The World Bank Report No: ISR11451 Implementation Status & Results Indonesia ID-PCF-Indonesia Lahendong Geothermal Project (P096677) o 0 o Operation Name: ID-PCF-Indonesia Lahendong Geothermal Project (P096677) Project Stage: Implementation Seq.No: 4 Status: ARCHIVED Archive Date: 22-Dec-2014 Country: Indonesia Approval FY: 2008 6 Product Line: Carbon Offset Region: EAST ASIA AND PACIFIC Lending Instrument: .Ln Implementing Agency(ies): PERUSAHAAN LISTRIK NEGARA (PLN) O Key Dates 3 Board Approval Date 10-Dec-2007 Original Closing Date Planned Mid Term Review Date Last Archived ISR Date 23-Mar-2012 Effectiveness Date Revised Closing Date Actual Mid Term Review Date Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the proposed project is to mitigate global environmental impacts of carbon dioxide (C02) emissions through purchase of C02 emissions avoided by the development of the Lahendong II Geothermal Project under the clean development mechanism (CDM). The plant has been developed to meet growing power demand in the North Sulawesi area of Indonesia. Has the Project Development Objective been changed since Board Approval of the Project? O Yes o No Component(s) Component Name Component Cost The Lahendong 1lpower project is a subproject of ADB financed REDS 0.00 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Unsatisfactory a Overall Implementation Progress (IP) Moderately Satisfactory Unsatisfactory 0 C) Overall Risk Rating Low 'I) o Implementation Status Overview . The Lahendong II geothermal project was financed by the Asian Development Bank, but the World Bank, as trustee of the Netherlands Clean Development Facility (NCDMF), entered 0 into an emission reduction purchase agreement (ERPA) with the project owner, PLN to buy certified emission reductions from the project whereby electricity generated by geothermal steam offsets the use of fossil fuels in the Minhasa grid of northern Sulawesi. The carbon offset transaction was developed as part of the World Bank's role to help develop the a market for carbon offsets credits. The geothermal power plant is operating well and meeting the project's development objective of mitigating the global environmental impact of carbon dioxide emissions. It is helping meet the energy needs in the Minahasa grid in North Sulawesi, Indonesia, in an environmentally friendly manner. However, there were a number of delays with the certification of 216,237 reported emission reductions from the project for calendar years 2010, 2011, and 2012, which eventually issued in March 2014, beyond the ERPA validity until December 31, 2013. Page 1 of 4 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized closure Authorized