Enhancing Sierra Leone Energy Access Project Additional Financing

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The proposed AF will support the national electric distribution utility, Electricity Distribution and Supply Authority (EDSA), in mitigating the adverse economic effects of war in Ukraine to its operations. The AF of US$13 million equivalent will finance a new component, namely Emergency Support to the Electricity Sector, to improve EDSA’s operations and ensure the continuity of service following the increase of energy costs since start of the conflict in Ukraine. This component will (i) finance urgent investments to maintain EDSA’s distribution operations and improving the utility’s commercial performance; ; and (ii) finance urgently needed technical assistance (TA) to support corporate governance improvement in EDSA, including transaction advisory services for private sector partnerships . This proposed AF in conjunction with the recently approved Regional Emergency Solar Power Intervention Project (RESPITE, P179267) and two ongoing World Bank projects - Cote d'Ivoire, Liberia, Sierra Leone-Guinea Regional Interconnection Project (CLSG, P113266) and Energy Sector Utility Reform Project (ESURP, P120304) - are a critical component of the medium-term strategy currently being implemented in the sector. The strategy will i) create a cleaner fuel mix for the country by displacing liquid fuel run generation with cleaner sources, ii) help improve the operational performance of EDSA by reducing technical and commercial losses, and iii) improve the financial performance of the utility by enhancing revenue mobilization and collections.