National Energy Access Program (NEP2)

dropped

Failure

The proposed Program will be in the form of Multiphase Programmatic Approach (MPA) for 10 years and it is expected to result innear universal electricity access for households, public institutions and enterprises and increased access to modern cookingsolutions. The Program will build on NEP’s achievements, support the ongoing implementation of the National Electrification Planand incorporate modern clean cooking solutions. The Program will support the implementation of the National Electrification Plan ofMyanmar to provide universal access to electricity by 2030, and build on the work under the ongoing NEP project. Theelectrification plan is envisaged to continue sustainably roll out nationwide, while additional focus is envisaged for inclusionaspects will be considered to address the inequality gap in Myanmar across regions, urban/rural, ethnicity, gender, and incomelevel lines.Phase I of the MPA will continue to: (i) develop an enabling policy and regulatory framework for energy access (LVfinance, Mini-grid regulations, modern clean cooking strategy), (ii) expand MV and LV investment and scale-up public andprivate-sector led off-grid business models based on the updated least-cost electrification plan, (iii) test scalable businessmodels for modern clean cooking, (iv) pilot sustainable business models that address social inclusion and enhance impact (eg. solarwater pumping and productive use of electricity), and (v) ensure capacity building and technical assistance to stakeholders.Lessons learned from these pilots will be incorporated in subsequent phases of the Program that is expected to further roll out theenergy access program towards areas more difficult to reach. The MPA will offer not only opportunities for geographic expansion innext phases but also for the diversification of the program, sharpening the focus of the Program on upper energy access tiers toenhance development impact. Therefore, the proposed MPA is expected to contribute to economic growth and human capitaldevelopmentThe Phase I of the MPA will be defined and used as the Project. The proposed Project will add a component on cleancooking solutions that will leverage the benefits of the electrification program particularly for women. The project is structuredaround four main components: (i) grid extension and densification; (ii) off-grid electrification; (iii) clean cooking solutions;and (iv) contingent emergency response. The first three components are supported by investment and TA aimed at increasing energyaccess and development impact. Component 1: Grid Extension and Densification (IDA: US$300 million). This component will supportthe distribution utilities to extend distribution networks and connect communities and households to the national power grid,including through the provision of goods and materials for: (i) the construction of new medium voltage or MV substations, (ii) theconstruction of new MV lines, low voltage or LV lines and MV/LV transformers; and (iii) household and community connections, andpublic lights. The Project will finance the cost of goods and materials (transformers, poles, conductors, insulators, switchgear,steel parts), as well as installation works. Technical assistance will continue to support the preparation of Government’sinclusive connection policy, project implementation capacity building for stakeholders and promotion of productive use of gridelectricity. Component 2: Off-grid Electrification (IDA: US$95 million). This Component will support the scale up of themini-grid and off-grid solar program. The Project will expand household and enterprise connectivity as well as connection ofschools, clinics, religious facilities, street lighting, drinking water, and other public facilities with significant humandevelopment and social benefits. Mini-grids provide 24/7 clean energy to households and businesses in rural remote areas, as wellas reliable energy provision to health, education, religious, water pumping and other community services. Mini-grids are“technology neutral” and may include solar PV with storage, mini-hydropower, wind, biomass, biogas, or hybrid (eg. diesel and solarwith/out storage), depending of the assessment of each community and their resource endowments. Mini-grids up to 1 MW in capacityare eligible for support under the program. The proposed Project will continue the off-grid solar investments begun in NEP,following the same business models. Off-grid solar will be provided for more remote, less accessible unelectrified villages withno expectation of getting grid or mini-grid electricity in the next 10 years. These communities are mainly in border, fragilestates and areas with high poverty incidence and low electrification rate where the private sector has little or no interest inserving. Other renewable energy applications and appliances will be supported under the proposed Program to enhance socio-economicimpact.Component 3: Clean cooking solutions (US$ 5 million). The component will support the Government’s clean cooking strategy,education campaign and behavior change, capacity building, design, promotion and implementation of more efficient clean cookingsolutions. An ESMAP-funded study is currently under implementation to assess the policy and regulatory environment for electriccooking, demand, customer preferences and affordability, supply chain of electric cooking appliances, electric cooking inventoryavailable in Myanmar and in the region, and required behavior change activities. The study will bring evidence on the gender gap inthe area, collect baseline data on time spent by women for wood collection and cooking, and identify entry points for womenemployment and skills development along the supply chain. Other energy efficient technology options could be considered under theProgram based on analytical work and lessons learned from the pilot that aims for lever 4-5 tier energy service. The pilot isexpected to inform the Government’s strategy and policy on expanding access to clean cooking solutions. The Component willcontribute to MPA’s gender tagging. Component 4: Contingent Emergency Response (CERC, IDA: US$0) Following an eligible crisis oremergency, the Borrower may request the Bank to re-allocate project funds to support emergency response and reconstruction. Thiscomponent would draw from the uncommitted loan/credit/grant resources under the project from other project components to coveremergency response.

FY17 - Energy and Extractives

World Bank Group

Project

Road, Solar, Water Supply and Storage, Power Generation (CCGT), Warehouse, Biomass, Wind, Steel, Metal, Raw Materials, Hydro, Education, Government, Commercial