Translated Document AFRICAN DEVELOPMENT BANK GROUP MULTINATIONAL RUZIZI III REGIONAL HYDROPOWER PLANT APPRAISAL REPORT ONEC DEPARTMENT December 2015 Public Disclosure Authorized Public Disclosure Authorized
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Translated Document
AFRICAN DEVELOPMENT BANK GROUP
MULTINATIONAL
RUZIZI III REGIONAL HYDROPOWER PLANT
APPRAISAL REPORT
ONEC DEPARTMENT December 2015
Publi
c D
iscl
osu
re A
uth
ori
zed
P
ubli
c D
iscl
osu
re A
uth
ori
zed
TABLE OF CONTENTS
Currency Equivalents
Acronyms and Abbreviations
Project Information Sheet,
Executive Summa
Results-Based Logical Framework and Implementation Schedule i to v
1 STRATEGIC THRUST AND RATIONALE ............................................................... 1
1.1 Project Linkages with Countries' Strategies and Objectives ......................................... 1
1.2 Rationale for Bank's Involvement ................................................................................. 1
1.3 Aid Coordination ........................................................................................................... 2
2 PROJECT DESCRIPTION ............................................................................................ 3
2.1 Project Description and Components ............................................................................ 3
2.2 Technical Solutions Retained and Alternatives Explored ............................................. 3
2.3 Project Type ................................................................................................................... 4
2.4 Project Cost and Financing Arrangements .................................................................... 4
2.5 Project Target Areas and Beneficiaries ......................................................................... 7
2.6 Participatory Process...................................................................................................... 8
2.7 Bank's Experience and Lessons Reflected in Project Design ........................................ 8
2.8 Key Performance Indicators .......................................................................................... 8
3 PROJECT FEASIBILITY .............................................................................................. 9
3.1 Economic and Financial Performance ........................................................................... 9
3.2 Environmental and Social Impacts ................................................................................ 9
4 PROJECT IMPLEMENTATION ............................................................................... 12
4.1 Implementation Arrangements .................................................................................... 12
4.2 Project Monitoring ....................................................................................................... 14
4.3 Governance .................................................................................................................. 15
4.4 Sustainability ............................................................................................................... 15
4.5 Risk Management ........................................................................................................ 15
4.6 Knowledge Building .................................................................................................... 16
5 LEGAL FRAMEWORK ............................................................................................... 16
5.1 Legal Instrument .......................................................................................................... 16
5.2 Conditions for Bank's Involvement ............................................................................. 16
5.3 Compliance with Bank Policies ................................................................................... 18
6 RECOMMENDATION ................................................................................................. 18
ANNEX 1: Countries' Comparative Socioeconomic Indicators…………………………….……………..I
ANNEX 2: Tables of AfDB Portfolio in the Countries………………………………….………………...IV
ANNEX 3: Development Partners' Operations in the Electricity Sub-Sector in the Great Lakes
Countries………………………………………………………………………………………IX
ANNEX 4: Map of Project Area………………………………………………………………………..….X
ANNEX 5: On-lending of ADF Resources…………………………………………………………..…….XI
ANNEX 6: Factors of Fragility Addressed by the Project…………………………………………..……..XII
TABLES
No. Title Page No. Title Page
2.1 Project Components and Cost 3 2.5 Project Cost by Expenditure Category 6
2.2 Project Alternatives and Reasons for
their Rejection
4 2.6 Expenditure Schedule by Component 6
2.3 Estimated Cost by Component 5 3.1 Key Financial and Economic Indicators 9
2.4 Project Sources of Financing 5 4.1 Main Project Implementation Stages 15
2.4bis Project Sources of Financing by
Component
6 6
Currency Equivalents
October 2015 1 Unit of Account (UA) = USD 1.41
1 Unit of Account = EUR 1.25
1 Unit of Account = BIF 2,222.38
1 Unit of Account = CDF 1,300.59
1 Unit of Account = RWF 1,019.60
Fiscal Year
1 January - 31 December
Weights, Units and Measures T Tonne = 1000 kg kW kilowatt = 1000 Watt
GW Gigawatt = 1 000 000 kW or 1 000
MW kWh kilowatt-hour = 1000 Wh
GWh Gigawatt-hour = 1 000 MWh MVA Megawatt-ampere = 1 000 kVA or 1 000 000
VA
Toe Tonne of oil equivalent MW Megawatt = 1 000 000 W or 1 000 kW
kV kilovolt = 1 000 Volt MWh Megawatt-hour = 1 000 kWh
kVA Kilovolt-ampere = 1 000 VA tCO2 Tonne CO2 = 1000 kg of carbon gas
i
Acronyms and Abbreviations
ABAKIR Lake Kivu and Ruzizi River Basin
Authority PC Project Company
ADF African Development Fund PCR Project Completion Report AfDB African Development Bank PCU Project Coordination Unit
AFD French Development Agency PIB Gross Domestic Product
CPIA Country Policy and Institutional
Assessment PIDA Programme for Infrastructure Development in
Africa CSP Country Strategy Paper PIU Project Implementation Unit
DRC Democratic Republic of Congo PPP Public-Private Partnership
ECCAS Economic Community of Central
African States PRSP
II Poverty Reduction Strategy Paper
RE Regional Envelop
ECGLC Economic Community of the Great
Lakes Countries RMC Regional Member Countries
EGL Great Lakes Electricity Utility RIPS Regional Integration Policy and Strategy
(RIPS) EIB European Investment Bank RISP East Africa Regional Integration Strategy
Paper EPC Engineering, Procurement and
Construction
EU European Union RO Regional Operation GPRSP Growth and Poverty Reduction
Strategy Paper SME Small-and-Medium-Sized Enterprises
KfW Kreditanstalt für Wiederaufbau tCO2 Tonne of carbon dioxide
NELSAP
Nile Equatorial Lakes Subsidiary
Action Programme - Project to
Strengthen Power Grid Inter-
connection of Nile Equatorial Lakes
Countries
TFP Technical and Financial Partners TSF Transition Support Facility (formerly Fragile
States Facility-FSF) UA Unit of Account
PBA Performance-Based Allocation WB World Bank
ii
PROJECT INFORMATION SHEET
CLIENT INFORMATION
Donees:
Borrowers:
Burundi and Democratic Republic of Congo
Democratic Republic of Congo and Rwanda
Executing Agency Electricité des Grands Lacs (EGL)
FINANCING PLAN
SOURCES Amount (UA million) INSTRUMENT
BURUNDI DRC RWANDA TOTAL
COUNTRY TOTAL 21 60 17.5 98.5
ADF (PBA) 7 7 Grant
7 7 Loan
ADF (RE) 14 30 44 Grant
10 10.5 20.5 Loan
TSF (Pillar I) 15 15 Grant
5 5 Loan
AfDB (private sector) 35.62 Loan
Other Donors (AFD, EIB, WB,
KfW, EU) 238.05
Private Partnership 71.24
TOTAL PROJECT COST 443.40
BURUNDI DRC RWANDA
Type of Financing ADF Grant ADF/TSF
Grant ADF/TAF Loan ADF Loan
Currency UA UA UA UA
Interest Rate Type NA(*) NA NA NA
Interest Rate Spread NA NA NA NA
Service Charge NA NA 0.75% / yr. 0.75% /yr.
Commitment Fee NA NA 0.50% / an 0.50% / yr.
Other Charges NA NA NA NA
Maturity NA NA
10-year grace period
and 30 years of
reimbursement
10-year grace period
and 30 years of
reimbursement
(*)NA: Not applicable
iii
FIRR 7.84%
FNPV USD 63.13 million
EIRR 13.35%
ENPV USD 36.13 million
TIMEFRAME AND MAIN MILESTONES
Concept Note Approval 3 September 2015
Project Approval 16 December 2015
Effectiveness 30 April 2016
Closing Date 31 December 2022
Completion 31 December 2023
Last Reimbursement 31 December 2056
iv
EXECUTIVE SUMMARY
1. Project overview: The Ruzizi III Hydropower Plant Project which is part of the Programme for
the Development of Infrastructure in Africa (PIDA) concerns Burundi, the Democratic Republic of
Congo (DRC) and Rwanda. It entails the construction of a run-of-river dam (on the Ruzizi River
between DRC and Rwanda downstream from the Ruzizi II hydropower dam), a 147 MW power plant
and a distribution station. Burundi’s current total capacity will double, while Rwanda’s will increase by
half. DRC’s share will contribute to raising supply in the Eastern region currently not connected to the
interconnected network, while also significantly reducing the percentage of energy of thermal origin.
The project will help to meet the needs of the population and of the economy, in general, in accordance
with the national development strategies of the countries concerned, which underscore the importance of
ensuring reliable and affordable electric power supply to achieve sustainable economic transformation.
The specific objectives of this operation are to: (i) contribute to the development of Ruzizi III for
hydropower generation; and (ii) strengthen regional economic integration through the creation of an
electricity market. The plan is to implement a project at a total cost of UA 443.40 million (of which UA
98.5 million financed by the Bank’s public sector window and UA 35.62 million expected from the
private window) over a period of six (6) years, one year of which constitutes the development phase.
This is the first regional project designed as a public-private partnership (PPP) aimed at optimizing the
hydropower potential of the Ruzizi cascade. For its implementation, a private partner, acting in the
capacity of investor/developer, will be recruited and awarded a concession. This partner will be required
to develop the project, be a majority partner in a project company (PC) with the three countries
concerned and secure the necessary financing.
2. Needs assessment: The project feasibility study was assessed based on several previous studies
concerning electricity demand, in particular the PIDA study. The three countries are experiencing
enormous problems in meeting demand for electricity due to the lack of major investments for over a
decade in a context of population growth and multiplication of socio-economic development efforts.
Existing infrastructure allows coverage of less than 35% of demand in the project area, estimated at
about 3800 GWh by 2025. All the studies concur that this estimate is below potential demand.
3. Bank's value added: The Bank is providing assistance to the three countries concerned to
develop the energy sector. It became involved at a very early stage by financing transaction advisory
services. The Bank is helping to structure the project and facilitate dialogue among stakeholders. By
being the first to approve the project, the Bank is playing a key catalytic role in leveraging the required
concessional financing to significantly reduce the cost of energy (from USD 0.19 to USD 0.11/kWh) and
initiate the development phase. The Bank is strengthening the project's credibility and sustainability, and
is participating in the creation of an electricity market. It is also asserting its leadership role in the
African energy sector. Its intervention will help to build resilience and address the situations of fragility
that characterize the Great Lakes Region. Close attention will be given to gender issues by putting a
specialist at countries’ disposal during the project’s final design and throughout the implementation
phase.
4. Knowledge management: Using several Bank windows, this is an innovative project that
supports large-scale clean energy generation initiatives with a transformational impact on the economies
of the beneficiary regional member countries. The experience that will be acquired in managing this type
of multinational project structured as a PPP will contribute to the implementation of the Bank's green
growth strategy. Such experience will create opportunities for replication, particularly for Ruzizi IV.
Therefore, the project is in keeping with the Bank's strategic vision for the development of the African
energy sector through the promotion of universal access to modern energy on a low-carbon, inclusive
growth path.
v
RESULTS-BASED LOGICAL FRAMEWORK
Country and Name of Project: Multinational (Burundi, DRC and Rwanda) - Ruzizi III Regional Hydropower Plant
Project Goal : Increase renewable energy generation for the sustainable socio-economic development of ECGLC countries
RESULTS CHAIN
PERFORMANCE INDICATORS MEANS OF
VERIFICATION
RISKS/
MITIGATION MEASURES Indicator
(including CSI)
Baseline Situation
(2015) 2023 Target
IMPACT
Increase in electricity trading between ECGLC
countries through the supply of sustainable energy to
achieve economic growth and poverty reduction
Volume of energy trade
Electricity access rate
36 MW and 125
GWh (Ruzizi II)
Burundi: 7%
Eastern DRC: 18%
Rwanda: 22%
Over 247 MW or 1030 GWh
Burundi: 20%
Eastern DRC: 42%
Rwanda: 90%
Annual electricity company
and PS reports
National statistics;
Bank country
reports/economic data;
UNDP reports
1: Regional electricity trade does not materialize;
Mitigation Measure: Support institutional capacity
building for energy trading in ECGLC countries
2: Collapse of shareholding agreement which
supports the Project Company;
Mitigation Measure: maintain close supervision
during operation and establish a strong dispute
resolution forum.
3. Other Risks: political stemming from the fragility
of the peace process and political instability in
Burundi and in the Ruzizi Plain, institutional
structure, financing (counterparty risk, co-financing
risk), trade, technical, implementation including
fiduciary and coordination risks.
Mitigation Measures
Commitment of the three countries that signed a
communiqué on 8 March 2013; undertaking by
governments to include counterpart funding in their
budgets. A donor coordination mechanism is
established; ongoing energy distribution networks;
establishment of ABAKIR, water resource
management and incorporation of lessons learnt from
Ruzizi II development.
OUTCOMES
Improved reliability of energy supply and cost of the
countries' energy mix
Average cost of electricity (USD/kWh) Burundi: 0.10
DRC: 0.05
Rwanda: ≥0.20
Burundi: 0.12
DRC: 0.05
Rwanda: < 0.15
AfDB supervision mission
reports;
Quarterly Activity Reports;
Project Completion Report;
Trade Ministry Reports;
Ministry of Energy, Economy
and Finance Reports
Demand satisfaction rate Burundi: 1/3,
Rwanda: 85%,
DRC: 1/3 coverage
Demand coverage at peak period of 100%
in the participating countries (for East
DRC)
Creation of new jobs Number of jobs created
NA Creation of 800 to 1,000 direct and
indirect jobs during implementation, 100
of which for women and 450 permanent
jobs in the operational phase
Reduction of greenhouse gas emissions Carbon dioxide emission avoidance -- 151,000 tCO2 per year
OUTPUTS
1. The Ruzizi III plant is constructed
2. The Ruzizi III power distribution system is
constructed
3. Institutional support is provide to ECGLC
countries to increase regional electricity trading
4. Audit reports and quarterly status reports are
prepared
1. Installed capacity
2. Length of high voltage line and number
of sub-stations constructed
3. Training programme implemented
4. Number of women trained
5. Report of study on optimization of
power trading opportunities and
maximization of project benefits
6. Audit reports and quarterly reports
--
--
--
--
--
--
147 MW (in 2023)
8.3 km by 2023 &
01 in 2023
Training programme fully implemented by
2020
45 (15 per country)
01
5 and 20
AfDB Supervision Mission
Reports
Executing Agency Reports
Project Completion Report
KEY
ACTIVITIES BY
COMPONENT
1. Component 1: Support for Ruzizi III Implementation - (i) provide States with their equity participations; (ii) provide States with resources to be on-lent to the Project Company;
2. Component 2: Support for Regional Cooperation and Integration – Contribute to the conduct of different studies; and
3. Component 3: Project Management – (i) institutional support to EGL; (ii) monitor works implementation; (iii) establish a panel of independent experts; (iv) prepare a procedures manual; (v)
audit project accounts; and (vi) monitor ESMP implementation.
Inputs: AfDB Group: UA133.5 million including
public sector (UA 98.5 million) and private sector
(UA 35 million); Utilisation: Component 1: UA
90.50 million; Component 2: UA 4.06 million;
Component 3: UA 3.94 million
Co-financing: EIB (USD 120 million + USD 50
million private sector window); WB (USD 150
million); AFD (USD 15 million + USD 30 million
private sector window); KfW (USD 30 million); EU
(USD 11+35 million); Commercial debt (to be
confirmed following assessments)
vi
S O N D J F MA MJ J A S O N D J F MA MJ J A S O N D J F MA MJ J A S O N D J F MA MJ J A S O N D J F MA M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M
Project Preparation Phase
Finalization of negotiations with investor/developer
(I/D)
Preparation and signing of Project Agreements
Finalization of project preparation by financial
partners
EGL capacity building
Establishment of project company (PC)
Mobilization of commercial debt by PC
Training Activities (EGL,Steering Committee and
representatives of States)
Project Development Phase
Establishment of the Steering Committee
Recruitment of advisors
Preparation of general project implementation
schedule
Finalization of geotechnical studies
Updates of ESIA and FRP
Implementation of ESMP, FRP and compensation
of PAPs
Preparation of BDs and launching of bidding for
EPC contract
Bid preparation
Establishment of the Steering Committee
Establishment of Water Management Agency
(ABAKIR)
Construction Phase
Detailed designs for civil works and hydroelectric
structures
Civil works and hydroelectric structures
Detailed designs for equipment
Detailed designs for transmission line and sub-
stationMaufacturing of transmission line and substation
equipment
Manufacturing of electromechanical equipment
Installation of transmission line and substation
equipment
Installation of electromechanical equipment
Commissioning of transmission line and
substation
Filling of dam
Commissioning of dam
Operational phase
Industrial commissioning (for 12 months)
Environmental and social monitoring
IMPLEMENTATION SCHEDULE OF RUZIZI III REGIONAL HYDROPOWER PROJECT
2018
Yr3/M
2019
Yr4/M
2020
Yr5/MYr0/M
20232015 2016
Yr2/M
2021
Yr6/M
2022
Yr7/MYr1/M
2017
1
MANAGEMENT’S REPORT AND RECOMMENDATIONS TO THE BOARD OF DIRECTORS
CONCERNING THE PROPOSAL TO PROVIDE FINANCING TO THE DEMOCRATIC
REPUBLIC OF CONGO AND RWANDA FOR THE RUZIZI III REGIONAL HYDROPOWER
PLANT PROJECT
Management hereby submits the following report and recommendation concerning a proposal to award
(i) a UA 21 million grant to Burundi; (ii) a UA 45 million TSF grant (Pillar I) to DRC; and grant (iii) a
UA 15 million TSF loan (Pillar I) to DRC; and (iv) a UA 17.5 million ADF loan to Rwanda, to finance
the Ruzizi III Regional Hydropower Plant Project.
1 STRATEGIC THRUST AND RATIONALE
1.1 Project Linkages with Countries' Strategies and Objectives
1.1.1 Due to the dominance of fossil fuels in electricity generation, the ECGLC countries are
experiencing serious electricity supply problems that impede their economic activities. Moreover,
despite their relative socio-political stability, these countries continue to suffer from the effects of over a
decade of wars, marked by acute socioeconomic problems, vulnerable economies and, consequently,
difficulty in attracting investments. The project is a regional solution entailing the implementation of an
integration project in three countries of Central and Eastern Africa, and involves the construction of a
regional hydropower plant in collaboration with the private sector. It supplements ongoing ECCAS
initiatives. The project is in keeping with Pillar I of the Bank's Regional Integration Strategy Papers
(RISP) for Central and Eastern Africa, which are anchored on regional infrastructure.
1.1.2 At country level, the ongoing national development strategies of the three countries underscore
the need to increase electricity generation. For Burundi, developing the electricity sector is one of PRSP
II's main objectives. Pillar II of the Bank's 2012-2016 Country Strategy Paper prioritizes the
development of national and regional energy projects in order to significantly increase supply of reliable
and affordable electricity, and improve countrywide access to electricity. For DRC, the project is in
keeping with the 2011-2015 GPRSP, the main reference framework for all development operations.
GPRSP is focused on 4 pillars, including Pillar (iii) on improving access to basic social services and
strengthening human capital, and Pillar (iv) on environmental protection and climate change adaptation.
The project's objectives are consistent with Pillars 1 and 2 of the 2013-2017 CSP. In the case of Rwanda,
one of the pillars of the Economic Development and Poverty Reduction Strategy 2013-2018 aims to
support growth and economic transformation by improving the connectivity of Rwanda's economy. This
strategy aims to increase electricity generation and access. The project is in line with Pillar I of CSP
2012-2016 on infrastructure development.
1.1.3 The project, which also aims to set up a public-private partnership for the generation of abundant
supplies of electric power is in keeping with the Bank's energy policy and Ten-Year Strategy targeting
inclusive and green growth through the promotion of non-polluting energy. Furthermore, the project
aligns with the Bank's “Strategy for Addressing Fragility and Building Resilience in Africa, 2014-2019”,
whose Focus Area 2 (Promote Resilient Societies Through Inclusive and Equitable Access to
Employment, Basic Services and Shared Benefits from Natural Resource Endowments) considers
equitable access to electricity as a factor likely to strengthen the legitimacy of governments, establish
trust between States and citizens and consolidate peace dividends in post-crisis contexts.
1.2 Rationale for Bank's Involvement
1.2.1 This projects targets the objectives of the Bank's Ten-Year Strategy (2013-2022) and its Energy
Sector Policy. It takes into account the need to increase the population's access to electricity by
strengthening green energy generation, with a view to sustainable development. It is in keeping with the
operational priorities defined by the Bank in terms of regional integration infrastructure and private
sector development. It also aims to build the capacity of two States in transition (Burundi and DRC) as
2
well as Rwanda's resilience by providing basic services through inclusive development as recommended
in the Great Lakes Regional Fragility Assessment Report, which identified the following factors of
fragility (reflected in the project design) (see Annex 6): (i) volatility of the security situation and
political instability; (ii) the different forms of exclusion and social inequalities, including those based on
gender; and (iii) extreme poverty and unemployment, especially youth unemployment. By helping to
improve the region's socio-economic situation, the project could serve as a major instrument of dialogue
in the political and security stabilization process.
1.2.2 With annual generation of about 710 GWh, evenly distributed among the three countries, it will
help to avoid greenhouse gas emissions equivalent to 151,000 tonnes of CO2 per year. The Ruzizi III
project will significantly transform the electricity sectors in the countries concerned. Its implementation
will contribute to: (i) optimal exploitation of the Ruzizi River's energy potential to improve security of
supplies and access to electricity; and (ii) the strengthening of regional economic integration by creating
a market for electricity.
1.2.3 At continental and regional level, the project is in keeping with the PIDA Priority Action Plan
and is among the priorities defined in the Bank's Regional Integration Policy and Strategy (RIPoS, 2014-
2023). RUZIZI III is a developmental project, given the role it will play in the electric power system of
the Great Lakes Region. Because of its geographic location - between DRC and Rwanda - it will
contribute to the activities of three of the five African Power Pools: CAPP (Central Africa); EAPP
(Eastern Africa); and SAPP (Southern Africa). The PIDA study also proposes an optimal date for the
commissioning of Ruzizi III between 2015 and 2017, since this plant is part of the plan for the more
cost-effective, long-term development of the Great Lakes Region.
1.2.4 The three countries concerned have made implementation of Ruzizi III one of their
development priorities. They have contacted different partners, including the Bank, regarding the
optimal development of the Ruzizi River’s hydropower potential. They have initiated an innovative
approach consisting of developing a regional project in the form of a public-private partnership.
1.2.5 The Bank Group provides real value added to the development of the Ruzizi III project in that it
is a continuation of its previous actions and provides support to two fragile States to set up a complex
project. The Bank has sound knowledge of the sector's context and actors since its intervention is based
on its recent experience in the region, including the provision of transaction advisory services with
support from NEPAD/IPPF and the construction of a transmission line to supply Burundi. This value
added is reflected in the Bank's involvement, through its public and private sector windows, in the form
of guidance to the countries concerned but also as facilitator between the different actors participating in
the project, in particular, the future private sector partner and the different donors. The Bank's level of
commitment, particularly reflected in the advanced stage of project appraisal and the volume of
concessional resources mobilized by the leverage effect mechanism of regional operations, now
enhances the project's credibility by strengthening its feasibility, with a significant reduction in the cost
of electricity generation.
1.2.6 The Bank's leadership in the development of Africa's energy sector must be maintained,
especially in the Great Lakes Region, confronted by socio-political upheaval, until the implementation
of the Ruzizi III project.
1.3 Aid Coordination
1.3.1 In the three countries, aid is coordinated through groups established for consultation between
the public sector, civil society and technical and financial partners (TFP). These groups meet regularly to
monitor and evaluate the implementation of the sector's different development activities. In the case of
Ruzizi III, TFP coordination will be mainly carried out by Electricité des Grands Lacs (EGL), an
ECGLC specialized institution with a specific mandate for the project's implementation. Since the
launching of project development activities, several TFPs have made various contributions channelled
3
through EGL, which makes every effort to improve operations harmonization. At EGL's initiative,
several meetings have been held, including one at ministerial level in Abidjan in May 2015 on the
sidelines of the ADB Annual Meetings in which the French Development Agency (AFD), the African
Development Bank (AfDB), the European Investment Bank (EIB), the World Bank (WB), Kreditanstalt
für Wiederaufbau (KfW) and the European Union (EU) participated. At the request of the States and
following consultation, the TFPs selected the EIB as leader for the overall coordination of mobilization
for project financing. Since then, frequent consultations have been held between the different donors
concerned at each project preparation stage.
1.3.2 This project was prepared by the different donors with a high degree of synergy. This led to the
retention of the co-financing option that allows each donor to make the best possible contribution to the
project.
2 PROJECT DESCRIPTION
2.1 Project Description and Components
The project's sector goal is to tap the energy potential of the Ruzizi cascade to meet demand from the
population and the economy in general, in accordance with ECGLC national development strategies,
which stress the importance of reliable power supply for sustainable socio-economic transformation. The
specific objectives are to: (i) contribute to the development of the Ruzizi III scheme; and (ii) strengthen
regional economic integration by creating a market for electricity.
Table 2.1 Project Components and Cost (UA)
Component Estimated Cost Component Description
1. Support for Ruzizi III
Implementation 435,403,085
Construction of the Ruzizi III hydropower plant with an installed capacity
of 147 MW in DRC and Rwanda; and implementation of the
Environmental and Social Management Plan
2. Support for Regional
Cooperation and Integration in the
Energy Sector
4,060,581
Development of national energy markets and their access to the regional
energy market; institutional framework for the development of regional
energy projects; and support for the development of regional integration.
3. Project Management Support 3,936,626
EGL capacity building, PIU operating costs, preparation of a procedures
and training manual, training actions, project audit, and panel of
independent experts.
Total Project Cost 443,400,292
2.2 Technical Solutions Retained and Alternatives Explored
2.2.1 The technical solution retained consists in the construction of a run-of-river dam located on the
Ruzizi River between DRC and Rwanda downstream from the Ruzizi II hydropower plant, a 147 MW
power plant and a distribution station. This facility will supplement the existing cascade by tripling
installed capacity on the river. Power will be transmitted to the three countries from the Kamanyola
substation by 220 kV transmission lines. It will then be distributed equitably between Burundi's Water
and Electricity Generation and Distribution Company (REGIDESO), DRC's National Electricity
Company (SNEL) and the Rwanda Energy Group Ltd. (REG) (collectively called the “Buyers”), in
accordance with each buyer's long-term power-purchase agreement. The solution is based on the
findings of the feasibility study which confirms those of various previous studies. Under the aegis of
NELSAP, a comparative study1 was launched in 2005 covering an area encompassing Burundi, Kenya,
Uganda, DRC, Rwanda and Tanzania, to assess the economic merit of different sites. The study report
concludes that Ruzizi III is one of “the best development options” along with Rusumo Falls or Kabu 16.
1 Strategic/Sectoral, Social and Environmental Assessment of Power Development Options in the Nile Equatorial Lakes Region, Stage II, Synopsis of the
Final Report, carried out for NELSAP (November 2005).
4
Another study conducted for the 2013-2038 period and covering all countries of the Eastern Africa
Power Pool, and the PIDA (2011-2040 period) study focused on regional integration prospects conclude
that Ruzizi III forms part of the most cost-effective development plan for the energy sector in the Great
Lakes Region.
2.2.2 To confirm the selection of Ruzizi III as the adopted technical solution, Table 2.2 below shows
the alternatives explored and reasons for their rejection.
Table 2.2: Project Alternatives and Reasons for their Rejection
Options Description and Characteristics Reasons for Rejection
Diesel Thermal - Installation of diesel generators
- Relevant solution
- High operating costs
- Negative environmental impacts
Methane Thermal
- Option consisting of installing gas turbines fired by
methane gas from Lake Kivu
- Relevant solution
- Slightly higher costs than Ruzizi III
- Impacts being assessed
- Little feedback on such technology
- Option could be envisaged in the
medium-to-long-term
Solar Photovoltaic
- Option consisting of installing solar panels for
electricity generation
- Non-relevant solution
- High costs
- Unable to supply grid with
guaranteed power
Wind
- Option consisting of installing wind generators for
electricity generation
- Non-relevant solution
- Unable to supply guaranteed power
to meet peak demand
Geothermal
- Option consisting of producing electricity from
geothermal resources
- Non-relevant solution
- Costs slightly higher than Ruzizi III
- Option could be envisaged in the
medium-to-long-term
Small-scale
hydropower
- Option consisting of generating electricity from
several smaller hydropower plants
- Relevant solution
- Costs higher than for Ruzizi III
- High connection costs
- Fewer impacts
- Not sufficient to cover all needs
2.3 Project Type
The project is an investment operation designed as a public-private partnership (PPP) aimed at
optimizing the hydropower potential of the Ruzizi Cascade. For its implementation, a private partner
recruited as an investor/developer has been awarded a twenty-five (25) year concession. This partner
will be required to develop the project, be a majority partner in a project company (PC) with the three
countries concerned, and secure the necessary financing. To cover the risks involved and with a view to
reducing the cost of energy, the countries concerned will provide the PC with concessional financing.
2.4 Project Cost and Financing Arrangements
2.4.1 The total project cost, net of taxes and customs duties, is estimated at UA 443.40 million,
comprising approximately UA 358.86 million in foreign exchange and UA 84.55 million in local
currency. The cost includes a 10% provision for physical contingencies and price escalation. The cost by
component is presented in Table 2.3 below.
5
Table 2.3 Estimated Cost by Component (in UA million)
COMPONENTS Foreign
Exchange
Local
Currency Total Cost F.E. %
1. Support for Ruzizi III Implementation
Construction cost 291.83 66.65 358.47 81%
Development cost 13.75 0.00 13.75 100%
Environmental and social cost 5.54 5.54 11.08 50%
Reserve account 2.65 0.66 3.31 80%
Revolving fund requirements 6.66 1.66 8.32 80%
Component 1 Total 320.41 74.51 394.92 81%
2. Support for Regional Cooperation and Integration in the Energy Sector
Development of national energy markets and their access to the
regional energy market 1.49 - 1.49 100%
Institutional framework for the development of regional projects 1.70 - 1.70 100%
Support for regional integration development 0.68 - 0.68 100%
Component 2 Total 3.87 - 3.87 100%
3. Support for Project Management
EGL capacity building 1.14 1.14 2.28 50%
PIU operating cost - 0.96 0.96 0%
Preparation of a procedures and training manual 0.03 - 0.03 100%
Training activities 0.15 0.04 0.19 80%
Project audit - 0.12 0.12 0%
Panel of independent experts 0.16 - 0.16 100%
Component 3 Total 1.49 2.26 3.75 40%
Total Project Base Cost 325.77 76.77 402.54 81%
Provision for physical contingencies (5%) 16.02 3.73 19.75 81%
Provision for price escalation (5%) 17.09 4.02 21.11 81%
Total Project Cost 358.88 84.52 443.40 81%
2.4.2 Project Financing Arrangements: The project will be co-financed by different donors2. The
Bank's public sector window contribution is 22%. This contribution comprises grants and loans to the
three States concerned which are participating directly in the project through a shareholding in the PC,
and the award of concessional loans to the company as provided for under the Bank's on-lending policy
(see Annex 5). Therefore, all the project costs are covered by the PC. In addition to this participation, the
States concerned will contribute in kind to the operating costs of the national teams. They will cover the
acquisition of land located in the project right-of-way, which will be reimbursed by the PC. The
financing plan is presented in Table 2.4:
2 For information, the contributions of the other donors (in USD million) to the concessional/commercial debt are as follows: WB (150/0); EIB
(120/50); AFD (15/30); KfW (30/0); and EU (46/0)
6
Table 2.4: Sources of Financing (in UA million)
Sources of Financing Cost in Foreign
Exchange
Cost in Local
Currency Total Cost % Total
Component 1
Private Investor 71.24 - 71.24 16%
AfDB Group 73.43 17.07 90.50 21%
Other Donors 208.59 65.07 273.66 63%
Component 1 Total Cost 353.26 82.15 435.40 100%
Component 2
AfDB Group 4.06 - 4.06 100%
Component 2 Total Cost 4.06 - 4.06 100%
Component 3
AfDB Group 1.54 2.40 3.94 100%
Component 3 Total Cost 1.54 2.40 3.94 100%
Project Total Cost 358.86 84.55 443.40
Table 2.4bis below presents the sources of financing by component. The project cost by expenditure
category and expenditure category by component are presented in Tables 2.5 and 2.6.
Table 2.4bis: Sources of Financing by Component (in UA million)
Equity Capital Concessional Debt Commercial
Debt Total
Rwanda Burundi DRC Private
Investor Rwanda Burundi DRC
Component 1
Private Investor 0 0 0 71.24 - - - - 71.24
Bank Group - - - 0 - - - - -
ADF - - - 0 16.08 19.29 - - 35.37
TSF - - 11.70 0 - - 43.43 - 55.13
AfDB - - - 0 - - - 35.62 35.62
Other Donors 11.70 11.70 - 0 61.80 61.80 61.80 29.26 238.04
Total 11.70 11.70 11.70 71.24 77.88 81.09 105.23 64.88 435.40
Component 2
Bank Group - - - - - - - - -
ADF - - - - 0.72 0.87 - - 1.59
TSF - - - - - - 2.47 - 2.47
Total - - - - 0.72 0.87 2.47 - 4.06
Component 3
Bank Group - - - - - - - -
ADF - - - - 0.70 0.84 - 1.54
TSF - - - - - - 2.40 2.40
Total - - - - 0.70 0.84 2.40 - 3.94
TOTAL 1.70 11.70 11.70 71.24 79.30 82.80 110.10 64.88 443.40
7
Table 2.5: Project Cost by Expenditure Category (in UA million)
Expenditure Categories Cost in Foreign Exchange Cost in Local
Currency Total Cost % F.E.
Works 320.41 74.51 394.92 81%
Goods - 0.15 0.15 0%
Services 5.36 1.30 6.65 81%
Operation - 0.81 0.81 0%
Total base cost 325.77 76.77 402.54 81%
Provision for contingencies (5%) 16.02 3.73 19.75 81%
Provision for price escalation (5%) 17.09 4.02 21.11 81%
Total Project Cost 358.88 84.52 443.40 81%
Table 2.6 : Expenditure Schedule by Component (in UA million)
Components 2016 2017 2018 2019 2020 2021 2022
1. Support for Ruzizi III Implementation
Component 1 Total 14.50 113.60 72.42 106.73 57.18 19.06 11.44
2. Support for Regional Cooperation and Integration in the Energy Sector
Component 2 Total - 0.16 0.90 1.31 0.63 0.63 0.23
3. Support for Project Management
Component 3 Total 0.58 0.94 0.79 0.58 0.36 0.36 0.14
Total Project Base Cost 15.08 114.70 74.12 108.62 58.17 20.05 11.81
2.5 Project Target Areas and Beneficiaries
2.5.1 The project area lies in South-West Rwanda and Eastern DRC between Lake Kivu and Lake
Tanganyika. The Ruzizi III hydropower facility is on the Ruzizi River between DRC and Rwanda. The
Ruzizi valley is very narrow with steep sides and a difference in level of about 500 metres between the
plateaux and the valley bottom. The dam is about 10 km upstream from Bugarama/Kamanyola while the
power plant is 5 and 6.5 km from these two localities, respectively. The project area lies in South Kivu
Province in DRC, Ruzizi District in Rwanda and Cibitoke Province in Burundi. Agricultural activity in
the project area focuses mainly on food crops. Population pressure, which is very strong in the area, is
one of the main reasons for the small size of farms (less than 1 hectare per family). The estimated
population of the project area is 615,000.
2.5.2 The project will generate many benefits, including: (i) increased supply of electricity in the
region and consequently access to electricity at an affordable cost, the direct beneficiaries of which will
be the population, electricity companies and businesses in the countries concerned; (ii) the creation of
direct and indirect jobs during works and permanent jobs during the operational phase; (iii) a reduction
in subsidies on fossil fuels and development of the industrial fabric for Governments, (iv) the creation
of income-generating activities for women and youth; and (iv) improvement of population's living
conditions. Regarding climate change adaptation, the project will ensure the annual avoidance of about
151,000 tCO2. Since the river flow is highly dependent on climatic variability and the Ruzizi I and II
facilities, a supplementary study and climatic and hydrological parameter monitoring mechanism are
planned. The adequate building of EGL’s capacity will ensure that the new structures on the cascade are
rapidly put in place. Financially, the different governments will benefit from income generated by their
participation in the PC and by the debt on-lent to the PC. This income could be recycled in the sector.
The private partner will also be remunerated for its majority participation in the PC.
8
2.6 Participatory Process
The different Governments concerned have adopted a participatory process fully involving the
communities in identifying needs, monitoring activities and assessing them in a spirit of citizen control,
knowledge and know-how sharing, and social efficiency. Thus, the preparation of the Environmental and
Social Impact Assessment (ESIA) and Resettlement Action Plan (RAP) in 2012 was carried out using a
participatory process. Different consultations were held in the main localities of the project area. They
involved the competent government authorities, local authorities, the population including women and
youths, project affected persons and non-governmental organizations (NGO). Project Affected
Smallholder Committees (CPAP) were established in the localities concerned for consultations with
those inhabitants directly concerned by the project. The establishment of CPAPs took into account
representativeness, in particular, gender balance with women's participation. Exchanges with project
affected persons (PAPs) and neighbouring communities highlighted their concerns and/or wishes, some
of which have been taken into account in this project. Furthermore, the project communication strategy
will focus on information, sensitization, education, social mobilization and capitalization.
2.7 Bank's Experience and Lessons Reflected in Project Design
2.7.1 The Bank intervenes in the development of the energy sector in Burundi, DRC and Rwanda,
where the bulk of the projects are being implemented. At community level, it has intervened since 2008
in the Great Lakes region through the NELSAP project, which concerns the three ECGLC countries plus
Kenya and Uganda. This project will contribute to the interconnection between the different countries to
facilitate access to the EAPP regional electricity market. No completion report has yet been prepared for
the NELSAP project, which is ongoing. However, the main lessons to learn from it to-date are: (i) the
need for effective coordination between the different actors; and (ii) the importance of the project
implementation structure. NELSAP is implemented by national entities responsible for structures
located on their territory. The NELSAP Project Coordination Unit (PCU) only carries out regional
coordination to harmonize the different schedules and ensure compatibility of the standards used on the
interconnected grid, which is the reason for the lack of works synchronization. Furthermore, the “public”
management method retained for the Ruzizi II community power plant has incurred losses. DRC and
Burundi's situations as States in transition, confirmed by their weak capacity, and lessons learned in
implementing the NELSAP and Ruzizi II projects explain the decision of States involved to entrust the
execution of the Ruzizi III project to EGL which has experience of working with the TFPs. It is also the
reason for selecting a private operator which will set up a PC for the construction and subsequent
operation of the structures.
2.7.2 These experiences are enriched by lessons drawn by the Bank from the portfolio review of the
countries concerned and its participation in PPPs (like the Ouarzazate Solar Plant) or multinational
projects. The main problems identified relate to: (i) major overruns on the estimated costs; (ii) delays in
establishing adequate financial management systems; (iii) the lack of an efficient monitoring/evaluation
system; (iv) weakness of project implementation structures; and (v) ineffectiveness of project steering
committees. The project addresses these problems by focusing on EGL capacity building and quality at
entry of activities through Component 2.
2.8 Key Performance Indicators
2.8.1 The project's key performance indicators are presented in the Results-Based Logical
Framework. They concern the construction of structures and conduct of studies planned under the
project, but also the facilitation of access to electricity in the Great Lakes Region.
2.8.2 As the project executing agency, EGL will be responsible for establishing a baseline situation
for the performance indicators as well as monitoring and analysing their trends by comparing them with
the logical framework estimates. At the level of the different countries concerned, the project
performance indicators will be integrated into the different periodic activity reports. The indicators will
be analysed in relation to the project's target values or any other benchmark considered relevant, in
particular, during supervision missions fielded by the Bank and other technical and financial partners.
9
3 PROJECT FEASIBILITY
3.1 Economic and Financial Performance
3.1.1 Burundi, Rwanda and DRC are experiencing significant power deficits. This justifies major
investments to increase generation capacity and develop the transmission and distribution grids.
Implementation of Ruzizi III falls within this context and constitutes the next stage3 in realizing the
optimal hydropower potential of the Ruzizi cascade, reducing the current supply and demand imbalance
which ranges from 20 to 65%, and meeting future demand.
3.1.2 Ruzizi III was retained following a preliminary review of the costs and benefits of exploitable
sites in the region. Despite the outdated basic figures, the results remain valid given the costs and
technical constraints concerning alternative generation methods. The project financial and economic
evaluation is carried out from 2016 over a thirty-year period (5 years of construction and 25-years of
operation).
3.1.3 The findings of the analysis show that the project is financially and economically viable. Based
on a weighted average price of USD 0.124/kWh and an energy sales volume of GWH 663.4 per year, the
project's estimated financial internal rate of return will be 7.84% and its financial net present value
(calculated on the basis of a weighted average cost of capital of 6.55%) USD 63.13 million. In addition
to the fact that it is part of a long-term development plan for the region at an affordable cost, the
economic justification of the Ruzizi III project may be proved by calculating the economic costs avoided
in the event of no project implementation. Economic agents who are not supplied with electricity from
the grids use individual generators or kerosene lamps. The cost per kWh of these different alternative
energies may be considered as an indicator of consumers’ willingness to pay (WTP) for access to
electricity supply services. Based on an average WTP of USD 0.22, USD 0.29 and USD 0.23 per kWh in
Burundi, Rwanda and DRC respectively, the project shows an economic internal rate of return (EIRR) of
13.35% and an economic net present value (ENPV) estimated at USD 36.13 million. The table below
summarizes the main economic and financial results. The detailed calculations and assumptions are
presented in Annex B7.
Table 3.1: Key Financial and Economic Indicators
PARAMETERS VALUES
FIRR 7.84%
FNPV USD 63.13 million
EIRR 13.35%
ENPV USD 36.13 million
3.2 Environmental and Social Impacts
3.2.1 Environment
3.2.1.1 In accordance with the Bank's Integrated Safeguards System, the project was classified in
Category 1 because of the scale of the works and negative environmental and social impacts identified.
The comprehensive ESIA and Full Resettlement Plan (FRP) were prepared in 2012. The ESIA and FRP
summaries were posted on the Bank's website on 14 August 2015. In view of the project's restructuring
as a PPP, the existing studies will be updated in accordance with the Environmental and Social Action
Plan (ESAP) following the establishment of the PC. These updates constitute conditions precedent to
disbursement.
3 The Ruzizi I (constructed in 1959 with installed capacity of 29.8 MW) and Ruzizi II (commissioned in 1989 with installed capacity of 43.8 MW) plants
are already operational in the Ruzizi valley.
10
3.2.1.2 During the works, the main negative impacts will concern: (i) the quantitative and qualitative
degradation of the river's water resources downstream from the works area; (ii) the destruction of
property affecting 4,300 people in DRC and Rwanda; (iii) the destruction of plant species and wildlife
habitat on the right-of-way planned for the reservoir and different facilities; and (iv) other risks related to
health, hygiene and security of employment for employees. In the operational phase, the reservoir is
likely to cause: (a) a proliferation of water-borne diseases; (b) accidents and drownings; and (c)
landslides up to the equilibrium period. The most significant cumulative negative impacts relate to: (1)
successive dam failures (Ruzizi I, II and III); (2) erosion and sedimentation created by various activities
in the catchment area; and (3) those relating to the hydro-ecological continuity of the water course
mainly for barbels (Barbus altianalis).
3.2.1.3 TO mitigate these negative impacts, the contractors selected will be required to prepare, on the
basis of the Project ESMP and PC, environmental and social management system, detailed and specific
environmental and social plans, in particular: (i) Hygiene, Health, Safety and Environment Plans
(HHSEP); (ii) erosion and sedimentation control; (iii) site replanting and rehabilitation; (iv) quarry and
borrow site management; (v) management of fortuitous discoveries; (vi) initial filling of the reservoir;
(vii) monitoring of water quality; (viii) environmental and social training of personnel; and (ix) site
dismantling. Project affected persons will be compensated and assisted in compliance with the
resettlement plan. During the operational phase, an operations and maintenance plan as well as an
emergency preparedness plan will be implemented to manage the impacts during this phase. The
estimated cost of the ESMP measures is USD 17.14 million. Hence, an appropriation of USD 17.14
million was made for updating the ESIA/ESMP and FRP. The project will also generate many positive
impacts. Specifically, through complementary actions under the aegis of ABAKIR, it will contribute to
the implementation of lasting solutions to the basin-wide problems of erosion and sedimentation as well
as to those relating to hydro-ecological continuity, including for Ruzizi I and II.
3.2.2 Climate Change
3.2.2.1 The project was classified in Category 1 with respect to climate change. The impact assessment
indicates that the Ruzizi flow rate depends mainly on the level of Lake Kivu. This level has been falling
for several years due to a downward trend in rainfall, expansion of its catchment area and anthropic
activities which are accelerating erosion and sedimentation in the river. The analyses indicate average
temperature increases of 1.9°C and 2.5°C by 2050 and 2060, respectively. Climate variability will have
an impact on the cascade's energy production and the choice of flow control equipment for Ruzizi III.
Adaptation measures will be integrated in the project's design.
3.2.2.2 It is also recommended to update the hydrological study and monitor the climatic and
hydrological parameters, in order to ensure the smooth operation of the plant. The monitoring indicators
will be updated in the quarterly ESMP implementation reports. Based on the AFD methodological
approach, GHG emissions during works are estimated at 39,000 tCO2 for the dam's construction.
Methane gas emissions from the reservoir during the operational phase will be significantly reduced due
to the fact that: (i) very little vegetation will be submerged; and (ii) the water retention time in the
reservoir will be very short. These emissions particularly concern the first two years. They will be
mitigated by: (a) a reduction in the amount of plant cover submerged by the reservoir; and (b) the
planting of 3,000 trees/ ha over 15 ha, which will serve as protection of the catchment area. Therefore,
the implementation of Ruzizi III would help prevent the emission of over 7.5 million tCO2 over 50
years.
3.2.3 Gender
3.2.3.1 Women, girls and children are still paying a heavy price for the different crises that have
affected the region. Despite the existence of favourable legislation, women's rights are not evenly
enforced in the three countries. The project's implementation will have the following positive impacts on
11
women, girls and children: (i) strengthen women's income-generating activities (IGA), in particular,
through the development of small businesses during the construction phase; (ii) at least 20% of unskilled
direct and indirect jobs will benefit women and girls; (iii) promote agricultural produce artisanal
processing activities mainly carried out by women; and (iv) access to electricity and the use of lighting
will improve the well-being of women and girls especially, in terms of education. The likely negative
impacts on women are: (s) increase in water-related health problems (accidents and drownings); (b)
impact on sexually transmitted infections-HIV/AIDS; and (c) changing vectors of disease due to
modifications of the habitat.
3.2.3.2 To mitigate the negative impacts, the project will pursue the following actions: (i) sensitization
campaigns on different themes (STI-HIV/AIDS) for workers and communities settled in the project area,
in particular women and children; (ii) support for the promotion of IGAs will be factored into the local
development plans and the Plan to Restore and Improve Living Conditions financed and implemented by
the PC; and (iii) support for the promotion of well-being through the rehabilitation and equipping of
schools, health centres and women's promotion centres planned in the local development plan. The
financing of women's promotion activities is included in the project costs and their implementation
entrusted to the PC. The Bank's contribution will be used to provide EGL with a specialized expert on
social and gender issues responsible for preparing and implementing the different plans.
3.2.4 Social
3.2.4.1 The Great Lakes Region is one of Africa's fragile areas. The main factors associated with
fragility and analysed in relation to the Ruzizi III project are: (i) the volatility of the security situation
and political instability; (ii) the different forms of social exclusion: identity crisis, ethnic divides and
land tenure conflicts; (iii) the weak water resource governance capacity; (iv) gender-based violence; and
(v) extreme poverty and unemployment, especially among young people. This situation of fragility,
mainly perceived at the social level, poses risks for the project's implementation, which are to be found
among the potential negative impacts referred to in paragraph 3.2.1.2. However, the experience of
existing infrastructure shows that this risk is relative and that the project could serve as an instrument of
dialogue to encourage peace consolidation and stabilization activities in the region. The availability of
energy in this region could help to restore peace by developing highly remunerative economic activities.
3.2.4.2 The project's implementation will have the following positive social impacts: (i) improved
access of households to electricity; (ii) economic diversification; and (iii) creation of 800 to 1000 direct
and indirect permanent and temporary jobs in favour of local but unskilled labour, with a proportion of
20% for women. To optimize its social impact, the project will help affected households to rediscover or
sustainably create satisfactory living conditions. In this regard, a Plan to Restore and Improve Living
Conditions (PRRV) and a local development plan (PDLC) will be rolled out. These two plans will be
finalized by the PC in close collaboration with the competent local authorities. The estimated cost of
implementing these two plans is USD 7 million.
3.2.5 Involuntary Resettlement
Clearing of the works right-of-way, estimated at 115 hectares by the technical studies, will a priori affect
no fewer than 636 households in Rwanda and in RDC, i.e. about 4500 people, 64% of whom are living
in DRC and 36% in Rwanda. Affected property mainly comprises unbuilt land, crops (food and market
garden), fruit trees and various other plants. The Resettlement Action Plan prepared in 2012, a summary
of which will be published on the Bank's website, will be updated by the PC prior to the launching of
invitations to bid for EPC contracts, in accordance with the Bank's requirements.
12
4 PROJECT IMPLEMENTATION
4.1 Implementation Arrangements
4.1.1 Through a Panel of Experts, Burundi, DRC and Rwanda shall establish the project steering
body. This committee will comprise, for each country, representatives of the ministries responsible for
energy, environment, finance and electric power utilities. Project implementation is entrusted to EGL -
an ECGLC specialized institution with a specific mandate to implement the Ruzizi III project as a
public-private partnership (cf. special delegation of powers conferred upon EGL to implement Ruzizi
III, on 12 November 2010, by the three States). It is planned that infrastructure construction will be
awarded to a project company and that the implementation of related activities will be awarded to EGL.
4.1.2 The three countries and the private partner, investor/developer have jointly and severally agreed
to establish a project company to finance the construction and operation of the Ruzizi III plant. One third
(1/3) of the PC's share capital will be held in equal parts by the three countries and two thirds (2/3, i.e.
USD 100 million) of the share capital will be held by an investor/developer. Pending the signing of the
project agreement for the establishment of the PC expected by end-2015, preliminary procurement
operations will be carried out by EGL, supported by the Steering Committee established in 2013 and
comprising two experts/representatives per country. The treaty, internal rules and shareholders'
agreement were established by the three governments assisted by international lawyers. Establishment of
the PC will be a condition precedent to first disbursement of the Bank's financing.
4.1.3 Since the related “capacity building/project management” and “regional integration” activities
transcend the individual States, they will be implemented by EGL. The three countries have agreed to on-
lend the related financial resources to EGL. In light of the mandate assigned to EGL and to ensure the
quality of its investments, there is a real need to build its capacity in order to enhance the performance of the
executing agency. Thus, in addition to the international consultants recruited to assist EGL, the key
personnel will include technical, legal, economic and financial experts. The additional human resources
will be recruited through a competitive process and will comprise at least a financial expert, a procurement
expert and electromechanical/electrical engineer, a civil engineer, a legal counsel, a computer specialist, an
environmental expert and expert on social and gender issues. A monitoring/evaluation expert will be
recruited for EGL to monitor project activities. From an institutional standpoint and in view of the project's
scope, EGL will work closely with the other regional entities operating in the river basin's management
(Regional Dispatching Centre (CDR) and the Ruzizi River Cascade Coordination Centre (CC)).
4.1.4 Procurement
4.1.4.1 The procurement process for the selection of the developer/investor was launched in 2012. It
was approved by the Bank as well as the choice of the future developer.
4.1.4.2 However, the future developer and EGL agreed to adopt a competitive selection procedure for a
turnkey contract for engineering, supplies and construction of the Plant (EPC contract) [Component 1:
Support for the implementation of Ruzizi III]. To that end, this contract was awarded in compliance with
the relevant WB Guidelines subject to a waiver by the Bank's Board of Directors. Joint financing was
chosen because: (i) to date, the fiduciary safeguard policies of both the Bank and WB are almost
identical; and (ii) the Bank's Procurement Rules and Procedures and WB Guidelines as well as their
standard bidding documents (SBDs) are closely harmonized. It should be noted that, like other donors,
AfDB will carry out a prior review of procurement documents during the selection process (pre-
qualification, bidding, bid evaluation and contract negotiation phases, etc.). Thus, for the EPC contract,
the procurement of goods, works and services (other than consulting services) will be carried out in
compliance with the WB's “Guidelines for the Procurement of Goods, Works and Non-Consulting
Services” using the WB's relevant SBDs as well as with the provisions stipulated in the Financing
Agreement.
13
4.1.4.3 All procurement of goods, works and consulting services for project Components 2 and 3 which
are fully financed by the Bank will be made in accordance with “Bank Rules and Procedures for the
Procurement of Goods and Works”, May 2008 Edition, revised in July 2012, and “Bank Rules and
Procedures for the Use of Consultants”, May 2008 Edition, revised in July 2012, using the Bank's
standard bidding documents (SBDs) as well as with the provisions stipulated in the Financing
Agreement.
4.1.4.4 EGL will be responsible for the award of all contracts for project activities, in particular
monitoring the selection of the EPC (Component 1) and implementation of the procurement activities
planned under Components 2 and 3. The assessment of EGL's capacity indicates a need for capacity
building by a procurement expert, whose qualifications and experience are deemed satisfactory by the
Bank. A draft procurement plan prepared by EGL will be submitted to the Bank for review and approval
prior to negotiations. The procurement details are set out in Annex B5.
4.1.5 Financial Management and Audit Arrangements
4.1.5.1 Based on the review carried out, the project's overall financial management risk at entry was
considered substantial. Mitigation measures proposed in the financial management action plan (Annex
B4 and B6) aim to support EGL for the rapid establishment of a project financial management
mechanism. The recruitment of a financial expert and accountant to strengthen the Administrative and
Financial Department, the updating of EGL's accounting procedures manuals, the preparation of an
accounting procedures manual for the PC prior to first disbursement and speedy implementation of
actions agreed in the action plan will help to lower the residual risk to a moderate level and at EGL, to
meet the Bank's minimum project financial management requirements. It will also be necessary to
acquire software configured to meet the project's accounting needs no later than six (6) months
following project effectiveness.
4.1.5.2 Thus, in accordance with the implementation arrangements, responsibility for project financial
management will fall within the remit of EGL, which will also use the PC’s financial statements. In this
regard, EGL will establish an adequate financial management system which meets international
standards, with qualified and experienced financial staff, to maintain general, cost and budgetary
accounting with adequate software. The project's financial management will be based on the entire
financial management system to be established at EGL, especially the following systems: (i) budgetary
management; (ii) accounting and reporting; (iii) internal control and external audit; and (iv) cash and
funds flow management system. Compliance by EGL with the arrangements agreed upon in the financial
management action plan will ensure that the funds provided to the project are used for project purposes.
In addition, recruitment of the external auditor six months after project effectiveness and all other
measures contained in the financial management action plan constitute other financing conditions. EGL
accounts will be maintained separately from the project accounts. EGL has undertaken to produce and
regularly submit to the Bank quarterly financial monitoring reports as well as annual financial statements
on the due dates agreed upon, in a format to be determined during negotiations. Furthermore, the PC will
be responsible for the establishment and operation of infrastructure, including its own financial
management following signature of the term sheets of the project agreement establishing the PC. The
Bank will ensure the adequacy of the PC's financial management capacity during the project launching
mission.
4.1.5.3 The PC will put in place appropriate and well-documented internal control procedures, in
particular relating to accounting entries, financial transactions, commitment and justification of
expenditure, safeguarding of financial data and project assets. Internal auditing will be carried out by an
internal auditor or an audit committee as required. A detailed reporting system will enable EGL to report
on financial management to the Bank.
14
The annual financial statements will be produced for EGL on time in accordance with International
Public Sector Accounting Standards (IPSAS). The PC will produce the agreed upon periodical financial
statements in compliance with International Financial Reporting Standards (IFRS). These reports will
include a balance sheet, income statement, a statement of equity, a cash flow table as well as accounting
principles and notes to the financial statements.
4.1.5.4 The project and EGL financial statements prepared separately will be audited annually by an
external auditor. The auditing of the project and EGL's accounts will be performed in compliance with
International Auditing Standards (IFAC). EGL will publish a request for proposals and will appoint
international external auditors no later than six (6) months after project effectiveness to conduct the
annual audit based on the Terms of Reference agreed upon with the Bank during the negotiations. The
audit report will be submitted to the Bank latest six months after the end of the fiscal year concerned.
The PC will recruit auditors for the project's financial and technical audit.
4.1.6 Disbursement Mechanism and Modalities
Within the project implementation framework, the special account and direct payment disbursement
methods have been retained. EGL will open a special account in a bank deemed acceptable by the Bank,
for financing all eligible expenditure under Components 2 (“Support cooperation and regional
integration in the energy field”) and 3 (“Project management”). The special account will be managed in
compliance with the provisions of the procedures manual and those of the grant protocols of agreement
and loan agreements. The direct payment method will be used for payments related to: (i) resources on-
lent to the PC under Component 1 (“Support for Ruzizi III implementation”); and (ii) Components 2 and
3 expenditures ineligible for special account financing. In accordance with the provisions of the
financing agreements and its Disbursement Rules and Procedures, the Bank will disburse resources to
cover expenditure. Disbursements to the PC shall comply with the Bank’s on-lending policy for
concessional loans.
4.2 Project Monitoring
The main project stages are presented in Table 4.1 below. The activities will be implemented as set out
on the project implementation schedule. EGL will use the services of a monitoring/evaluation expert to
monitor the status.
Table 4.1: Main Project Implementation Stages
Duration Stages Monitoring Activities/Feedback Loop
3 months Approval and
effectiveness
Approval of loans and grants
General Procurement Notice
Signature of financing agreements and effectiveness
AfDB launching mission
8 months Procurement
Review and approval of bidding documents
Bidding and award of contracts
Signature of project agreements
PC's establishment
Signature of EPC contract
72 months Project's physical
implementation
Contract execution
Preparation of periodic project status reports
Supervision missions by the Bank and other partners
Project social and environmental monitoring
Bank's mid-term review
6 months Auditing of Project
Accounts
Recruitment of the auditor to conduct annual audits
Conduct of annual audits
3 months Project Completion
Borrower's and Donees' Project Completion Report
Preparation of the Bank’s Project Completion Report
15
4.3 Governance
Governance risk for this project is low and could occur in the course of implementing activities entrusted
to EGL. EGL has already implemented this type of operation with other partners as well as the Bank,
through NEPAD/IPPF. The risk is mitigated by the involvement of donors. The same will apply to the
recruitment of personnel where the Bank's opinion will be required prior to appointments. Procurement-
related risks are minimal since an agreement was reached to award the largest contract in accordance
with WB procedures. Moreover, the Bank's supervision and technical and financial audits will ensure
conformity between the specifications, outputs, disbursements and financing agreements. The
involvement of the countries concerned in the project's management will also strengthen governance.
4.4 Sustainability
4.4.1 Project sustainability will depend principally on the commitment of the three governments
through the specific mandate entrusted to EGL. Furthermore, since the launching of the feasibility study,
the three countries have established a monitoring and dialogue mechanism with a view to achieving
optimal and sustainable development of the Ruzizi Cascade. Thus, in terms of ownership, other actions
such as the institutional study on the cascade management or on the rehabilitation of the Ruzizi I and II
structures are ongoing. These actions should contribute to optimal integrated water resource
management.
4.4.2 The adoption of a PPP project stems from the determination of the countries to avoid the
management problems encountered with Ruzizi II, reason for which the facility now needs
rehabilitation.
4.5 Risk Management
4.5.1 Risk management: EGL undoubtedly has experience of Ruzizi II but has no previous history of
monitoring and implementing a PPP project of Ruzizi III's complexity. This risk will be mitigated by
building EGL's capacity, support from high-calibre consultants, analyses and opinions of the Bank and
other donors on the project implementation process. The project costs include provisions for
contingencies and price escalation.
4.5.2 Fiduciary risk: The project's initial fiduciary risk was deemed high. EGL, which will
implement the project, is not yet sufficiently operational to ensure effective project financial
management at this stage. The project has also become somewhat complex as a result of the need to find
a joint management mechanism for the resources mobilized from different donors - a further risk factor
for the Bank. Fulfilment of conditions precedent related to the financing will help to mitigate this risk to
a moderate and acceptable level. In addition to the operationalization of EGL, it will be necessary for
the Bank to confirm or obtain evidence of the establishment of a satisfactory financial management
mechanism for project implementation. Another aspect of fiduciary risk lies in the confirmation of the
investor/developer since the IPS/Sithe Global Consortium retained in 2012 does not offer all the
guarantees of its determination to pursue the process towards establishment of the PC. The withdrawal
of this consortium or of one of the firms could delay the project by requiring a new bidding process.
4.5.3 Co-financing risk: This risk is real despite the coordination efforts. Slippage or default on
implementation of part of its commitments could undermine the smooth execution of the entire project.
This risk will be mitigated by the collaborative attitude of all the co-financiers but also by the
communication efforts made and which will continue.
4.5.4 Political risk: This risk is the result of the fragility of the ongoing peace process and political
instability in the region, which could impede the implementation of project activities. This risk will be
mitigated by the ongoing political developments, in particular, the consultative process and regional and
16
internal mediation. The dialogue pursued by the technical and financial partners to encourage
governments in their efforts to restore State authority over their respective national territories is another
contributory factor, as is the presence of MONUSCO in Eastern DRC.
4.5.5 Technical risk: this risk concerns the availability of distribution networks for energy or water
from Lake Kivu through upstream facilities. These risks will be mitigated by the works being prepared
or implemented, which are expected to be commissioned in 2017 as well as the establishment of
ABAKIR which will work in concert with the Kamanyola Coordination Centre. Ruzizi I and II
rehabilitation and restructuring studies are also being finalized.
4.6 Knowledge Building
4.6.1 The project provides an opportunity to disseminate new knowledge for the Bank and for the
ECGLC through EGL. For the Bank, it is an illustration of support to a sub-regional organization for the
preparation of a complex project. Implementation of this project will build the Bank's capacity to prepare
and support PPP projects. It is also an example of cooperation among technical and financial partners.
4.6.2 New knowledge will be mainly acquired through interaction between partners and also with the
beneficiaries. The documentation stemming from these meetings and supervision reports, periodic status
reports as well as the reports following the different controls will provide the basis for knowledge
building.
4.6.3 Ruzizi III will build EGL's capacity and is expected to facilitate the development of the Ruzizi
IV project on a much larger scale than Ruzizi III.
5 LEGAL FRAMEWORK
5.1 Legal Instrument
The Bank will use the following instruments: (i) for Burundi: a grant of UA 21 million from ADF-13
resources (of which UA 7 million PBA and UA 14 million RE); (ii) for DRC: a grant of UA 45 million
(of which UA 15 million TSF allocation (Pillar 1) and UA 30 million RE) and a loan of UA 15 million
(of which UA 5 million TSF allocation (Pillar 1) and UA 10 million RE); and (iii) for Rwanda: a loan
of UA 17.5 million from ADF-13 resources (of which UA 7 million PBA and UA 10.5 million RE) to
co-finance the project.
5.2 Conditions for Bank's Intervention
A. Conditions Precedent to Grant/Loan Effectiveness:
Effectiveness of the ADF and TAF grant protocols of agreement is subject to their signature by the
Donee, the ADF and the Bank. Effectiveness of the ADF and TSF loan agreements is subject to
fulfilment by the Borrower of the conditions stipulated in Section 12.01 of the General Conditions
Applicable to Loan Agreements and to Guarantee Agreements of the African Development Fund, to the
Fund’s satisfaction.
B. Conditions Precedent to First Disbursement of the Grants/Loans:
Conditions Precedent to First Disbursement of Component 1
In addition to effectiveness of the grant protocols of agreement and the loan agreements, the first
disbursement of each grant or loan for financing Component 1 shall be subject to fulfilment of the
following conditions by the Donee/Borrower, to the full satisfaction of the ADF/TSF:
17
(i) Provide the Bank (or the Fund) with evidence of completing project financing
arrangements by showing proof of approval of project financing by other donors;
(ii) For each loan/grant, present to the Bank the original or certified true copy of the
attestation for an account opened by the PC through which the resources of each
loan/grant shall transit, and comprising the full bank account references and indication of
persons authorized to make disbursements therefrom; and
(iii) Provide the Bank to its satisfaction, with a certified true copy of: (a) the signed and
registered Articles of Association of the PC; (b) the Certificate of Registration of the PC;
(c) the power purchase contract between Buyers and the PC; and (d) the agreement on-
lending all or part of grant and loan resources allocated to project Component 1 to the PC,
stating inter alia that: (1) the PC shall forward financial and accounting information to
EGL on a half-yearly basis; and (2) the PC’s annual financial statements shall be audited
by its external auditors in accordance with applicable norms and taking into consideration
the Bank’s terms of reference.
Conditions Precedent to First Disbursement of Components 2 and 3
Apart from effectiveness of the grant protocols of agreement and the loan agreements, the first
disbursement of each grant or loan for financing Components 2 and 3 shall be subject to fulfilment of the
following conditions by the Donee/Borrower, to the full satisfaction of the ADF/TSF:
(i) For each loan/grant, provide the Bank with the original or certified copy of the certificate
proving the opening by EGL of a special account in the name of the project in a Bank
acceptable to the Fund for payment of the ADF and TSF grants and loans (paragraph
4.1.6.1), and containing full banking details of the account and the names of persons
authorized to make disbursements;
(ii) Provide the Bank with a certified true copy of the agreement on-lending to EGL the
ADF/TSF grant and loan resources allocated for financing project Components 2 and 3.
C. Other Conditions:
In addition, the Donees/Borrowers shall, to the Fund’s satisfaction:
(i) Provide, as works advance and in any event prior to the start of works on a given zone,
evidence of compensating project-affected persons in the said zone, in accordance with
the Comprehensive Resettlement Plan (CRP) and the relevant Fund rules and procedures,
especially the Fund’s Involuntary Resettlement Policy and Integrated Safeguards System;
and
(ii) Provide, no later than six months after the financial closure, all the documents relating to
environmental and social aspects (ESIA, FRP, PRRV, PDLC, etc.) (Paragraphs 3.2.1.1).
D. Undertakings:
To the satisfaction of the Fund/TSF, each Borrower or Donee shall undertake to:
(i) Provide the Fund/TSF with all documents reasonably required for the project's
implementation;
(ii) Have prepared by EGL the project implementation and administrative and financial
management procedures manuals (Paragraph 4.1.5.1) ;
18
(iii) Implement the Project and ESMP as revised and have them implemented by the PC and
its contractors in compliance with national laws, the recommendations, requirements and
procedures contained in the ESMP as well as with the related Fund/TSF rules and
procedures (Paragraph 3.2.1.2); and
(iv) Provide the Fund/TAF with quarterly reports on the implementation of the revised ESMP
including, as required, weaknesses and remedial action taken or to be taken.
5.3 Compliance with Bank Policies
The Ruzizi III Regional Hydropower Plant Project complies with all applicable Bank rules and
regulations.
6 RECOMMENDATION
Management recommends that the Boards of Directors: (i) waive, on an exceptional basis, the
application of the Bank's rules and procedures in favour of those of the World Bank for the procurement
of goods, works and services for the EPC contracts; and (ii) approve: (a) for Burundi: a grant of UA 21
million from ADF-13 resources; (b) for DRC: a grant and loan from TSF resources (Pillar I), of UA 45
million and UA 15 million; and (c) for Rwanda: a loan of UA 17.50 million from ADF-13 resources to
finance the Ruzizi III Regional Hydropower Plant.
I
Annex 1(a)
Comparative Socio-Economic Indicators for Burundi
Year Burundi Africa
Develo-
ping
Countries
Develo-
ped
Countries
Basic Indicators
Area ( '000 Km²) 2014 28 30 067 80 386 53 939Total Population (millions) 2014 10,5 1 136,9 6,0 1,3Urban Population (% of Total) 2014 11,8 39,9 47,6 78,7Population Density (per Km²) 2014 376,7 37,8 73,3 24,3GNI per Capita (US $) 2013 260 2 310 4 168 39 812Labor Force Participation - Total (%) 2014 82,7 66,1 67,7 72,3Labor Force Participation - Female (%) 2014 51,4 42,8 52,9 65,1Gender -Related Dev elopment Index Value 2007-2013 0,904 0,801 0,506 0,792Human Dev elop. Index (Rank among 187 countries) 2013 180 ... ... ...Popul. Liv ing Below $ 1.25 a Day (% of Population)2008-2013 81,3 39,6 17,0 ...
Demographic Indicators
Population Grow th Rate - Total (%) 2014 3,1 2,5 1,3 0,4Population Grow th Rate - Urban (%) 2014 5,6 3,4 2,5 0,7Population < 15 y ears (%) 2014 44,8 40,8 28,2 17,0Population >= 65 y ears (%) 2014 2,4 3,5 6,3 16,3Dependency Ratio (%) 2014 66,8 62,4 54,3 50,4Sex Ratio (per 100 female) 2014 97,6 100,4 107,7 105,4Female Population 15-49 y ears (% of total population) 2014 23,7 24,0 26,0 23,0Life Ex pectancy at Birth - Total (y ears) 2014 54,5 59,6 69,2 79,3Life Ex pectancy at Birth - Female (y ears) 2014 56,6 60,7 71,2 82,3Crude Birth Rate (per 1,000) 2014 44,3 34,4 20,9 11,4Crude Death Rate (per 1,000) 2014 12,5 10,2 7,7 9,2Infant Mortality Rate (per 1,000) 2013 54,8 56,7 36,8 5,1Child Mortality Rate (per 1,000) 2013 82,9 84,0 50,2 6,1Total Fertility Rate (per w oman) 2014 5,9 4,6 2,6 1,7Maternal Mortality Rate (per 100,000) 2013 740,0 411,5 230,0 17,0Women Using Contraception (%) 2014 26,5 34,9 62,0 ...
Health & Nutrition Indicators
Phy sicians (per 100,000 people) 2004-2012 2,8 46,9 118,1 308,0Nurses (per 100,000 people)* 2004-2012 19,1 133,4 202,9 857,4Births attended by Trained Health Personnel (%) 2009-2012 60,3 50,6 67,7 ...Access to Safe Water (% of Population) 2012 75,3 67,2 87,2 99,2Healthy life ex pectancy at birth (y ears) 2012 48,0 51,3 57 69Access to Sanitation (% of Population) 2012 47,5 38,8 56,9 96,2Percent. of Adults (aged 15-49) Liv ing w ith HIV/AIDS 2013 1,0 3,7 1,2 ...Incidence of Tuberculosis (per 100,000) 2013 128,0 246,0 149,0 22,0Child Immunization Against Tuberculosis (%) 2013 95,0 84,3 90,0 ...Child Immunization Against Measles (%) 2013 98,0 76,0 82,7 93,9Underw eight Children (% of children under 5 y ears) 2005-2013 29,1 20,9 17,0 0,9Daily Calorie Supply per Capita 2011 1 604 2 618 2 335 3 503Public Ex penditure on Health (as % of GDP) 2013 4,4 2,7 3,1 7,3
Education Indicators
Gross Enrolment Ratio (%)
Primary School - Total 2011-2014 134,1 106,3 109,4 101,3 Primary School - Female 2011-2014 134,5 102,6 107,6 101,1 Secondary School - Total 2011-2014 33,1 54,3 69,0 100,2 Secondary School - Female 2011-2014 29,2 51,4 67,7 99,9Primary School Female Teaching Staff (% of Total) 2012-2014 52,8 45,1 58,1 81,6Adult literacy Rate - Total (%) 2006-2012 86,9 61,9 80,4 99,2Adult literacy Rate - Male (%) 2006-2012 88,8 70,2 85,9 99,3Adult literacy Rate - Female (%) 2006-2012 84,6 53,5 75,2 99,0Percentage of GDP Spent on Education 2009-2012 5,8 5,3 4,3 5,5
Environmental Indicators
Land Use (Arable Land as % of Total Land Area) 2012 42,8 8,8 11,8 9,2Agricultural Land (as % of land area) 2012 0,8 43,4 43,4 28,9Forest (As % of Land Area) 2012 6,6 22,1 28,3 34,9Per Capita CO2 Emissions (metric tons) 2012 0,0 1,1 3,0 11,6
Sources : AfDB Statistics Department Databases; World Bank: World Development Indicators; last update :
UNAIDS; UNSD; WHO, UNICEF, UNDP; Country Reports.
Note : n.a. : Not Applicable ; … : Data Not Available.
BurundiCOMPARATIVE SOCIO-ECONOMIC INDICATORS
novembre 2015
0
10
20
30
40
50
60
70
80
90
100
20
00
20
05
20
08
20
09
20
10
20
11
20
12
20
13
Infant Mortality Rate( Per 1000 )
Burun di Africa
0
500
1000
1500
2000
2500
20
00
20
05
20
07
20
08
20
09
20
10
20
11
20
12
20
13
GNI Per Capita US $
Burun di Africa
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
4,0
20
00
20
05
20
08
20
09
20
10
20
11
20
12
20
13
20
14
Population Growth Rate (%)
Burundi Africa
01020304050607080
20
00
20
05
20
08
20
09
20
10
20
11
20
12
20
13
20
14
Life Expectancy at Birth (years)
Burun di Africa
II
Annex 1(b)
Comparative Socio-Economic Indicators for DRC
Year
Congo,
Dem.
Republic
Africa
Develo-
ping
Countries
Develo-
ped
Countries
Basic Indicators
Area ( '000 Km²) 2014 2 345 30 067 80 386 53 939Total Population (millions) 2014 69,4 1 136,9 6,0 1,3Urban Population (% of Total) 2014 35,9 39,9 47,6 78,7Population Density (per Km²) 2014 29,6 37,8 73,3 24,3GNI per Capita (US $) 2013 430 2 310 4 168 39 812Labor Force Participation - Total (%) 2014 72,0 66,1 67,7 72,3Labor Force Participation - Female (%) 2014 49,8 42,8 52,9 65,1Gender -Related Dev elopment Index Value 2007-2013 0,822 0,801 0,506 0,792Human Dev elop. Index (Rank among 187 countries) 2013 186 ... ... ...Popul. Liv ing Below $ 1.25 a Day (% of Population)2008-2013 87,7 39,6 17,0 ...
Demographic Indicators
Population Grow th Rate - Total (%) 2014 2,7 2,5 1,3 0,4Population Grow th Rate - Urban (%) 2014 4,3 3,4 2,5 0,7Population < 15 y ears (%) 2014 44,8 40,8 28,2 17,0Population >= 65 y ears (%) 2014 2,9 3,5 6,3 16,3Dependency Ratio (%) 2014 91,6 62,4 54,3 50,4Sex Ratio (per 100 female) 2014 98,7 100,4 107,7 105,4Female Population 15-49 y ears (% of total population) 2014 23,0 24,0 26,0 23,0Life Ex pectancy at Birth - Total (y ears) 2014 50,3 59,6 69,2 79,3Life Ex pectancy at Birth - Female (y ears) 2014 52,0 60,7 71,2 82,3Crude Birth Rate (per 1,000) 2014 42,3 34,4 20,9 11,4Crude Death Rate (per 1,000) 2014 15,2 10,2 7,7 9,2Infant Mortality Rate (per 1,000) 2013 86,1 56,7 36,8 5,1Child Mortality Rate (per 1,000) 2013 118,5 84,0 50,2 6,1Total Fertility Rate (per w oman) 2014 5,8 4,6 2,6 1,7Maternal Mortality Rate (per 100,000) 2013 730,0 411,5 230,0 17,0Women Using Contraception (%) 2014 23,0 34,9 62,0 ...
Health & Nutrition Indicators
Phy sicians (per 100,000 people) 2004-2012 10,7 46,9 118,1 308,0Nurses (per 100,000 people)* 2004-2012 52,9 133,4 202,9 857,4Births attended by Trained Health Personnel (%) 2009-2012 80,4 50,6 67,7 ...Access to Safe Water (% of Population) 2012 46,5 67,2 87,2 99,2Healthy life ex pectancy at birth (y ears) 2012 44,0 51,3 57 69Access to Sanitation (% of Population) 2012 31,4 38,8 56,9 96,2Percent. of Adults (aged 15-49) Liv ing w ith HIV/AIDS 2013 1,1 3,7 1,2 ...Incidence of Tuberculosis (per 100,000) 2013 326,0 246,0 149,0 22,0Child Immunization Against Tuberculosis (%) 2013 78,0 84,3 90,0 ...Child Immunization Against Measles (%) 2013 73,0 76,0 82,7 93,9Underw eight Children (% of children under 5 y ears) 2005-2013 24,2 20,9 17,0 0,9Daily Calorie Supply per Capita 2011 ... 2 618 2 335 3 503Public Ex penditure on Health (as % of GDP) 2013 1,9 2,7 3,1 7,3
Education Indicators
Gross Enrolment Ratio (%)
Primary School - Total 2011-2014 110,9 106,3 109,4 101,3 Primary School - Female 2011-2014 103,6 102,6 107,6 101,1 Secondary School - Total 2011-2014 43,3 54,3 69,0 100,2 Secondary School - Female 2011-2014 32,2 51,4 67,7 99,9Primary School Female Teaching Staff (% of Total) 2012-2014 25,5 45,1 58,1 81,6Adult literacy Rate - Total (%) 2006-2012 61,2 61,9 80,4 99,2Adult literacy Rate - Male (%) 2006-2012 76,9 70,2 85,9 99,3Adult literacy Rate - Female (%) 2006-2012 46,1 53,5 75,2 99,0Percentage of GDP Spent on Education 2009-2012 1,6 5,3 4,3 5,5
Environmental Indicators
Land Use (Arable Land as % of Total Land Area) 2012 3,1 8,8 11,8 9,2Agricultural Land (as % of land area) 2012 0,1 43,4 43,4 28,9Forest (As % of Land Area) 2012 67,7 22,1 28,3 34,9Per Capita CO2 Emissions (metric tons) 2012 0,0 1,1 3,0 11,6
Sources : AfDB Statistics Department Databases; World Bank: World Development Indicators; last update :
UNAIDS; UNSD; WHO, UNICEF, UNDP; Country Reports.
Note : n.a. : Not Applicable ; … : Data Not Available.
Congo, Dem. RepublicCOMPARATIVE SOCIO-ECONOMIC INDICATORS
novembre 2015
0
20
40
60
80
100
120
140
20
00
20
05
20
08
20
09
20
10
20
11
20
12
20
13
Infant Mortality Rate( Per 1000 )
Cong o, Dem. Republic Africa
0
500
1000
1500
2000
2500
20
00
20
05
20
07
20
08
20
09
20
10
20
11
20
12
20
13
GNI Per Capita US $
Cong o, Dem. Republic
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
20
00
20
05
20
08
20
09
20
10
20
11
20
12
20
13
20
14
Population Growth Rate (%)
Congo, Dem. Republic
Africa
01020304050607080
20
00
20
05
20
08
20
09
20
10
20
11
20
12
20
13
20
14
Life Expectancy at Birth (years)
Cong o, Dem. Republic
Africa
III
Annex 1(c)
Comparative Socio-Economic Indicators for Rwanda
Year Rwanda Africa
Develo-
ping
Countries
Develo-
ped
Countries
Basic Indicators
Area ( '000 Km²) 2014 26 30 067 80 386 53 939Total Population (millions) 2014 12,1 1 136,9 6,0 1,3Urban Population (% of Total) 2014 20,0 39,9 47,6 78,7Population Density (per Km²) 2014 459,4 37,8 73,3 24,3GNI per Capita (US $) 2013 630 2 310 4 168 39 812Labor Force Participation - Total (%) 2014 85,7 66,1 67,7 72,3Labor Force Participation - Female (%) 2014 52,3 42,8 52,9 65,1Gender -Related Dev elopment Index Value 2007-2013 0,950 0,801 0,506 0,792Human Dev elop. Index (Rank among 187 countries) 2013 151 ... ... ...Popul. Liv ing Below $ 1.25 a Day (% of Population)2008-2013 63,0 39,6 17,0 ...
Demographic Indicators
Population Grow th Rate - Total (%) 2014 2,7 2,5 1,3 0,4Population Grow th Rate - Urban (%) 2014 4,3 3,4 2,5 0,7Population < 15 y ears (%) 2014 42,1 40,8 28,2 17,0Population >= 65 y ears (%) 2014 2,4 3,5 6,3 16,3Dependency Ratio (%) 2014 84,7 62,4 54,3 50,4Sex Ratio (per 100 female) 2014 95,5 100,4 107,7 105,4Female Population 15-49 y ears (% of total population) 2014 25,2 24,0 26,0 23,0Life Ex pectancy at Birth - Total (y ears) 2014 64,5 59,6 69,2 79,3Life Ex pectancy at Birth - Female (y ears) 2014 66,2 60,7 71,2 82,3Crude Birth Rate (per 1,000) 2014 34,5 34,4 20,9 11,4Crude Death Rate (per 1,000) 2014 6,9 10,2 7,7 9,2Infant Mortality Rate (per 1,000) 2013 37,1 56,7 36,8 5,1Child Mortality Rate (per 1,000) 2013 52,0 84,0 50,2 6,1Total Fertility Rate (per w oman) 2014 4,4 4,6 2,6 1,7Maternal Mortality Rate (per 100,000) 2013 320,0 411,5 230,0 17,0Women Using Contraception (%) 2014 52,5 34,9 62,0 ...
Health & Nutrition Indicators
Phy sicians (per 100,000 people) 2004-2012 5,6 46,9 118,1 308,0Nurses (per 100,000 people)* 2004-2012 68,9 133,4 202,9 857,4Births attended by Trained Health Personnel (%) 2009-2012 69,0 50,6 67,7 ...Access to Safe Water (% of Population) 2012 70,7 67,2 87,2 99,2Healthy life ex pectancy at birth (y ears) 2012 55,0 51,3 57 69Access to Sanitation (% of Population) 2012 63,8 38,8 56,9 96,2Percent. of Adults (aged 15-49) Liv ing w ith HIV/AIDS 2013 2,9 3,7 1,2 ...Incidence of Tuberculosis (per 100,000) 2013 69,0 246,0 149,0 22,0Child Immunization Against Tuberculosis (%) 2013 99,0 84,3 90,0 ...Child Immunization Against Measles (%) 2013 97,0 76,0 82,7 93,9Underw eight Children (% of children under 5 y ears) 2005-2013 11,7 20,9 17,0 0,9Daily Calorie Supply per Capita 2011 2 148 2 618 2 335 3 503Public Ex penditure on Health (as % of GDP) 2013 6,5 2,7 3,1 7,3
Education Indicators
Gross Enrolment Ratio (%)
Primary School - Total 2011-2014 133,8 106,3 109,4 101,3 Primary School - Female 2011-2014 135,3 102,6 107,6 101,1 Secondary School - Total 2011-2014 32,6 54,3 69,0 100,2 Secondary School - Female 2011-2014 33,7 51,4 67,7 99,9Primary School Female Teaching Staff (% of Total) 2012-2014 53,1 45,1 58,1 81,6Adult literacy Rate - Total (%) 2006-2012 65,9 61,9 80,4 99,2Adult literacy Rate - Male (%) 2006-2012 71,1 70,2 85,9 99,3Adult literacy Rate - Female (%) 2006-2012 61,5 53,5 75,2 99,0Percentage of GDP Spent on Education 2009-2012 4,8 5,3 4,3 5,5
Environmental Indicators
Land Use (Arable Land as % of Total Land Area) 2012 47,9 8,8 11,8 9,2Agricultural Land (as % of land area) 2012 0,8 43,4 43,4 28,9Forest (As % of Land Area) 2012 18,4 22,1 28,3 34,9Per Capita CO2 Emissions (metric tons) 2012 0,1 1,1 3,0 11,6
Sources : AfDB Statistics Department Databases; World Bank: World Development Indicators; last update :
UNAIDS; UNSD; WHO, UNICEF, UNDP; Country Reports.
Note : n.a. : Not Applicable ; … : Data Not Available.
RwandaCOMPARATIVE SOCIO-ECONOMIC INDICATORS
novembre 2015
0
20
40
60
80
100
120
2000
2005
2008
2009
2010
2011
2012
2013
Infant Mortality Rate( Per 1000 )
Rwanda Africa
0
500
1000
1500
2000
2500
2000
2005
2007
2008
2009
2010
2011
2012
2013
GNI Per Capita US $
Rwanda Africa
0,0
1,0
2,0
3,0
4,0
5,0
6,0
7,0
8,0
2000
20
05
20
08
2009
20
10
20
11
2012
20
13
20
14
Population Growth Rate (%)
Rwanda Africa
01020304050607080
2000
20
05
20
08
2009
2010
20
11
20
12
20
13
2014
Life Expectancy at Birth (years)
Rwanda Africa
IV
Annex 2a: Status of Bank Group's Active Portfolio in Burundi as at 26 October 2015 National Project
Division Full Name Sector Name Window Approval
Date
Signature
Date
Net Loan Amount
Disbursed
Disb. Ratio Age
OITC2 THE NYAKARARO -MWARO-GITEGA ROAD (RN18)
IMPROVEMENT AND ASPHALTING PROJECT
Transport [ ADF ] 24Sep14 19Nov14 19,420,000 1,640,990 8.5% 1.1
OITC2 THE GITEGA-NYANG ROAD IMPROVEMENT AND
ASPHALTING PROJECT
Transport [ ADF ] 29Jun11 16Mar12 10,000,000 2,172,000 21.7% 4.3
OITC2 THE GITEGA-NYANG ROAD IMPROVEMENT AND ASPHALTING PROJECT
Transport [ ADF ] 29Jun11 16Mar12 32,000,000 26,832,000 83.9% 4.3
OITC2 MAKEBUKO RUYIGI ROAD PROJECT Transport [ ADF ] 18Dec13 18Feb14 8,940,000 787,614 8.8% 1.9
ONEC2 JIJI AND MULEMBWE HYDROPOWER PLANTS
DEVELOPMENT PROJECT
Power [ ADF ] 23Jun14 31Jul14 14,340,000 - 0.0% 1.4
ONEC2 MASTER PLAN STUDY OF ELECTRICITY
GENERATION, TRANSMISSION AND DISTRIBUTION
IN BURUNDI
Power [ ADF ] 30Apr14 14Aug14 414,000 - 0.0% 1.5
OSAN3 WATERSHED MANAGEMENT AND CLIMATE
RESILIENCE IMPROVEMENT PROJECT
Environment [OTHERS] 22Apr13 28May13 2,191,126 929,257 42.4% 2.5
Environment [ ADF ] 22Apr13 28May13 6,230,000 3,939,229 63.2% 2.5
OSGE2 PRIVATE SECTOR DEVELOPMENT SUPPORT
PROJECT (PADSP)
Multi-Sector [ ADF ] 09Nov12 01Mar13 884,730 393,801 44.5% 3.0
OSGE2 PUBLIC FINANCE MANAGEMENT CAPACITY
BUILDING PROJECT
Multi-Sector [ ADF ] 09Nov12 01Mar13 1,244,681 472,841 38.0% 3.0
OSHD1 CAPACITY BUILDING FOR COLLECTION OF DATA
ON LABOUR AND SOCIAL PROTECTION
Multi-Sector [ ADF ] 09Nov12 01Mar13 400,920 399,995 99.8% 3.0
OSHD1 INSTITUTION CAPACITY BUILIDING -EMPLOYMENT
AND ENTREPRENEURSHIP
Multi-Sector [ ADF ] 12Nov12 01Mar13 1,347,796 1,162,045 86.2% 3.0
97,413,253 38,729,771 40% 2.6
Regional Projects
Division Full Name Sector Name Window Approval
Date
Signature
Date
Net loan Amount
Disbursed
Disb. Ratio Age
OITC2 NYAMITANGA-RUHWA-NTENDEZI-MWITYAZO
ROAD PROJECT
Transport [ ADF ] 16Dec08 16Mar09 49,380,000 45,878,958 93% 6.9
OITC2 ISAKA-KIGA/KEZA-MUSONGATI RAILWAY PROJECT-PHASE 2
Transport [ ADF ] 17Nov09 12Feb10 1,670,000 1,240,977 74% 6.0
OITC2 BURUNDI- MUGI ROADS IMPROVEMENT AND
ASPHALTING PROJECT
Transport [ ADF ] 27Jun12 23Jul12 27,500,000 5,731,000 21% 3.3
OITC2 PROJECT PREPARATORY STUDY FOR
DEVELOPMENT OF BUJUMBURA PORT
Transport [OTHERS] 14Oct13 13Dec13 826,652 233,860 28% 2.0
ONEC2 NELSAP INTERCONNECTION PROJECT - BURUNDI Power [ ADF ] 27Nov08 16Mar09 15,150,000 1,818,000 12% 6.9
ONEC2 REGIONAL RUSUMO HYDROPOWER - BURUNDI Power [ ADF ] 27Nov13 18Feb14 16,700,000 93,520 1% 1.9
[OTHERS] 21Nov13 23Sep14 10,196,085 - 0% 1.9
OSAN1 BUGESERA INTEGRATED REGIONAL
DEVELOPMENT PROJECT
Agriculture [ ADF ] 25Sep09 04Nov09 15,020,000 8,062,736 54% 6.1
OWAS2 LAKE VICTORIA WATER AND SANITATION
PROGRAM
Water
Supply/Sanitation
[ ADF ] 17Dec10 04Apr11 14,000,000 700,000 5% 4.9
OSHD1 TECHNICAL ASSISTANCE AND CAPACITY BUILDING TO ICGLR (REGIONAL)
Multisector [ TSF] 15Jul13 08Nov13 1,485,048 579,428 39% 2.3
151,927,785 64,338,479 42% 4.2
V
Annex 2b Status of Bank Group's Active Portfolio in DRC as at 30 September 2015
Project Name SAP Code
Source of Financing.
Approval Date
Signature Date
Effectiveness Date
Closing Date
Approved
Amount in
MUA
Total
Disbursed
in MUA
%
Disburse
d.
% sect. Status
AGRICULTURE SECTOR 49.46 10.39 21.00% 7.06%
1 RURAL INFRASTRUCTURE DEVELOPMENT SUPPORT
P-CD-AB0-001 ADF grant 10/11/2011 20.01.2012 20.01.2012 31.12.2017 49.46 10.39 21.00% NPP/NPP
P
TRANSPORT AND ICT SECTOR 285.63 75.96 26.59% 40.75
%
2 PRIORITY AIR SAFETY PROJECT
P-CD-DA0-001 ADF grant 29/09/2010 02.11.2010 02.11.2010 31.12.2015 88.60 60.77 68.59% NPP/NPP
P
3 BATSHAMBA-TSHIKAPA ROAD REHABILITATION PROJECT
P-CD-DB0-002 ADF grant 13/06/2012 07.08.2012 07.08.2012 31.12.2017 53.55 15.19 28.36% NPP/NPP
P
4 BATSHAMBA ROAD- LOVUA SECTION- IMPROVEMENT PROJECT
P-CD-DB0-008 ADF grant 10/12/2013 07.01.2014 07.01.2014 31.12.2019 13.26 0.00 0.00% NPP/NPP
P
ADF loan 10/12/2013 07.01.2014
31.12.2019 0.66 0.00 0.00%
ADF grant 22/10/2014 26.03.2015 26.03.2015 31.12.2019 55.56 0.00 0.00%
5 PROJECT TO IMPROVE THE TSHIKAPA-MBUJI MAYI ROAD (TSHIKAPA-KAMUESHA SECTION) AND REHABILITATE RELATED
RURAL AND AGRICULTURAL INFRASTRUCTURE.
P-CD-DB0-009 ADF grant 17/12/2014 26.03.2015 26.03.2015 31/12/2019 74.00 0.00 0.00% NPP/NPP
P
WATER AND SANITATION SECTOR 106.26 1.26 1.19% 15.16
%
6
REINFORCEMENT OF SOCIO-ECONOMIC INFRASTRUCTURE IN THE
CENTRAL
REGION
P-CD-E00-002 ADF grant 27/11/2013 26.03.2015 26.03.2015 31.12.2019 43.53 0.98 2.26%
ADF loan 27/11/2013 26.03.2015
31.12.2019 1.47 0.00 0.00%
TSF Grant 27/11/2013 26.03.2015 26.03.2015 31.12.2019 55.00 0.21 0.39%
RWSSI 27/11/2013 26.03.2015 26.03.2015 31.12.2019 4.76 0.06 1.32%
7 FEASIBILITY STUDY ON THE EXPANSION OF DRINKING WATER SUPPLY SERVICES
TO WEST KINSHASA AWF 25/06/2015
31.12.2017 1,50 0.00 0.00%
PRIVATE SECTOR 42.72 17.72 41.48% 6.10%
8 NYUMBA CEMENT PLANT PROJECT
P-CD-B00-001 ADB loan 12/02/2014 27.11.2014
42.72 17.72 41.48% NPP/NPP
P
ENERGY SECTOR 105.39 36.09 34.2% 15.04
%
9 INGA HYDROPOWER REHAB. PROJECT-PMEDE P-CD-FA0-001 ADF grant 18/12/2007 10.04.2008 10.04.2008 30.06.2016 35.70 16.42 46.00% PPP
10 RURAL & PERIURBAN ELECTRIFICATION PROJECT
P-CD-FA0-003 TSF Grant 15/12/2010 10.03.2011 10.03.2011 31.12.2017 60.00 15.78 26.30% NPP/NPP
P
RURAL & PERIURBAN ELECTRIFICATION PROJECT P-CD-FA0-003 ADF grant 15/12/2010 10.03.2011 10.03.2011 31.05.2017 9.69 3.89 40.14%
11 ESTABLISHMENT OF INGA SITE DEVELOPMENT AND PROMOTION AUTHORITY
P-CD-FA0-005 TAS 17/04/2013 31.05.2013 31.05.2013 30.11.2016 1.99 0.00 0.00% NPP/NPP
P
VI
12 INGA3 DEVELOPMENT PROJECT -INGA/PATCD
P-CD-FA0-009 TAS 13/05/2013 31.05.2013 31.05.2013 30.11.2016 1.5 1.39 92.46% NPP/NPP
P
MULTISECTOR (GOVERNANCE) 80.50 21.13 26.2% 11.49
%
13 PUBLIC FINANCE MODERNIZATION SUPPORT PROJECT
P-CD-KF0-002 ADF grant 25/04/2010 29.05.2012 29.05.2012 31.12.2015 10.00 5.80 58.03% NPP/NPP
P
14 MOBILIZATION OF PUBLIC ADMINISTRATION HUMAN RESOURCES
P-CD-KZ0-004 ADF grant 21/01/2011 04.05.2011 05.05.2011 31.12.2015 20.00 13.83 69.14% NPP/NPP
P
15 STATISTICS AND PUBLIC FINANCE INSTITUTIONAL SUPPORT
P-CD-K00-009 ADF grant 23/10/2013 26.03.2015 26.03.2015 31.12.2016 10.96 1.23 11.26% NPP/NPP
P
16 BUILDING CAPACITY TO STEER REFORMS
P-CD-KF0-008 TAS grant 18/07/2013 06.11.2013 06.11.2013 30.06.2016 1.54 0.26 16.95% NPP/NPP
P
17 PRIVATE SECTOR DEVELOPMENT AND JOB CREATION SUPPORT PROJECT
P-CD-KB0-001 ADF grant 03/06/2015 05/08/2015 05/08/2015 30.06.2019 38.00 0.00 0.00%
SOCIAL 16.25 0.00 0.0% 2.32%
18 GENERAL POPULATION CENSUS AND SOCIAL DATABASES
CONSOLIDATION SUPPORT PROJECT P-CD-KF0-007 ADF grant 26/11/2014 28/05/2015 28/05/2015 31/12/2017 15.00 0.00 0.00%
19 SUPPORT FOR PREPARATION OF CWIQ SURVEY
P-CD-IZ0-005 TAS grant 22/06/2015 09/09/2015 09/09/2015 31/12/2015 1.25 0.00 0.00%
ENVIRONMENT 14.67 0.36 2.5%
20 REDD- KIS INTEGRATED PROJECT
P-CD-AAD-003 FIP 11/09/2013 15.08.2014 15.08.2014 31.07.2018 14.67 0.36 2.46% NPP/NPP
P
National Operations 700.87 162.90 23.24%
EMERGENCY ASSISTANCE 1.34 1.34 100.0% 0.19%
1 EMERGENCY ASSISTANCE TO DISPLACED PEOPLE IN KATANGA
PROVINCE P-CD-AA0-005 SRF 20/02/2014 20/08/2014 20/08/2014 30.06.2015 0.67 0.67 100.0%
2 EMERGENCY ASSISTANCE FOR THE FIGHT AGAINST EBOLA P-CD-IBE-001 SRF 22/09/2014
30/09/2015 0.67 0.67 100.0%
CONGO BASIN FOREST FUND (CBFF) 23.31 13.92 59.7%
1 SANKURU FAIR TRADE CARBON INITIATIVE P-Z1-C00-021 CBFF 07/04/2010 14.02.2011 10.03.2011 31.12.2015 1.05 0.95 90.14% PPP
2 CONSERVATION INTERNATIONALE FOUNDATION P-Z1-C00-025 CBFF 09/06/2010 26.07.2001 10.11.2011 30.09.2015 1.07 0.45 42.36% PPP
3 ECOMAKALA
P-Z1-C00-026 CBFF 12/07/2011 31.08.2011 31.08.2011 30.06.2016 1.98 1.05 53.01% NPP/NPP
P
4 SOUTH KWAMOUTH REDD AGROFORESTRY PILOT PROJECT
P-Z1-C00-027 CBFF 12/07/2011 31.08.2011 31.08.2011 30.09.2016 1.98 1.77 89.40% NPP/NPP
P
5 ISANGI REDD PILOT PROJECT
P-Z1-C00-028 CBFF 19/05/2011 08.06.2011 17.08.2011 30.06.2016 1.83 1.57 85.91% NPP/NPP
P
6 CIVIL SOCIETY AND GOVERNANCE CAPACITY BUILDING
P-Z1-C00-029 CBFF 13/07/2011 31.08.2011 15.10.2011 30.09.2016 2.54 0.94 37.04% NPP/NPP
P
7 LUKI REDD PROJECT
P-Z1-C00-031 CBFF 22/07/2011 31.08.2011 31.08.2011 31.12.2016 1.86 1.05 56.70% NPP/NPP
P
VII
8 MAMBASA REDD PROJECT
P-Z1-C00-032 CBFF 27/04/2011 08.06.2011 17.08.2011 30.06.2016 2.35 1.89 80.60% NPP/NPP
P
9 VAMPEEN VALORIZATION OF AFRICAN MEDICINE
P-Z1-C00-043 CBFF 16/11/2011 09.12.2011 30.12.2011 30.06.2016 1.25 0.99 78.50% NPP/NPP
P
10 AGROFORESTRY DEVELOPMENT SUPPORT P-CD-C00-035 CBFF 02/04/2012 12.06.2012 30.08.2012 31.12.2015 5.30 3.25 61.29% PPP
11 PROJECT TO REDUCE DEFORESTATION AND ALLEVIATE POVERTY
IN THE VIRUNGA-HOYO REGION P-CD-C00-037 CBFF 28/11/2014 17.04.2015
31.12.2017 2.10 0.00 0.00%
NPP/NPP
P
MULTINATIONAL 89.56 8.70 9.7%
1
STUDY ON THE ROAD-RAIL BRIDGE BETWEEN KINSHASA (DRC)
AND BRAZZAVILLE (CONGO) P-Z1-D00-016
ADF grant 03/12/2008 13.05.2009 13.05.2009 31.12.2015 3.59 1.86 51.77% NPP/NPP
P
2 STUDY ON THE EXTENSION OF THE KINSHASA-ILEBO RAILWAY P-Z1-DC0-014 IPPF grant 15/07/2012 13.08.2012 13.08.2012 30.06.2015 0.71 0.30 42.61%
3
STUDY ON THE OUSSO-BANGUI-NDJAMENA ROAD AND RIVER
NAVIGATION P-Z1-D00-066
ADF grant 01/12/2010 29.04.2011 29.04.2011 30.11.2016 0.44 0.06 12.79% NPP/NPP
P
4 NELSAP INTERCONNECTION PROJECT - DRC P-Z1-FA0-035 ADF grant 27/11/2008 28.05.2010 28.05.2010 31.12.2016 27.62 2.16 7.81% PPP
5 INTERCONNECTION OF BOALI ELECTRIC POWER GRIDS P-Z1-FA0-047 ADF grant 19/09/2012 20.02.2013 20.02.2013 31.12.2017 5.55 0.08 1.39%
6
INGA SITE DEVELOPMENT AND ELECTRICITY ACCESS SUPPORT PROJECT
P-Z1-FA0-045 ADF grant 20/11/2013 07.01.2014 07.01.2014 31.12.2019 39.40 2.14 5.44%
TAS grant
5.00 2.11 42.17%
7
STUDY ON EXTENSION OF NORTH KIVU 220KV TRANSMISSION
LINES P-Z1-FAD-005
IPPF grant 07/06/2013 20.10.2014 20.10.2014 30.06.2015 1.25 0.00 0.00%
8 LAKE EDWARD AND ALBERT INTEGRATED FISHERIES AND WATER RESOURCES MANAGEMENT (LEAF II)*
P-Z1-AF0-006 ADF grant 20/06/2015
31.12.2019 6.00 0.00 0.00%
GRAND TOTAL 815.08 186.87 22.93%
VIII
Annex 2c Status of Bank Group's Active Portfolio in Rwanda as at 03 September 2013
PROJECT Window Total approved Date Approved Closing Date Amt. disb. Disb.
rate
Undisbursed
amount
AGRICULTURE
1 Livestock Infrastructure Support Programme-LISP (SBS) ADF loan 21,810,000 29-Jun-11 31-Dec-15 21,810,000 100.0% 0
WATER
2 Rural Water and Sanitation-Phase II (AEPA) ADF Grant (UA10 M) 10,000,000 1-Jul-09 31-Aug-15 9,955,960 99.6% 44,040
Rural Water and Sanitation-Phase II (AEPA) RWSSI ( EURO 6.960 M ) 6,127,084 1-Jul-09 31-Aug-15 6,127,080 100.0% 4
Sub-total Water 16,127,084 16,083,040 99.7% 44,044
TRANSPORT
3 Base Nyagatare 49,000,000
Sub Total Transport
ENERGY
3 Scaling Up Energy Access Project ADF Grant 11,871,000 596,293 5.0%
Scaling Up Energy Access Project ADF Loan 15,494,000 0 0.0%
SUB-TOTAL INFRASTRUCTURE 92,492,084 16,083,040 17.4% 76,409,044
HUMAN DEVELOPMENT
4 Support to Skills Dev in Science & Tech ADF loan 6,000,000 11-Nov-08 31-Dec-13 2,596,832 43.3% 3,403,168
5 Regional ICT Centre of Excellence 8,600,000 14-Dec-10 30-Jun-16 589,874 6.9% 8,010,126
SUB-TOTAL HUMAN DEV 14,600,000 3,186,706 21.8% 11,413,294
6 Support to EICV-4 ADF Grant 820,000 18-Sep-09 30-Sep-13 590,194 72.0% 229,806
EAC-CoE 12,000,000
7 SEEP II ADF Loan 34,000,000 34,000,000 100.0% 0
8 Support to the Energy Sector (FAPA) FAPA Grant 800,000 30-Nov-13 16-Dec-15 168,571 21.1% 631,429
SUB-TOTAL MULTI-SECTOR 47,620,000 34,758,765 73.0% 12,861,235
Total National Operations - Public 176,522,084 75,838,511 43.0% 100,683,573
PRIVATE SECTOR
9 KivuWatt ADB loan (UA5.3M& FAPA Grant UA 491,834) 15,892,693 3-Feb-11 NA 15,892,693 100.0% 0
10 BRD (LOC & FAPA) ADB loan (UA7.6& FAPA Grant UA 246,799) 7,600,000 19-Nov-10 NA 7,600,000 100.0% 0
11 BRD FAPA) FAPA Grant 480,789 1-Nov-11 31-03-2016 82,237 17.1% 398,553
12 BK (ADF) ADF Loan 12,000,000 19-Nov-10 NA 12,000,000 100.0% 0
BK (FAPA) FAPA Grant 547,200 1-Nov-11 NA 220,296 40.3% 326,904
Sub-TOTAL PRIVATE SECTOR 36,520,682 35,574,930 97.4% 725,457
Total National Operations - Public + Private 213,042,766 111,413,440 52.3% 101,629,326
MULTINATIONAL
13 Isaka-Kigali Railway Study (Phase 2) ADF grant 1,670,000 17-Nov-09 31-Dec-15 1,250,927 74.9% 419,073
14 Rwanda-(Nyamitanga-Ruhwa-Ntendezi-Mwityazo Rd) ADF grant 50,620,000 16-Dec-08 30-Jun-16 34,521,036 68.2% 16,098,964
15 Regional Rusumo Falls 25,384,000 0.0%
NELSAP NBI ADF grant 1,210,000 27-Nov-08 31-Dec-16 1,191,536 98.5%
16 NELSAP Interconnection ADF grant 30,470,000 27-Nov-08 31-Dec-16 21,264,666 69.8% 9,205,334
17 Bugesera Multinational Project ADF loan 14,980,000 25-Sep-09 31-Dec-17 9,010,492 60.2% 5,969,508
18 Rubavu-Gisiza Road Project ADF loan (UA40.525) & ADF grant (UA4.525) 40,050,000 25-Jul-12 31-Dec-17 5,932,906 14.8% 34,117,094
Rubavu-Gisiza Road Project 4,525,000 25-Jul-12 31-Dec-17 312,320 6.9% 4,212,680
19 Sustainable management of woodlands and restoration of natural forests
of Rwanda ADF grant 4,015,424 29-Nov-11 31-May-14 1,590,083 39.6% 2,425,341
20 Lake Victoria Water and Sanitation Programme ADF grant 15,110,000 17-Feb-10 31-Dec-15 8,316,224 55.0% 6,793,776
21 Payment and Settlement Systems Integration Project ADF grant 3,690,000 5-Dec-12 1-Jun-17 - 0.0% 3,690,000
SUB-TOTAL MULTINATIONAL 191,724,424 92,400,682 48.2% 82,931,770
GRAND TOTAL 404,767,190 203,814,123 50.4% 184,561,096
IX
Annex 3 - Development Partners' Operations in the Electricity Sub-Sector in the Great
Lakes Countries
DONORS PROGRAMME OR PROJECT AMOUNT
ADB Kamanyola (RDC) – Bujumbura 220KV
Interconnection Line UA 15.15 million
ADB/WB/EU Master Plan for the Transmission and
Distribution of Affordable Electrical Energy in
Burundi (Burundi)
UA 2 million
EU/WB/ADB/EIB Jiji Mulembwe Hydropower Plant (Burundi) UA 172.22 million
CHINA Ruzibazi Hydropower Plant in Burundi (17MW) USD 60 million
EXIM INDIA Kabu 16 Hydropower Plant in Burundi (20 MW) USD 80 million
EU/KFW Ruzizi II Rehabilitation- Regional Project EUR 76 million
EU/WB/ADB Rusumo Falls Hydropower Plant UA 305.5 million
EU/KFW Rwanda, DRC, Burundi Interconnection –
Regional Project EUR 15.8 million
ADB, KFW, EU,
JICA
NELSAP Interconnection Project connecting
Burundi, DRC, Kenya, Rwanda and Uganda
(Bank contribution is 30.47MUA
EUR 317.6 million
ADB Scaling-up Energy Access Project UA 30 million
ADB KIVUWATT (Bank contribution is 25MUSD) UA 184 million
WB Regional and Domestic Power Markets
Development Project (PMEDE)
Southern African Power Market Project
(SAPMP)
USD 937,000,000
KfW - Project for the Rehabilitation and
Strengthening of the Inga Hydropower
Stations and Kinshasa Distribution Grid (Inga II
generator 27)
- Kamanyola Substation Project under the
Ruzizi III Project
Financing being
prepared
EIB - Southern African Power Market Project
(SAPMP)
- Project for the Rehabilitation of the Inga
Hydropower Plants and Kinshasa Distribution
Grid (PMEDE)
EUR 110,000,000
Belgian Technical
Cooperation - Rehabilitation of the Tshopo Hydropower
Plant and Kisangani Distribution Grid EUR 13,500,000
Chinese
Cooperation - Construction of Zongo II Hydropower Plant
(150 MW) EUR 360,000,000
Netherlands
Cooperation
- Project for Consolidating the Interconnection of
the Electric Grids of Nile Equatorial Lakes
Countries
10,000,000
X
Annex 4
Map of Project Area
This map has been provided by the staff of the African Development Bank exclusively for the
use of the readers of the report to which it is attached. The names used and the borders shown
do not imply on the part of the Bank Group and its members any judgment concerning the
legal status of a territory nor any approval or acceptance of these borders.
XI
ANNEX 5
On-lending of ADF Resources to the Project Company and Impact on the Project
The Bank's existing policy on the on-lending of loans:
1) The basic principle relating to the on-lending of resources allocated by the Bank is to meet
market conditions as closely as possible (paragraph 21);
2) In particular, in the case of ADF resources, which will be on-lent under this project,
paragraphs 29 and 30 of the Policy stipulate that ADF concessional resources may be on-
lent to take into account certain factors or specific situations;
3) The on-lending policy completes these provisions by point (viii) on page 12, which raises
the specific case of companies operating in the basic infrastructure sector.
This Ruzizi III project concerns basic infrastructure and has a strong social dimension due to the
transformational nature of energy on the population's living conditions. The availability of energy in the
Great Lakes Region confronted by armed conflict for over a decade, may contribute to the restoration of
peace through the development of highly remunerative activities. It is also necessary to facilitate access
to this energy from both technically and in terms of price. The issue of pricing has been raised by all the
national electricity companies which, as signatories of the future power purchase contracts, are seriously
concerned about the sustainability of the operation for them. The simulations carried out by EGL and the
future private partner have confirmed the significant impact of on-lending concessional resources to the
Project Company (PC). As an illustration, the on-lending of concessional resources to the PC at a rate of
2% could reduce the cost of energy from USD/kWh 0.19 to USD/kWh 0.11. These cost levels are
sustainable for electricity companies given their energy mix, and should lead to the emergence of more
affordable prices for households and the economy in general.
Therefore, this project comes under the category of projects for which the on-lending of ADF resources
to a non-State entity directly benefits the population and national economies, especially for two
countries in transition.
Financing Plan:
XII
ANNEX 6: Factors of Fragility Addressed by the Project
The matrix below, which provides a summary of the fragility assessment presented in the technical
annexes, shows how the project takes into consideration the following factors of fragility identified at
appraisal: (i) the volatility of the security situation and political instability; (ii) the different forms of
social exclusion: identity crisis, ethnic divides and land tenure conflicts; (iii) weak water resource
governance capacity; (iv) gender-based violence; (v) extreme poverty and unemployment especially
among young people; and (vi) EGL's weak institutional capacity.
Factors of
Fragility
Situations of Fragility Measures Project's Planned Activities
Volatility of
the security
situation and
political
instability
Because of the
regionalization of the
conflicts in Great Lakes, the
political context of the
2015-2017 period marked
by tension due to the
electoral process does not
preclude further implosions
in the short-to-medium
term, which could affect the
project.
Obtain information
regularly on the political
situations and include
political risk in the
project's monitoring and
evaluation system.
The project is an important instrument for
dialogue in the political and security
stabilization process in the Great Lakes region.
This aspect is strengthened by the strategic
nature of the sector covered by the project
(Energy) and also by its multi-donor nature.
The project has made provision for a
monitoring/evaluation expert who will
establish a mechanism that takes into account
the monitoring of security and political risks.
The different
forms of social
exclusion:
identity crisis,
ethnic divides
and land
tenure
conflicts
The Great Lakes region in
general, and the zone
covered by Burundi,
Rwanda and DRC, in
particular, is characterized
by different forms of social
exclusion and inequalities
marked by ethnic divides,
identity crises and land
tenure conflicts that
represent real sources of
recurring tension.
Develop a resettlement
plan which does not
exacerbate existing social
exclusions but helps to
reduce them.
A resettlement action plan was prepared in
2012. It will be updated by the Project
Company (PC) before the launching of bidding
for the EPC contracts in compliance with the
Bank's requirements. The update will take into
account the analysis on the different forms of
social exclusion, and will implement measures
not to exacerbate them but instead reduce
them.
Weak water
resource
governance
capacity
Construction of the project
dam could create conflicts
between the use of water
for energy and for
agricultural purposes. The
hydropower release
schedule is not necessarily
the same as that for water
for agricultural purposes.
Such competition between
users could occur within
each country or at regional
level in the three countries.
Prepare a water resource
governance strategy which
factors in the need to
develop the agriculture
sector in the project area.
To mitigate the negative impacts of the
project, including those concerning water
management, contractors will be required to
submit comprehensive specific environmental
and social management plans based on the
Project ESMP and the PC Environmental and
Social Management System.
Gender-based
violence
The Great Lakes region is
one of the areas with the
highest cases of gender-
based violence or
discrimination.
In the project, include
related activities
concerning women's
empowerment and the
combat against gender-
based violence and
discrimination.
The project includes activities with positive
impacts on women, girls and children: (i) the
emergence or strengthening of income-
generating activities (IGA) for women; (ii) the
creation of works-related direct and indirect
jobs with at least 20% of the unskilled jobs for
women and girls; and (iii) promotion of
artisanal agricultural produce processing
activities mainly carried out by women.
XIII
Extreme
poverty and
unemployment
especially
among young
people
Extreme poverty and youth
unemployment are
generally considered to be
the key factors of structural
violence and conflict in the
region, and specifically in
the border zone shared by
DRC, Rwanda and Burundi.
Develop an electricity
price-fixing policy that
will maintain social
balances and reduce
exclusion in access to
energy. Also ensure that
the project will contribute
to job creation especially
for young people.
The project makes provision for a Plan to
Restore and Strengthen Living Conditions
(PRRV) as well as a Local Development Plan
(PDLC). The project also aims to improve
household access rate to electricity and to
create 800 to 1000 permanent and temporary
direct and indirect jobs in favour of local
labour.
EGL's weak
institutional
capacity
EGL, which will be
responsible for the project's
implementation, is
experiencing serious
operational difficulties
which prevent it from
securing adequate human
resources.
Provide for specific
support to EGL to build its
project implementation
capacity.
The institutional capacity building activities
planned under the project concern the
recruitment of international consultants for
technical assistance to EGL but also an
adequate skills mix among EGL key staff
members.
Related Documents
