic ESE/PM responsive in/support for health/safety/ consultations U/PIC/ Consultation engagement with all project due to loss of through a mix of: Communi Meetings community groups limited income/assets) Contribute to Village meetings, cation during the engagement . the production focus group Officers/ development, with some of core and discussions, ADB implementation and groups within Costs of customized meetings with operation of the communities electrification information individual HHs, rural electrification (connection materials for key informants project. Lack of costs and stakeholders at etc. PIU coordination charges) community and Communi among PIU regional levels: Regular cation & Functioning GRM staff. Productive and meetings social established and efficient use of Establish two- officers way

Appendix 4 83

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

maintained for each electricity at communication PIU sub project. Unresolved local level system with Communi grievances priority given to Public meetings, cation & Collaboration/ resulting in Safe primary Meetings with social partnership with myriad of Introduction of stakeholders, village elders officers selected CSOs problems for electricity and Regular the project efficient meetings & Options for maintenance distribution of vulnerable groups of supply at progress reports PIU to access sub stations teams electrification are Outreach to identified. Vulnerable relevant groups access Role and CSOs/CBOs Regular PIU Effective leverage to structure of working in sub coordination of electrification electrification GRM project areas to meetings through links to limited enhance other sectors EHS involvement of vulnerable Roles clarified: groups in systematic project collaboration between Confusion Identify communication over roles communication environmental and within PIU focal points in social/gender staff limiting communities effectiveness Liaise with of outreach to relevant stakeholders regional government agencies to leverage the

productive impact of electrification under AREP

84 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

Coordination between communication and environmental, social, gender and other staff with consultation and communication responsibilities. General Facilitation of land Accuracy Project Dissemination PIB, Project Social/ MOEE to Administration acquisition Completeness Assessment & of core Pamphlets, Preparatio Resettle make Department processes under and timeliness Plans, information, Progress reports n & ment Budgetary GAD) AREP of information including the about the Implement officers & provision IEE, EMP, project. Special ation other PIU for: REGDP, focus on the Regular staff Social and role of GRM in meetings Meetings/ Health and the project. Reporting Safety Plans; expected impacts, Keep fully benefits; updated on measures for progress on enhancing project benefits, development addressing concerns (e.g. health/safety/lo ss of income/assets)

Productive and efficient use of electricity at local level

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Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

Role and structure of GRM Regional Compliance with Accuracy Project Dissemination PIB Project Environm Reporting Environmental national legislation Completeness Assessment & of core Pamphlets Preparatio ental Conservation and regulations and timeliness Plans, information Progress Reports n & officers & Regular Departments of information including the about the Implement other PIU meetings (ECDs) IEE, EMP, project. Special ation staff REGDP, focus on the Regular Social and role of GRM in meetings Health and the project. Safety Plans; expected impacts, benefits; Keep fully measures for updated on enhancing progress on benefits, project addressing development concerns (e.g. health/safety/lo ss of income/assets)

Productive and efficient use of electricity at local level

Role and structure of GRM

Myanmar Opportunities to Accuracy Project Dissemination PIB Project Gender/ Reporting Women’s strengthen women’s Completeness Assessment & of core Pamphlets Preparatio social Regular Rural Affairs involvement in and timeliness Plans, information Progress Reports n & Officer & meetings planning and of information including the about the

86 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

Federation implementation of GAS, project. Special Implement other PIU (MWRAF) community level Environmental, focus on the Regular ation staff. projects. Health and role of GRM in meetings Safety Plans; the project. expected impacts, benefits; measures for Keep fully enhancing updated on benefits, progress on addressing project concerns. development

Women’s productive and efficient use of electricity at

Role and structure of GRM

Regional Full understanding Accuracy Project Dissemination PIB, leaflets, Project PIU Meetings /State of, and support for, Completeness Assessment & of project progress reports, Preparatio Managem Report Governments: AREP’s objectives and timeliness Plans, information. etc. n & ent and writing including Rural and planned of information including the Special focus Implement Relevant Development, activities IEE, EMP, on the role of Regular ation officers Health, REGDP, GRM in the meetings Education, Rural electrification Regional govt. Social and project. Forest, linked to other agencies Health and Agriculture, development unaware of Safety Plans; Regional/State Livestock and opportunities across extent and expected Keep fully PIU Irrigation a range of sectors potential of impacts, updated on Management and Departments electrification benefits; progress on Relevant officers and Clearance of measures for project necessary enhancing development government benefits, processes addressing

Appendix 4 87

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

facilitated (e.g. land Delay in concerns (e.g. Seek to acquisition and land implementatio health/safety/lo establish clearance) n of AREP ss of linkages income/assets) between AREP Opportunities to . and other strengthen women’s sectors involvement in the Productive and VECs and in the Women under- efficient use of planning and represented or electricity at implementation of excluded from local level village level project projects. decision Role and making structure of GRM

Primary/Direct Stakeholders

Village Full understanding Accuracy Project/ Develop easily Fact sheets, Project PIU Consultation Electrification of, and support for Completeness subproject understandable Posters Preparatio communi meetings Committees AREP’s objectives and timeliness objectives, and culturally Distribution route n , cation, (VECs) and planned of information planned appropriate and maps Implement social & Capacity activities. activities. accessible Notice Boards, ation & Environm Building for Elite capture information on Project FAQs, Operation ent VEC Transparent, the overall Facebook, officers, membership inclusive and Affordability of project Information Village responsive electrification Costs of Booklet (PIB), officials Awareness engagement with all connection not electrification Raising community groups, sufficiently (connection Sessions including women considered costs and Develop PIU and vulnerable charges) messages, communi HHs, during the Lack of customized to Systematic cation, planning, interest and Safe different groups Consultations social & implementation and capacity to introduction of within Environm operation of reach out to electricity: communities, on ent distribution facilities vulnerable issues such as officers, HHs

88 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

Productive and (i) costs of Village More efficient use of electrification officials inconsistent electricity for (connection service quality all community costs and in areas with groups. electricity rates) PIU poorer HHs – (ii) safe communi More women more supply GRM introduction and cation, representatives on interruptions maintenance of social & VECs and voltage Health and electrification Training/ Environm fluctuations Safety (iii) productive Awareness ent use of electricity raising sessions officers, Women (iv)role and for VECs Village unrepresented responsibilities officials on VECs- their of the VEC electrification issues/concern Develop and s insufficiently conduct considered awareness raising/training sessions for VEC members to include: -safe introduction of electricity & effective maintenance of supply at sub stations -efficient use of electricity for productive and domestic purposes -facilitation of electricity supply to poor households;

Appendix 4 89

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

covering issues such as: connection cost sharing, payment through instalments, linking HHs to a financial service that provides loans for connections -the role of/access to the GRM in AREP -EHS Landowners Complete Accuracy Objective, Provision of Posters. FAQs, Project Village Material and Farmers understanding of Completeness planned easily Fact sheets, Preparatio Tract/ Developme Businesses project/sub projects and timeliness activities at understandable, Notice Boards, n, Village nt and benefits, potential of information each stage of accessible and Project Website, Implement Head/ Disseminati impacts. the project; culturally Facebook, ation & Elders on Perceptions entitlements appropriate PIB, Operation Understanding of that their and information on loudspeakers, Consultation VEC’s role in concerns compensation AREP etc. Meetings electrification about timeframe for process. electrification each stage of Develop Consultations Awareness are not being the project customized through a mix of: PIU Raising knowledge of how taken account messages on public meetings, Communi Sessions to (a) make of in a timely Costs of different surveys, focus cation, (greater)productive way. electrification aspects of group meetings, environm use of electricity, (b) (connection electrification to individual ental, use electricity safely Delay/ costs and include: safe meetings with social disagreement charges) introduction of affected HHs, and Understanding of on electricity, social media gender how to link entitlements to Efficient and options for channels officers electricity use to affected HHs productive use productive use other sectors. of electricity of electricity.

90 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

Lack of Awareness Understanding that transparency Measures for Raising/ health and safety on the part of safe Training sessions concerns will be VECs leading introduction of at community addressed in project to lack of trust electricity and Develop and level plans. in the project effective conduct maintenance awareness Support for the of supply raising/training project sessions to Health and include: Safety -safe Measures introduction and management of GRM electricity. -options for Responsibilitie (more) s of VEC productive use of electricity - role of/access to the GRM -EHS - the role of VEC Vulnerable Understanding of Accuracy Planned Provision of Notice boards, Project Village Consultation Groups project/sub projects Completeness activities under easily loud speakers, Preparatio Head/VE Meetings (includes poor benefits, potential and timeliness AREP understandable, Factsheets, n, C/ Households impacts of information accessible and posters, FAQs, Implement elders Awareness (HHs), female- Costs of culturally Facebook, ation & Raising headed HHs Full understanding Lack of electrification appropriate project website, operation PIU Sessions (FHHs), of costs of confidence (connection information on PIB etc. Communi casual electrification that their costs and AREP. cation, laborers and concerns will charges) Consultations Environm vendors, Identification of be listened to Develop and through a mix of ental, (landless), realistic Options to disseminate Public meetings, Social ethnic groups, mechanisms to Limited trust in facilitate customized Focus Group Safeguar disabled and facilitate governance Electrification messages on (i) Meetings with ds staff elderly) affordability of structures/proj of vulnerable facilitating different HHs access/ vulnerable

Appendix 4 91

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

connection and ect overcoming groups, individual CBOs/CS supply management Benefits of barriers to HH meetings with Os electrification electrification, affected hhs. Understanding of Language & including job (ii) the role of how to access, Literacy opportunities the VEC, (iii) GRM barriers during accessing the construction GRM, and (iv) Support for the and operation electricity safety PIU project Possible phases. Communi opposition due Discussion cation, to few GRM between Awareness Environm perceived selected PIU raising sessions ental, benefits EHS staff, CSOs and at Community Social vulnerable level Safeguar Role of VEC groups ds staff

Develop and CBOs/CS conduct, either O directly or through selected CSOs/NGOs, awareness raising sessions to include: -ESE connection services, connection costs and electricity costs -safe and efficient use of electricity -role of the VEC -the role of the GRM -

92 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

accessing the GRM Women Comprehensive Lack of Overview of Provision of Loud speakers, Project PIU Consultation including understanding of confidence to planned easily fact sheets, Preparatio Communi Meetings Female benefits of participate activities under understandable, posters n, cation, Headed electrification. actively in AREP accessible and notice boards, Implement Social & Training/Aw Households consultation culturally Project FAQs, ation & Gender areness Women actively sessions Costs of appropriate Facebook, PIB operation staff Raising involved in the electrification information on etc. Sessions design, construction Women are (connection AREP. MWFRA and operation of excluded from costs and Consultations CSOs distribution facilities. forums (e.g. charges) Develop and through a mix of: VECs) which disseminate public meetings, PIU Broad participation plan Information messages surveys, focus Communi of women on VECs, electrification about VEC (its tailored to group meetings, cation, activities. membership, helping women individual HH Social & awareness of role in take advantage meetings Gender opportunities to Women lack electrification, of electrification staff enhance livelihoods information to etc.) to improve and quality of lives. develop small quality of life at MWFRA busineses Use of home and Awareness CSOs electricity to (i) develop and Raising/Trainings improve quality income- at local level of life at home generating and (ii) activities, generate small businesses Develop and and enhance conduct livelihoods awareness raising /training Safe use of sessions to electricity in include: the home. - role of VECs and the benefits Job of participating opportunities on a VEC. - ESE EHS connection

Appendix 4 93

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

services, GRM connection costs and electricity costs ESE connection -safe and efficient use of electricity at home -options for affordable, energy-efficient time saving appliances for domestic use and establishing small businesses. -the role of/ accessing the GRM Youth, Understanding of Accuracy Sub project Provide easily Loud speakers, Project Village Production children, and support for Completeness objectives; understandable fact sheets, Preparatio head/elde of materials schools, and project/sub projects and timeliness planned accessible and posters n, rs health Centers benefits, potential of information electrification culturally notice boards, Implement Consultation impacts activities, appropriate Project FAQs, ation & Meetings unaware how timeframe information on Facebook, PIB operation to raise planned Training/ Awareness of concerns electrification Consultations Awareness benefits including: about the Benefits of activities through public PIU Raising More local job project electrification meetings, Communi Sessions opportunities for Develop and Focus Group cation, youth– reduced Safe use of disseminate Meetings, Social need to migrate to electricity customized individual staff other areas in messages: on meetings with search of GRM specific benefits leaders of health employment. of electrification

94 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

More time for for youth, centers and children to study at EHS children, schools home in evenings schools and health centers Awareness Health centers have Raising Sessions enhanced capacity at community to carry out different Develop and level and more medical conduct procedures awareness raising sessions Extended teaching on (i) benefits of hours and use of electrification, different teaching (ii) safety issues tools in schools. related to electrification, and (iii) the role of accessing the GRM

Explore how schools and clinics can help PIU staff promote greater awareness of the project, including the health and safety plan within communities .

Secondary/Indirect Stakeholders

Engineering, Detailed Limited Project Plans, Key elements of Contract Pre- PIU Consultation Procurement understanding of commitment of including, REGDP/EMPs/ constructi managem Meetings project/sub project contractors to REGDP, EMPs Social /Gender on ent

Appendix 4 95

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

And objectives, inclusive plans and EHS Awareness Construction activities, benefits engagement Environmental to be discussed Raising (EPC) and potential with different Health and with contractors /Training contractors impacts. groups within Safety Plan and included as Sessions communities annexes to Pre- PIU Comprehensive during Health and contractors’ Meeting with constructi Managem understanding of construction Safety on contracts. individual on ent, REGDP, EMP and construction contractors communi GRM, Limited sites Consultations cation, E Environmental, capacity of with contractors, & S Health and Safety EPC Managing prior to start of officers Plan. contractors to: migration/settle work, on Public meetings, (a) engage ment of communication meetings with Appointment of effectively with external and safeguards VEC and village Pre- PIU communication affected workers in sub requirements. constructi Managem focal point to help communities project sites on ent, build harmonious during project Discussions communi and constructive implementatio GRM between cation, E relationships with n; (b) handle contractors and & S communities. complaints affected Regular officers during communities meetings with labor migration construction prior to start of VEC and VEC/PIU managed resulting in construction on: community Pre- communi effectively. loss of trust ad planned representatives constructi cation poor working activities, on and E & Fewer grievances relations compliance with S officials from communities between EMP, labour Training sessions during construction project and issues, on Village communities timeframe, etc. the GRM & EHS Township Pre- Administr Appointment of Meetings Constructi ation communication on focal point by Problems contractor to Implement between liaise with VEC ation external labour & communities force and with

96 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

local (e.g. on communities. safeguards, GRM, health and safety).

Contractor and key staff receive training on the role of/access to the GRM Systematic engagements

Village Head Full understanding Accuracy Project Provide easily Fact sheets, Project PIU Consultation and of, and support for Completeness planned understandable posters preparatio Managem Meetings elders/Village AREP’s objectives and timeliness activities, and culturally Notice Boards, n and ent, Tract and planned of information projected appropriate and Project FAQs, implement communi Trainings /Township activities impacts and accessible core Facebook, PIB ation cation, Administration Change of benefits, information on social, Awareness Enhanced officials timeframe AREP. Consultations environm Raising interactions with with project Project ent and Sessions different groups in Productive use Develop and management, preparatio other communities of electricity disseminate and communities n and officials tailored through public Implement Electrification Opportunities Safe information on meetings, focus ation benefits linked to to leverage the introduction of productive and group meetings, other development impact of electrification safe use of individual opportunities in AREP missed. electricity, GRM meetings. localities GRM More Systematic Oversee safe accidents due EHS engagement introduction of to failure to throughout electrification to comply with project Awareness communities safety development raising/training guidelines sessions at local Understanding of Develop level the GRM process – awareness resolution of most

Appendix 4 97

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

grievances at local Unresolved raising/ training level complaints to include: leading to - role of VECs wider disputes -safe and and delays in efficient use of project electricity implementatio - productive use n. of electricity - the role of/access to the GRM, . CSOs/CBOs & Good Relationship Project sub Provide an PIB other Project PIU Meetings NGOs understanding of with project project overview of specific project Preparatio Communi (already the project’s team, objectives, AREP and information. n, cation, Progress working in sub objectives, benefits government planned customized Implement Environm Reports project areas and potential and other activities, information. Briefings, ation & ental, with impacts groups procedures, meetings, Operation Social Awareness vulnerable expected workshops: staff Raising groups Support to the Accuracy impacts and Systematic Social media and project Completeness benefits, GRM engagement website and timeliness and timeframe, Clearly defined of information collaborative Options for relationships with vulnerable project groups to Development of participate in pro-poor options Meetings Improved outreach AREP to enable between CSOs to vulnerable vulnerable HH and vulnerable groups to connect to groups the grid and Vulnerable groups afford electricity able to participate in charges AREP

EHS

98 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

The role of / access to the GRM Advocacy Have a constructive Advocacy Project sub Provide an PIB, project Project PMU/PIU Meetings NGOs/INGOs relationship with agendas are project overview of website and planning & Managem AREP not kept objectives, AREP with a other project implement ent, Progress separate from planned specific focus information ation Social & Reports project activities, on the role, Communi implementation structure and cation procedures, functioning of officials expected the GRM. impacts and benefits, GRM Consultation and timeframe Members of Good Accuracy Overview of Provide PIB Project PIU Meetings Parliament understanding of Completeness project sub overview of Preparatio communi (MPs) AREP’s objectives, and timeliness project project activities n, cation, Progress benefits and of information objectives, Implement environm Reports potential impacts planned Dissemination of ation ental, activities, Regular progress reports social Act as champions REGDP with updates on safeguard for the project particular focus project s staff on entitlements development Briefings/ and and Meetings compensation, implementation and timeframe.

Productive use of electricity

Role of/ functioning of GRM Temples/Mona Good Accuracy Project sub provide easily Loud speakers, Project Village Meetings steries understanding of Completeness project understandable fact sheets, Preparatio Head. AREP’s objectives, and timeliness objectives, and culturally posters n, Elders, Progress of information planned appropriate and Notice boards, Implement VEC Reports

Appendix 4 99

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

benefits and activities, and accessible FAQs, Facebook, ation & PIU potential impacts. timeframe, information on PIB, progress operation communi Awareness Role and AREP reports cation Raising Support for the function of officials project GRM Public meetings Health and Safety Awareness raising on GRM ESE township Good Accuracy Project sub provide easily Fact sheets, Project VEC, Meetings (meter understanding of Completeness project understandable posters Notice Preparatio Village readers, the project’s and timeliness objectives, and culturally Boards, FAQs, n, elders Progress technicians objectives, benefits of information planned appropriate and Facebook, PIB Implement PIU Reports and and potential activities, and accessible ation & communi engineers) impacts Inadequate timeframe; information. Consultations operation cation , Awareness and ESE awareness of GRM through a mix of social Raising substation Qualified electricity safety issues Develop and focus group Environm staff maintenance staff related to the disseminate discussions, ent introduction 99ustomized public meetings officials Working knowledge and messages on: and individual of maintenance -safe meetings GRM and health of electricity introduction of and safety electricity, Awareness procedures inadequate -efficient energy raising/training understanding usage, sessions at local Fewer project- of GRM -effective level related accidents processes maintenance of resulting in supply at sub problems for stations projects -role & function of GRM -EHS

Develop awareness raising session on efficient energy usage

100 Appendix 4

Stakeholders Desired Risks Information Activities Communication Timing Respon- Resources Outcome Key Channels sibility MOEE to Messages make Budgetary provision for:

for meter readers to deliver in communities