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Final Report Framework Contracts beneficiaries 2009 – Lot 4 Contract 2012/284032 Evaluation of EU energy funding in Liberia and recommendations Final Report August 3rd, 2012 This project is funded by the European Union A project Implemented by MWH The content of this report is the sole responsibility of MWH and can in no ways be taken to reflect the views of the European Union. This report is prepared solely for the use and benefit of the Contracting Authority. It is the result of an independent review, and neither MWH, nor the authors accept or assume any responsibility or duty of care to any third party NAME Final report rd VERSION This version submitted on August 3 includes comments and clarifications further to the presentation of results held on July 24th 2012 in Monrovia th VERSION HISTORY - June 6 : Substantive Draft Report - May 11th 2012 : Preliminary Draft report PREPARED BY : Roger Gaillard Laurence Wilhelm FINAL REVIEW : Laurent De Block 03.08.2012 ii Contract 2012/284032 Table of Contents 1 EXECUTIVE SUMMARY ......................................................................................................... 12 2 CONTEXT OF THIS REPORT ................................................................................................... 20 3 INTRODUCTION AND BACKGROUND INFORMATION.................................................................. 21 4 BRIEF COUNTRY CONTEXT .................................................................................................. 23 5 SECTOR CONTEXT .............................................................................................................. 24 5.1 Assessment of the sector policy ................................................................................................ 24 5.2 Electricity Sector Context .......................................................................................................... 24 6 LIBERIA ELECTRICITY CORPORATION (LEC) ......................................................................... 26 6.1 Organization .............................................................................................................................. 26 6.2 Corporate assets ....................................................................................................................... 27 6.3 Tariffs ......................................................................................................................................... 27 6.4 Customers connections and types ............................................................................................ 30 6.5 Applied tariffs (as of May 2012) ................................................................................................. 35 7 INITIAL APPROACH AND OBJECTIVES OF THE EU INTERVENTIONS ........................................... 36 8 PURPOSE AND SCOPE OF THE EVALUATION MISSION ............................................................. 38 9 EVALUATION ....................................................................................................................... 42 9.1 Projects selected for the evaluation .......................................................................................... 42 9.1.1 Implementation of the Monrovia Grid Rehabilitation Project ......................................................................... 44 9.1.2 Status of the Monrovia Grid Rehabilitation Project to date ........................................................................... 45 9.2 Approach for data collection ...................................................................................................... 50 9.3 Limitations .................................................................................................................................. 50 9.4 Follow-up of the end-users survey ............................................................................................ 52 9.4.1 Results and findings of the Household End User survey .............................................................................. 52 9.4.2 Results and findings of the Enterprise End User survey ............................................................................... 62 9.4.3 Conclusions ................................................................................................................................................... 65 9.5 Evaluation Criterions ................................................................................................................. 66 9.5.1 Past evaluations ............................................................................................................................................ 66 9.5.2 Relevance of the EU interventions ................................................................................................................ 67 9.5.3 Efficiency ....................................................................................................................................................... 72 9.5.4 Implementation effectiveness ........................................................................................................................ 75 9.5.5 Impacts .......................................................................................................................................................... 77 9.5.6 Sustainability ................................................................................................................................................. 78 9.6 Conclusions to the evaluation.................................................................................................... 79 10 RECOMMENDATIONS ........................................................................................................... 85 10.1 Approach to Recommendations ................................................................................................ 85 Final Report – August 2012 3 10.2 Current situation of the Electricity Sector .................................................................................. 85 10.2.1 Other Donors interventions and programmes ............................................................................................... 85 10.2.2 Synthesis of donors interventions in the electricity sector ............................................................................. 92 10.2.3 Demand projections ...................................................................................................................................... 94 10.3 Options for future power generation .......................................................................................... 98 10.4 The hydropower potential in Liberia .......................................................................................... 98 10.4.1 General ......................................................................................................................................................... 98 10.4.2 The Mont Coffee project ................................................................................................................................ 98 10.4.3 The Via and St Paul Rivers possible projects ............................................................................................. 100 10.4.4 The Via Reservoir project ............................................................................................................................ 102 10.5 Final recommendations ........................................................................................................... 103 10.5.1 Orientation of EU future interventions ......................................................................................................... 104 10.5.2 Pro-poor approach ...................................................................................................................................... 106 10.5.3 The way forward .......................................................................................................................................... 106 10.5.4 Actions for supporting the Via Reservoir project development ................................................................... 107 10.5.4.1 Sequence of future actions .................................................................................................................... 107 10.5.4.2 Funding arrangements ........................................................................................................................... 108 10.5.4.3 Terms of Reference for Pre-studies and Studies ................................................................................... 108 A. Reconnaissance Study ............................................................................................................................... 108 B. Detailed Feasibility Study of the Via Reservoir Project ............................................................................... 111 11 COMMENTS AND CLARIFICATIONS FURTHER TO THE PRESENTATION OF THE REPORT ON JULY TH 24 2012 ......................................................................................................................... 117 12 ANNEXES.......................................................................................................................... 119 12.1 List of persons met during the evaluation ................................................................................ 119 12.2 List of consulted documents and bibliography .......................................................................
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