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About ASTAE

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The Asia Sustainable and Alternative Energy Program (ASTAE) was established in 1992 by international donors as a three-year pilot program with the objective of “mainstreaming” alternative energy in the World Bank’s lending and technical assistance operations in the South Asia and East Asia and Pacific Regions.

ASTAE grew out of the Financing Energy Services for Small Scale Energy Users (FINESSE) Project, initiated in 1989 by the Energy Sector Management Assistance Program (ESMAP) and bilateral donors, including the U.S. Department of Energy, the Netherlands Directorate General for Development Corporation (DGIS), and the United Nations Development Programme (UNDP).

ASTAE’s original target was to increase the share of alternative energy in Bank lending to the power sector in Asia to 10 percent of total power sector lending. This goal was achieved during the fiscal 1997–2000 business plan period. ASTAE’s life was extended by mutual agreement among the Bank and donor countries.  It was redefined from a unit to a program in 1998, and has been merged with the East Asia Energy and Mining Development Sector Unit, while continuing to provide support to South Asia.

Leverage on Bank Operations

ASTAE’s original task to promote the utilization of alternative energy included energy efficiency and renewable energy, which formed ASTAE’s two original pillars. To ensure a strong operational focus, ASTAE was implanted directly into the regional operation  level rather than at the central level.

ASTAE began its work by providing supplemental funding to forward-looking World Bank Task Team Leaders eager to undertake small peripheral tasks to help address alternative energy-related issues encountered during the development of their projects. This was often done through the addition of an alternative energy-specific component to a broader energy project. As these ASTAE-funded activities increased in number and delivered positive impacts on regional development objectives, renewable energy and energy efficiency activities  eventually became standalone projects as opposed to components of a project. These projects were often supported by Global Environment Facility (GEF) financing. ASTAE’s operational success led its donors to replenish the trust fund at the end of each business plan period. Alternative energy, a fringe activity when ASTAE was created, has evolved into one of the Bank’s main lending themes, exceeding 40 percent of energy commitments in fiscal 2009.

Scale-Up and Expansion

In 2002, ASTAE started a scale-up phase. Scaling up entailed continuing its mission of mainstreaming alternative energy, as well as expanding its reach from within the World Bank to the client countries’ stakeholders themselves, and broadening its core business from alternative energy to sustainable energy by adding a third pillar—access to modern energy services—designed to address energy poverty and its impact on the environment. Scaling up also meant departing from project-to-project activities to a more programmatic approach at the sector or country scale. During this transition, ASTAE focused primarily on the East Asia and Pacific Region.

As ASTAE’s funding and scope expanded, measuring its reach and impact became more challenging; a broad set of indicators was designed to assess progress toward fulfilling its three pillars. These sustainable energy indicators—access to modern energy services, increased use of renewable energy, and improved energy efficiency (described later in this chapter)—track progress made through ASTAE activities, both as a direct result of related World Bank loans and as an indirect result of ASTAE-funded technical assistance to country stakeholders.

Picture Boy IndustryAchievements and Beneficiaries

Since its inception, ASTAE has directly contributed, through its leverage on World Bank-funded projects, to installing about 1,900 MW of renewable energy—nearly the equivalent of the combined installed capacity of the Lao People’s Democratic Republic, Mongolia, and Cambodia (EIA 2007). It has helped avoid the generation of about 65 TWh of electricity through energy efficiency, the equivalent of Vietnam’s total generation in 2007. It has also contributed to providing new access to modern energy to more than 2.5 million households in Asia, or about the equivalent of the population of Cambodia (13.5 million people with an average household size of 5.3).

These quantifiable achievements have resulted in substantial mitigation of global greenhouse gas emissions, as well as significant decreases in local pollutant emissions that directly and adversely affect the health of the local population. Estimates indicate that the projects ASTAE has supported to date will prevent the emission of 360 million tons of CO2 over the projects’ 20-year lifetimes, equivalent to the 2008 emissions of Thailand and Vietnam combined.

Furthermore, during the scale-up phase of the last six years, ASTAE’s indirect impact, through its influence on country stakeholders’ investment decisions, has had an even wider reach. While ASTAE is only one of many players at the country level, it contributed to concerted efforts focusing on renewable energy development that led to an additional 17,000 MW installed in the region, and additional potential energy savings of up to 50 TWh annually—the equivalent, respectively, of the Philippines’ total installed capacity and annual generation in 2007.

Donors

The ASTAE work is currently supported by the World Bank, the Government of the Netherlands, and the Swedish International Development Agency (SIDA).

Other sponsors have included the U.S. Department of Energy, U.S. Agency for International Development, Government of Finland, Government of the Swiss Confederation, European Community, U.S. Export Council for Renewable Energy (US/ECRE), German Federal Ministry for Economic Cooperation, the Royal Danish Ministry of Foreign Affairs, Canadian International Development Agency, United Nations Development Programme, and the U.K. Department for International Development.

Objectives - Three Pillars to Support Sustainable Development

 

ASTAE’s stated objective is to scale up the use of sustainable energy options in Asia to protect the environment and reduce energy poverty.

 

A Trend of Unsustainable Development

Asia accounted for a large percentage of the growth in global demand for energy during the last two decades, with China’s and India’s shares of that percentage continuously expanding. The International Energy Agency (IEA) expects that the region will continue to account for about 30 percent of global energy demand growth until 2020.

 

In the power sector, coal, with a share of about 75 percent, will likely continue to dominate generation, with oil and gas at around 10 percent each. While China sets the pace, other countries, such as Bangladesh, India, Indonesia, and Vietnam, have rapidly rising, medium-term needs for additional generation capacity to sustain their economic growth. With the dominance of traditional fossil fuels as the primary generation option, and numerous obstacles to positioning renewable energy sources as credible and reliable base-load substitutes, the power sector is expected to remain a large contributor to greenhouse gas emissions. Other energy subsectors, such as heating, also contribute substantially to local and global environmental issues.

 

Despite impressive achievements in Asia to increase total installed generation capacity (for example, Vietnam increased its installed capacity by 6,400 MW [69 percent] between 2003 and 2008, a large segment of the population, primarily those living in rural and remote areas, have not benefitted from this growth. East Asia and Pacific Region’s rate of unelectrified households remains approximately 12 percent, a low percentage compared with Africa, but still sizable considering that it affects 170 million people. In the South Asia Region, overall access to electricity remains lower, with about 40 percent of households across the region unelectrified and nearly 600 million people affected.

 

When taking into account heating fuels, whether for cooking or space heating, the numbers are of an order of magnitude higher, with well over 2.1 billion people in Asia dependent on polluting solid cooking fuels—primarily wood, charcoal, coal, and dung. Unlike for electricity, the numbers are almost evenly split between East and South Asia, showing that the scale and importance of the cooking fuel challenge has not yet been perceived by the authorities. Consequences are real however, from health, gender and environmental points of view, including contribution to premature deaths, especially among women, increased local pollution, and contribution to global warming through emission of black carbon. Moreover, population growth can stretch the demand for traditional fuels (wood, charcoal, straw) beyond their regeneration capacities.

 

Countering the Trend

ASTAE has responded to these human and environmental challenges. Its efforts to champion sustainable development in the Asian energy sector reside in three pillars.

 

First Pillar: Renewable Energy

Supporting energy generation growth by means of renewable energy technologies slows the depletion of natural resources, limits global environmental damage, and can contribute to the substitution of domestic resources for imported ones. Renewable energy resources include hydroelectric power, biomass, wind, geothermal, and solar energy. Several countries in the region have set ambitious targets for renewable energy generation, but much remains to be done to reach these targets.

 

Second Pillar: Energy Efficiency

Given that most energy today is generated from finite fossil fuels, using less energy to reach the same desired outcome is an effective way to contribute to sustainable development. Energy intensity per unit of GDP produced is high in most Asian countries, which indicates that room for efficiency improvements exists in all sectors of the economy. Energy-efficiency improvements can be in electricity generation, energy demand management, central heating, or individual stove use. Efficiency in the energy sector is the primary target, but ASTAE also reaches out across sectors to promote this agenda, with examples of work done in water, buildings, and transport sectors.

 

Third Pillar: Access to Modern Energy Services

Access encompasses new access (for example, connecting a previously unelectrified household) and improved access (for example, construction of a biogas stove to replace charcoal for cooking). Access to modern energy can significantly improve the quality of life for end users, providing benefits such as light, heat, and power for electrical appliances and tools in a much more efficient and less polluting fashion than the displaced resources, often at a fraction of the cost. While in the past decade, some countries, such as China and Vietnam, have made dramatic progress in providing electricity access to their citizens, others lag far behind. Additionally, most countries in the region have insufficiently tackled the negative impacts of using the traditional domestic heating fuels, whether for cooking or space heating, and have lagged in devising strategies to transition households to modern fuels or to improve the efficiency and cleanness of traditional fuels.

 

To track the contributions and achievements of ASTAE-funded activities relative to each pillar, pillar-specific indicators have been defined (detailed later in this chapter). These help monitor annual progress against specific targets defined for each business plan period. Over time, ASTAE has expanded its monitoring from only input-based indicators (linking ASTAE funding to World Bank lending) to output-based indicators (that is, final impacts delivered through ASTAE’s lending, measured in megawatts, gigawatt-hours, or number of connections).

 

Mode of Operation

 

Close Collaboration with Donors

The key to ASTAE’s success is its dual partnership model—partnering with World Bank task teams to undertake the operational aspects of its activities and partnering with its donors to determine and fund its strategic goals. The resulting synergy allows all parties to explore and seize opportunities to achieve common goals, that is, ASTAE’s mission. Donor countries, including the Netherlands and Sweden, Canada, Finland, Switzerland, the United Kingdom, and the United States, have over the years endowed ASTAE with block grant funding that advances the agreed-upon themes and targets. In turn, ASTAE provides Task Team Leaders with resources that are then used to support important activities in a timely and flexible way, and ultimately help demonstrate the validity and feasibility of integrating sustainable energy into the Bank’s project portfolio. As ASTAE management is located in the regional operational unit, decisions on which proposed activities to be funded fully reflect the country or regional assistance strategy and the priorities of the country or regional assistance program, while at the same time aligning with donors’ overarching priorities.

 

The ASTAE Trust Fund covers only a small portion of the costs of project preparation or technical assistance to client countries. However, the strategic use of these funds enables far greater impact than otherwise would be possible on which projects enter the World Bank pipeline and on the dissemination of operational experience. ASTAE also cooperates with other World Bank donor trust funds to ensure optimal use of donor funding.

 

Organized to Deliver

To reinforce the effectiveness of its three pillars promoting sustainable development and to achieve substantive results, ASTAE’s overall strategy is to focus on supporting program development and project implementation in World Bank operations, that is, “downstream” activities.

 

Three approaches—innovative investment delivery mechanisms, improved policy and regulatory frameworks, and effective knowledge sharing—characterize ASTAE’s operational means of implementing its overall strategy.

 

ASTAE provides a wide range of support mechanisms, such as early program and project identification work, quick response and troubleshooting, project-related capacity building, and funds mobilization.

 

These support mechanisms are provided by ASTAE staff and World Bank Task Team Leaders. Their constant interaction forms the backbone of ASTAE’s operational structure. Other important elements of the structure include the Consultative Group on World Bank Energy Trust Funds, representing donor countries, and a Technical Advisory Group that evaluates ASTAE activities on an annual basis and reports to the donor community represented in the Consultative Group.

 

ASTAE Approaches

Financing for sustainable energy is available through many avenues, although the complexities of fund allocation and recipient designation for each financing option make finding the right channel a challenge. ASTAE seeks to provide practical and operational solutions to obstacles created by lack of awareness, institutional blockages, or inadequate delivery mechanisms.

 

The connections among the ASTAE objective, the three pillars, and the three approaches are shown in the figure below.

 

Figure Interlinking Objective

 

 

Innovative Investment Delivery Mechanisms

ASTAE helps introduce innovative financing delivery mechanisms; this was a major approach in ASTAE’s work during its initial years, as mechanisms designed for conventional energy investments did not fit the needs of ASTAE’s intervention areas and had to be adapted. As sustainable energy projects became more mainstreamed, related markets matured and projects became more complex and sophisticated. ASTAE continues to provide innovative financing delivery mechanisms, but the share of this approach has decreased to around 15 percent of allocations in the current business plan. This approach is carried out either by supporting design, build-up, and testing of new mechanisms from the start, or by helping to introduce existing mechanisms and tailoring them to the specific context of a new host country.

 

Recent examples of improved investment delivery mechanisms include developing on-lending guidelines for commercial banks (done for an energy-efficiency project in China), structuring on-lending funds (for example, renewable energy in Vietnam), and transferring business models among neighboring countries (energy efficiency from China to Vietnam. Delivery mechanisms can also apply to organizational, technical, and business models that can facilitate development and scale-up of an activity (cookstoves model production facility in Cambodia).

 

Improved Policy and Regulatory Frameworks

ASTAE supports the development of institutional and regulatory frameworks. Allocations to this approach have grown steadily since initiation of the scale-up phase, because framework development is well suited to the needs of programmatic schemes that can be scaled up. Today, around 48 percent of ASTAE funding is primarily linked to institutional and regulatory framework development that primarily supports specific projects with impacts that are replicable, scalable upwards, and sustainable. ASTAE provides an enabling environment through improved policy, financial, and regulatory frameworks; this helps attract capital from international financial institutions, export credit agencies, and the private sector.

 

Recent work includes high-level policy dialogues and advisory support (geothermal energy in Indonesia, access in Timor-Leste); pricing policy and regulation (access in Mongolia); design and implementation of standards (energy efficiency in Thailand and Vietnam); and assessment of the social impacts of reform (access to electricity in India).

 

Knowledge Sharing

ASTAE supports capacity building and knowledge sharing. They are at the core of ASTAE’s mission, in the sense that knowledge sharing underpins the success and effectiveness of the other two approaches. Around 37 percent of ASTAE’s allocations in the current business plan are primarily focused on knowledge sharing, and 60 percent of activities include this dimension as secondary. As a result of its positive outcomes in project and program design, implementation, and replication, ASTAE is able to draw upon a pool of expertise and consolidate its knowledge base to provide just-in-time advice to other groups engaging in the same activities across the region. The knowledge-sharing approach can be run as a stand-alone activity or as an integral part of a project if the need for capacity building or knowledge sharing goes beyond normal project-related expectations.

 

Recent work includes training seminars for officials and policy makers (Mongolia, Indonesia, Thailand, and Bangladesh); workshops to share technical knowledge between countries (China and Vietnam); knowledge products, technical guides, methodologies, and atlases made available nationally and internationally; dialogue facilitation with the nongovernmental organization community; and donor coordination.

 

ASTAE Support Mechanisms

ASTAE provides depth of knowledge and flexible, just-in-time funding to successfully shape the design of new projects and programs, to help implement them, or to adapt them to rapidly evolving conditions. ASTAE’s presence in most Asian countries has helped enable cross-fertilization among different operations, to develop a strategic, programmatic approach to broadening the impacts of investment projects. This cross-cutting position, in turn, has helped create enabling environments in which ASTAE shares best practices to improve institutional, policy, financial, and regulatory frameworks in recipient countries. The seven support mechanisms described below are often provided in conjunction with other partners, trust funds, and donors, so the activity benefits from the comparative advantage of each player.

 

1. Early Program and Project Identification Work

Best practices and new business models for alternative energy and access deployment are still being established; ASTAE helps support the development of this global knowledge base. Renewable energy is now a feasible technology model, but best practices on alternative energy deployment are among those still being established. Large populations in Asia remain without access to electricity. This indicates that current business models of delivery still need adjustments or improvement to serve these populations. Households’ needs, what they can afford, and their readiness to adapt to innovative technologies may be unknown. ASTAE support to Task Team Leaders and stakeholders is critical in assessing and overcoming these barriers.

 

2. Program and Project Development and Implementation Work

For especially complex or innovative projects and programs, ASTAE can provide planned or unplanned support during identification and implementation. ASTAE support is provided only when circumstances require additional budget or expertise that are above and beyond normal project funding.

 

3. Quick Response and Troubleshooting

ASTAE provides just-in-time response to support the urgent needs of Task Team Leaders during project development (for example, responding to stakeholders’ specific issues and identifying market segments) and supervision (for example, troubleshooting unexpected regulatory barriers). ASTAE’s flexibility in taking on such issues on short notice has proven indispensable in devising and delivering solutions that prevent projects from being halted.

 

4. Project-Related Capacity Building

When capacity-building needs go beyond the reasonable expectations of normal project preparation or implementation (for example, strengthening capacity of new counterparts due to unexpected political changes), ASTAE can provide assistance with training programs, workshops, consensus-building conferences, twinning, study tours, and access to subject matter advisors.

 

5. Funds Mobilization

ASTAE provides assistance to Task Team Leaders in mobilizing additional funds by helping to clarify funding requirements for a given sustainable energy project. Careful use of a relatively small amount of ASTAE support can persuade new partners to join, leveraging initial financing levels to magnify the impacts that they would have had in the absence of the additional partners.

 

6. Global Knowledge Interface

Early barriers to a project including a sustainable energy component are often lack of awareness of an alternative option or technology and lack of understanding of how the option can be implemented. Providing support to Task Team Leaders or stakeholders to raise awareness is the first step in addressing this barrier. Such support is provided upstream or midstream during the project cycle—when existing expertise is made available through ASTAE’s network of subject matter consultants—and downstream when the new information generated by the project or the ASTAE activity is analyzed, monitored, and packaged for dissemination. ASTAE’s monitoring and evaluation of project or program impacts is becoming an increasingly important task.

 

7. Impact Monitoring & Evaluation

ASTAE’s monitoring and evaluation of project or program impacts are increasingly necessary to ensure that new information generated by projects or ASTAE activities is analyzed and packaged to be imparted to others. Given its long experience in supporting sustainable energy projects, ASTAE is well positioned to commission ex post studies and analysis of its past projects to capture and share lessons learned that may be of great value to other countries.

 

ASTAE Structure

The ASTAE management structure, shown in the figure below, includes both functional and hierarchical interactions.

 

Figure Management Structure

 

Hierarchical Structure

As ASTAE is embedded within the World Bank East Asia and Pacific Infrastructure Unit (EASIN), the Infrastructure Sector Manager also serves as the ASTAE Program Manager and coordinates with the South Asia Manager whenever needed. The ASTAE Coordinator is a World Bank staff member who provides day-to-day operational and administrative supervision of the ASTAE program, supports Task Team Leaders, acts as a liaison with donors, and coordinates with local counterparts.

 

ASTAE can also employ local staff in the Bank’s partner-country offices to gain better insight into country-specific challenges and to support project implementation. A part-time budget administrator supports the ASTAE coordinator in monitoring financial information.

 

Functional Structure

The contributions of three types of contributor (darker boxes in figure above) complement ASTAE’s efforts within the ASTAE framework:

  • Donors set the agenda for the specific funding lines made available to ASTAE, and as members of the Donors Consultative Group, help the ASTAE Program Manager guide the program. They receive support from the Technical Advisory Group, which includes specialists with expertise in each ASTAE pillar. Depending on specific trust funds’ agreements, donors may provide non-objection to ASTAE activities that require allocations above a predefined ceiling.
  • Task Team Leaders are World Bank staff who identify needs for ASTAE funds to support sustainable energy in their spheres of activity and submit requests for funding. Each proposal is evaluated on its expected contribution to ASTAE objectives, the availability of alternate funding, and the novelty or complexity of the project to be assisted. Once an activity is approved, Task Team Leaders are responsible for its timely, cost-effective, and high-quality delivery. ASTAE funds are used to cover the incremental costs of developing pillar-related activities that go beyond the standard preparation and supervision costs covered by World Bank budgets.
  • Consultants are hired by Task Team Leaders, using ASTAE-allocated funds, to carry out the necessary tasks for the implementation of the ASTAE activity. Consultants may be activity-based—that is, hired for a given duration to undertake activity-specific assignments for specific project-related tasks—or program-based. Program-based consultants often provide more direct support to Task Team Leaders for project preparation and implementation, as well as support for the management of ASTAE-related activities. Consultants can be individuals or firms. Standard Bank procurement rules are applied to all ASTAE-funded activities.
Performance and Targets

ASTAE provides funding allocations to Task Team Leaders who have substantiated the nature of the incremental activities they will undertake, the related costs, and the expected impacts. The activities are then carried out, yielding outputs that, whenever possible, are recorded and formatted for knowledge sharing. In addition to tracking these outputs, the progress toward ASTAE program objectives is measured against a set of indicators and targets developed to reflect the objectives outlined under the three ASTAE pillars. The collective contribution of all activities to reaching ASTAE targets is measured annually.

 

Tools for Leverage

Budget, allocations, and outputs are the elements over which ASTAE has direct control and with which it measures its administrative effectiveness. The smallest ring of influence and impact in the figure below represents this sphere.

 

Leverage indicators and their related targets are beyond ASTAE’s direct control, but within its capacity to influence. In ASTAE’s early years, leverage of World Bank operations was the chief indicator monitored. It was measured by tracking the dollar amounts of World Bank loans allocated to ASTAE pillars. Measuring the leverage of Bank operations today consists of quantifying actual impacts in addition to lending amounts. The impact on Bank lending is considered direct, because the support to Task Team Leaders in project design or implementation directly results in improved operations and, therefore, impacts. These direct impacts are represented by the middle ring in the figure above.

 

Broader leverage, at a country’s sector level, is far more difficult to measure; direct attribution to one activity or player should be made cautiously. However, once a decision to acknowledge ASTAE’s contribution is made, some formal assessment of related impacts in the field is necessary to gauge whether funds have been used efficiently. The impacts and indicators used to inform this assessment are derived from activities and programs that support enabling legislation, decrees, or behavior modifications by key stakeholders that could result in large-scale effects on the three ASTAE areas of intervention. This leverage is represented by the larger ring of influence and impact in the figure below.

 

Figure Influence and Impacts at Different Levels

 

Budget, Allocations, and Outputs

ASTAE’s budget is agreed upon with donors on a three- to four-year basis, normally covering one business plan period. ASTAE’s business plan discusses its goals and focal areas, as exemplified in this chapter for the 2007–09 business plan period. ASTAE then comes to an agreement with its donors on the budget necessary to undertake its defined mission and on a set of indicators to measure its success in leveraging its funding to influence stakeholders’ commitments to the ASTAE pillars. The budget allocated to ASTAE during the original 2007–09 business plan period was US$7.4 million, complemented by additional funding that raised the budget to US$9.3 million and permitted extension of the business plan period into fiscal 2010.

 

As noted earlier, ASTAE allocations are provided to Task Team Leaders based on the merits of their proposals to undertake activities supporting ASTAE’s pillars. Activity duration varies according to the nature and complexity of the tasks involved, but most are completed in one or two years. In the 2007–10 extended business plan period, ASTAE allocated an average of US$90,000 to each of 63 activities, with most allocations ranging between US$50,000 and US$250,000.

 

ASTAE activities deliver outputs under multiple formats, depending on the audience targeted. These outputs vary from stakeholder-specific notes (confidential policy notes, country strategies, or draft standards and labels, for instance), to broad public case making (population awareness and project information). Outputs are discussed at stakeholder meetings, workshops, and conferences, and whenever suitable, are also published, printed, and widely distributed to a broad audience, including through ASTAE’s Web site.

 

Indicators and Targets

Five indicators track the impacts of ASTAE-supported activities on advancing the development of sustainable energy. Three indicators are related to the pillars renewable energy, energy efficiency, and access to modern energy services; two cross all pillars.

 

ASTAE pledges to achieve specific targets for these indicators by the end of each business plan period. Target achievement is measured both as a direct result of related World Bank loans and as indirect impacts of World Bank and ASTAE technical assistance to stakeholders in client countries.

 

Most activities contribute to the indicators’ targets. Estimated values for direct indicators are derived directly from World Bank project information documents, project appraisal documents, and formal ASTAE proposals. Because final figures can only be known years after the end of a project, initial values are target estimates. Although indirect impacts, too, are difficult to attribute, ASTAE identifies published sources (such as project information documents, project appraisal documents, and midterm reviews) that provide information on the indirect benefits of ASTAE-funded activities.

 

Indicator 1: New capacity and increased generation of renewable electricity

The first indicator measures the contribution of ASTAE activities to increasing utilization of renewable energy in client countries. New renewable energy generation capacity is expressed both in installed capacity, to reflect the actual investments made, and in actual energy generation indicators, expressed in gigawatt-hours (GWh), to reflect actual utilization of the installed capacity. The relationship between a megawatt of renewable capacity installed and the number of GWh generated (and, therefore, the quantity of fossil fuel not used) differs from one project and one country to another because capacity factors and dispatch rules vary from one technology or country to another.

 

More specifically, this indicator integrates two subindicators: (1) new installed capacity in renewable energy (in megawatts, all technologies included); and (2) estimated quantity of electricity generated annually resulting from using the added renewable energy capacity (in GWh).

 

In the 2007–09 business plan, targets were set for the second subindicator only, with a set objective that by the end of the business plan, ASTAE-supported projects would have directly contributed to the annual generation of 1,000 GWh and indirectly contributed to the annual generation of 10,000 GWh.

 

Indicator 2: Electricity savings resulting from efficiency improvements

The contributions of ASTAE activities to saving energy through efficiency improvements are also measured. Energy-efficiency improvements can result in reduced peak load demand (and thus reduced or deferred investments) and in decreased consumption of energy (less fuel used for an equivalent level of services or output provided). The electricity and heat-generation sectors record the most energy savings. A transformation coefficient is used to convert all savings, including of heat, into equivalent GWh of electricity. Efficiency improvements resulting in avoided capacity can provide relief to a constrained system, but a given megawatt of avoided capacity can result in different energy savings, depending on the type of fuel utilized and country conditions.

 

More specifically, this indicator is the estimated annual quantity of electricity saved (in GWh) resulting from the efficiency improvements.

 

In the 2007–09 business plan, targets were set so that ASTAE-supported projects would contribute to continuing annual savings of 1,000 GWh directly and 10,000 GWh indirectly.

 

Indicator 3: Households with access to modern energy services

The third indicator measures the improvement in quality of life as households transition from traditional fuels (such as charcoal, wood, and dung) or inadequate modern fuels (such as kerosene for lighting) to modern, clean, and sustainable energy sources. When switching fuels is not possible or desirable, the indicator measures the improvement in delivery of energy services resulting from the project, such as improved quality or reliability of an electricity connection (for example, fewer blackouts and brownouts) or improved efficiency of a given activity (for example, using improved stoves to decrease wood consumption).

 

More specifically, this indicator comprises four subindicators: (1) the number of households receiving new access directly resulting from a Bank project; (2) the number of households receiving improved services directly from a Bank project; (3) the number of households receiving new access indirectly from a Bank project; and (4) the number of households receiving indirect improved services indirectly from a Bank project.

 

In the 2007–09 business plan, targets were set so that ASTAE-supported projects would contribute to (a) 500,000 households receiving new access directly; (b) 500,000 households receiving improved services directly; (c) 50,000 households receiving new access indirectly; and (d) 250,000 households receiving improved services indirectly.

 

Indicator 4: Avoided greenhouse gas emissions

The indicator for avoided greenhouse gas emissions cuts across the previous three pillar-specific indicators. Utilization of renewable energy and implementation of energy-efficiency measures directly decrease greenhouse gas emissions. Access to modern energy services has a more complex effect. In increasing access, some renewable fuels (wood, for example) may be displaced by fossil fuels, thus increasing emissions, but at the same time increasing caloric efficiency or improved sustainability of resources (less deforestation, for instance). The two effects may offset one another. As a result of that uncertainty, the indicator for avoided greenhouse gas emissions is based primarily on the first two indicators. This indicator, as well as the energy efficiency-related indicator, is often achieved through cross-sector work, such as when ASTAE funds projects in the water or transport sector.

 

More specifically, this indicator estimates the quantity of CO2 emissions avoided over 20 years (the conventional lifespan of projects or equipment) through renewable energy generation and energy savings registered under indicators 1 and 2.

 

In the 2007–09 business plan, targets were set so that ASTAE-supported projects would contribute to emissions avoidance over 20 years of 70 million tons of CO2 directly and 780 million tons of CO2 indirectly.

 

Indicator 5: Countries benefiting from ASTAE support

An indicator for equitable support was added because the four indicators above can be met most simply by concentrating ASTAE interventions in larger countries. However, ignoring small countries is inequitable and prevents regional cooperation and sustainable development in the region as a whole. In addition, in some countries, small-scale project operations rather than broader national policy programs are still the norm. While such projects may not add much quantitatively to the first four indicators, they have a large impact on the quality of life of local populations.

 

The requirement for this indicator in the 2007–09 business plan was that a minimum of 10 countries receive ASTAE support.

 




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