The World Bank Report No: ISR10783 Implementation Status & Results Paraguay PY Energy Sector Strengthening Project (P114971) Public Disclosure Copy Operation Name: PY Energy Sector Strengthening Project (P114971) Project Stage: Implementation Seq.No: 6 Status: ARCHIVED Archive Date: 03-Dec-2013 Country: Paraguay Approval FY: 2011 Product Line: IBRD/IDA Region: LATIN AMERICA AND CARIBBEAN Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 30-Nov-2010 Original Closing Date 31-Dec-2015 Planned Mid Term Review Date 09-Dec-2013 Last Archived ISR Date 14-Apr-2013 Effectiveness Date 09-Feb-2012 Revised Closing Date 31-Dec-2015 Actual Mid Term Review Date Project Development Objectives Project Development Objective (from Project Appraisal Document) The overarching objective of the proposed Project is to increase the availability, quality and reliability of power supply in Paraguay, thereby fostering economic growth and improving the country#s competitiveness. The specific Project Development Objectives are to increase electricity supply to the country in a cost effective and environmentally sound manner, to reduce transmission and distribution losses as well as service interruptions, and to strengthen capacity in energy policy, strategy formulation, in planning and implementation monitoring. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Component 1 - Modernizing ANDE's Distribution Management System and Installing an Advanced 20.00 Metering System for Large Customers Component 2 - Improving the Performance of the Transmission Network 96.25 Public Disclosure Copy Component 3 - Strengthening Paraguay's electricity Sector and the Borrower's Institutional Capacity 3.50 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Unsatisfactory Overall Risk Rating Moderate Moderate Implementation Status Overview Page 1 of 6 The World Bank Report No: ISR10783 The loan was approved by the Bank in November 2010, but it only became effective on February 9, 2012 owing to official domestic procedures. Despite this initial 15-month delay the project is gradually progressing towards meeting its Project Development Objectives. One of seven bidding processes was under evaluation during October 2013 and contract award is expected in November 2013. Four additional bidding processes are in their final phases of preparations, of which three sets of Bid Documents were sent for Bank’s review in October 2013. Despite this progress, implementation continues to be slower than anticipated and implementation may extend beyond the current project closing date. Public Disclosure Copy A project mid-term review (MTR) is planned for November, 2013, during which representatives of the Bank and the borrower will reassess the project's original development objectives, their relevance in light of new circumstances, and the likelihood of achieving them. This MTR can provide the opportunity either to propose or to undertake a project restructuring. Locations Country First Administrative Division Location Planned Actual Paraguay Not Entered Departamento de San Pedro Paraguay Not Entered Departamento del Alto Paraná Results Project Development Objective Indicators Public Disclosure Copy Page 2 of 6 The World Bank Report No: ISR10783 Indicator Name Core Unit of Measure Baseline Current End Target Total distribution losses Percentage Value 23.00 29.30 20.50 Date 30-Nov-2010 31-May-2013 31-Dec-2015 Public Disclosure Copy Comments Technical losses mainly. Up to date distribution losses values have not been provided at the time of writing this ISR. However, the physical works that willbring results have not yet started. This indicator may need revising as there is no clarity on the following: a) What are the measurable technical losses; b) Reduction of the entire distribution system technical losses cannot be solely attributed to the investments under this project. A more meaningful indicator may be added to replace this one. The team has recommended restructuring of the loan to include this change. Discussion on restructuring the loan took place in the October mission. At the time of the MTR we will emphasize the need for restructuring. Reduction in Service Interruption Text Value 36.3 29 Date 25-Jun-2013 31-Dec-2015 Public Disclosure Copy Comments The unit of measure is hours/ Up to date Service year of service interruption. Interruption values have not been provided at the time of writing this ISR. The physical works that will bring results have not yet started. As with the previous indicator, this indicator may need revising as there is no clarity on the following: Page 3 of 6 The World Bank Report No: ISR10783 a) What are the measurable Service Interruptions (there may be service interruptions outside the area of influence Public Disclosure Copy of these investments); b) Reduction of the entire country's Service Interruptions might be solely attributed to the investments under this project. A more meaningful indicator may be added to replace this one. The team has recommended restructuring of the loan to include this change. Discussion on restructuring the loan took place in the October mission. At the time of the MTR we will emphasize the need for restructuring. Increased energy supplied in the Transmission Text Value 0 977 Network Date 25-Jun-2013 31-Dec-2015 Comments The unit of measure is GWh. Up to date energy supplied values have not been provided at the time of writing this ISR. The physical works that will bring results have not yet started. As with the previous indicator, this indicator may need revising as there is no clarity on the following: Public Disclosure Copy a)How the investment under this loan will increase energy supplied. Supplied energy can only be bolster through an increase on generation; A more meaningful indicator may be added to replace this one. The team has recommended restructuring of Page 4 of 6 The World Bank Report No: ISR10783 the loan to include this change. Discussion on restructuring the loan took place in the October mission. Public Disclosure Copy At the time of the MTR we will emphasize the needfor restructuring. Increased quality of service (improved voltage Text Value 90 days 30 days profile) Date 30-Nov-2010 25-Jun-2013 31-Dec-2015 Comments The unit of measure is the The physical works that will number of days with defective show results have not yet voltage profile. started. Direct project beneficiaries Number Value 1.19 1.32 Date 30-Nov-2010 25-Jun-2013 Comments The unit of measure is The physical works that will thousand of customers. show results have not yet started. Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Increased reactive compensation capacity Text Value 0 -120/+300 Date 31-Oct-2013 31-Dec-2015 Comments The unit of measure is MVAr The physical works that will cumulative. bring results have not yet started. Increased installed transformation capacity Megawatt Value 0.00 0.00 426.00 Sub Type Supplemental Public Disclosure Copy Data on Financial Performance (as of 19-Jun-2013) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P114971 IBRD-79940 Effective 30-Nov-2010 23-Feb-2011 09-Feb-2012 31-Dec-2015 31-Dec-2015 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P114971 IBRD-79940 Effective USD 100.00 100.00 0.00 0.38 99.62 0.00 Page 5 of 6 The World Bank Report No: ISR10783 Disbursement Graph Public Disclosure Copy Key Decisions Regarding Implementation N/A Restructuring History There has been no restructuring to date. Related Projects There are no related projects. Public Disclosure Copy Page 6 of 6