USAID CLEAN POWER ASIA
FINAL REPORT 2016-2021 Contract Number: AID-486-C-16-00001 Activity Period: June 27, 2016 – June 26, 2021 COR: Scott C. Bartos
Disclaimer: This document was produced by Abt Associates under the above referenced contract for review by the United States Agency for International Development (USAID) Regional Development Mission for Asia. The authors’ views expressed in this document do not necessarily reflect the views of USAID or the United States Government. USAID CLEAN POWER ASIA
FINAL REPORT 2016-2021
SUBMITTED BY:
Abt Associates 6130 Executive Boulevard Rockville, Maryland 20852 USA www.abtassociates.com
1 TABLE OF CONTENTS
1 EXECUTIVE SUMMARY 4
2 INTRODUCTION AND BACKGROUND 6
3 ACTIVITY AREAS 12
I IMPROVING POWER SECTOR PLANNING 14
REGIONAL 16
1. ASEAN Interconnection Masterplan Study (AIMS) III 18
2. Improved Planning Data and Tools 22
3. Laos-Vietnam Power Trade 28
LAOS 32
1. Capacity Building for Integrated Resource and 34 Resilience Planning
2. Implementation of Renewable 38 Energy Zones
THAILAND 42
1. Utility-Scale Wind in Thailand 44
2 USAID CLEAN POWER ASIA II FOSTERING SUPPORTIVE POLICY FRAMEWORKS 48
UTILITY-SCALE 50
1. Competitive Procurement 52
2. Renewable Energy Regulations 58
DISTRIBUTED GENERATION 62
1. Distributed Photovoltaics Policy 64
2. Distributed Photovoltaics Regulations 69
ADVANCED TECHNOLOGIES 72
III MOBILIZING FINANCE AND INVESTMENT 78
IMPLEMENTATION 80
1. Rooftop Solar Deployment in Thailand and 82 Vietnam
2. Utility-Scale Solar and Wind in Vietnam 86
CAPACITY BUILDING ON PROJECT FINANCE FOR 90 RENEWABLE ENERGY
TOOLS AND GUIDELINES FOR THE PRIVATE SECTOR 96
IV PROMOTING ENHANCED REGIONAL COLLABORATION 100
COVID-19 Pandemic Adaptation 102
Communications 104
Gender 106
Partnerships 108
4 MONITORING, EVALUATION AND LEARNING 110
ANNEXES 114
SUCCESS STORIES 116
ACRONYMS 126
FINAL REPORT 2016 - 2021 3 1 EXECUTIVE SUMMARY
Photo credit: Pitoon Junthip Abt Associates/ USAID Clean Power Asia nergy consumption across Southeast Asia is projected to double by 2040. Without Ea concerted effort to promote low emission power systems, the region will continue to rely heavily on conventional energy sources such as coal and large-scale hydropower to meet demand. Further expansion of conventional power plants will have far-reaching negative impacts, both for global greenhouse gas emissions as well as for ecosystems, human health, fisheries, and livelihoods throughout the Mekong River basin and beyond.
The United States Agency for International power development plans became clear, resulting Development (USAID) Clean Power Asia program in increased solar and wind targets. was a $16.3 million contract, implemented by Abt Associates, which worked with Lower Mekong The program provided technical assistance and countries and other Association of Southeast Asian capacity building to select countries driven by their Nations (ASEAN) member states to encourage needs and interests, with lessons learned shared power sector investments in environmentally regionally to ensure broader implementation friendly, grid-connected renewable energy (RE) and harmonization of policies and regulations sources. The program focused explicitly on to increase RE in the generation mix, including incorporating renewable energy into planning, incentives, power procurement practices, and promoting smart incentives, building an enabling technical standards for utility-scale, customer, and environment for renewable energy policies and advanced technologies. This was complemented frameworks, and mobilizing finance. The program by technical assistance and capacity building to collaborated with diverse stakeholders, partners, improve project bankability and access to finance and regional organizations in four Lower Mekong to facilitate private investment in renewable power. (LM) countries, Cambodia, Laos, Thailand, and Partnerships developed with private institutions, Vietnam, and shared lessons learned and best funded by their own funds and other donors, practices among additional ASEAN member resulted in over $1 million USD of in-kind and states, including the Philippines and Indonesia. direct funding to complement USAID funding for USAID Clean Power Asia’s goal was to accelerate programmatic activities. the regional transition to a high performing, low carbon power sector, that was to be accomplished Despite the challenges due to COVID-19 with three interconnected outcomes: high restrictions on travel and meeting with renewable energy scenarios included in energy stakeholders, USAID Clean Power Asia has planning; improved enabling policy, regulatory, contributed to the proposal, adoption, and/ and technical environment for renewable energy or implementation of 16 new policies and deployment; and increased investment in and regulations across multiple countries. Over deployment of grid-connected renewable energy $7 billion of investment has been mobilized in projects. renewable energy investments, resulting from installation of more than 9,000 megawatts of The USAID Clean Power Asia program began at a renewable energy capacity. Based on these policies time when innovations in power system planning and installed RE projects, USAID Clean Power Asia to incorporate more renewable energy were has contributed to preventing over 93 million being driven by unprecedented cost reductions, tons of carbon dioxide equivalent in greenhouse especially for solar and wind projects. The program gas emissions being released into the atmosphere focused at a national level in Laos and regionally over the next 15 years. In addition, the expansion across Southeast Asia to consider higher levels of webinars due to an inability to convene in of RE than accounted for in current power plans, person enabled reaching a greater number and demonstrating that by using new sources of data far more diverse set of stakeholders, including and tools better adapted to evaluating greater RE more women, to share best practices and lessons levels, the potential for increased solar and wind in learned over the five years of the program.
FINAL REPORT 2016 - 2021 5 INTRODUCTION & 2 BACKGROUND
6 USAID CLEAN POWER ASIA Overall objectives and major achievements
Just as all action begins with planning, the same is true of the power sector in the Lower Mekong and Southeast Asia broadly. The USAID Clean Power Asia program began at a time when innovations in power system planning were incorporating more renewable energy, driven by unprecedented cost reductions, especially for solar and wind projects. The program focused on ensuring greater consideration for higher levels of renewable energy in power sector plans, including through the use of new sources of data and tools better adapted to enable informed decision-making for greater RE levels.
The program included a focus on Laos, Augmenting these plans, policies, and which has abundant hydro and other regulations was a focus on promoting renewable resources in demand by investment in RE projects in the current neighboring countries Cambodia, Thailand, policy and regulatory environment. The and Vietnam. Cambodia, Thailand, and program improved project bankability Vietnam received assistance in revising and access to finance to facilitate power development plans from other primarily private sector investment in USAID programs and donors including RE generation; advanced technologies the Asian Development Bank (ADB), to complement or facilitate RE such International Energy Agency (IEA), World as battery storage; and transmission Bank, and USAID Vietnam Low Emission infrastructure, working with utilities, Energy Program (V-LEEP). Regionally, developers, investors, financiers and banks, USAID Clean Power Asia supported corporations and industry associations. planning for improved connectivity and This was facilitated by direct technical and power trade among ASEAN member financial feasibility support, development states in support of the ASEAN Plan of of financial tools and models specific to Action for Energy Cooperation. the region, capacity building to lending and financing institutions and negotiating Bringing those plans to life required equitable financing agreements, including an improved enabling policy and balancing major risks for all parties regulatory environment that enhanced through an appropriate mix of loans, energy services, attracted private equity, guarantees and letters of credit. sector investment, and strengthened energy security throughout the region. The program focused on Laos’ planning Regional knowledge-sharing provided process due to its strategic role in the LM an opportunity for policymakers and region power sector, and because other regulators to learn from peers and donors and international organizations international best practices on how to including the ADB, the World Bank, and define, clarify, and achieve policy objectives the IEA (with European Union funding) and develop regulations that support were assisting other LM countries. A long- rather than inhibit integration of increased term integrated resource and resilience RE in Southeast Asian power systems. It plan (IRRP), as well as a complementary also developed a network of practitioners vulnerability assessment and resilience capable of providing longer-term sharing action plan, were completed, enabling beyond the end of the USAID Clean Laos to combine its domestic and export Power Asia program.
FINAL REPORT 2016 - 2021 7 2
Drone footage of a solar farm in Thailand. power needs into one plan for the first Laos committed early in the program Photo credit: time. It also included analyzing power to conducting a solar pilot auction, to USAID/RDMA sector needs in the context of the entire determine the market price for solar energy sector in which it operates, to power and learn the process for future
Introduction and Background Introduction develop scenarios through 2055 to scaling up of competitive procurement, complement short and medium-term with USAID Clean Power Asia supporting plans, and to evaluate the robustness of auction design and implementation those plans given key social objectives preparations. The solar pilot auction and risks not in the control of planners. support, which began with defining The planning efforts resulted in the key objectives that would guide the designation of two RE zones that would auction, ended with the finalization enable access to additional RE resources of the auction design as well as the for domestic use and export, facilitating documents required for approval by the more power trade with Vietnam. IRRP government and required regulations capacity building has built the foundation for auction implementation. Critical for planners in the Ministry of Energy and regulations governing technical equipment Mines (MEM) and the utility Électricité and project connections with the grid du Laos (EDL) to continue long-term were completed, as were guidelines for planning. In cooperation with the Thai developers to conduct solar, wind, hydro Wind Energy Association (ThaiWEA) and and biomass project feasibility studies. the Global Wind Energy Council (GWEC), the program facilitated advancing the wind target in Thailand’s power development plan from 2018-2037.
8 USAID CLEAN POWER ASIA Planning on a regional basis provides an Program interventions directly supported opportunity to identify strategies and the deployment of RE by mobilizing critical investments to diversify resources to finance and investment from the private improve energy security, improve the sector. Through transaction assistance flexibility of the power system, increase and support for financing structures, reliance on indigenous renewable USAID Clean Power Asia facilitated resources, and reduce overall costs. investment of 305 MW of utility-scale Regional power plan development wind and solar in Vietnam, including a is also a key requirement to move B.Grimm Power solar project, and 54 towards a voluntary Southeast Asian MW of rooftop solar for three major power market. USAID Clean Power Asia corporations in Thailand and Vietnam. supported completion of the third ASEAN To support this assistance, program Interconnection Masterplan study (AIMS) staff and partners developed standard III, one of three foundational studies financial models to evaluate solar, wind, sponsored by the Heads of ASEAN Power and biomass project bankability, adapted Utilities and Authorities (HAPUA). The for use in Southeast Asian countries. ASEAN Ministers of Energy accepted the Technical studies and Environmental study and adopted a revised target for and Social Impact Assessments (ESIA) solar and wind as part of their 23% of completed for a solar project and primary energy RE goal. transmission line for a developer to sell power from Laos to Vietnam led to To strengthen commitment for deploying inclusion of the line in Vietnam’s power RE, the program supported analyses development plan, though not yet in including the impact on utilities and Laos’ power development plan. Financial participating and non-participating models, a bankability assessment, and an customers, resulting in revision of equity partner strategy will support the policies and regulations for rooftop developer in attracting both equity and solar photovoltaics in the Philippines debt financing for the project. and Vietnam. In the Philippines, this was followed by capacity building of utilities Over the past five years, USAID Clean to facilitate successful implementation Power Asia leveraged over $1 million of the solar photovoltaics (PV) policy. In USD of in-kind and direct contributions Vietnam, the resulting solar PV policy through collaboration with diverse revision was extremely successful in stakeholders, partners at local and promoting investment in rooftop PV by national levels, and regional organizations offering a feed-in tariff (FIT) that would in Cambodia, Laos, Philippines, Thailand, ensure installation of rooftop solar is and Vietnam. This includes contributions cost-effective, supported by USAID by the Hawaii Natural Energy Institute Clean Power Asia’s customer economics on rooftop solar, utility scale solar, and analysis. Program staff and partners battery energy storage regulations and analyzed policies and developed regulatory standards in Laos, Thailand, and Philippines; guidelines for advanced technologies, by the Global Green Growth Institute including battery energy storage systems with support for the solar pilot auction (BESS) in Vietnam and Thailand, as well as in Laos; and ClimateWorks support for DPV and electric vehicles (EV) in Thailand. a rooftop solar webinar series, among USAID Clean Power Asia support led to several others. a policy decision allowing for the use of BESS in Vietnam and consideration of BESS regulations development in Thailand.
FINAL REPORT 2016 - 2021 9 COVID-19 pandemic adaptation
The emergence of the COVID-19 global counterparts and other partners working pandemic in early 2020 presented the from home, some with insufficient access USAID Clean Power Asia team with to the necessary telecommunications unprecedented implementation challenges. infrastructure for effective remote work. The appearance of the first imported These twin actions meant that USAID case of COVID-19 to Thailand in mid- Clean Power Asia had to immediately January 2020 and confirmation of local postpone many events, resulting in transmission by the beginning of February, lingering impacts on subsequent activities. followed by the virus’ rapid spread To the extent USAID Clean Power Asia throughout Southeast Asia and escalation was able, program staff supplemented to a pandemic as declared by the World delays to approved work plan activities Health Organization in March, significantly with additional virtual activities, and impacted the timing and design of by the end of June 2020, program staff activities in the approved FY20 work finalized development of a detailed plan, both across the region and in the plan, with adjustments to work plan 2 countries where USAID Clean Power Asia activities to adapt to the new reality. implemented activities. Delays experienced due to COVID-19 often caused a chain reaction through The impacts of COVID-19 caused a subsequent sequenced activities in the number of postponements and delays work plan that relied on completion of across multiple tasks due to travel previous steps. restrictions and restrictions on large gatherings, including meetings of Beginning in July 2020, for government government counterparts. By the end of and the private sector, travel restrictions March 2020, the Southeast Asian countries within countries eased and business began where USAID Clean Power Asia worked to resume, with some limitations on the formalized immediate restrictions which number of people who could meet and with social distancing requirements in Introduction and Background Introduction demanded adaptation and agility. In Thailand, universities moved to online place. Despite national level restrictions classes and government employees began across the region being slowly relaxed as to work remotely. In Laos, the government the pandemic threat came under greater issued a memo prohibiting meetings with control, normal program operations foreigners, postponed large gatherings, including regional and international travel and subsequently moved to remote work of staff and consultants for program through most of June 2020. In Vietnam, activities, conferences, and workshops the government stopped issuing visas did not resume for the remainder of the for foreigners and Manila, capital city of program. All program activities adapted the Philippines, was on lockdown. These to virtual meetings and workshops, restrictions forced USAID Clean Power with the RElearning series continuing Asia to implement all activities without while additional virtual workshops were staff, consultant, and subcontractor travel, implemented as part of USAID’s Asia through support of local consultants, with EDGE Power Sector Learning Series, all events moving to the internet. implemented cooperatively by the Southeast Asia EDGE Hub, NREL and The inability of program staff to travel USAID Clean Power Asia, increasing the throughout the region was compounded number of individuals reached by the by requirements for our government program, especially women.
10 USAID CLEAN POWER ASIA MEL results by key performance indicators
93,134,014 tCO2e avoided 16 policies/guidelines 4.3% 6.25% 3,984,320 1.00
15.1% 6.25% 67.4% 14,104,520 75% 1.00 62,784,070 12.00 13.2% 12.5% 12,261,104 2.00
7,934 mUSD Mobilized 9,125 MW financially closed
0.8% 0.47% $61.93 42.95 MW 98.7% 99.19% $7,832.92 9,051.26 MW 0.5% 0.34% $39.29 30.82 MW
Laos Thailand Vietnam Philippines
Over the past five years, USAID Clean capacity. Based on these policies and Power Asia collaborated with diverse installed RE projects, USAID Clean Power stakeholders, partners at both local and Asia contributed to preventing over 93 national levels, and regional organizations million tons of carbon dioxide equivalent in Laos, Philippines, Thailand, and Vietnam in greenhouse gas emissions from being to overcome policy and technical released into the air over the next 15 barriers to deployment of clean energy years. The four charts above provide detail technologies and to accelerate the on key achievements by country. regional transition to a low-emissions energy sector through investments in It is important to note that program clean energy. success is measured not only by indicators, but also by success in the approaches As a result, USAID Clean Power Asia or strategies used, such as qualitative contributed to the proposal, adoption, achievements. This includes an increased and/or implementation of 16 new policies level of renewable energy technical and regulations across target countries. knowledge among training participants In total, over $7 billion of investment was and strengthened collaboration among mobilized in renewable energy, resulting government agencies on renewable energy from the installation of more than 9,000 policy development. megawatts (MW) of renewable energy
FINAL REPORT 2016 - 2021 11 3 ACTIVITY AREAS
I IMPROVING POWER SECTOR PLANNING
II FOSTERING SUPPORTIVE POLICY FRAMEWORKS
III MOBILIZING FINANCE AND INVESTMENT
IV PROMOTING ENHANCED REGIONAL COLLABORATION
12 USAID CLEAN POWER ASIA Photo credit: Unsplash 3 ACTIVITY AREAS
I IMPROVING POWER SECTOR PLANNING - Regional - Laos - Thailand
3 Activity Areas
Photo credit: Siphachanh Thythavy Abt Associates/ USAID Clean Power Asia Efforts to improve data and analytical tools for RE analysis and planning ensured that energy planners and utilities can easily access quality data and effective tools to improve the enabling policy environment and support greater investment mobilization.
At the Southeast Asia regional level, At the country level, program staff and USAID Clean Power Asia worked with subcontractor Stockholm Environment the ASEAN Centre for Energy (ACE) Institute (SEI) implemented the Integrated and GE Energy Consulting to conduct Resource and Resilience Planning the ASEAN Interconnection Masterplan (IRRP) initiative to support Lao energy Study (AIMS) III, the basis for regional planners and utilities from the Ministry planning and development of the ASEAN of Energy and Mines (MEM), Électricité Power Grid (APG), with interconnected du Laos (EDL), and EDL-Generation grid systems to facilitate increased power Public Company (EDL-Gen). IRRP is an trade to reduce costs, increase security extension of Integrated Resource Planning I. Improving Power Sector Planning of supply, and achieve ASEAN’s 23% RE (IRP) and aims to produce least-regrets goal. Program staff also supported the power development plans (PDP) that National Renewable Energy Laboratory meet multiple social objectives in different (NREL) in developing the Southeast Asia potential futures. RE Data Explorer, an innovative web- based analysis tool that utilizes geospatial Program staff and SEI facilitated MEM and spatiotemporal RE data to visualize, to identify pathways to integrate execute, and support analysis of RE renewable energy zones (REZ) into potential under various user-defined Laos’ transmission plans (an extension scenarios. A database of RE resources, of IRRP) to address the limitation of technical potential, and cost information, RE deployment through conventional the tool is available for all 10 Southeast transmission planning. To improve power Asian countries and 12 other developing sector resilience in Laos, program staff countries around the world. Program supported NREL experts to conduct a staff also supported the implementation power sector Vulnerability Assessment of a number of studies to facilitate (VA) and to develop a Resilience Action development of cross-border power trade Plan for planners and utilities in FY2019. between Laos and Vietnam. After completing the resilience plan, program staff continued to support NREL to prioritize and select the actions and develop an implementation plan, and also supported NREL to virtually assist the Government of Laos (GOL) during the COVID-19 pandemic to implement selected activities included in the Resilience Action Plan.
FINAL REPORT 2016 - 2021 15 REGIONAL
3 Activity Areas
AIMS III Identified need for additional Map credit: interconnections to increase power Dr. Akbar Swandaru trade and facilitate renewable energy ASEAN Centre for Energy investment.
16 USAID CLEAN POWER ASIA At the Southeast Asia regional level, from April 2019 to April 2021, program staff worked with ACE and GE Energy Consulting to conduct AIMS III, and had several in-person and virtual consultative meetings
with the 10 ASEAN member state energy planners and utility I. Improving Power Sector Planning experts, under the supervision of the Heads of ASEAN Power Utilities/ Authorities (HAPUA).
AIMS III builds on the AIMS II study region and facilitate greatly increased which evaluated a comprehensive plan solar and wind capacity. As a result of the of capacity expansion and transmission study, at the ASEAN Ministers on Energy interconnections required to satisfy future Meeting in November 2020, the Ministers regional power demand. AIMS I first increased the target for power sector proposed a regional transmission network, capacity contributing to the ASEAN 23% whereas AIMS II studied the viability of by 2025 RE target from 30% to 35%, with bilateral and economic power exchange the additional 5% expected to come from through 2025. solar and wind.
AIMS III extended the time horizon of the To improve planning data and tools at the study through 2040, focusing on increasing regional level, program staff supported the penetration level of variable renewable NREL to collect data to build the Regional energy (VRE) in the regional energy Southeast Asia RE Explorer platform to mix and promoting both bilateral and visualize and analyze RE technical potential multilateral power trade, while maintaining and to test a beta version of the tool with grid stability and reliability. ASEAN energy policymakers and planners before officially launching it in 2020. AIMS III included a wind and solar USAID Clean Power Asia also supported resource assessment which identified the implementation of a number of studies 62 high potential project sites. The study to facilitate the development of cross- found that additional interconnections border power trade between Laos and could at least triple power trade in the Vietnam.
FINAL REPORT 2016 - 2021 17 1 ASEAN INTERCONNECTION MASTERPLAN STUDY (AIMS) III
Led by HAPUA, AIMS III is the third demand in various scenarios and different version of a regional plan to develop levels of VRE penetration, and evaluating the APG, which aims to update the socio-economic-environmental benefits of plan for interconnected grid systems different energy scenarios. The last stage and facilitate increased power trade to of Phase 1 was to conduct a production- reduce costs, increase supply security, cost simulation, which aimed to validate and achieve ASEAN’s 23% RE goal. There the results by assessing the operating are three phases of AIMS III, beginning performance of future power systems and with Phase 1, Capacity-Expansion understanding the interaction of electricity Planning. Capacity-expansion planning systems on displaced generation capacity, is a process for analyzing VRE technical fuel saved, and emissions avoided by potential, identifying optimum addition integrating the regional power system of new power plants and transmission with different levels of VRE penetration. 3 interconnection capacities to meet future AIMS III Phase 1 consisted of several
AIMS III Key Components Timeline
• The 3rd TRG Meeting • The 1st Preliminary Result Virtual Meeting • Special SOME • SOME • AIMS III Final meeting of • Phase I Final Result Phase I and Phase 2, and Activity Areas • Kick-off Meeting Meeting prepare launching the AIMS • Preliminary with HAPUA • The 2nd TRG Meeting • The 2nd Preliminary III study • Inception Meeting • The virtual Interim Results Virtual Meeting • AIMS III Operationalization • The 1st TRG Meeting Meeting • AMEM webinar
2019 Jan-Jun 2020 Jul-Dec 2020 Jan-Apr 2021
Phase I: Capacity-expansion planning and production cost modeling Phase I: Clarify criteria and prioritize interconnections
Phase I: Grid analysis
Component I: Component 2: Steady-state analysis Dynamic analysis
Program staff build capacity of ACE and HAPUA on developing AIMS III implementation plan
18 USAID CLEAN POWER ASIA AIMS III Study Scenarios
Cases Description Share of vRE
Represents current energy planning and 3-4% share of VRE in total Base case policy perspectives, they are comparable generation by 2020, and 8% by with ASEAN PDPs 2040
Optimum Develop optimized thermal (Coal and NG), 9% by 2025, no long-term target RE case VRE and inter-country exchange projections by 2040 I. Improving Power Sector Planning Develop optimized thermal and inter- ASEAN 10-12% of VRE by 2025 and country exchange projections with VRE, 15% by 2040 RE target which aims to achieve the 23% REmap
Develop optimized thermal and inter- country exchange projections with VRE, 10-12% of VRE by 2025 and High RE case which aims to achieve higher ASEAN RE 25-30% by 2040 targets
steps, the first to establish a working The Technical Review Group (TRG) team to oversee the study, which included representatives from NREL, included a Technical Advisory Committee HNEI, IEA, and IRENA, and provided (TAC) comprised of the HAPUA objective, unbiased technical peer review Secretariat, HAPUA Working Group 1 and guidance at all stages of the study; to 5 representatives, ACE, and program advised on preliminary and intermediate Regional staff. The role of the TAC was to assist analytical results and conclusions at key development of study objectives, points in the study to effectively guide scenarios, and sensitivities; review the next step analytics; and reviewed and modeling team’s methods, data sources, commented on draft and final reports. assumptions, and other key issues; and interpret results to present to decision- AIMS III Phase 2 was grid analysis, makers. The Modeling Working Group which included developing an ASEAN (MWG) was comprised of representatives interconnection grid model, transmission from GE Energy Consulting and analysis, and stability analysis by using Southeast Asian utility experts, with the both steady-state (or static) analysis responsibility to assemble and validate and dynamic simulations. Grid analysis data from a variety of sources, construct evaluated the overall grid performance in system models, simulate operations under ASEAN based on proposed transmission a variety of assumptions, and analyze and interconnections and VRE capacities as verify simulation results. informed by capacity-expansion planning results from Phase 1.
FINAL REPORT 2016 - 2021 19 MAJOR HIGHLIGHTS AND ACHIEVEMENTS
Under the RE target and higher RE target and wind power in the region, which could study scenarios, study results proved be utilized to achieve the 23% RE target that it is technically and economically by 2025 and establish higher RE targets. It feasible to achieve the 23% RE target by showed that solar technical potential will 2025, where VRE accounts for 9% of total be over 8,000 GW of installed capacity energy generation. It is also possible for whereas wind technical potential will be up ASEAN to set higher RE targets, where to 342 GW of installed capacity. The results VRE accounts for approximately 25% of of economic analyses found that a high RE the generation mix achievable by 2040, scenario, with 25% VRE of total generation potentially providing the lowest system by 2040, provides the lowest system cost cost, mobilizing higher RE investment, and compared to other cases (e.g., lowest reducing GHG emissions. According to production cost despite the highest building AIMS III Phase 2 grid analysis results, all cost). From a socio-economic-environmental interconnections proposed by capacity- analysis in the high RE scenario, there will expansion planning up to 2040 were found be more than 700,000 jobs created with 3 sufficient and feasible and there would solar and wind capacity estimates based be no impact on ASEAN power system on project opportunities over the next reliability and stability when integrating 20 years. There would be nearly 2 million VRE to achieve the ASEAN target. tons of CO2 emissions avoided resulting from increased VRE shares from 2030-40 An RE resource assessment on solar and in Indonesia, Thailand, Vietnam, and the wind technical potential in Southeast Asia Philippines, compared to the base case. showed there is huge potential for solar Activity Areas
20 USAID CLEAN POWER ASIA LESSONS LEARNED
COVID-19 impacts: Travel restrictions due to Data collection: Some ASEAN countries the COVID-19 global pandemic that began in required non-disclosure agreements (NDA) February 2020 meant that program staff were before sharing data with ACE and GE Energy not able to travel to most ASEAN countries. Consulting. The NDA process prolonged the Therefore, all AIMS III regional meetings data collection process, requiring at least two with HAPUA, ASEAN policymakers, energy months for drafting, reviewing, and signing planners and utilities, GE Energy Consulting, agreements. The process is longer when NDAs and TRG members became virtual events. involve government entities and state-owned Transforming these meetings to a virtual utilities requiring additional approvals and format was challenging and took longer than signatures from high-level staff.
anticipated due to the highly technical nature I. Improving Power Sector Planning of AIMS III. For instance, an Interim Meeting ASEAN has no long-term RE target set was initially planned as a three-day meeting in beyond 2025: ASEAN has set a 23% RE goal May 2020 in Vietnam to present assumptions in total primary energy supply to be achieved and the methodology, and preliminary results by 2025. However, there is no longer-term of capacity-expansion planning in four study RE target beyond 2025. Therefore, it has been scenarios for each ASEAN country. However, challenged to set and determine RE targets translating that format to a virtual setting for the high RE scenario addressing how much required the Interim Meeting to take place VRE will be in the generation mix by 2040. online over the course of 11 days, which Program staff, supported by the TRG, worked affected other planned activities and the AIMS with ACE to discuss the appropriate VRE III timeline. penetration level for ASEAN member states in the high RE scenario case and a consensus was Data availability: Higher RE scenario planning reached to achieve a VRE share of 25-30% in and analysis requires higher resolution data. the generation mix by 2040. For example, the production-cost simulation requires hourly solar and wind data as input Harmonization of AIMS III and ASEAN into the GE-MAP (a GE simulation software) Energy Outlook (AEO6)1: During the in different locations in Southeast Asia. Such initial stages of determining AIMS III study Regional data was not readily available for all ASEAN scenarios, the scenarios were not harmonized countries and thus, it was necessary to hire with AEO6 scenarios because both projects consultants from AWS Truepower to develop had not previously interacted. Program staff and simulate the hourly data. In another proposed to ACE the benefits of harmonizing example, dynamic data from Southeast Asian study scenarios between AIMS III and AEO6 power systems is needed for AIMS III Phase 2, so that both projects could potentially refer to but most countries were not able to provide the same information on the current energy this type of data. As a result, the modeling plan and compare the VRE share in total team had to develop their own assumptions generation between the ASEAN RE target case based on international publications and (AIMS III scenario) and ASEAN Plan of Action reports, verify these assumptions with relevant for Energy Cooperation (APAEC) target energy planners and utilities before simulation scenario (AEO6 scenario). with modeling software—another unexpected expense and delay.
1 AEO6 identifies future energy scenarios for 10 ASEAN member states as ASEAN Total Primary Energy Supply. AEO6 was developed by ACE with the support of Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ).
FINAL REPORT 2016 - 2021 21 2 IMPROVED PLANNING DATA AND TOOLS
3 Activity Areas
Workshop participants get hands-on practice To improve data and tools for RE analysis web-based geospatial analysis tool that using NREL’s Renewable Energy and planning, program staff supported facilitates RE decision-making, investment, Data Explorer at a NREL to develop the Southeast (SE) Asia and deployment, bringing together RE planning workshop in Bangkok in 2017. RE Data Explorer, a tool for visualizing resource data and other modeled or and analyzing RE technical potential, a measured geographic information system Photo credit: Michael Wykoff country’s estimated available resource (GIS) layers, including land use, weather, Abt Associates/ potential to generate electricity by environmental, population density, USAID Clean Power Asia applying the limitations of topographic, administrative, topology and grid data. environmental, and land use constraints. It By combining these data sets, decision- assists ASEAN energy planners and energy makers can explore and synthesize decision-makers to establish higher RE information about RE potential to guide targets and provides better opportunities planning, policymaking, and investment. to RE developers for future RE projects. NREL and partners including USAID and other institutions developed the SE Program staff supported NREL to test Asia RE Data Explorer for all 10 ASEAN a beta version of the tool with ASEAN member states and another 12 developing energy policymakers and planners countries around the world. before launching it in mid-2020. The SE Asia RE Data Explorer is a dynamic,
22 USAID CLEAN POWER ASIA I. Improving Power Sector Planning
Wind map generated for Map credit: 5 Lower Mekong countries from Pitoon Junthip RE Data Explorer Abt Associates/ USAID Clean Power Asia Regional
Solar map generated for Map credit: 5 Lower Mekong countries from RE Pitoon Junthip Data Explorer. Abt Associates/ USAID Clean Power Asia
FINAL REPORT 2016 - 2021 23 MAJOR HIGHLIGHTS AND ACHIEVEMENTS
In 2017, program staff collaborated with another RE-SSN side meeting. In addition NREL to collect and input data into the to the platform and tools, discussions were SE Asia RE Data Explorer and document had on how the technical and economic additional data availability and features in potential analyses can be used in power the SE Asia RE Data Catalog for Lower sector planning. ACE co-presented the Mekong countries. The tool enables users tool and LCOE analysis with NREL at to visually explore spatial data sets for RE the Asia Clean Energy Forum in Manila in resources and other basic infrastructure June 2019 during a session on facilitating and to complete technical potential RE investment for the private sector. At analyses for a set of the RE resources. the end of 2019, program staff and ACE Program staff identified gaps in available presented the SE Asia RE Data Explorer in data through comparison with RE analysis a webinar, targeting all ASEAN regulators priority topics for each country, and and utilities. prepared guidelines for addressing the gaps, 3 shared and discussed with Lower Mekong In January 2020, USAID Clean Power Asia stakeholders. worked with ACE to present the SE Asia RE Data Explorer at a working meeting on In mid-2017, program staff organized AEO6 development in Bangkok, including a workshop with two agencies in the functionalities for analyzing technical Thailand Ministry of Energy (MOE): potential and economic analysis and RE the Department of Alternative Energy resource assessment for AIMS III. During Development and Efficiency (DEDE) and the event, program staff worked with ACE the Energy Policy and Planning Office to present preliminary results of RE Data (EPPO). The workshop introduced the Explorer functionality and ways to use the
Activity Areas first iteration of the RE Data Explorer, tool to conduct technical potential and provided training on how to use the tool, economic analyses using site-based LCOE and discussed its use in setting RE targets, for energy experts, decision-makers, and a key step in Thailand’s RE planning process. power developers in the region. Program staff and workshop participants discussed the incorporation of Thai power Program staff successfully completed this data into the tool for use by Thailand activity by encouraging ACE to use the and other Lower Mekong countries in SE Asia RE Data Explorer to conduct RE RE target setting and planning. To validate resource assessment for AIMS III. ACE data and train a broader set of regional compared technical potential results stakeholders on RE Data Explorer, in June obtained from RE Data Explorer and the 2018, program staff organized a Renewable raw data from the RE technical potential Energy Sub-Sector Network (RE-SSN) side analysis completed by AWS Truepower, meeting in Bangkok to present an overview which resulted in the incorporation of of the SE Asia RE Data Explorer and the additional sites into AWS Truepower’s RE need for developing RE data management Resource Assessment. At the end of the plans. resource assessment, ACE and GE Energy Consulting used SE Asia RE Data Explorer In mid-2019, program staff and ACE to conduct technical potential analysis for presented the new SE Asia Data Explorer four of the 10 Southeast Asian countries, platform and a levelized cost of energy documenting these as case studies on the (LCOE) tool in Laos and Thailand, and at use of planning tools for AIMS III and AEO6.
24 USAID CLEAN POWER ASIA I. Improving Power Sector Planning Regional
USAID Clean Power Asia and the Map credit: ASEAN Centre for Energy worked Pitoon Junthip with NREL to develop tools for Abt Associates/ Southeast Asia, used here to calculate USAID Clean Power Asia solar economic potential.
FINAL REPORT 2016 - 2021 25 3 Activity Areas
Workshop participants get hands- Photo Credit: on practice using NREL’s RE Data Michael Wykoff Explorer at a planning workshop in Abt Associates/ Bangkok in 2017. USAID Clean Power Asia
26 USAID CLEAN POWER ASIA LESSONS LEARNED
SE Asia RE Data Explorer: The main Low Emissions Analysis Platform advantage of this tool is that it is easily (LEAP): LEAP is a software tool accessible through web browsers and is for tracking energy consumption, open-source and bears no cost to visitors, production, and resource extraction thereby generating interest not only among in all sectors of an economy and energy planners, but also the general public modeling energy scenarios. The SE Asia interested in various energy potential and RE Data Explorer can directly export GIS in the region. Another advantage of SE data into LEAP through an application Asia RE Data Explorer is its use in validating programming interface (API), to enable the results of the RE resource assessment the SE Asia RE Data Explorer to import
for AIMS III, providing an opportunity for estimated technical potential to LEAP I. Improving Power Sector Planning ACE to compare technical potential results or vice versa. Still to be evaluated is of SE Asia RE Data Explorer with the data the question of potential licensing Developed by SEI, from the RE resource assessment under requirements, branding the tool, and LEAP was selected for Integrated AIMS III. Given the tool’s reliability and other non-technical issues. Program Resource and accuracy, program staff and ACE were able staff and SEI supported NREL to Resilience Planning and capacity building to conduct assessments for four out of ten develop a link and a guideline to map in Laos. This graph Southeast Asia countries for AIMS III: Brunei, results from SE Asia RE Data Explorer shows the direct 100-year global Indonesia, Malaysia, and Singapore, while the to LEAP. NREL completed the API in warming potential remaining six countries preferred to use 2020, which is currently ready for use, for a sample their own data rather than the data in SE and program staff provided support to country. Asia RE Data Explorer. complete the guidelines for using the Photo credit: API in mid-2020. Pitoon Junthip Abt Associates/ USAID Clean Power Asia Regional
FINAL REPORT 2016 - 2021 27 3 LAOS-VIETNAM POWER TRADE
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
Export potential between Laos and Vietnam
572 5,000 17 MW MW GW 3 Current imports Targets for power Import from Laos to exports by 2030 potential from Vietnam in MOU between Laos governments of Vietnam and Laos
With ample natural resources, Laos in transmission. Several multilateral
Activity Areas has great potential to generate power development banks and international from RE, including hydro and solar. The donors have been working with the Lao country has already attracted considerable government to overcome this challenge, private sector investment in power aiming to encourage private sector generation in recent years, particularly investment in transmission, without from hydropower. Multiple hydro projects burdening government finances. are under construction and expected to begin operations in the next few There is significant potential for power years. However, with limited domestic exports from Laos to Vietnam, which is demand and insufficient transmission faced with power shortages in the near infrastructure, EDL, the state utility, has future. In order to facilitate power trade limited opportunities to sell the electricity between the two countries, in 2016, the it will be purchasing from the generators. governments of Vietnam and Laos signed a Memorandum of Understanding (MOU) Because of these limited opportunities, with targets for power exports from Laos there is an urgent need to upgrade and to Vietnam of 1,000 MW by 2020, 3,000 expand the country’s transmission grid, MW by 2025, and 5,000 MW by 2030. In and connect with neighboring countries recent years, a handful of hydro projects to export power. So far, the development in Laos have been built for export and are of such cross-border transmission currently selling their entire electricity infrastructure has been slow, largely output to Vietnam through a power due to EDL’s limited ability to invest purchase agreement (PPA) with Vietnam
28 USAID CLEAN POWER ASIA I. Improving Power Sector Planning Regional
There is large potential for RE- Photo credit: based power exports from Laos to https://pxhere.com/en/ Vietnam, providing opportunities photo/768308 for investment in transmission infrastructure.
FINAL REPORT 2016 - 2021 29 3
Vietnam’s draft PDP8 considers a 500 kV transmission Electricity (EVN), the national utility. These and central Vietnam and a large solar line between southern Laos and projects connect to EVN’s power grid project in southern Laos to connect central Vietnam via single 230 kV transmission lines built to the transmission line. In addition to
Map credit: specifically for the projects, while several the solar project, the developer aims to Ministry of Industry other Lao-based projects are under have several hydro projects in the area and Trade, Draft PDP8 development and have signed MOUs connect to the transmission line to export
Activity Areas and PPAs with EVN to export power via electricity. similar single transmission lines. Program support covered the preparation International studies have suggested the of Environmental and Social Impact construction of a 500kV transmission Assessments (ESIA) for the two projects, line between southern Laos and central as well as a technical report, which Vietnam, which would connect several forms the technical component of the generation projects and reduce the need feasibility study for the transmission line. for multiple dedicated transmission lines. Abt Associates subcontracted with two Such a transmission line would achieve consulting firms in Laos and Vietnam higher economies of scale, allow more for these studies, with program staff projects to sell electricity to Vietnam, supporting the implementation of the and minimize environmental and social studies, which were submitted to the impacts of cross-border transmission relevant authorities in Laos and Vietnam. infrastructure development. In addition to these studies, USAID Clean Power Asia engaged a financial advisor to To facilitate private sector investment prepare detailed financial models for the in cross-border power trade from projects, conduct an assessment of the RE sources, USAID Clean Power Asia projects’ bankability and major risks, and supported a U.S. project developer in develop a strategy to bring in additional its efforts to develop a high-voltage investors into the projects. transmission line between southern Laos
30 USAID CLEAN POWER ASIA LESSONS LEARNED
Challenges and limitations: As noted, a single 500kV cross-border transmission line would provide several benefits over multiple 230kV transmission lines, due to higher economies of scale and lower environmental and social impacts. Nevertheless, in practice, developing such a line is a lengthy and complicated process, involving multiple stakeholders with different interests and priorities. Because of the innovative
nature of the transmission line, procedures I. Improving Power Sector Planning for project development and obtaining approvals had not been fully established. Meeting all the authorities’ requirements necessitates dedication and perseverance from a developer, because the transmission line has not been included in official plans for transmission infrastructure in Laos and Vietnam.
Consideration of transmission line in Vietnam’s PDP8: The Ministry of Industry and Trade (MOIT) of Vietnam is currently preparing the country’s 8th Power Development Plan (PDP8), for the period 2021-2030, with a vision to year 2045. In February 2021 MOIT released the draft PDP8, with the objective to obtain feedback before finalizing the plan. The draft Regional considers a 500 kV transmission line from For Virtual ACEF 2020, USAID Image credit: southern Laos to central Vietnam, to be Clean Power Asia developed social USAID/RDMA implemented between 2026 and 2030 in media toolkits for cross-promotion of an online side event on June 16 case of increased electricity imports from attended by approximately 300 Laos. The consideration of the transmission participants. line in the draft PDP8 is an important step in implementing a 500 kV cross-border transmission line. Nevertheless, the PDP8 is A single high-voltage cross- still in draft form and the consideration of the line is provisional. In addition, the project border transmission line would would need the approval and support of the provide benefits over multiple Lao government as well, and it is unclear whether Laos would support a privately medium-voltage transmission developed and owned transmission line to lines, due to higher economies Vietnam. The power transmission sector in of scale and lower environmental Laos has recently been restructured, which may complicate the completion of the line and social impacts. by a private sector company.
FINAL REPORT 2016 - 2021 31 LAOS
3 Activity Areas
USAID Clean Power Asia COP Dana Photo credit: Kenney leads a panel discussion Maythiwan Kiatgrajai at the Forum on the Vulnerability Abt Associates/ Assessment and Resilience Action USAID Clean Power Asia Plan for the Lao PDR Power Sector in May 2019 in Vientiane.
32 USAID CLEAN POWER ASIA In FY2017, program staff conducted a data and planning assessment, focusing on Cambodia, Laos, Thailand, and Vietnam. The assessment documented tools and processes for developing RE targets and PDPs and identified potential capacity building needs for counterparts in establishing higher RE targets and integrating these targets into PDPs.
The data and planning assessment was activities of the capacity building program. completed at the end 2017, and program The IRRP capacity building program aimed staff worked with SEI to develop the IRRP to increase the skill of GOL staff on energy capacity building program, presented to planning with the use of planning tools like the GOL at the beginning of 2018, as they the LEAP model; to evaluate higher RE
had demonstrated interest in the proposed levels in power sector planning; and devise I. Improving Power Sector Planning program. low-regrets power development pathways. MEM established two working groups USAID Clean Power Asia took the first consisting of representatives from MEM, step in analyzing potential RE zones as EDL, and EDL-Gen: the Demand Working an integral part of the IRRP capacity Group (DWG), in charge of developing building. The concept of RE zones (REZ) demand model of future energy demand, was introduced in the capacity building and the Supply Working Group (SWG), plan, which describes RE “study areas” as involved in developing energy supply to regions in the country that merit further satisfy the projected electricity demand. consideration as possible REZs, based on an assessment of their technical resource Identification and establishment of REZ potential. SEI conducted a geographic were key components of the IRRP capacity information system (GIS)-based analysis building program in evaluating the need of solar photovoltaic, wind, and small to either build new transmission lines or hydropower (appropriate for generation upgrade exiting transmission lines in Laos capacities of not more than 30 MW) depending on solar and wind potential. potential across Laos by assembling a REZs considered solar, wind, and small variety of publicly available data sources. hydro resources, which were more USAID Clean Power Asia then convened effective and applicable for Laos compared Laos an Integrated Resource and Resilience to other RE sources. The REZ study areas Planning (IRRP) Consultative Workshop on were specified in terms of their geography, Renewable Energy Zone (REZ) Study Areas resource potential, and likely production and Demand Model Development in mid- costs for generation and transmission, 2018 where staff and subcontractor SEI promoting the addition of RE generation engaged with a broad group of RE project in the IRRP supply model, and supporting developers (public and private), planners, transmission infrastructure to facilitate and regulators to introduce the concept of domestic supply and bilateral power REZs and gather input on the commercial exchanges between Vietnam and Laos. To viability of REZ study areas. improve power sector resilience in Laos, program staff worked with NREL experts Supporting the GOL desire for IRRP, to support the GOL to conduct a power program staff introduced a resilience sector VA and develop a resilience action planning process and worked with plan, with power sector risks identified stakeholders to define the overall then incorporated into the IRRP models. objectives, constraints, metrics, and
FINAL REPORT 2016 - 2021 33 1 CAPACITY BUILDING FOR INTEGRATED RESOURCE AND RESILIENCE PLANNING
Initiated in January 2018, the four-phase 2020, program staff and SEI held a hybrid IRRP Capacity Building Program for Laos workshop on IRRP pathways, where focused on devising low-regrets power participants selected and finalized a set of development pathways that best satisfy long-term, low-regrets power development a range of planning objectives given pathways for Laos by using outputs from multiple uncertainties and possible futures. the IRRP model, generated by LEAP and Analyses required to identify low-regrets NEMO, to present results to decision- pathways were conducted in a long-term makers. electricity planning model for Laos, built on LEAP and used by the IRRP core team In December 2020, program staff and to forecast energy demands and supply SEI held a mini-conference to share and processes and to explore a range of report on final IRRP results. Participants uncertainties and normative scenarios. in Vientiane included the Vice Minister 3 of MEM, promoted to MEM Minister in During an in-depth advanced training March 2021, the IRRP core team, and MEM, session in January 2020, and as part of EDL, and EDL-Gen representatives. The the capacity building program, program event presented high-priority least-regrets staff and SEI introduced a new tool, pathways resulting from the IRRP analysis the Next Energy Modeling System for and received feedback from decision- Optimization (NEMO), linked with LEAP makers on the best path forward as well as to optimize capacity-expansion modeling proposed RE targets. with transmission limits. In November Activity Areas
IRRP Capacity Building Program Timeline
January 2018 - January 2019
• Formation of IRPP core team • Stakeholder analysis and mapping • Specification of IRRP objectives, constraints, and metrics • Identification of RE study areas
Phase A: Preparation Phase B: Demand Analysis
February 2018 - January 2019
• Modeling platform selection • Training on demand modeling • Constuction of IRPP demand model
34 USAID CLEAN POWER ASIA MAJOR HIGHLIGHTS AND ACHIEVEMENTS
With regard to IRRP capacity building and the supply from solar, hydro, and small portion low-regret pathways of the Lao PDP, Option of coal). The Demand and Supply Working 6 was selected of the top three options as Groups, supported by SEI, evaluated all 345 the least-regrets pathway for the Laos PDP as possible energy scenarios and short-listed it provided the lowest electricity production 30 after considering energy objectives and costs and better scores on IRRP metrics metrics on economic, social, and environment reflecting social-economic-environment perspectives. benefits compared to other options. PDP Option 6 would allow Laos to have higher The establishment of the IRRP core team power generation from solar, small hydro, and and internal processes for conducting IRRP
a small portion of coal to satisfy Laos’ energy analyses strengthened the GOL’s ability to I. Improving Power Sector Planning objectives. conduct long-term power planning in the context of the entire energy sector. Capacity To identify the pathways that are robust given assessments before, during, and after the uncertainties and events not in the control implementation of the IRRP capacity building of planners, including climate change, as well program showed evidence of improvement as the established societal objectives, 345 over time in competency areas of analytical possible energy scenarios were identified, techniques essential to IRRP, such as the use based on three PDP options suggested by of normative scenarios and large scenario MEM, including PDP Option 3 (hydropower ensemble analysis, and LEAP to inform and/or dominates in electricity generation supply); improve the Lao PDP. PDP Option 4 (coal dominates); and PDP Option 6 (diversifying electricity generation Laos
December 2018 - June 2020
• Training on supply modeling • Construction of IRPP supply model
Phase C: Supply Analysis Phase D: Pathways Analysis
June 2020 - December 2020 • Integrated supply-demand modeling • Identification of low-regrets planning strategies and policy recommendations
FINAL REPORT 2016 - 2021 35 Differences in RE Zone and Generation Cluster Candidates
RE Hot Spots (Clusters of high quality RE resources)
No Existing transmission transmission
3
Need No transmission transmission upgrade upgrade Activity Areas
Clustered REZs Generation
Laos RE zone Will consider in IRRP transmission process but not include planning process in REZ process
In addition, based on successfully recommended PDP Option 6 pathway completing the IRRP, the GOL has will result in increased solar generation, institutionalized long-term energy planning accounting for 8% of total electricity by establishing a permanent team from generation by 2050 and 12% by 2055. the IRRP core team specifically for this These targets are in line with Laos’ purpose. For Lao RE target setting, national RE targets for solar, accounting according to modeling results, the for 6-8% of the generation mix by 2050.
36 USAID CLEAN POWER ASIA LESSONS LEARNED
IRRP capacity building program: COVID-19 impacts: Due to the As a result of the capacity building COVID-19 global pandemic, several events program, Laos now has the ability to initially scheduled in 2020 were postponed develop a more resilient and strategically indefinitely due to travel restrictions planned PDP that takes into account imposed throughout the region. Some key vulnerabilities and risks while key activities such as the IRRP pathways simultaneously providing the foundation workshop and mini-conference, originally upon which to implement a robust scheduled for February 2020, had to be regulatory framework to attract private postponed and in-person interaction investment and improve power system between SEI experts and participants was
performance. The IRRP capacity building necessary due to the in-depth training I. Improving Power Sector Planning Participants engage program also provided energy planners required to learn how to use the IRRP in group activities with the appropriate skills to use LEAP model. However, program staff and SEI at a vulnerability assessment and NEMO software, how to incorporate adapted and managed the workshop with workshop in risks to the power sector into planning, obstacles of time difference and virtual Vientiane in August and a thorough understanding of the meeting efficacy, occurring at the end 2018. approach to, and benefits of, conducting of 2020. Photo credit: long-term integrated resource and Pitoon Junthip Abt Associates/ resilience planning. USAID Clean Power Asia Laos
FINAL REPORT 2016 - 2021 37 2 IMPLEMENTATION OF RENEWABLE ENERGY ZONES
3 Activity Areas
USAID Clean Power Asia worked Map credit: with Laos stakeholders to identify 7 Pitoon Junthip candidate RE zones and 7 generation Abt Associates/ clusters which were included in the USAID Clean Power Asia IRRP supply model.
38 USAID CLEAN POWER ASIA An RE zone (REZ) is a geographic area analysis identified and characterized enabling development of cost-effective and candidate REZs in Laos, this work was profitable grid-connected renewable energy. integrated into the IRRP capacity building An REZ has high-quality RE resources, suitable program and evaluated REZs as supply topography and land use designations, and options in IRRP. demonstrated developer interest, all of which support cost-effective RE development. REZ The Japan International Cooperation Agency transmission planning is a process designed (JICA) was assisting Laos by conducting a to highlight geographic areas that enable the medium-term plan for the power sector, development of grid-connected renewable focused on domestic and export needs, electricity. This activity aimed to encourage and resulting in a detailed plan for the renewables by providing assurance to project transmission system. In order to ensure developers interested in entering the energy the same transmission plans were included market. As a result, REZ planning aims to in the IRRP analysis, USAID Clean Power
shorten project timelines to appeal to the Asia collaborated with JICA to share I. Improving Power Sector Planning interests of private developers, compared to and incorporate data from their study the longer periods typical of projects under into the IRRP analysis and to coordinate the purview of governments or regulatory transmission analyses to ensure transmission authorities. requirements serving candidate REZs were considered in their planning. Integration of The IRRP capacity building plan describes supply and demand planning to identify least RE “study areas” as regions in the country regrets scenarios completes the IRRP, which that merit further consideration as possible provides the foundation for a long-term REZs, based on assessments of their technical PDP. In January 2020, USAID Clean Power resource potential. To complete this activity, Asia, SEI, and JICA co-hosted a workshop SEI used GIS to conduct an analysis of solar in Vientiane to share lessons learned on photovoltaic, wind, and small hydro potential improving power sector generation and (appropriate for generation capacities of not transmission planning. Representatives from more than 30 MW) across Laos by assembling the GOL and international donors attended a variety of publicly available data sources. the workshop to review proposed REZs and The assessment quantified the remaining associated impacts on transmission plans. potential of wind, solar, and small hydro. During the event, updates on study projects Program staff distinguished between two on power generation and transmission broad types of study areas: those located near planning; IRRP supply model (which Laos existing or planned transmission infrastructure incorporated transmission lines suggested (generation clusters) and those that are by JICA based on the Laos Power System not (candidate REZs). The reason for the Master Plan report); and REZ impacts on distinction was to define a candidate REZ, transmission plans were presented. which necessitates the development of new or upgraded transmission lines. Based on JICA’s study and MEM’s recommendation, program staff and SEI Program staff consulted with RE developers, initially prioritized the REZs for analysis in EDL, and other stakeholders during a the IRRP transmission options using the consultative workshop on study areas and criteria that the top priority areas would demand model development in mid-2019 share a border with Vietnam for future to prioritize and select the most promising cross-border trade, where the generated areas as candidate REZs. Program staff and electricity could be used for domestic SEI included candidate REZs as supply options consumption and/or export to a neighboring in the supply-side and integrated supply- country. demand modeling in the IRRP capacity building program. Building on the technical potential
FINAL REPORT 2016 - 2021 39 MAJOR HIGHLIGHTS AND ACHIEVEMENTS
Amount of solar and wind technical potential
over over 175,000 11,000 GWH GWH 3 of solar energy generation of wind energy generation potential available from potential available from candidate REZs and candidate REZs and clustered generation clustered generation Activity Areas To promote inclusion of RE zones in further studies before incorporating transmission planning in Laos, two study REZs into the new PDP, including a full areas (SA), SA4a in Savannakhet and reliability analysis, detailed feasibility study, SA22 in Khammouan, were nominated and Environmental and Social Impact as final REZ candidates, and presented Assessment on proposed transmission to the GOL during the mini-conference. lines before approving transmission Both areas are expected to connect planning. to the domestic grid and interconnect with the Vietnam grid for electricity The GOL now has the foundation to export, potentially increasing domestic continue evaluating REZs, incorporating electricity supply and electricity exports them into their IRRP process, and to Vietnam. However, the GOL has not including them into the system in the currently committed to include both future. In addition, coordination between REZs in the PDP since electricity demand USAID and JICA was enhanced, and will in Laos will not significantly increase in continue between their new program and the next 10 years and it also depends on the USAID Laos Energy Security program. electricity needs from Laos’ neighboring countries. It is necessary to conduct
40 USAID CLEAN POWER ASIA LESSONS LEARNED
COVID-19 impacts: Activities pertaining Lao transmission planning and power to REZs were already in the final phase import policy of other countries: when the COVID-19 global pandemic Inclusion of REZs in Laos’ transmission began. To complete the activities, a plans will not only improve the Laos component of REZ—transmission plan power sector, but also will benefit designation—had to occur synchronously neighboring countries reliant on Laos with the IRRP pathways workshop, power exports to meet growing domestic postponed from February to November demand. To facilitate power import and 2020. The delay in completing the activities develop and/or extend interconnection was mainly due to travel restrictions and electricity generated, REZs will rely
imposed across the region, which affected on the power import policy of Laos’ I. Improving Power Sector Planning all in-person activities. Program staff neighboring countries. For example, and working groups had to adapt and Vietnam has agreed to buy 600 MW of eventually held the workshop and mini- wind power from Laos, from an area in conference virtually. The working group Attapeu, one of the REZ candidates; the in Laos joined the event in-person, while project development agreement (PDA) for program staff and SEI participated virtually. the project was approved in 2020, though Thailand and Cambodia do not currently In-depth discussion have policies on importing renewable at an IRRP training workshop on RE power. zones in January 2019 in Vientiane.
Photo credit: Pitoon Junthip Abt Associates/ USAID Clean Power Asia Laos
FINAL REPORT 2016 - 2021 41 THAILAND
3 Activity Areas
Aerial drone view of wind turbines Photo credit: generating electricity in Huai Bong, theevening via Nakhon Ratchasima, Thailand. iStockphoto
42 USAID CLEAN POWER ASIA Thailand was a pioneer among Southeast Asian peers in stimulating RE development and allowing private companies to sell RE-based electricity to the national grid. The government provided the first incentives as early as 2002, and in 2006, introduced a so-called ‘adder’
tariff, which is paid in addition to the base tariff for the first seven I. Improving Power Sector Planning years of project operations.
The introduction of the adder led to a sharp Thailand’s power sector is heavily increase in RE project development over dominated by gas-fired power generation, the subsequent decade. In 2020, renewable supplying 55% of total electricity in 2020. energy accounted for 10% of total electricity While the share has been decreasing supply, and the country’s installed RE somewhat over the last few years, the capacity included 2.9 GW of solar, 1.5 GW country will continue to largely depend on of wind, and 3.3 GW of biomass power, of natural gas for electricity, with the addition which 1.9 GW is selling to the grid and the of 5 GW of new gas-fired power capacity remainder for onsite consumption by agro- by 2023. This additional capacity means industries. that the power system has overcapacity and a high reserve margin, which has Thailand’s electricity development is guided been in the range of 40%, compared with by a PDP, prepared every few years by the the internationally accepted level of 15%.
MOE. The Alternative Energy Development This means that there would be limited Thailand Plan (AEDP), prepared by the Department opportunities for additional RE capacity of Alternative Energy Development and in the next few years. To overcome some Efficiency (DEDE), details plans specifically of the challenges faced by the RE industry, for RE for electricity generation and heat USAID Clean Power Asia engaged with applications. While the latest PDPs and government agencies and the private AEDPs have maintained high long-term sector, with a focus on wind power. targets for RE deployment, in the last five years, Thailand experienced limited growth in installed capacity, due to power system overcapacity and concerns over the effect of high RE tariffs on overall electricity tariffs.
FINAL REPORT 2016 - 2021 43 1 UTILITY-SCALE WIND IN THAILAND
3 Activity Areas Thailand has considerable potential for Thailand has moderate potential for PPA and arrange financing, and one to two additional wind power but currently wind power development, estimated at years of construction. Thus, consistent lacks a mechanism 5-10 GW, and over the past decade, the long-term planning by energy authorities for implementing new projects. country has made considerable progress is crucial for a country’s wind power in the development of wind power with development. Photo credit: Silezkiy via the current total installed capacity at Elements Envato 1.5 GW, consisting of 32 wind projects. Thailand’s electricity development is These projects sell electricity to national guided by the PDP, and in early 2019, the utilities under long-term power purchase government approved the latest PDP, agreements (PPA), signed between 2008 which included an additional 1,485 MW of and 2015. However, since 2015, Thai wind power by 2037 but did not foresee energy authorities have not awarded any any new wind capacity before 2034. In new wind power projects. other words, for the next 10-15 years, developers would have no opportunity While most solar projects can be built to develop new projects and then have a in less than a year, wind energy projects sudden ramp-up in capacity within a three- require a significantly longer timeline year period. for project development. These projects require at least a year of onsite wind One of the reasons contributing to the measurements, time needed to sign the lack of planning for wind power was
44 USAID CLEAN POWER ASIA its perceived high costs among Thai policymakers. Given the rapid growth of RE over the last decade, the Thai government is cautious about the effect of high tariffs for renewables on the overall Thailand’s electricity electricity tariff for consumers. Existing wind projects in Thailand receive tariffs development is in the range of 6-8 THB/kWh. To limit the impact of RE growth on consumer energy guided by the PDP, tariffs, the MOE announced in 2017 that Thailand would not contract any new and in early 2019, the generation from RE in the next five years, unless projects would be able to generate government approved at the wholesale tariff level (approximately the latest PDP,
2.4 THB/kWh). I. Improving Power Sector Planning including an additional In the last few years, the cost of wind power generation has decreased 1,485 MW of wind considerably, due to the development of new technologies for low wind speeds power by 2037. and the rapid growth of wind power worldwide. Analysis by the Thai Wind Energy Association (ThaiWEA) showed that new wind projects in Thailand would be able to generate power below 3 THB/ USAID/RDMA’s Deputy Mission Photo credit: Director, Jeffrey Spence, and the Kwanta Norkum kWh, while also bringing considerable Thai Ministry of Energy’s Inspector Abt Associates/ benefits to local communities through General, Dr. Twarath Sutabutr, USAID Clean Power Asia delivered opening remarks at the improved infrastructure, job creation, and Thailand Wind Energy Roundtable in quality of life improvements. Bangkok in December 2019. Thailand
FINAL REPORT 2016 - 2021 45 MAJOR HIGHLIGHTS AND ACHIEVEMENTS
By the numbers 0 270 Original target for New target for additional additional wind power wind power (MW) by (MW) by 2024 2024 in revised PDP
3 In August 2019, the Thai government potential in Thailand and presented the appointed a new Minister of Energy, who paper during the event. The roundtable publicly announced the ministry’s plan to provided a platform for a highly interactive revise the PDP and increase the share and frank discussion between government of RE in the new plan. Considering the and industry representatives to share ongoing PDP revision, the intention to their respective views and concerns, increase the share of RE, and ThaiWEA’s and the event contributed to enhanced efforts in lobbying energy agencies, understanding of each party’s needs and program staff seized the opportunity concerns, encouraging further discussions
Activity Areas to work with ThaiWEA and the Global on ways to promote investment in wind Wind Energy Council (GWEC) to energy in Thailand in the near term. organize a high-level dialogue with Thai energy officials on how wind power A few months after the roundtable, the can contribute to Thailand’s sustainable MOE announced plans to accelerate energy future and economic development. procurement of wind energy in the A wind energy roundtable took place in next five years. During a public hearing December 2019 and brought together on the new PDP in February 2020, representatives from Thai energy agencies MOE presented revised targets for RE; and the wind industry to discuss the the target for wind power is 90 MW potential for a higher wind energy target each year between 2022 and 2024, for in the PDP. Representatives from the a cumulative amount of 270 MW. This government included high-level officials was later included in the revised PDP from MOE and other relevant agencies approved in October 2020. While the while representatives from the wind total target for wind power in the revised industry were wind turbine suppliers, local PDP did not increase, the inclusion of and international project developers, and wind procurement in the next few years consulting companies. is a positive development since the previous PDP did not set forth any new Prior to the roundtable, ThaiWEA and wind procurement until 2035, while also GWEC, with inputs from program staff, providing a perspective for a higher wind prepared a position paper on wind energy target in future PDPs.
46 USAID CLEAN POWER ASIA LESSONS LEARNED
High-level dialogue to facilitate of wind power. This laid the groundwork engagement between government for attendance of high-level government and private sector: A high-level officials and re-consideration of wind dialogue like the Thailand wind energy power in the revised PDP. roundtable was an effective mechanism to engage with government agencies on Potential of wind power in Thailand’s the consideration of renewable energy power system: While the overall target targets in national PDPs. Through the high- for wind energy in the revised PDP did profile nature of the USAID-supported not increase from the previous version, event, the roundtable attracted high-level the new plan recognized the potential
representation from multiple Thai energy for wind to effectively contribute to I. Improving Power Sector Planning agencies. This allowed government and Thailand’s power system. The near- industry representatives to exchange term procurement plans provide the views and concerns, and explore how opportunity for the development of new concerns and requirements from the wind projects in the next few years, and government side related to the concerns a successful procurement process and and needs from the private sector wind project implementation would provide industry. For example, the government perspectives for further revisions of the aims to achieve low tariffs for wind power, PDP and the incorporation of additional but the wind industry requires a clear and wind projects in the longer term. consistent pathway for developing wind However, since the approval of the revised projects, so that companies can establish PDP, the Ministry of Energy and the Office local manufacturing facilities and build of the Energy Regulatory Commission local capacity, which help to drive down (OERC) have not announced which costs and provide additional economic procurement mechanisms will be used for benefits. the 270 MW, and due to the relatively long development timeline for wind projects, Political will and lobbying efforts: the procurement process would need to
While the roundtable contributed to the start by mid-2021 to implement the first Thailand revision of the PDP, a one-off event like 90 MW in 2022. the roundtable is insufficient to influence plans and policies that guide longer-term market trends. First, there needs to be a clear opportunity and indication of a willingness to regularly reevaluate and High-level dialogue is an revise plans while setting clear long-term market trends, as was the case with the effective mechanism to nomination of the new energy minister and his intention to revise the PDP and engage with government raise the share of RE. In addition, intense agencies, though plans and direct lobbying plays an important role. A few months before the event, should be regularly ThaiWEA elected a new president, who in the run-up to the roundtable held re-evaluated and revised multiple meetings with several agencies to the share the latest information on based on market trends. the cost of generation and local benefits
FINAL REPORT 2016 - 2021 47 3 ACTIVITY AREAS
II FOSTERING SUPPORTIVE POLICY FRAMEWORKS - Utility-Scale - Distributed Generation - Advanced Technologies
3 Activity Areas
Photo credit: Siphachanh Thythavy Abt Associates/ USAID Clean Power Asia
48 USAID CLEAN POWER ASIA Many countries in Southeast Asia have set RE targets including an aspirational regional target of 23% RE in total primary energy supply by 2025. To reach that target, each country has adopted some form of national policy to promote and incentivize RE deployments at varying stages of advancement, and USAID Clean Power Asia supported efforts to foster an environment conducive to the greater development and deployment of grid-connected renewable energy.
Throughout the region, diverse stakeholders considering updating regulations to improve and international and regional experts technical requirements and facilitate more regularly convened to exchange lessons RE interconnection to the grid, while learned and best practices to institute transparently and competitively driving costs frameworks that reduce risks and encourage down. Therefore, it was imperative to tailor greater RE investment. Successful approaches the program’s policy and regulatory support were then documented and shared widely according to each country’s need as well as to promote the scale-up of renewable to promote knowledge exchange, lessons energy while encouraging pilot program learned, and best practices regionally. Over II. Fostering Supportive Policy Frameworks development. the past five years, USAID Clean Power Asia strategically approached policymakers With the rapidly declining cost of and relevant counterparts and successfully technologies, especially for solar PV, wind, supported 16 policies and/or regulations as and battery energy storage, coupled with the well as facilitated training for 370 people (87 increasing maturity of the energy sector as a women/283 men) across Southeast Asia whole, policies that support the deployment and integration of renewables are evolving, USAID Clean Power Asia took each requiring novel ways to promote deployment country’s varying needs and designed and supplement outdated traditional the interventions and focus in three instruments. As countries progress toward groups of policies/regulations: utility-scale, low carbon solutions and economies, USAID distributed generation, and advanced energy Clean Power Asia’s support for policy technologies. Utility-scale interventions frameworks included developing appropriate focused on policies and regulations for policies and incentives, regulations and RE technologies connecting to the grid standards, and evaluating the policy and at higher voltage level and are governed regulatory impacts on key stakeholders to by operational requirements of the promote an enabling environment conducive utility. For instance, a 20 MW solar to RE development that eliminates technical project connecting to a utility-owned and and regulational barriers. operated substation would be considered utility-scale. Distributed generation or Certain countries such as the Philippines, customer-related intervention deals with Thailand, and Vietnam are more advanced in policies and regulations that have direct terms of maturity and comprehensiveness impact on consumers or customers and of RE policies when compared to Laos and distribution utilities serving the customers, Cambodia. Several RE policy incentives such as a distributed photovoltaics (DPV) are currently being implemented in the net-metering program and distribution region, including feed-in tariffs (FIT), self- grid connection requirements. Lastly, consumption schemes, net-metering, tax interventions in advanced technologies incentives, and financing schemes, as well as aimed to address policy implications from market-based mechanisms like competitive emerging and disruptive technologies like energy procurement. Many countries are battery energy storage.
FINAL REPORT 2016 - 2021 49 UTILITY-SCALE
Lessons Learned Stakeholder 3 and Best Consultations Practices Policies, National Incentives Increased RE and RE Targets Regulations Investment
Policy and Pilot Regulatory Programs Analyses Activity Areas
Typically, RE generation is categorized according to the size and grid interconnection as either utility-scale or distributed generation, so this section covers USAID Clean Power Asia’s policy and regulatory interventions for utility-scale RE generation. Generally, RE projects that have comparatively larger installed capacity, contractual obligation to supply electricity to the grid, and connection to a substation or transmission networks are considered utility-scale.
50 USAID CLEAN POWER ASIA Unfortunately, particularly for solar, there developer and relevant government is no consensus on what “comparatively entities to develop RE projects. Therefore, larger” size entails as different entities stakeholders involved with utility-scale have defined varying capacity threshold policies and regulations include utilities,
for utility-scale projects. For example, the system operators, and government II. Fostering Supportive Policy Frameworks Solar Energy Industries Association, the authorities. The private sector has a more leading trade group for solar developers limited role to influence policymaking in the U.S., defines utility-scale solar as which is typically done through a public greater than 1 MW while the National consultation process. Renewable Energy Laboratory (NREL) chose a 5 MW threshold. Regardless Influencing utility-scale power of size and technology, utility-scale development policies and regulations, RE projects will require contractual USAID Clean Power Asia focused on obligations such as a power purchase supporting and promoting competitive agreement between the generator, or procurement as a transparent mechanism seller, which is the RE plant, and the to procure RE and to lay the regulatory offtaker, or buyer, typically a local utility. foundations to enable and facilitate RE deployments. USAID has been at the Within Southeast Asia, utility-scale RE forefront of RE auctions around the world projects are dependent on government from Mexico, Senegal, Zambia, Kazakhstan, policies mandating inclusion within Colombia, India, and others, and continued the country’s PDP and governmental with USAID Clean Power Asia activities in announcements to procure energy, the region with country-specific support Utility-Scale particularly for Thailand and Vietnam. in Laos and the Philippines, as well as Larger capacity projects (>90MW for broader regional promotion of auctions. Thailand) with PPAs are listed individually With varying degrees of advancement in the PDP while smaller projects are in RE for each country in the region, grouped by technology to inform the USAID Clean Power Asia’s efforts aimed country’s power supply and demand. to support appropriate utility-scale The development of the PDP is mainly RE regulations through stakeholder for energy planning purposes. Laos, and consultations and addressing their needs to a certain extent Cambodia, prior to to provide a sufficient foundation and the recent solar auction conducted by build the capacity of relevant personnel. ADB in September 2019, rely heavily on bilateral negotiation between the project
FINAL REPORT 2016 - 2021 51 1 COMPETITIVE PROCUREMENT
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
A competitive procurement is a market of auction design. Under competitive mechanism to achieve competitive procurement, USAID Clean Power Asia allocation of a good, which in this case successfully achieved eight policies, a is energy, and price discovery when significant feat that helps Laos establish confronted with price uncertainty. In the necessary foundation for their first- the case of RE auctions, synonymous ever energy auction. with RE competitive procurement, the product under bidding is a given volume of On August 8, 2017, USAID Clean electricity (kWh), capacity (kW), or both. Power Asia entered into a Cooperation Benefits for a well-designed RE auction Framework Agreement with the Laos include an open and transparent process, Ministry of Energy and Mines (MEM) to reduced time to project completion, provide technical assistance on various 3 improved energy planning, lower energy initiatives to contribute to the country’s prices for new generations, along with any exploration of grid-connected PV and other specific goals such as community other RE resources to complement participation and the socioeconomic existing and planned hydropower aspect of RE. investments. The primary counterpart under MEM with responsibility for RE USAID Clean Power Asia’s support to activities was transferred from the promote competitive procurement in Department of Energy Policy and Planning the region included the Laos solar pilot (DEPP) to the Institute of Renewable auction and regional auction events Energy Promotion (IREP) following a
Activity Areas to share global trends and benefits restructuring in mid-2018. of auctions and inform key concepts
Solar Pilot Auction Timeline
Present and discuss • Cooperation agreement • Established technical draft bid evaluation • Workshop on solar subgroup to support WC criteria policy roadmap and • Field visits and site surveys auction politics • WC meetings #3-5
2017 2018 2019 2020 Jan ‘21 Feb ‘21 Mar ‘21
• Established WC • Finalized and submitted • Training on designing auction announcement solar pilot auction package Final workshop on • Capacity building • WC meeting #6 auction overview workshop • Obtained approval for and presentations • WC meetings #1-2 implementing solar auction pilot
52 USAID CLEAN POWER ASIA Support for Laos Solar Pilot Auction
Auction Design Design auction approach, bidder qualifications, rules, penalties, etc.; identify steps and responsible entities to announce and conduct the auction; develop templates and forms and Procedures for bid submission; and establish reference prices
Assess resource potential, collect site information, conduct site assessments, Site Selection determine land use rights or relevant permits/licenses, etc., to secure the project site(s) for auction II. Fostering Supportive Policy Frameworks
Standardize Head of Agreement (HOA), Power Development Agreement (PDA), Power Purchase Legal Agreement (PPA), and Concession Agreement (CA), all necessary to develop power Agreements project in Laos
Supporting Regulations to ensure minimum technical requirements and streamlining the technical review process which include guidelines for feasibility studies, technical standards, and Regulations technical connection requirements
USAID Clean Power Asia began the solar stakeholders including MEM, Électricité du auction initiative by conducting market Laos (EDL), and the Ministry of Planning and regulatory analyses to assess the and Investment (MPI). current situation and provide policy Utility-Scale recommendations. Preliminary findings Despite some initial delays from MEM’s were presented at a workshop on internal restructuring, USAID Clean developing a solar policy roadmap and Power Asia obtained governmental auction policies in November 2017 in buy-in in 2018 on the benefits of Vientiane, which also addressed policy competitive RE procurement, the most objectives that would guide the solar critical step to move forward with pilot auction. In April 2018, program staff program activities. In November 2018, a conducted training on solar technology significant milestone was achieved when and financial modeling to enhance the Government of Laos, initiated by understanding of the benefits of solar IREP, turned buy-in into a commitment technology, trends towards RE auctions, to proceed with the country’s first-ever basic finance for project evaluation, and solar pilot auction with establishment of financial modeling for utility-scale solar a Working Committee (WC) to oversee project evaluation. This was followed auction design, procedures, regulations, by a workshop on designing a solar and implementation documentation. pilot auction to present auction design The WC of multiple MEM entities and recommendations and calculation of other ministries including MPI, Ministry a ceiling price for the auction, while of Finance, and Prime Minister’s Office collecting feedback from key public held meetings in December 2018 on
FINAL REPORT 2016 - 2021 53 consultation and capacity building of for each design element: site selection, government staff to understand auction timing, conditions for participation, bid design and gather feedback on policy evaluation, qualifications, penalties, and objectives and requirements for Laos, payments. Supporting the auction design clarifying and defining auction processes are other relevant documents including and responsible entities, and ultimately forms, checklists, and templates which assembling everything into the auction have been developed and are ready for announcement package by September use. One of the bid evaluation criteria 2020. is the reference price, which serves as a ceiling price for the auction, where To support the monumental task of bids above the reference price will be implementing this first-ever solar pilot disqualified from the bidding process. auction, USAID Clean Power Asia Program staff worked closely with the WC partnered with the Global Green Growth to determine the reference price, with a Institute (GGGI) and the Hawaii Natural major challenge arising in that the price Energy Institute (HNEI) to leverage the should reflect both risk-return tradeoff resources and capabilities of each partner. to potential bidders and the willingness to Work supporting the solar pilot auction pay of EDL, sole offtaker of the projects. was grouped into four main categories: A high reference price might attract more 3 auction design and procedures, site bidders to the auction, but may not be selection, standardized legal agreements, acceptable to the Government of Laos or and supporting regulations. GGGI EDL. To overcome this challenge, program provided support on site selection and staff regularly consulted with the WC to technical standards for solar while HNEI discuss criteria and methodology used for contributed to the interconnection reference price calculation, and the final requirements and provided expert reference price takes into account cost of review on site assessment and auction equity and debt, technical factors, risk of documents. Program staff collaborated developing and operating a solar project with several subcontractors including in Laos, and availability of risk mitigation
Activity Areas Guidehouse on the auction design, mechanisms. Chulalongkorn University on guidelines for conducting feasibility studies, and During auction design preparation, DFDL on standardized legal agreements. program staff held informal consultations with multiple solar developers in the Since this is the first-ever energy region to gauge interest in the Laos auction in Laos, much effort was needed auction and gather inputs on critical to develop the design, procedures, elements and major considerations for and relevant documents in order to these stakeholders on participating in the conduct the auction. For RE, subsequent auction, demonstrating there is significant regulations to define detailed procedures interest among the private sector. It is needed, and based on the auction also emphasized the need for a design report, Designing a Solar Pilot Auction to ensure the process will be open and for Laos, written in collaboration with transparent, and highlighted concerns subcontractor Guidehouse, program staff about bankability of the contractual developed the auction announcement arrangements. In addition to private sector package with the announcement and 15 feedback from an April 2018 workshop, annexes necessary to conduct the solar feedback from financial institutions pilot auction. and solar developers was taken into consideration in auction design. A key component for a solar pilot auction is auction design, specifying requirements
54 USAID CLEAN POWER ASIA Auction Annoucement Package Components
Auction Announcement
Admissible Project Technical Connection Bid Winner Annex 1: Sites and Grid Annex 6: Requirements for Annex 11: Announcement Connection solar auction Template
Investment Solar Head of Solar Pilot Auction Annex 2: Annex 7: Application Form for Annex 12: Agreement Timeline Energy Power Sector Template II. Fostering Supportive Policy Frameworks Flowchart of Solar Project Solar Concession Annex 3: Annex 8: Annex 13: Pilot Auction Process Proposal Form Agreement Template
Joint Venture Guidelines for Bidding Document Annex 4: and Consortium Annex 9: Annex 14: Feasibility Study Checklist Declaration Form for Solar
Solar PV Technical Solar Power Price Proposal Annex 5: Specifications and Annex 10: Annex 15: Purchase Agreement Template Standards Template
For the auction, a government-sited Another key component of the solar approach was used, where the government auction is a set of standard legal provides and pre-develops a project site documents which include the Head to a certain degree such as land permits, of Agreement (HOA), Concession grid connections, resource availability, and Agreement (CA), and Power Purchase environmental assessments. In partnership Agreement (PPA), which are provided to Utility-Scale with GGGI and in consultation with all interested bidders at the launch of the the WC, program staff determined auction. Similar to the reference price, potential sites, and after gathering data to terms and conditions specified in the legal conduct the analysis, engaged provincial documents need to satisfy both potential governments and authorities to inform bidders and government. Program staff and increase understanding of solar worked closely with legal advisor DFDL to auction benefits, identify potential areas, draft and finalize the legal documents with and conduct field visits to determine sites terms and conditions reflecting standard that met requirements. Sites were secured market practice for solar projects while in two provinces for the solar pilot being acceptable to the government. auction after clarifying protocols between Program staff also held private central and provincial governments to set consultations with financial institutions aside land for governmental use for the to gather feedback on the draft legal auction. The site selection information documents ensuring their bankability. is included in Annex 1 of the auction The final reference price and the legal announcement package. documents were submitted to the WC in the final auction announcement package in December 2020.
FINAL REPORT 2016 - 2021 55 Given that there is a gap in technical start auction implementation. An regulations for Laos, particularly for grid- Auctioneer will be established and IREP connected power offtake for solar PV and will continue implementation preparations, the necessity to have technical regulations potentially including Auctioneer capacity in place to conduct the auction, USAID building as required and/or holding Clean Power Asia, in partnership a bidders’ conference. There remain with HNEI, GGGI, and subcontractor opportunities to support solar pilot Chulalongkorn University, developed auction implementation and post-auction technical connection requirements for assessment which could be done through solar auction projects, solar PV plant the USAID Laos Energy Security program technical specifications and standards, and/or an upcoming USAID regional and guidelines for feasibility studies for program. There remains much work to be solar PV projects. All of these technical done for RE competitive procurement and documents provide necessary regulations utility-scale projects in Laos, and despite for the solar pilot auction. The technical lagging behind other countries in the connection requirements specify the region in terms of supporting RE policies, process and requirements to connect the Laos is accelerating its developmental solar PV project to the EDL grid, while the pace for implementing a market-based solar PV plant technical specifications and mechanism with USAID’s support. 3 standards provide minimum requirements for equipment to construct the solar PV In addition to solar pilot auction support plant, ensuring quality and reliability. The for Laos, USAID Clean Power Asia guidelines for conducting feasibility studies organized, presented, and/or shared and inform solar PV developers of the needed exchanged knowledge on RE auctions in requirements and streamline the review various regional events to promote the and approval process by IREP. trend in moving away from subsidized incentives such as FIT to market-based In September 2020, the complete auction mechanisms. Building on the results of announcement package was submitted USAID Clean Power Asia’s study on RE
Activity Areas to IREP and the WC for consideration incentives and auctions completed in by MEM, an inter-ministerial committee, 2017, program staff delivered multiple RE and/or the national assembly for approval auction presentations, and in June 2018, and implementation. This submission USAID Clean Power Asia, in collaboration was a culmination of support for the with USAID/E3 and USAID CEADIR, also solar pilot auction pushing it closer to implemented by Abt Associates, organized implementation. As of March 2021, the a full-day deep-dive workshop on RE auction announcement package had auctions as a new paradigm for Asia at been preliminarily approved by MEM and the Asia Clean Energy Forum (ACEF). submitted to MPI and the Prime Minister’s In October 2019, USAID Clean Power Office for comment. USAID Clean Power Asia and USAID Scaling Up Renewable Asia, GGGI, and HNEI convened a final Energy (SURE) hosted an Asia Enhancing workshop to provide an overview of Development and Growth through the auction and present site selection Energy (EDGE) competitive procurement results, an auction timeline, bid submission dialogue, a 3-day workshop that provided protocol, bid evaluation process, and post- capacity building on auction design and auction procedures for all participants bankability issues to participants from involved in the auction. South and Southeast Asia. After the event, participants came away with a greater Once the auction announcement understanding of auction benefits and how package has been approved, a public to design an energy auction suitable to announcement will follow and officially their country context.
56 USAID CLEAN POWER ASIA LESSONS LEARNED
The solar pilot auction presented the organization of multiple meetings and USAID Clean Power Asia with a set of workshops with WC members and other unique challenges that were gradually relevant authorities. addressed and overcame to achieve preliminary approval for the auction Anticipate and factor in additional time: announcement package by MEM. To move With the solar pilot auction spanning forward, program staff required flexibility, more than two years, it is not uncommon relationship management, and creativity to have different WC representatives to handle and address issues, and while attending meetings. Although it is ideal to
there are many lessons to be learned from have continuity with the same individuals II. Fostering Supportive Policy Frameworks this intervention, these three lessons are throughout capacity building, discussions, worth highlighting. and meetings, it may be difficult to align each representative’s availability and certain Buy-in must be followed by individuals may change positions. Internal commitment: As this will be the first government protocol often takes longer energy procurement of any kind in Laos, than initially planned, so it is advisable the concept is new to many people and to factor additional rounds of discussion required several rounds of discussion and time for the government’s internal to raise awareness and emphasize the processes. In some cases, program staff benefits of a market-based mechanism. The reached out to and organized a separate key first step also is to provide the right session with new participants to help information to the right decision-maker inform and clarify questions to move the in order to initiate the interventions and activity forward. obtain initial buy-in. Particularly when working with government staff in this As for regional RE auction events, the region, access to decision-makers and challenge for organizing a renewable obtaining buy-in allowed program staff energy auction lies in understanding the to work with an assigned team from the protocols for coordination between Utility-Scale counterpart. different counterparts in each country, USAID missions, and a regional entity like Align understanding of solar project ACE. Approval time constraints are another development and competitive factor to consider and were accounted procurement: For the solar pilot for during planning. After limitations auction in Laos, members of the WC and restrictions due to the COVID-19 and relevant agencies were not familiar pandemic, program staff adapted and with the requirements for a transparent migrated all meetings and workshops and best-value competitive procurement to virtual online platforms. Workshops process and the different nature of solar requiring multiple days were split into a power projects as compared to hydro series of webinars to reduce audience projects, which are an important part fatigue and maximize active participation. of the Laos power system. Therefore, These required multiple sessions and in order to obtain feedback during the took longer to achieve the same results, preparation of auction documents, it and even though virtual events reached was necessary to first enhance and more participants, the impact is more align all relevant parties’ understanding limited compared to in-person events with of solar project development and interactive exercises. competitive procurement. This required
FINAL REPORT 2016 - 2021 57 2 RENEWABLE ENERGY REGULATIONS
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
Based on policies proposed and/or adopted with USAID support
almost over over $7.5 8,700 90 billion USD MW million tons 3 mobilized financially CO2 emissions closed avoided
Grid connection regulations are one procurement under the solar pilot auction, of the barriers to scaling up RE and it is worth clarifying relevant regulations integration and development of required that are part of the auction and those technical standards and grid codes for applicable beyond the auction.
Activity Areas RE is critical to increase grid-connected RE deployment. Building on the study The auction announcement package conducted by USAID Clean Power Asia includes several utility-scale RE on a Review of Supporting Regulations regulations, including technical connection for Solar PV Integration in ASEAN requirements (Annex 6), solar PV plant Member States, the targeted countries technical specification and standards for support were those that have limited (Annex 5), and guidelines for conducting or lacking RE regulations, Cambodia and a feasibility study (Annex 14). Details for Laos. In Cambodia, program staff initiated these regulations are mentioned in the activities to raise awareness for solar PV Supporting Regulations under the Solar development and regulations, but were Pilot Auction section. While the other unable to proceed due to uncertainties two regulations are specific to the solar including political will and a general pilot auction, the solar PV plant technical election in summer 2018, suspending specification and standards are applicable all work in the country. The focus on to all solar PV plants to be constructed utility-scale RE development then shifted in Laos whether through auctions or to Laos with initiatives to support the bilateral negotiation. MEM may adopt this development of RE grid connection document to supplement the Lao Electric regulations, RE technical standards, and Power Technical Standards (LEPTS) guidelines for conducting feasibility which are existing technical standards for studies for RE projects. While some of hydropower projects. these activities overlap with competitive
58 USAID CLEAN POWER ASIA Supported RE Regulations for Laos
Solar Pilot Auction Guidelines for Feasibility Study Specific Regulations for Solar Projects - General
Technical Connection Requirements for Solar Pilot Guidelines for Feasibility Study Auction (Annex 6) for Wind Projects Guidelines for Feasibility Study for Guidelines for Feasibility Study Wind Projects for Solar Pilot Auction Projects Guidelines for Feasibility Study for Biomass Projects (Annex 14) II. Fostering Supportive Policy Frameworks Technical Specifications and Solar PV Plant Technical Standards Solar PV Plant Technical Specifications and Standards Specifications and Standards (Annex 5) Technical Connection Technical Connection Requirements Requirements for Large Scale Solar
* This regulation is for DPV connecting Technical Connection at distribution level and not considered Requirements for Solar as utility-scale RE regulations; please see Distributed Generation section. Rooftop(*)
While priority is on the development of Lao counterpart was made at the time RE regulations to support the solar pilot of writing this report in March 2021. Utility-Scale auction, IREP and EDL made additional All of these supported regulations will requests to address gaps in regulations provide Laos with RE regulations that in Laos. Program staff discussed the were previously missing to help establish a priorities and identified support for necessary foundation to promote RE. the guidelines for conducting feasibility studies for solar (general), wind, and USAID Clean Power Asia and biomass projects and technical connection subcontractor Chulalongkorn University requirements for solar rooftop and large- started developing the regulations in 2019 scale solar. All the supported regulations and submitted to IREP four guidelines for for Laos are grouped into three types, conducting feasibility studies for utility- including feasibility study guidelines, scale solar (general)2, wind, and biomass technical specifications and standards, projects and for solar projects under and technical connection requirements. solar pilot auction in September 2020. The USAID Clean Power Asia successfully objective of this technical assistance was achieved three policies with an additional to leverage international best practices policy forthcoming as submission to the and standards to develop a standardized
2 Utility-scale solar projects not part of the solar pilot auction
FINAL REPORT 2016 - 2021 59 feasibility study format for RE projects The support for grid connections (solar, wind, and biomass) ensuring the regulations started in 2019 after a request proper quality and completeness as well as from IREP which later connected USAID streamlining the review process by IREP. Clean Power Asia to EDL to continue the work. Since EDL is the sole electricity Three feasibility study guidelines for solar utility in Laos, it is responsible for system (general), wind, and biomass projects were operations and grid connections for all submitted as standalone documents and domestic power generation. Program presented to provincial staff at their annual staff and HNEI met to discuss the conferences. The fourth set of guidelines, required data necessary for developing feasibility study guidelines for the solar the technical connection requirements pilot auction, was revised to be more which were completed in mid-2020. specific for projects to be awarded under The technical connection requirements the solar pilot auction. These guidelines for solar pilot auction was completed clarify requirements needed from project and submitted to IREP and the Working developers, simplify and streamline RE Committee as part of the auction project approval process for IREP, reduce announcement package in September time and costs for investors, and facilitate 2020. For utility-scale solar farms, a thorough and thoughtful government program staff collaborated with HNEI to 3 review. draft technical connection requirements by adding necessary provisions to the Program staff collaborated with GGGI Laos Grid Code. The added connection to submit solar PV plant technical requirements are based on the soon- specifications and standards as part of to-be-released IEEE P2800 standards the auction announcement package, to covering connections from inverter-based ensure equipment used in the construction generation and functionalities of advanced of solar power projects, including those inverters. The technical connections awarded under the solar pilot auction, requirements for large-scale solar projects meet minimum quality requirements were completed and submitted in March
Activity Areas as well as ensuring installation and 2021. operational safety for solar PV plants. All of the RE regulations developed for USAID Clean Power Asia and HNEI Laos helped address the glaring need supported EDL to develop technical to fill regulation gaps, facilitate more RE connection requirements for projects integration, and increase more utility-scale under the solar pilot auction and RE deployments. With these regulations, large-scale solar farms connecting to a Laos is catching up to other countries substation or transmission-level networks. in the region in terms of technical RE The technical connection requirements regulation readiness that leverages for solar leverage best practices applicable international standards and best practices. for Laos, ensuring power quality delivery Looking ahead, IREP and EDL still require and reliability of EDL’s grid through proper additional support for RE regulations for connection, equipment characteristics, wind and biomass as well as technical protection schemes, and operation training on RE regulations. guidelines. The government may adopt this document to supplement the Laos Grid Code, which is the existing regulation governing the connection, planning, operation, control, maintenance, rehabilitation, and expansion of the Laos transmission system.
60 USAID CLEAN POWER ASIA LESSONS LEARNED
Developing RE regulations in a country representatives. To fully comprehend with a limited existing framework can the drafted regulations, several meetings be both a challenge and an advantage. were necessary to conduct a page-turn Proposed regulations can use the most explanation of the proposed provisions, updated international standards with helping improve understanding of the minimal impact to existing users. On the regulation and facilitating a technical other hand, the challenge is that there is discussion. A translated version of a need to continually build capacity for the regulation to the local language those involved as well as potential limited or including simultaneous translator
data availability. would also help address any language II. Fostering Supportive Policy Frameworks barriers. Luckily, similarities in the Thai Access the right contacts for data: and Lao language helped program staff Significant time was spent to collect to communicate more effectively with necessary data from EDL to develop counterparts. technical connection requirements, taking over six months from initial request. The Meeting is the best way to follow up: main reason, discovered later, was that Many government staff do not use email program staff did not request the data regularly as a means of communication from the correct department. As soon as as evidenced by the lack of organizational the right contacts were identified, data email addresses. The most effective way to collection went more smoothly. clarify, follow up, and/or discuss any issues is to set up a meeting with the relevant Factor in language barriers: Even if RE group. Social communication applications regulations are technical in nature, there such as WhatsApp and LINE can also be are some limitations to understanding useful to reach out informally. English for some government Utility-Scale
Three main policy objectives for solar pilot auction
Determine tariff level that triggers private solar 1. development to discover cost of commercial utility- scale projects in Laos.
Learn about auctions as a viable mechanism 2. for procurement and stimulating private sector investment in solar power.
Assess the potential for scaling up solar investment 3. through auctions.
FINAL REPORT 2016 - 2021 61 DISTRIBUTED GENERATION
3 Activity Areas
Rooftop solar system with a capacity Photo credit: of 1 MW at Big C store in Pathum Michael Wykoff Thani, Thailand. Abt Associates/ USAID Clean Power Asia
62 USAID CLEAN POWER ASIA Over the past few decades, the cost of clean energy technology has declined dramatically, with the lower cost of solar being particularly pronounced, largely due to increased efficiency of solar photovoltaic (PV) modules, economies of scale, and improvements in the supply chain. The price of solar PV generation today is less than 1% of what it was in 19773, and between 2014 and 2018 alone, global PV module prices dropped by more than 55%4.
This has driven the evolution of the Development Plan 2018-2037 (PDP 2018), energy market from a centralized model officially announced in April 2019 with to a more distributed one, transforming a solar rooftop target of 100 MW/year
ways that end-users or customers up to 1 GW. In Vietnam, USAID Clean II. Fostering Supportive Policy Frameworks interact with the electric grid such as Power Asia, in collaboration with USAID by providing distributed generation. V-LEEP, conducted customer economic Distributed generation describes analyses to influence DPV policy resulting electricity to be consumed by the load in astonishing success with over 8,700 (demand for electricity) within the same MW of solar rooftop deployed or that area rather than transmitting energy from have reached financial close, and over a centralized facility located further away. $7.5 billion USD invested. While resulting Typically distributed generation refers numbers in the Philippines may not be to smaller scale generation installed by as large as in Vietnam, the support for consumers and often located behind the net-metering policy led to an increase meter. Distributed generation covers of nearly 31 MW and over $39 million multiple technologies, but the focus invested. Additionally, USAID Clean for USAID Clean Power Asia was on Power Asia produced the first DPV distributed photovoltaics (DPV) and interconnection regulation for Laos that behind-the-meter storage, including new laid a foundation for connecting solar business models relevant to DPV such rooftop to the grid. USAID Clean Power as prosumers, electricity consumers who Asia’s distributed generation interventions Distributed Generation produce or generate electricity to offset have made a tremendous impact in their own consumption and export excess promoting rapid deployment of DPV in energy back to the grid (producer + the region. consumer = prosumer), and peer-to-peer energy trading. Underlying the program’s success with distributed generation support was the For distributed generation, USAID focus on DPV policies and regulations. Clean Power Asia successfully supported The DPV policy support, as previously Thailand, Vietnam, and the Philippines to described, concentrated on promoting develop policies promoting deployment DPV deployment through influencing of DPV resulting in two and a half policies policy in Thailand, Vietnam, and the achieved. In Thailand, utility review and Philippines. As for DPV regulations, the rate impact analysis contributed to the emphasis was on providing Laos with solar draft DPV self-consumption policy in rooftop regulations and building capacity 2018 with a proposed target of 300 MW. for distribution utilities and the Energy Despite not passing the draft stage, the Regulatory Commission (ERC) in the DPV policy did influence Thailand’s Power Philippines.
3 National Geographic, 2017 4 Ran Fu, 2018
FINAL REPORT 2016 - 2021 63 1 DISTRIBUTED PHOTOVOLTAICS POLICY
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
In 2016, Thailand launched its first rooftop joint analyses by USAID Clean Power Asia, solar pilot project, allowing customers NREL, LBNL, and ERI helped to put into to install DPV for self-consumption. perspective the flexibility that Thailand Connection to the grid was allowed, but has in scaling up DPV deployment without exporting energy to the grid was not adversely affecting utilities and customers. compensated, lowering the attractiveness USAID Clean Power Asia also published of DPV for residential and commercial the White Paper: Addressing Remaining customers. At the forefront of stakeholder Concerns on Increasing Solar Rooftop concerns was the impact DPV could have for Self-Consumption in Thailand for the on utility revenues and retail electricity Federation of Thai Industries to address rates. To investigate this, USAID Clean concerns beyond impact on utility rates 3 Power Asia partnered with Chulalongkorn and revenues. All of USAID Clean Power University’s Energy Research Institute (ERI), Asia and partners’ efforts contributed NREL, and the Lawrence Berkeley National to the consideration of a DPV self- Laboratory (LBNL) to analyze the impact consumption policy in Thailand and later from DPV on utility revenues and retail influenced a more open regulation that electricity rates. Published in 2017, the allow DPV systems to sell excess energy analysis found that the deployment of DPV to the grid under the PDP 2018. under a targeted scenario of 3,000 MW by 2020 would have no impact on utility Vietnam represents a recent solar success revenues in the medium to long-term, given story, having experienced exponential
Activity Areas the forward-looking nature of Thailand’s market growth over a short period of ratemaking process. time. A solar policy was first introduced in April 2017, allowing the sale of solar The study findings, along with technical generation (both from solar farms and impact analysis of DPV on the grid and rooftop projects) to the state-owned customer economics analysis conducted utility, Vietnam Electricity (EVN), at a FIT by ERI, were published in a policy brief. The rate of 9.35 cents/kWh. Despite initial
Under Decision 13, the new FIT includes
Floating solar power projects: VND 1,783/kWh 1. (equivalent to 7.69 US cents/kWh)
Ground-mounted solar power projects: VND 1,644/kWh 2. (equivalent to US 7.09 US cents/kWh)
Rooftop solar power systems: VND 1,943/kWh 3. (equivalent to 8.38 US cents/kWh)
64 USAID CLEAN POWER ASIA Development of Rooftop Solar Systems and Installed Capacity in Vietnam
105,212 10,000.0 9,730.87 100000 9,000.0
8,000.0 80000 7,000.0 p)
6,000.0 60000 5,000.0
4,000.0 40000
3,000.0 II. Fostering Supportive Policy Frameworks Number of systems
20000 2,000.0 Installed Capacity (MW 1,000.0
0 -
12-2018 03-2019 05-2019 07-2019 09-201910-201911-201912-201901-202002-201903-202004-202005-202006-202007-202008-202009-202010-202011-202012-2020
Number of systems Installed Capacity (MWp)
concerns over the bankability of the PPA, of this customer economic analysis as by the time Decision 11 expired in June input to determine an updated FIT under 2019, Vietnam had amassed nearly 190 Decision 13 announced in April 2020, MW of rooftop solar. specifying different FIT levels depending on the solar project type and providing Distributed Generation Building on the support for Thailand, eligibility details to solar projects. Under USAID Clean Power Asia partnered with this decision, rooftop solar power systems USAID V-LEEP and NREL in 2019 to are allowed to sell part or all of the compile an international review of solar electricity produced not only to EVN (as rooftop programs and analyze customer regulated the previous decision), but also to economics of DPV in Vietnam under other purchasers for non-grid connected different compensation mechanisms. The projects. study concluded that self-consumption of DPV benefited residential and commercial With many project developers missing the customers the most, since they face the deadline for Decision 11, there was a rush highest retail rates and stand to gain the to get the projects enlisted under Decision most from replacing grid electricity with 13 before the end of the 2020 FIT eligibility self-generated DPV. On the other hand, period, resulting in a huge surge in solar industrial customers enjoy lower retail rooftop deployment of over 8,700 MW rates, resulting in the longest payback of solar rooftop deployed and $7.5 billion periods and lowest internal rates of return USD invested. Despite the success story compared to other customer groups. for the Vietnamese solar market under Decision 13, it is viewed as an interim The Electricity and Renewable Energy measure until the competitive mechanism Authority (EREA) incorporated the results of auctions are in place from 2021 onwards.
FINAL REPORT 2016 - 2021 65 Central Utility Model (Left) vs. Distributed Generation Model (Right)
Electricity Flow
Generation Generation
Transmission Transmission
3 Distribution Distribution
Consumption Consumption/Generation
The Philippines has been trying to Renewable Energy and ERC’s Amended
Activity Areas promote DPV deployment since 2013 Net Metering Rules (ERC Resolution with the first attempt in implementing No. 6, Series of 2019). Upon request net-metering that allowed qualified from PDOE, program staff provided end-users5 to off-set consumption and technical support in collaboration with sell excess generation to the utility at NREL, LBNL, HNEI and the Clean blended generation cost6. Despite the Energy Investment Accelerator (CEIA)7 supporting regulations, the uptake in DPV on standards and guidelines for a net- deployment was less than expected with metering program for PDOE and ERC approximately 13 MW total between which include technical inputs for a net- July 2013 to June 2018 due to numerous metering guidebook, capacity building for economic and non-economic barriers. distribution utilities, assistance with fixed To help address this issue, USAID Clean charge calculation, and a low-income solar Power Asia and partners NREL, LBNL, program, some of which are described in and Chulalongkorn University, conducted the Distributed Photovoltaics Regulations a Distributed Photovoltaic Economic section below. and Technical Impact Analysis in 2019 for the Philippines’ Department of With USAID Clean Power Asia’s support, Energy (PDOE). Analysis results were the Philippines experienced an increase incorporated in PDOE’s draft Department of nearly 31 MW for DPV, more than Circular (DC) Promulgating Policies to doubling DPV installed capacity in 2018, Enhance the Net-Metering Program for with $39 million USD invested.
66 USAID CLEAN POWER ASIA LESSONS LEARNED
The significant achievements by USAID Impact analyses are critical for Clean Power Asia under distributed policymaking: The program’s efforts photovoltaics policy provide many lessons supporting Thailand, Vietnam, and the that were learned. Philippines were all initiated by conducting analyses to address concerns from Political will drives policy changes: relevant stakeholders relating to DPV Through conducting DPV impact analyses impacts. Even though the end result varied in Thailand, Vietnam, and the Philippines, between these countries, the common it became apparent that political will theme is the result of such impact analyses
is the single most important factor are important when considering policy, II. Fostering Supportive Policy Frameworks in driving policy changes. In Thailand, whether to provide financial incentives like even after stakeholder concerns were in Vietnam, address utilities’ concern with comprehensively addressed in the impact revenue in Thailand and the Philippines, or study and white paper, DPV deployment the easing of restrictions and streamlined remains restricted. Not until PDP 2018 processes in the Philippines. A key were DPV systems allowed to sell to lesson is that an integrated approach the grid under net-metering (essentially that addresses technical, economic, net-billing), albeit at a low tariff rate. institutional, and political concerns, and On the other hand, in Vietnam, the DPV incorporates diverse energy resources market has expanded at a staggering pace, including, but not limited to DPV, is likely catalyzed by policymakers’ aggressive push to be the most effective. to increase RE via Decision 11 and then Decision 13. Decision 13 also allowed for direct PPAs between private entities, making Vietnam the first country with this type of mechanism in the region. Distributed Generation
Solar expert and consultant Sopitsuda Tongsopit leads a discussion on preliminary DPV impact analysis results at the workshop Presenting Preliminary DPV Impact Analysis Results for the Philippines in Manila in December 2018.
Photo credit: Thanawat Keereepart Abt Associates/ USAID Clean Power Asia
5 Net-metering rules in the Philippines define qualified end-users as stomerscu in good credit standing in the payment of electric bills to distribution utilities. 6 Blended generation cost is the weighted average of the cost of wholesale electricity. 7 CEIA supported the technical input to the net-metering guidebook bringing on-the-ground expertise in the Philippines and assured that the guidebook can be easily applied to its intended target audience.
FINAL REPORT 2016 - 2021 67 Supported Policies and Regulations
No. Country Policy/Regulation
1 DPV Self-Consumption Policy
2 Thailand Standard PPA template and financial model
3a Energy Storage System Policy
3b Vietnam (*) Solar Rooftop Policy
4 Net-Metering for Renewable Energy Policy Philippines
5 Guideline for conducting feasibility study for solar project
6 Guideline for conducting feasibility study for wind project
Guideline for conducting feasibility study for biomass project 3 7 8 Solar Pilot Auction Policy
9 Solar pilot auction announcement
10 Solar PV Plant Technical Specifications and Standards Laos 11 Technical Connection Requirements for Solar Pilot Auction projects
12 Head of Agreement (HOA) Template
13 Concession Agreement (CA) Template Activity Areas
14 Guidelines for Conducting Feasibility Study for Lao PDR’s Solar Pilot Auction Projects
15 Power Purchase Agreement (PPA) Template
16 Distributed Solar Photovoltaic Generating Facility Interconnection Standard
20
15
10
5 Policies each year
Cumulative policies 0 FY2017 (Y1) FY2018 (Y2) FY2019 (Y3) FY2020 (Y4) FY2021 (Y5)
(*) USAID Clean Power Asia collaborated with USAID V-LEEP and thus shared both policies equally for a total of 1 policy.
68 USAID CLEAN POWER ASIA 2 DISTRIBUTED PHOTOVOLTAICS REGULATIONS
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
Among the concerns of utilities, system The DPV technical connection standards operators, and regulators over higher were based on the requirements of the DPV penetration levels are potential IEEE 1547-2018 Standards, which at adverse effects to grid stability, including the time were the latest international
large voltage and frequency fluctuations. standards for connecting distributed II. Fostering Supportive Policy Frameworks Since DPV is an inverter-based technology, energy resources to the power system. meaning it requires an inverter to convert The document, which has since been direct current from a solar generation officially proposed for adoption by EDL, system into alternating current that is circumscribes essential inverter functions transmitted to power outlets, these to ensure safe interconnection of DPV challenges, in large part, can be addressed systems to the distribution grid. Based by updating grid codes with inverter on first-hand experience at the Hawaiian requirements. USAID Clean Power Asia’s Electric Company, HNEI’s experts also support for DPV regulations, therefore, laid out a process for EDL to efficiently focused on addressing the lack of DPV evaluate applications for connecting interconnection regulations in Laos and to DPV systems to the grid, including provide capacity building for stakeholders criteria for technical screens that would including Distribution Utilities and the reduce the need to conduct individual ERC in the Philippines to understand the interconnection requirement studies for DPV policy and streamlining the net- each application, which are costly and metering processes. time-consuming. While DPV in Laos is currently limited to self-consumption, the Distributed Generation In addition to technical connection DPV technical connection standards help requirements for projects under the prepare and position EDL for when the solar pilot auction, USAID Clean Power market matures, and Laos introduces a Asia collaborated with HNEI to develop DPV policy. technical connection requirements for solar rooftop systems connecting to the In contrast to Laos, and much of the distribution grid. For this activity, program Southeast Asia region, dominated by staff and HNEI worked closely with a single-buyer model, the Philippines’ EDL, the state-owned utility, to develop electricity market is highly liberalized, analogous connection requirements for with over 150 private distribution utilities DPV, submitted in December 2020. The serving the vast archipelago. The relatively large-scale version has been developed as low DPV adoption rate since the net- well and is described under RE regulations metering program was introduced in 2013 in the utility-scale section of this report.
FINAL REPORT 2016 - 2021 69 3
USAID Clean Power Asia leads a virtual training on is in part due to insufficient standards ERC in February and March 2021, with the A Technical Guide to Conducting and guidelines for distribution utilities aim to inform ERC of the cross-substation Distribution Impact and electricity cooperatives to implement issues and introduce various rate designs, Studies and Hosting Capacity Analysis for a net-metering policy, a complicated analysis methods, and case studies to help the Philippines Net- permitting process, and a restrictive ERC consider when designing a net- Metering Program in July 2020. capacity limit of 100 kW per system. metering rate for the Philippines. Activity Areas Photo credit: Dr. Supawan Saelim In supporting the implementation of a The capacity building provided by Abt Associates/ net-metering program, USAID Clean USAID Clean Power Asia enabled better USAID Clean Power Asia leveraged expertise from understanding of the steps needed to Power Asia NREL and HNEI, to include technical reduce the net-metering application capacity building for distribution utilities approval time while providing confidence via six webinar sessions on distribution to DUs on grid reliability as DPV impact studies and hosting capacity penetration increases. The rate design analysis. The training series introduced the webinars equipped ERC with knowledge fundamentals and tools of these analyses, to determine the appropriate rate for which utilities can conduct to streamline various classes of consumers to promote processing of net-metering applications DPV deployment under the promulgated and determine the level of DPV that the Amended Net Metering Rules. distribution system can accommodate. These trainings built the capacity of distribution utilities and electricity cooperatives, particularly smaller ones that may lack resources, so that they can more readily facilitate DPV scale up. In addition, USAID Clean Power Asia and LBNL organized five webinar sessions for
70 USAID CLEAN POWER ASIA LESSONS LEARNED
In scaling up DPV, lowering regulatory Compatibility of inverter based DPV barriers is critical. When a new DPV policy with battery energy storage: A positive is introduced, utilities and regulators externality of developing standards and must implement the policy. From the regulations for DPV was its degree of perspective of utilities, in addition to applicability to battery energy storage concerns over lost revenues, the question systems (BESS). Due to USAID Clean of how to manage potentially large Power Asia’s support on BESS technical volumes of DPV coming online without standards in Thailand, as described in the negative consequences is a practical one. Advanced Technologies section, many of
Power systems were not designed to the same inverter function requirements II. Fostering Supportive Policy Frameworks absorb generation at the distribution were applicable since both DPV and level, but there are measures that can be BESS use inverters to connect to the taken to minimize adverse impacts to grid grid. Program staff and HNEI were able stability. to reference DPV technical connection requirements developed for EDL in Build technical capacity for distribution conjunction with other international utilities: A key lesson has been that standards for BESS in developing capacity building and distribution of recommendations for Thailand. Therefore, information resources to better equip for future support, it may be valuable practitioners can, and should, be done not only to strategize interventions even in the absence of an enabling on the basis of technology, but also to environment. Utilities and regulators who identify and exploit any overlap between have access to adequate training and technologies where interventions can tools are better positioned to implement achieve multiple objectives. policies that accommodate higher levels of DPV. Distribution utilities in the Philippines and Laos, having received Distributed Generation support from USAID Clean Power Asia and partners, are able to prepare for a larger volume of net-metering applications when the enabling environment for DPV becomes more attractive. Leveraging Capacity building valuable experience and sidestepping and distribution of the trial and error faced by early DPV adopters is the fastest and surest way to information resources proceed. to better equip practitioners can, and should, be done even in the absence of an enabling environment.
FINAL REPORT 2016 - 2021 71 ADVANCED TECHNOLOGIES
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
Disruptive technologies in the power clean energy technologies, USAID Clean sector are reshaping the landscape of Power Asia’s activities included conducting how electricity is produced, transmitted, energy storage system (ESS) analysis for and consumed around the world. Recent Vietnam, supporting the development trends show that many countries are of BESS technical standards for Thailand, 3 transitioning from traditional, one- conducting a disruptive technologies directional, and centralized generation regulatory review for Thailand, and sharing toward distributed, decentralized, findings on disruptive technologies with digitalized, and multi-directional electricity other countries in the region via regional systems propelled by these technologies. events. Program achievements in this area Disruptive technologies are considered include influencing recent RE policy in part of advanced technologies and are Vietnam to promote solar energy project often used synonymously when referring development, completing the guidelines to technological breakthroughs that to help Thailand develop BESS technical impact the sector. standards, and leveraging disruptive
Activity Areas technologies regulatory experiences in Disruptive technologies significantly the U.S. to assist Thailand with the energy change, and to a certain extent, transition. revolutionize the way consumers, industries, and businesses operate forever. Curtailment risks and grid integration Recent examples include e-commerce, limitations remain primary challenges for social media, and ride-sharing apps. In the the growth of solar PV in Vietnam despite power sector, disruptive technologies an attractive FIT program announced are often associated with innovations under Decision 11 in April 2017 and relevant to distributed energy resources later amended in January 2019, which (DER) such as DPV, behind-the-meter provided attractive incentives for solar PV (BTM) battery energy storage systems development. With expiration of Decision (BESS), and electric vehicles (EV). While 11 in June 2019, EREA expressed interest definition of DERs may vary, the common in addressing technical challenges through theme is an electricity generating system the application of ESS and potential connecting to the distribution system that incorporation of additional incentives for serves the local load or supply to the grid, ESS in a new decision expected to replace while also giving rise to new opportunities Decision 11. Accordingly, MOIT requested and business models USAID V-LEEP to conduct an analysis for utility-scale solar PV energy storage Under initiatives from USAID to support, systems as an input to a new decision for promote, and accelerate deployment of solar PV incentives.
72 USAID CLEAN POWER ASIA Generation Transmission Distribution
Storage applications Storage applications Storage applications
Address supply disruptions Defer distribution upgrades Defer distribution upgrades Address variability of Relieve transmission Provide backup power renewable resources congestion during outages
Provide peaking capacity Provide grid (ancillary) Support microgrids II. Fostering Supportive Policy Frameworks services Reduce demand charges
Co-located with vRE Acillary Services generation Utility Owned & Operated IPP owned (for firm/ dispatchable power) Microgrids Utility Owned & Operated
Behind-the-Meter Consumer Owned
Source: GAO illustration based Through collaboration with USAID V-LEEP, for an economic analysis and provided on studies and documents. / GAO- program staff, NREL, and subcontractor policy recommendations on potential 18-402 Chulalongkorn University identified compensation schemes. In addition, Advanced Technologies the scope of ESS analysis for MOIT, and Tesla supported the ESS analysis by completed and submitted the Technical providing the configurations and use Report: Energy Storage System Study8 cases of product offerings that are already to EREA in May 2019, with USAID commercially available. Clean Power Asia conducting technical analysis of ESS applications to address Thailand is implementing policies and grid congestion and curtailment issues regulations to support modern, disruptive in the provinces of Ninh Thuan and technologies in the energy sector. Binh Thuan. With many existing and The Office of the Energy Regulatory upcoming solar projects in the pipeline Commission (OERC) initiated an including quantifiable benefits of ESS at OERC sandbox program (an isolated the system level, NREL incorporated environment for experimenting with input from the ESS technical analysis technology and regulatory impacts)
8 The Technical Report: Energy Storage System Study contains four chapters with USAID V-LEEP responsible for Chapter 1 – 3 and USAID Clean Power Asia and NREL responsible for Chapter 4 Techno-Economic Assessment of Battery Energy Storage Systems in Ninh Thuan and Binh Thuan which comprised the technical (USAID Clean Power Asia and Chula) and economic (NREL) analysis.
FINAL REPORT 2016 - 2021 73 to test energy innovations under five technical standards for Thailand including broad categories9: energy trading, energy technical recommendations on relevant pricing mechanisms, storage technologies, grid codes. After technical assistance power systems (such as microgrids), proposed to OERC in January 2020, and new energy business models, such program staff and NREL conducted a as supply and load aggregators. In 2019, review of international practices and USAID Clean Power Asia identified BESS existing BESS-related laws and regulations as a potential area for support to the in Thailand. Once the proposal was OERC on topics related to advanced approved by OERC in May 2020, program technologies since there are currently no staff conducted stakeholder interviews regulations in place to ensure the quality with policymakers, utilities, and relevant and safety of BESS installations, operations, entities with findings incorporated into and decommissioning. Potential areas the technical report, Key Considerations of BESS deployment for Thailand were for Adoption of Technical Codes and identified as independent power producer Standards for Battery Energy Storage owned and operated to co-locate with Systems in Thailand, developed by NREL. VRE for firm/dispatchable power; utility- The first focus group in August 2020 operated for ancillary services; utility- presented interview findings and collected operated for microgrids; and consumer- stakeholder feedback. Building on the 3 owned BTM for self-consumption and/or technical report, program staff and HNEI export to the grid. completed the first draft ofGuidelines for Developing BESS Technical Standards Based on agreement with OERC, for Thailand and presented the guidelines USAID Clean Power Asia provided the during the second focus group in January OERC guidance on key considerations 2021, followed by a BESS stakeholder for developing BESS technical codes workshop in February 2021 to present and standards and, with support from the output to a broader audience and HNEI, guidelines on developing BESS obtain the private sector perspective to Activity Areas
BESS Technical Standards for Thailand Timeline
• Submitted BESS • Initiate technical • Received acceptance • Completed draft Technical Report, BESS assistance with OERC letter from OERC BESS guidelines Guildelines, and BESS and identify support • Conducted • 2nd Focus Group Stakeholders workshop needed stakeholder Discussion report to OERC interviews
2019 2020 Jan 2021 Feb 2021 Mar 2021
• Submit scope of • Completed draft BESS • BESS stakeholders assistance proposal Technical Report workshop for BESS Technical • 1st Focus Group Standards to OERC Discussion
9 Five categories are defined by regulated areas in energy industry operations under the responsibilities of OERC.
74 USAID CLEAN POWER ASIA overcome barriers and promote BESS surveys on the future of regulations to deployments in Thailand, with the final promote disruptive technologies followed guidelines submitted to OERC in March by interviews with stakeholders, including 2021. Thai utilities, OERC, DEDE, Federation of Thai Industries, and Chulalongkorn With BESS guidelines, OERC and University. These were conducted to other entities in Thailand have a way to understand existing barriers and challenges easily find the technical requirements so as to provide recommendations to and provisions relevant to BESS from encourage adoption of appropriate policy the latest international standards and and regulatory designs to influence the currently available best practices. The BESS direction of changes shaping the market guidelines were developed based on IEC and enable new business opportunities with Standard 62933, NFPA Standard 855, AS/ fairness, maintain grid safety and reliability,
NZS Standard 5139, New York Batter and enhance transitioning utilities’ business II. Fostering Supportive Policy Frameworks Storage Guidebook (2020), California models. Safety Inspection Checklist, IEEE P2800 (forthcoming), IEEE 1547-2018, and NERC After discussions with key stakeholders and 2018/201910. This work equipped OERC researchers at Chulalongkorn University11, with the necessary tools to develop BESS program staff refined the scope of the technical standards for Thailand which will study in early 2020 to provide regulatory save time, enable minimum technology review of U.S. experiences on disruptive standards, level the playing field, and technologies and conducted a survey promote quality and safety of installed on future regulations to understand technologies. existing barriers and challenges in mid-2020. Program staff prepared the The deployment of disruptive report Regulatory Design for Disruptive technologies, including DPV, BESS and EV, Technologies in the Power Sector: Examples is changing the way electricity is produced from the U.S. and Implications for Thailand and consumed and creating opportunities for review by experts and stakeholders in for new business models. Thailand, being a Thailand in September 2020 and presented leader in RE deployment in Southeast Asia, the report findings in a workshop Advanced Technologies faces the need for changes in regulations organized by Chulalongkorn University’s to enable new business models driven by Energy Research Institute (ERI) in January the growth of disruptive technologies and 2020. The final report was completed in policy drivers for energy transformation April 2021 and will be used as input to including decarbonization, decentralization, ERI’s project to ultimately result in Thai digitalization, deregulation, and government counterparts proposing and electrification. To that end, USAID Clean implementing policies and regulations that Power Asia conducted a review of key help smooth the energy transition towards regulatory designs supporting the growth the era of digitalization with disruptive of disruptive technology in the U.S., technology. with recommendations for implications in Thailand. Program activities included
10 IEC – International Electrotechnical Commission, NFPA – National Fire Protection Association, AS/NZS – Australian/New Zealand Standard, IEEE – Institute of Electrical and Electronics Engineers, and NERC – North America Electric Reliability Corporation. 11 Chulalongkorn University, through the Energy Research Institute, is tasked under the OERC power development fund to study impacts of disruptive technologies including peer-to-peer electricity trading under different scenarios.
FINAL REPORT 2016 - 2021 75 Future Trends with Disruptive Technologies
Key Drivers Emerging Distributed Energy Resources (DERs)
Decentralization
Makes customers active elements of Distributed Generation Distributed Storage Electric Vehicles the system, though requires significant coordination Demand side Management Advanced Metering
Digitalization Customers in the future energy system Allows for open, real-time, Customers with future Smart meters and digital automated energy system 3 infrastructure communication and operation of the system
Electrificaiton Automated analytics and Critical to communication long-term carbon infrastructure goals and will be a relevant Activity Areas distributed Peer-to-peer Connected smart devices resource Grid transactions and new services
Source: Illustration adjusted from World Economic Forum (2017) USAID Clean Power Asia promoted energy transition in Asia at the virtual understanding and deployment of Asia Clean Energy Forum, covering advanced technologies in the clean energy trends in policy and planning for DERs sector through many regional activities. in Asia, electric vehicle deployment, and In October 2019, USAID Clean Power distributed storage regulations, featuring Asia and NREL hosted a 3-day regional speakers from JICA, PDOE, USAID event in Bangkok on energy storage V-LEEP, and Chulalongkorn University. In that informed participants about the March 2021, program staff delivered a available energy storage technologies webinar as part of the Asia EDGE Power and applications, technical requirements Sector Learning Series that included key for deploying grid-connected energy findings from the report onRegulatory storage, and considerations of behind- Design for Disruptive Technologies in the-meter storage. In June 2020, USAID the Power Sector: Examples from the Clean Power Asia, USAID India, and NREL U.S. and Implications for Thailand with organized a deep-dive workshop on speakers from USAID CEADIR, NREL, and distributed resources and a sustainable Chulalongkorn University.
76 USAID CLEAN POWER ASIA LESSONS LEARNED
Supporting policy and regulatory this process, program staff provided a interventions for advanced technologies summary of the feedback to stakeholders presented a unique set of challenges for confirmation, enabling the activities to relating to technical applications and move forward and avoiding lengthy delays impacts of these new technologies. There for feedback submitted via email. are common issues facing all countries and entities interested in new technology Successful collaboration leads to new adoption, and the main lessons learned opportunities: Although initial buy- focus on intervention implementation and in is critical to start any collaboration
process rather than the technical aspects and interventions, it is worth noting II. Fostering Supportive Policy Frameworks of advanced technologies. that once the collaboration begins,
counterpart relationship management USAID, USAID Meetings are an effective way to gather coupled with satisfactory outcomes, Clean Power Asia, and Thai feedback from stakeholders: From or even making good progress, led to government officials program staff experience, after sending discussions on additional support and participated in the First Focus Group a document or invitation that requires further collaboration. The BESS technical on Development feedback or response from stakeholders, standards collaboration led to a request of Thailand’s BESS only a few responded. A more effective for support on rate design for EV charging Technical Standards in August 2020 in way to obtain feedback is to organize stations and prosumers. This is also true Bangkok. meetings, like the focus group discussions for activities conducted in Laos where Photo credit: for BESS technical standards, and invite program staff received additional requests Dr. Supawan Saelim relevant stakeholders to join. During for RE regulations and capacity building. Abt Associates/ USAID Clean Power Asia Advanced Technologies
FINAL REPORT 2016 - 2021 77 3 ACTIVITY AREAS
III MOBILIZING FINANCE AND INVESTMENT - Implementation - Capacity Building on Project Finance for Renewable Energy - Tools and Guidelines for the Private Sector 3 Activity Areas
Photo credit: Richard Nyberg USAID/RDMA In parallel to work on improving power sector planning and fostering supportive policy frameworks for grid-connected renewable energy, USAID Clean Power Asia mobilized finance and investment by supporting private sector investment in the current regulatory environment.
While solar and wind have made development activity to periods of waiting
significant inroads in the region over for the next window to open. In some III. Mobilizing Finance and Investment the last few years, there are limited countries, these windows open at regular opportunities to develop and implement intervals following an established long- projects in the program’s target countries term plan, while in other countries there in the Lower Mekong region. This is is long-term uncertainty about when there largely due to regulatory restrictions will be new opportunities. in power markets that are dominated by state-owned utilities, who maintain In this environment, USAID Clean a monopoly over power purchase and Power Asia worked with private sector distribution, restricting the opportunity to stakeholders to overcome challenges sell utilities electricity generated by utility- in the development of grid-connected scale RE projects. RE projects and support them in the preparation, design, and financing for their Opportunities for selling RE-based projects, covering both those that sell electricity to the grid typically depend electricity to the grid and ones that sell to on short-term windows that energy private offtakers. To achieve this outcome, authorities and regulators open for a program staff largely worked across three limited time period, and which are often main streams: support to developers restrictive and come with tight deadlines. and investors in project implementation; These limited windows of opportunities capacity building for developers and banks mean that project development in most on financing renewable energy projects; countries tends to go through boom- and the development of tools and and-bust cycles, from periods with high guidelines for private sector stakeholders.
FINAL REPORT 2016 - 2021 79 IMPLEMENTATION
3 Investment Power Purchase Guidelines Agreement Template
Activity Areas Investment Financial Mobilization Standard Advisory Financial Models
Partnerships Project Finance Training
80 USAID CLEAN POWER ASIA Among the program’s target countries, Vietnam and Thailand had the III. Mobilizing Finance and Investment most potential for project development and implementation over the past five years, due to government incentives and a growing market for rooftop solar for self-consumption. Vietnam launched several incentives for solar and wind, which generated considerable interest among local, regional, and international investors.
Over the past decade, Thailand was known RE project development and financing. as a regional leader in renewable energy, Program staff worked directly with but the country had not created major project developers, investors, and financial opportunities for utility-scale RE during institutions, covering rooftop solar, utility- the period of the program, and thus scale solar, and wind power. In addition, development of such projects has largely program staff supported companies stalled since 2015. Nevertheless, over the operating commercial and industrial (C&I) last five years, Thailand experienced a large facilities, with an interest in sourcing their uptake of rooftop solar for onsite use at electricity needs from renewable energy. Implementation commercial and industrial facilities, albeit limited to self-consumption only. Program support included supporting the identification of suitable financing Since the ability of USAID Clean Power options for rooftop solar, utility-scale solar Asia to increase the opportunities for and wind, supporting RE procurement RE projects under the given regulatory by corporate energy consumers, and framework was limited, program support facilitating partnerships between local aimed to overcome specific hurdles in developers and international investors.
FINAL REPORT 2016 - 2021 81 1 ROOFTOP SOLAR DEPLOYMENT IN THAILAND AND VIETNAM
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
USAID helped Big C prepare terms of reference, evaluate bidder proposals, and create a financial model resulting in
Over
3 $40 35 253,000 million MW CO2 USD installed on avoided mobilized rooftops of stores
Over the five-year lifespan of USAID them implement their first rooftop solar
Activity Areas Clean Power Asia, rooftop solar grew projects for 55 installations with a total significantly in Southeast Asia, particularly capacity of 54 MW. in Thailand and Vietnam. With rapidly decreasing costs of solar installations, In 2017, USAID Clean Power Asia worked this has become an increasingly attractive with Big C Supercenter, an operator of option for companies particularly because retail hypermarkets located in shopping of the electricity demand from large C&I malls throughout Thailand, to explore operations with ample rooftop space. options for rooftop solar at its stores. While there were limited opportunities Big C aimed to reduce greenhouse in Thailand to develop new projects gas emissions from its operations and for selling to the grid due to the lack considered rooftop solar as a way to of open procurements, there were no achieve their goal. Program staff helped restrictions on installing rooftop solar the company understand suitable for self-consumption. In Vietnam, the business models to implement projects government provided incentives to at its facilities and supported contract stimulate the uptake of rooftop solar, negotiations with solar developers. Big leading to significant interest among C&I C chose to contract a solar service companies. USAID Clean Power Asia was provider for the installation, operation, instrumental in helping four companies and maintenance of the solar system, and in Thailand and Vietnam understand purchase the electricity output under suitable business models, financing options, terms specified in a PPA between the and contracting structures. This helped two parties. USAID worked with Big C
82 USAID CLEAN POWER ASIA III. Mobilizing Finance and Investment
A garment factory in Bangkok’s Bang Na executives to validate key terms in the target to produce more than 100,000 MWh district is harnessing the power of the PPA and lent their expertise to create a of electricity per year from solar by 2025, sun and saving on negotiating strategy, and also developed equivalent to the electricity consumption electricity bills. a business model that focused on the of nearly 55,000 households in Thailand. Photo credit: Implementation aggregation of electricity demand for Big With the installations so far, the company is Madura Watanagase Abt Associates/ C’s multiple stores. already halfway to meeting that target. USAID Clean Power Asia Subsequently, Big C awarded a contract to Besides Big C, USAID Clean Power Asia Impact Solar to install solar PV systems of also advised Thai Union Group PLC, a 1 MW each on the rooftops of 16 of its Thailand-based global producer of seafood stores throughout Thailand, with a total products, on rooftop solar opportunities. investment estimated at THB 880 million In 2015, the company developed a CO2 (USD $25 million). The first system to emissions reduction roadmap to prepare for come online in 2018 supplied 20 percent a carbon-constrained future, and set a target of the store’s electricity consumption in to reduce overall CO2 emissions by 30% by the first month, representing cost savings 2020. Program staff supported the company of nearly five percent. Following this first in the assessment of various financing phase, Big C expanded the rooftop solar options for rooftop solar at its facilities, program to several more of its stores, and which helped the company implement the to date, these efforts have led to more first installations at six factories with a total than 35 MW of installed capacity at 46 capacity of nearly 8 MW. stores throughout Thailand. Big C plans to install additional rooftop solar with a
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Big C Supercenter in Pathum Thani, Thailand, was one Following the successes with Big C and With support from the partnership in of the first of 16 rooftops to have a 1 Thai Union in Thailand, USAID Clean 2018, Amata, a leading industrial estate MW solar rooftop Power Asia expanded its work on rooftop developer in Thailand and Vietnam, solicited installation. solar to Vietnam. To support to the proposals for a 104 kW solar system at Photo credit: development of rooftop solar, the program its office premises at the Amata City Bien Michael Wykoff Activity Areas Abt Associates/ formed a partnership with the Clean Hoa industrial estate in Dong Nai province, USAID Clean Energy Investment Accelerator (CEIA), installed and commissioned in 2019. A few Power Asia jointly led by Allotrope Partners, World other companies also solicited proposals Resources Institute (WRI), and NREL. for initial systems at their facilities, but for CEIA organized regular RE buyers working a variety of reasons these have not resulted group meetings in Vietnam, together in installations to date. Lastly, program staff with USAID V-LEEP, bringing together and CEIA successfully supported the national various stakeholders in promoting rooftop supermarket chain MM Mega Market, an solar in the country. Program staff and operator of hypermarkets and convenience CEIA jointly provided direct support to stores in Vietnam and owned by the same multiple companies by conducting initial parent company as Big C, to implement economic feasibility studies, supporting rooftop solar at its facilities. Program staff companies to design the procurement for initially began supporting MM Mega Market solar PV systems, and demonstrating the on solar rooftop in 2018, based on their commercial viability of solar PV rooftop work with Big C in Thailand. In 2020, the investments. The partnership provided company solicited proposals for installations advice to several businesses to implement at multiple stores, and in coordination with rooftop solar at their facilities. CEIA, program staff provided advice on the draft power purchase agreement (PPA), leading the company to sign a private PPA with a solar developer for 12 sites across Vietnam, with a total capacity of 10 MW.
84 USAID CLEAN POWER ASIA LESSONS LEARNED
Rooftop solar installations in Thailand: do not allow the sale of electricity to the At a time when the solar rooftop market grid or a potential buyer in another location. in Thailand was still in its infancy, the This means that the attractiveness of rooftop cooperation with Big C and Thai Union solar is largely restricted to facilities that demonstrated the technical feasibility operate every day and have a sufficiently and economic benefits of using solar high electricity consumption during sunlight technology and provided a clear business hours. Facilities that operate only on case for the C&I sectors in Thailand to weekdays would not be able to sell any install rooftop solar systems. Since the electricity generated during the weekend to first systems were installed on Big C the utility or another offtaker, so this reduces stores, other major retailers have also the optimal size of a rooftop solar system III. Mobilizing Finance and Investment signed private PPAs with solar service and affects the return of investment. providers for rooftop solar installations at their stores. The manufacturing sector Regulations and incentives in Vietnam: is also interested and many factories In contrast, the case of Vietnam shows the currently obtain part of their electricity importance of regulations in developing needs from rooftop solar. While there a private sector driven market. Since are no official statistics for rooftop solar the Government of Vietnam issued new installations in Thailand, program estimates regulations and incentives for the sale of show that total installations in the country electricity from rooftop solar to the grid have reached nearly 1 GW. in April 2020, the country experienced an unprecedented development of rooftop solar. Private sector partners: These To be eligible for the incentives, projects had experiences show the importance of to complete installation and connect to the working with private sector partners that grid before the end of the year, leading to make commitments to reducing climate the addition of more than 9 GW of rooftop impacts, early on recognize the business solar capacity in only a few months. case for the adoption of RE solutions, Implementation and employ innovative financing and technology solutions. Both Big C and Thai Union had already set sustainability goals and targets to reduce emissions from their operations, which made them Experience shows importance highly receptive to the program’s advice of collaborating with on suitable business models and financing options. companies that make a
Limitations and restrictions: Despite the commitment to reducing regulatory restrictions for rooftop solar climate impacts and recognize in Thailand, the Thai solar rooftop market has grown to be highly active with multiple business case for adopting developers offering long-term PPAs at renewable energy and using competitive discounts to the grid tariff. At the same time, because of the restrictions, innovative financing and the market is not able to reach its full technology solutions. potential. The current regulations only allow for rooftop solar for onsite use and
FINAL REPORT 2016 - 2021 85 2 UTILITY-SCALE SOLAR AND WIND IN VIETNAM
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
By the numbers 257 48 MW MW from B.Grimm from Sermsang 3 Power solar project wind project that that mobilized mobilized $283 million $115 million
Over the program’s lifetime, Vietnam project development in Vietnam risky
Activity Areas had the best potential in the Lower because of certain provisions in the Mekong region for the development standard PPA, which is non-negotiable. and implementation of utility-scale solar Because under the PPA, EVN is the sole and wind projects. In 2017, the Ministry buyer and projects cannot sell to other of Industry and Trade (MOIT) launched offtakers or add storage, it is crucial for incentives for utility-scale solar and in investors that EVN buys all the electricity 2018 enhanced incentives for wind power. a project can generate. However, the The incentives included a standard PPA PPA allows EVN to restrict purchases for selling electricity to Vietnam Electricity when demand is low, or the electricity (EVN), the national utility, at attractive, grid is experiencing issues. This is known USD-indexed tariffs for a period of 20 as curtailment, which can significantly years. This attracted significant interest affect a project’s revenue over its lifetime from both local and international and makes it difficult to estimate the developers and investors, and led to the profitability of the project. For lenders rapid development of multiple projects, it also means that they have limited particularly in southern Vietnam because confidence that a project would be able of its higher solar irradiation and wind to repay a loan. Because of the limited speeds. capacity of the transmission grid, the risk of curtailment is high and some projects Despite the attractive tariffs offered, have already experienced curtailment most international investors and lenders since starting operations. Other clauses in considered utility-scale solar and wind the PPA related to contract termination
86 USAID CLEAN POWER ASIA III. Mobilizing Finance and Investment
USAID Clean Power Asia supported and arbitration are also not acceptable To overcome some of these barriers, B.Grimm Power in identifying and to most international investors and USAID Clean Power Asia worked with finalizing a financing lenders. In case of PPA termination due several developers in their efforts to structure for its 257 MW Phu Yen solar to a default by EVN, the termination secure financing for their projects in project in Vietnam. Implementation payment would be limited to the project’s Vietnam under the circumstances. Photo credit: electricity output during the previous year, Program staff provided support to identify B.Grimm Power while mediation and resolution of any appropriate financing structures for their Public Company disputes between EVN and the project projects, which relates to the different Limited would be handled by MOIT agencies. types of financing instruments involved in reaching financial close, including loans, Before the construction of a particular equity, vendor financing, guarantees and project can start, its developer needs to letters of credit. Financial close refers secure financing from different sources to the stage when all the financing to cover the total costs of construction. agreements have been signed, and funds This may include equity capital from the are made available to start construction. project developer, loans from a bank or All financing needs to line up in a way so other types of lenders, as well as short- that all parties including banks, investors, term financing from the equipment equipment suppliers, and contractors are supplier or the construction contractor, satisfied with how major risks are covered. often called vendor financing. Because of the curtailment risk and other limitations, project developers were restricted in ways that they could finance their projects.
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USAID Clean Power Asia’s 2019 success story featured Program staff supported the Thai company Similarly, program staff worked with Mrs. Preeyanart Soontornwata, CEO B.Grimm Power PLC, Thailand’s oldest Sermsang Power Corporation PLC, a of B.Grimm Power, infrastructure developer and one of renewable energy-focused independent as a leading example of how women can the largest private power producers in power producer from Thailand, to identify find success in the Southeast Asia, in identifying and finalizing a suitable financing structure for its 48 energy sector. Activity Areas a financing structure for its first solar MW wind power project in Vietnam. Photo credit: project in Vietnam, the 257 MW Phu To overcome bankability constraints, B.Grimm Power Public Company Yen project, jointly developed with its program staff engaged with multiple banks Limited local partner Truong Thanh Viet Nam and private equity funds and advised Group (TTVN). The partners planned to Sermsang on options, which helped the finance the project with equity from both company to reach financial close and partners and a loan from the equipment sign the engineering, procurement, and supplier. Program staff supported B.Grimm construction (EPC) contract for the Power and TTVN to explore several project, with construction beginning in possible alternatives to unlock the full August 2020 and commercial operations amount of vendor financing required for scheduled to begin in October 2021. the total project size. Discussions with several banks, RE developers, private equity funds, and investors allowed the partners to identify the most suitable financing structure, thus enabling financial close and implementation up to the total planned capacity and allowing the project to complete construction and start operations in June 2019.
88 USAID CLEAN POWER ASIA LESSONS LEARNED
Partnerships and engagement: USAID and played an important role in the rapid Clean Power Asia’s support to utility-scale development of the solar market. In particular, solar and wind in Vietnam facilitated 305 multiple Thai companies actively sought MW of installed capacity. Program staff partnerships with Vietnamese developers to worked closely with two Thai companies implement large-scale projects, partially due to to identify suitable financing structures the lack of project opportunities in Thailand so project construction could begin. In and a drive to expand their operations across addition, program staff engaged with local the region. For example, B.Grimm Power developers and international investors invested in two large projects, with a total to facilitate potential partnerships on capacity of 677 MW, accounting for nearly 80% investment opportunities in solar and wind in of the company’s solar investment in Southeast
Vietnam. Additional opportunities arrived via Asia. Besides its wind project, Sermsang Power III. Mobilizing Finance and Investment conferences, referrals, industry associations, Corporation also invested in a 50 MW solar as well as developers contacting the program project in Vietnam. directly. Limited financing options: As mentioned, Rapid development of utility-scale solar most international lenders consider the and wind in Vietnam: Despite concerns of Vietnamese solar and wind market too risky, international developers and lenders, Vietnam and as a result, few renewable energy projects witnessed a rapid development of utility- in Vietnam have been financed by international scale solar. At the end of June 2019, when banks. Despite this restriction, the high the first set of regulations expired, over 4 number of installations shows that developers GW of solar had been installed. Furthermore, were able to finance their projects. Multiple the launch of new incentives in April 2020 Vietnamese banks provided loans, but mostly for projects already under construction led to Vietnamese companies and secured by to the completion of an additional 1 GW corporate guarantees. by the end of 2020. All of this occurred in less than four years since the launch of Innovative finance structures: Regional the initial incentives and made Vietnam investors like B.Grimm Power and Sermsang Implementation a leader in utility-solar in Southeast Asia. Power Corporation, unable to obtain loans Similarly, wind power is also experiencing from Vietnamese banks, had to rely on a rapid uptake in Vietnam, albeit to a lesser innovative finance structures such as vendor extent, due to the longer timeline and higher finance. This means that the EPC contractor investment required. This shows that the provides a short-term loan to purchase the tariffs offered by the Government of Vietnam contractor’s products and services. The project were sufficiently attractive for investors to will need to repay the loan at a predetermined overcome their concerns about the risk point of time, usually at or after the start of of curtailment. Nevertheless, curtailment operations. While this allows companies to is affecting projects that have started build their projects, the short-term nature operations, especially in areas with a high of vendor finance means that they will need concentration of solar and wind projects and to obtain long-term debt to replace vendor limited grid capacity. financing, with a risk that they may not able to do so or only at a high cost. ADB has provided Regional investors: While most long-term financing for a few projects that international developers and investors have started operations, including B.Grimm’s choose not to participate in the Vietnam Phu Yen solar project. solar market, investors from other Southeast Asia countries were less risk averse
FINAL REPORT 2016 - 2021 89 CAPACITY BUILDING ON PROJECT FINANCE FOR RENEWABLE ENERGY
3 Activity Areas
USAID Clean Power Asia and Photo credit: USAID V-LEEP collaborated on a James Grall training event on the fundamentals Abt Associates/ of financing for solar PV projects in USAID Clean Power Asia Vietnam in June 2018.
90 USAID CLEAN POWER ASIA Following the launch of incentives for solar and wind projects in Vietnam, developers and investors started to seek financing for their projects, typically from a combination of equity from investors and debt from banks or other lenders. III. Mobilizing Finance and Investment
At the launch of incentives, Vietnamese may own. This means that the lenders will banks were largely unfamiliar with have no or limited recourse to the project solar and wind, so there was a lack of sponsors in case the project performs understanding of the elements and risks below expectations, so a lender needs to of financing renewable energy, making clearly understand the risks involved in banks reluctant to provide loans without providing a project loan and how risk can guarantees from the project developer. be minimized.
To maximize the potential returns on Local banks and project developers in investment from a particular project, Vietnam are still relatively unfamiliar with project developers aim to maximize the the concept of project finance for solar portion of the investment costs that is and wind. To overcome this barrier and to financed by debt. To do so, developers will facilitate increased financing, USAID Clean typically seek to finance their projects via Power Asia partnered with organizations a project finance structure. Project finance on multiple training workshops on Capacity Building is a special method of raising long-term financing solar and wind projects in debt financing commonly used for capital Vietnam. These workshops were designed intensive projects with high upfront to be practicable and interactive, with case costs, such as power plants and other studies and financial modeling exercises infrastructure projects. Under a project so that participants could gain hands-on finance structure, a lender’s decision experience in project assessment. Program whether to provide a loan to a project staff provided training to local banks and is largely based on the cash flow that the project developers, totaling more than project is expected to generate, without 400 participants, of which over 30% were really considering income streams from women. other projects that the project developer
FINAL REPORT 2016 - 2021 91 MAJOR HIGHLIGHTS AND ACHIEVEMENTS
By the numbers 54 200 participants loan officers (37 men/17 women) trained in Vietnam attended 2019 project in 2019 finance workshop with GWEC 3 335 5 people Local developers attending virtual business who presented and proposed matchmaking session in wind power projects at Virtual 2020 with GWEC Wind Power conference in
Activity Areas June 2020
For capacity building on financing solar coordinated with banks and presenters projects, USAID Clean Power Asia from local organizations, and USAID collaborated with USAID V-LEEP, and Clean Power Asia staff delivered a half-day in 2018, held the first in a series of session on project finance and financial training workshops on the fundamentals modeling for solar projects. The sessions of financing solar projects in Vietnam, began with the characteristics of project targeting local banks, investors, and project finance, elements of cash flow analysis, developers. Following a training workshop and critical success factors when lending for 200 loan officers from VietinBank in to utility-scale solar projects, then moved Hanoi in 2019, two additional training to a demonstration of a financial model workshops were held in Hanoi for the as typically used by banks to analyze the Saigon-Hanoi Commercial Joint Stock potential financial performance for solar Bank (SHB) and the Bank for Investment projects. Lastly, workshop participants and Development of Vietnam (BIDV). All worked on a case study and financial three banks provided the training facilities modeling exercise allowing them to gain at their headquarters for the workshops. hands-on experience in solar project For each of the workshops, USAID V-LEEP analysis. For the case study, workshop
92 USAID CLEAN POWER ASIA III. Mobilizing Finance and Investment Capacity Building 93 Photo credit: Photo credit: iStockphoto FINAL REPORT 2016 - 2021 FINAL REPORT 3
Participants at the Vietnam Wind Power 2019 conference participants had a project case and an Because this training session was work together in a training session Excel-based financial model, and worked accessible only to conference delegates, on financing wind in small groups to analyze the potential there were only a few participants from power projects in June 2019. project and make a loan recommendation. local Vietnamese wind developers. To reach more local Vietnamese players, Photo credit: Global Wind With regard to training on financing program staff and GWEC worked
Activity Areas Energy Council wind projects, USAID Clean Power Asia together to organize a follow-up partnered with the Global Wind Energy workshop, specifically targeted to local Council (GWEC), and in 2019, organized project developers. Initially scheduled for a half-day training session during GWEC’s February 2020 in Ho Chi Minh City, the Vietnam Wind Power conference in Hanoi. event was canceled due the uncertainty The program also co-sponsored the surrounding the COVID-19 outbreak. Finance Workshop, gathering experts to Therefore, program staff adapted the discuss how the industry could overcome workshop to an online format and held project financing challenges in Vietnam’s a virtual training workshop later in the wind market, as discussed previously. The year. Representatives of eight local wind training session followed a format similar project developers participated in the to the solar training workshops for local workshop, working on a case study and banks, starting with characteristics and financial modeling exercise to enhance critical elements of project finance for practical understanding of project finance. wind projects, followed by a financial Because the online format limited the model demonstration, and concluding interactive nature of the workshop as with a case study and financial modeling compared to in-person events, program exercise, in which participants assessed staff also recorded a separate session key risks of a potential wind project. focusing on the case study and financial modeling exercise and shared this with all participants after the workshop.
94 USAID CLEAN POWER ASIA LESSONS LEARNED
Interactive training workshops on project finance: The highly interactive and practical nature of the various training workshops was well received by participants. The case study and financial model exercises provided them with an opportunity to gain hands-on experience with the financial analysis and risk assessment of solar and wind projects. This allowed participants to consider project and risk assessment III. Mobilizing Finance and Investment beyond financial performance. For many developers in Vietnam, still relatively new to the concept of project finance, it also provided a perspective on how banks approach project assessment when considering a loan application. The positive feedback from the financial modeling exercises during training workshops also provided the basis for developing and releasing the standard financial models for utility-scale solar, wind and biomass power In 2020, USAID Clean Power Asia Image credit: in Southeast Asia (see next section). published standard financial models Kwanta Norkum for utility-scale solar, wind, and Abt Associates/ biomass power. USAID Clean Power Asia Close engagement with key stakeholders: Conversely, the workshops provided program staff with opportunities to closely engage Capacity Building with local and international banks, developers, and investors. This allowed Positive feedback from a better understanding of the nature of the solar and wind markets in Vietnam financial modeling and identified opportunities to provide exercises during training support to companies. workshops provided basis for developing standard financial models for utility-scale solar, wind and biomass power in Southeast Asia.
FINAL REPORT 2016 - 2021 95 TOOLS AND GUIDELINES FOR THE PRIVATE SECTOR
MAJOR HIGHLIGHTS AND ACHIEVEMENTS
By the numbers 3 6 over tools and guidelines 3,000 published downloads Activity Areas In order to impact the private sector’s documentation required for a project, ability to develop, finance, and implement covering site evaluation, contractual grid-connected RE projects beyond the agreements, financing, permitting and life of the program, USAID Clean Power licensing, construction and installation, grid Asia developed and released several tools connection and commissioning, and lastly, and guidelines to support developers, operation and maintenance. The guidelines investors, and lenders in their activities. are packaged with a financial model and a template for a private PPA that companies Based on lessons learned from support can use in project preparation and to Big C and Thai Union on rooftop negotiation with solar service providers. solar, in 2018, USAID Clean Power Asia worked with GIZ to develop and publish To enhance understanding of the guidelines for solar rooftop project regulations and financing for utility- development in Thailand. The Renewable scale solar in Vietnam among a wider Energy Guidelines on Solar PV Rooftop audience, in 2019 USAID Clean Power Implementation: Thailand provide Asia published Bankability Guidelines for easy to follow step-by-step guidelines Utility-Scale Solar Projects in Vietnam on how to implement a rooftop solar and an accompanying financial model. project in Thailand. It is an interactive The guidelines provide an overview of guidebook, using Gantt charts and flow bankability aspects of solar projects in charts to visualize the processes and Vietnam, aiming to support developers
96 USAID CLEAN POWER ASIA III. Mobilizing Finance and Investment
USAID Clean Power Asia and GIZ jointly released guidelines
to improve project bankability and Asian countries with a potential for grid- c. for rooftop solar assist lenders and investors in the connected RE (Cambodia, Indonesia, Laos, in Thailand to help evaluation of potential opportunities. Malaysia, Myanmar, Philippines, Thailand, companies navigate the development and The financial model was provided as and Vietnam). The models allow users to permitting process. Tools and Guidelines for the Private Sector a tool for evaluating utility-scale solar conduct an initial financial analysis of a projects in Vietnam, allowing users to project’s ability to service the debt under conduct a preliminary assessment of a a variety of debt structures. They also project’s ability to service the debt and serve to analyze and identify the most to analyze the most critical factors that critical factors that impact profitability impact profitability and bankability of a and bankability of a project. The models solar project. The guidelines provided an were introduced in a webinar on Financial overview of the regulations for utility- Modeling for Utility-Scale Solar, Wind scale solar, as issued by the Government and Biomass Power in Southeast Asia. The of Vietnam in 2017. In April 2020, the webinar discussed the role of financial government issued new regulations for models in project finance for RE, explained solar, so program staff released a revised the mechanics of the financial models, version of the guidelines, incorporating the and demonstrated how to use them. new regulations. Program staff also provided insight into how lenders use financial models to assess In 2020, USAID Clean Power Asia the viability of a renewable energy project published standard financial models for and how participants can use the three utility-scale solar, wind and biomass financial models to identify a financing power, as tools for preliminary financial structure acceptable to both lenders and assessment of projects in Southeast equity investors.
FINAL REPORT 2016 - 2021 97 In 2019, USAID Clean Power Asia launched the monthly Renewable Energy Transaction Update with updates specifically relevant to the private sector. The e-newsletter provided a concise update of market transactions and major developments at project level (e.g., the provision of loans, the signing of PPAs, mergers and acquisitions, and start of project construction and operations). At the beginning of each month, USAID Clean Power Asia sent the update by email to its over 5,000 subscribers. Since the launch of the newsletter, program staff received positive feedback and multiple requests to be added to the mailing list, showing a clear need for concise updates on RE projects and transactions in the region. In addition, program staff learned that an international investor used the updates to 3 gauge investments in wind power in Vietnam.
To improve power sector planning, USAID Clean Power Asia collaborated with NREL and ACE to create the Southeast Asia Renewable Energy Data Explorer, a web- based analysis tool that uses geospatial and spatiotemporal data to visualize, execute, and support analysis of RE potential. To promote the tool among the private sector, In late 2020, USAID Activity Areas collaborated with program staff worked with USAID, NREL, CEIA to publish a Feedback from the webinar showed that and the Private Financing Advisory Network standard financial model for rooftop there was significant interest in a similar (PFAN) to launch the tool at the Asia Clean solar at C&I facilities financial model for rooftop solar projects. Energy Forum in 2019 in Manila, during a for companies to assess financial Therefore, program staff started working deep-dive workshop focusing on challenges feasibility of rooftop with CEIA to develop a financial model in utility-scale wind energy and solar solar at their facilities. for rooftop solar at C&I facilities, provided project development according to project as a tool to companies to assess the developers, investors, and governments. Image credit: Kwanta Norkum financial feasibility of rooftop solar at their Abt Associates/ facilities. USAID Clean Power Asia and In early 2021, NREL launched an enhanced USAID Clean CEIA officially launched the final model version of the Southeast Asia Renewable Power Asia during a webinar on Evaluating Rooftop Energy Data Explorer, which provides Solar Opportunities at Commercial high-quality, robust, and reliable renewable and Industrial Facilities in Southeast solar data, including 10-minute temporal Asia in December 2020. The webinar resolution and 2-kilometer spatial resolution also discussed market challenges and resource data. To promote the updated opportunities for C&I rooftop solar in version, program staff supported NREL on Southeast Asia and the need for tools to a webinar targeted specifically to private assess projects opportunities and included sector stakeholders, held in April 2021. a live demonstration of the financial model.
98 USAID CLEAN POWER ASIA LESSONS LEARNED
Need for quality RE information: Total downloads for the four financial models total over 3,000, and other tools and guidelines also saw high download numbers, with the two implementation guidelines downloaded more than 1,400 Positive feedback times. Feedback from surveys and direct communication indicated the tools and high download were well received and appreciated. This numbers show that positive feedback and high number of downloads shows there is a clear need there is clear need for RE information in Southeast Asia III. Mobilizing Finance and Investment specifically targeted toward the private for RE information sector. in Southeast Asia Tools for the private sector: While there is sufficient general information specifically targeted available on RE technologies, tools that are relevant to project developers and other towards private sector. private sector stakeholders are less readily available. Based on extensive previous experience working with private sector companies in the region, program staff made a concise effort to provide tools and After an RE incentives workshop in Photo credit:
guidelines that are succinct, specific, and July 2017, participants visited a solar Michael Wykoff c. practicable. farm in Nakhon Ratchasima, Thailand. Abt Associates/ USAID Clean Power Asia Tools and Guidelines for the Private Sector
FINAL REPORT 2016 - 2021 99 3 ACTIVITY AREAS
PROMOTING IV ENHANCED REGIONAL COLLABORATION - Covid-19 Pandemic Adaptation - Communications - Gender 3 - Partnerships Activity Areas
Photo credit: Joost Siteur Abt Associates/ USAID Clean Power Asia Promoting greater deployment of renewable energy was a primary objective of USAID Clean Power Asia, and the program took advantage of unique opportunities that existed to engage with both public and private sector actors across Southeast Asia and the globe.
Supporting enhanced collaboration built Critical to enhanced regional collaboration a foundation for sharing knowledge, was the promotion of program activities, leveraging resources, and replicating best resources, and success stories. USAID practices, and over the past five years, Clean Power Asia leveraged the program IV. Promoting Enhanced Regional Collaboratio USAID Clean Power Asia worked closely website to expand outreach by publishing with partners and stakeholders across toolkits, guidelines, and resources; kept the region to build strategic relationships partners and beneficiaries updated on with organizations whose missions aligned program progress; and shared lessons with and complemented the program. learned. Program staff also presented USAID Clean Power Asia collaborated at and participated in key regional with the U.S. National Renewable Energy conferences like the Asia Clean Energy Laboratory, the Heads of ASEAN Power Forum, Singapore Clean Energy Week, Utilities and Authorities (HAPUA), and the ASEAN Energy Business Forum, and the ASEAN Centre for Energy as a the Sustainable Energy Technology Asia partner and subcontractor to increase conference. grid integration of renewables and expand regional power trade, while international ASEAN member states have more to gain bodies like the International Energy from coordinated efforts and knowledge Agency and the International Renewable sharing than they do going it alone in this Energy Agency engaged in program rapidly evolving space, so the program events to share lessons learned and best employed regional and international practices from across Southeast Asia. The partners to share knowledge and program promoted enhanced regional lessons to benefit those contemplating cooperation by encouraging government similar steps in their power systems. counterparts and private sector actors USAID Clean Power Asia ensured that to view one another as partners and coordination and learning were built into collaborators, to gain an appreciation of all activities and provided value to USAID each other’s needs and capabilities, and and the many actors along the renewable to begin to understand how to utilize the energy value chain. wealth of resources among them.
FINAL REPORT 2016 - 2021 101 COVID-19 Pandemic Adaptation
3 Activity Areas
A hybrid event for the Stakeholder Workshop on the The emergence of the COVID-19 global The impacts of COVID-19 caused Development of Thailand’s BESS pandemic in early 2020 presented the postponements and delays across tasks Technical Standards USAID Clean Power Asia team with due to restrictions on travel and large took place in February 2021 in unprecedented implementation challenges. gatherings, including meetings with Bangkok. The appearance of the first imported government counterparts. By mid-2020,
Image credit: case in Thailand occurred in mid-January, the Southeast Asian countries where Kwanta Norkum with confirmation of local transmission USAID Clean Power Asia worked Abt Associates/ USAID Clean by February and rapid spread throughout formalized immediate restrictions causing Power Asia the region, culminating in the designation program staff to adapt. In Thailand, of a pandemic by the World Health universities moved to online classes Organization on March 11. This global and government employees began to event significantly impacted the timing work remotely. In Laos, the government and design of activities in the Year 4 work prohibited meetings with foreigners, plan, both across the region and in the postponed any large gatherings, and countries where USAID Clean Power Asia moved to remote work. In Vietnam, the was implementing activities. government stopped issuing visas for
102 USAID CLEAN POWER ASIA foreigners and Manila, Philippines, was on completion of previous steps and as the on lockdown. These restrictions forced pandemic continued, delays compounded USAID Clean Power Asia to implement despite the best efforts of program staff to all activities without staff, consultant, and predict and mitigate them. subcontractor travel, and with the support of local consultants, all events moved to a The AIMS III study was completed with virtual environment. all meetings of ASEAN member states’ representatives held virtually. This, Travel in the region became impossible combined with challenges in obtaining due to widespread border closures. The data, resulted in completion of the study inability of program staff to travel in the a year later than originally planned. The region was compounded by requirements completion of the IRRP in Laos was delayed for government counterparts and other a full year due to COVID-19 related travel partners working from home, some restrictions for subcontractor SEI, while the IV. Promoting Enhanced Regional Collaboratio with insufficient access to necessary IT technical connection regulations also fell infrastructure. These twin actions meant behind due to a delay in gathering required that USAID Clean Power Asia had to data. The completion of the design for the postpone many activities that were to Laos solar pilot auction was extended a take place which resulted in lingering full year due to delays in finalizing decisions impacts to subsequent activities. To the about available land and the auction extent USAID Clean Power Asia was design; implementation now awaits official able, program staff supplemented delays approval by the Government of Laos. with additional virtual activities. USAID The completion of the planned work in Clean Power Asia program staff finalized Thailand on BESS technical standards development of a detailed plan, adjusting was delayed due to interruptions in the work plan activities and schedules approval process caused by COVID-19 to the new working environment. and continuing work on DPV net metering Counterparts in Laos working from home policy in the Philippines was delayed due to were challenged by a lack of access to a lockdown in Manila in early 2020. computers or laptops, as well as slow internet connections. For Thai government Several regional workshops were converted COVID-19 Adaptation employees, requirements depended to an online platform and additional on their organizations, though most webinars were added under the Asia EDGE counterparts worked from home. Power Sector Learning Series, including By the second half of 2020, bans on a planned regional workshop on rooftop foreign travel remained in place in solar which was converted to a series Thailand, Cambodia, Laos, and Vietnam, of three webinars and GWEC’s Vietnam though travel restrictions within countries Wind Power Conference, which became eased and business began to resume, a virtual event co-hosted by the program. with limitations on the numbers of While typical opportunities for face-to- meeting participants and social distancing face partnership meetings did not occur requirements in place. Despite national due to COVID-19, especially with regard level restrictions slowly being relaxed to new relationships, the pandemic did as the pandemic came under greater provide opportunities to support activities control, normal program operations implemented by USG agencies, including including regional and international travel USTDA and DFC. The Asia Clean Energy for conferences and workshops did not Forum, a partnership with ADB, moved resume for the remainder of the program. to a virtual platform while still providing Delays experienced due to COVID-19 opportunities to collaborate with NREL often caused a chain reaction throughout and USAID India on side events. subsequent sequenced activities that relied
FINAL REPORT 2016 - 2021 103 Communications
3 Activity Areas
USAID Clean Power Asia’s program website launched Over the past five years, USAID Clean especially from major program events. in 2017 and is hosted on the Power Asia communications and outreach Apart form working with journalists, web architecture utilized various channels to reach as communications staff used USAID’s of USAID partner ASEAN Centre for wide an audience as possible, utilizing an social media channels as communications Energy. email marketing platform to promote platforms to reach a wider audience. In
Image credit: program events and activities; distributing mid-2019, communications staff created Kwanta Norkum a weekly news digest; and publishing and administered an REChampions Abt Associates/ USAID Clean monthly renewable energy transaction Facebook group as an additional channel Power Asia updates and the e-newsletter REbrief, to engage with RE leaders to strengthen while also cross-promoting program collaboration within the region. events and publications with USAID/ RDMA and other partners. The USAID Since the start of the program in July Clean Power Asia website, an easily 2016, communications highlights and accessible portal optimized for laptop, achievements include many successes. tablets, and mobile phones, sits on a The USAID Clean Power Asia website web architecture operated by partner attracted an average of 1,300 visitors and subcontractor ACE, and was utilized per month in Year 4, and during the to disseminate program news and life of the program, there were over information and resources to download, 350 resources published with 140,000
104 USAID CLEAN POWER ASIA page-views and 37,000 new users. More multiple resources including four financial than half of users were female and the models for utility-scale solar, rooftop solar, most frequent users were those aged wind, and biomass power, which had well 25-34 years, followed by people aged over 3,000 downloads. 35-44. Growing the subscriber list to over 5,000 subscribers; publishing 39 USAID Clean Power Asia collaborated with monthly newsletters; developing and USAID/RDMA to develop and publish an updating program collateral, including article in the March 2020 issue of Forbes program factsheet, four task factsheets, Thailand, with over 3,000 online views, and a private sector marketing piece; and to promote USAID Clean Power Asia’s publishing four full-lenth success stories financial advisory services and USAID’s to promote USAID’s energy work in energy sector work in general. In Year 3, Southeast Asia as part of Asia EDGE were USAID Clean Power Asia launched two among notable achievements. Success phases of a paid outreach program using IV. Promoting Enhanced Regional Collaboratio stories covered topics featuring work on short solar rooftop videos in Vietnam, DPV in Thailand; the success of Big C and garnering over 88,000 views with 350,000 solar rooftop; how a woman-led company, impressions, and in Thailand, with over B.Grimm Power, the largest independent 44,000 views and 200,000 impressions, power producer in the region, won via YouTube advertisements to promote solar project of the year for a plant in USAID Clean Power Asia and seek Vietnam; and the success of completing additional transaction advisory clients for the first step on a solar pilot auction in rooftop solar investment. The program held Laos. Communications products, including a successful closing event accompanied by regular biweekly program updates to the a video highlighting program achievements Mission, yearly success stories, and impact and legacy. statements, were aligned with a structure to best align with USG objectives including There were many communications lessons the Indo-Pacific Strategy, Asia EDGE, and learned during the life of the program, the Journey to Self-Reliance. including how to increase success with outreach and communications by being Supporting program staff on event proactive, responsive to queries and collateral, including production of all requests, and maximally flexible with Communications required documents, social media toolkits, unforeseen circumstances. With program and all other necessary materials, ensured staff following an official telecommuting compliance with USAID branding and policy due to the COVID-19 pandemic, marking requirements. Activities included the communications team still worked creating an event page on the website with effectively to support program activities photos and presentations to download, and technical staff to accomplish work plan and following up with all attendees with activities. outreach directing them to the event page, ensuring they had a fruitful experience As the program ends, USAID Clean Power and offering the opportunity to provide Asia will migrate the website content additional feedback. Communications and share web elements with ACE for staff assisted in the successful launch of their permanent library. The database of webinars in the RElearning series and in subscribers will be shared with USAID, so the Asia EDGE Power Sector Learning they will continue to receive useful updates Series, and cross-promoted the webinars on activities from USAID and partners, and with partners. Working with investment the suite of videos published on USAID/ mobilization staff to launch a monthly RDMA’s YouTube page will be available for renewable energy transaction updates use after the end of the program. proved highly effective, as did publishing
FINAL REPORT 2016 - 2021 105 Gender
3 Activity Areas
Madura Watanagase leads a discussion with the USAID Gender equality is fundamental for the full results in reducing gender disparities in Clean Power Asia REChampions, enjoyment of human rights by women and the energy sector, in August 2017, the convening for the men alike. Women are underrepresented program published a white paper, Gender first time at ACEF in Manila in June 2019. in the energy sector and face disparities Assessment and Strategy: Promoting in access to training, financial resources, Gender Equality in the Energy Sectors Photo credit: Dr. Supawan Saelim and technology to be equitable generators of Thailand, Cambodia, Lao PDR and Abt Associates/ and users of renewable energy. Promoting Vietnam, Options and Opportunities USAID Clean Power Asia gender equality while improving the status for USAID Clean Power Asia, providing of women and girls is vital to achieving an overview of the RE landscape in USAID’s development objectives. At Lower Mekong countries; assessing the beginning of the program, USAID gender issues and gender equality in the Clean Power Asia put in place a Gender renewable energy sectors; and making Implementation Plan to guide integration recommendations for improving gender of gender equity considerations into equality and responsiveness in the work planning. To ensure technical renewable energy sector. assistance would achieve the greatest
106 USAID CLEAN POWER ASIA Mainstreaming gender perspectives is a Mrs. Preeyanart navigated through crisis process of assessing implications for women to lead one of the largest independent and men of any planned intervention or power producers in Thailand, and how she action, and is a strategy for making the encourages women to seek knowledge, concerns and experiences of women and build coalitions, bring their unique capacities men alike an important part of design, and perspectives to the table, and take on implementation, and monitoring and expanded technical roles in engineering and evaluation of activities to prevent the fieldwork. continuation of gender inequality. USAID Clean Power Asia developed a Gender In mid-2020, program staff completed a new Mainstreaming Strategy and Checklist in Gender Equality and Inclusion Action Plan, August 2017, documenting gender issues an impact-driven effort to raise awareness and measures relevant to program tasks; of gender equality and inclusion via outreach specific activities to address systemic gender and capacity building activities; to facilitate IV. Promoting Enhanced Regional Collaboratio issues in the power sector; and a roadmap networking and professional development for gender-sensitive design in program opportunities for women in the region’s activities, incorporating critical interventions RE sector; and ensure the inclusion of to ensure inclusive stakeholder engagement gender stories and information in program and equitable benefits-sharing. A gender communications. Program staff implemented lens was not trained just outward in activities in the plan, including integration of actitivies, but also inward, with program staff gender awareness-building protocols into participating in intensive gender training interventions, routine communications, and in May 2017, learning key principles of operations, and built gender inclusion into gender inclusion and gender equality in all Year 5 activities. development; working to better understand how implementing partners and government In late 2020, with nearly all activities virtual counterparts can be gender blind; and how due to the global pandemic, USAID Clean staff could collaborate to ensure program Power Asia collaborated with partners tasks were doing no harm with regard to to launch the Asia EDGE Power Sector gender, but instead educating, informing, Learning Series. Attended by hundreds and ensuring women and men alike are of participants from around the world, considered in energy-related decision- this webinar series covered topics from
making. . distributed solar policy and regulations, to Gender emerging trends and technologies and the In June 2019, USAID Clean Power Asia evolution of policy frameworks. As a result launched the REChampions initiative of events going virtual, USAID Clean Power by sponsoring women speakers and Asia saw participation by women increase participants to attend the annual Asia for all webinars and online events. Through Clean Energy Forum in Manila, creating key interventions, USAID Clean Power a community of professionals in the Asia attempted to empower women in region who could advocate for RE in their the energy sector, increasing participation organizations and countries and build in planning, policy, and decision-making critical relationships among women in the processes; providing critical skills through energy sector. In February 2020, USAID trainings; and establishing networks of Clean Power Asia published a profile of Mrs. prominent women for increased access Preeyanart Soontornwata, CEO of B.Grimm to information, reforms, and benefits that Power, one of few high-ranking women in address gender disparities and improve their the traditionally men-dominated energy status as generators and users of energy. sector. In the success story, Unleashing the Power of Women in Energy: A B.Grimm Power Success, USAID highlighted how
FINAL REPORT 2016 - 2021 107 Partnerships
3 Activity Areas
Participants from around Southeast Asia participated In Southeast Asia, the investment development impact by building local in an RE incentives workshop co-hosted necessary to serve growing demand, capacity to sustain outcomes, mobilizing with ACE in Bangkok whether through conventional or resources across partners, and bringing in July 2017. renewable power sources, cannot be innovative ideas and technologies to Photo credit: met with only public funds. Building interventions. Strategic partnerships with Michael Wykoff Abt Associates/ partnerships was necessary for the regional and global partners and other USAID Clean program to achieve its objectives to donors contributed to USG strategic Power Asia leverage funding for RE investments regional goals, leveraged funding, and and facilitate the close of projects. expanded the reach of technical assistance Throughout the life of the program, and capacity building, contributing to USAID Clean Power Asia staff attended program results. and participated as speakers or panelists at forums, conferences, and exhibitions, At the regional level, Abt Associates providing opportunities to market the maintained a partnership and subcontract program, establish credibility, and allow with the ASEAN Centre for Energy (ACE), for introductions to leading energy providing a framework to collaboratively sector companies. Through a partnerships share knowledge, resources, and networks strategy, the program enabled greater to advance objectives of both parties.
108 USAID CLEAN POWER ASIA USAID Clean Power Asia built on the standards. In Vietnam, collaboration with reputation and credibility of ACE within USAID V-LEEP, CEIA, and GWEC advanced ASEAN member states to convene program goals with on-the-ground support meetings and workshops and to complete for investment mobilization activities, AIMS III. Together with NREL and ACE, the including cooperation on multiple seminars program promoted regional use of the RE and workshops on fundamentals of Data Explorer, an innovative web-based tool financing for solar PV projects and a finance to visualize, execute, and support analysis of workshop at the Vietnam Wind Power RE potential under user-defined scenarios. Conference 2019. As a result, program staff As part of an ongoing partnership with established new and expanded partnerships NREL, ACE also proved indispensable in with developers and investors to complete the creation of the Southeast Asia RE Data rooftop PV, solar, and wind projects in the Explorer. The program also collaborated country. with NREL to conduct policy analyses and IV. Promoting Enhanced Regional Collaboratio regional knowledge-sharing on rooftop The COVID-19 pandemic required in- PV and battery energy storage systems to person workshops to be converted into leverage NREL’s deep technical expertise, virtual events, resulting in a wind project complementing the in-country presence of training webinar with GWEC and a webinar program staff and consultants. with CEIA to launch the rooftop solar financial model, one of four financial models In partnership with ACE and NREL, as that allow developers to gauge potential well as IRENA, HNEI, and IEA, regional project profitability and bankability. These workshops leveraged resources and partnerships yielded significantly greater expertise to address topics of interest to participation in online events than USAID stakeholders including planning approaches Clean Power Asia would otherwise bring to accommodate RE, battery storage and enabled a greater number of trainings systems, and RE incentives and auctions. and events through cost-share agreements. Aligning efforts to enhance regional energy The GWEC partnership included the security and economic development, USAID Thailand Wind Energy Roundtable, which Clean Power Asia supported RDMA’s brought together high-level energy officials cooperation with JICA, in line with strategic and wind industry representatives to goals prioritizing partnerships with regional discuss revisions to the country’s wind Partnerships allies under Asia EDGE and in support of target in the PDP, resulting in Thailand the Japan-U.S. Mekong Power Partnership. increasing a commitment to wind power in In Laos, the program worked with JICA to the latest plan. seamlessly integrate their power system masterplan with the IRRP, by sharing data In the last year of program activities, USAID and analytical results and ensuring analytical Clean Power Asia continued to foster frameworks were aligned, contributing partnerships with HNEI, GGGI, CEIA, and to a more robust power development GWEC, and solidified new collaborations plan. Program staff collaborated with with ClimateWorks Foundation and C40 HNEI and GGGI in Laos to complete Cities. These partnerships leveraged funding the auction site assessment and develop to expand program reach, tapped into the necessary regulations to support additional technical resources, and aligned the solar pilot auction, as well as future activities towards program objectives. development of wind, solar, small hydro, During the past five years, USAID Clean and biomass projects. These organizations’ Power Asia leveraged over $1 million technical expertise, experience, and funding USD in direct and in-kind resources complemented program resources, enabling from program partners and supporting development of grid codes, technical governments to enhance activities designed connection requirements, and technical to achieve common goals.
FINAL REPORT 2016 - 2021 109 MONITORING, 4 EVALUATION AND LEARNING
110 USAID CLEAN POWER ASIA Led by the Chief of Party (COP), Deputy Chief of Party (DCOP), and Monitoring, Evaluation and Learning (MEL) Specialist, the MEL system was systematically managed based on the official MEL Plan.
Over the past five years, a considerable achievements as regularly reported to number of MEL activities were undertaken USAID/RDMA and most importantly, to to ensure the quality of data planning and improve program activities and direction. collection, as well as regular data quality assessments and verification, and to Throughout the life of the program, key respond to emerging issues related to the achievements from implementing program execution of the MEL plan including learning activities have had many benefits, and can be components. Data managed through the divided into four discrete levels: Regional, MEL system includes quantitative and Country, Organizational, and Individual, as qualitative data used to inform program summarized below.
Regional Level Country Level
• Under the ASEAN Plan of Action for • 16 measures (policies/guidelines/standards) Energy Cooperation 2016-2025, RE were proposed and/or adopted and/or target was improved by increasing RE implemented to increase development of power capacity contribution to target grid-connected renewable energy in Thailand from 30% to 35% by 2025. (2 measures), Vietnam* (2 measures), • Over 93 million tons of carbon dioxide Philippines (1 measure), and Laos (12 measures). are estimated to be avoided for the next • Under Thailand’s PDP, the wind target was 15 years. improved by foreseeing the procurement • Through knowledge sharing among of 90 MW each year between 2022 and regional actors, over 5,000 subscribers 2024, for a cumulative amount of 270 MW, have received RE knowledge/information whereas the previous PDP did not foresee through over 50 electronic outreach/ any new wind procurement before 2034. communication products such as the monthly e-newsletter. * USAID Clean Power Asia collaborated with USAID V-LEEP and thus shared both policies equally for a total of 1 policy.
Organizational Level Individual Level
• More than USD $7 billion was invested in • Over 30 regional and local training/ building rooftop solar systems in Thailand workshops were conducted. Nearly (0.8%) and Philippines (0.5%), and rooftop 1,000 participants including policymakers, solar and wind systems in Vietnam (98.7%). government officials, private companies, • Nearly 10,000 megawatts of renewable and utilities from Vietnam, Laos, Thailand, energy capacity achieved financial Philippines, and other countries were trained. closure and completed installation. In addition, the majority of participants • Networking among program stakeholders reported increased knowledge and skills. was increased. • Over 3,000 downloads of financial tools and guidelines.
FINAL REPORT 2016 - 2021 111 Specifically concerning life of project achievements, the targets for all key program indicators (9 indicators) were successfully met while two non-key indicators were accomplished to a degree as described in the table.
Indicators Target Actual % achievement
Number of laws, policies, regulations, or standards addressing clean energy formally 15 16 106.67% 1 proposed, adopted, or implemented as supported by USG assistance (EG.12-3)
Amount of investment mobilized (in 2 mUSD) for clean energy as supported by 677.82 6,688.21 986.72% USG assistance (EG.12-4)
Clean energy generation capacity (in MW) 3 supported by USG assistance that has 824 9,125 1,107.42% achieved financial closure (EG.12-5)
Greenhouse gas (GHG) emissions, 4 estimated in metric tons of CO2 4 equivalent, reduced, sequestered, or 843,100 3,094,754.27 367.07% avoided through clean energy activities supported by USG assistance (EG.12-6)
Projected GHG emissions reduced or avoided through 2030 from adopted 5 laws, policies, regulations, or technologies 29,100,000 93,134,014.89 320.05% related to clean energy as supported by USG assistance (EG.12-7)
Number of renewable energy zones (REZ) 6 designated and/or under development 3 2 66.67% (Custom)
Number of grid-connected renewable 7 energy targets established and/or 7 2 28.57% Monitoring, Evaluation and Learning Monitoring, improved (Custom)
Clean energy generation capacity (in MW) 8 that has achieved commercial operation as 492 9,038.05 1,837.00% supported by USG assistance (Custom)
Number of people trained in clean energy 9 topics supported by USG assistance 500 880 176.00% (EG.12-1)
Amount of investment mobilized (in 11 mUSD) for climate change adaptation as 112.18 1,245.94 1,110.66% supported by USG assistance (EG.11-4)
Number of people using climate change information or implementing risk- 12 reduction actions to improve resilience 12 12 100% to climate change as supported by USG assistance (EG.11-6)
112 USAID CLEAN POWER ASIA As seen in the table, due to unexpectedly the impact of COVID-19, the program high numbers of MW from rooftop solar would have been able to determine the systems that achieved financial closure, RE targets for each participating country which consist of contributions made by in line with the ASEAN target before the DPV policy implementation in Vietnam end of the program, and the increased (Decision 13), the amount of MW RE targets of each country would have achieving financial closure (indicator 3) been reported under Indicator 7. Another was higher than the target. The high MW non-key indicator that performed achievement in Vietnam was unplanned slightly lower than the target is the and is a unique scenario which is not number of REZs designated or under likely to occur in other countries. In development (Indicator 6). During the addition, the high deployment of MW in program timeframe, out of 21 zones in Vietnam also impacted the higher results Laos, 7 zones were chosen to go through of other associated indicators including the screening process, using the LEAP amount of investment (indicators 2 and model study. However, only 2 zones were 11) and amount of actual GHG reductions designated as renewable energy zones, (indicator 4). Another indicator that Savannakhet and Khammouan, and are achieved results higher than the target expected to generate electricity to supply is projected GHG emissions reduced or the domestic electricity system and avoided for 15 years (Indicator 5). These export power to Vietnam by 2040. For higher results were mostly attributable the other 5 zones, the study identified to Laos where 5,445 MW identified challenges and therefore, these other 5 under the signed MOU between the zones will be further considered by the GOL and solar project developers Laos government after the end of the was used to calculate projected GHG program. reductions. For numbers of people trained (indicator 9), the primary reason for the overachievement is that the original number of people trained was planned based on in-person training and workshops. However, due to the COVID-19 pandemic which shifted many trainings/workshops to online platforms, USAID Clean Power Asia was able to reach a wider training audience through Quantitative and these virtual engagements. qualitative data The COVID-19 pandemic posed certain challenges that affected the program’s managed through ability to achieve the target for non-key Indicator 7 (number of grid-connected RE MEL system informed targets established and/or improved). As in-person meetings and workshops were program achievements restricted, virtual platforms prolonged and complicated the process of agreeing and improved on ASEAN targets. The overall ASEAN target was increased just before the program activities.” end of the program, but the process of translating the ASEAN target into specific RE targets for each participating country could not be conducted. Absent
FINAL REPORT 2016 - 2021 113 ANNEXES
SUCCESS STORIES
ACRONYMS
114 USAID CLEAN POWER ASIA FINAL REPORT 2016 - 2021 115 SUCCESS STORIES
116 USAID CLEAN POWER ASIA Photo credit: https://pxhere.com/en/photo/1028805 Up on the Rooftop: Thailand Lifts Solar Power Prospects to New Heights
In recent years, many consumers across Asia have watched in disbelief as their energy costs have soared through the roof. But homeowners in Thailand, with some support from USAID, have a new vantage point – on the roof, where installed solar panels can help bring energy costs down, way down. Annexes
Photo Credit: Richard Nyberg/USAID Regional Development Mission for Asia
Consumers in Thailand will soon be able to install rooftop solar panels and sell excess energy back to the grid. According to Ms. Thanyalak Meesap of the Department of Alternative Energy Development and Efficiency, “Understanding the utility revenue and rate impacts was a critical step in getting past barriers to a policy to promote greater investment in rooftop PV.”
118 USAID CLEAN POWER ASIA Success Stories 119 FINAL REPORT 2016 - 2021 FINAL REPORT In September 2017, the Thai EnergyThai the 2017, In September support additional Minister announced for to meet in order investment solar rooftop of 20 percent to have goal Thailand’s electricity come from the country’s Rooftop energy 2036. by renewable their to reduce owners solar will allow their for power produce electricity bills, back power and sell excess consumption, to the grid. Meesap Thanyalak to Ms. According Alternative of the Department of and Efficiency, Energy Development and “Understanding the utility revenue rate impacts was a critical step in getting promote to a policy to past barriers as well PV, in rooftop investment greater to recommendations as finalizing policy The official solar the decisionmakers.” policy is expected to be launched rooftop with the Office of the in October 2017, Energy Regulatory Commission regulating installations the licensing of solar rooftop to sell to the grid. wish whose owners Asia is sharing USAID Clean Power DPV Thailand’s lessons learned from Mekong the Lower experience across Association of Southeast and with Asian Nations (ASEAN) member states. in March Beginning with a solar workshop to of barriers in the removal that resulted Thai DPV self-consumption in Cambodia, their then shared and developers bankers in experiences with DPV at a workshop in solar investment August to broker late net metering new Vietnam’s energy under policy. Thailand steps up its solar energy So as consumers in neighboring policymaking, to countries will be watching carefully can aim high to lower they learn how their costs. There are challenges to this approach, and approach, challenges to this are There has seen the light. not everyone so far, in dramatically dropped Solar costs have countries to many prompting years, recent However, capabilities. expand their solar solar that rooftop concerned utilities are customers as more will slash profits electricity. own their produce Agency for Enter the United States Clean International Development Asia) Clean Power Asia (USAID Power EnergyRenewable the National program, and Chulalongkorn Laboratory (NREL), Institute Energy Research University’s They (ERI). collaborated Thailand with to tackle these financial concerns and solar regulatory Thailand’s help advance USAID 2017, throughout At forums policy. and ERI met NREL, Asia, Clean Power including the Thai distribution utilities, Authority and the Electricity Metropolitan to address Authority, Electricity Provincial their concerns. with USAID Clean NREL and ERI worked an economic analysis Asia on Power distributed of increased of the effects (DPV) penetration in the photovoltaics that higher proved The results country. no impact have would penetration levels impact and a limited on utility revenue due to the existing regulatory on rates, greater suited for that is well structure in DPV. investment participation Asia’s USAID Clean Power to the process brought in this analysis helping spur action by a tipping point, this will lead to In time, policymakers. in solar energy. investment greater Lowering Electricity Costs and Saving the Planet: How the Sun is Working for Big C
Nearly four years have passed since Thailand’s retail giant Big C Supercenter and the United States Agency for International Development (USAID) became partners. Big C’s stores across Thailand are cost efficient and profit generating, and with an average store size of 12,000 m2, electricity is the second-greatest expense. But Big C’s carbon footprint was at odds with a desire to be an industry leader in Annexes corporate social responsibility, and to reduce greenhouse gas emissions from fossil fuels that power operations across the region.
Photo Credit: Richard Nyberg/USAID Regional Development Mission for Asia
“USAID, through PFAN and USAID Clean Power Asia, provided invaluable assistance to us when we started the project, which enabled us to make a well-reviewed decision to install rooftop solar on 33 of our stores,”
said Mrs. Vipada Duangratana, Deputy CEO and Executive Director of Big C.
120 USAID CLEAN POWER ASIA Big C had long considered renewable Duangratana, Deputy CEO and Executive energy sources to lower electricity Director of Big C. “While we excel at costs while making its business more providing consumers with high quality, environmentally friendly. However, in fairly priced goods, and we understand the rapidly-evolving clean energy sector, our business and supply chain better than reliable information can be hard to anyone, the teams from USAID know come by. A major move to incorporate the renewable energy market, the players renewable energy into operations requires across the region, and the most suitable due diligence, complex financial modeling, project model that maximizes profit and analyzing projected impacts on a wide while reducing negative impacts on the range of business functions. environment.”
In 2015, the USAID Private Financing Big C subsequently contracted Impact Advisory Network Asia (PFAN-Asia) Solar to install and operate rooftop solar program engaged with Big C to support systems across 33 stores in Thailand. the pilot installation of a solar PV system This first-of-its-kind deal for a major Thai on the roof of one of its stores. USAID retailer was valued at 1 billion THB ($31 PFAN-Asia provided technical assistance million) and has a total installed capacity at a pivotal moment for Big C and, of 27 MW. The first store to come online acting as an independent advisor, USAID is in Pathum Thani, just outside Bangkok, experts assisted in preparing a terms of where in early September, staff from reference, evaluating bidders’ proposals, USAID’s Regional Development Mission and creating a financial model, all of which to Asia and USAID Clean Power Asia gave the management team at Big C the joined Mrs. Vipada Duangratana of Big C Success Stories information they needed to develop a and representatives from Impact Solar at a business model for the pilot rooftop ribbon-cutting ceremony. installation. The rooftop system at Pathum Thani has A year later, as USAID PFAN-Asia an installed capacity of just under 1 MW, wrapped up operations, USAID Clean and in its first month of operation, the Power Asia stepped in to ensure system supplied 20 percent of the store’s continued momentum for solar rooftop. electricity consumption, representing cost As USAID’s flagship renewable energy savings of nearly 5 percent, in line with program for the region, USAID Clean estimates. Power Asia worked with Big C executives to validate key terms in the private USAID engages with companies power purchase agreement and lent committed to reducing their carbon their expertise to create a negotiating footprint while lowering electricity costs strategy. USAID Clean Power Asia staff and realizing greater profits. A long-time developed a business model that focused leader in the retail business in Thailand, on aggregation of electricity demand for Big C is now ahead on the environmental Big C stores, and with so many outlets as front and, with technical assistance from potential future solar rooftop sites, Big C two USAID programs, will soon have the sought out favorable pricing. largest combined solar rooftop system in Thailand generating much of their power “USAID, through PFAN and USAID needs. Big C benefits economically from Clean Power Asia, provided invaluable employing renewable power sources, and assistance to us when we started the Thailand and the world win through the project, which enabled us to make a well- reduction of greenhouse gas emissions reviewed decision to install rooftop solar estimated at 390,000 tons of carbon on 33 of our stores,” said Mrs. Vipada dioxide equivalent over 20 years.
FINAL REPORT 2016 - 2021 121 Unleashing the Power of Women in Energy: A B.Grimm Power Success
Mrs. Preeyanart Soontornwata is the Chief Executive Officer (CEO) of B.Grimm Power, one of the leading independent power producers in Thailand. She took the job just before the Asian financial crisis of 1997 when the company focused mainly on manufacturing and construction, and was not yet a big player in power generation. In the midst of crisis, she helped navigate the firm toward new Annexes opportunities with the construction of their first power plant in 1998. Since then, and under her leadership, B.Grimm Power has grown significantly.
Photo Credit: USAID Regional Development Mission for Asia
B.Grimm Power is a key partner helping to achieve USAID’s mission in Asia. At USAID, we recognize that development outcomes are strengthened when women bring their unique knowledge and capacity to the table. Inclusion across the entire power sector—from producing and distributing household energy to leading the clean energy transformation—is key to a sustainable and innovative industry.
122 USAID CLEAN POWER ASIA Success Stories 123 www.usaid.gov/ FINAL REPORT 2016 - 2021 FINAL REPORT satisfaction, she says her success as a woman her success as a woman she says satisfaction, in the energy echelons of power in the upper One achievement. greatest industryis her life’s is being she says, partsof the best of her job, she with whom women the model for a role works. in a background have And while she doesn’t in business her degrees science or engineering, her to a position propelled and finance have male-dominated in a traditionally of power of background this diversity She says field. other women for has helped her advocate model, “I can be a role in the energy sector. “I have she said. because I’m not an engineer,” [my] not only but it’s a finance background, To that matters.” educational background must “You she explained, career, in your grow learn, listen, knowledge, seek new continuously maintain a and always build coalitions and trust, myself for credit seek I never attitude. positive belongs to our all credit recognize and always talented team.” and other women Preeyanart Thanks to Mrs. B.Grimm leaders in the energy sector, for to set the standard continues Power in Southeast production independent power a corporate leader for and will remain Asia, the region across empowerment women’s to that continues “Asia is a region and sector. many are that there “I know she said. grow,” in clean energy opportunities to invest more generation using natural gas and advanced energy technologies” renewable Asia in Southeast energy sector work USAID’s Asia Enhancing Government’s is part of the U.S. Energy through and Growth Development a whole-of-government (Asia EDGE) initiative, effort to support sustainable and secure and level the region across energy markets Asia for private sector firms. field the playing and a free for vision EDGE furthers the U.S. and stability, peace, open Indo-Pacific to ensure USAID Asia EDGE, Under prosperity. growing helping its Indo-Pacific a leading role plays promote partners expand energy access, and strengthen and trade, energy diversification at Learn more energy security. energy/asia-edge Mrs. Preeyanart is an example of how savvy savvy of how is an example Preeyanart Mrs. in and grow companies to succeed CEOs guide her Currently, energy sector. competitive Asia’s plants generating manages 45 power company and of power, (MW) 3,000 megawatts nearly to at least to grow expects these numbers “We 2025. 3,245 MW by 56 plants generating “Women she explained. everyone,” welcome in doing the kind interested more now are going and fieldwork of business that requires engineers and female several have We onsite. do anything.” can they partner helping to is a key B.Grimm Power At USAID, Asia. mission in USAID’s achieve outcomes are that development recognize we bring their unique women when strengthened Inclusion to the table. and capacity knowledge producing sector—from the power across and distributing household energy to leading to a the clean energy key transformation—is industry. sustainable and innovative women to empower USAID works That is why and the companies they Preeyanart Mrs. like the with support from Earlier this year, lead. B.Grimm Asia program, USAID Clean Power in launched a 257 MW solar project Power energy market Because the renewable Vietnam. local developers new, Vietnam is relatively in often lack the financial experience and to implement large-scale projects. knowledge a explored USAID that hurdle, address To of financing options and identified number to support project a financing structure and B.Grimm Power between development Yen in Phu TTVN Group their local partner 2019, closed in June The project Province. Best Solar the year’s earning B.Grimm Power award. Developer Plant Project Power isn’t energy work renewable B.Grimm Power’s or utility-scale projects. limited to solar power small on two working are they In Lao PDR, plants, hydro-electric environmentally-friendly they Thailand, and in both less than 25 MW, solar systems, smaller rooftop deploying are ICONSIAM shopping including at the new River. Chao Praya center along Bangkok’s talks about her Preeyanart When Mrs. her accomplishments and what gives Paving the Way to a Brighter Future: Laos’ First Solar Energy Auction
Recognizing declining reserves of non- renewable energy and the growing importance of clean energy, Laos has made significant strides in hydropower, helping transition away from dirty coal power plants. Still, hydro dams are drought-vulnerable and may cause negative impacts on vulnerable populations and the environment. Fully taking advantage of ample renewable energy resources requires solar power, offering lower emissions; energy security
Annexes and independence through reduced energy imports; and less reliance on polluting power sources. Solar power also provides the flexibility and Photo Credit: Pitoon Junthip, Abt Associates/USAID Clean Power Asia reliability for Laos to start exporting energy to neighboring countries.
“Thanks to USAID for supporting the first solar auction in Laos from the beginning of auction design to implementation. This solar auction in Laos will improve fair and transparent power project procurement, obtain the most competitive tariff, and reduce project approval time.”
Boualom Saysanavong Head of the Solar, Wind and Biomass Power Generation Promotion Division Institute of Renewable Energy Promotion
124 USAID CLEAN POWER ASIA But planning for solar power generation is of 45 megawatts. These site visits yielded the no easy task, and Laos has traditionally built necessary preliminary results for the Working plants through a non-competitive approach Committee to move towards land acquisition with energy providers directly proposing and clearance and marked the first steps in the projects. This has helped address some energy implementation phase and finalization of the demand but provides the government with auction announcement package. less control over power planning. Laos’ 2011 Renewable Energy Development Strategy lays With the auction announcement expected out ambitions to make non-hydro renewable in mid-2021, USAID Clean Power Asia will resources one-third of total energy demand by continue to support the Government of Laos 2025, but recent years have been challenging through the current phase, specifically with for renewable energy in Laos. An ill-designed bid evaluation criteria, key to selecting solar subsidy scheme made solar and wind expensive, providers. Competitive solar power auctions and the energy procurement process was will bolster local industry competition and uncompetitive, lacked transparency, and strengthen the economy, indigenous innovation, was prone to corruption, resulting in a dry and locally-sustained renewable energy sources, landscape for private investment and missing while the construction of solar plants will bring opportunities to create a thriving market. additional clean energy production capacity and open the door for more renewable energy to To overcome these challenges, USAID be competitively procured. Clean Power Asia has worked with the Government of Laos since 2017 to embrace Mr. Boualom Saysanavong, Head of the Solar, open, transparent, and best-value energy Wind and Biomass Power Generation procurement practices through the country’s Promotion Division at the Institute of Success Stories first-ever solar auction. With support from Renewable Energy Promotion, said, “Thanks to USAID Laos and the U.S. Embassy Laos, USAID for supporting the first solar auction in responsibility for the solar auction resides Laos from auction design to implementation. with the Institute of Renewable Energy Major achievements and milestones for our Promotion and a Working Committee from solar auction so far are the completion of all various ministries and departments, with the required documents and auction site selections. crucial duty of overseeing auction design This solar auction in Laos will improve fair and and implementation. Drawing from in-depth transparent power project procurement, obtain knowledge and experience in renewable energy the most competitive tariff, and reduce project auctions in the region and with expertise from approval time.” Guidehouse, USAID provided the committee with the essential tools, models, and insights, This first solar auction in Laos will expand and working in collaboration with partners access to affordable and reliable energy and Global Green Growth Institute and Hawaii create an open, efficient, rule-based, and Natural Energy Institute, drafted an auction transparent energy market. Increased power announcement package, the main reference procurement through competitive bidding puts point for potential auction bidders, including the Government of Laos in the driver’s seat key documents such as technical standards, grid for power generation planning, and on the road connection requirements, and a reference price. to a more comprehensive renewable energy policy environment. The auction will offset Despite the COVID-19 pandemic, USAID pollution and carbon emissions that impact on-the-ground staff and government health and welfare in cities and communities; stakeholders conducted an auction site will create green jobs and market competition selection process with survey visits to with opportunities for U.S. companies; and Khammouane and Savannakhet provinces. will help spur the continued scaling-up of The provincial authorities agreed on five renewable energy throughout Southeast Asia sites with a total potential auction capacity and the Indo-Pacific.
FINAL REPORT 2016 - 2021 125 ACRONYMS
126 USAID CLEAN POWER ASIA A C
ACE CA ASEAN Centre for Energy Concession Agreement
ACEF CEIA Asia Clean Energy Forum Clean Energy Investment Accelerator
ADB CEADIR Asian Development Bank Climate Economic Analysis for Development, Investment, and Resilience AEDP Alternative Energy Development Plan CO2 Carbon dioxide AEO6 6th ASEAN Energy Outlook COP Chief of Party AIMS ASEAN Interconnection Master Plan Study C&I Commercial and industrial APAEC ASEAN Plan of Action for Energy Cooperation
APG D Acronyms ASEAN Power Grid
API DC Application programming interface Department Circular
ASEAN DCOP Association of Southeast Asian Nations Deputy Chief of Party
Asia EDGE DEDE Asia Enhancing Development and Growth Department of Alternative Energy Development through Energy and Efficiency (Thailand)
DEPP Department of Energy Policy and Planning (Laos) B DER Distributed energy resources BESS Battery energy storage system DPV Distributed photovoltaics BIDV Bank for Investment and Development of Vietnam DU Distribution utilities BTM Behind-the-meter DWG Demand Working Group (Laos)
FINAL REPORT 2016 - 2021 127 E G
E3 GE MAPS USAID’s Bureau for Economic Growth, Education, GE Multi Area Production Simulation Software and Environment GGGI EDL Global Green Growth Institute Électricité du Laos GHG EDL-Gen Greenhouse gas EDL-Generation Public Company GIS EPC Geographic information system Engineering, procurement, and construction GIZ EPPO Deutsche Gesellschaft für Internationale Energy Policy and Planning Office (Thailand) Zusammenarbeit
ERC GOL Energy Regulatory Commission (Philippines) Government of Laos
EREA GW Electricity and Renewable Energy Agency (Vietnam) Gigawatt
ERI GWEC Energy Research Institute Global Wind Energy Council Annexes
ESIA Environmental and Social Impact Assessment H ESS Energy storage systems HAPUA EV Heads of ASEAN Power Utilities/Authorities Electric vehicle HNEI EVN Hawai’i Natural Energy Institute Vietnam Electricity HOA Head of Agreement
F
FIT Feed-in tariff
128 USAID CLEAN POWER ASIA I M
IEA MEL International Energy Agency Monitoring, Evaluation, and Learning
IREP MEM Institute of Renewable Energy Promotion (Laos) Ministry of Energy and Mines (Laos)
IRRP MOIT Integrated Resource and Resilience Planning Ministry of Industry and Trade (Vietnam)
IRP MOE Integrated Resource Planning Ministry of Energy (Thailand)
MPI Ministry of Planning and Investment (Laos) J MW Megawatt JICA Japan International Cooperation Agency MWG Modeling Working Group
MWh Acronyms K Megawatt hour kW Kilowatt N kWh Kilowatt hour NEMO Next Energy Modeling System for Optimization
NDA L Non-disclosure agreement NREL LBNL National Renewable Energy Laboratory Lawrence Berkeley National Laboratory
LCOE Levelized cost of electricity O LEPTS Lao Electric Power Technical Standards OERC Office of Energy Regulatory Commission LM (Thailand) Lower Mekong
FINAL REPORT 2016 - 2021 129 P SHB Saigon-Hanoi Commercial Joint Stock Bank
PDA SURE Project development agreement Scaling Up Renewable Energy
PDOE SWG Philippines’ Department of Energy Supply Working Group (Laos)
PDP Power development plan T PFAN Private Financing Advisory Network TAC PPA Technical Advisory Committee Power purchase agreement ThaiWEA PV Thai Wind Energy Association Photovoltaics THB Thai Baht
R TRG Technical Review Groupv
RDMA TTVN Annexes USAID’s Regional Development Mission for Asia Truong Thanh Viet Nam Group
RE Renewable energy U RE-SSN Renewable Energy Subsector Network USAID REZ United States Agency for International Renewable energy zone Development
USEA United States Energy Association S U.S. United States SA Study Areas USD United States Dollar SE Southeast USG United States Government SEI Stockholm Environment Institute
130 USAID CLEAN POWER ASIA V
V-LEEP USAID Vietnam Low Emissions Energy Program
VA Vulnerability Assessment
VRE Variable Renewable Energy
W
WC Working Committee (Laos)
WRI World Resources Institute Acronyms
FINAL REPORT 2016 - 2021 131 CONTACT
USAID Regional Development Mission for Asia Athenee Tower, 25th Floor 63 Wireless Road Patumwan, Bangkok 10330 Email: [email protected] www.usaid.gov/asia-regional