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This project is funded by the European Union A project Implemented by MWH Framework Contracts beneficiaries 2009 Lot 4 Contract 2012/284032 Evaluation of EU energy funding in Liberia and recommendations Final Report August 3rd, 2012
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Page 1: Evaluation of EU energy funding in Liberia and …eeas.europa.eu › archives › delegations › liberia › documents › ...This project is funded by the European Union A project

This project is funded by the European Union A project Implemented by MWH

Framework Contracts beneficiaries 2009 – Lot 4

Contract 2012/284032

Evaluation of EU energy funding in Liberia and recommendations

Final Report

August 3rd, 2012

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ii Contract 2012/284032

The content of this report is the sole responsibility of MWH and can in no ways be taken to reflect

the views of the European Union. This report is prepared solely for the use and benefit of the

Contracting Authority. It is the result of an independent review, and neither MWH, nor the authors

accept or assume any responsibility or duty of care to any third party

NAME Final report

VERSION This version submitted on August 3rd

includes comments and clarifications

further to the presentation of results held on July 24th 2012 in Monrovia

VERSION HISTORY - June 6th : Substantive Draft Report

- May 11th 2012 : Preliminary Draft report

PREPARED BY : Roger Gaillard

Laurence Wilhelm

FINAL REVIEW : Laurent De Block 03.08.2012

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Final Report – August 2012 3

Table of Contents

1 EXECUTIVE SUMMARY ......................................................................................................... 12

2 CONTEXT OF THIS REPORT ................................................................................................... 20

3 INTRODUCTION AND BACKGROUND INFORMATION.................................................................. 21

4 BRIEF COUNTRY CONTEXT .................................................................................................. 23

5 SECTOR CONTEXT .............................................................................................................. 24

5.1 Assessment of the sector policy ................................................................................................ 24

5.2 Electricity Sector Context .......................................................................................................... 24

6 LIBERIA ELECTRICITY CORPORATION (LEC) ......................................................................... 26

6.1 Organization .............................................................................................................................. 26

6.2 Corporate assets ....................................................................................................................... 27

6.3 Tariffs ......................................................................................................................................... 27

6.4 Customers connections and types ............................................................................................ 30

6.5 Applied tariffs (as of May 2012) ................................................................................................. 35

7 INITIAL APPROACH AND OBJECTIVES OF THE EU INTERVENTIONS ........................................... 36

8 PURPOSE AND SCOPE OF THE EVALUATION MISSION ............................................................. 38

9 EVALUATION ....................................................................................................................... 42

9.1 Projects selected for the evaluation .......................................................................................... 42

9.1.1 Implementation of the Monrovia Grid Rehabilitation Project ......................................................................... 44

9.1.2 Status of the Monrovia Grid Rehabilitation Project to date ........................................................................... 45

9.2 Approach for data collection ...................................................................................................... 50

9.3 Limitations .................................................................................................................................. 50

9.4 Follow-up of the end-users survey ............................................................................................ 52

9.4.1 Results and findings of the Household End User survey .............................................................................. 52

9.4.2 Results and findings of the Enterprise End User survey ............................................................................... 62

9.4.3 Conclusions ................................................................................................................................................... 65

9.5 Evaluation Criterions ................................................................................................................. 66

9.5.1 Past evaluations ............................................................................................................................................ 66

9.5.2 Relevance of the EU interventions ................................................................................................................ 67

9.5.3 Efficiency ....................................................................................................................................................... 72

9.5.4 Implementation effectiveness ........................................................................................................................ 75

9.5.5 Impacts .......................................................................................................................................................... 77

9.5.6 Sustainability ................................................................................................................................................. 78

9.6 Conclusions to the evaluation.................................................................................................... 79

10 RECOMMENDATIONS ........................................................................................................... 85

10.1 Approach to Recommendations ................................................................................................ 85

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10.2 Current situation of the Electricity Sector .................................................................................. 85

10.2.1 Other Donors interventions and programmes ............................................................................................... 85

10.2.2 Synthesis of donors interventions in the electricity sector ............................................................................. 92

10.2.3 Demand projections ...................................................................................................................................... 94

10.3 Options for future power generation .......................................................................................... 98

10.4 The hydropower potential in Liberia .......................................................................................... 98

10.4.1 General ......................................................................................................................................................... 98

10.4.2 The Mont Coffee project ................................................................................................................................ 98

10.4.3 The Via and St Paul Rivers possible projects ............................................................................................. 100

10.4.4 The Via Reservoir project ............................................................................................................................ 102

10.5 Final recommendations ........................................................................................................... 103

10.5.1 Orientation of EU future interventions ......................................................................................................... 104

10.5.2 Pro-poor approach ...................................................................................................................................... 106

10.5.3 The way forward .......................................................................................................................................... 106

10.5.4 Actions for supporting the Via Reservoir project development ................................................................... 107

10.5.4.1 Sequence of future actions .................................................................................................................... 107

10.5.4.2 Funding arrangements ........................................................................................................................... 108

10.5.4.3 Terms of Reference for Pre-studies and Studies ................................................................................... 108

A. Reconnaissance Study ............................................................................................................................... 108

B. Detailed Feasibility Study of the Via Reservoir Project ............................................................................... 111

11 COMMENTS AND CLARIFICATIONS FURTHER TO THE PRESENTATION OF THE REPORT ON JULY

24TH 2012 ......................................................................................................................... 117

12 ANNEXES.......................................................................................................................... 119

12.1 List of persons met during the evaluation ................................................................................ 119

12.2 List of consulted documents and bibliography ........................................................................ 121

12.3 Survey Methodology ................................................................................................................ 126

12.3.1 Data and Document Collection ................................................................................................................... 126

12.3.2 Methodology ................................................................................................................................................ 127

12.3.3 Schedule for the survey and survey team ................................................................................................... 133

12.3.4 Problems faced during the survey ............................................................................................................... 134

12.4 Survey Data ............................................................................................................................. 135

12.4.1 Household Socio Economic Characteristics ............................................................................................... 135

12.4.2 Energy : household behaviour practices and expenditures ........................................................................ 140

12.4.3 Impacts of electricity on household living conditions perception by customers .......................................... 152

12.4.4 Willingness to get connected to lec grid and affordability ........................................................................... 153

12.4.5 Households expenditures: budget effort by level of income and category of respondents ......................... 154

12.4.6 Advantages and disadvantages of energy source according to its use : respondents key judgments ...... 157

12.5 Household Survey Questionnaire ............................................................................................ 160

12.6 Enterprise Survey Questionnaire............................................................................................. 168

12.7 Attendance list to the presentation of results – July 24th 2012 ................................................ 173

12.8 Slides of the presentation on the 24th of July 2012 at the EU delegation in Monrovia ............ 175

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Final Report – August 2012 5

List of figures

Figure 1 : LEC organisation chart 26

Figure 2: Breakdown of Eu funded assets and LEC registered assets 27

Figure 3: Breakdown of customer base - LEC data March 2012 31

Figure 4: Analysis of data from LEC 33

Figure 5: Analysis of data from LEC 33

Figure 6: Analysis of data from LEC 34

Figure 7: Analysis of data from LEC 34

Figure 8 : Map of the survey areas in Greater Monrovia 53

Figure 9 : LEC households : impacts on living conditions 56

Figure 10 LEC customers : advantages of LEC current and service provided 63

Figure 11 : Disadvantages of LEC current and service provided 64

Figure 12: Planned interventions of donors in the electricity sector 94

Figure 13: Evolution of electricity demand : low and high growth scenarios 96

Figure 14: Graph of demand projections 97

Figure 15: Graph of demand projections (log) 97

Figure 16: Via reservoir project 102

Figure 17: World Bank energy mix model up to 2040 103

Figure 18: Impacts of electricity on household living conditions by category of impact 152

Figure 19: Household average monthly spending by category of expenditures 155

Figure 20 : Household average monthly spending by category of expenditures 156

Figure 21: Household average monthly spending by category of expenditures (IPP) 156

Figure 22 : Household average monthly spending by category of expenditures (own generator) 156

Figure 23 : Household average monthly spending by category of expenditures (wo electricity) 157

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List of tables

Table 1: Lec customer base............................................................................................................. 30

Table 2: Project log frame ................................................................................................................ 38

Table 3: LEC equipment funded by the EU ..................................................................................... 41

Table 4: Identified EU contracts ....................................................................................................... 42

Table 5: Project Components as of October 2010 .......................................................................... 46

Table 6: Limitations to the evaluation .............................................................................................. 50

Table 7: Household distribution per survey area and per urban pattern ......................................... 52

Table 8: Household monthly total expenditures by category of respondents .................................. 59

Table 9: Household monthly expenditure by category of expenditure ............................................ 60

Table 10: Critical issues from the past evaluation ............................................................................. 66

Table 11: Human Development index ............................................................................................... 68

Table 12: Indicators for doing business ............................................................................................. 68

Table 13: Relevance of the project .................................................................................................... 70

Table 14: Project efficiency ................................................................................................................ 73

Table 15: Project effectiveness .......................................................................................................... 75

Table 16: Project Impacts .................................................................................................................. 77

Table 17: Sustainability ...................................................................................................................... 78

Table 18: Evaluation synthesis .......................................................................................................... 84

Table 19: Norway funded projects ..................................................................................................... 87

Table 20: AFDB projects by sector .................................................................................................... 89

Table 21: Funding of CLSG interconnexion project ........................................................................... 89

Table 22: Synthesis of donor interventions in the electricity sector ................................................... 92

Table 23: Scenarios for future demand up to 2040 ........................................................................... 95

Table 24: Demand projections from various institutions and consultants ......................................... 96

Table 25: IHA principles ................................................................................................................... 105

Table 26: End user survey sample: Households distribution by location and urban pattern ........... 135

Table 27: Households distribution by sex of household head and by location ................................ 135

Table 28: Households distribution by sex of household head and by location (%) ......................... 135

Table 29: Households distribution by marital status of household head and by location ................ 136

Table 30: Households distribution by marital status of household head and by location (%) ......... 136

Table 31: Average Household size by location................................................................................ 136

Table 32: Dwelling Occupation status of household by location .................................................... 137

Table 33: Dwelling Occupation status of household by location (%) .............................................. 137

Table 34: Number of years the household is in the dwelling by location ......................................... 137

Table 35: Type of wall of household dwelling by location ................................................................ 138

Table 36: Type of wall of household dwelling by location (%) ......................................................... 138

Table 37: Type of roof of household dwelling by location ................................................................ 138

Table 38: Type of roof of household dwelling by location (%) ......................................................... 139

Table 39: Main source of drinking water of households by location ................................................ 139

Table 40: Main source of drinking water of households by location ................................................ 139

Table 41: Does your house get electricity (on grid or off grid) ......................................................... 140

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Final Report – August 2012 7

Table 42: Does your house get electricity (on grid or off grid) ......................................................... 140

Table 43: Source of electricity of household by location ................................................................. 140

Table 44: Source of electricity of household by location ................................................................. 141

Table 45: Electricity sources : when did your household get this electricity source (s) ................... 141

Table 46: Electricity sources : when did your household get this electricity source (s) ................... 141

Table 47: Satisfaction of customers with the electricity supplier (LEC,IPP) service: ....................... 142

Table 48: :Satisfaction of customers with the electricity supplier (LEC,IPP) service (%): ............... 142

Table 49: LEC Reasons for Satisfaction .......................................................................................... 142

Table 50: LEC Reasons for Satisfaction (%) ................................................................................... 142

Table 51: 142

Table 52: LEC Reasons of Disatisfaction ........................................................................................ 143

Table 53: Reasons of Satisfaction IPP service ................................................................................ 143

Table 54: Reasons of satisfaction IPP service ................................................................................ 143

Table 55: Reasons of Dis satisfaction IPP service .......................................................................... 143

Table 56: Reasons for Dis satisfaction IPP service ......................................................................... 144

Table 57: Usages of Electricity whatever the source (grid or off grid) by order of priority ............... 144

Table 58: Usages of Electricity whatever the source (grid or off grid) by order of priority ............... 144

Table 59: LEC customers : Connection expenditures for customers having paid 50 USD of

connection fees (pre payment meter) ...................................................................................... 145

Table 60: LEC customers Connection expenditures for customers having paid 115 USD of

connection fees (conventional meter) ..................................................................................... 145

Table 61: LEC customers Electricity Monthly expenditure .............................................................. 146

Table 62: LEC customers Average Annual electricity consumption per capita equivalent ............. 146

Table 63: LEC customers : Average Annual electricity consumption per capita and gender of

head of household equivalent.................................................................................................. 146

Table 64: IPP Connection expenditures for customers ................................................................... 147

Table 65: IPP Customer Electricity Monthly expenditure ................................................................ 147

Table 66: IPP Customer Average Estimated Electricity Consumption Per Capita equivalent : ...... 147

Table 67: IPP Customer Estimated annual average electricity consumption per capita : ............... 148

Table 68: Estimated cost paid by IPP customer per kWh ............................................................... 148

Table 69: Average Electricity consumption per capita: household with own generator .................. 149

Table 70: Average Electricity expenditures and cost of kWh of households with own generator ... 149

Table 71: Average Monthly Household and Per capita Electricity expenditure by location ............ 150

Table 72: Respondents without electricity: Average Monthly Household Lighting expenditure by

location .................................................................................................................................... 150

Table 73: Average monthly lighting expenditures (apart electricity spending) by category of

respondents ............................................................................................................................. 151

Table 74: Average monthly cooking spending by category of respondents ................................... 151

Table 75: Monthly household energy spending by category of energy expenditures and by

Quartile .................................................................................................................................... 152

Table 76: Willingness to get connected to LEC grid per category of respondents .......................... 153

Table 77: Willingness to get connected to LEC grid per category of respondents .......................... 153

Table 78: Can you afford the costs – connection, upgrading or new wiring of the house,

miscellaneous .......................................................................................................................... 153

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Table 79: Can you afford these costs : connection, upgrading or new wiring of the house,

miscellaneous .......................................................................................................................... 153

Table 80: If credit was available, average monthly affordable payment .......................................... 153

Table 81: Household monthly total expenditures by location .......................................................... 154

Table 82: Household monthly total expenditures by category of respondents ................................ 154

Table 83: Household monthly total expenditures by category of expenditures and by level of

income ..................................................................................................................................... 155

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Final Report – August 2012 9

List of Acronyms and Abbreviations

ACP African, Caribbean and Pacific

AfDB African Development Bank

AIDCO EuropeAid Cooperation Office

AU African Union

CE Commission européenne

CRIS Common Relex Information Services

CSP Country Strategy Paper

DAC Development Assistance Committee

EC European Commission

ECHO European Commission Humanitarian Aid

ECOWAS Economic Community of West African States

EDF European Development Fund

EIB European Investment Bank

EPP Emergency Power Programme

EU European Union

EUR Euro

FA Financing Agreement

FAO Food and Agriculture Organization of the United Nations

FD Financing Decision

FED Fonds européen de développement (see EDF)

GDP Gross Domestic Product

GoL Government of Liberia

GTZ Gesellschaft für Technische Zusammenarbeit (German Technical Cooperation)

ha hectare

HDI Human Development Index

HIV/AIDS Human Immunodeficiency Virus / Acquired Immuno Deficiency Syndrome

HQ Headquarters

HR Human Resources

HV/MV High Voltage / Medium Voltage

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10 Contract 2012/284032

ICB International Competitive Bidding

IDA International Development Assistance

IMF International Monetary Fund

IR Inception Report

JICA Japan International Cooperation Agency

JNA Joint Needs Assessment

KfW Kreditanstalt für Wiederaufbau (German Financial Cooperation)

km Kilometre

kV Kilo Volt

LBR Liberia

LDC Least Developed Countries

LEC Liberia Electricity Company

LISGIS Liberia Institute of Statistics and Geo-Information Service

LRDC Liberian Reconstruction and Development Committee

LTTA Long-term Technical Assistance

LWSC Liberia Water and Sewage Company

M Million

MDG Millennium Development Goals

MoF Liberian Ministry of Finance

MPEA Liberian Ministry of Planning and Economic Affairs

MT Metric ton

M&E Monitoring and Evaluation

N/A Not applicable

NAO National Authorising Officer

NEPAD New Partnership for Africa’s Development

NGO Non-Governmental Organisation

NIP National Indicative Programme

ODA Official Development Assistance

OECD Organisation for Economic Co-operation and Development

OJ Official Journal of the European Union

OLAS On-line Accounting System

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Final Report – August 2012 11

PCRCBP Post Conflict Rehabilitation and Capacity Building Programme

PCRD Post Conflict Rehabilitation and Development

PIA Project Implementation Agreement

PMU Project Management Unit

PRS Poverty Reduction Strategy

ROM Results Oriented Monitoring

SIDA Swedish Development Agency

SMEP Small and Micro-Enterprise Programme

SOE State-Owned Enterprise

SSR Sub-Saharan Region

STTA Short-Term Technical Assistance

TA Technical Assistance

TAP Technical and Administrative Provisions

TF Trust Fund

ToR Terms of Reference

UN United Nations

UNDP United Nations Development Programme

UNEP United Nations Environment Programme

UNHCR United Nations High Commissioner for Refugees

UNICEF United Nations Children’s Fund

UNMIL United Nations Mission in Liberia

UNSC United Nations Security Council

USA United States of America

USAID United States Agency for International Development

US$ US Dollar

VRA Volta River Authority

WB World Bank

WHO World Health Organization

WTO World Trade Organization

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12 Contract 2012/284032

1 EXECUTIVE SUMMARY

Context, Objectives and Scope of the Evaluation

In February 2012 the EU launched an International Competitive Bidding for recruiting under the

Framework Contract procedures consultants for evaluating its funding and corresponding

interventions in the electricity sector in Liberia and to formulate recommendations on its future

interventions. The contract was awarded to MWH (formerly Montgomery Watson Harza) which

started activities in Monrovia on April 11th. The team comprises Mrs Laurence Wilhelm, Socio-

Economist, Mr Roger M. Gaillard, Energy Specialist (Team Leader) and Mr Laurent De Block,

Project Manager. This final reports includes comments and clarifications further to the presentation

of results held on July 24th in Monrovia.

The EC originally committed to an electricity support program in Liberia under the EDF 8 Financing

Agreement of July 13th 2001. This programme was launched in a war and unrest period and its

implementation, without a National Indicative Programme in place was governed by Art.225

emergency procedures of the revised Lomé IV convention. The overall objective was to assist the

reintegration of returnees and displaced population in order to minimize the risk of further conflicts.

Considering the lack of impact of previous interventions, after the war, the EU launched a

management/reorientation study on the electricity supply in Monrovia.

As a result, an important objective of the interventions was to achieve/contribute to poverty

reduction: through the rehabilitation of the electricity grid and providing incentives for private

participation in generation, as well as distribution to end users, it was expected that the majority of

the population from Monrovia could have access to electricity and that as a consequence, the end-

user price would drop significantly.

The ultimate objective of this evaluation pertaining to the above described interventions, in addition

to the judgement through the usual standard criterions applicable, is to formulate motivated

recommendations concerning the best mix of future EU interventions in the energy sector in Liberia.

The general scope of the evaluation mission as stated in the Terms of Reference was threefold:

- Assessment of the impact that the project has made in the life of the

beneficiaries and the communities;

- Assessment of the effectiveness, efficiency and sustainability of the project

interventions;

- Lessons which can be drawn for guiding future EU interventions.

The topics of the general scope are then broken-down in more detailed activities under several

judgment/evaluation criteria: relevance, efficiency, effectiveness, impact and sustainability in

compliance with accepted standards.

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Final Report – August 2012 13

Synthesis of Evaluation Findings and Results

The synthesis of the evaluation is illustrated in the following table. Globally, the interventions and

associated results/impacts and outcomes are ranging from Satisfactory to Good. For each criterion,

the most important factor which positively or negatively supported or affected the marking is

introduced in the third column.

A: Excellent B: Good C: Satisfactory D: Poor E:

Unacceptable

Monrovia Grid Rehabilitation

Project

(Institutional Aspects Excluded)

Reintegration for returnees and

displaced people and Post conflict

rehabilitation and capacity building

programmes

Criterion Marking Remarks Marking Remarks

Relevance B

Supporting factors: Project is a

response to a critical and

emergency situation C

Marking under the ROM

performed in 2010

Efficiency B

Supporting factors: High

standard of construction.

Contract at cost reflecting

market risk patterns

Appropriate and proven

technologies.

B

Effectiveness B

Supporting Factors: HT and

MV equipment in operation

Deterrent factors: Connections

to customers through LV

equipment came at the end of

the project

C

Impacts C

Deterrent factor: Connections

to customers were not

included at the beginning of

the project

C

Sustainability A

Supporting factors: High

standard of construction.

Appropriate technologies.

B

Coherence A

Supporting factors: Leading

role of EU. Coordination with

other donors.

Complementarities of

programmes

NA

Consistency B

Supporting factors: End-users

survey shows that the project

satisfies the expectations and

aspirations of population in

various domains

NA

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The Liberian Electricity Sector and its Future Development

Contextually and under the current legislation, the Liberia Electricity Corporation is responsible

for the generation, transmission, and distribution of electricity. Before the civil crisis, the total

installed electricity capacity of LEC was approximately 191 megawatts (MW), while that of

concessionaires was 212 MW. Today (2012) capacity is less than 30 MW. The key indicator

that translates the tangible results/impacts achieved by the interventions of donors (including

the EU) is the number of customers who are finally connected to the grid as illustrated in the

tables and charts embedded in this report. The global number of connections was 2’403 in

October 2010 (the major part being 1’096 residential and 1’171 commercial) then 5’313 in

October 2011 reaching 5’710 at end of March 2012 with a good stake (1’728) of connexions

through prepaid meters. LEC has a target of 40’000 customers for June 2015.

For the next coming years, the involvements and commitments of donors from the international

community will satisfy the needs in the fields of generation, transportation and

distribution/connections resulting from the expected growth rates of the demand. This statement

is backed-up by the analysis of the assumptions and the various scenarios outlined by various

parties for assessing the future demand. In other words, the sector is “crowded” enough by

financing partners for covering the development of the electricity sector and for satisfying the

demand up to 2020. After this date, new projects in the fields of generation, transport and

distribution will require additional support by LEC, the Government and the donors. The

following graph illustrates the concentration of actions from donors in various projects in the

electricity sector during the period 2012 – 2020.

At short term (until 2015 – 2017) generation capacities allowing to respond to the demand/load

resulting from the new connections (planned to reach 30’000 in Monrovia in 2014 and an

equivalent number in off-LEC grid rural areas) would be mainly thermal plants and the possible

supply through the CLSG interconnection project and the Ivory Coast – Liberia Cross Border

Generation Transport Distribution Connections Rural Electrification Private IPP’s

(Generation)

Time Line (Years)

2008 2010 2012 2015 2020 2025

EU (Monrovia Grid Rehab

project)

EU (Monrovia Grid Rehab

project)

Arcelor Mittal

450 MW

Rubber Wood Plant

36 MW

EU (1'400 units)

EU (Cross Border

project)

USAID (Small IPP’s)

WB (GOBPA) 16'000 Units

CLSG Multidonors (WB, AfDB, BEI,

KfW)

Mount Coffee Rehab.

(Norway, KfW) 64 MW

JICA HFO Plant

10MW MW

LEC Plans

Multi donor ( 5 – 10

MW )

Other Miners (200 MW)

MW from CLSG

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Final Report – August 2012 15

project, both implemented under the WAPP. IPP’s essentially running with diesel generators will

also continue to provide electricity to customers not-yet hooked to the national grid. IPP’s are

however an intermediate solution, which had justification during the period when emergency

actions were the privileged alternatives until the national utility can resume its activities. IPP’s

should be gradually decommissioned when reaching their lifespan as long as access to the

national grid for more affordable electricity of better quality (services and reliability) is increased.

On the longer term, given the uncertainties on the trend of fossil fuel costs (oil barrel WTI at US

$104.68 at the date of April 27th, 2012) for the future, but reasonably assuming that they will

continue to increase, it will be legitimate and wise to consider other sources of energy,

preferably of renewable and more environmentally friendly nature, to achieve a better balanced

mix of future generation capacities in Liberia.

Recommendations and the Way Forward

The final recommendations resulting from the evaluation process and the appraisal of the

electricity sector patterns, as detailed in the relevant chapters of the report are based on the

following statements of facts:

i) The future peak demand from the electric system (Monrovia Grid and

interconnections) will realistically range from 40 to 80 MW at the 2017 horizon

and could reach 110 MW, 130 MW and 160 MW at the horizons 2020, 2025 and

2030 respectively.

ii) The model results obtained at the completion of the Liberia Energy Options Study

(WB 2011) indicate that the most economic options for expanding the

interconnected power system at the level of approximately 100MW (the next 8

years) is a mix of hydropower generation composed of the rehabilitation of the

Mt. Coffee hydropower plant, the Saint Paul River development, and possibly the

Mano hydropower project identified in another river basin (belonging to the three

countries: Liberia, Sierra Leone and Guinea), and an addition of thermal power

produced by diesel power generation, HFO, and the WAPP CLSG regional

interconnection line

iii) The sector is relatively crowded by the international community of donors for

supporting and financing the contemplated new generation capacities with the

corresponding transport, transmission and distribution components up to 2020.

iv) The end-users survey realised under the present evaluation (see below) confirms

the willingness of the majority of the Monrovia population to get connected to the

LEC grid. The majority of the users also confirmed that they are ready to pay for

the connection fees and for the quantity of electricity consumed. This willingness

is mainly motivated by the wish to have electricity of good quality (stability and

continuity of supply is dominating) at an affordable cost. However, given the

patterns of the current consumption, the relatively high poverty level of the

population and the other categories of expenses it has to afford (transport is

frequently the main item of household expenditure); the demand growth will

remain modest. The figure of 100MW of installed capacity for the Monrovia Grid

at the horizon of 2020 is therefore realistic.

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v) Preparing and designing hydropower schemes require complex and long studies

and surveys, specifically since the river basins of Liberia have not been object of

investigations during the last two decades because of the wars and conflicts.

vi) On the long term, hydropower could generate energy with the lowest levelized

cost compared to other sources like fossil fuels.

The statements above fully motivate the recommendation that the EU, if it decides to pursue its

support to the Liberia electricity sector, should take the lead in the initiative to develop the

hydropower potential of the St Paul River basin.

Supporting the development of the hydropower potential of the St Paul River is the appropriate

approach when preparing plans for medium and long terms horizons. This is justified by the long

gestation period needed by hydropower projects for preparing necessary surveys, studies and

technical documents in compliance with the recognized standards and good practices of the

industry.

According to preliminary studies (Stanley Consultants), one of the first actions which could make

sense is the creation of a reservoir on the Via River (a confluent to the St Paul River) upstream of

the Mount Coffee hydropower plant. Such a reservoir regulation effect on the river flow would

drastically increase the dependable capacity of the Mount Coffee power plant which is very low,

given the seasonal regime of the St Paul River. Currently (and when rehabilitated), while delivering

nearly its full capacity during the rainy season, the power plant can only deliver less than 10 MW of

power during the dry season. Then by implementing other reservoirs/dams and power plants along

the St Paul River an ultimately fully equipped cascade could assure nearly a yearly average of

2’700 GWh of energy.

It is recommended that this initiative starts with the mobilization of funds to conduct and update

an appraisal of the hydraulic potential of the river, an assessment of the environmental patterns

of the affected area, a diagnosis of exiting and historical data in the sectors of hydrology,

geology, seismicity and in general all domains concerned by large hydropower schemes

projects. The global cost of such a Reconnaissance Study is estimated at 150’000 Euros.

The next action must comprise additional surveys and studies for the preliminary assessment of

the complete cascade, the estimates of costs, the economic computations and the appraisal of

the cumulative impacts that a complete cascade would generate. The global cost of such a

Detailed Feasibility Study is estimated at 2’000’000 Euros. The outlines of the Terms of

Reference for both studies are included in the main report.

In summary, the recommended 2 studies are amounting respectively:

150’000 Euros for the Reconnaissance study

2’000’000 Euros for the detailed feasibility study

At their completion, a set of tender documents for the execution of the project through International

Competitive Bidding will be available. It is recommended that in view of the further implementation

phase and in order to continue its support to the development of renewable energy in Liberia the EU

should earmark additional resources under the EDF 11 envelope.

Such resources would ideally amount to 40 to 60 million Euros for contribution to the capital cost of

the project. They may be utilized in various ways (blending effect through loan interest subsidies,

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Final Report – August 2012 17

guarantees, investment, funding TA and construction supervision activities…) the aim being that

they can trigger a leveraging effect for the mobilization of resources from other donors and investors

for a project which is worth several hundred millions dollars (current estimate 220 Millions).

End Users Survey

Aside of the evaluation of the EU interventions, the Consultant was in charge of conducting an

End Users survey for measuring the behaviour patterns (Willingness and Affordability To Pay)

of the Monrovia population towards the access to and the use of electricity. The survey was also

covering some commercial customers.

The broad objective of the survey was to assess the main patterns in behavior, expenses, attitude

towards energy use in various segments of the population, enterprises and institutional services.

More specifically, the aim was to assess:

1. the impacts the access to LEC electricity grid has on the life of the beneficiaries as well in

the communities,

2. the willingness to pay and affordability to get connected to LEC grid of those households and

other units who are not yet connected.

3. the perceptions of the results and achievements of the project (EU funded Grid

Rehabilitation activities) by the beneficiaries and their degree of appropriation.

The Household End Users Survey was conducted in six sites (survey areas) throughout the capital

selected with reference to specific representativity criteria according to the objectives of the survey:

these sites are Stephen Tolbert in Barnersville, New Georgia Estate in the community of the same

name, Neezoe and Police Academy in Paynesville city, Clara Town in Bushrod Island, and

Jallah/Saye Town in Central Monrovia. They cover the three types of urban patterns and land use in

which the majority of the population of Monrovia is concentrated today. The following results and

findings are derived from the interviews of 354 households, as illustrated and summarized in the

following charts.

Survey results for households: Impact of being connected to LEC on living conditions

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Survey results for Commercial Customers: Advantages for being connected to LEC

More specific conclusions are the following :

If the tariffs applied by LEC are among the highest in the world (estimated at 0,578

USD/kWh), those applied by small private operators (estimated at 1,2 USD/kWh) or by auto-

production with small generator sets (estimated at 1,9 USD/kWh) are even more exorbitant.

Unfortunately many households and most companies not connected to the LEC grid have no

choice but to pay such tariffs.

The willingness to be connected to the electricity network is very strong among the

households and the small enterprises. The capacity to pay is an important issue for a major

part of the households as well as for small companies. The poor population of the districts in

downtown area and in the peri urban zones however doesn’t have the financial capacity to

pay the first connection and electrical wirings expenses up-front; the decision and strategy to

accelerate the installation pre-payment meters and facilitate access to credit to finance these

costs is essential.

The feeling of satisfaction concerning electricity was dominant among all households

interviewed: 62% of customers are entirely satisfied, 11% are dissatisfied and 27 % mixed.

The reasons for discontent are mostly problems with the quality of service provided by LEC.

For those households equipped with conventional meter, they particularly quote problems of

metering and billing; those equipped with pre paid meters complained wasting time to find

scratch card sellers. The customer service is not yet well developed, especially in the peri

urban areas of Barnersville and Gardnersville. For small enterprises the major problems

raised were the irregularity of current, the outages and their negative impacts on economic

activity.

The geographical targeting - Northern zone of Monrovia and Eastern districts – The

interventions financed by the European Union within the framework of EPP 2 and the

Monrovia Electricity Grid Rehabilitation Project were perfectly relevant as these

neighborhoods comprise the major part of the population of the town of Monrovia. However,

as the low voltage grid has not been developed by other actors as expected, large peri urban

neighborhoods of Paynesville still don’t have access to the grid, even if the rehabilitation

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Final Report – August 2012 19

programme of its sub station, initiated during EPP 1 and EPP 2, financed partly by the

European Union, had in its targets to allow the extension of the network in these zones

characterized by a very rapid urbanization. Eventually, the last rider of the Monrovia

Electricity Grid Rehabilitation Project covered the provision for resources for the delivery and

installation of 2’600 prepaid meters in low income neighborhoods, in particular in Jallah

Town and Saye town, located in Central Monrovia. This specifically targeted the final

beneficiaries and thus was very relevant.

.

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2 CONTEXT OF THIS REPORT

In February 2012 the EU launched an International Competitive Bidding for recruiting under the

Framework Contract procedures consultants for evaluating its funding and corresponding

interventions in the electricity sector in Liberia and to formulate recommendations on its future

interventions. MWH (formerly Montgomery Watson Harza – www.mwhglobal.com) submitted a

proposal and was awarded the contract for conducting the evaluation.

The team comprises Mrs Laurence Wilhelm, Socio-Economist, Mr Roger M. Gaillard, Energy

Specialist (Team Leader) and Mr Laurent De Block, Project Manager at MWH who assures the

contract administrative and financial management.

The activities started on April 11th with a first mission which lasted till May 15

th 2012 and allowed for

submission of a substantive draft report.

A second mission was held during July 2012 by the Team Leader for the presentation of the results

on July 24th. This final report includes comments and further clarifications resulting from this

presentation.

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Final Report – August 2012 21

3 INTRODUCTION AND BACKGROUND INFORMATION

The EC originally committed to an electricity support program in Liberia under the EDF 8 Financing

Agreement of July 13th 2001. This programme was launched in a war and unrest period and its

implementation, without a National Indicative Programme in place was governed by Art.225

emergency procedures of the revised Lomé IV convention.

In such circumstances, the overall objective was to assist the reintegration of returnees and

displaced population in order to minimize the risk of further conflicts. The obvious aim of improving

access to clean water, sanitation and electricity was to anchor such populations in a better living

environment avoiding them to fall back into unrest and degraded living conditions.

This approach was mainly motivated by the humanitarian and emergency dimensions of the situation

and was therefore fully relevant and pertinent to needs, problems and issues to be addressed at this

point in time. The main aim of the infrastructure component (water and electricity) was to develop the

facilities so that they are eventually managed as autonomous and self-sustainable entities. Under

existing funds (EDF 8) of the Financing Agreement a management study outlining various reform

scenarios was prepared. A strategy focusing on delivering services to the most vulnerable

populations and, at the same time, attracting private sector participation in more commercially viable

parts of the business, was retained as the best suited for sustainable delivery of electricity.

Technical assistance to define the detailed implementation modalities of the strategy, to draft the

new legal framework and to oversee the implementation of rehabilitation works was put in place.

However, delays occurred in the starting of the rehabilitation works and as the Financing Agreement

was to end in March 2006, the remaining time period was too short to proceed to the implementation

of the electricity rehabilitation and reform program. Therefore a new Financing Agreement was

necessary to complete the program using funds from the 9th EDF. One of the main lessons learnt

during this initial period was that since its creation, even if the Liberia Electricity Corporation (LEC)

had received international funding through technical assistance, management contracts and

investment support to keep it running, it hardly managed to operate in a financially and economically

sustainable manner. Weak management, lack of incentives and poor recovery of operating costs

continued to deteriorate the infrastructure and revenue base, and led to poor performance. During

the war period of 2001-03, the EU supported the electricity sector through technical assistance and

investment support. While the support allowed the company to operate, it did not create a

sustainable business model for the continuous delivery of services once the funding ended. In fact,

electricity supply via the utility halted shortly after the project ended.

Considering the lack of impact of previous interventions, the EU launched after the war a

management/reorientation study on the electricity supply in Monrovia which stated as main issues: i)

Overstaffed inefficient public body, widely subject to political influence ii) Absence of a management

committed to providing a service iii) A very high level of revenue leakage and iv) A total lack of public

funding for rehabilitation. Since LEC stopped providing electricity, independent private producers

were supplying power to neighbourhoods in a sustainable manner. It was therefore obvious that a

new approach was needed with a combination of investment support and revenue generation

opportunities for private producers based on incentives, good governance and private participation.

An important objective of the interventions was to achieve/contribute to poverty reduction: through

the rehabilitation of the electricity grid and providing incentives for private participation in generation,

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as well as distribution to end users, it was expected that the majority of the population from Monrovia

could have access to electricity and that as a consequence, the end-user price would drop

significantly. Ultimately, while materialized by equipment (generation, transport, distribution,

metering), works and technical/management services, the EU funds target was the less

commercially viable areas to reach the poorest areas of town where publicly funded provision of

(electricity) service was most needed.

Electricity is a vital input for income generation in the nowadays modern world including on the

African continent; hence the interventions were designed to have positive multiplier effects on

productive activities, employment and economic development, this last also encompassing collateral

aspect like security, education, health and gender as some of the crosscutting objectives. Surveys

and specific studies performed by various institutions members of the UN organization have

demonstrated that in the less developed countries, there is a close correlation (no causation)

between the per-capita average yearly electricity consumption and the progress of some of the

Human Development Indexes like infant mortality rate, access rate to safe drinking water, life

expectancy and literacy rate. Results of surveys performed on countries which have gone through

the development sequence from less developed to emerging countries, show that when the per-

capita consumption reaches 1’000 kWh per year (approximately 60% of the world population have

less and average in Sub-Saharan Africa is approximately 400 kWh), when people have only risen

above desperate poverty to a stable if rudimentary standard of living, the literacy rate increases to

50% and the rate of access to safe drinking water to nearly 40%. When reaching the threshold of

2’000 kWh per year, which is close to the world average, and relates to a society that is a mix of

modern technological dynamism and traditional agricultural life, the same indicators increase to 85%

and 90% respectively.

The ultimate objective of this evaluation, in addition to the judgement through the usual standard

criterions applicable, is to formulate motivated recommendations concerning the best mix of future

EU interventions in the energy sector in Liberia.

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Final Report – August 2012 23

4 BRIEF COUNTRY CONTEXT

Liberia covers an area of 111’369 sq.km and has currently a population of 3’887’886. It has

boundaries with Guinea 563 km, Cote d'Ivoire 716 km, Sierra Leone 306 km and a coast line of 579

km. Its GDP (Purchasing Power Parity) was estimated at US$ 1’836 billion for 2011. GDP growth

was estimated at 6.9% in 2011, a constant increase from 5.6% in 2010 and 4.6% in 2009. Current

impediments to growth include a small domestic market, lack of adequate infrastructure, high

transportation costs, poor trade links with neighbouring countries and the high dollarization of the

economy. Liberia used the United States dollar as its currency from 1943 until 1982 and continues to

use the U.S. dollar alongside the Liberian dollar. Liberia is a low income country heavily reliant on

foreign assistance for revenue. Civil war and government mismanagement destroyed much of

Liberia's economy, especially the infrastructure in and around the capital, Monrovia. Liberia has the

distinction of having the highest ratio of direct foreign investment to GDP in the world. Richly

endowed with water, mineral resources, forests, and a climate favourable to agriculture, Liberia has

been a producer and exporter of basic products, primarily raw timber and rubber and is reviving

those sectors. Local manufacturing, mainly foreign owned, has been small in scope.

Re-elected president in 2011, Ellen Johnson Sirleaf has taken steps to reduce corruption, build

support from international donors, and encourage private investment. Embargos on timber and

diamond exports have been lifted, opening new sources of revenue for the government. The country

reached its Heavily Indebted Poor Countries initiative completion point in 2010 and nearly $5 billion

of international debt was permanently eliminated. This new status will enable Liberia to establish a

sovereign credit rating and issue bonds. Liberia's Paris Club creditors agreed to cancel Liberia's debt

as well. Rebuilding infrastructure and raising incomes will depend on generous financial and

technical assistance from donor countries and foreign investment in key sectors, such as

infrastructure and power generation providing that the institutional framework is conducive enough.

Since 2006, Liberia has made noticeable progress in the areas of political rights, civil liberties, and

freedom of the press. Liberia is ranked 20th out of 53 African countries in the 2010 Mo Ibrahim index

of Participation and Human Rights. Despite the opposition-led Legislature, the Government has

been successful in implementing significant reforms. Furthermore, the Government has been

promoting national healing and national unity through, for example, the establishment of the Truth

and Reconciliation Commission, as well as through “inclusive governance” to ensure that all

ethnicities have voice and representation. The security situation is generally stable albeit fragile and

vulnerable to political instability in the region, with a sizeable United Nations (UN) peace-keeping

force of more than ten thousand soldiers and police remaining on the ground until at least

September 2012.

Liberia has made also significant progress in achieving post-conflict economic stabilization and its

development agenda as set in the PRS paper. The long-term vision currently being developed by the

country is to attain middle-income status by the year 2030. Despite the global financial crisis has

also adversely impacted Liberia’s economic performance particularly in 2009, slowing economic

growth, reducing employment in the rubber sector, and delaying investments in iron ore mining the

economy has performed well during 2008-2010 with real Gross Domestic Product (GDP) growth

rates averaging close to 6.0%, though much lower than the double-digit growth rates envisaged

under the PRS.

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5 SECTOR CONTEXT

5.1 ASSESSMENT OF THE SECTOR POLICY

The EU interventions in the electricity sector in Liberia were initiated when the Result-Focused

Transition Framework (RFTF) of 2003, based on the Joint Needs assessment undertaken by the

United Nations (UN) and the WB under the guidance of the National Transitional Government of

Liberia (NTGL), stipulated the relief and recovery development actions for Liberia. One of the nine

sector clusters addressed was Infrastructure that includes power. The NTGL has empowered a

Special Executive Committee on Electricity (SECE) to launch, coordinate, and supervise a sector

reform process. While the NTGL through SECE has endorsed the EC proposed strategy through a

Memorandum of Understanding signed on November 23rd

, 2004, it had not at this stage issued a

holistic sector policy statement addressing electricity sector reform in general and the provision of

electricity throughout the country.

At the date of end 2004 a sector approach was not feasible since none of the defining components

were in place. There was no overall strategic framework for the country's development (a Poverty

Reduction Strategy was to be prepared with the assistance of the IMF). There were no sector policy

document adopted by the government and there was no medium term expenditure framework in

place. Moreover, the country was still in a crisis situation, in transition from humanitarian to

development assistance and under Art.255 emergency procedures. Hence a project approach was

chosen to best address urgent needs on the ground, while also working with the national

counterparts in defining a sector policy and a new legal and regulatory framework.

5.2 ELECTRICITY SECTOR CONTEXT

The most critical infrastructure gap in Liberia now is in the power/electricity sector. The wars left the

electricity system in Liberia in extremely bad conditions; the grid was destroyed and there was no

publicly provided power at all by the late 1990s. The Comprehensive Peace Agreement, reached in

2003, had ended 14 years of civil war, but the deleterious effects of this conflict had forced the

Liberian Electricity Corporation (LEC) to stop generating electricity a year later. It is only in

September 2006 that with the donation of a 1 MW generator for Krutown sub-station with the

assistance of the Volta River Authority (VRA) - Ghana’s utility, LEC resumed delivery of commercial

electricity service to downtown Monrovia.

A the same period, the European Commission (EC), the World Bank, and the US Government

(USG) were already conducting infrastructure projects in water and roads in Liberia, and showed

interest in cooperating on power. Beginning discussions in February of 2006, this group signed a

Memorandum of Understanding with the Government of Liberia at the end of March, initiating the

Emergency Power Program (EPP). The Government of Liberia (GOL) provided sites, supply support,

and administrative budget for the Liberian Electricity Corporation (LEC). The EC’s funding

contribution was for the purchase of generators and construction of distribution networks. This

construction was actually carried out by VRA, under a contract with the EC.

Based on the very early results of the EPP in Liberia, the government of Norway decided to grant

$7.8 million for further emergency generation in Monrovia. The original donors – the EC, the World

Bank, and the US and now Norway formed a new coalition with the government of Liberia in

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Final Report – August 2012 25

December 2006. This new program, named EPP II was totalling $25 million of aid, including $1.8

million of in-kind and budget support from the government of Liberia.

This emergency assistance financed by the above group of several donors allowed increasing

capacity incrementally to 13.8 MW in early 2010 and then to 22.6MW by March 2011. The data

available in the various reports issued at that period were stating that the cost of generation was

about US$ 0.32/kWh (World Bank, Afteg 2011); this should be compared with average generation

costs in Africa of US $0.18/kWh (World Bank AICD 2009). To date (April – May 2012), the

Management Board of LEC has maintained the rate of US $ 0.54 per kWh. Generation capacity will

need to be increased in small increments as new connections are installed – ideally, perhaps 5MW

for each increment. Studies have been carried out to determine the optimal plan for increasing

capacity. Highly simplified, the main conclusions of these studies as prospective trend are as

follows:

- In the immediate future, diesel will remain the main source of additional capacity – at a

levelized cost of about US0.32/kWh nevertheless subject to the price fluctuation -

increase – of oil on the international market.

- As soon as the supply of heavy fuel oil (HFO) can be re-established units using HFO will

be preferred (2x5 MW HFO Generators announced to be funded by JICA). The

benchmark levelized cost of this source of power has been estimated at US$ 0.16/kWh.

- Starting around 2015–2016, two new sources should be available and would play a large

role: i) Power supplied by the West Africa Power Pool (WAPP) through a transmission

line interconnection between Côte d’Ivoire, Liberia, Sierra Leone, and Guinea (CLSG)

should be one of the feasible alternatives. The expected cost ranges from US$0.11 to

0.17 per kWh, depending on the mix of supply from Guinea and Côte d’Ivoire,

respectively (with Guinean supply expected to come on stream only sometime after

2020) ii) Hydropower from Mount Coffee (see section on Mt. Coffee) – levelized cost of

phase one estimated at US$ 0.10/kWh.

- In the longer term (beginning, say, in 2020), there could be substantial further potential in

Liberia from hydropower. There are no recent studies, but based on studies carried out in

the 1970s and 1980s, there is great potential for both large and small hydropower plants.

But there is considerable uncertainty over what the cost would be (depending on the

project structure and the associated costs for collateral infrastructures like access roads,

long HV evacuation lines) and how it would compare with other sources.

- IPPs around Monrovia, Bio fuel plants – e.g., wood-fired – may also be an optimal choice

for the longer term. Studies are needed to explore this further.

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6 LIBERIA ELECTRICITY CORPORATION (LEC)

Under the current legislation, the Liberia Electricity Corporation is responsible for the generation,

transmission, and distribution of electricity. More precisely, LEC has the legal mandate to “engage in

the development, generation and transmission of electrical energy, the manufacture, construction

and installation of electrical equipment and devices related thereto, and the distribution and sale of

said electrical energy and related electrical equipment and devices, to cities, towns and the public in

general for heating, lighting, and power purposes.” The ownership of LEC restricted to the

Government, which did not have the ability to provide enough capital to enable the utility to

discharge its mandate fully deprived the corporation to extend services to the majority of the

population as dictated by the policy established in 2009

Before the civil crisis, the total installed electricity capacity of the LEC was approximately 191

megawatts (MW), while that of concessionaires was 212 MW. Outside Monrovia there were three

radial lines extending into the countryside and 11 small off-grid power systems operated by LEC to

supply electricity to cities and towns located along the coast and in rural areas. The installed

capacity of the rural electrification program was 13 MW and distribution lines stretched 90 miles, with

an additional 26 miles of low-voltage service lines. The small isolated rural systems were powered

by plants ranging from 300 kilowatts (kW) to 1300 kW. There is no generation capacity outside of

Monrovia beyond privately-owned generators and scattered donor-funded pilot projects. A number of

Government agencies, community organizations and private sector establishments in rural locations

in several counties have been able to receive diesel generators and solar power systems through

USAID, the United Nations Development Programme, and some NGOs.

6.1 ORGANIZATION

The Liberia Electricity Corporation organization is illustrated in the chart below. Under the

Management Contract, this organization is likely to evolve and change to adapt to circumstances

and match with the objectives and challenges resulting from the agreed development and

investment plans.

Figure 1 : LEC organisation chart

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Final Report – August 2012 27

Breakdown EU funded assets (US $ 32.539

Million)

Transmission

Lines

23.92%

Distribution Lines

14.78%

Transformers

37.20%

Poles

4.42%

Connections

3.95%

Generators

6.24%

Sub stations

0.83%

SI Generators

8.33%

S & I

0.24%

M eters

0.09%

6.2 CORPORATE ASSETS

Further to the implementation of the management contract, LEC finance department established the

registry of all assets of the company starting from the years 2005 for the furniture and buildings and

2009 for the electrical components. The small data base that they have built shows that the whole

assets are valued in 2011 at US $ 67.280 Million. The assets corresponding to equipment and

supplies funded by the EU are totalling US $ 32.539 million or 48.36 % of the company registered

assets, the rest having been funded by other donors (USAID, Norway) and the corporation itself.

This significant percentage illustrates the strong and continuous engagement of the EU in the

Liberian electricity sector since 2006. The breakdown of the EU funded assets shows that the main

part was for Transformers (37.2%), Transmission lines (23.92%) and Distribution lines (14.72%).

The rest (24.16%) is covering equipment like generators, poles, connections and meters, safety and

information systems associated to generators and substations. The charts below illustrate the EU

funded significant part of the LEC current registered assets.

Figure 2: Breakdown of EU funded assets and LEC registered assets

6.3 TARIFFS

Under the covenants /clauses of the Management Contract, LEC must define an approach to a Tariff

Model for guiding its commercial strategy for the years to come. LEC has therefore proposed to

retain a flat rate tariff based on the revenue requirements calculation of the Average Retail Tariff

defined in the relevant clause of the Management Contract. However some adjustments were

introduced to account for current realities.

Large stable regulated utilities with a long history of customer behaviour and a wealth of reliable load

and cost data can implement recognized good practice for the setting of their tariffs. This is obviously

not the situation prevailing at LEC which is just emerging from years of poorly managed operations.

Computations of cost-reflecting tariffs are complex and require detailed analysis of large amounts of

reliable data.

LEC Registered Asset (2011)

32'540 34'740

67'280

0

20'000

40'000

60'000

80'000

Total Funded by EU Not Funded by EU Total Registered

assets (2011)

Th

ou

san

ds

Assets

US

$

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The standard sequence of actions/measures for preparing the adequate conditions for cost-reflective

tariffs that good practice recommends to follow are:

1. Development of a detailed asset register (Finally established and audited in 2011)

2. Computation of per kW (capacity) and per kWh (energy) costs associated with each asset

class

3. Analysis of records on properly segmented operating and maintenance, administration and

customer service costs and their separation into fixed and variable components

4. Allocation of those costs to per kW and per kWh categories, or in the case of customer

service to numbers of customers

5. Computation of a total revenue requirement to cover all the identified costs – including an

allowable return on the fixed asset base

6. Allocation of all these costs to individual customer classes

However, given that LEC has a very limited asset base (total worth US $ 67 million), has not the

capacity to finance new assets (which would only develop under donor’s grants arrangements) and

is pushed to aggressively connect low-income customers, a proper cost of service analysis is not

relevant. Instead, LEC needs a more practical approach suitable for a small utility, based on a

simplified revenue requirements approach targeting near full cost recovery and effectively near

breakeven operations on an accounting basis.

The proposed adopted tariff policy recognizes that this is very unusual in a developing country

situation where tariffs are typically set more on a combination of affordability considerations and

social, economic and often political considerations. However it is certainly prudent as it gives LEC a

much greater chance of quickly achieving financial sustainability, and it takes into account the

inability of the Government of Liberia to support LEC with large subsidies. LEC supports this

approach as both rational and practical and the proposed Tariff Calculation is based on such

considerations. As a result of these given existing fundamentals LEC concluded that for the time

being, it would be not feasible to apply tariffs derived from cost allocation based on economic

principles with different prices by voltage level and consumption pattern. Therefore, LEC proposes in

the interim (at least until end of 2012) to maintain the system of flat rate tariffs with an additional fuel

cost (being the major part of the production cost) adjustment being passed through to the consumer.

Differentiated tariffs will certainly be considered when lower cost non-petroleum (hydropower,

interconnections with sub-region network) generation becomes available.

The methodology retained within the frame of the Management Contract stipulates that the Average

Retail Tariff is the sum of six components expressed in $US/kWh:

1. Value added on distribution (VAD) – that comprises all LEC costs except generation costs

defined in 2. below

2. plus the cost of generation delivered at the busbar – in the case of LEC currently generating

all its own power, comprising fuel, O&M and depreciation of generation assets, and in the

case of power purchases from an IPP any associated capacity and energy payments

3. plus any applicable taxes – assumed to mean any taxes that are not collected and remitted

to the Government like GST (Gross Sales Tax)

4. plus other extraordinary costs

5. less any subsidy received by LEC

6. plus a reserve for capital investment of 0% of revenues in year 1, 2% in year 2, and 4%

thereafter

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Final Report – August 2012 29

The Average Retail Tariff was set contractually at $0.42/kWh (when the fuel price is at US $2.83 per

gallon) at the commencement of the MC and is required to be adjusted quarterly, thirty days in

advance, at least by the following factors:

1. the fuel component of the generation cost by international fuel price benchmarks defined in

Schedule 5 of the MC

2. the VAD for changes in LEC’s (presumably) distribution O&M costs, reductions in losses

(presumably both technical and non-technical and cash collections), and Liberian inflation

A separate note for a Request for Change in Methodology concerning the Fuel Price Adjustment,

justified by the market price volatility/increase was introduced recommending the following changes

to the fuel component of generation in order to minimize LEC’s exposure to changes in fuel price:

1. monthly, instead of quarterly adjustment

2. adjustment based on actual delivered fuel price to LEC, not on international benchmarks

3. no Board approval required for the monthly adjustment as it is fixed by a simple formula

Other clarifications/adjustments relating to depreciation principles, allocations of cost of losses etc…

are under discussion for “fine-tuning” the methodology for tariff setting.

The tariff policy proposed by LEC stated that it is now appropriate (mid 2012) to update the Average

Retail Tariff Calculation methodology, and establish a Standard Operating Procedure for Tariff

Calculation, making it fully transparent so that both the source data and the build-up of the final tariff

is clear, incorporating explicitly the requirements of the MC, and addressing any ambiguities.

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30 Contract 2012/284032

6.4 CUSTOMERS CONNECTIONS AND TYPES

The key indicator that will translate the tangible results/impacts achieved is the number of customers

who are finally connected to the grid. It was not easy for the evaluation team to obtain reliable data

on the evolution of the customer base for the last years and specifically before the entering into force

of the Management Contract in July 2010. What appeared through various available reports and

documents shows that the global number of connections was 2’403 in October 2010 (the major part

being 1’096 residential and 1’171 commercial) then 5’313 in October 2011. Thus concurs with the

LEC reports stating that the target of 5’000 customers will be reached even before august 2012 in its

Quarterly Progress Report for the period December 2011 to March 31, 2012 – May 1st 2012 which

reflects the most updated situation of the corporation activities. Data are reported in the following

table.

Table 1: Lec customer base

Year 2011 Year 2012

Number of Customers Months Jul. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar.

Total customers previous month 4'659 4'965 5'079 5'158 5'313 5'414 5'446 5'398 5'604

New Connections 309 117 99 198 104 42 13 198 104

Disconnections -74 -35 -56 -64 -49 -53 -100 -62 -46

Reconnections 71 31 37 21 46 43 39 70 48

Total Connections at End Month 4'965 5'078 5'159 5'313 5'414 5'446 5'398 5'604 5'710

Customer Breakdown

Residential 2'581 2'650 2'692 2'854 2'927 2'948 2'711 2'645 2'183

Commercial 2'141 2'181 2'219 2'213 2'239 2'252 2'073 1'888 1'635

Government of Liberia 104 108 110 109 110 112 114 117 118

Non-Governmental Organisations 35 35 34 36 36 34 34 33 30

Public Corporations 5 5 6 6 6 6 6 6 6

LEC 8 8 8 8 8 8 8 8 8

Tax exempt 2 2 2 2 2 2 2 2 2

Prepay Customers 89 89 87 85 86 84 450 905 1'728

At the date of March 2012, the total number of customers is 5’710 with the break down as per the

attached table and the corresponding graphs. The number of prepay customers has been multiplied

by 4 from the beginning of 2012.

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Final Report – August 2012 31

Figure 3: Breakdown of customer base - LEC data March 2012

Analysing the data and their graphic illustration, the following comments can be made. However

taking into account that the size of the data bank and the number of registered parameters are still

relatively modest, corresponding to only a few months of records, it is not possible to derive clear

trends or projections and the following observations and conclusions must be considered with

caution.

1. Growth Rate of the Customer Base

The highest growth rate of connection was recorded during the period October 2010 –

October 2011 (12 Months) at 242 new connected customers per month. However, the

average rate decreased down to 194 per month when considering the overall period October

2010 – March 2012 (17 months). Over the last 7 months July 2011 – March 2012, the

average rate was only 82 new connections per month, with a noticeable low figure in

December 2011 and January 2012. A reasonable average figure of 150 to 200 new

customers/connections per month was the actual rate these recent years. This very far from

the figures of 720 or 950 connections per month for 38 months needed for achieving the

targets of respectively 32’000 or 40’000 customers at the date of June 2015. The actual rate

for the near future will strongly depend on the working force, staff and equipment that LEC

can mobilize and operationally on the prudent approach required concerning the

management of demand/load versus the available actual generation capacity.

2. Growth Rate of Prepay Customers

When analysing the evolution of the Prepay Customers during the same time patterns, their

total number remained unchanged at approx. 87 until January 2012, when their cumulative

number rocketed at 450. Then their number was doubled every month for reaching the total

of 1’728 in March 2012. This focus by LEC on the installation of new prepaid meters can

explain the low growth rate of “purely” new customers during the same period.

3. Evolution of Breakdown per category

Breakdown per Category of Customers

Commercial

28.63%

LEC

0.14%

Goverment of

Liberia

0.021

Tax exempt

0.04%

Non Govermental

Organisations

0.53%

Residential

38.23%

Prepay Customers

30.26%Public Corporations

0.11%

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32 Contract 2012/284032

The data provided by LEC (Management Contract monthly report) show that the changes in

the breakdown patterns of the customers’ base mainly occurred in the repartition between

Residential and Commercial customers. Both their number decreased. However at the same

time the number of prepay customers increased approximately by the same number,

obviously corresponding to the changes effected by replacing conventional meters by

prepaid meters.

4. Evolution of revenues (billed kWh) per main categories of customers

Since the beginning of 2012, the part of revenues billed for prepay customers has

significantly increased against a decrease of revenues from “traditional” residential and

commercial customers, thus corresponding to the increase of the number of customers

equipped with prepaid meters. As the available data are not detailing the repartition of new

prepay customers between the residential and commercial categories, it is not possible to

draw conclusions concerning the evolution of customers of the low income type.

Nevertheless the following paragraph intends to draw at least a qualitative conclusion on the

evolution of the customer base towards more customers of the low income type.

5. Evolution of customers of low income type

This type of customers is certainly embedded in the residential category. Given the fact that

the decrease of residential customers with conventional meters was sharper than the

decrease of commercial customers also with conventional meters, it can be reasonably

concluded that the switch from conventional meters to prepaid meters was oriented towards

residential customers. Given that the prepaid customers have an average monthly

consumption of approximately 50% of residential customers with conventional meters or 25%

of commercial customers with conventional meters, and with observing that the number of

prepay customers has nearly doubled two times (multiplied by approx. 4) between January

and March 2012 (450 to 905 up to 1’728) the fact that the average unit and total consumption

of prepay customers has not progressed at the same pace inclines to conclude that the

major part of the “new” prepaid customers are of the low income class. Despite this

assessment has to be cautiously taken, this deserves to be pointed out as reflecting the

materialization of one important objective of the donors’ interventions, including the EU– in

line with the government policy – which was to provide access to the poorest.

6. Commercial customers

The number of commercial customers remained stable for several years. It has decreased

during the first 2012 quarter certainly due to connections which have been transformed for

prepaid meters. Their average monthly consumption as well as the revenues generated for

this category of customer has not shown dramatic changes allowing to observe a trend. The

reasonable conclusion is that the stability of the characteristics for this type of consumers

translates also the stability of the sector. In other words, commercial activities are neither

dynamic nor declining.

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Final Report – August 2012 33

Figure 4: Analysis of data from LEC

Figure 5: Analysis of data from LEC

Evolution of the Customers'base per category

0

500

1'000

1'500

2'000

2'500

3'000

3'500

Jul. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar.

Months

Nu

mb

er o

f C

ust

om

ers

Residential Commercial Prepay Customers

Customers Number /Prepaid Customers

89 89 87 85 86 84 450

905

1'7284'965

5'0785'159

5'3135'414 5'446

5'398

5'6045'710

0

500

1'000

1'500

2'000

Jul. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar.

Months

Nu

mb

er

of

Pre

paid

Cu

sto

mers

4'400

4'600

4'800

5'000

5'200

5'400

5'600

5'800

To

tal

nu

mb

er

of

Cu

sto

mers

Prepaid Customers Total Connections at End Month

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34 Contract 2012/284032

Figure 6: Analysis of data from LEC

Figure 7: Analysis of data from LEC

Billed kWh Breakdown per main customers

(March 2012)

Prepay Customers

10.96%

Commercial

38.11%

Residential

26.70%

Goverment of

Liberia

24.23%

Residential Commercial Goverment of Liberia Prepay Customers

Breakdown of billed kWh per main categories of customers

0%

20%

40%

60%

80%

100%

Jul. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar.

Months

0

500'000

1'000'000

1'500'000

2'000'000

2'500'000

US

$

Residential Commercial Goverment of Liberia Prepay Customers Total

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Final Report – August 2012 35

6.5 APPLIED TARIFFS (AS OF MAY 2012)

For the quarter 3, the tariff calculated under the new tariff model was reviewed by the Board of

Directors who decided to leave the tariff unaltered at 0.54 US$/kWh. Fuel prices during the quarter

increased once again by 11 cents per gallon from 4.20 to 4.31 US$/Gallon. Although this increase

can legitimately be passed through into the tariff, given the low affordability of the tariff by the

customers, the Board opted not to do this. It was decided instead that a presentation to the

Honourable President of Liberia will be made to request a special privilege for LEC waiving ALL

government taxes and duties on fuel in order to mitigate the impacts on the final tariffs. Globally,

LEC reports normal progress on the fronts of the various actions and projects under its

responsibility. On the aspects of human resources and training, LEC reports that delays occurred in

the implementation of training activities due to changes in the origination of funds. This aspect is of

prime importance as there is a close correlation between the availability of appropriate skilled

personnel and the achievement of activities planned for the continuation of substantive progress in

the quality of services by the utility. This is particularly true as far as establishment of new

connections to new customers is concerned.

The number of new connected customers is the ultimate indicator for all donors for measuring the

impacts and outcomes of their respective supports to the sector. The EU funding was mainly

allocated for HV and MV parts of the electrical system. In spite they are necessary links of the

electricity supply chain, investments towards this specific equipment obtain the maximum of their

added value when LV systems and electricity supply to customers are materialized. In this regard, it

is strongly suitable that LEC regularly reports on the progression of the connected customers’ base

so that appropriate corrective actions can be implemented timely when delays are observed in the

achievement of planned targets.

On the side of power generation, the peak load was 8.6MW essentially the same as in February

2012 and Fuel efficiency remained the same as last month at 12.8kWh/US gallon. (Equivalent to

0.2957 litres per kWh or approx. 247 grams of fuel per kWh assuming a density of 835 grams per

litre).

On financial aspects, the Monthly Status Report for March 2012 submitted by LEC, states that

revenues were $1,672k for the sale of 3.16GWh (Slightly lower than the February output of 3.27

GWh), thus corresponding to an average revenue of US $ 0.529 per kWh. Total monthly losses after

adjustments also increased from 22.7% to 27.1% in March. 104 new customers were energized in

March bringing the year to date total to 1,184. With connection materials finally on site, contractors

mobilized and placement of poles in the seven targeted low-income communities progressed well.

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36 Contract 2012/284032

7 INITIAL APPROACH AND OBJECTIVES OF THE EU INTERVENTIONS

The Government of Liberia has neither the funds nor the capacity to implement a sector reform

program without international assistance. The EC has taken the lead in the water and electricity

sector given its comparative advantage due to its historic presence in these sectors in Liberia.

However, it was clear that other donors will need to come forward if a more holistic sector strategy

was to be implemented. The WB financed a sector assessment but decided not to finance

rehabilitation.

At the formulation phase of the project (Year 2003) the main stakeholders were the Government

through its duly empowered Special Executive Committee on Electricity (SECE) and the Ministry of

Lands, Mines and Energy; the future regulatory body; the Liberian Electricity Company (LEC) that

provided electricity in the past; future private electricity producers, transmitters and distributors;

businesses and public bodies based in Monrovia, as well as the population of the city. The primary

target group comprises people living in the poorest areas of Monrovia who will benefit from provision

of services in their neighbourhoods at more affordable prices due to the EU funded infrastructure.

Businesses throughout the city will see their overhead charges decrease due to lower electricity

prices. It was also expected that electricity producers, transmitters and distributors connecting to the

publicly funded parts of the networks will be able to charge prices allowing them a reasonable rate of

return on their investments.

The policy and strategy were retaining compulsory advance payment of metered electricity at each

level to ensure that customers as well as distribution concessionaires have direct financial interest to

keep revenue leakage and loss levels as low as possible. It was envisaged that concessions would

be competitively awarded. Former management and employees of the utility were a potential source

of staff and expertise and well placed to provide their services to concessionaires. Should these

arrangements successfully materialize, the Government would enjoy both improved infrastructure

and financial benefits through royalties and concession renewal fees. Such funds can then be used

to subsidise disadvantaged populations and/or extend service to remote and rural areas. SECE had

the responsibility to oversee the reform process, while the Ministry may take action in policy matters.

The creation of a new regulator was to be set up to oversee the newly privatised and liberalised

sector.

At the time of the design of the interventions (Year 2003) consumers and business were facing very

limited supply of electricity at very high prices. This situation, despite noticeable improvements, still

prevails to date, mainly due to the lack of service provision through the electricity grid in the city.

Instead, where available, power is provided by privately owned generators and resold at inflated

prices to “captive” customers. The causes of the situation are multiple as shown by the management

study performed at the initiation of the project. First of all the war, lack of maintenance and looting

have damaged most of the generation, high and medium voltage electricity transmission network, as

well as the distribution network in the city. Second, even in peaceful times, the state-owned public

utility LEC suffered from poor management, over staffing, lack of funding and high revenue leakage.

It operated at loss despite a series of fund injections by international donors. Third, no incentives

and monitoring structures were in place to prevent electricity theft at the lower levels of the networks

(customers connecting to neighbours grid etc.) which further exuberated the financial difficulties of

the operator. Finally, policy, regulation and operations rested in the same body, namely LEC, which

led to political influence and conflicts of interests.

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Final Report – August 2012 37

The overall objective guiding the intervention is to reduce poverty through improved living conditions

and an environment conducive to economic growth. Electricity is a basic need for the population and

an essential input for businesses; hence the purpose of the project is to give access to the

population and business of Monrovia to more affordable electricity. The project goals were to be

achieved primarily through investment into restoring electricity transmission. In addition, secondary

activities were to provide technical assistance to enable the liberalisation and privatisation of the

sector.

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38 Contract 2012/284032

8 PURPOSE AND SCOPE OF THE EVALUATION MISSION

The general scope of the evaluation mission as stated in the Terms of Reference is threefold:

- Assessment of the impact that the project has made in the life of the beneficiaries and

the communities

- Assessment of the effectiveness, efficiency and sustainability of the project interventions

- Lessons which can be drawn for guiding future EU interventions.

The topics of the general scope are then broken-down in more detailed activities under several

judgment/evaluation criteria: relevance, efficiency, effectiveness, impact and sustainability in

compliance with accepted standards as they are retained by the Development Assistance

Committee (DAC) of the OECD, (Quality Standards for Development Evaluation -) the

Commission of the European Communities having taken part in the work of the OECD for the

establishment of these standards.

The basic synthetic document which initially fixed the intended objectives, expected impacts outputs

and outcomes of the project is the log frame established at the preparation stage. However, worth to

note that intervention logic is defined as a set of hypothetical cause and effect linkages that describe

how an intervention is expected to attain its global objectives. These causes and effects are fair

assumptions at the time of conceiving the intervention.

The project log frame is reproduced hereafter. This is the most updated available version which

incorporate the amendments which were introduced as a result of long delays in the launching of the

project as well as riders (addendum) issued for overall budget adjustments/increases. Broadly said,

the overall objective of the project to improve living conditions of the population (more customers

connected to the national grid) and the project purpose to give access to the population and

business in Monrovia, have only started to materialize at the end of 2011 with today (April – May

2012) first measurable results. This is not to state that the project has failed, but the project scope

itself as well as particular circumstances along the project implementation process are plausible

reasons for this deviation. The current evaluation objective is also to provide explanations and when

pertinent, fair justifications.

Table 2: Project log frame

Project description Indicators Verification Assumptions

Overall Objective:

Poverty reduction

through improved

living conditions and

environment

conducive to growth

Improved living

conditions

Improved safety

Increased business

activities in the

sector and else

Increased job levels

in the sector and

else

Human development

indicators

Number of crimes

reported during night

Business registry and

tax statistics

National employment

statistics

Project Purpose:

Give access to the

population and

Coverage increases

from <10% of

population having

Inspection of network

coverage in a

representative sample of

Peace and stability

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Final Report – August 2012 39

Project description Indicators Verification Assumptions

business of Monrovia

to more affordable

electricity

access to electricity

to at least 50%

Average of business

and consumer end-

user price drops by

at least 30%

areas

Business and consumer

price benchmarks

throughout the city

Project Results:

Direct results:

High Voltage

transmission electricity

grid rehabilitated

Mixed-ownership

holding company set

up for transmission

network ownership

Medium Voltage

distribution grid

rehabilitated in

Paynesville, Congo-

town and Sinkor

Improved revenue and

expenditure

management

Indirect results:

Private concession(s)

for generation

awarded

A company recruited

to operate the High

Voltage transmission

grid

Private concession for

distribution

concessions awarded

Legal and regulatory

framework for

liberalisation

completed

Sector regulator set up

Final acceptance of

works for

transmission and

distribution grid

Holding company

owning transmission

network

incorporated

Tenders held and

contracts signed

with generation and

distribution

concessionaires

Tender held and

contract signed with

a company to

operate

transmission grid

Adoption of

electricity law and

secondary

legislation

Completion report and

authorisation for final

payment under works

contract

Registration document

of company

Contract document with

generation and

distribution

concessionaires

Contract document with

transmission operating

company

Governance

environment permits

for continuous

spending of EC

funds

EC funded assets

are protected from

looting and asset

stripping

Concessions and

other contract

awarded in a

transparent and

competitive manner

Input prices such as

fuel remain stable

allowing for

sufficient operating

margin

Improved revenue

collection (less

funds diversion) due

to improved mgmt.

Competitive

environment allows

for efficiencies to be

passed on to

consumers

New government

has sufficient

capacity to oversee

liberalisation and

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40 Contract 2012/284032

Project description Indicators Verification Assumptions

privatisation process

Project Activities:

Primary Activity:

Investment into the

rehabilitation of the

electricity grid

a) Works

b) Supervision of

works

Investment in High

Voltage transmission

in the entire city

Investment in Medium

Voltage distribution in

up to 6 areas

Secondary Activity:

Institutional and

logistical support

a) Institutional

support and studies

enabling sector

reform

b) Logistical support:

TA for finalisation of

legal and regulatory

framework

TA for launching the

award of concession

contracts

Project Evaluation and

Audit

Input and Budget:

EUR 13 million:

Works contract

EUR 0.2 million:

Technical

Assistance

EUR 0.2 million:

Programme

Estimate (private

indirect

decentralised

operations)

EUR 0.2 million:

evaluation

EUR 0.2 million:

audit

Award of work contract

by 03/2006 (under

suspension clause)

Award of TA contracts

as necessary

Programme Estimates

Primary Results:

Government meets

initial conditionalities

Security situation

permits carrying out

necessary works

Secondary results:

New democratically

elected government

in place and ready

to adopt legislation

necessary for

liberalisation and

privatisation

Government

provides funds and

personnel for

regulator

Sufficient private

sector investor

interest in

generation and

distribution

Successful tender

for company to

operate the

transmission grid

Sufficient private

sector interest in

distribution

First, what appears when analysing the components of the project and more specifically the scope of

supply object of the International Calls for Bids (ICB) (funding decision 19 186) is that they do not

comprise Low Voltage equipment and material for the physical connections of the end users to the

grid. The main components of the initial contract are equipment for the High Voltage HV (transport of

electricity) and for the Medium Voltage MV (distribution of electricity) part of the system. There was

no provision for equipment relating to the Low Voltage LV (supply of electricity). Electric systems are

however complex and all equipment, from generation to final delivery (passing through HV transport,

MV distribution, Control and Instrumentation etc…) are all indispensable elements of the entire

electricity supply chain.

The table below, built from the LEC data base of registered assets (Year 2011) evidences the

dominance of HV and MV components in the scope of supplies and works. The dominance is in

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Final Report – August 2012 41

terms of capital value and does not obligatorily reflect the relative or absolute importance of the

given component within a comprehensive electric system.

Table 3: LEC equipment funded by the EU

The delivery and commissioning of the components

under the original contract were therefore fully

pertinent and of full relevance in terms of targeting

end users. Very fortunately, on February 24th, 2011 a

sixth rider (addendum) amounting Euros 692’976

was signed for extending the contract of the

implementing company (ELTEL) and among other

items, specifically provides for wiring and installation

of 2’600 prepaid meters and associated connections

fixtures. With this addendum, which is currently (may

2012) under implementation at various places in

Monrovia, the ultimate purpose of the project “Give

access to the population and business of Monrovia to

more affordable electricity” is practically achieved.

Equipment type Value

Euros

Percentage

Generators 2'028'862 6.24%

Transmission Lines 7'783'208 23.92%

Distribution Lines 4'808'653 14.78%

Transformers 12'104'788 37.20%

Poles 1'437'632 4.42%

Connections 1'286'761 3.95%

Meters 30'337 0.09%

S & I 78'915 0.24%

SI Generators 2'711'508 8.33%

Sub stations 269'189 0.83%

Total Funded by EU 32'539'853

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42 Contract 2012/284032

9 EVALUATION

9.1 PROJECTS SELECTED FOR THE EVALUATION

Under the 3 funding decisions covering the EU interventions in Liberia, the team could broadly

identify a total number of 19 individual operations/contracts for services, works and supplies as

illustrated in the following table.

Table 4: Identified EU contracts

EU reference

Number/Contract

Title Contract

Date of

signature

End date

of

activities

Contracting

Party

Amount

in Euros

1 FED/2005/195-691

(EC)

Technical

Assistance for

rehabilitation of the

electricity grid in

Monrovia

September

12th, 2005

March 31st,

2006

Republic of

Liberia

400’000

2 FED/2006/190-478

(EC)

Technical

Assistance for

management and

supervision of

electricity and water

rehabilitation in

Liberia

November

22nd

, 2006

December

31st, 2009

Louis Berger

SAS

1’619’800

3 FED/2006/190-523

(CL)

Emergency power

programme network

June 12th,

2006

September

19th, 2007

Republic of

Ghana (VRA?)

1’829’534

4 FED/2006/190-524

(CL)

Emergency power

programme for

selected

neighbourhoods in

Monrovia

June 12th,

2006

August 2nd

,

2007

Republic of

Ghana (VRA?)

893’654

FED/2006/190-527 Emergency Power

Programme

Coordinator

August

30th, 2006

June 7th,

2007

Jacobs Gibb

LTD

189’655

5 FED/2008/195-875

(EC)

ELTEL electricity

grid rehabilitation in

Monrovia

February

21st, 2008

May 29th,

2011

ELTEL

Network TE

AB

4’282’584

6 FED/2008/195-876

(EC)

Electricity grid

rehabilitation in

Monrovia

February

20th, 2008

May 29th,

2011

ELTEL

Network TE

AB

6’500’000

7 FED/2009/208-898

(EC)

Addendum N01 to

ELTEL contract

May

14th,2009

May 31st,

2011

ELTEL

Network TE

2’217.417

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Final Report – August 2012 43

Addendum N02

Addendum N04

Addendum N06

AB 47’000

42’240

692’876

8 FED/2009/228-260

(EC)

Addendum No.4 to

LTTA for

management of

water and electricity

rehabilitation

December

12th, 2009

May 31st,

2011

Louis Berger

SAS

238’950

9 FED/2010/247-939

(CA)

Technical and

contractual review

of the electricity grid

rehabilitation project

in Monrovia

October

18th 2011

Application

Européenne

de

Technologies

78’810

10 FED/2003/195-645 Supply contract for

procurement of

gasoil for the Liberia

Electricity

Corporation

October

30th, 2003

December

12th, 2003

GEPCO

Gasoil

41’899

11 FED/2003/195-648 Framework contract

with ECO.

Consultancy to

assist THE LEC

Liberia Electricity

Corporation

October

20th, 2003

January

14th, 2004

European

Consultants

Organisation

SPRL

29’990

12 FED/2003/195-651 LPRC Supply

Contract 70’000

Gallons Gasoil

procurement for

LEC

December

9th, 2003

June 4th,

2004

75’610

13 FED/2003/195-651 Electricity

Management Study

March 23rd

,

2004

January

31st, 2006

SWECO

International

AB

83’955

14 FED/2003/195-661 Framework contract

for the study of New

Electricity Act in

Liberia

April 5th,

2004

June 23rd

,

2004

Pohl

Consulting &

Associates

GMBH

66’504

15 FED/2004/195-668 Study for the

Development of a

Regulatory

Commission in the

electricity sector

April 30th,

2004

June 30th,

2004

European

Consultants

Organisation

SPRL

42’310

16 FED/2004/195-674 Rural Towns June 28th, September European 72’580

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44 Contract 2012/284032

Electricity

Production and

Distribution Study

2004 4th, 2004 Consultants

Organisation

SPRL

17 FED/2004/195-679 Restoring Street

Lights in Monrovia

Impress Account

December

30th, 2004

November

30th, 2005

Republic of

Liberia

46’166

18 FED/2004/195-681 Technical

Assistance to assist

LEC

March

23rd, 2005

July 9th,

2005

Application

Européenne

de

Technologies

94’532

19 FED/2004/195-684 Long term

assistance in

electricity

June 13rd,

2005

March

31st, 2006

MVV

Consultants

and Engineers

GMBH

105’246

Most of them are old projects executed during the period 2003 - 2007 covered under the 2 first

funding decisions. These projects are completed and they have been closed. Nevertheless an audit

was commissioned in 2008 covering some of the corresponding projects, the period subject for audit

ranging from 1st January 2005 to 1st February 2008. The auditor report states that the Programme

Estimates and Implementation reports were not on file and copies were not made available for the

audit team to review. This led to identify ineligible expenditures due to the absence of appropriate

documents and various irregularities in the management and implementation of the

programme/projects.

The purpose of the current evaluation being not for digging in depth in the administrative aspects of

the interventions, and given that older projects have been audited and even evaluated [(Reference

to the 2010 evaluation of all EC interventions (all sectors) covering the period 1999-2008 mandated

by The Joint Evaluation Unit for: EuropeAid Cooperation Office (AIDCO), Directorate General for

Development and Directorate-General External Relations)] , the current evaluation has focused on

the most recent interventions completed or to be completed in the very near future. Thus concerning

essentially the interventions under the funding decision 19 186 and the important contract

implemented by ELTEL for the Rehabilitation of the Monrovia Electricity Grid, as they are shaded in

the above table.

9.1.1 Implementation of the Monrovia Grid Rehabilitation Project

The tender for the works and supplies relating to the Monrovia Grid Rehabilitation Project was

originally prepared in October 2005 targeting the 13th of January 2006 for submission of proposals

by the bidders. However the Procurement Notice for publication was then re-scheduled for 1st

November 2005 to be published on the internet together with the Tender on 1st December 2005.

Respecting the 90 days submission period, bids would be received on 1st March 2006, go through

the evaluation and contract notification aiming to mobilise the selected candidate by end of March

2006. Finally the dead line for tendering in the published Works procurement notice (2006/S 56-

057777 dated 22nd March 2006) was 10th of July 2006. A site Visit was held on the 24th of May

2006. In June 2006 deadline for submission of tenders was extended to September 2006 and the

public opening scheduled for the 14th September 2006. Two bids were received. Both bids were well

over the budget requiring realignment of the finances. After negotiations with the EU Delegation in

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Final Report – August 2012 45

Ivory Coast (NAO function) the evaluation was finalised in March 2007 (period of 6 months). The

tender was then cancelled on the 27th April 2007 (via notice 2007 2007/S 74-089506) due to no

valid bid received and permit for “Negotiated Procedure” was applied by authorization from EC/Ivory

Coast.

A contract with ELTEL was eventually signed in March 2008; broadly two years after the initial

tender notice date. One reason for this delay was stated in progress reports as a “delay in EC

signing the long agreed contract amendment” for ELTEL that would “result in commissioning of the

work being delayed until at least the end of March 2009”. The works started very slowly, and three

years after signing the financing agreement, merely 18% of the planned 12.6 km of medium voltage

lines and none of the planned 26.8 km of high voltage lines had been built or renovated. However,

progress reports suggest that the work has progressed well since then and by February 2010, all of

the medium voltage lines had been built and 70% of the high voltage lines had either been built or

reconstructed. The project was finally commissioned for the majority of its component during the

fourth quarter of 2010.

9.1.2 Status of the Monrovia Grid Rehabilitation Project to date

The company Louis Berger was commissioned by the EU Delegation for the supervision of the

project. They issued a final report at the date of October 2010, detailing the status of the various

works and supplies under the contract of ELTEL. According to the supervising engineer and based

on a comprehensive tour of the project sites by the evaluation team in April- May 2012, the scope of

works and supplies is fully implemented in compliance with high standards and the statement that in

the opinion of the LB team leader, “EC and LEC have received a very high quality functional

electricity distribution system sufficient to meet Monrovia’s requirements for at least five years”.

The only reservation is relating to the capacity of the step-up transformer (66/22kV) at Bushrod

premises which is/will not be adequate to distribute power from the new generators which may

come in addition to the 15 currently in operation (not all at the same time). With the route of the 66

kV HV line running along the northern part of the city, no immediate expansion of the 66kV system

would be economically justified.

Tables below indicate components of the completed project at the date of October 2010.

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46 Contract 2012/284032

Table 5: Project Components as of October 2010

Monrovia 22kV Circuits

Circuit Conductor Route

Length (m)

Acceptance

Certificate

From To

Bushrod Freeport 120mm²

AAAC Bare 2,888 03

Freeport Vai Town 120mm²

AAAC BLX 1,773 04

New

Bridge Ashmun Street

120mm²

AAAC BLX 406 011

Monrovia New Bridge Cable 95mm² Cu 473 011

Freeport Flour Mills 120mm²

AAAC BLX 530 05

Flour

Mills New Georgia Junction

120mm²

AAAC Bare 2,869 06

Flour

Mills New Georgia Junction

120mm²

AAAC BLX 995 06

Lynch

Street Capitol

120mm²

AAAC BLX 1,313 01

Capitol Third Street Sinkor 120mm²

AAAC BLX 2,061 02

Congo

Town Paynesville

120mm²

AAAC Bare 3,327 07

Newport

Street Mamba Point Hotel

120mm²

AAAC Bare 134 08

Newport

Street Mega Compound

120mm²

AAAC Bare 250 09

Benson

Street EC Office

120mm²

AAAC Bare 176 010

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Final Report – August 2012 47

Monrovia 22kV System

66/22kV Substations 22kV

Panels Status

Bushrod 5 Commissioned

Krutown 6 Commissioned

Capitol 7 Commissioned

Paynesville 5 Commissioned

22/0.415kV Pole Mounted Substations Quantity Status

Connected to distribution system. 18 Commissioned

Training substation 1 Used for training

22/0.415kV Ground Mounted Substations Quantity Status

Connected to distribution system. 4 Commissioned

Monrovia 66kV System

66kV Circuits Status

Bushrod - Krutown Construction complete, energised and

commissioned 12 October 2010.

Bushrod – Stockton Creek Construction complete, energised and

commissioned 12 October 2010.

Stockton Creek - Capitol Construction complete, energised and

commissioned 12 October 2010.

Stockton Creek - Paynesville

Construction complete. Insufficient electrical

clearance from a partially demolished building

at Red Light / Paynesville has precluded

energising the entirety of the line. Section from

Red Light Junction to Paynesville 66/22kV

substation has not been energised. Protection

system is commissioned but not proved by

energising the complete line to Paynesville.

Stockton Creek Switching Site Commissioned.

66kV Substations Status

Bushrod

Construction complete, substation

commissioned 12 October 2010. (66/22kV

transformer on soak)

Krutown Construction complete, substation

commissioned 12 October 2010. (66/22kV

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48 Contract 2012/284032

transformer initially energised. Re-energising

requires resolution of system protection

characteristics)

Capitol

Construction complete, substation

commissioned 12 October 2010. (66/22kV

transformer initially energised. Re-energising

requires resolution of system protection

characteristics)

Paynesville

Construction complete. Tested. 66/22kV

transformer to be energised from Congo Town

on 14 October 2010. 66kV line from Bushrod /

Stockton Creek cannot be energised until

completion of building demolition at Red Light /

Paynesville.

Telephone communication between substations. Commissioned

Spares, Test and Safety Equipment

A lump sum of EUR 25,000 was included in the contract for provision of test and safety equipment. ELTEL have indicated the actual cost for test and safety equipment is considerably greater than the contract price but considering that all the items were essential ELTEL did not claim for additional

money. The following items were to be supplied to LEC by ETEL during November 2010.

Substation Spares Quantity

Lamps and bulbs (lot) 1

Fuses and MCB (lot) 1

66kV Overhead Line Spares Quantity

OPGW joint box 2

150mm2 AAAC quick joint 3

Suspension insulator string 5

Tension insulator string 5

Wooden poles 3

HV LP insulator 5

22kV Overhead Line Spares Quantity

Wooden poles 5

LP insulators 5

Tension insulators 5

Quick joints AAAC 120mm² 3

Preformed ties (set) 1

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Final Report – August 2012 49

Guy wires and anchors (set) 1

HV fuses (Set) 1

LV fuses (Set) 1

66kV and 22kV Line Safety Equipment Quantity

Grounding equipment 3-ph.(steel tower) 4

Grounding equipment 3-ph.(wood poles) 6

Grounding equipment 3-ph. 8

HV Voltage indicator (with test set) 2

Insulated rod/stick 10

MV Voltage indicator (with test set) 2

66kV and 22kV Test Equipment Quantity

Insulation tester "Megger" 1

Relay tester "Sverker" 1

Multimeter with test probes 2

Phase rotation meter 3

MV Phasing tester 2

Infra Red Imager 1

General Tools and Equipment Quantity

Pole climbing shoes, set 5

Linesman tool belt and set 10

Lug-all block, 1,5ton 3

Tirfor incl. 20m wire 1

Come-along for conductor types, set 2

Lifting sling and snatch block 5

Torque wrench 3

Cutter for all types of conductors used 2

Safety belt & helmet 10

Pole climbing shoes, set 5

Vacuum Cleaner 4

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50 Contract 2012/284032

9.2 APPROACH FOR DATA COLLECTION

The most obvious source of data, documents and information pertaining to the EU operations in the

electricity sector is the CRIS. However due to the fact that the migration of all data related to older

projects from the previous system (OLAS) was not totally effected, the access to the relevant

material was therefore not totally exhaustive. Nevertheless, the EU programme Manager did his

utmost in order that the team could receive hard and soft copies of administrative, financial and

operational documents. The operations under the funding decision for the Monrovia Grid

Rehabilitation project as the most recent ones are also the most appropriately documented.

Through the Web, the team performed also an extensive identification of documents of relevance to

the sector, its policy and the operations (past, current and planned) by the members of the

international donor’s community. Reports, sector studies, appraisal documents were invaluable tools

for appraising the prevailing context, the actions in progress as well as the projections for the future.

Thanks to the well opened public information disclosure policies of the majority of donors, updated

and accurate data of various natures were made available.

Interviews and meetings have been held with the main actors of the electricity sector in Liberia.

Official as well as informal discussions have also taken place in order for the team to appraise the

prevailing socio-economic situation of Liberia and specifically acquaint with the situation of the

electricity sector. Such interviews and discussions allowed collecting data and quantitative indicators

as well as qualitative information useful for the performance of the evaluation. A list of the persons

met is in Annex 1 and the bibliography in Annex 2.

9.3 LIMITATIONS

On the aspect of access to data and information and their acceptable level of accuracy, when

carrying out this evaluation, the team had to face with and respond to a number of constraints, as

laid out here after.

Table 6: Limitations to the evaluation

Constraint Response by the evaluation team

First interventions having

occurred in early 2003 the

availability of e-copies of

relevant documents in CRIS

was limited.

By cross checking various documents and reports available from

different sources the team could partly retrace the history of said

operations. Nevertheless, as it appeared that they were few in

relation with the electricity sector, the impossibility to conduct a

valid ex-post evaluation to date has no significant influence on

the conclusions and recommendations expected from this

mission.

Low access to hardcopy

documents, and in particular

financial data, for older EC-

financed programmes (e.g.

Second Rehabilitation

programme;

EDF8 Reintegration

Programme)

The team received the full support from the EU Programme

Manager who took over the administration of the old portfolio

thus obtaining an acceptable quantity of information recorded in

CRIS.

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Final Report – August 2012 51

The availability of

Government and beneficiary

(LEC) data on donor’s

cooperation was low.

The team arranged meetings with the most important donors

active in Liberia for open discussions also seizing the opportunity

to take knowledge of their current operation and future/planed

interventions.

The indicators and data

deriving from the

Management Contract

monthly and quarterly reports

are only available for the

recent months. The data

base is therefore limited, thus

not allowing to perform valid

statistical commutations

A detailed analysis of the data and indicators was conducted in

order to assess possible trends even with limited long historical

records with the main aim to determine the tangible results on the

ground: customers’ access, improvement of living conditions, and

improvement of business/productive activities.

Availability and reliability of

data from the government

agencies is uncertain. History

of data is too short for

deriving significant trends.

Agencies in charge of statistics and compilation of various

indicators (LISGIS, MoF) have not up dated and processed data

for reflecting the current prevailing conditions. Extensive

consultation of data banks on the Internet, recent economic

reports allowed to assess the situation with a relatively good

accuracy.

Volatility of scenarios for

future demand/load due to

the inaccuracy or absence of

the baseline parameters

In spite of noticeable differences for the scenarios depending on

their respective authors’ perception and methodologies, the

evaluation retained the most probable scenario as standing

midway of the extremes corresponding to Low Growth and High

Growth approaches.

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52 Contract 2012/284032

9.4 FOLLOW-UP OF THE END-USERS SURVEY

This chapter reports the findings of the End Users Survey which was carried out in Monrovia from

May 2nd

to May 9th 2012, as part of this evaluation. The broad objective of the survey was to assess

the main patterns in behavior, expenses, attitude towards energy use in various segments of the

population, enterprises and institutional services. More specifically, the aim was to assess:

4. the impacts the access to LEC electricity grid has on the life of the beneficiaries as well in

the communities,

5. the willingness to pay and affordability to get connected to LEC grid of those households and

other units who are not yet connected.

6. the perceptions of the results and achievements of the project (EU funded Grid

Rehabilitation activities) by the beneficiaries and their degree of appropriation.

The following sections report, first, the results of the household survey and second those of the

enterprises. The Methodology followed in this survey is presented in detailed Appendixes, as well as

the questionnaires used.

9.4.1 Results and findings of the Household End User survey

Urban context

The Household End Users Survey was conducted in six sites (survey areas) throughout the capital

selected with reference to specific representativity criteria according to the objectives of the survey:

these sites are Stephen Tolbert in Barnersville, New Georgia Estate in the community of the same

name, Neezoe and Police Academy in Paynesville city, Clara Town in Bushrod Island, and

Jallah/Saye Town in Central Monrovia. They cover the three types of urban patterns and land use in

which the majority of the population of Monrovia is concentrated today. The following results are

derived from the interviews of 354 households. See Table 7 and Figure 8 below.

Table 7: Household distribution per survey area and per urban pattern

Survey Area Nbr of HH interviewed

% Urban pattern Sites/ Communities/

Neighborhoods

Clara Town

Jallah- Saye Town 85 24% Unplanned « Low income communities »; densely central populated neighborhoods

Bushrod Island

Central Town

Neezoe

Police Academy 138 39% Unplanned (organic) popular peri urban neighborhoods ; low density of population

Paynesville -North of Somalia Drive Road and West of Tubman Bvd

Stephen Tolbert

New Georgia 131 37% Planned (grid pattern) peri urban neighborhoods ; medium to high density

Barnesville /New Georgia both located north of Somalia Drive Road

Total 354 100%

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Final Report – August 2012 53

Figure 8 : Map of the survey areas in Greater Monrovia

Demography and living conditions

Demography

On average, the household size of the interviewees consists of 6.4 members, a figure significantly

higher than the average 4.8 members of the household size in Monrovia ( 2008 National Census).

The reason is the high percentage of households of peri urban type selected for the End Users

Survey sample; their families are much larger than those of households in densely populated low

income neighborhoods of central Monrovia and Bushrod Island (the figure in these neighborhoods is

4.3 members on average); indeed, if the dependency ratio is on average1.2 for all households, it

ranges from 1.4 in Neezoe and Police Academy to 0.7 in Clara Town.

Among the sample, 21% of households are headed by females (widowed, divorced or single with

children) ranging from 34% (Stephen Tolbert) to 17% (Neezoe, Police Academy, Jallah Town). The

overall mean age of household heads for sampled households is 37 years old. The mean

percentage of households headed by members’ 60-years-of-age or above is 5%.

Housing and Living Conditions

A small majority (57%) of the households declared ownership of their dwelling units. Only 8% of the

households reported neither ownership nor payment of rent for their current dwelling units—meaning

that they are either housed by well-wishers/friends/relatives or declared themselves as caretakers.

Most “free occupants” live in Clara Town. It is also in this type of low income “slum” settlement that

overcrowding and multi sharing of the dwelling between several households are observed. On the

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54 Contract 2012/284032

contrary, households in the peri urban areas are always the sole occupants of their dwelling

irrespective of their tenure status, owner or renter.

Renters can be found in every neighborhood; on average they account for 35% of the sampled

households; they are mostly representative of the household tenure status in the densely populated

areas of Clara Town and Jallah Town (renters accounting for 53% of the respondents in these sites).

The majority of LEC customers’ households and those equipped with a generator are owners of their

houses while the majority of all renters are of the category of households without any access to

electricity.

Levels of rents are closely correlated with income, size of the family and neighborhood environment.

LEC customers and households with their own generator, irrespective of their location, pay on

average USD 60 for the monthly renting of their dwelling, as those without electricity don’t pay more

than about USD 20; the lowest costs rentals are observed in Clara Town and Jallah Town.

Concrete (hollow blocks) is the dominant construction material, accounting for about 90 % of

households in central Monrovia low income neighborhoods as well in the two estate housing

settlements (Stephen Tolbert and New Georgia); in the peri urban neighborhoods of Police Academy

and Neezoe, however, mud bricks for walls still account on average for 30% of the responses.

Roofing materials doesn’t vary as zinc material accounts on average for 97% of the sampled

households in all neighborhoods.

Owners’ households of the peri urban sites in Paynesville (Neezoe and Police Academy) also

characterized themselves by the shortness of the time they have lived in their actual dwelling -on

average for 9 years - while respondents of the two low income settlements and the estate housing

sites have lived there for many years already – on average 17 years -. The same differences

between lengths of rentals are observed in the case of the renters: they have spent on average 3

years in their dwellings in Police Academy and Neezoe, and about 7 years in the other survey areas.

This is a distinctive indication of the rapid urbanization process which develops in these peri urban

neighborhoods

Overwhelming majority (95%) reported having access to improved drinking water (piped water/

standpipe, borehole with hand-pump, protected wells). However this access has a high cost in

monetary terms and /or in time spent on this activity: on average 21% of all households have to buy

water from water sellers, in particular in Jallah Town where they are 53% to do so. Some 5% of

households (in Neezoe and Police Academy) draw water from wells, most of them being

unprotected. The rest of the households have access to hand pumps (on average 59%), sometimes

to piped water indoor or on neighbor’s yard (15%). The majority of hands pumps are found in the

peri urban areas; most often financed by NGO’s projects. Very few have been installed in Clara

Town or in Jallah Town. Safe water access and sanitation are crucial needs faced by the majority of

urban households in Monrovia, in particular in the low income neighborhoods of central Monrovia

and Bushrod Island.

Access to electricity and electricity use

Among the survey areas, three have been electrified during the last two years by LEC - Stephen

Tolbert, New Georgia and Jallah Town-; the area of Clara Town is in process of electrification and

two areas - Police Academy and Neezoe - are not yet connected to LEC grid.

Four categories of households are identified according to the type of access to electricity (grid or off

grid): households connected to LEC grid (the sample is of 87 households), those supplied with

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Final Report – August 2012 55

electricity by a private “current seller” called Independent Power Producer (“IPP”) (46 households),

owners of an electric generator (67 households) and finally households having access to no source

of electricity (154 households).

68% of the LEC household customers in the areas of New Georgia, Stephen Tolbert and Clara Town

were connected to the grid in 2012 and 32% in 2011. They are thus very recent customers.

The IPP current sellers have developed since a few years mainly in neighborhoods with high density

of population: like any supplier of electricity, they indeed look for a network of customers large

enough in the immediate vicinity of their generator so as to make their business profitable. In Clara

Town, Jallah Town and New Georgia, 20% to 40% of the households are connected to an IPP’s grid

and it has been so for several years (40% of these households got connected between 2008 and

2010).

In peri-urban zones that are not densely populated, the IPPs are not frequent; the only means to get

electricity is to own an electric generator; that concerns around 30% of the households, those whose

with the highest incomes.

In these peri-urban areas of Paynesville City, 65% on average of the households are thus without

access to electricity; they are approximately only 30% without access to electricity in the other

surveyed areas.

The use of electricity is identical for all households with access to electricity (grid or off grid); their

priorities are the following: 85% of the interviewees quote lighting in first use, 70% mention

entertainment appliances (TV/radio) as a second priority/use and 58% only quote ventilators in third

use. Only 33% of the respondents quoted in the other uses (charger of telephone, computer and

miscellaneous)as the fourth use. Only one household has an electric cooker but used sparingly:

Whatever the survey areas or the level of income of interviewees, charcoal is the primary source of

cooking energy.

LEC customer: connection costs, spending and consumption, perception of LEC service

Connection costs

Households equipped with conventional meters (in 2011) paid USD 115 connection fees, including

USD 50 for connection and USD 65 in advance on consumption (or deposit). Households which

have been equipped with prepaid meter on the other hand paid no more than USD 50 for

connection fees. The installation of prepaid meters allowed the removal of advance on consumption

fees. The additional costs incurred by some households mainly consist of expenses for installation

within the house - around USD 50 for wiring, labor cost, switches for a single circuit and

approximately twice - USD 115 - for the households having installed several circuits.

Monthly electricity expenditure and consumption

On average, the electricity bill of households of the sample amounts to USD 42 per month.

Differences are observed in various neighborhoods and depend on the living standard: the majority

of the bills amounting less than USD 20 per month are paid by households located in Clara Town;

more than one third of the households of New Georgia and Stephen Tolbert pay monthly bills

amounting to more than USD 40.

As a whole this level of bills indicates an extremely limited/low consumption; at the cost of USD

0,578/kWh (USD 0.54 tariff per kWh plus taxes) The average monthly electricity consumption of

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56 Contract 2012/284032

these recently connected households is 73 kWh, meaning 131 kWh per person and per year. It

should also be noted that the electricity consumption of households headed by a woman is definitely

lower than that of households headed by a man, probably reflecting a lower level of income for

women heading a household (given that the average size of their household in the sample is not

lower than that of a household headed by a man).

Appreciation of the service provided by LEC

62% of the interviewed households are entirely satisfied with the service provided by LEC, 11%

expressed dissatisfaction and nearly a third are both satisfied and disgruntled. The main reason of

satisfaction is to – finally – have permanent access to electricity (24 hours a day). It is indeed the

greatest improvement compared to the former situation; obviously for households which did not have

access to electricity, but also for those which were connected to an IPP network of or which owned

their own electric generator. In these two cases (see hereafter), the hours during which they could

use electricity were very limited.

The reasons for dissatisfaction are primarily the irregularity of the supply currently provided by LEC;

brownouts are frequent, so are outages seemingly, specifically in off-centered neighborhoods in the

north of Somalia Drive Road. It is noted that the reason “expensive electricity” is quoted only by 16%

of the disgruntled households. A quarter of the disgruntled households is not satisfied with the

system of payment and billing: the households equipped with a prepaid meter consider, depending

on the neighborhood, that they have difficulties obtaining prepaid card easily ( the network of

salesmen needing to be developed gradually) and among those which were equipped with

conventional meters, the main reason for dissatisfaction is the billing amount (flawed meters

readings and sometimes apparently, exaggerated bills ).

Impact of electricity on households living conditions: perceptions by customers

Figure 9 : LEC households : impacts on living conditions

All households interviewed underline the beneficial impact of connection to the LEC electrical grid on

their living conditions. Regarding their new spending patterns, the issues highlighted by interviewees

suggest that the change is more qualitative than quantitative. 27% of the households stress that the

main positive impact is safety – the feeling of safety increases considerably with the ability of having

lighting at night (bulb on the house porch); besides, this feeling is even stronger in neighborhoods

where streetlights were installed even before the electrification of households.

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Final Report – August 2012 57

The second by order of importance of the beneficial impacts relates to the improvement of family life

and children conditions of studies (in overall 24% of the households); households’ investments in

children school enrollment indeed needs to be highlighted and result in important financial sacrifices

(see hereafter household expenses). 7% of the households are satisfied to finally be able to use the

totality of their electrical appliances (this generally consists of one or two additional bulbs, one

television set and a radio, a fan, rarely a refrigerator). 3% are satisfied to save money: generally,

households which were equipped with electric generators. Globally, it can be noted that only 19% of

households stated that they bought or want to buy more electrical appliances; finally 12% of

households consider the development of an economic activity (very often related to the preparation

and the sale of food; it often relates to households headed by a woman).

The impact of connection to the electrical grid on the level of consumption of these households

appears moderate and the declarations of interviewees confirm the results of the quantitative

analysis of their consumption. The financial constraints of these households are very strong: they

are hereafter detailed in the section relating to the analysis of the total expenditure of the surveyed

households’ budget.

IPP customer: connection costs, spending and consumption, perception of IPP service

Connection costs

They appear reduced and mainly consist in, the wiring of the residence, depending on answers; the

average expenditure is approximately of USD 42 by household. This amount appears

underestimated in the results. According to interviews conducted in the survey areas IPP also

require customers to pay a small amount of money for “the recording”; many of them also require an

advance/deposit on consumption.

Monthly electricity expenditure and consumption

The billing system used by IPPs covers two main models. The monthly payment based on the

amperage provided which represents a ceiling of consumption: the customer can subscribe for 1

amp, 2 amps, 3, 4 etc. The price is USD 40 per amp and per month in all neighborhoods surveyed

and the bill is a multiple of this amount depending on the number of amps provided. It is the most

widespread system and it concerns the majority of IPPs’ customers. The second model consists in a

“daily” (at night actually) or a weekly billing, for “a certain number of electrical installations”: they are

almost exclusively electric bulbs, and generally the households having this type of billing are modest

households only equipped with 2-3 bulbs. The electricity is exclusively provided at night: the most

frequent time slot is from 7 pm to 6 – 7 am, that is to say on average 11 hours per day. In Clara

Town, according to the answers from the households, the number of hours is definitely lower

(between 5 and 6 hours per night).

The average expenditure is USD 40 in Clara Town, Jallah Town and Neezoe; it is almost twice in

New Georgia (USD 70), area where the average level of income of households is higher.

By computing the number of hours of current provided /the average number of hours during which

the electricity consumption of the household is effective and the number of amps subscribed, it is

possible to estimate the household’s consumption. The determined theoretical average per person

consumption is 10.9 kWh per month, meaning, 131 kWh per year. In reality, households consume

electricity only during a few hours at night. Also, the determined actual consumption only rises to a

little more than 90 kWh per person and per year, which is very low. For this actual consumption, the

price per kWh paid by household ranges from USD1,4 to USD 0.9 depending on the areas of survey

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– the highest price being in Clara Town. On average the IPP customers of the sample pay USD

1,2/kWh which is more than twice the LEC price.

Evaluation of the service provided by IPPs

The interviewees are in majority (63%) dissatisfied with the service provided by their IPP: “the

current is unstable and above all, it is only provided at night”. For those who are satisfied, the main

reason is, at least, that the IPP is in their neighborhood the only provider of basic current for

minimum lighting of households of all categories of incomes. For a majority of households, it is

indeed much cheaper to be connected to an IPP, despite all the drawbacks of using this kind of

supplier, than to operate its own electric generator… as the operation and maintenance costs are

high. All households of this category wish to be connected to the LEC grid.

Households with their own generator: spending and consumption

67 households owning an electric generator were questioned about their consumption and spending.

The generators are of a low capacity for the majority of them: on average they are 2.7 kVA in

capacity and operate no more than 4 hours a day. Their lifetime is limited and the period of

depreciation is short. In surveyed neighborhoods almost all households use an electric generator for

their domestic use. Electrical appliances of these households are far more diverse than those of

more modest households connected to IPPs. In general households owning an electric generator

own a TV set.

On average, calculated over the year and per person, consumption remains however very moderate;

that is to say 110 kWh approximately. The evaluation of electricity consumption evidences clear

differences between neighborhoods: the annual average consumption per person in Stephen

Tolbert, a “wealthy” neighborhood is 140 kWh while it is only 80 kWh in Clara Town, a “low income”

neighborhood.

Fuel and maintenance costs are heavy and recurring. Adding up the depreciation, maintenance and

regular expenditures, the expenses incurred by households for the operation of their generator are

close to USD 4 per day. On average, these households pay their kWh USD 1.9 which is 3.3 times

the price of one kWh from the LEC network. It is then obvious that these households would all wish

to be connected to the LEC network.

Households without electricity: lighting expenditures

This category of household is primarily equipped with low consumption lamps (Chinese lamps)

working with batteries. There are very few urban households that rely solely on candles for their

lighting. Rather, it is noticeable that the candles are still used as emergency lighting. Batteries

expenses are high; given the poor quality of those available on the market they must be renewed

frequently. On average, lighting expenses for households without electricity amount to USD 4 per

month.

All sampled households: cooking fuel

As noted before, all households of the sample use charcoal as cooking fuel. Average monthly

household expenditure for charcoal amounts to USD 12,7.

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Final Report – August 2012 59

Willingness to get connected and affordability

Households that are not connected to the LEC grid were questioned about their willingness to be

connected and their ability to pay the related connection expenses. Without surprise all (100%)

interviewees owning an electric generator and those buying electricity from an IPP answered that

they were willing to become customers of LEC and that they were able to pay the connection

expenses. For these two categories of households, the installation and wiring expenses will

generally be low. On the contrary, in the case of households with no access to electricity, nearly all

of them will have to pay connection fees plus wiring expenses, which in total amounts approximately

to USD 100 per household. It is to be noted that 90% of these households wanted to be connected

but 30% of them specified that they did not have the financial capacity to pay these expenses.

When questioned about their monthly repayment capacity, these households answered that they

were able to pay USD 17 on average, but the median answers amounted to USD 10 monthly. It is to

be noted that it precisely represents the amount of repayment contemplated by LEC over 5 months

to facilitate most modest households’ access to electricity. Consequently, they will have to bare the

installation expenses in their residence.

Level of financial effort per category of consumers: household budget expenses

A detailed analysis of the levels of expenditure was carried out for each main category of expenses,

following different categories of consumers - LEC customers, IPP customers, households with their

own generator, households without electricity - and quartiles (determined using the total number of

households) in order to measure the financial effort these households are prepared to make. The

levels of expenditure are used as a proxy of the level of households’ incomes.

By area of survey: the average amount of expenses for the whole interviewees is of 422 USD per

household and per month; the median amount of total expenses is relatively close and amounts to

372 USD. It is in the area of Neezoe that the poorest households according to the level of their

expenses were identified (between 80 USD and 183 USD for Q1) and in the area of Stephen Tolbert

that the households with the highest monthly level of expenses (maximum USD 1227) were

identified.

By category of consumers: households without electricity are those with the lowest median level of

expenses and households connected to LEC are those with the highest median level of

expenditure.

Table 8: Household monthly total expenditures by category of respondents

All

respondents

LEC

customers

IPP

customers

Own

generator

Without

electricity

USD USD USD USD USD

Average 422 508 426 542 323

Median 372 437 427 514 288

Q1 266 333 296 356 194

Q2 372 437 427 514 288

Q3 535 642 506 684 408

Q4 1227 1227 751 1072 953

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By main category of expenses:

Three categories of expenses account for 63% of households’ total monthly expenses: see Table

below.

Table 9: Household monthly expenditure by category of expenditure

Quartile Food Mobility Ener

gy

Water Rent School/

education

Medical

care

Commu

nication

Various Total

%

Total

USD*

Q1 53% 7% 12% 2% 2% 5% 6% 6% 5% 100% 188

Q2 43% 9% 13% 2% 2% 8% 6% 8% 8% 100% 316

Q3 37% 12% 12% 2% 2% 11% 6% 9% 8% 100% 447

Q4 32% 16% 11% 2% 2% 11% 8% 8% 10% 100% 743

% on total 37,5% 12,6% 11,6% 2,3% 2,0% 9,9% 7,0% 7,8% 9% 100,0%

Average

on total

USD

158,5 53,4 49,2 9,9 8,6 41,9 29,5 33,0 38,2 422,4

*calculated on average of expenditure in the quartile

Food is obviously the major expenditure: if this category accounts on average for 38% of

household’s total monthly expenditure, this percentage is 53% for Q1 households and of 32% for Q4

households.

Mobility: transportation costs represent the second expenditure: on average 13% of the total

expenses. This is representative of the financial effort of households living far from the main centers

of employment (private or public employees).

Transports accounts for only 7% (USD 14 per month on average) for Q1 households against

16% (USD 120 per month on average) for Q4 households.

The poorest households which hardly move no matter the area of survey considered are

among the formers.

When they live in off-centered areas, households with modest to average levels of income

(Q2 with Q4) dedicate a significant portion of their income to mobility: this is the main

problem pointed out by households living in neighborhoods in the north of Somalia Drive

Road (Stephen Tolbert or New Georgia) or in Paynesville (Academy Police and Neezoe).

These are indeed the households that make the highest effort for their children education;

often the expenses for children’s mobility are as important as those of parents’ because

these children attend secondary schools or colleges located in the center of Monrovia. It is

also in these expenditure quartiles that are the largest number of employees of the formal

private sector or the public sector whose places of work are more often located in the town

center.

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Final Report – August 2012 61

The comparative advantage in cost of mobility for households living in the “low income

neighborhoods” of the town center - Jallah Town or Clara Town is clearly shown when

compared to the mobility budget of peri-urbans households.

Energy is the third category of expenditure. It covers the expenditure for lighting and cooking. This

category also accounts for 12% on average of the households’ total monthly expenditure and it

should be noted that this percentage remains almost identical for all quartiles.

This category represents an expenditure of USD 20 per month for the households of Q1 –

households which are almost all in the category “without electricity”, some being customers of IPPs –

the main part of this amount being devoted to purchase the energy required for cooking.

The energy category represents an expense ranging from USD 41 to USD 54 for households of Q2

and Q3 – the related households are mainly customers of IPPs and LEC and some own a generator

– in the last Q4 quartile, the energy category for lighting and cooking represents an average

expense of USD 80 per month for the households in Q4 – this relates to households having an

electric generator and the wealthiest LEC households customers.

The other significant categories of expenditures are education, telecommunication and health care

(each one representing between 7% and 10% of the total average expenses for the whole

households). The remainder - rent, water, miscellaneous social expenses – approximately accounts

for only 13% on average of all of the sample households’ expenses.

Three types of behavior can be identified:

It clearly appears that for the households of quartiles Q3 and Q4 to pass from the statute of

an IPP customer especially from that of electricity producer (owners of an electric generator)

to that of LEC customer several alternatives are possible:

- The expected benefit can be a definitely higher electricity consumption (24 hours a day,

all electrical appliances of the household can be used) for a constant level of expenses.

These are the households that also state that they want to buy more electrical appliances

and invest in an economic activity that requires a greater consumption of electricity.

- But for others, taking into account their priorities - other incompressible expenses and

financial efforts essentially directed toward objectives of mobility (supporting of

professional investment) and investment in the education of descendents - the choice will

rather be to save on the energy bill and transfer the savings to these other expenses. In

this case, consumption hardly increases.

For low to middle income households, customers of IPPs (Q2), connection to the LEC

network represents considerable savings: these households will reduce their average

electricity expenses by a 2 factor: they are those who will be able to move from the monthly

USD 40 that they pay for the subscription of one amp with an IPP to a monthly electricity bill

of USD 20-25; and this by consuming the same quantity (either approximately 35 kWh by

household and per month).

For the poorest, being connected to the LEC network represents an additional expenditure:

from USD 5 on average of lighting expenses, the expenditure will necessarily increase and

approximately reach USD 15 per month as shown in our sample. It is in this group that can

be identified the largest number of household heads stating that they conduct petty trade as

main activity (generally on large neighboring markets - Red Light in Paynesville or Douala

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Market in Bushrod Island). It is also this group expressing the strongest concern relating to

their ability to pay connection expenses and regular electricity consumption expenses/bills.

This confirms the advantages of the prepayment meter which allows these households to better

manage their expenses and to cover them as their cash income become available. It also confirms

the advantages of a deferred payment of initial connection expenses.

However, for this group of poor households, the average consumption obviously remains very low.

Extremely important expenditure like food, often those of water, rental expenses are incompressible

expenditure which have priority over that of lighting.

9.4.2 Results and findings of the Enterprise End User survey

Because of various limitations during the process of the survey (cf methodology section) the sample

of the economic and social units is almost totally constituted of economic and commercial

enterprises; only one school agreed to answer the questions. These companies all are located along

Somalia Drive Road at the crossroads of Chicken Soup Factory; Stephen Tolbert Community and

Zota Community.

The number of questioned units and whose results are exploitable amounts to 36: 20 are connected

to LEC grid, 8 have their own generator for their supply in electricity and 6 are without electricity.

This sample is composed of a private high school and for the remainder, a majority in the trade

sector – commercial enterprises represent 75% of the sample, those in services and production

being the 25%. They are very small companies/entities. The leading managers are rather young - on

average 35 years and most are men (75%).

In majority these units are settled in individual building (54%) while 25% develop their activity in

premises including their housing; two thirds of these companies have been tenants of their buildings

for 6 years on average. They are built in concrete (95%); only the craftsmen carpenters operate in

buildings built out of precarious materials. The service companies have on average 2 employees,

those in trade a little less than 1.5 employees and those of artisanal production on average 6. The

school employs 10 people including 8 teachers.

All the companies supplied by LEC grid were connected in 2012. Those with their own generator

acquired it already in 2006, and more recently for others in 2009, 2010 and 2012. 4 of these

companies use electricity only for lighting, all the others have several other types of appliances or

electrical equipment (freezers, ventilation, radio, electric tools etc.).

16 on the 20 units connected to the LEC grid are equipped with prepaid meters, the others with

conventional meters. The cost of connection is on average 115 USD, the range being from 80 USD

to 285 USD for the highest amounts. Expenses for wiring equipment and manpower are significant.

Their average monthly bill amounts to USD 140 and their median expenditure is 74 USD. The

consumption which corresponds to this amount is 240 kWh in the average case and of 124 kWh for

the median expenditure. Three quarters of these companies, including the school, declare that their

expenditure of electricity accounts for approximately 25% of their turnover; this share amounts to

33% of the turnover of the two larger electricity consumers of the sample.

These companies are as a whole very satisfied to be connected to LEC grid.

Most of them are however expressing a mix of satisfaction and dissatisfaction on certain aspects

The economic criteria are obviously dominant: the first reason for satisfaction is the possibility of

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Final Report – August 2012 63

having current permanently (24h over 24h), then comes as a second by set of priorities the

economies which they can now make compared to the former situation (electric generator); finally

the control of consumption for some of them equipped with a pre-payment meter is considered a

plus. For 15% of the companies the possibility of longer opening hours in the evening for commercial

or service activities is also a plus.

These companies are located along the road of Somalia Drive Road, at places where street lights

were installed since the end of 2011 by LEC. They state to benefit doubly from the improvement of

the commercial environment thanks to the public lighting and that of their own unit attracting more

customers.

Figure 10 LEC customers : advantages of LEC current and service provided

It should however be stressed that these small enterprises mention the following problems:

At first the irregularity of the current which strongly penalizes them - inopportune cuts,

outages -: “LEC current is most often fluctuating; Current goes off unnoticed, unstable

current; current shut down whenever there is rain”;

High price of LEC electricity.

The system of payment is not adapted to the operation of their business : “prepaid is good

for household not for business; “difficult to get prepaid card”. On the contrary, some would

prefer to have prepayment meters instead of being billed (billing and metering problems,

defective meter) in an inaccurate way.

Finally there are those mentioning that the LEC does not have any real service where

customers could go for their complains or for addressing various issues; they complain also

about the high transport expenses incurred for multiple displacements when it is necessary

to go to LEC head office in West Point to solve problems.

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Figure 11 : Disadvantages of LEC current and service provided

For the units having their own electric generator the same problems as those described above in the

case of households: high costs of the maintenance of the generator, fuel consumption, repairs. On

average the monthly expenditure amounts to USD 170 (from USD 95 to USD 385 according the size

of the units) for approximately 5,5h per day. The managers unanimously declare that this system

has one main disadvantage “high operation costs”.

As for the units (craftsmen) with the “Chinese lamps” for lighting, they recognize that this lighting

system is of a very moderate cost and “it is the only affordable for the time being”.

These small enterprises were questioned on the three main problems which they face: for those

which are connected to the network, the cost of electricity is quoted at first, then the small base of

customers, the security and the transport costs of the goods from the port to their premises. For

those which are not connected (owning a generator), the major problems are that of the electricity

cost and the difficulty to access credit, finally, for the carpenters, tailors and mechanics and small

traders who have neither electricity from the network nor generator; the main problem is obviously

the access to electricity and then, the high cost for rental.

Concerning the willingness to be connected to LEC grid, the majority of the enterprises express their

will to be connected. Several of them tried to register already at LEC but they had to wait because

the progress in constructing new installations in the area is very slow. They state all to have the

capacity to pay the connection and installation expenses for their enterprises. Only two (the

carpenter and a tailor) on the 16 units express a refusal due to the high costs of the connection,

wiring and consumption.

Concerning the impact on their economic activity if connected to LEC grid, they mention in first an

appreciable increase of the number of customers, in particular in the evening (45%), safety (25%), a

better management of products and goods (for pharmacies and other salesmen of health products),

a greater comfort (!) “no more stress associated with operating the electric generator”.

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Final Report – August 2012 65

9.4.3 Conclusions

If the tariffs applied by LEC are among the highest in the world (estimated at 0.578

USD/kWh), those applied by small private operators (estimated at 1.2 USD/kWh) or by auto-

production with small generator sets (estimated at 1.9 USD/kWh) are even more exorbitant.

Unfortunately many households and most companies are constrained to pay such tariffs

when they are not connected to the LEC grid.

The willingness to be connected to the electricity network is very strong among the

households and the small enterprises. The capacity to pay is an important issue for a major

part of the households as well as for small companies. The poor population of the districts in

downtown area and in the peri urban zones however doesn’t have the financial capacity to

pay the first connection and electrical wirings expenses up-front; the decision and strategy to

accelerate the installation pre-payment meters and facilitate access to credit to finance these

costs is essential.

The feeling of satisfaction concerning electricity was dominant among all households

interviewed: 62% of customers are entirely satisfied, 11% are dissatisfied and 27 % mixed.

The reasons for discontent are mostly problems with the quality of service provided by LEC.

For those households equipped with conventional meter, they particularly quote problems of

metering and billing; those equipped with pre paid meters complained wasting time to find

scratch card seller. The customer service is not yet well developed, especially in the peri

urban areas of Barnersville and Gardnersville. For small enterprises the major problems

raised were the irregularity of current, the outages and their negative impacts on economic

activity.

The geographical targeting - Northern zone of Monrovia and Eastern districts – The

interventions financed by the European Union within the framework of EPP 2 and the

Monrovia Electricity Grid Rehabilitation Project were perfectly relevant as these

neighborhoods comprise the major part of the population of the town of Monrovia. However,

as the low voltage grid has not been developed by other actors as expected, large peri urban

neighborhoods of Paynesville still don’t have access to the grid, even if the rehabilitation

programme of its sub station, initiated during EPP 1 and EPP 2, financed partly by the

European Union, had in its targets to allow the extension of the network in these zones

characterized by a very rapid urbanization. Eventually, the last rider of the Monrovia

Electricity Grid Rehabilitation Project covered the provision for resources for the delivery and

installation of 2’600 prepaid meters in low income neighborhoods, in particular in Jallah

Town and Saye town, located in Central Monrovia. This specifically targeted the final

beneficiaries and thus was very relevant.

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9.5 EVALUATION CRITERIONS

9.5.1 Past evaluations

In 2010 an evaluation of all EC interventions (all sectors) covering the period 1999-2008 was

mandated by The Joint Evaluation Unit for: EuropeAid Cooperation Office (AIDCO), Directorate

General for Development and Directorate-General External Relations. The report on findings was

issued in December 2010. The evaluation considered EC assistance during the periods of the EDF8

and 9 (from a variety of instruments), but also considered choices made by the EC to disburse aid

under the EDF10, including most of the interventions object of the evaluation performed by the team

in April – May 2012 and specifically the last funding decision 019-186 pertaining to the Monrovia

Electricity Grid Rehabilitation Project which is the culminating point of EU engagements in the

Electricity sector in Liberia

For the older contracts (Contracts covered Technical Assistance, supplies (gasoil at the period 2003-

2004), supervision and monitoring services, equipment and works.) implemented on the period 2003

to 2006), the evaluation findings were underlining the lack of proper staffing of the EU delegation in

Monrovia for assuring the proper instruction and processing of the interventions. In fact a full-fledged

Delegation was installed in Monrovia only in September 2010. Prior to this date, interventions were

under the responsibility of the EU delegation in Abidjan.

The most critical issues identified under the evaluation which are relevant to the interventions in the

electricity sector are reported in the following table:

Table 10: Critical issues from the past evaluation

Reason for low performance Effect - Impact Suggested

Recommendation

Low organisational capacity of

the EU during 2005 - 2006

A fraction of the money that had

been promised to the Liberian

Government effectively contracted.

Link resource

commitments to

operational resources

Conjunction of administrative

delays of prior years, and the

overall difficult conditions for

delivering aid in

Liberia

The rebuilding of electrical and

water infrastructure in Monrovia

was also affected by these delays;

many of the intended projects to

make lasting improvements to the

capitals infrastructure started only

with 2-3 years of delay.

Improve coordination

and information system

within the EU system

Understaffing of the EU office in

Monrovia

Difficulty to respond to the

operational demands that the large

aid portfolio had placed on the

organisation, leading to unfulfilled

expectations among the

commission’s main partners.

Link operational

resources to resource

commitments

Disconnection between fund The design of the EC cooperation Re-enforcement of the

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Final Report – August 2012 67

commitments and provision of

operational resources

strategy and the commitment at

political level for large scale

support during Liberia’s post-war

years did not sufficiently consider

the very limited implementation

capacity of the EU’s own

Delegation in Liberia during those

years.

appraisal and

preparation phases of

the projects with

enlarged dialogue with

future executing and

beneficiary agencies

Unrealistic anticipation of risks

and other post conflict

constraints

The European Commission’s

procedures and mechanisms for

design, planning and

implementation did not adequately

take into account the difficult

conditions, vagary, risks and

operational constraints of Liberia’s

post conflict environment.

Strengthen procedures

and mechanisms that

can help to adequately

anticipate the particular

risks and constraints of

working in Liberia, and

in post-conflict countries

in general.

Shortcomings reduced the full

potential of the EC actions

The EC could successfully provide

some relevant and important

impulses for Liberia’s stabilisation,

but only in a relatively small

number of cases. The EC’s

contributions lagged significantly

behind its actual potential and

value-added for assisting post-

conflict societies and its

commitment to focus support on

the most vulnerable, marginalised

populations.

Improve monitoring,

supervision and

oversight and refocus

support on most

vulnerable and

marginalised

populations.

Better use of the ROM

missions and reports

9.5.2 Relevance of the EU interventions

As per the evaluation standards, Relevance measures “the extent to which an intervention’s

objectives are pertinent to needs, problems and issues to be addressed”. The following table and

graph illustrate the evolution of the Human Development Index (HDI) in Liberia since 1980. To date,

Liberia's HDI is 0.329, which places the country a rank 182 out of 187 countries with comparable

data. The HDI of Sub-Saharan Africa as a region increased from 0.365 in 1980 to 0.463 today,

placing Liberia below the regional average. As appearing on the graph, the index most significant

increases (despite modest) started from the year 2006, which corresponds to the concentration of

efforts by the international community and the new elected government for restoring the institutions

and the basic infrastructure. There was a slight decrease in 2008 and since then the trend is positive

but very slow. It would be hazardous to conclude that there is a causality link between the index

increase and the specific interventions of the EU in the electricity sector. Nevertheless, their

contribution to the improvement in the living conditions of the population (mostly in the Monrovia

area – 48.2% of the Liberia’s population lives in urban areas) cannot be disputed.

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Table 11: Human Development index

An interesting observation which is derived from the data relating to the indicators for Doing

Business (IFC – World Bank) shows that getting electricity is still a bottleneck with one rank lost

between 2011 and 2012. Numbers of days and procedures and the cost for access (connection)

have not changed since 3 years. On the contrary, the rank relating to the aspect of starting a

business has drastically and positively improved in 2011. Thus demonstrates the emergence of a

dynamic momentum resulting from a better institutional and legal framework conducive for more

productive initiatives and activities.

Table 12: Indicators for doing business

Year

Ease of

Doing

Business

Rank

Starting

a

Business

- Rank

Starting a

Business -

Procedure

s (number)

Starting a

Business

- Time

(days)

Starting a

Business -

Cost (% of

income per

capita)

Getting

Electricit

y - Rank

Getting

Electricity

-

Procedure

s (number)

Getting

Electricity

- Time

(days)

Getting

Electricit

y - Cost

(% of

income

per

capita)

2007 .. .. 10 68 563.9 .. .. .. ..

2008 .. .. 10 68 489.6 .. .. .. ..

2009 .. .. 6 31 100.2 .. .. .. ..

2010 .. .. 5 20 85.6 .. 4 586 5,066.0

2011 155 71 5 20 88.3 152 4 586 5,294.1

2012 151 35 4 6 68.4 153 4 586 4,455.2

Human Development Index

Year Liberia Low human

development

Sub-

Saharan

Africa

World

2011 0.329 0.456 0.463 0.682

2010 0.325 0.453 0.460 0.679

2009 0.320 0.448 0.456 0.676

2008 0.328 0.443 0.451 0.674

2007 0.319 0.437 0.445 0.670

2006 0.298 0.430 0.438 0.664

2005 0.300 0.422 0.431 0.660

2000 0.306 0.383 0.401 0.634

1985 0.332 0.334 0.374 0.576

1980 0.335 0.316 0.365 0.558

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Final Report – August 2012 69

Expected or facilitated access to electricity is certainly one of the important favourable parameters.

Nevertheless the reality remains that since the rehabilitation of parts of the Monrovia electricity grid,

the rate of connection installation is still low. As a result of what was observed during the appraisal of

LEC capabilities and the visits made in various areas of the city several reasons can be articulated:

1. LEC lacks the tools, personnel and equipment (vehicles, hauling equipment) to install the LV

part of the system at a pace commensurate with the challenging objective assigned to them

of several thousands of new connections within the coming months. (Under the Management

Contract, LEC must connect at least 33,000 plus 9’000 additional new customers by 30 June

2015).

2. LEC is constrained by the need for a prudent management of the customer base growth and

the actual capacities of the transmission system (HV and MV) and installed/available

generation capacity.

3. The cost of connection to be borne by LEC (said to be in the tune of US $ 1’000 per

connection), before it is amortized by the customer connection fee has an important impact

on LEC’s financial situation.

Remedies for addressing these issues (resulting in the low rate of connection installation) are closely

linked with the future investment plan that LEC will implement for the next years. The execution of

this plan closely depends on the availability of adequate financial resources from LEC revenues,

from the government and from donors. This is to say that there is necessity of a well coordinated

mainstreaming of the actions and initiatives of all parties. LEC will remain the ultimate “implementer”

of the planned programmes and projects. To properly discharge this role, LEC needs support and

capacity re-enforcement at various levels: HR, equipment and tools, operations and management

organization, financial support and facilitation which can be globally provided through adequately

designed Technical Assistance, Training and Knowledge Transfer.

The following table is a synopsis of the immediate and first observations and findings “from the

ground” that the evaluation team gathered during its activities. Such table is established for the 5

usual evaluation criterions namely: Relevance, Effectiveness, Efficiency, Impacts and Sustainability.

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Table 13: Relevance of the project

Relevance and quality of the Project

Sub Component

Correspondence with

the Project Log frame

Observations Comments and

Suggestions

Documentation and

reports from the project

Award of work contract The team had access

to a large volume of

documents and

reports. The technical

aspects were relatively

easy to assess for the

most recent projects,

but difficult to identify

for the older projects.

The administrative

background of older

projects was only

fragmentary in the

CRIS.

The initial project

identification and

definition documents

are of good standards.

They allowed to issue

tenders and bids

internationally. The

subsequent contracts

did not lead to claims

or recourses except

the older ones for

which ex-post audits

determined

irregularities.

The responsibility for

issuing the project

implementation

documentation and

reports was obviously

passed on to the

implementation

agencies and the

contractors.

Socio-economic and

environmental context

in the Project area

Improved living

conditions

Improved safety

Increased business

activities in the sector

and else

Increased job levels in

the sector and else

To date (April- May

2012) the prevailing

conditions observed in

Monrovia are those of

a poorly developed

country, aggravated by

destruction and

deterioration which

happened during the

years of wars and

conflicts.

There is no doubt that

any initiative to

improve Monrovia’s

electrical power supply

infrastructure was

highly relevant at the

beginning of the

interventions which

took place in a post-

conflict situation.

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Final Report – August 2012 71

In the sector of

electricity, obvious

improvements were

visible immediately

after the emergency

interventions which

allowed a limited

number of customers

to be connected as

well as the restoration

of some street

lightings.

The results of the end-

users survey

conducted under the

evaluation scope

confirm that the

willingness to pay and

the level of affordability

to cover costs for

connections and

supply of electricity

exists. The population

(interviewed

households) also

declared that they

would prefer LEC

services for more

reliability in the power

supply and an easier

management/predictab

ility/control of their

expenses.

The project did not

originally comprise LV

components for

connecting new

customers until an

addendum to the

contract provides

resources for 2’600

prepaid meters

targeting low income

communities

Socio-economic

indicators have

improved since the

beginning of the

Project, but some have

deteriorated, like the

indicator “getting

electricity” which lost 1

rank between 2011

and 2012.

Relevance regarding

Ministry of Energy and

Poverty Reduction

Strategies

New democratically

elected government in

place and ready to

adopt legislation

necessary for

liberalisation and

privatisation.

Government provides

funds and personnel

for regulator.

Sufficient private sector

investor interest in

generation and

distribution.

The interventions are

fully aligned with the

strategic objective 1

stated in the PRS

which is to extend grid

electricity throughout

Monrovia and its

environs and the

principal objective of

the National Energy

Policy which is to

ensure universal

access to modern

energy services in an

affordable, sustainable

Interventions were a

first set of urgent

actions responding to

needs in a post conflict

situation. Further

actions will have to

closely align with the

subsequent goals and

strategic objectives of

the PRS and the

National strategies

which target quality

and access (modern

energy), low carbon

type (renewable) and

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72 Contract 2012/284032

9.5.3 Efficiency

As per the evaluation standards, efficiency measures “the extent the desired effects are achieved at

a reasonable cost”. It also covers the appraisal of achieved results with reference with those

targeted in the project log frame.

The Financing Agreement (FA) was signed on June 1st, 2006 but the Works Contract was awarded

to ELTEL only in March 2008 mainly due to the fruitless international bidding process. Works on the

sites started effectively around November 2008 and about 17 months after the awarding of the

contract, only about 25% of the entire work was completed mainly due to a long mobilization period

imposed by the actual prevailing circumstances. Then the works progressed well under an efficient

management and efficient cooperation with local subcontractors, using appropriate local resources

and demonstrating a flexible and innovative approach.

Unfortunately on the institutional aspects slow progress were made regarding the TA activities

supporting good governance at MLME and LEC as they were foreseen in the Financial Agreement.

Such technical assistance was and remains very important to support the government organizing the

sector in view of its liberalisation and privatisation. The expected target that private participation

would take interest in the investment, construction and operation in the sector was globally missed.

Looking backward, the project objectives were also expected to produce Indirect results listed in the

initial project log frame like i) Private concession(s) for generation are awarded ii) A company is

Successful tender for

company to operate

the transmission grid.

Sufficient private sector

interest in distribution.

and environmentally-

friendly manner in

order to foster the

economic, political, and

social development of

Liberia.

least coast alternatives

(affordability) options

for the next phases of

development of the

electricity sector at the

scale of the country.

Expectations for the

private sector

participation were too

ambitious.

Initial project

identification and initial

formulation

Secondary Activity:

Institutional and

logistical support

a) Institutional support

and studies enabling

sector reform.

b) Logistical support:

TA for finalisation of

legal and regulatory

framework.

TA for launching the

award of concession

contracts.

Proposing this activity

within the scope of the

interventions was well

aligned with the

Government own

objectives and policies

as stated in the PRS

and the draft National

Energy Policy.

The objective was

premature and over

optimistic. The

corresponding

activities were not

implemented.

Preparation phase of

the project should have

better integrated

lessons and

experiences gained

from failures in other

countries in the region.

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Final Report – August 2012 73

recruited to operate the High Voltage transmission grid and iii) Private concession for distribution

concessions is awarded.

These expectations were highly ambitious, not to say unrealistic. Given the prevailing conditions in

most of the West African countries where privatization or concessioning of electricity generation or

transportation projects have not yet produced success stories but rather dramatic failures, it was

over-optimistic to target such results in a post-conflict and still fragile country. The construction of a

conducive institutional environment takes a long time. It is however certainly the approach for the

future, as private sector participation in the electricity sector could bring additional investments,

management and operational skills and could improve the overall performance of the

industry/services,. Before contemplating such a favourable context, strict prerequisites and

appropriate fundamentals are necessary. There is still a long way to go for Liberia where the

materialization of the basic first parameters is constantly delayed, like the finalization and adoption of

the Electricity Law and the setting up of an Electricity Regulatory Entity/Authority.

Table 14: Project efficiency

Project Efficiency (Status of results)

Sub Component

Correspondence with

the Project Log frame

Observations Comments and

Suggestions

Input Delivery Inspection of network

coverage in a

representative sample

of areas.

Business and

consumer price

benchmarks

throughout the city.

Due to the emergency

situation at the time of

preparing the project and

defining its components

and corresponding

budgets, the basic data

were not totally accurate

and needed to be

guessed to some extent.

Re-enforcement of

preparatory phase quality,

more detailed evaluation

activities and in the

country dialogues are

essential.

Cost Control Supervision of works

Final acceptance of

works for transmission

and distribution grid

The first part of the

interventions was

dominated by an

emergency character

which involved that

activities were to be

expedited quickly, thus

eventually not optimizing

costs.

The second part costs

were the response of

market to an ICB,

supposed to reflect the

real costs and a

reasonable portion of

contingencies and risk

premium.

The process for the ICB

was long and delayed for

mainly reasons, thus

fostering the perception of

high risk.

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74 Contract 2012/284032

Activity Management Supervision of works

Execution and

implementation delegated

to other agencies for the

“emergency part” of the

project.

Then assignment of an

Engineer as Owner’s

Delegate for the physical

part of the rehabilitation

project

The appointment of an

experienced company for

a Management Contract

within the National Utility

was pertinent.

Reliable data and

information are only

generated since the MC

is in place.

Contractual

achievements

Award of work contract

by 03/2006.

Final acceptance of

works for transmission

and distribution grid.

Award of TA contracts

as necessary.

Works under the ELTEL

contract fully

implemented and

commissioned in

December 2011.

Despite delays in the

bidding phase, works

were performed with high

professional standards.

No major deviation in the

implementation calendar.

Works and installations

performed in accordance

with high standards

complying with the state

of the arts.

Final report by the

Owner’s Engineer has no

reservation.

Results obtained

versus expected

results

Private concession(s)

for generation

awarded. A company

recruited to operate the

High Voltage

transmission grid

Private concession for

distribution

concessions awarded

Legal and regulatory

framework for

liberalisation

completed

Sector regulator set up

On the aspects of Private

Sector participation and

“unbundling” of

operations in the

electricity sector by

allocating concessions,

there are no tangible

results

No Regulatory Entity in

place and fully

operational

The Energy Law is

drafted but has not yet

been adopted.

The results on the

technical aspects are fully

achieved through the

delivery and installation

on site of all works and

services covered by the

contracts.

The results on the

institutional aspect

targeting the concession

of parts of the electricity

system were not

achieved.

Adoption of laws and the

creation of a Regulatory

Entity needed for drawing

interest of private

investors, operators and

concessionaires are

delayed.

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Final Report – August 2012 75

9.5.4 Implementation effectiveness

Effectiveness measures the extent to which objectives set are achieved as well as the mechanisms,

specifically relating to coordination with stakeholders, which contributed to the achievements.

Historical reports confirms the EC staff were formally part of a large number of coordination

mechanisms and donor – GoL coordination platforms over the years, i.e., between 2004 and 2008.

In some areas, such as GEMAP / economic governance or the rehabilitation of the electricity grid,

the Commission seems to have adopted the leading or at least one of the leading roles. However in

the later years (2007 / 2008) the ability of the EC to remain active in important coordination

mechanisms became limited. In 2007, the EC was not able anymore to participate in coordination

meetings as important as the workshops accompanying the elaboration of the Governments Poverty

Reduction Strategy (PRS).

Table 15: Project effectiveness

Project Effectiveness

Sub Component

Correspondence with

the Project Log frame

Observations Comments and

Suggestions

Stakeholders

coordination

Logistical support:

TA for finalisation of legal

and regulatory

framework.

New democratically

elected government in

place and ready to adopt

legislation necessary for

liberalisation and

privatisation.

Adoption of electricity law

and secondary legislation.

Strong leadership and

guidance by the EU at the

inception of the

programme in 2003 faded

away the next years,

certainly hampering a

proactive role and the

adjustment of actions with

the rapidly evolving

situation.

Post-conflict and fragile

states require support

and guidance during the

delicate period when

institutions as well as

infrastructures are to be

rebuilt. Such

accompaniment is also a

unique opportunity for

founding new and

unbiased basements for

the legal and regulatory

frameworks.

Information

management and

dissemination

Perception of results

Improved living conditions

Improved safety

Increased business

activities in the sector and

else

Increased job levels in the

sector and else

The first interventions

were quickly understood

by the public as the prime

beneficiary of the project

like revamping of

streetlights and electricity

generation facilities.

It is not obvious that the

targeted groups have

been duly informed of the

subsequent phases to

come further.

During the end-users

survey (April - May 2012)

the perception of

information on the time

frame as well as the

financial/economic

aspects of the projects

was still volatile in the

public opinion.

There is still a big

discrepancy between the

reality and what the public

perceives ,as for example

on the costs and tariffs,

formalities, obligations

and rights as customers.

Beneficiaries globally

perceive positive results

but are not always

individually affected.

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76 Contract 2012/284032

Delivery of Outputs Give access to the

population and business

of Monrovia to more

affordable electricity.

Coverage increases from

<10% of population

having access to

electricity to at least 50%

Average of business and

consumer end-user price

drops by at least 30%.

Business and consumer

price benchmarks

throughout the city.

The material outputs in

terms of emergency

interventions and

delivery/installation of

equipment are realized,

despite observed delays.

As stated at many places

in the evaluation report,

the physical

delivery/access of

electricity to beneficiaries

and target groups is only

tangible since

approximately one year.

The scope of the

intervention fortunately

incorporated equipment

and works for LV

connections.

It was fortunate that other

donors also supported the

electricity sector, thus

creating synergies which

today translate into the

measurable increase of

the customer basis.

To date, the data bank of

records which could make

possible the

measurement of

quantitative parameters is

too small for deriving

meaningful results. On

the other hands, statistics

and their quality are not of

a sufficient standard.

Appropriation,

participation and

commitments of

beneficiaries and

Authorities

New democratically

elected government in

place and ready to adopt

legislation necessary for

liberalisation and

privatisation

Government provides

funds and personnel for

regulator

A promising dynamic

momentum was observed

during the first phases of

the interventions with the

government focusing on

the preparation of

policies, strategies and

the associated drafted

documents for revamping

the overall sector.

Today, the framework

which would have made

the sector attractive for

other participants is still in

its infantile stage. The

electricity law has not

been passed and the

creation of an Electricity

Sector Regulatory

Agency/ Authority is

staked.

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Final Report – August 2012 77

9.5.5 Impacts

“Impacts” is a general term used to describe the effects of an intervention on society. They can be

either positive or negative and foreseen or unforeseen. Initial impacts are called results, whilst

longer-term impacts are called outcomes.

Table 16: Project Impacts

Impacts

Sub Component

Correspondence with

the Project Log frame

Observations Comments and

Suggestions

Results (direct) Final acceptance of works

for transmission and

distribution grid.

Holding company owning

transmission network

incorporated.

Improved revenue and

expenditure management

The complete scope of

actions, works relating to

the electricity grid

rehabilitation including

content of addendum has

been materialized.

As already stated this

result was not achieved

The National Utility

situation is stabilized but

still very fragile.

Good or acceptable

quality of the contractors

and the agencies in

charge of the

implementation

Good control framework

imposed by the

formalities,

conditionalities, rules and

regulations driving EU

interventions.

Over-optimistic objective

not matching the reality

of the prevailing situation

The installation of a

Management Contract

was a must for achieving

this result

Results (Indirect) Private concession(s) for

generation awarded

A company recruited to

operate the High Voltage

transmission grid

Private concession for

distribution concessions

awarded

Legal and regulatory

framework for

liberalisation completed

Sector regulator set up

Indirect results have not

been materialized

The institutional

arrangements (laws,

regulations) have not

been put in place to date

Outcomes Improved living conditions

Improved safety

Increased business

activities in the sector and

else

Increased job levels in the

sector and else Coverage

increases from <10% of

population having access

to electricity to at least

50%

Figures initially articulated

in the log frame cannot be

assessed due to the lack

of compilation of

necessary data by the

governmental agencies

The agencies in charge of

statistics and follow-up of

socio-economic progress

are still weak and not in

position to release valid

and reliable indicators.

Nevertheless, the End-

users survey allowed to

obtain a rather good

indication of the

population positive

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Average of business and

consumer end-user price

drops by at least 30%

perception of the benefit

from access to electricity

in their everyday life:

more security, access to

more efficient appliances,

longer time for children to

study, small business

opportunities.

9.5.6 Sustainability

Sustainability measures the extent to which positive effects are likely to last after the intervention has

terminated. In this respect, works and equipment installed for contributing to delivering electricity to

the target groups and beneficiaries have been erected according to very good standards. The HV

and MV parts of the Monrovia grid are dimensioned for satisfying the services expected from the

utility for the 4 to 5 years to come. Thanks to other donors’ interventions aiming at accelerating the

installation of new customers’ connections, the sustainability of the EU interventions in the electricity

sector is undisputable. The quality of the executed works (achieved by the contractors under the

adequate supervision of engineers commissioned by the EU) recognized by all parties also

guaranties a longer lifespan of equipment. The technologies selected for the LV part of the grid

(prepaid meters) will also limit theft, tempering and illegal connections hence resulting in lower

operation costs for the utility. With abstraction of the administrative and time management

misfortunes at the inception of the programme/project, the approach has an interesting potential for

replication. First in other urban centres in Liberia when they are incorporated into the future HV

national/regional grid, but also for any other country with similar patterns like: Post conflict or post

disaster status, institutional fragility.

Table 17: Sustainability

Sustainability

Sub Component

Correspondence with

the Project Log frame

Observations Comments and

Suggestions

Capacity of actors High Voltage and

transmission electricity

grid rehabilitated

LEC has gained

experience in installation

works and their

maintenance.

Combination of donors’

interventions,

accompanied with the

entering into force of the

Management Contract

has imposed a new

corporate culture of rigor

and discipline and

accountability.

LEC staff have acquired

skills for works and

operations activities.

Local companies sub-

contractors to ELTEL

have benefited

experience and

equipment.

As an example, at the

end of its contract, ELTEL

donated the tools,

equipment and vehicles

to the local sub-

contractor.

Economic feasibility

and financial

sustainability

Average of business and

consumer end-user price

drops by at least 30%

LEC can better manage

its financial standing.

The costs of connections

as well as the cost of

electricity will decrease

Due to the fuel price

increase, tariff decrease

could not be significant

but was at least

contained.

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Final Report – August 2012 79

when the number of

consumers increases

through the effect of

scale.

Replication potential Give access to the

population and business

to more affordable

electricity

Improved living

conditions

Improved safety

Increased business

activities in the sector and

else

Increased job levels in the

sector and else

At the scale of Liberia, the

project approach could be

replicated for other urban

centres in the country,

when the backbone of a

HV national transportation

grid is in place.

Neighbouring countries in

Western Africa with

electricity sector similar

patterns could be

candidates for replication.

(Guinea, Guinea Bissau,

Sierra Leone …)

9.6 CONCLUSIONS TO THE EVALUATION

Further to the evaluation activities and analysing the history of the evolution of the EU intervention

logic, the findings lead to the following broad conclusions.

The EU interventions in the electricity sector occurred under 3 cycles of EDF. From 1999 to 2005,

EC cooperation objectives reflected the dominant needs of Liberia’s population and, after the

appointment of a transitional Government in 2003, were also consistent with the GoL’s newly defined

policy priorities. Then, the European Commission repeatedly adjusted its cooperation objectives and

modalities for Liberia to reflect changes in the political circumstances and security situation in the

country during this period. The early years of EC assistance were clearly focused on the

rehabilitation of basic services and infrastructure in Liberia, coupled with support to the reintegration

and rehabilitation of displaced people and ex-combatants.

The CSP (Country Strategy Paper) for the EDF9 however shifted towards adopting a more

development oriented approach, in particular with its support to education. Still, compared to the

development emphasis of the latter part of the EDF9, the EDF10 strategy took a step back and

returned to an approach that was more geared towards the satisfaction of immediate needs, in

particular to fill any possible rehabilitation gap while the international community was in the

meantime transitioning away from humanitarian assistance.

The evaluation report dated December 2010 already brought answers and conclusions to the basic

judgment criterias applicable for measuring the impacts of the interventions. These answers and

conclusions are still valid as of today. According to the 3 criterias i) Increased access to electricity

in urban and rural EC supported areas ii) Increased number of working streetlights and public

lighting and iii) Increased number of hours of electricity supply per day, the evaluation/judgment

conclusions state that the contribution of the European Commission to increasing access to

electricity in Monrovia consisted of a number of earlier small scales, but politically important

installations of generator powered electricity loops and associated streetlights and significantly

delayed works on a larger portion of Monrovia’s electricity distribution network. In 2006, the

European Commission was able to finance three small, generator powered electricity grids (in

Congo Town, Kru Town, Paynesville suburb) in time to serve as showcases of progress after the

election of President Johnson-Sirleaf. These networks were inaugurated around the annual

celebrations of Liberia’s Independence Day, and therefore served as important, albeit largely

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symbolic, signs of progress in Monrovia. As of May 2007, a total of 535 street lights had been

installed in connection with these three isolated loops. It is not known, how many of these street

lights were still operating at the end of 2008. EC support of the larger scale rehabilitation of

Monrovia’s electricity grid experienced significant delays of about three years, counting from the

initial launching of the first tender for the works in March 2006 until the start of actual construction in

May 2009. Reasons behind the delays were difficulties in finding enough interested parties to

respond to the tender, lengthy evaluations of the received bids and negotiations between the EC

office in Monrovia and the Delegation in Ivory Coast on the application of “negotiated procedures” for

the award of the contract. Upon start of the construction in early 2009, the works seem to have

progressed well, and as of February 2010, the biggest part of the EC-financed work on the electricity

grid was completed. Long assessment periods (e.g. the evaluation of PMC took over 2 years to be

finalized) and the overburdened bureaucratic procedures have caused severe delays and could

have been prevented if a more efficient steering structure would have been in place. The

complicated and time-consuming set-up, comprising of the LEC, the donor steering committee, the

board of the LEC and the ministry has complicated the communication and caused delays for

necessary decision making processes. Ahead of the 2005 elections, the European Commission

supported the rehabilitation of streetlights under the “Street light Project” of the Reintegration

Programme for Returnees and Displaced People. In comparison to the intended scale of the

rehabilitation the sustained success was small: out of 226 lights that were supposed to be repaired,

only 87 were in fact worked on. Within months of completion, only 38 of these lights were still

working. The EU support for the rehabilitation of the electricity infrastructure is valued as timely, but

upcoming crisis and unpredictable changes in the security situation have hampered the

implementation of the reconstruction efforts. Parts of the EC commitment for installing power lines

from the EPP I and II was not fulfilled, so USAID took over the responsibility and completed the

installations. Despite the no fulfilment, the professional capacities of EU contractors were rated very

positive by LEC authorities.

For the ease of understanding the modulation of the conclusions towards different perspectives, the

EU interventions can be broken down in two batches:

1. The first series of interventions comprising the Post-Conflict Rehabilitation and Capacity

Building Programme (PCRCBP) and the Reintegration Programme for Returnees and

Displaced People in Liberia. Under these two programmes, the contribution of the European

Commission for increasing access to electricity in Monrovia consisted of a number of earlier

small scales, but politically important installations of generator powered electricity loops and

associated streetlights. The 5 aspects of relevance, effectiveness, efficiency, impacts and

sustainability were globally evaluated as satisfactory in reports issued further to appraisal

missions and specifically the findings of the 2010 Country Level Evaluation of EC support to

the Republic of Liberia. The current evaluation purpose is not to re-evaluate those

interventions. However, the global satisfactory results relating to the 5 usual criteria certainly

translate particular circumstances where needs are so huge that any interventions driven by

emergency and humanitarian considerations are likely to achieve expected objectives. At

least, those interventions had the merit to trigger other supports from other donors and to

impulse the process of rebuilding infrastructure in a post conflict environment. In such

circumstances restoring the operations of public services was paramount for also restoring

the confidence of populations within a complex reconciliation process. Nevertheless and for

the good sake of drawing lessons from these past interventions it is worth to point out some

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Final Report – August 2012 81

of the weaknesses which were identified in the implementation and performances of the

programmes.

a. Complex administrative procedures (including tender and procurement regulations)

have limited the operational flexibility of the European Commission.

b. Monitoring and evaluation (M&E) of the effects of EC support on peace consolidation

and conflict prevention has been erratic, which has constrained the ability of the

European Commission to adjust its cooperation strategy with regard to these issues

appropriately and in a timely manner.

c. The EU support has not enough strengthened the capacities for policy design and

implementation in the sector, this remains a high priority when there is a massive

lack of adequately trained staff (engineers, technicians). The lacking capacity

ultimately also threatens the possibility of adequately maintaining the investments,

and thus the sustainability of the initial achievements.

d. During the period 2003 to 2007 the demands that planning and implementation of EC

assistance have placed on the EC in Monrovia have overburdened and overwhelmed

the organisational and human resources of the EC office and later the EU Delegation

in Monrovia.

e. The lack of strong coordination in planning and programming among implementers of

EC funded programmes led to duplications, overlap and even competition, thus

reducing efficiency of interventions.

2. The second series of interventions in the electricity sector were performed under the

Monrovia Electricity Grid Rehabilitation Project. Theses interventions are the specific objects

of the current evaluation. The major part of the project was mainly composed of works and

supplies for the HV and MV parts of the electric system. The bidding procedures for these

works were originally started in October 2005 targeting the 13th of January 2006 for

submission of proposals by the bidders. After various adjustments and delays in the internal

instruction of the project within the EU system, the dead line for tendering in the published

Works procurement notice (2006/S 56-057777 dated 22nd March 2006) was 10th of July

2006. It was then cancelled in 27th April (via notice 2007 2007/S 74-089506) due to no valid

bid received. It took almost 2 years after the signing of the Financing Agreement (June 1st

2006) to have a signed works contract in March 2008, mainly due to the fruitless results of

the International Competitive Bidding (ICB), the necessity for a rider to adjust budgets and

costs and finally to apply the negotiated procedure Financing Agreement (FA) was signed on

01/06/2006. The Work on the ground started effectively around November 2008. The second

part of the intervention was for supporting the liberalisation of the electricity sector and

private investment. It has not been achieved, and therefore there has been no need to

activate the TA support to the commercialization of power generation and its distribution. The

objectives under these TA with expecting the rapid involvement of private players in the

sector were however too ambitious. Given the lessons drawn from the numerous attempts

made in West African countries (Guinea, Senegal, Mali …) to liberalize the sector and invite

private participation which drastically failed, the approach was unrealistic. On the 5 standard

aspects guiding evaluation, the findings lead to the following conclusions.

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a. Relevance When appraising to what extent the intervention was relevant in respect to needs,

problems and issues identified in target groups, the delivery of works under the contract

only partly satisfied this criterion. The initiative to improve Monrovia’s electrical power

supply infrastructure was highly relevant as a means to contribute towards the project’s

Overall Objective (OO). However, the intervention as initially designed was not in line

with the Project Purpose (PP) which is to allow the public access to affordable electricity,

as the intervention was restricted to High Voltage (HV) and Medium Voltage (MV)

distribution network, and its substations. Out reaching end users together with tangible

impacts on their living conditions was therefore depending on other donors and more

specifically the Low Voltage (LV) distribution network needed to be funded by non-EU

projects. Fortunately, within the frame of constant adjustments of the EU intervention

logic for matching actual circumstances, a rider (No.6) covering the provision for

resources for the delivery and installation of 2’600 prepaid meters was signed.

b. Effectiveness As far as achieving the objectives of the project, the first objective and results relating to

delivery of electricity to the population is achieved, however with delays and at a slow

pace due to various reasons explained in other parts of the report. The second objective

of improving the institutional environment allowing for a strong participation of private

partners in the development of the Liberian electricity sector is not achieved.

c. Efficiency On the aspect of improving access to electricity for populations and the associated

effects on their living conditions, the programme achieved these results at a cost which

can be qualified reasonable. Despite the results of the tendering process were fruitless

requiring direct negotiations with the selected contractor within a final budget increased

through riders, the contract amount was reflecting the market and the level of risks for

operations in Liberia. All parties also recognized that the works were executed according

to very high standards, thus assuring that a status of best value for money was achieved.

d. Impacts Globally, the impacts of the project are positive in terms of immediate results evidenced

by the increasing number of connections to the grid and served population. They still

need a period of consolidation for allowing significant changes for various indicators for

measuring tangible outcomes. The end-users survey performed during May 2012

provides qualitative indicators that the populations have perception, expectations and

aspirations in line with what improved access to electricity could satisfy. The aspects of

security, better education for children thanks to lighting, better comfort and possible

opportunities for initiating new productive activities are amongst those cited by the

interviewees. During the survey, the sentence pronounced by an household keeper

stating that “ electricity gives me the feeling of resurrecting “ is self explanatory.

e. Sustainability There is few doubts that the positive effects and results describe above will vanish after

the programme is achieved. On the contrary, the project had a trigger effect, with other

donors providing support to other sub-components of the electricity sector (like described

in the part of the report relating to other donors interventions) and specifically assisting

LEC in recovering an acceptable standard of operation. This however implies that for the

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Final Report – August 2012 83

future, a particular vigilance on the progress of LEC towards better financial and

operational achievements will be required. The ability for LEC to pursue its successful

reorganization is a key parameter for assuring that the results and outcomes under the

project are sustainable.

In addition to the 5 standard criterions, there are two additional aspects which are worth to be

commented as follows:

f. Coherence The project, on the part of the grid rehabilitation works is coherent as it did not contradict

other interventions by other donors. On the contrary, by having assumed a leading role in

the electricity sector in Liberia during the first years after the end of conflicts and wars,

the EU impulsed other’s actions within a logic of complementarities. This coordinated

approach, which deserves to be pursued and improved allowed other donors to support

and initiate programmes and projects beyond the sole perimeter of the capital Monrovia:

rural electrification, renewable energy, bio-mass management, off grid small power

plants, consumption management programmes, national and regional interconnections

are examples illustrating the on going activities in the electricity/energy sector at the

country scale.

g. Consistency Last but not least, in addition to the usual evaluation criterions, the aspect of consistency of the project deserves to be underlined. Positive spill-over on other economic, social or environmental policy areas are qualitatively perceived through the results of the end-users survey.

Evaluation synthesis table on next page

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Evaluation illustrated synthesis

In order to illustrate the results of the evaluation, the following table is built by allocating a mark for

each evaluation criteria according to the following legend.

Table 18: Evaluation synthesis

The illustration above shows that globally, the Monrovia Electricity Grid Rehabilitation project has

satisfied the majority of targeted objectives and standard evaluation criterions.

A: Excellent B: Good C: Satisfactory D: Poor E:

Unacceptable

Monrovia Grid Rehabilitation

Project

(Institutional Aspects Excluded)

Reintegration for returnees and displaced

people and Post conflict rehabilitation and

capacity building programmes

Criterion Marking Remarks Marking Remarks

Relevance B

Supporting factors: Project is a response to a critical and emergency situation

C

Marking under the ROM performed in

2010

Efficiency B

Supporting factors: High standard of construction. Contract at cost reflecting market risk patterns Appropriate and proven technologies.

B

Effectiveness B

Supporting Factors: HT and MV equipment in operation Deterrent factors: Connections to customers through LV equipment came at the end of the project

C

Impacts C

Deterrent factor: Connections to customers were not included at the beginning of the project

C

Sustainability A

Supporting factors: High

standard of construction. Appropriate technologies.

B

Coherence A

Supporting factors:

Leading role of EU. Coordination with other donors. Complementarities of programmes

NA

Consistency B

Supporting factors: End-users survey shows that the project satisfies the expectations and aspirations of population in various domains

NA

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Final Report – August 2012 85

10 RECOMMENDATIONS

10.1 APPROACH TO RECOMMENDATIONS

The recommendations detailed below are based on the activities conducted during the evaluation

mission, the documents and data collected and the interviews and meetings held with the various

parties intervening in the Liberia electricity sector development. They are also backed-up by the

results and findings of the end-user survey which had the twofold purpose of measuring the direct

impacts of EU interventions on the beneficiaries as well as allowing to assess the validity and

realism of projections made concerning the future trends in the electricity consumption in Liberia

(mostly the Monrovia area and through the interconnections which are planned in the near future)

and the corresponding needs in terms of generation capacities and overall development of the

electric system.

Recommendations are built in the light of observations made during the mission as well as detailed

analysis of data and information and various computations performed in order either to assess the

validity of some assumptions or to found the own opinions of the evaluation team. The

recommendations and the suggested actions are part of a dynamic process to be unrolled during the

next coming years. As a consequence, the recommendations specifically take into account the

current situation of the electricity sector in Liberia, the status and development plans of the national

utility - Liberia Electricity Corporation -, the involvements of other donors interventions through their

announced operations in the sub-sectors of generation, distribution and access identified for

satisfying the needs up to the year 2015. Finally, recommendations are considering the place that

the hydropower potential can or must take within the most adequate future mix of sources which

could improve the electrical autonomy of the country and reduce its expenses for the procurement of

fossil fuels on the international market.

One observation which is overarching the approach to recommendations is that for the next coming

years, the involvements and commitments of donors from the international community will satisfy the

needs in terms of generation, transportation and distribution/connections resulting from the expected

growth rates of the demand. This statement is backed-up by the analysis of the assumptions and the

various scenarios outlined by various parties for assessing the future demand. In other words, the

sector is “crowded” enough by financing partners for covering the development of the electricity

sector and for satisfying the demand up to 2020. After this date, new projects in the fields of

generation, transport and distribution will require additional support by donors.

10.2 CURRENT SITUATION OF THE ELECTRICITY SECTOR

10.2.1 Other Donors interventions and programmes

The evaluation team held several meetings with the donors (bilateral and multilateral) identified as

active in the sector of electricity. Nevertheless, some of them have no representation office in

Monrovia or have not focused on this sector either as a result of donors’ coordination aiming at

avoiding redundant interventions or have not retained Liberia as a country of concentration for their

aid.

The description of donors’ interventions below only refers to the electricity sector though they may

be active and strongly involved in Liberia in other domains.

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The description of, past, current and future interventions reflects the situation and the accuracy of

information available at the date of April – May 2012. The calendar for the actual implementation of

new projects, specifically in the field of new generation capacities must be considered as tentative

and subject to further changes as a result of different constraints embedded in the respective

donors’ agendas and procedures. Nevertheless the prospects for the next five years (up to 2017)

can be considered valid and reliable for assessing the situation of the Liberia Electricity sector at the

same term.

The World Bank Group

The World Bank portfolio at the end of 2010 consisted of 12 projects totalling $226 million in

commitments. Disbursement was at $101 million or 46 percent, with a disbursement ratio in fiscal

year 2010 of 20%. The average project age is 2 years. Six projects are in their final year of

implementation and 2 projects are in their first year of implementation. The sectorial distribution is as

follows: Infrastructure at $164.4 million (primarily transport); Social Protection at $26.3 million,

economic and public sector governance capacity building at $19 million; Agriculture at $7 million;

and Health at $8.5 million. Projects were rated as satisfactory or moderately satisfactory on

development objective and implementation progress in 2009, with ratings for procurement and

financial management generally lagging behind. Main challenges were: (i) projects were prepared

rapidly without appropriate capacity pre-building and; (ii) project staff lack familiarity with Bank

fiduciary policies and procedures. The World Bank proposed to provide more in-depth training on

fiduciary issues as well as increase Bank staff capacity to support project procurement on an on-

going basis, by placing full-time procurement staff in-country.

In the specific sector segment relating to access to electricity (in the Monrovia area) the World Bank,

on December 2011, acting as administrator for the Global Partnership on Output-Based Aid

(GPOBA), has approved a grant of US$10 million to connect about 80,000 people (equivalent to

approx. 17’000 households) to Monrovia’s electricity grid, raising the electricity access rate in

Liberia’s capital from 0.6 percent to 8 percent. GPOBA funding will supplement capital allocations

from various donors to install connections, initially targeting 21 priority low-income neighbourhoods.

The scheme will be implemented by the Liberia Electricity Corporation (LEC). The project will help

make access to electricity more affordable by subsidizing the cost of connection and more inclusive

by explicitly targeting the poor. GPOBA will pay LEC a capital subsidy of US$ 595 for each

connection installed (reminder: Current connection cost for LEC is approx. US$ 1’000). The

connections made through the output-based aid (OBA) scheme will increase LEC customer base

and secure resources for further investments in access programs.

Also, the utility will be able to speed up its goal to reduce tariffs and subsequently energy

expenditure for Liberian households. In its plans, strategy and projections, LEC estimates that for

every 10,000 new customers it acquires, tariffs will reduce by US$0.03-0.04. Ultimately, the savings

made by households will help make more spending available for other commodities and education

thus achieving the objective of improving the living conditions of the population and opening

opportunities for re-allocation of the saved resources to productive activities or other socio-economic

improvements like better access to health and education services and reduction of gender

inequalities. LEC will receive the subsidy payment in two phases and in accordance with the OBA

approach, only after independent verification of household connections. 80 percent will be paid after

a connection in a priority neighbourhood is made and verified; and the remaining 20 percent will be

paid upon verification of proof of three months satisfactory service delivery to target households. The

GPOBA project is part of the Liberia Electricity System Enhancement Project (LESEP). The scheme

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will be financed jointly by GPOBA (US$10 million), the Government of Norway (US$5.8 million), and

user contributions (US$0.8 million). As a reminder, LESEP is funded through a US$29 million grant

from the Government of Norway, a US$10 million IDA credit from the World Bank and US$2 million

grant from the World Bank’s Africa Renewable Energy Access (AFREA) program. The World Bank

will also continue through LESEP to support the five-year management contract signed in July 2010

with Manitoba Hydro International (MHI).

In the field of regional interconnection potentially bringing additional power to the Liberian grid, the

WB is also participating Cote d’Ivoire, Liberia, Sierra Leone and Guinea (CLSG) Interconnection

Project implemented by the WAPP. During the preparation phase of the project, the WB provided a

Project Preparation Advance of US$1.95 million to support among others, the establishment of the

Special Purpose Company (SPC) which was a necessary prerequisite for the proper structuring of

such an multinational project. The WB (IDA) will then participate in the funding of the project

implementation with US$ 136.63 million.

KfW

The only potential intervention identified under KfW (Kreditanstalt für Wiederaufbau - German

Financial Cooperation) refers to a pledge to participate to the Mount Coffee Rehabilitation project

(Phase 1) with a grant of US$ 25 million, officially announced to the Ministry of Lands, Mines and

Energy on 09 December 2011.

KfW also supported the Pre-investment studies fully funded by EU-Africa Infrastructure Trust Fund

through EIB (1.55 Million) for the Cote d’Ivoire, Liberia, Sierra Leone and Guinea (CLSG)

Interconnection Project implemented by the WAPP. KfW will then participate to the CLSG project

with US$ 43.43 million of grant to Liberia.

Norway

The Norwegian Government focused its support to Liberia’s energy sector early in 2007 through

funding to the Emergency Power Program (EPP) II. The cooperation was expanded in 2010 when

Norway entered into 4 cooperation agreements related to electricity generation, distribution and

transmission, energy planning and institutional development. Around NOK 50 million were donated

for procuring and installing 7 MW of diesel generators and a small grid for distributing the power. In

2010 Norway entered into the following cooperation agreements with the Liberian Government

(GOL).

Table 19: Norway funded projects

Project Objective Cost

NOK

Million

Time Frame

Project Gaps Financial support to LEC to procure and install 3

MW new capacity and expand the distribution

network in Monrovia

81.9 2010 – 11

LEC

management

Rebuild LEC and strengthen electricity services in

Monrovia through a 5 year management contract

with Manitoba Hydro International

86 2010 – 15

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(MHI) as LEC Operator

Investment

funding

Financing of the annual investments plans of LEC

(LEC Operator) to reach the goal of 33,000 new

connections by 2015

203 2010 – 15

Institutional

cooperation

Strengthening of Ministry of Lands, Mines and

Energy (MLME) through an institutional cooperation

with Norwegian Water Resources

and Energy Directorate (NVE).

51.4 2010 – 15

In addition, Norway has announced that a grant for US$ 70 million will be made available for the

rehabilitation of the Mount Coffee hydropower plant.

JICA

The Japan International Cooperation Agency activities in Liberia can be traced from 2007. They

were managed from their office in Ghana until the opening of a Field Office within the premises of

the UNCHR building in Monrovia . . They were concentrated on the medical/health sector and the

restoration of urban facilities through various initiatives. As far as the energy/electricity sector is

concerned, JICA announced the launching of Basic Study for Rehabilitation of Monrovia Power

System. In the framework of this study, JICA will implement a basic study to see the possibility to

implement the Rehabilitation Project of Monrovia Power System which would cover the addition of a

2x5MW Heavy Fuel Oil Operated Diesel Engine Plant at LEC Bushrod main generation facilities.

The project would also comprise equipment for a substation, MV/LV transformers, and equipment for

HV line extension.

JICA conducted a survey mission at the beginning of 2012 for identification purposes and

discussions with LEC and the Government. The corresponding amount of financing is not yet

available but a budget of US $ 30 million is articulated. The time frame for implementation can be

anticipated at the 2013 horizon depending on the procedures for completing the transaction.

Government of Japan Cabinet approval is expected in October 2012. JICA continues to have a

strong concern about the completion of the off-loading and storage facilities for HFO at the Bushrod

premises for assuring the fuel supply of the projected plant. Bidding documents for rehabilitation of

the HFO storage infrastructure at Bushrod Island are being finalized under funding from the World

Bank, and bidding process for conduct of an ESIA for these facilities is underway.

African Development Bank

The African Development Bank operations in Liberia are guided by the Liberia Joint African

Development Bank/World Bank Assistance Strategy 2008-2011 (JAS) and Eligibility to the Fragile

States Facility approved in December 2008. The overarching aim of the JAS is to support Liberia’s

transition from post conflict recovery to long-term development. The strategy was articulated around

the following two pillars: Pillar I “Rebuilding core state functions and institutions” and Pillar II “Jump-

starting and facilitating pro-poor economic growth”. The JAS was designed to support Liberia’s first

full Poverty Reduction Strategy (PRS) April 2008 - June 2011, which is built around four pillars: (i)

Peace and Security, (ii) Economic Revitalization, (iii) Governance and Rule of Law, and (iv)

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Infrastructure and Basic Services, with gender equity, peace-building, environmental sustainability,

HIV/AIDS, children and youth, and Monitoring & Evaluation (M&E) cross-cutting themes.

Bank assistance under the JAS was framed in terms of two pillars: (i) Rebuilding core state functions

and institutions; and (ii) Jump-starting and facilitating pro-poor economic growth. The second pillar

encompasses improved access to key infrastructure services, improved agricultural and natural

resource management in a way that generates pro-poor growth; and improved business and

investment climate.

At the time of the last portfolio review performed by the bank in early 2011 there were ten (10) on-

going projects at different stages of implementation with a total approved amount of UA 68.33 million

(Approx. US $ 106.7 million). The following table provides the projects list by sector. Altogether, the

Water & Sanitation sector (Infrastructure) accounted for 48%, Social Sector 23%, Agriculture (and

Emergency)19%, Private Sector 6% and Multi-sector 5%.

Table 20: AFDB projects by sector

The electricity sector was not

covered. As a result of debt relief

and the improvement of its debt

indicators from high to low risk of

debt distress, Liberia now

qualifies for 100% ADF (Africa

Development Fund) loans.

Liberia’s indicative performance-

based allocation under ADF 12 is

UA 36.75 million. Proposed FSF

(Fragile State Facility)

supplemental support is UA 52.43

million and available FSF targeted support amounts to UA 4.7 million. Indicative total resources

available are therefore UA 94 million (US $ equivalent 146.8 million) for the period 2011-2012. Under

these earmarked resources, since 2011, the Bank (with other donors - see detailed herein) has

actively engaged in the Cote d’Ivoire, Liberia, Sierra Leone And Guinea (CLSG) Interconnection

Project implemented by the WAPP West African Power Pool. The total cost of the project is

estimated at US $ 493.92 million with the breakdown per donor and beneficiary country as follows:

Table 21: Funding of CLSG interconnexion project

Sectors Project title

Water &Sanitation

Monrovia (Watsan) & 3 Counties Liberia Water Sector Reform Urban Water Supply & Sanitation Project Monrovia Water Supply Rehab (DFID)

Social Labour-Based Public Works Project

Agriculture Agricultural Sector Rehab. Project (ASREP) Emergency Assistance (caterpillar infestation)

Private Sector

Access Bank Liberia (Technical Assistant) Liberia Bank for Development & Investment

Multi-sector Institutional Support Project (ISP)

Donor Amount in US $ Million Beneficiary country

AfDB 190.30 Liberia: 34.38 Ivory Coast 51.76 Sierra Leone 41.44 Guinea 62.72

World Bank 136.63 Liberia

EIB 105.47 Sierra Leone

KfW 43.43 Liberia

Contribution by Countries Governments 18.07 4 beneficiary countries

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USAID

USAID is active in Liberia since decades. Its involvement in the electricity sector started with the

advent of peace in late 2003. USAID sought to support the comprehensive peace agreement with

the objective to transition from emergency assistance to reintegration/recovery and democratization

programs. In the electricity/energy sector, this assistance was developed through 3 operations:

The Emergency Power Program (EPP). The aim was the reestablishment of electricity services

and streetlights to portions of Monrovia. USAID was a participant to this GOL and multi-donor effort.

In 2009, USAID shifted its emphasis from response to emergency conditions to sustainable

development. USAID programs was concentrated on establishing a stable democracy, changing the

culture of impunity, systematic corruption and poor governance, closing severe gaps in access to

quality education and health care, expanding economic opportunity through agricultural enterprise

and natural resources management, and helping to rebuild essential infrastructure and sources of

renewable energy.

The Liberia Energy Assistance Program (LEAP). In 2006, the USAID began helping the post-war

Government create a national energy policy, including a strategy to reach the most underserved. In

two years, LEAP showed the benefits of low maintenance solar technologies at 19 sites in schools,

clinics, small businesses, and public buildings supported by other USAID programs.

The Liberia Energy Sector Support Program (LESSP) to be implemented from September 27,

2010 to September 26, 2014. The corresponding budget is US $ 18.962 Million. LESSP’s primary

goal is to increase access to sustainable, affordable clean energy and electricity for rural and urban

communities and commercial operations in Liberia. The scope of work is a mix of institutional

support and specific electricity generation pilot projects as well as support for increasing the number

of connected customers in urban as well in rural areas. The ultimate objective is to benefit the

citizens of Liberia through strengthened economic development and improved access to social

services, resulting from access to electricity.

Key components of the LESSP are:

Strengthening the capacity of the Ministry of Lands, Mines and Energy (MLME);

Supporting the Rural Renewable Energy Agency (RREA) with technical and management

training;

Strengthening the management capacity of the Liberia Electricity Corporation (LEC);

Improving the enabling environment for private sector participation and investments;

Promoting clean energy development in Liberia with four pilot hydropower and biomass

electric power projects;

Supporting energy regulatory, policy and legislative changes that will improve the private

investment climate in Liberia for clean and renewable energy development;

Strengthening the capabilities of local government, civil society and the private sector in

managing, operating, monitoring and regulating renewable energy projects;

Increasing Liberia Electric Corporation’s (LEC) customer base from about 1’500 to about

2’500 within year one of the program and at an accelerated rate thereafter;

At the current date (April – May 2012) the on-going activities of the USAID programs are reflected in

the monthly report issued in April 2012. They are classified according to 3 objectives:

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Objective 1: Strengthen the GoL’s Capacity to Implement Plans for Rural Electrification as

Expressed in the National Energy Policy. The objective will be achieved through the implementation

of capacity building (training and courses) and institutional support activities. The Energy Law

Review and draft ERB (electricity Regulatory Board) Action Plan have been circulated for comment.

An expert is re-examining the energy law review and draft ERB Action Plan for comment.

Objective 2: Establish Commercially-Viable Pilot Plants that Provide Renewable Energy Services to

Population Centers in Bong, Lofa and Nimba Counties. The objective is currently materialized

through the implementation of Hydropower Pilot Projects. The preparation of RFPs for transmission

and distribution line equipment and electro-mechanical and hydro-mechanical equipment for

Wayavah Falls Micro Hydropower Project is in progress. Additional surveys along the penstock

alignment on the Mein River and Weave Falls sites were carried out and some changes in the

project layout are being made. Based on this the detailed engineering design and drawings for Mein

River project will begin soon. Flow measurements of the Mein River and Wayavah Falls continued

on a regular basis including gauge readings downstream of the lower Kpatawee Falls. The Sorlumba

Community Electric Cooperative Society has been formally incorporated. The RFP for the

importation of the SVO (Straight Vegetable Oil) generator has been finalized and the two RFPs for

civil and electrical works are being prepared. Concerning the Cocopa biomass projects, issues

relating to the continuity of the concession may delay the possibility to develop the project in the

immediate future.

Objective 3: Collaborate with International Donors for the Expansion of Monrovia’s Power

Distribution Network. This activity is currently on hold as requested by USAID. According to USAID,

orientations will be given in September 2012, following the USAID mid-term LESSP project review

which is planned for July/August 2012.

Other prospective projects

It is also worth to quote other prospective projects which may be materialized in Liberia.

Arcelor Mittal needs a 450 MW capacity for processing the iron ores from its concession. The

project has remained at a status quo since 2008, corresponding to the worldwide crisis and he

declining demand for steel in China and other growing economies. The ArcelorMittal decision to

pursue this project and the possible timeframe is not known.

Another project supported by Buchanan Renewable Power Inc. (BRP) could provide 36 MW of

capacity with a rubber wood chips fuelled plant. The US Overseas Private Investment Corporation

(OPIC) has approved a loan of up to US$112 million for the project with the remaining amount

funded by equity. However, the negotiations for the agreements are complex and protracted. To

minimize risk, BRP reportedly demanded a "lockbox" arrangement in the Power Purchase

Agreement (PPA) under which revenues earned by the LEC are paid directly into an escrow account

from which BRP is paid first. Attorneys and advisors to the GOL are concerned the arrangement with

the proposed stringent “security package” would discourage other potential investors in the power

sector. The GOL is also concerned by the "affordability" of the power compared to long-term

hydroelectric power. As a consequence, there are strong uncertainties concerning the

materialization of this project in the near future.

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92 Contract 2012/284032

10.2.2 Synthesis of donors interventions in the electricity sector

The following table illustrates the compilation of information relating to the various interventions,

initiatives, projects and programmes announced by the various donors present in Liberia. For the

purpose of assessing the future structure of the national electrical system, only the projects

comprising physical works in the sub-sector of generation, distribution and access are listed, keeping

in mind that the same group of donors is also implementing support on the institutional, legal,

regulatory and capacity building aspects.

Table 22: Synthesis of donor interventions in the electricity sector

Name Project

Description

Sub-sector Units Capacity Location Cost

(US$m)

Financiers Status

Liberia

Electricity

System

Enhancement

project

(LESEP)

Expansion of

Monrovia’s

distribution

network;

Rehabilitation of

HFO

storage/offloading

facilities;

Generation

overhaul;

Capacity building

of LEC

Distribution

Generation

Urban

households

33'000 Monrovia 48 NORAD,

GPOBA, IDA

On-going

Liberia

Electricity

System

Enhancement

project

(LESEP)

Establishment of

Rural and

Renewable

Energy Agency.

Provision of

micro-hydro, solar

energy to off-grid

users

Rural

Electrification

Rural

households

9'000 Lofa, Bong 3 AFREA TF On-going

Rural Energy

Master Plan

and SSMP

Development of

Liberia's rural

energy master

plan; Pilot rural

SSMP

Rural

Electrification

Rural

households

4'000 Lofa 2 EU Funding

secured

Cross Border

Rural

Electrification

Cross Border

Rural

Communities

Electrification

project (Côte

d'Ivoire - Liberia)

Rural

Electrification

Population 130'000

(25’000

househol

ds)

Nimba,

Grand

Ghede and

Maryland

counties

11.7 WAPP(50%)

EU (50%)

Funding

secured

Buchanan

Renewable

Energy

Biomass energy

plant using rubber

wood chips

Generation MW 31 - 35 Kakata 170 BR, OPIC,

Mr.McBain

Planned

The Liberia

Energy Sector

Support

Program

(LESSP)

Four pilots to

create micro-grids

in rural areas

based on biomass

and hydro sources

Rural

Electrification

Rural

households

Lofa, Bong,

Nimba

6 USAID Funding

secured

Diesel

Generators

Additional Generation MW 3 Bushrod 2 NORAD Complete

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Final Report – August 2012 93

Name Project

Description

Sub-sector Units Capacity Location Cost

(US$m)

Financiers Status

generators for

Monrovia

(Monrovia)

Diesel

Generators

Additional

generators for

Monrovia

Generation MW 10 Bushrod

(Monrovia)

6 USAID Complete

HFO-fired

generation

plant

Additional

generators for

Monrovia

Generation MW 10 - 20 Bushrod

(Monrovia)

15-30 JICA Planned

WAPP CLSG Cote d'Ivoire,

Liberia, Sierra

Leone, Guinea

(CLSG) Weat

Africa Power Pool

(WAPP)

interconnection

and sub-stations

Transmission Kms

MW

510

100

Through

interconn

ection

Yekepa -

Buchanan -

Mt. Coffee -

Monrovia-

Foya

494 EIB, EU, IDA,

KfW

Funding

secured

Mt. Coffee HEP Rehabilitation of

pre-war hydro-

electric plant of

Mount Coffee

Generation MW 64 St John

River

162 Norway, KfW,

EIB, (AfDB,

WB)

Funding

Pledges

received

Foya River

HEP

New hydro-

electric plant

Generation MW 50 Foya River

(border

Liberia/

Sierra

Leone)

143 Funding

unsecured

St. Paul River

HEP1B and 2

New hydro-

electric plants

Generation MW 198 St Paul

River

879 Funding

unsecured

Even if this provides a relatively realistic picture of what will be the situation after 3 to 4 years from to

date (May 2012), the actual materialization of targets will closely depends on 4 factors:

1. Political and socio-economic stability and consolidation of progress achieved to date in

Liberia in the sectors of governance and re-enforcement of the institutional framework.

2. Economic growth to continue resulting in an increasing number of potential customers

(demand) willing to access, pay and use electrical energy of good quality and at affordable

price.

3. Respect of funding commitments from donors and proper arrangements for minimizing

delays and administrative constraints in the various stages of the projects implementation.

(Timely readiness of reports, realistic dates of their respective Boards acceptance, well and

timely monitored procurement process, regular Monitoring and Evaluation activities, proper

support with Technical Assistance and capacity building programme).

4. LEC as the only entity to implement and finally operate the projects is the key player for the

success of all contemplated projects. Therefore LEC needs a drastic reinforcement of its

capacities (human resources, tools and equipment, organization and management tools)

together with capacity building and training program in order to leverage the full added-value

of the current Management Contract. It is paramount that LEC can consolidate the relatively

sound status that it has achieved to date, specifically on the aspect of prudent financial

management.

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94 Contract 2012/284032

The following table is a visual illustration of the planned interventions by donors in the sub- sectors

of Generation, Transport and Distribution, Connections, Rural Electrification and private IPP’s for the

coming years. It shows that there is a concentration of activities for the period 2012 – 2020 in all the

sub-sectors. By cross checking with the demand projections, the economic growth forecasts as well

as the capacities of LEC to implement plans at an appropriate pace, it can be concluded that the

planed projects will meet the needs. This opens the door for opportunities to initiate approaches for

the next period (2020 – 2025) and to prepare the ground for projects and developments specifically

oriented towards more environmentally friendly technologies and the utilization of domestic or

regional natural renewable resources like hydropower.

Figure 12: Planned interventions of donors in the electricity sector

10.2.3 Demand projections

To be able to formulate proper recommendations, it is necessary to conduct an appraisal of the

future environment of the sector and specifically to evaluate the future needs. A detailed analysis of

various documents reporting on many possible scenarios was performed. The most recent report

(2011) on the subject was issued by the World Bank and AFTEG in the report titled: Options for

the Development of Liberia’s Energy Sector.

The table below illustrates the two scenarios which were considered for computing the future

demand up to 2040.

Generation Transport Distribution Connections Rural Electrification Private IPP’s

(Generation)

Time Line (Years)

2008 2010 2012 2015 2020 2025

EU (Monrovia Grid Rehab

project)

EU (Monrovia Grid Rehab

project)

Arcelor Mittal

450 MW

Rubber Wood Plant

36 MW

EU (1'400 units)

EU (Cross Border

project)

USAID (Small IPP’s)

WB (GOBPA) 16'000 Units

CLSG Multidonors (WB, AfDB, BEI,

KfW)

Mount Coffee Rehab.

(Norway, KfW) 64 MW

JICA HFO Plant

10MW MW

LEC Plans

Multi donor ( 5 – 10

MW )

Other Miners (200 MW)

MW from CLSG

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Final Report – August 2012 95

Table 23: Scenarios for future demand up to 2040

Scenario 2010 2015 2020 2030 2040 Scenario 2010 2015 2020 2030 2040

Slow Growth High Growth

MW MW

Monrovia

Grid 18.66 34.30 41.98 63.15 127.28 Monrovia Grid 19.66 54.50 75.58 149.99 417.78

Other On-

Grid 0.37 1.70 2.51 5.00 9.54 Other On-Grid 0.44 3.97 5.09 12.06 28.60

Urban and

rural Off-Grid 0.98 4.84 7.26 14.61 27.62

Urban and

rural Off-Grid 1.19 10.07 13.18 30.63 70.65

Non

Monrovia

Industrial:

Off-Grid

16.50 71.00 191.00 324.00 443.47 Non Monrovia

Industrial: Off-

Grid

16.50 121.00 341.00 574.00 770.47

Non

Monrovia

Industrial:

Potential On-

Grid

0.00 0.00 59.00 91.00 132.12

Non Monrovia

Industrial:

Potential On-

Grid

0.00 50.00 109.00 216.00 232.12

Total On-Grid 19.03 36.00 103.49 159.15 268.94 Total On-Grid 20.10 108.47 189.67 378.05 678.50

Total Off-Grid 17.48 75.84 198.26 338.61 471.09 Total Off-Grid 17.69 131.07 354.18 604.63 841.12

Grand Total 36.51 111.84 301.75 497.76 740.03 Grand Total 37.79 239.54 543.85 982.68 1'519.62

GWH GWH

Monrovia

Grid 117.46 216.80 268.70 553.18 1'114.95 Monrovia Grid 123.59 340.75 474.74 1'313.94 3'659.73

Other On-

Grid 2.98 14.46 21.51 43.29 82.99 Other On-Grid 3.89 34.82 44.56 105.64 250.53

Urban and

rural Off-Grid 8.62 42.42 63.62 128.02 241.91

Urban and

rural Off-Grid 10.44 88.22 115.50 268.31 618.88

Non

Monrovia

Industrial:

Off-Grid

101.18 435.37 1'171.21 1'986.77 2'719.38 Non Monrovia

Industrial: Off-

Grid

101.18 741.97 2'091.01 3'519.77 4'724.54

Non

Monrovia

Industrial:

Potential On-

Grid

0.00 0.00 361.79 558.01 810.15

Non Monrovia

Industrial:

Potential On-

Grid

0.00 306.60 668.39 1'324.51 1'423.35

Total On-Grid 120.44 231.26 652.00 1'154.48 2'008.09 Total On-Grid 127.48 682.17 1'187.69 2'744.09 5'333.61

Total Off-Grid 109.80 477.79 1'234.83 2'114.79 2'961.29 Total Off-Grid 111.62 830.19 2'206.51 3'788.08 5'343.42

Grand Total 230.24 709.05 1'886.83 3'269.27 4'969.38 Grand Total 239.10 1'512.36 3'394.20 6'532.17 10'677.03

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96 Contract 2012/284032

The graphic representation shows the evolution of the demand (Power and Energy) for the Low and

High growth scenarios.

Figure 13: Evolution of electricity demand : low and high growth scenarios

The following table illustrates the demand projections performed by various institutions and

consultants (Considering the On-grid generation only).

Table 24: Demand projections from various institutions and consultants

Years

MW 2005 2006 2007 2008 2009 2010 2011 2012 2013 2015 2020 2025 2030 2035 2040

Manitoba/WB (2005) 10 15 40 48 57 69 72 76 80

AETS/EU (2005) 21.5 25.9 31.1 37.3 44.8 53.8 64.6 77.5

COWI/IFC (2007) 34.8 38 51 102 124 153 191

Stanley Consultants/USTDA (2008) 69

LEC (2009) 38.2

World Bank Slow Growth (2011) 19 36 103.5 159.2 268.9

World Bank High Growth (2011) 20.1 108 190 378.1 678.5

Current situation 9

When plotted, the data provide the following graphs.

Demand Forcast (Energy) 2010 - 2040

4'969.38

3'269.27

1'886.83

709.05230.24

10'677.03

6'532.17

3'394.20

1'512.36

239.10

0

3'000

6'000

9'000

2010 2015 2020 2030 2040

Years

GW

h

GWh Low

Growth

GWH High

Growth

Demand Forcast (Capacity) 2010 - 2040

497.76

740.03

301.75111.8436.51

1'519.62

982.68

543.85

37.79239.54

0

400

800

1'200

1'600

2010 2015 2020 2030 2040

Years

MW

M W Low Growth

M W High Growth

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Final Report – August 2012 97

Figure 14: Graph of demand projections

Over the period 2005 - 2040, the dispersion of projections is very wide, with quite diverging figures at

the 2040 term.

When focusing on the 2005 – 2015 in the graph below (plotted with logarithmic function) the cloud of

data displays a relatively coherent picture placing the demand within the range of 40 to 80 MW for

the years 2013 – 2014. Nevertheless, the actual installed capacity (on the LEC grid) is only less than

10 MW, far below the projections. If the IPP’s and the “self supplied” customers currently off grid in

Monrovia are taken into account as immediate demand (they are “consumed” by their direct

customers), the current capacity within the city limits can be assessed in the tune of 20 -25 MW.

Figure 15: Graph of demand projections (log)

LEC estimates in the Electricity Master Plan prepared in 2011 that a base case scenario forecasts a

peak demand of about 48 MW in June 2015. (Note: The above graphed data are relating to the On-

Grid system therefore not including capacities which may be installed in other off- grid (LEC)

locations in the country)

Demand Projections (MW)

Current situation

0

100

200

300

400

500

600

700

800

2000 2010 2020 2030 2040 2050

Years

MW

Manitoba/WB (2005)

AETS/EU (2005)

COWI/IFC (2007)

Stanley Consultants/USTDA

(2008)

LEC (2009)

World Bank Slow Growth

(2011)

World Bank High Growth

(2011)

Current situation

Demand Projections (MW)

Current situation

0

20

40

60

80

100

120

2000 2005 2010 2015 2020

Years

MW

Manitoba/WB (2005)

AETS/EU (2005)

COWI/IFC (2007)

Stanley Consultants/USTDA

(2008)

LEC (2009)

World Bank Slow Growth

(2011)

World Bank High Growth

(2011)

Current situation

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98 Contract 2012/284032

10.3 OPTIONS FOR FUTURE POWER GENERATION

At short term (until 2015 – 2017) generation capacities allowing to respond to the demand/load

resulting from the new connections (planned to reach 30’000 in Monrovia in 2014 and an equivalent

number in off-LEC grid rural areas) would be mainly thermal plants and the possible supply through

the CLSG interconnection project and the Ivory Coast – Liberia Cross Border project, both

implemented under the WAPP. IPP’s essentially running with diesel generators will also continue to

provide electricity to customers not-yet hooked to the national grid. IPP’s are however an

intermediate solution, which had justification during the period when emergency actions were the

privileged alternatives until the national utility can resume its activities. IPP’s should be gradually

decommissioned when reaching their lifespan as long as access to the national grid for more

affordable electricity of better quality (services and reliability) is increased.

On the longer term, given the uncertainties on the trend of fossil fuel costs (oil barrel WTI at US

$104.68 at the date of April 27th, 2012) for the future, but reasonably assuming that they will

continue to increase, it will be legitimate and wise to consider other sources of energy, preferably of

renewable and more environmentally friendly nature, to achieve a better balanced mix of future

generation capacities in Liberia.

10.4 THE HYDROPOWER POTENTIAL IN LIBERIA

10.4.1 General

Downstream of the Futa Djalon region, called the Water Reservoir of Western Africa, Liberia is

endowed with an appreciable hydro potential estimated at 1’000MW of technically and economically

feasible capacity. Apart from small or mini-hydropower plants, historically, the Mount Coffee

hydropower scheme built in the sixties was the only project of significant size. It was however totally

destroyed during the wars. The revamping of its nominal capacity of 64 MW is currently at the top of

the priorities agenda of the Government. The rehabilitation of the Mount Coffee power station and

the possible development of additional hydro capacities in the country are the object of numerous

articles in the local press, which are often of frivolous nature, announcing totally unrealistic figures

and calendars, thus leading to disproportionate expectations from the public.

10.4.2 The Mont Coffee project

Currently (April – May 2012) the Mount Coffee Rehabilitation project is at the stage when various

studies and surveys (Survey of existing civil structures, Dam Safety appraisal, Environmental

Impacts Studies, preparation of Design and corresponding Tender Documents) have been

performed by international consultants under the funding by various donors, the EU being one of

them. Rehabilitating the Mount Coffee Hydropower Plant is part of a bigger plan in Liberia to regain

power stability and financial benefits. The project is to answer to the Liberian people’s urgent

electricity needs and also to produce power to neighbouring countries. The plan is part of the West

African Power Pool (WAPP) CLSG Redevelopment sub programme. The aim is to reach the pre-war

level of the power plant of 64 MW.

To prepare the ground for the Mount Coffee Hydropower Rehabilitation Project, a grant for project

preparation studies was made available by the EU-Africa Infrastructure Trust Fund (ITF allocated a

grant of €1.5 million in April 2010) to the WAPP secretariat on behalf of the Liberia Electricity

Corporation. The studies include an environmental and social impact assessment and resettlement

action plan, a detailed site survey, the preparation of a geotechnical baseline report outline, a dam

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Final Report – August 2012 99

safety study, the preparation of a site survey and a design report. Once the plant is fully

rehabilitated, Liberia could supply power not only for national consumption, but also to its

neighbouring countries. The project could play a major role in post-conflict reconstruction through

boosting trade and the economy and finally fighting poverty.

The scope of the contract was comprehensive enough to define the rehabilitation project up to a

state where it can be tendered on the international market for execution. The phases of the contract

were:

Phase I - Feasibility Study Review and Definition of the Scope of Supply of Plant and Installation

Services by the Contractor

(a) Review of the Feasibility Study

(b) Detailed site survey

(c) Preparation of a Geotechnical Baseline Report Outline

(d) The Dam Safety study

(e) Preparation of a Site Survey and Design Report

(f) Preparation of the “Employer Requirement - Scope of Supply of Plant and Installation Services by

the Contractor” section of the Bidding Documents

Phase II - Presentation of Phase I outcome, Review by Donors and Validation Seminar

(a) Presentation of Phase I outcome to Liberian Actors in Liberia

(b) Review (by LEC, WAPP and Donors)

(c) Phase I Validation Seminar in Liberia or at WAPP headquarters

Phase III - Preparation of Bidding Document

(a) Execution of additional Geotechnical Investigations, if any

(b) Preparation of the draft Functional Bidding Document

(c) Preparation of final Geotechnical Baseline Report

(d) Presentation of the draft Functional Bidding Document to Liberian Actors in Liberia

(e) Review (by LEC, WAPP and Donors)

(f) Preparation of the final Functional Bidding Document

Phase IV - Assistance during Bidding Process

(a) Participation to the pre-bid conference and site visit

(b) Preparation of the replies to request for clarifications

(c) Assistance during Bid Evaluation

(d) Assistance during Contract Negotiation and Award

The estimate of the project cost is in the tune of US$ 190 million. This figure is rather on the high

side for rehabilitating a capacity of 64MW (to possibly 80MW) where existing civil structures can be

salvaged. The explanation is that this is the cost which could be resulting from a tender for a

comprehensive EPC contract. However, parties responsible for the project argue that the actual cost

could be less when the works are tendered in 4 or 5 different “technical” lots, increasing the

competition amongst interested contractors and suppliers.

The financing of the project seems to be secured, most of the important donors having pledged

amounts totalling more than the estimated cost. However, the government seems to retain the

donors with the cheapest cost of finance and transaction. The Norwegians with US $ 70 million, the

KfW with US $ 25 million are the preferred donors. The balance for more than US $ 100 million could

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100 Contract 2012/284032

be mobilized from the Government Budget in yearly allocations matching the needs of the

construction calendar. Providing that such financing arrangements are validated and executed in

2012 and assuming that the tender process is successfully conducted also in 2012, the energizing of

the first unit could be expected at the earliest in 2015.

10.4.3 The Via and St Paul Rivers possible projects

Considering that the Mount Coffee Rehabilitation project is now well on tracks and suitably

supported by international/bilateral donors for coming on line in 2015, the next step is to pay

attention to the harnessing of other hydro potential available on the Liberian territory.

Supporting the development of the hydropower potential of the St Paul River is the appropriate

approach when preparing plans for medium and long terms horizons. This is justified by the long

gestation period needed by hydropower projects for preparing necessary surveys, studies and

technical documents in compliance with the recognized standards and good practices of the

industry. Worth to note the importance of impact appraisal studies to be performed and mitigation

measures properly designed, according to the international practices, which are a highly sensitive

prerequisite for obtaining support from multilateral organizations and the full adherence of the civil

society and NGO’s to the projects.

According to preliminary studies (Stanley Consultants), one of the first actions which could make

sense is the creation of a reservoir on the Via River (a confluent to the St Paul River) upstream of

the Mount Coffee hydropower plant. Such a reservoir regulation effect on the river flow would

drastically increase the dependable capacity of the Mount Coffee power plant which is very low,

given the seasonal regime of the St Paul River. Currently, while delivering nearly its full capacity

during the rain season, the power plant can only deliver less than 10 MW of power during the dry

season. Then by implementing other reservoirs/dams and power plants along the St Paul River an

ultimately fully equipped cascade could assure nearly a yearly average of 2’700 GWh of energy.

The opportunity for creating a reservoir upstream of the Mount Coffee Power plant was already

considered in the appraisals performed by the World Bank in May 1970 when the appraisal report

stated: “The Mt. Coffee hydro-electric scheme, located on the St. Paul River 15 miles northeast of

Monrovia was commissioned in 1967, with two generating units and an ultimate capacity for six. It

was an expensive project requiring an investment of about US$29.1 million or US$855/kW installed

which is a very high figure, but its full utilization depends on the construction of upstream

water storage facilities to augment the flows of the St. Paul River during each year's dry season.”

Through old reports and appraisal documents issued in the seventies, it was possible to collect

general information on the features of the St Paul River basin as they were identified by consultants’

missions in the past. Since then, several years of conflicts and wars have hampered any further on

site investigations and surveys. The information provided below is however a fair illustration of the

characteristics of the river basin.

The total drainage area above Mt. Coffee is about 21’000 km2. The basin is about 64 km wide and

322 km long. The river runs from the plateau region of southern Guinea and flows South-West to the

Atlantic Ocean near Monrovia. The St Paul River is entering Liberia about 225 km from the coast at

about 270 m above sea level, the first 48 km then drop over a series of rapids in relatively narrow

canyons until joined by the Via River on the right hand side. From the Via confluence to Dobli Island

the river flows in relatively narrow and sinuous channels. Minor rapids occur throughout this portion

of the river. Downstream of Dobli Island, the river flows through an hilly area of low relief until at Mt

Coffee, a series of rather sharp rapids drops the river in a short distance to near sea level at White

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Final Report – August 2012 101

Plains, 19 km from the Atlantic Ocean. The rapids in the Mt Coffee area generate a head of nearly

30 high, about 23 m of which have been developed by the Mt Coffee project for generating electric

power.

Other sites were also investigated in view of designing a cascade for harnessing the potential of the

river.

Mecca Dam Site

This site on the St. Paul River is located approximately 38 km up-stream of Mt Coffee and about 65

km from Monrovia. Total possible storage volume is about 567 million cubic meters with a useful

storage of about 370 million cubic meters. A power plant could be constructed at the foot of the dam

and six 17 MW units ultimately installed could produce about 438 GWh per annum of which 275

GWh would be firm. The impact of the Mecca storage on Mt. Coffee would be to increase minimum

flow in the dry season from 450 cu secs to about 2’800 cu secs or in an average year from 2’000 cu

secs to about 4’000 cu secs.(records of 1967)

In addition to the Mecca site two other sites have been investigated: the Gbakrele and Palakole

Dam sites.

Gbalwele Site (Via River). A tributary of the St. Paul River, the Via River above Gbakwele has a

catchment area of about 3’400 km2 and a run-off of about 18% of the St. Paul River at Mt Coffee.

With a useful storage of about 4’070 million cubic meters, the Via flows would have to be cut off

early enough to ensure filling the reservoir. Run-off at Gbakwele is estimated at about 3’207 million

cubic meters for the period mid-May to end of December. No water would be released during this

seven-month period in most years. In the other 5 months water release would be limited to amounts

required to firm up Mt. Coffee. Generation of prime power at Gbakwele does not appear to be

practicable.

Palakole Site. The Tuma Creek, a tributary of the St. Paul, above Palatkole has a catchment area of

about 270 km2. An average annual run-off of about 925 million cubic meters has been estimated.

With a useful storage of about 740 million cubic meters, the Tuma flows would be cut off at about

mid-May or earlier if possible and released to Mt. Coffee to cover peak-shaving requirements.

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102 Contract 2012/284032

10.4.4 The Via Reservoir project

Figure 16: Via reservoir project

The above figure illustrates what could be the possible cascade of dams and power plants which

could be implemented within the St Paul River basin (Courtesy Stanley Consultants presentation

March 2012). It assumes that the maximum possible heads and water volumes are theoretically

exploited. Such a cascade, as per the computations performed by Stanley Consultants would

harness a cumulative head of 216 m, a discharge of 510 m3/s which would generate 2’700 GWh per

year (currently the yearly production by LEC is approximately 40 GWh) with a total installed capacity

of 534 MW of with approximately 419 MW of dependable capacity. This is the ideal theoretical

scheme, combining power plants and reservoirs allowing storage for regulating the rivers’ flows

hence mitigating their seasonal regimes.

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10.5 FINAL RECOMMENDATIONS

The final recommendations, as introduced in the above chapters of the report are based on the

following statements of facts:

i) The future peak demand from the electric system (Monrovia Grid and

interconnections) will realistically range from 40 to 80 MW at the 2017 horizon

and could reach 110 MW, 130 MW and 160 MW at the horizons 2020, 2025 and

2030 respectively. These figures concur with the findings of the evaluation team

and the end-users survey results which show that future demand growth is

closely tight to the transformation of the country economic framework and its

ability to drain investments for fostering industrial development and productive

activities. The demand from domestic customers/population will not constitute the

biggest part of the load even if poverty decreases. A wise and reasonable

assumption is that the required fundamentals for a strong economic take-off are

not fully in place. The mining sector will remain an important but uncertain factor

as it is tight to the worldwide economic situation and if regaining dynamism could

become the trigger for a drastic change of the energy profile of the country.

ii) The model results obtained at the completion of the Liberia Energy Options Study

(WB 2011) indicate that the most economic options for expanding the

interconnected power system at the level of approximately 100MW (the next 8

years) is a mix of hydropower generation composed of the rehabilitation of the

Mt. Coffee hydropower plant, the Saint Paul River development, and possibly the

Mano hydropower project identified in another river basin (belonging to the three

countries: Liberia, Sierra Leone and Guinea), and an addition of thermal power

produced by diesel power generation, HFO, and the WAPP CLSG regional

interconnection line like it appears in the graph below.

Figure 17: World Bank energy mix model up to 2040

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104 Contract 2012/284032

iii) The sector is relatively crowded by the international community of donors for

supporting and financing the contemplated new generation capacities with the

corresponding transport, transmission and distribution components up to 2020.

iv) The end-users survey confirms the willingness of the majority of the Monrovia

population to get connected to the LEC grid. The majority of the users also

confirmed that they are ready to pay for the connection fees and for the quantity

of electricity consumed. This willingness is mainly motivated by the wish to have

electricity of good quality (stability and continuity of supply is dominating) at an

affordable cost compared to the cost of electricity provided either from own

generator or from local IPP’s. These two aspects are those which will feed the

growth of the domestic demand during the next years. However, given the

patterns of the current consumption, the relatively high poverty level of the

population and the other categories of expenses it has to afford (transport is

frequently the main item of household expenditure), the demand growth will

remain modest. The figure of 100MW of installed capacity for the Monrovia Grid

at the horizon of 2020 is therefore realistic.

v) Preparing and designing hydropower schemes require complex and long studies

and surveys, specifically since the river basins of Liberia have not been object of

investigations during the last two decades because of the wars and conflicts.

vi) On the long term, hydropower could generate energy with the lowest levelized

cost compared to other sources like fossil fuels.

10.5.1 Orientation of EU future interventions

The statements above fully motivate the recommendation that the EU, if it decides to pursue its

support to the Liberia electricity sector, should take the lead in the initiative to develop the

hydropower potential of the St Paul River basin. It is recommended that this initiative starts with

the mobilization of funds to conduct and update an appraisal of the hydraulic potential of the

river, an assessment of the environmental patterns of the affected area, a diagnosis of exiting

and historical data in the sectors of hydrology, geology, seismicity and in general all domains

concerned by large hydropower schemes projects.

The next action must comprise additional surveys and studies for the preliminary assessment of

the complete cascade, the estimates of costs, the economic computations and the appraisal of

the cumulative impacts that a complete cascade would generate. With the Via reservoir project

considered the first project to be implemented thanks to its regulation function directly

optimizing the other possible power plants of the cascade, including the Mount Coffee power

station, the critical part of the study would be the final detailed design of the reservoir project

with cost estimates, economic and optimization computations and the set of tender documents

for the construction of the project. All activities and studies at all stages will encompass the five

integrative perspectives: Environmental, Social, Technical, and Economical/Financial.

The outlines of the Terms of Reference for these actions and studies are provided in the next

chapters. To the maximum possible extend, they are integrating and following the guiding

principles of the Hydropower Sustainability Assessment Protocol (IHA) which considers the

whole spectrum of aspects to be taken into account in the successive stages of assessment:

Early Stage, Preparation Stage, Implementation Stage and Operation Stage. The establishment

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of this protocol was co-financed by the EU and other donors The subjects to be assessed under

each stage are listed in the following table.

Table 25: IHA principles

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10.5.2 Pro-poor approach

Targeting poverty reduction obviously calls for approaches where direct impacts on the most

vulnerable population can be achieved quickly. For decades, the aim of development was to

maximise marketable production of goods. Nowadays the emphasis of “pro-poor development” is on

expanding opportunities and strengthening human capacities to lead long, healthy, creative and

fulfilling lives. Development is now about enabling people to have the “capabilities” to do and be the

things that they have reason to value keeping in mind that poverty is defined as the deprivation of

these basic capabilities. In the context of the project raising the question whether it is appropriate to

invest for connecting poor households to the grid or if the funds would have more impacts if they

were used to provide cheaper energy to the users is legitimate. However, there is no straightforward

reply and the complexity of interactions, sometimes antagonistic, amongst numerous parameters

does not allow drawing univocal or absolute conclusions.

In the case of Monrovia, the End-users survey showed that near 90% of interviewed people without

electricity, hence the poorest people, are willing to be connected to the LEC grid, 71% of them also

declaring that they will be in a position to afford the associated costs (connexion fee, wiring and

electricity consumption). The motivation is essentially guided by the expectation to reach a better

level of living standards and comfort with security, protection of the family unity and utilisation of

more modern appliances perceived as the three major improvements by the interviewed population

with respectively 27, 17 and 14%. Access to electricity for improving conditions for children to study

longer in the evening and for adults to seize new business opportunities is also perceived as

valuable plus by the householders.

Given these observations, it can be stated that the funds allocated by donors for the electricity sector

(specifically for the capital Monrovia and for expansion of the LEC grid), together with the

programmes and initiatives supported by various international organizations falls into a context

where complementarities are effective at satisfying the requisites of a pro-poor approach. In other

words, focusing on connecting poor population with for example the support for US $ 10 millions

from the Global Partnership on Output-Based Aid (GPOBA) or deployment of rural

electrification/generation initiatives (USAID, EU Cross border project) is not in contradiction with

expanding the grid for supplying electricity to industries or residential districts where higher income

customers can afford the costs and tariffs. It is also of paramount importance that the customer base

of LEC, the national company, comprises a mix of customers with various buying powers. This will

allow to eventually establish differentiated tariffs of a “pro-poor” type, without endangering the

financial soundness of the corporation. In addition, thanks to the expected “economy of scale effect”

LEC has already computed that by increasing the number of customers and the size of its

generation capacity the tariffs would significantly drop. Despite this is a qualitative estimate - figures

articulated by LEC should be taken with caution -, funding and investing in the electricity sector is

one of the routes to produce and supply cheaper energy to users, including the poorest part of them.

10.5.3 The way forward

Supporting the development of the hydropower sector in Liberia and more specifically the

harnessing of the St Paul River potential through the creation of the Via River reservoir project

must be approached in two phases.

A first phase, comprising a Reconnaissance Study will allow to globally asses the sector and the

potential of the St Paul River cascade with a performance of a diagnosis of what information is

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currently available and what information and data require to be further detailed. At the

completion of this first phase, the Terms of Reference for a next phase study will be finalized.

The second phase will be a comprehensive detailed feasibility study covering all aspects of the

design of an hydropower project culminating with the complete set of tender documents

allowing to secure the financing of the project and to launch an International Competitive

Bidding (ICB) for the construction of the project.

10.5.4 Actions for supporting the Via Reservoir project development

10.5.4.1 Sequence of future actions

First Phase: Reconnaissance Study

It is estimated that this study will take 3 months, requiring 7 man-months of efforts by a team of

experts comprising:

A Team Leader, hydropower and dam specialist;

An Economist for economic and financial computations, specialist in the sector of

infrastructure and energy;

An Environmentalist for socio-environmental impacts appraisals, specialist of

hydropower schemes and river basin management.

The global cost of the Reconnaissance study is estimated at 150’000 Euros.

Second Phase: Detailed Feasibility Study of the Via Reservoir Project

This comprehensive study, with the objective of launching the tenders for the construction of the

project will take 18 months, allowing performing all the necessary surveys and on site

investigations as well as the environmental and socio economic impacts appraisals. It will

require 98 man-months of efforts of various experts of a project team suggested to comprise:

A team leader, hydropower and dam specialist;

A hydropower energy expert;

An hydrologist;

A geologist;

A civil engineer, specialist in dam design and construction;

A hydro-mechanical engineer specialist in hydro-equipment design;

A financial analyst expert in the energy sector;

A socio economist;

An environmentalist.

Various experts for short term assignments in various domains like: Topography,

hydrology and flood computations, seismicity, geotechnical aspects and construction

materials, dam safety monitoring, tender documents and construction contracts.

The global cost of the Detailed Feasibility Study is estimated at 2’000’000 Euros. This figure

does not take into account the possible additional cost for security measures (escort to sites) if

they are required depending on the actual circumstances.

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10.5.4.2 Funding arrangements

The recommended 2 studies are amounting respectively:

150’000 Euros for the Reconnaissance study

2’000’000 Euros for the detailed feasibility study

At their completion, a set of tender documents for the execution of the project through International

Competitive Bidding will be available. It is recommended that in view of the further implementation

phase and in order to continue its support to the development of renewable energy in Liberia the EU

should earmark additional resources under the EDF 11 envelope.

Such resources would ideally amount to 40 to 60 million Euros for contribution to the capital cost of

the project. They may be utilized in various ways (loan interest subsidies, guarantees, investment,

funding TA and construction supervision activities…) the aim being that they can trigger a leveraging

effect for the mobilization of resources from other donors and investors for a project which is worth

several hundred millions dollars (current estimate 220 Millions).

10.5.4.3 Terms of Reference for Pre-studies and Studies

A. Reconnaissance Study

The main objective of the reconnaissance study is to prepare the further stage of a more

comprehensive and detailed study which will ensure that technically, environmentally, socially

and financially viable hydropower developments through the implementation of a cascade of

dams and power plants on the St Paul River may be recommended with a first project relating to

the creation of a reservoir on the Via River. For the specific Via Reservoir project, the

comprehensive and detailed study will be expected to broadly assess the appropriate

investment (size, expected output, initial capital cost, interconnection to the grid, etc.),

operational rules, organizational structures, revenue requirements, government incentives as

appropriate, environmental and social management plans, to assess the economic and social

benefits for Liberia, and to carry out a financial analysis from the operator’s perspective and to

propose measures to manage the various risks.

The ultimate result of the Reconnaissance Study will be to finalize the Terms of Reference

(ToR) for the next study. The ToR suggested in the next chapters are therefore tentative and

indicative and will be fine tuned by the Consultant assigned for the Reconnaissance Study. For

this Reconnaissance Study, the depth of the investigations, designs and estimates shall be

limited to the degree of accuracy required for a clear delineation among the project possible

alternatives considered, enabling the Consultant to make a substantiated recommendation as to

the selected scheme to be retained for the creation of the Via River reservoir project.

For the Reconnaissance Study, the Consultant assignment shall be carried out in three (3)

phases.

Phase I. Overall Assessment.

The Consultant shall conduct an assessment of the St Paul River basin cascade project

(including the Via River Reservoir and the existing/rehabilitated Mount Coffee hydropower

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scheme). The assessment shall be performed in compliance with the Hydropower Sustainability

Assessment Protocol (IHA). The Protocol offers a way of assessing the performance of

hydropower in more than 20 sustainability topics. Assessments results will be presented in a

standardised way, making it easy to see how existing facilities are performing and how new

projects are being or can be developed. Through the performance of the assessment, the

Consultant shall establish a diagnosis of all identified existing previous studies performed on the

subject as well as domains where additional studies and surveys are needed for the further

design stage of the projects on the cascade.

Phase II. Project definition

This phase will focus on the definition of the Via River Reservoir project. Various aspects will

need to be assessed in order to define and select the most appropriate alternatives. The

aspects for which data are outdated, fragmentary or missing needing a diagnosis by the

Consultant are relating to:

i. Topography: The Consultant will identify existing maps and will assess the needs for

topographic surveys required for the next phases of the studies and for the project

implementation. He will collect maps and data from various sources in order to perform

a pre-assessment of the project area patterns within the St Paul River basin. The

consultant will perform a reconnaissance and identification of access roads to the

project site with appropriate description of areas where improvements are needed to

allow the passage of vehicles and transportation of goods and equipment. He will

illustrate the findings on maps of appropriate type.

ii. Hydrology: The regimes of the rivers in the basin must be reassessed in order to

establish a valid data base for the future computations of generation capacities,

optimisation of storage works, dimensioning of future hydraulic structures, and selection

of environmental flows and appraisal of climate change influence on the rivers regimes

patterns. The Consultant will identify historic and existing data and Liberian agencies

responsible for their recording and processing. He will issue recommendations

concerning the needs for a further campaign for hydrological records and the

implementation by the Liberian responsible agencies of the recording/gauging stations

at the appropriate locations along the rivers.

iii. Geology: The consultant will identify the possible sources of data and documents for

the appraisal of the geological patterns of the river basin and at the sites of the various

works (the Via Reservoir Dam). He will identify, collect and review existing

documentation available at Government agencies, and among other things, to assess

the completeness, adequacy, and usability and quality of investigations carried out in the

past against good international practice. He will issue recommendations concerning the

needs for a further campaign for geological surveys within the scope of the next studies.

iv. Seismicity: The Consultant will identify, collect and review the existing seismic data in

the region/zone/project area and propose means to improve the assessment of this

aspect.

v. Construction Materials: By performing a visit on the sites, the Consultant shall identify

suitable location for construction materials. This shall cover locations of potential

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quarries for sand, soils, dam core materials, rock and aggregates, etc. and preparation

of indicative maps identifying the borrow areas.

vi. Climate Change Impact Assessment: The Consultant shall review the trends in annual

and seasonal water flow in the St Paul River basin during the past several decades,

forecast changes in water flows as a result of climate change and global warming and

take these into account while assessing the design flows and possible operating regime

of a reservoir. The Consultant shall review the available global and regional climate

models and studies carried out with relevance for the West African countries and assess

the likelihood of variability in the flow regime of the St Paul and Via Rivers. The

Consultant should also assess the possible positive aspects of the Via Reservoir Project

in the context of climate change - flood control in the event of higher flows due to climate

change, avoided carbon emission of the project contribution for power generation

relative to similar-sized fossil fuel generation; the beneficial impact it would have on the

sources of water into the river basin.

vii. Hydraulic Studies: The Consultant will perform a preliminary assessment of the flood

routing of the probable maximum flood through the Via reservoir to establish the

discharge capacity of the spillway system , the operating rules of the reservoir, and the

water levels downstream of the dam/spillway. The Consultant will also assess the

aspects of solid transport of the river for determination of the reduction of the dead and

useful reservoir/live storage/volume as a function of time and sedimentation rates.

viii. Engineering aspects - Dam type: The Consultant shall propose the type of dam

based on a design at the project definition level taking due consideration of the identified

possible availability of construction materials and the various characteristics of the

proposed site. He shall prepare design criteria, a brief memorandum illustrated with

definition drawings. The determination of alternative layout and design shall include

various dam types and height/reservoir capacity and mode of operation, reservoir and

flow management, environmental mitigation and volume in the reservoir to absorb

floods. The definition design and definition drawings shall cover all major components of

the dam, spillway, intake, bottom outlets, tunnels and penstocks if any, river diversion

during construction.

ix. Environmental Aspects: The Consultant will list all potential issues which must be

addressed in compliance with the guidelines, rules, regulations and good practices in

the domain. He will specifically assess the needs for further surveys, impact studies and

investigations required for complying with the safeguards and recommendations from

the Multilateral Development Banks. (World Bank guidelines are accepted as the

appropriate model).

x. Institutional aspects: The Consultant will identify the institutional setup options for the

project including establishment of a special purpose company through a public–private

partnership or any arrangement compatible with the existing laws and regulations in

Liberia.

xi. Miscellaneous: The Consultant will take into account all other aspects not listed above

but which may potentially affect the design and the feasibility of the Via Reservoir

project.

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At the completion of this definition phase the Consultant will issue a comprehensive report

illustrating its findings together with the recommendations for the suitable design of the Via

Reservoir project which will serve as a basis for the further detailed feasibility study.

Phase III. Terms of Reference for the Detailed Feasibility Study

This last phase of the Reconnaissance Study will cover the preparation by the Consultant - in

the light of its findings and after consultation with concerned parties in Liberia- of the detailed

Terms of Reference for the Detailed Feasibility Study of the Via Reservoir project. The detailed

feasibility study scope will include the complete set of documents and data allowing the

launching of an International Competitive Bidding for the construction of the project. In the

meantime, Donors and Financiers will base their decision for funding of the project on the

results of the Detailed Feasibility Study.

An outline of these ToR is provided in the next chapter. This outline is tentative and indicative,

derived from projects of similar nature executed in other countries. They will be adjusted and

finalized by the Consultant under this Phase III of the Reconnaissance Study.

The ToR define the scope of works for a Consultant to conduct a detailed feasibility study for

the Via Reservoir project based on the conclusions of the Reconnaissance Study. The detailed

feasibility studies shall include, but not exclusively: a detailed description of the facility (civil

works, mechanical and electrical installations, interconnection requirements) and a description

of the expected output contribution by the Via Reservoir at the Mount Coffee (rehabilitated)

power plant and a projection of generation at various power plants along the future cascade

(MWs, MWh/year with base case and high and low scenarios), detailed cost estimates for main

component and for operation and maintenance of the facility; capital structure and financing

arrangements, construction and drawdown schedules; revenue requirements, environmental

and social impact assessment and corresponding management plans; requirements for permits

and licences; suggested organizational arrangements, and risk analysis. The ultimate

deliverable of the Detailed Feasibility study will be a set of Tender Documents in the

appropriate format acceptable by development financing institutions (DFI’s) allowing to launch

an International Competitive Bidding process.

B. Detailed Feasibility Study of the Via Reservoir Project

An outline of ToR for the Detailed Feasibility Study of the Via Reservoir Project is provided

hereafter.

The Detailed Feasibility Study will comprise 2 Phases. Globally, it will require but not be limited

to the following areas of expertise: (i) power sector management, (ii) hydropower planning, (iii)

hydrological engineering, (iv) construction planning, (v) electrical engineering, and (vi)

mechanical engineering (vii) financial analysis and structuring, (viii) economic analysis and

evaluation, (ix) environmental assessment and management, (x) social development and

safeguards, (xi) community development, (xii) legal and contractual aspects, (xiii) transfer of

skills and know how.

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PHASE I: Review of the Reconnaissance Study

During Phase I which is a critical review of the results of the Reconnaissance Study the

Consultant shall carry out the following assignment/tasks:

Examine existing project documents and other available data when. Review the investments

as previously estimated and revise the proposed configuration to reflect one that would be

competitive, given the current electricity market and tariff structures in Liberia.

Conduct preliminary site investigations including hydrological, topographical, geological and

geotechnical studies and survey of access roads to the project sites.

Develop preliminary layouts of hydraulic structures, electro-mechanical and electrical

equipment and confirm selection of the main project characteristics such as dam type,

storage capacity, storage area limits, additional energy production at the Mount Coffee

power plant, reservoir management, etc.

Develop preliminary cost estimates based on major quantities and cost items.

Identify potential socio and environmental impacts, and proposed solutions.

Carry out/update the project economic and financial analysis at reconnaissance level.

Highlight the main risks facing the project, and possible mitigation measures.

PHASE II: Detailed feasibility and final design

During this phase the Consultant will continue the site investigation works on the sites including

major geotechnical investigations in order to finalize the design of the project. The Consultant

will

Define all key structures and equipment in sufficient detail to obtain quantities for all

items contributing more than about 10% of the cost of structures and equipment.

Provide a detailed initial cost estimate for: (i) the initial capital costs including access

roads, transmission interconnection(s) to the grid if any; (ii) the implementation of the

environmental and social management plans; and for (iii) the operations and

maintenance of the proposed facilities.

Provide the base case estimate of the annual project output contribution at the Mount

Coffee power plant (firm and average capacity and energy) over the project life/duration.

Establish projections of the project contribution for generation at other future power

plants downstream along the St Paul River Cascade.

Estimate the reduction of greenhouse gas reduction estimate throughout the life of the

project

Carry-out an-environmental and social impact assessment and a mitigation plans in

compliance with the ESEE Project Environmental Management Framework and the

Involuntary Resettlement Policy Framework, survey community interest groups

regarding their use of water use practices.

Carry out a project economic analysis (Liberia’s perspective) and a financial analysis

(project owners’ perspective) including capital, operating and maintenance costs and

revenue streams required for cost recovery and return, and financing plans. The analysis

shall also consider private sector arrangements for the construction and/or operation of

the hydropower scheme (Via Reservoir operation for power generation at downstream

power plants) through concessions under Design, Build, Operate and Own (DBOO). The

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Consultant shall recommend a capital structure required to finance and implement the

new hydro facility. Local and overseas partnerships shall be considered.

Determine the best organizational and institutional arrangements for hydropower

management and ownership over the period of operation of the project.

The following paragraphs highlight key activities and products expected from the Consultant. It

is however the responsibility of the consultant to define and carry out all activities necessary to

ensure quality and timely delivery of the studies.

PHASE I KEY ACTIVITIES

Task 1 - A hydrological report shall be prepared based on previous hydrological

analyses and additional data relevant to the site shall be collected from the relevant

government agencies. Historical flow data obtained from previous studies and the

relevant government agencies shall be verified by on-site measurements over an agreed

time period and via computer simulation modeling. These flow data shall also be

considered in the power computation and the design of hydraulic structures. Flood flow,

low flow and flow duration curve shall be computed by using different hydrological

models. Sediment samples from riverbed shall be collected and mineralogical and

particle size distribution analyses shall be carried out to find the type and percentage of

mineral content and particle size distribution of the sediment. The quantity of sediment

shall be estimated on the basis of sediment sampling data, if available, or with indirect

methods. The expected maximum possible sediment particle that could be transported

by flood shall be recorded during the field visits. Each component of the selected project

alternative will be optimized under different flows.

Task 2 – Preliminary layouts of hydraulic structures, electro-mechanical and electrical

equipment shall be developed and the selection of the main project characteristics such

as installed capacity, energy production, capacity factor, etc shall be made.

Task 3 - Energy computation (on a monthly basis) for optimum dam capacity shall be

carried out. All applicable deductions like environmental release of flow, estimated

outage, internal energy consumptions, transmission losses if any etc. shall be deducted

from the gross plant energy estimate(downstream of the Via Reservoir). Annual energy

sales shall be calculated considering prevailing energy rates in Liberia.

Task 4 - The major socio-environmental impacts of the hydropower development during

the construction and the operation phases shall be identified and appropriate mitigating

measures shall be proposed.

Task 5 – A preliminary costing of the project shall be carried out based on major

quantities and cost items and a preliminary economic analysis and financial analysis

carried out to assess the economic and financial viability of the investment. The viability

of the project shall be assessed based on criteria such as NPV, IRR, ROI and annual net

cash flows or any other suitable financial analysis.

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PHASE II KEY ACTIVITIES

Once the economic and financial viability of the project has been ascertained through the pre-

feasibility study and comments taken into account, the following additional tasks shall be carried

out by the Consultant and the feasibility report will be prepared: The following paragraphs

highlight key activities and products expected from the Consultant. It is however the

responsibility of the Consultant to design and carry out all activities to ensure quality and timely

delivery of the studies.

Task 1 – A more detailed geotechnical study, which shall include drilling, sampling,

laboratory testing and factual reports, shall be prepared to determine the infrastructure

requirements and related costs, based on the project layout. The project components of

the selected option shall be designed with a degree of accuracy expected at feasibility

stage reflecting the design concept and improving the accuracy of the cost estimates.

Hydraulic calculations and structural sizing shall be carried out. Design methodologies

and design criteria shall be set while designing the project components. The

components of the project shall also be described and specified in general terms. Civil,

hydro-mechanical, electromechanical, mechanical, electrical components and other

structures of the project shall be developed. A construction schedule shall be prepared

by sequencing and scheduling of the project activities. Resources availability and critical

activities shall be taken into consideration while sequencing and scheduling the project

activities. Infrastructure requirements during construction and operation shall be

considered. Such infrastructure requirements and facilities may include site camps,

offices, access roads, construction quarters, construction power, water supply and

sanitation, communication, and transport.

Task 2 - Alternative functional layout designs shall be considered to identify the most

appropriate one. A schematic layout for each alternative shall be prepared and its

technical and financial aspects compared and ranked. The most appropriate alternative

shall be selected for the design of the project components. Topographical, financial,

environmental, geo-technical and construction issues shall be considered during the

selection of the project layout. In addition, key schematic drawings for all major

components like headworks, water ways, forebay, desilting basin, electromechanical

equipment if any, power generation option for various operations at the dam site and

single line diagram, transmission lines if any, project layout in appropriate scale shall be

prepared.

Task 3 – A socio-economic and environmental assessment during the construction and

the operation phases shall be carried out using the existing applicable Environmental

and Social Frameworks. The physical, chemical, biological, cultural and socio-economic

environment of the project affected area will be studied. This shall include a social and

environmental management plan and a plan to monitor the implementation of the

mitigation measures. The project structuring will take into account possible community

and local communities, municipal government participation considering land rights

allocation, local co-investment and labour contribution. Community participation is

considered a key issue in order to incorporate local perception and sharing of costs and

benefits for project construction and for long-term operation and maintenance.

Task 4 – An Economic and Financial analysis shall be performed to determine: (a) the

economic benefits of the construction and operation of the project for Liberia; and (b) its

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financial soundness for the project sponsors/owners. The key assumptions used for the

economic and financial analysis will be clearly spelled out (in particular the basis for the

various unit costs) and justified. In addition, the economic and the financial analysis shall

include sensitivity analysis around the key input parameters to assess the impact of key

parameter variations on the economic and financial viability of the project.

Task 5- An overall implementation plan which identifies the key steps, decisions and

actions needed to implement the various recommendations of the study.

Task 6 – The Consultant will prepare the complete set of Tender Documents, including

drawings and estimates of quantities necessary for launching an International

Competitive Bidding complying with practices and rules of DFI’s.

Task 7 – The Consultant shall allow for capacity building and transfer of knowledge to

Liberian staff from agencies and enterprises selected in due times so as to build

effective hydropower development know how in three areas: hydropower scheme

design, socio-environmental impact analysis and basic economic and financial analysis.

CONSULTING TEAM

GENERAL

The successful candidate for this consultancy will be a firm. The assigned Consultant project

team must possess expertise in mechanical, electrical, civil, structural, hydropower,

topographical and geotechnical engineering, environmental and social impact assessments and

management plans and in project economic and financial analysis. The team should have a

proven track record of conducting feasibility studies for hydropower/dam projects.

The Consultant may contract local companies to carry out certain components of the works,

such as but not limited to geotechnical, and topographical work and other socio-economical

surveys.

INDICATIVE LIST OF EXPERTISE REQUIRED

The following indicative list of experts is suggested: The consultant is fully responsible for the

selection of the expertise required to satisfactorily carry out the contractual obligations.

1. Team Leader experienced in the hydropower and dam sectors

2. A hydropower energy expert

3. Hydrology Specialist

4. A Geologist

5. A civil engineer, specialist in dam design and construction

6. A hydro-mechanical engineer specialist in hydro-equipment design;

5. Environmental Specialist

6. Social Specialist

7. Economic and Financial Analyst (with experience in private sector investment and

PPP arrangements)

8. Others experts and specialists that the Consultant will consider useful for the

successful performance of the assignment.

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116 Contract 2012/284032

The Consultant must possess the expertise and skills required to execute or supervise (if sub-

contracted) under his full responsibility topographical studies, geotechnical analyses, socio-

economic analyses, environmental analyses, civil/structural analyses and design. The

Consultant must possess the expertise and skills to create, edit, format and update technical

documents, in English, in a concise and clear manner.

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Final Report – August 2012 117

11 COMMENTS AND CLARIFICATIONS FURTHER TO THE PRESENTATION OF

THE REPORT ON JULY 24TH 2012

The report was presented to various development and funding partners on July 24th 2012 at the

premises of the EU delegation in Monrovia. The list of attendance and presentation slides are

included in appendix 12.7 and 12.8. Hereafter are various clarification and explanations in reply

to questions or concerns raised by participants during the meeting.

Mount Coffee rehabilitation project

There is a concern that the design of the rehabilitation, like the unit capacity of the turbines as

well as their type, the provisions for adding further units is adequately taking into account the

contribution of the Via Reservoir and the entire future possible cascade of upstream power

plants to the generation of energy. Such design should be developed in order that the Mount

Coffee plant capacity fully takes benefit of the regulation effect of upstream reservoirs and

hydropower plants installed in the medium and long terms.

Possibility of exporting energy to neighbouring countries systems

In case future installed hydropower capacity exceeds the load demand of Liberia, the

opportunity to sell the surplus of energy to neighbouring countries could constitute a source of

revenues for the country. However this will be closely depending on international agreements

on tariffs, availability of a reliable regional network (the CLSG project is a first step for

interconnecting the sub-region) which are aspects to be organized and managed through a

strong regional cooperation amongst the concerned states. These are crucial prerequisites for

decision for capital investment in the related projects.

Issue of large capacities required by mining operators

Currently, operators and investors operating in the mining sector (or large agro compounds)

develop and install their own off-grid generation capacities. This is an obvious response to their

main concern to have reliable and continuous power supply and to the current situation where

the national grid is not reaching remote areas where these industries are usually settled.

Incorporating such capacities and interconnecting them into an adequately developed national

grid/system is a very long term vision which will need the mobilization of huge resources and a

strong strategic and political will from the Government.

Demand projections

The report illustrates various scenarios which have been considered for projecting the demand

at various horizons. Up to 2020, analyses have concluded that the demand will reach

approximately 100- 120 MW on the LEC grid (therefore not including possible off-grid capacities

installed at other locations or by other operators in the country). This figure is lower than what

has been estimated by several consultants or partners but relatively close to the figure projected

in the most recent study performed by the World Bank Group in November 2011. The motivated

justifications enlightened in the report are of the various following natures: i) The future demand

is essentially driven by the growth of access to electricity by the low and middle income

customers in the Great Monrovia whose consumption remains low ii) despite an encouraging

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118 Contract 2012/284032

economic annual growth rate, a drastic “take of” of the Liberian economy is not expected at the

short term, the absence of critical and conducive ingredients/environment coupled with the

uncertainties on the worldwide situation impeding a too optimistic vision iii) The national

electricity company LEC faces absorptive capacity limitations which when coupled with a

prudential (nevertheless adequate) development strategy do not allow a too rapid development

of its generation, transportation and distribution system. The articulated target of achieving

87’000 customers/connections in the Great Monrovia in 2020 (96 months away from today)

would require the installations of more than 800 connections per months. This is a challenging

rate compared to those currently observed (1st semester 2012) ranging from 80 to 190 per

month.

Climate change, hydrology and forest preservation

One participant rightly raised the issues of soil erosion and forest management prevailing in

Liberia with an estimated 50% of the country forests and 40% of the country’s mass land under

concessions. As logging operations (and mining activities) have an obvious impact on the

hydrological cycle of the river basins where they are located, this aspect has to be carefully

taken into consideration when designing the capacity of hydro-reservoirs (useful capacity and

lifespan) and associated hydropower plants. It can already be confirmed that such aspects will

be duly taken into consideration within the scope of the recommended Reconnaissance and

Detailed Feasibility studies. Environmental issues as well as Climate Change issues are

amongst the aspects already embedded in the guidelines, directives and safeguards

(universally applied by MDB’s, as well as Private Funding Institutions - Equator Principles -…)

that will be applied/followed when performing the EIAS

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Final Report – August 2012 119

12 ANNEXES

12.1 LIST OF PERSONS MET DURING THE EVALUATION

Name Organization Function/Title

Mrs. VASQUEZ

HORYAANS Paula

European Union Delegation Head of Section Operations

Mr. KIRCHNAYR

Giorgio

European Union Delegation Attaché, Programme Manager -

Infrastructures

Mr. JASURA William Liberia Electricity Corporation

(LEC)

Chief Financial Officer

Mr. BONAMPEKA Alain

Pierre

African Development Bank Country Program Officer (CPO)

Mr. SHAHID Mohammad Liberia Electricity Corporation

(LEC)

Chief Executive Officer (CEO)

Mr. KONAI Matthew Liberia Electricity Corporation

(LEC)

Planning Manager

Mr. LEAY Joseph Liberia Electricity Corporation

(LEC)

Project Manager Cross Border Rural

Electrification Project

Mr. LARTEY Sammuel

A.

Energy Ventures (GH) LTD. Project Administrator. Cross Border Rural

Communities Electrification Project

Mr HETTINGER Patrick

S.

African Development Bank Senior Country Economist

Mrs. STROUP Kristin K. Liberia Electricity Corporation

(LEC)

Senior Project Manager

Mr. GULBRANDSEN

Thor Henning

Norwegian Water Resources

and Energy Directorate

Senior Advisor, International Section

Mr. BROWN Russell C. Winrock International Chief of Party

Mr. Parker David Winrock International Consultant/Advisor

Mrs. LITTLEJOHN

Coleen R.

The World Bank Senior Operations Officer

Monrovia Office

Mrs. Hasselsten JENNY The World Bank Urban Development Specialist

Monrovia Office

Mr. Hady Sherif Centre for Sustainable

Energy Technology

Executive Director

Mr. EDHOLM Gunnar ELTEL Networks TE AB Chief Engineer, Transmission International

Mr. BORBODEE Peter Eleder of the Neezoe Community

Neezoe Community/Paynesville

Mr. DAVIS Thomas Director for Geo Information Systems

Liberia institute of Statistics & geo Information Services LISGIS

Mr. DAVIS Yacouba Lawyer Community Leader New Georgia Estate Community

Mr. GRAY Victor Consumer New Service Department

Liberian Electricity Corporation

Mr. HARRIS Hannah Treasury Sayetown Development Association

Mr. JACOBS David L. Chairman Claratown Township

Mr. LIBERTY Edward T (Ph D)

Director General Liberia institute of Statistics & Geo Information Services LISGIS

Mr. LYNCH Jura A. Attorney at Law Chairman of the Stephen Tolbert Community

Mr. MORRIS K. George Secretary general Sayetown Development Association

Mr. NYAN Joseph Director for Data Processing Liberia institute of Statistics & geo

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120 Contract 2012/284032

Information Services LISGIS

Mr. DNEEHSAWZEH Paul

Member of the Council Claratown Township

Mr. SUAH Jackson Chairman for the Neezoe Community

Neezoe Community/Paynesville

Mr. SURWORGO Peter Block C Leader Sayetown Development Association

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Final Report – August 2012 121

12.2 LIST OF CONSULTED DOCUMENTS AND BIBLIOGRAPHY

Year Author Title

2010 EU Country Evaluation Liberia

2011 Norad - Norplan Norwegian support to the

Liberian energy sector - Baseline Study and RBM System

2011 World Bank - Afteg Options for the Development of Liberia’s Energy Sector

2009 World Bank – AICD Powering Up: Costing Power Infrastructure Spending

Needs in Sub-Saharan Africa

2007 USAID Let there be light: the role of Electrification in Liberia’s

Post-conflict stabilization

2006 EU Financing convention for Electricity Grid rehabilitation in

Monrovia n°9493/LBR/EDF IX

2011 EU Briefing note on the Energy Sector in Liberia

2007 EU Addendum n°1 EC 06/07/2007

2009 EU Addendum n°2 EC 26/09/2009 and explanatory note

2010 EU Budget reallocation

2006 EU Tender Notice Electricity Grid rehabilitation

March 2012 Stanley Consultants Via Reservoir/Diversion System the Keystone to

Dependable Hydropower on the St. Paul

May 2009 Liberia Government National Energy Policy an Agenda for Action and Economic

and Social Development (Ministry of Lands, Mines and

Energy)

February 2007 Liberia Government NATIONAL ENERGY SECTOR WHITE PAPER White

Book

April 2008 Liberia Government Liberia Poverty Reduction Strategy (Period 2008 - 2011)

July 2010 UNDP (Consultant Report) United Nations Development Programme, Liberia Country

Programme Action Plan (CPAP) Mid-Term Review 2008 -

2012

May 2008 UNDP UNITED NATIONS DEVELOPMENT Assistance

Framework for Liberia 2008 - 2012

January 2012 World Bank PROJECT PAPER on a proposed additional credit (US $

22 million equivalent) and a proposed grant from the

environment facility trust fund (GEF) (US $ 1.454 million)

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122 Contract 2012/284032

for an electricity system enhancement project

October 2011 GPOBA - World Bank The Global Partnership on Output-Based Aid (GPOBA)

Annual Report 2011

February 2011 International Resources Group

(IRG) for the USAID

LIBERIA ENERGY ASSISTANCE PROGRAM (LEAP)

Final Report

April 2012 USAID Fact Sheet on the Emergency Power Program (EPP)

April 2012 USAID Fact Sheet on Liberia Energy Sector Support Program

(LESSP)

February 2012 African Development Bank Project Concept Note. COTE D’IVOIRE, LIBERIA SIERRA

LEONE AND GUINEA (CLSG) INTERCONNECTION

PROJECT

April 2012 World Bank Cote d’Ivoire, Liberia Sierra Leone and Guinea (CLSG)

Interconnection Project - Project Information Document

(PID)

November 2010 European Commission

Environment LIFE program and

International Hydropower

Association (IHA)

Hydropower sustainability assessment protocol

May 1970 World Bank Appraisal of public utilities authority. Power Expansion

Project

July 2008 County Development

Committee, in collaboration with

the Ministries of Planning and

Economic and internal affairs.

Government of Liberia

Monserrado County Development Agenda 2008 - 2012

2012 IFC - World Bank Doing Business 2012 data for Liberia

December 2011 West African Power Pool

(WAPP)

CLSG project environmental and social impact assessment

study (Final Report Liberia Section)

December 2011 West African Power Pool

(WAPP)

CLSG Project Resettlement Action Plan (Liberia)

March 2011 African Development Bank LIBERIA Country Strategy 2008-2001 Mid-Term review,

portfolio performance review

March 2011 Liberia Electricity Corporation LEC Tariff Policy

April 2011 Liberia Electricity Corporation LEC Electricity Master Plan

April 2012 Liberia Electricity Corporation March 2012 Monthly Report

May 2011 Liberia Electricity Corporation LEC Year 2 Investment Plan

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Final Report – August 2012 123

April 2012 Liberia Electricity Corporation LEC Auditor's report and Financial Statements 2011

April 2012 Liberia Electricity Corporation LEC Fiscal Year 12Q3 Quarterly Progress

April 2012 The World Bank Liberia Infrastructure Policy Notes Prioritizing Investments

for_ Diversification[1]

April 2009 Liberia Electricity Corporation

(LEC) and International Finance

Corporation (IFC)

Request for Prequalification (RFP) from LEC Liberia (for

the selection of an utility operator - the “Operator” - for the

LEC under a management contract

April 2012 USAID (Winrock) LESSP March Monthly Progress Report

July 2011 USAID (Winrock) Sorlumba project Survey Report Final Socio-economic and

Load Demand assessment survey for Sorlumba Biomass

Electricity Project, Sorlumba Foyah Statutory District, Lofa

County

May 2011 USAID (Winrock) Wayavah Falls project survey report Final. Report of load

demand assessment & socio-economic survey conducted

in Salayea district.

May 2011 USAID (Winrock) Mein River Project Survey Report. Final Report. Load

Demand Assessment & Socio-Economic Survey

For Proposed Mein Mini Hydropower Project Suakoko &

Jorquelleh Districts, Gbarnga

Bong County

July 2011 USAID (CSET for Winrock) Cocopa Project Final Survey Report Socioeconomic And

Energy Baseline Survey Report On Cocopa & Its Nearby

Towns In Nimba County

1983 Bremen The Open Door Policy of Liberia, an Economic History of

Modern Liberia, FPM van der Kraaij

2010 AMCOW Water supply and sanitation in Liberia: turning finance into

services for 2015 and beyond An AMCOW Country Status

Overview 2010 The African Ministers Council on Water

2010 Backiny-Yetna, Prospere Poverty in Liberia: Level, Pro_le, and Correlates in 2007

World Bank September 2010 MPRA Paper No. 34415

2011 IDLO International Development

Law Organization

Addressing Land Tenure Insecurity Through Community

Land Titling: A policy brief presenting the findings of the

Community Land Titling Initiative in Liberia Policy Brief

October 2011

2008 International Resources Group’s

(IRG)

Let there be light the role of electrification in Liberia’s post

conflict stabilization Rick Whitaker Chief of Party in Liberia

for the USAID Emergency Power Program and the Liberia

Energy Assistance Program,

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124 Contract 2012/284032

2011 Lookman Oshodi Housing and Urban Development in Monrovia Liberia

Observer’s pers pective A visitation report August 2011

2009 MLME National Energy Policy an Agenda For Action and

Economic and Social Development Ministry of Lands,

Mines and Energy Monrovia, Liberia May 2009

2008 Montserrado County Development Agenda Republic of Liberia 2008 – 2012

2011 NORAD Norwegian support to the Liberian energy sector Baseline

study and RBM system Norad Report 9/2011 Discussion

2011 Norwegian Refugee Council

NRC

Beyond Squatter’s rights Durable solutions and

development induced displacement in Monrovia, Liberia,

May 2011

2011 Republic of Liberia LISGIS Liberia Institute of Statistics and Geo information

ServicesStatistical Bulletin, Monrovia, Liberia. December

2011

2008 Republic of Liberia Poverty Reduction Strategy April 2008

2009 Republic of Liberia LISGIS , 2008 National Population and Housing Census

Final Results , Monrovia , Liberia

2011 Small Arms Survey Issue Brief Liberia Armed Violence Assessment Issue Brief

Number 1 and 2 September 2011

2009 Timothy Kortu Urban Agriculture in and around Monrovia, Liberia, Urban

Agriculture magazine, number 21,January 2009

2008 UNDAF United Nations Development Assistance

Framework for Liberia 2008-2012

2010 UNDP Country Programme Action Plan (CPAP)

Mid-Term Review

2008-2012

2006 UNDP/EPA First State of the Environment Report For Liberia, UNDP

and Environmental Agency of Liberia

2008 UNHabitat Country programme Document, 2008-2009, Liberia

2009 UNHabitat/ Global Energy

Network for the Urban

Settlements (GENUS)

“Electrification for slum/low‐ income settlements in Liberia:

opportunities and Challenges”, Mr. Hady Sherif, Center for

Sustainable Energy Technology, CSET, Liberia, in - Expert

Group Meeting Promoting Energy Access for the urban

poor in Africa: Approaches and Challenges in Slum

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Final Report – August 2012 125

Electrification Final report- ; Nairobi, Kenya, October 2009

2010 Urcun Aude et al Gouvernance « non souveraine » et régulation des

services de l’eau à Monrovia, Libéria, Revue Tiers Monde

2010/3 - n° 203

2011 USAID User guide: USAID poverty assessment tool for Liberia,

January 2011

2008 USAID Liberia Fact Sheet The Emergency Power Programm 2008

2009 USAID Liberia Project fact EPP 2006-2009

2006 WFP/FAO,ECHO/GOL Liberia Comprehensive Food Security and Nutrition Survey

(CFSNS)

2007 WFP/FAO,ECHO/GOL Liberia Market Review (LMR), VAM Vulnerability Analysis

and Mapping, Strengthening Emergency Needs,

Assessment Capacity (SENAC).

2008 World Bank Rice Prices and Poverty in Liberia, by Clarence Tsimpo

Quentin Wodon, The World Bank Human Development

Network Development Dialogue on Values and Ethics

October 2008, Policy Research Working Paper 4742

2012 World Bank Liberia Preliminary results of the Willingness to pay Survey

Annex 3 Willingness to Pay analysis Energy use and

spending patterns Liberia

World Bank Liberia Preliminary results of the Willingness to pay Survey

Combined WTP Findings 2 21 2012

2012 World Bank/IBRD Developing Public- Private Partnerships in Liberia; Zachary

A. Kaplan, Peter Kyle, Chris Shugart, and Alan Moody

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126 Contract 2012/284032

12.3 SURVEY METHODOLOGY

12.3.1 Data and Document Collection

It was an asset for the project that a baseline sociological end-users survey was completed in

October 2010 for the Norwegian Agency for Development Cooperation within the framework of the

Norwegian support to the Liberian Energy Sector (Norad – Baseline Study and RBM system, see

bibliography). However, the original data from this survey couldn’t be found in Monrovia by the

evaluation team, neither with the EU officer nor with the Norwegian representative of the Norwegian

cooperation in Monrovia. Therefore the End User survey to be launched by the evaluation team

could not anymore be a “follow up” survey as requested by the TORs but was designed as a

genuine new End Users survey.

As a start, all relevant data were collected like: data on urban household characteristics and income

levels, living conditions, targets of the Poverty reduction Strategy of the Liberian Government, socio

economic context of Monrovia development, level of urban services, demographic data. All

document used are listed in the Bibliography. Several working meetings were held with the National

Statistical Institute officers at LISGIS (Liberian Institute for Statistics and Geo Information Systems)

aimed at assessing the demographic data of the 2008 Census for the neighborhoods of Greater

Monrovia – those data were provided to the Consultant by LISGIS. It allowed to finalize the size of

the sample of the households survey in the various selected surveyed areas.

The Consultant team was informed that an in depth national consumer survey aiming at assessing

the willingness to pay for electrical services was carried out in 2010-2011, financed by a separate

Global Partnership on Output Based Aid grant. The survey covered a random sample of 479

households in Monrovia without access to grid electricity and 479 households connected to the LEC

grid. Questions covered overall household use of energy, use and expenditure on various energy

sources, and ownership and use of electric and non-electric appliances, as well as questions

regarding household income and expenditure. The analysis of the data collected is not completed

and consequently the final report not yet available. However some preliminary findings have been

provided to the Consultant by the World Bank in Monrovia.

A survey on Electricity efficiency on a sample of LEC customers households in Monrovia – financed

by USAID - was just starting during the evaluation mission time. Discussions about households

behavior concerning electricity uses and types of appliances were held with the consultancy team in

charge of the survey. Documentation on energy behavior of rural households was provided also to

the team by Winrock International in charge of of USAID projects management/coordination in

Liberia.

Several meetings were held with Manitoba Team in charge of the Management Contract of LEC:

they were very useful for the understanding of LEC works and on-field equipment the various

neighborhoods of Monrovia. A working tour of Monrovia neighborhoods was also organized with an

officer of LEC Customer New Service during which several key installations were visited - Bushrod

main station, Paynesville sub station, Old Congo sub station all around the city of Monrovia and also

several places in northern Monrovia. Documentation was provided also by Manitoba on main themes

of interest to the evaluation team. Unfortunately neither data on distribution of the number of actual

LEC customers by location (neighborhoods) could be provided to the Consultant nor maps of the

location of main clusters of customers.

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Final Report – August 2012 127

12.3.2 Methodology

The survey was carried on 354 households and 36 enterprises/institutions. The methodology used is different for the two categories and presented in two separate sections.

End User Household survey methodology

The survey was organised according to the following steps:

Definition of the targets groups to be surveyed

Choice of the sample Size

Definition of the sampling strategy

Choice of the interviews techniques

Definition of the targets groups to be surveyed

Through various interviews and documents consulted it became rapidly apparent that the electricity

generation capacity in Monrovia comprises :

i) public and private organizations’ own generators

ii) private enterprises (often informal) generators distributing energy to households and other

small enterprises on a “local grid” setup, called IPPs

iii) private households’ own generators.

It was therefore decided to target 4 different groups of households in order to capture the different

energy consumption patterns, expenditure strategies and behaviors concerning the impacts of

electricity on their living conditions: those without electricity, those owning a generator, those whose

electricity is supplied by IPPs and finally those connected to LEC electric grid. For the

enterprise/social units’ component of the survey, 3 groups were selected: those connected to LEC

grid, those with a generator and those without electricity.

Choice of the sample size

In order to analyze the behavior of these groups with respect to energy, the sample survey size was

determined for 350 households as the focus of the survey was on households. This sample size is

relevant for the analysis of socio economic trends in various social groups. The number of units in

each targeted social group allows reliable calculations and results (especially quartiles) so as to

capture socio economic stratification. The number of enterprises/social units was fixed to 30 as the

outcomes sought were more qualitative than quantitative. The objectives were actually to capture the

main problems and issues they face and to assess their perception of electricity impacts on their

activity.

Sampling strategy

The End Users Household survey is a multistage sampling survey.The sampling strategy aimed at

producing data that must be representative across the socio-economic, demographic and economic

patterns of the Monrovia urban perimeter. The objective was to target Monrovia population most

representative of the bulk of future LEC customers. Priority zones should be therefore representative

of low to middle income groups. It was therefore decided not to include middle to high income social

groups in the sample

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128 Contract 2012/284032

First stage: selection of survey areas

Areas were selected according to the following criteria.

Households connected to LEC grid:

They were to be found in zones or neighbourhoods of Monrovia recently electrified and, if possible,

with infrastructures financed by the EU project. These areas should also allow targeting several

social groups, from the lowest income level group up to middle class income level.

The two following types of areas were chosen:

i) The northern neighbourhoods of Monrovia; areas which have been supplied by the

66kV High Voltage Line constructed along the Somalia Drive Road. Very few areas have

been electrified in these zones: however from 2011 LEC started to electrify some specific

neighbourhoods - estate housing areas- offering the best opportunities for easily

developing customers groups thanks to the density of their population and the presence

of a variety of income social groups with a good percentage of low middle class.

Two survey areas were selected in these neighbourhoods: one in Stephen Tolbert

neighbourhood, located in Barnesville Township and the second in New Georgia estate

housing in New Georgia Township.

Stephen Tolbert is situated next to Somalia Drive Road (main asphalted road of the

zone), in a commercial area (with Chicken Soup factory market). It can be characterized

as a mainly middle income residential area. New Georgia is very far from Somalia Drive

Road but connected to it by a good asphalted road. It is residential, with a few shops but

not any real market place and characterized with a mix of low to middle income groups.

ii) The second category of area selected was a “low income area” in Monrovia which has

been electrified very recently and equipped with the pre-paid meters of the Eltel contract

: the survey area selected is in Jallah Town neighbourhood, Central Monrovia. It can be

characterized as a mainly poor to very low middle income residential area; the poorest

households are located in the area bordering the wetland. It is close to an asphalted road

and benefits from all urban commodities of central town.

For the group of households without electricity

For this group of households, areas should be representative of the two typical urban patterns and

housing types where the largest part of the urban population lives in Monrovia: unplanned and not

densely populated neighbourhoods of the peri urban areas and most densely populated slum areas

in the central areas of the capital.

i) The two selected zones in the not densely unplanned areas were both in Paynesville

city, which acounts today for more than 30% of the total population of Monrovia: one

survey area was selected in Neezoe Community and the other in Police Academy

Community. Neezoe and Police Academy are both exclusively residential and not

connected to an asphalted road. The nearest commercial market place is a few

kilometres away: it is the very important commercial centre of Red Light at the junction of

Somalia Drive Road and Tubman Boulevard. These areas can be characterized as

mainly poor to low middle income group. Both communities are not yet electrified; they

are planned to be in the coming five years (according the Master Plan of LEC).

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Final Report – August 2012 129

ii) The last selected area was Clara Town: a very densely populated slum type

neighbourhood located on the south-western end of Bushrod Island, off the UN Drive.

The LEC grid runs through the community, and some customers along the main line

have been connected. The community is currently in the process of being electrified and

households equipped with pre-paid meters. The community is characterized by mainly

larger retail and trade businesses along UN Drive, and very poor to low middle income

residential area off UN Drive. The poorer households are located in the area bordering

the wetland.

Second stage; Distribution of the sample size among the survey areas’categories

The distribution was based on the estimation of the population of the survey area (demographic

projections for 2012 calculated for each area based on the results of the 2008 Census). The ratio

targeted was to interview about 10% of the estimated number of households in each of the selected

areas.

Third stage; selection of households in each survey area

The final choice of the households was defined by judgmental sampling for households connected to

LEC grid and by random sampling for the ones not connected. This methodology produced

households data which are largely reliable as well as representative for urban Monrovia low to

middle class income group.

The sample is given in the table below:

Table 1: End user survey: households distribution per Survey Area and per urban pattern

Survey Area Nbr of HH interviewed

% Urban pattern Sites/ Communities/

Neighbourhoods

Clara Town

Jallah- Saye Town

45

40

85

24% Unplanned « Low income communities »; densely central populated neighborhoods

Bushrod Island

Central Town

Neezoe

Police Academy

78

60

138

39% Unplanned (organic) popular peri urban neighborhoods ; low density of population

Paynesville -North of Somalia Drive Road

and West of Tubman Bvd

Stephen Tolbert

New Georgia

71

60

131

37% Planned (grid pattern) peri urban neighborhoods ; medium to high density

Barnesville

New Georgia

both located north of Somalia Drive Road

Total 354 100%

Figure : Surveys areas in Monrovia

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130 Contract 2012/284032

The satellite images are inserted below with the selected areas contoured in red.

Clara Town:

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Final Report – August 2012 131

Jallah Town:

Stephen Tolbert:

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132 Contract 2012/284032

New Georgia:

Police Academy

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Final Report – August 2012 133

Neezoe

Interviews techniques

The Consultant has applied traditional survey methods using questionnaires and interviewing. A

questionnaire with quantitative questions and some qualitative questions was prepared (see

questionnaire in Annexe 10.5). Interviews with community leaders in each community were also

carried out.

Enterprises and Social Units Survey

With respect to the group of enterprises and social units the methodology used was very different: it

was chosen - considering the short time (one day) which could be devoted during the survey to this

category of end users - to target units located only along the Somalia Drive Road in three areas:

Stepehn Tolbert Junction, Chicken Soup factory Junction and Zota Community.

The number of enterprises/social units was fixed to 50 targeting 50% enterprises and 50% social

units, as the outcomes were more qualitative than quantitative. The objectives were actually to

capture the main problems and issues these entities face and to assess their perception of electricity

impacts on their activity.

A specific questionnaire was prepared for these units (Appendix 10.6).

12.3.3 Schedule for the survey and survey team

The preparation of the survey was carried out during the first two weeks of the evaluation mission:

this period was devoted to intensive preliminary field work allowing to finalize the choice of the

survey areas. During this period most of the working with geo information systems and statistical

officers of LISGIS took place as well as interviews conducted with main actors of the energy sector.

The End Users Survey was conducted during 10 days mobilizing a team of 8 local surveyors for

interviews of beneficiaries: 1 day was devoted to training of the surveyors, 1 day was necessary for

pre test exercise in one neighborhood (Stephen Tolbert) and to analyse feed back from the pre test

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134 Contract 2012/284032

to adjust the questionnaire and 8 days of survey in the various selected areas. 7 days were devoted

to the households’ survey and one day to the enterprise units.

The quality of the survey was monitored through the coordination and supervision of the surveyors

by a Field coordinator who was permanently in the field and who was responsible for the first stage

of the quality check.

Data entry (two persons) was organized in such a way as to have each day’s set of questionnaire

recorded the day after in order to enable a running review of the quality and profile of the

information. This was the task of the Quality check data computer officer.

All Survey staff (surveyors, field coordinator, data entry and quality check) has been provided by the

Centre for Sustainable Energy and Technology (CSET), we thank them for their cooperation in the

survey.

12.3.4 Problems faced during the survey

Problems occurred only with the enterprises/social units survey. Very few social units were located

in the areas selected along Somalia Drive Road. The managers either refused to answer the same

day and suggested another meeting day, and this was not possible, either the person which could be

interviewed couldn’t answer to the questionnaire as having no knowledge on the matters questioned.

This is the reason why the final sample is constituted by enterprises only (only one school) and the

size was limited to 36 units.

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Final Report – August 2012 135

12.4 SURVEY DATA

12.4.1 Household Socio Economic Characteristics

Table 26: End user survey sample: Households distribution by location and urban pattern

Location Total Nbr % l % Urban patterns

Clara Town 45 13%

24%

unorganized grid of « Low

income communities »

Bushrod Island and Center of Monrovia

Jallah/Saye Town 40 11%

Neezoe 78 22%

39%

Un planned settlements of peri

urban Monrovia : Paynesville North

and West

Police Academy 60 17%

New Georgia 60 17%

37% Planned grid of estate housing

North of Somalia Drive Road Stephen Tolbert 71 20%

354 100% 100%

Table 27: Households distribution by sex of household head and by location

Location

Sex of Household Head

Nbr Male Nbr Female

Total

Clara Town 36 9 45

Jallah/Saye Town 33 7 40

Neezoe 65 13 78

New Georgia 48 12 60

Police Academy 50 10 60

Stephen Tolbert 47 24 71

Nbr Total 279 75 354

Table 28: Households distribution by sex of household head and by location (%)

Location

Sex of Household Head

Nbr Male Nbr Female Total Nbr

Clara Town 80% 20% 100%

Jallah/Saye Town 83% 18% 100%

Neezoe 83% 17% 100%

New Georgia 80% 20% 100%

Police Academy 83% 17% 100%

Stephen Tolbert 66% 34% 100%

Average on total 79% 21% 100%

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Table 29: Households distribution by marital status of household head and by location

Location

Marital Status

Nbr Single Nbr Married Nbr Divorced/

Separated

Nbr Widowed

Total Nbr

Clara Town 6 36 1 2 45

Jallah/Saye Town 7 32 0 1 40

Nezzoe 8 62 2 6 78

New Georgia 9 47 2 2 60

Police Academy 10 48 1 1 60

Stephen Tolbert 17 46 3 5 71

Nbr Total 57 271 9 17 354

Table 30: Households distribution by marital status of household head and by location (%)

Location

Marital Status

Nbr Single Nbr Married Nbr Divorced/

Separated

Nbr Widowed

Total Nbr

Clara Town 13% 80% 2% 4% 100%

Jallah/Saye Town 18% 80% 0% 3% 100%

Nezzoe 10% 79% 3% 8% 100%

New Georgia 15% 78% 3% 3% 100%

Police Academy 17% 80% 2% 2% 100%

Stephen Tolbert 24% 65% 4% 7% 100%

Average Total 16% 77% 3% 5% 100%

Table 31: Average Household size by location

Location Household size Average

Household size

Median

Nbr of persons=> 18 years

Nbr children <5 years

Nbr children >5 <18 years

Clara Town 5,7 5 3,3 1,8 0,6

Jallah/Saye Town 6,1 5 3,2 2,2 0,7

Nezzoe 6,5 6 2,8 2,7 1,0

New Georgia 6,8 6 2.9 2,5 1,4

Police Academy 6,9 6 2,9 2,9 1,1

Stephen Tolbert 6,6 6 2,8 2,6 1,2

Average for total 6,4 5,7 3,0 2,5 1,0

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Final Report – August 2012 137

Table 32: Dwelling Occupation status of household by location

Location Owner Renter private

renter public

Free Occupation

Caretaker Total Nbr

Clara Town 14 24 0 6 1 45

Jallah/Saye Town 17 21 0 2 0 40

Nezzoe 42 34 0 1 1 78

New Georgia 44 11 2 3 0 60

Police Academy 35 20 0 2 3 60

Stephen Tolbert 50 8 5 6 2 71

Nbr Total 202 118 7 20 7 354

Table 33: Dwelling Occupation status of household by location (%)

Location

Dwelling Occupation status

Owner Renter private

Renter public

Free Occupation

Caretaker Total Nbr

Clara Town 31% 53% 0% 13% 2% 100%

Jallah/Saye Town 43% 53% 0% 5% 0% 100%

Nezzoe 54% 44% 0% 1% 1% 100%

New Georgia 73% 18% 3% 5% 0% 100%

Police Academy 58% 33% 0% 3% 5% 100%

Stephen Tolbert 70% 11% 7% 8% 3% 100%

Average Total 57% 33% 2% 6% 2% 100%

Table 34: Number of years the household is in the dwelling by location

Location

Length of occupation Nbr of years as…

Owner Renter Other

Clara Town 18,7 5,6 23,0

Jallah/Saye Town 17,0 6,5 15,0

Nezzoe 10,8 2,9 3,5

Police Academy 7,3 3,1 3,2

New Georgia 16,0 6,7 7,2

Stephen Tolbert 17,3 9,8 11,2

Average on Total 14,5 5,8 10,5

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Table 35: Type of wall of household dwelling by location

Location Type of Wall

Nbr Concrete/

ciment

Nbr Corrugated Iron Sheet

Mud Bricks

Mud and Wattle

Other Total Nbr

Clara Town 42 2 1 0 0 45

Jallah/Saye Town 34 5 1 0 0 40

Nezzoe 46 0 29 3 0 78

Police Academy 43 1 15 0 1 60

New Georgia 54 4 2 0 0 60

Stephen Tolbert 67 3 0 1 0 71

NbrTotal 286 15 48 4 1 354

Table 36: Type of wall of household dwelling by location (%)

Location

Type of Wall

Nbr Concrete/

ciment

Nbr Corrugated Iron Sheet

Mud Bricks

Mud and Wattle

Other Total Nbr

Clara Town 93% 4% 2% 0% 0% 100%

Jallah/Saye Town 85% 13% 3% 0% 0% 100%

Nezzoe 59% 0% 37% 4% 0% 100%

Police Academy 72% 2% 25% 0% 2% 100%

New Georgia 90% 7% 3% 0% 0% 100%

Stephen Tolbert 94% 4% 0% 1% 0% 100%

Average Total 81% 4% 14% 1% 0% 100%

Table 37: Type of roof of household dwelling by location

Location Type of Roofing

Nbr Concret

Nbr Zinc Nbr Tarpaulin

Total Nbr

Clara Town 1 44 0 45

Jallah/Saye Town

0 40 0 40

Nezzoe 0 75 3 78

Police Academy

2 58 0 60

New Georgia 2 58 0 60

Stephen Tolbert

2 69 0 71

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Final Report – August 2012 139

Nbr Total 7 344 3 354

Table 38: Type of roof of household dwelling by location (%)

Location

Type of Roofing

Nbr Concret

Nbr Zinc Nbr Tarpaulin

Total Nbr

Clara Town 2% 98% 0% 100%

Jallah/Saye Town

0% 100% 0% 100%

Nezzoe 0% 96% 4% 100%

Police Academy

3% 97% 0% 100%

New Georgia 3% 97% 0% 100%

Stephen Tolbert

3% 97% 0% 100%

Total average 2% 97% 1% 100%

Table 39: Main source of drinking water of households by location

Location

Main source of drinking water

Pipe or pump indoor

Pipe or pump outdoor (on neighbour's)

Watersellers Private well

Hand pump

Total Nbr

Clara Town 2 5 15 23 45

Jallah/Saye Town 4 4 21 11 40

New Georgia 2 3 12 3 40 60

Stephen Tolbert 4 4 20 2 41 71

Nezzoe 3 12 4 8 51 78

Police Academy 7 5 2 4 42 60

Nbr Total 22 33 74 17 208 354

Table 40: Main source of drinking water of households by location

Location

Main source of drinking water

Pipe or pump indoor

Pipe or pump outdoor (on neighbour's)

Watersellers Private well

Hand pump

Total Nbr

Clara Town 4% 11% 33% 0% 51% 100%

Jallah/Saye Town 10% 10% 53% 0% 28% 100%

New Georgia 3% 5% 20% 5% 67% 100%

Stephen Tolbert 6% 6% 28% 3% 58% 100%

Nezzoe 4% 15% 5% 10% 65% 100%

Police Academy 12% 8% 3% 7% 70% 100%

Total average 6% 9% 21% 5% 59% 100%

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12.4.2 Energy : household behaviour practices and expenditures

Electricity all sources

Table 41: Does your house get electricity (on grid or off grid)

Location Yes No Total

Clara Town 28 17 45

Jallah/Saye Town 33 7 40

Nezzoe 25 53 78

Police Academy 22 38 60

New Georgia 41 19 60

Stephen Tolbert 48 23 71

Total nbr 197* 157 354

*8 households have 2 sources of electricity: LEC and their own generator

Table 42: Does your house get electricity (on grid or off grid)

Location

Yes No Total

Clara Town 62% 38% 100%

Jallah/Saye Town 83% 18% 100%

Nezzoe 32% 68% 100%

Police Academy 37% 63% 100%

New Georgia 68% 32% 100%

Stephen Tolbert 68% 32% 100%

Total average 56% 44% 100%

Sources of electricity

Table 43: Source of electricity of household by location

Location LEC LEC neighbour

IPP Shared generator

Own generator

Solar Total

Clara Town 2 0 20 0 6 0 28

Jallah/Saye Town 23 3 7 0 2 0 35

Nezzoe 0 0 5 1 19 1 26

Police Academy 0 0 0 0 22 0 22

New Georgia 21 0 14 0 11 0 46

Stephen Tolbert 41 0 0 0 7 0 48

Total nbr 87 3 46 1 67 1 205

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Final Report – August 2012 141

Table 44: Source of electricity of household by location

Location LEC LEC neighbour

IPP Shared generator

Own generator

Solar Total

Clara Town 7% 0% 71% 0% 21% 0% 100%

Jallah/Saye Town 66% 9% 20% 0% 6% 0% 100%

Nezzoe 0% 0% 19% 4% 73% 4% 100%

Police Academy 0% 0% 0% 0% 100% 0% 100%

New Georgia 46% 0% 30% 0% 24% 0% 100%

Stephen Tolbert 85% 0% 0% 0% 15% 0% 100%

Total nbr 42% 1% 22% 0,5% 33% 0% 100%

Table 45: Electricity sources : when did your household get this electricity source (s)

Category of respondent 2012 2011 2010 2009 2008 2007-2000

1990-1999

Total Nbr

LEC (own) 56 26 5 87

LEC (neighbour) 3 3

IPP 5 17 19 1 1 3 46

Shared generator 1 1

Own generator 6 23 18 4 3 9 4 67

Solar 1 1

Nbr Total 70 67 43 5 4 12 4 205

Table 46: Electricity sources : when did your household get this electricity source (s)

Category of respondent 2012 2011 2010 2009 2008 2007-2000

1990-1999

Total Nbr

LEC (own) 64% 30% 6% 0% 0% 0% 0% 100%

LEC (neighbour) 100% 0% 0% 0% 0% 0% 0% 100%

IPP 11% 37% 41% 2% 2% 7% 0% 100%

Shared generator 0% 0% 100% 0% 0% 0% 0% 100%

Own generator 9% 34% 27% 6% 4% 13% 6% 100%

Solar 0% 100% 0% 0% 0% 0% 0% 100%

Nbr Total 34% 33% 21% 2% 2% 6% 2% 100%

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Comparison of customers’ perception of the quality of service provided by LEC or IPP

Table 47: Satisfaction of customers with the electricity supplier (LEC,IPP) service:

Category of respondent LEC IPP

Yes 52 17

No 9 23

Yes and No 23 6

Total respondents 84 46

na 3

Table 48: :Satisfaction of customers with the electricity supplier (LEC,IPP) service (%):

Category of respondent LEC IPP

Yes 62% 37%

No 11% 50%

Yes and No 27% 13%

Total respondents 100% 100%

Table 49: LEC Reasons for Satisfaction

Reasons of satisfaction Nbr

24hrs 28

Regular current 18

Stable current 9

Reduced cost 10

Payment of what is consumed 10

Total respondents 77

Table 50: LEC Reasons for

Satisfaction (%)

Table 51:

Reasons of satisfaction Nbr

24hrs 36%

Regular current 23%

Stable current 12%

Reduced cost 13%

Payment of what is consumed 13%

Total respondents 100%

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Final Report – August 2012 143

Table 52: LEC Reasons of Disatisfaction

Reasons of disatisfaction

Costly 16%

Bill problem* 22%

Payment system ** 25%

Current not regular 38%

Total respondents 100%

* conventional meter ** pre paid meter and scratch card

Billing is too high

I don’t how the bill is calculate and I always receive heavy bill

To obtain chip is a problem, we need more selling places for the chip

Poor costumer service: shut down power without notification

LEC is not stable, buying the chips is hard

Getting the card is big problem

Conventional meter is very expensive

Table 53: Reasons of

Satisfaction IPP service

Reasons of satisfaction Nbr

Basic lighting 7

Regular 3

On time and all the night 7

Total respondents 17

Table 54: Reasons of

satisfaction IPP service

Reasons of satisfaction

Basic lighting 41%

Is there : less expesnive then own genset

18%

On time and all the night 41%

Total respondents 100%

Table 55: Reasons of Dis satisfaction IPP service

Reasons of disatisfaction Nbr

Costly 10

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Only night 10

Current not regular 9

Total respondents 29

Table 56: Reasons for Dis satisfaction IPP service

Reasons of disatisfaction

Costly 34%

Only night 34%

Current not regular 31%

Total respondents 100%

Usages of electricity all customers

Table 57: Usages of Electricity whatever the source (grid or off grid) by order of priority

All respondents :354

Usages 1st Use 2nd Use 3rd Use 4th Use 5th Use

Lighting 180 23 7 1 0

TV/Radio 16 147 33 11 3

Fans 5 21 123 12 1

Refrigeration 3 10 15 20 1

Cooking 0 0 0 1 1

Other appliances 5 8 32 70 25

Na 2 2 1 96 180

211 211 211 211 211

Table 58: Usages of Electricity whatever the source

(grid or off grid) by order of priority

All respondents :354

Usages 1st Use 2nd Use 3rd Use 4th Use 5th Use

Lighting 85% 11% 3% 0% 0%

TV/Radio 8% 70% 16% 5% 1%

Fans 2% 10% 58% 6% 0%

Refrigeration 1% 5% 7% 9% 0%

Cooking 0% 0% 0% 0% 0%

Other appliances* 2% 4% 15% 33% 12%

Na 1% 1% 0% 45% 85%

100% 100% 100% 100% 100%

*mobile phone charger, laptop are the most frequently cited

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Final Report – August 2012 145

LEC CUSTOMER: ELECTRICITY CONSUMPTION AND EXPENDITURES

Cost incurred for connection

Table 59: LEC customers : Connection expenditures for customers having paid 50

USD of connection fees (pre payment meter)

Total Fee Wiring Breaker Transpor

tation

Other

USD USD USD USD USD USD

Average expenditure/ respondents 92,7 50,0 64,1 15,6 19,4 48,9

Median expenditure/ respondents 72,5 50 50 15 22,5 40

Nbre of respondents 44 44 18 9 10 9

Average expenditure/all LEC customers having paid 50 US$

92,7 50,0 26,2 2,1 4,4 10,0

100% 54% 28% 2% 5% 11%

Table 60: LEC customers Connection expenditures for customers having paid 115 USD

of connection fees (conventional meter)

Total Fee Wiring Breaker Transpor

tation

Other

USD USD USD USD USD USD

Average expenditure/respondents 184,3 115,0 114,5 40,0 16,2 30,7

Median expenditure/ respondents 155,0 115,0 102,5 40,0 15,0 25,0

Nbre of respondents 37 37 19 2 6 6

Average expenditure/ all LEC customers having paid 115 US$

184,3 115,00 60,76 1,30 2,22 4,98

100% 62% 33% 1% 1% 3%

No customer in “low income communities”

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LEC customers Electricity Monthly expenditure

Table 61: LEC customers Electricity Monthly expenditure

Location

Nbr respondents

LEC Electricity Monthly Expenditure

Average Median <=20 >20 =40 >40

USD USD USD USD USD

Clara Town/Jallah/Saye Town 23 34,8 40,0 35% 48% 17%

New Georgia 18 46,7 40,0 22% 39% 39%

Stephen Tolbert 41 44,5 40,0 7% 56% 37%

All respondents 82 42,3 40,0 18% 50% 32%

n.a 5

LEC customers: electricity consumption

Table 62: LEC customers Average Annual electricity consumption per capita equivalent

Location

Average Monthly

expenditure per

household

Average Household

size

Average Monthly

electricity expenditure per capita

Average Monthly

electricity consumption

per capita

Average Annual

electricity consumption

per capita

USD Nbr USD kWh* kWh

Clara Town/Jallah/Saye Town 34,8 5,6 6,21 10,75 129,0

New Georgia 46,7 7,2 6,49 11,22 134,7

Stephen Tolbert 44,5 7,1 6,27 10,84 130,1

Average on total 42,3 6,7 6,3 10,9 131,1

*0.578 US$/kWh LEC tariff = 0.54 US$/kWh + 0.07% taxes

Table 63: LEC customers : Average Annual electricity consumption per capita and gender of

head of household equivalent

Head of household Average Monthly

expenditure per

household

Average Household

size

Average Monthly

electricity expenditure per capita

Average Monthly

electricity consumption

per capita

Average Annual

electricity consumption

per capita

USD Nbr USD kWh kWh

Women 38,0 6,5 5,8 10,0 120,4

Male 43,5 6,8 6,4 11,1 132,8

Average on total 42,3 6,7 6,3 10,9 131,1

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Final Report – August 2012 147

IPP CUSTOMERS ELECTRICITY CONSUMPTION AND EXPENDITURES

Cost incurred for connection

Table 64: IPP Connection expenditures for customers

Total Wiring Breaker

USD USD USD

Average expenditure/ respondents 44,4 42,7 5,0

Median expenditure/respondents 40,0 35,0 5,0

Nbre of respondents 23 22 16

Average expenditure/all IPP customers 22,2 20,4 1,7

IPP customer Electricity Monthly expenditure

Table 65: IPP Customer Electricity Monthly expenditure

Location Nbr respondents

Average Median <20 > 20 =40 >40

USD USD USD USD USD

Clara Town 19 40,0 38,8 26% 53% 21%

Jallah Town/

SayeTown

7 40,0 40,0 0% 100% 0%

Neezoe 5 40,0 40,0 0% 100% 0%

New Georgia 14 69,8 69,8 0% 21% 79%

All respondents 45 47,4 40,0 11% 56% 33%

n.a 1

IPP customer electricity consumption

Table 66: IPP Customer Average Estimated Electricity Consumption Per Capita equivalent :

Location

Respondents

Average nbr of hours energy

is supplied by IPP*

Average nbr of Amp

Theoretical Daily

Household Electricity

consumption**

Theoretical Monthly

Household Electricity

consumption

Average Household

size

Theoretical Average Monthly

electricity Consump

tion per capita

Theoretical Annual

Electricity Consump

tion per capita

Nbr Nbr Nbr kWh kWh Nbr kWh kWh

Clara Town 19 5,5 1,00 1,2 36,3 4,6 7.9 94.8

Jallah Town/Saye Town

7 11 1,00 2,4 72,6 5,9 12.3 147.6

Neezoe 5 8,2 1,00 1,8 54,1 8,8 6.15 73.8

New Georgia 14 11,5 1,75 4,4 132,4 7,1 18.6 223.2

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All respondents 45 8,5 1,19 2,2 66,5 6,1 10.9 130.8

n.a 1

*During night time always : from 6-7 pm to 12pm or 6-7 am according IPP by survey area and respondents answers

**Nbr of Amp x 220 Volt x Nbr hours

*** Estimation based on discussion with respondents

Nota : theoretical : as current being supplied during night, customers never consume the totality of their “amp” provision. IPP customers all complain about that.

Table 67: IPP Customer Estimated annual average electricity consumption per capita :

Location

Respon

dents

Average nbr of hours energy is

supplied by IPP*

Theoretical Average Monthly

electricity

Consumption

per capita

Theoretical Average Annual

electricity

Consumption

per capita

Estimated*

Average Annual electricity

Consumption

per capita

Nbr Nbr kWh kWh kWh

Clara Town 19 5,5 7,9 94,7 76

Jallah Town/Saye Town

7 11 12,3 147,7 89

Neezoe 5 8,2 6,15 73,8 44

New Georgia 14 11,5 18,6 223,9 134

All respondents 45 8,5 10,9 130,8 92

n.a 1

*Calculation based on estimation of nbr of hours of daily electricity consumption by household: according respondents , the following data apply : 80% Clara Town , 60% JallahTown/Saye Town, Neezoe, New Georgia, all respondents = 70%

Table 68: Estimated cost paid by IPP customer per kWh

Location

Nbr respondents

Estimated cost of kWh

by IPP

Multiplier of LEC

electricity cost

USD/kWh

Clara Town 19 1,4 2,4

Jallah Town/Sayz Town

7 0,9 1,6

Neezoe 5 1,2 2,1

New Georgia 14 0,9 1,5

All respondents 45 1,2 2,1

n.a 1

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Final Report – August 2012 149

OWN GENERATOR

Own generator customer Electricity Monthly expenditure

Table 69: Average Electricity consumption per capita: household with own generator

Location

Respondents Average

rating of generator

Average

nbr of hours generator

running per day

Average Daily electricity

consumption per household

Average Daily electricity

consumption per capita

Average Monthly

electricity consumption

per capita

Average Annual

electricity consumption

per capita

Nbr kVa Nbr kWh kWh kWh kWh

Clara Town/Jallah/

Saye Town

8 3 2,4 1,6 0,22 6,60 79,2

Neezoe 18 2,4 4,3 2,1 0,29 8,70 104,4

Police Academy 22 2,5 3,5 2,2 0,30 9,00 108,0

New Georgia 8 3 3,8 2,9 0,33 9,90 118,8

Stephen Tolbert 7 3,1 3,4 2,1 0,39 11,70 140,4

All respondents 63 2,7 3,6 2,1 0,3 9,0 108,0

n.a 4

Own generator customer Electricity Monthly expenditure

Table 70: Average Electricity expenditures and cost of kWh of households with own generator

Location

Respondents Average Daily Household

Fuel expenditure

Average Daily Household

Repair/ maintenance

Cost

Average daily Household

total expenditure

Average Daily Household electricity

consumption

Average cost per

kWh

Multiplier of LEC

electricity cost

Nbr USD USD USD kWh USD

Clara Town/

Jallah/Saye Town

8 3 0,41 3,41 1,6 2,1 3,7

Neezoe 18 3,1 0,41 3,51 2,1 1,7 2,9

New Georgia 22 4,2 0,58 4,78 2,9 1,6 2,9

Police Academy 8 3,6 0,51 4,11 2,2 1,9 3,2

Stephen Tolbert 7 3,8 0,35 4,15 2,1 2,0 3,4

All respondents 63 3,5 0,46 3,96 2,1 1,9 3,3

n.a 4

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ALL ELECTRICITY SOURCES MONTHLY EXPENDITURES

Table 71: Average Monthly Household and Per capita Electricity

expenditure by location

Location

LEC IPP Own generator

Household Per capita

Household Per capita

Household Per capita

USD USD USD USD USD USD

Clara Town/Jallah town

34,8 6,2 38,8 8,4 82,7 11,4

Jallah town/Saye town

40,0 6,8

Neezoe 40,0 4,5 83,7 11,7

Police Academy 86,0 12,0

New Georgia 46,7 6,5 45,3 9,1

Stephen Tolbert 44,2 6,2 84,5 14,1

All respondents with electricity

42,3 6,3 47.02 7,8 84.6 11,1

Nbr with electricity 204

OTHER ENERGY EXPENDITURES

Lighting

Table 72: Respondents without electricity:

Average Monthly Household Lighting

expenditure by location

Location

Lighting Total

Dry cell battery

Candle

USD USD USD

Clara Town/Jallah town

3,2 0,7 3,9

Neezoe 3,1 0,3 3,4

Police Academy 3,3 0,5 3,8

New Georgia 2,7 1,0 3,7

Stephen Tolbert 4,9 0,3 5,2

All without electricity 3,5 0,5 4,0

Nbr without 157

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Final Report – August 2012 151

Table 73: Average monthly lighting expenditures (apart electricity spending) by category of

respondents

Category of respondents

Lighting Total

Dry cell battery

Candle Kerosene

USD USD USD USD

Withhout electricity

3,5 0,5 4,0

Own genset 1,3 0,1 0,1 1,5

IPP 0,4 0,4

LEC 0,5 0,5

All respondents 1,8 0,2 2,0

Nbr respondents 354

Cooking

Table 74: Average monthly cooking spending by category of respondents

Category of respondents

Charcoal

USD

Without electricity 11,5

OWN genset 13,9

IPP 12,7

LEC 15,4

All respondents 12,7

Nbr respondents 354

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HOUSEHOLD MONTHLY ALL ENERGY EXPENDITURES

Table 75: Monthly household energy spending by category of energy expenditures and by

Quartile

All respondents : 354

QUARTILE ELEC

TRICITY*

LPG DIESEL GASO

LINE

DRY CELL BATTERY

KERO

SENE

CHAR

COAL

CANDLE TOTAL ENERGY

USD USD USD USD USD USD USD USD USD

Q1 11 0 0 0 2 0 8 1 23

% on total Q1 48% 0% 0% 2% 10% 0% 37% 3% 100%

Q2 27 0 0 0 2 0 11 0 41

% on total Q2 67% 0% 0% 0% 5% 0% 28% 0% 100%

Q3 37 1 0 2 2 0 12 0 54

% on total Q3 68% 2% 0% 3% 3% 0% 23% 0% 100%

Q4 51 1 1 7 1 0 19 0 80

% on total Q4 64% 1% 1% 9% 1% 0% 24% 0% 100%

Average

on total

31,4 0,4 0,2 2,4 1,8 0,0 12,7 0,2 49,2

% on total 64% 1% 0% 5% 4% 0% 26% 0% 100%

*LEC, IPP, Own generator, solar households

12.4.3 Impacts of electricity on household living conditions perception by customers

Figure 18: Impacts of electricity on household living conditions by category of impact

27%

17%

7%

14%

5%

8%

3%

7%

3%

2%

8%

0%

5%

10%

15%

20%

25%

30%

security

keep family home

children study longer

more appliances

buy TV and refrig

improve business

work easy

all appliances be used

saving increase

health

others

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Final Report – August 2012 153

12.4.4 Willingness to get connected to lec grid and affordability

Table 76: Willingness to get connected to LEC grid per category of respondents

Category of respondents

Without electricity

Own genset/solar

IPP

connected

Total

Yes 142 64 46 252

No 15 0 0 15

Total 157 64 46 267

Table 77: Willingness to get connected to LEC grid per category of respondents

Category of respondents

Without electricity

Own genset/solar

IPP Total

Yes 90% 100% 100% 94%

No 10% 0% 0% 6%

Total 100% 100% 100% 100%

Table 78: Can you afford the costs – connection,

upgrading or new wiring of the house,

miscellaneous

Category of respondents

Without electricity

Own genset/solar

IPP Total

Yes 111 59 46 216

No 46 5 0 51

Total 157 64 46 267

Table 79: Can you afford these costs : connection,

upgrading or new wiring of the house, miscellaneous

Category of respondents

Without electricity

Own genset/solar

IPP Total

Yes 71% 92% 100% 81%

No 29% 8% 0% 19%

Total 100% 100% 100% 100%

Table 80: If credit was available, average monthly affordable payment

Expenses USD

Median 10,0

Average 17,2

Nbr respondents

51

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12.4.5 Households expenditures: budget effort by level of income and category of respondents

HOUSEHOLD MONTHLY TOTAL EXPENDITURES (proxy for income level)

Table 81: Household monthly total expenditures by location

AVERAGE MINIMUM Q1 Q2 MEDIAN

Q3 Q4 MAXIMUM

Urban pattern Location USD USD USD USD USD USD

« low income » communities

Bushod Island and center of Monrovia

CLARA TOWN 364 133 251 302 437 917

JALLAH SAYE TOWN

513 211 348 460 649 956

Non grid peri urban communities Paynesville

NEEZOE 353 80 183 307 454 909

POLICE ACADEMY 460 122 284 383 599 1072

Grid urban settlements “estate housing »

North Somalia Drive Road

NEW GEORGIA 434 108 287 396 526 1181

STEPHEN TOLBERT

443 103 268 378 564 1227

Table 82: Household monthly total expenditures by category of respondents

All

respondents LEC customers IPP customers Own generator Without

electricity

USD USD USD USD USD

Average on total

422 508 426 542 323

Median 372 437 427 514 288

Q1 266 333 296 356 194

Q2 372 437 427 514 288

Q3 535 642 506 684 408

Q4 1227 1227 751 1072 953

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Final Report – August 2012 155

HOUSEHOLD MONTHLY SPENDING BY CATEGORIES OF EXPENDITURES

Table 83: Household monthly total expenditures by category of expenditures and by level of

income

QUAR

TILE*

FOOD ENERGY

WATER SCHOOL FEES

TRANS PORT

MEDI

CAL CARE

COMMU NICA

TION

ENTER TAIN

MENT

CONTRI BU

TIONS

SOCIAL FESTIVI

TIES

RENT NEW ASSET

HOUSE MAIN

TE NANCE

TRANS FER OF MONEY

TOTAL

USD USD USD USD USD USD USD USD USD USD USD USD USD USD USD

Q1 100 23 4 10 14 12 12 1 3 3 4 0 1 1 188

% on total

53% 12% 2% 5% 7% 6% 6% 1% 2% 2% 2% 0% 0% 0% 100%

Q2 135 41 8 26 30 20 25 4 9 8 6 1 0 3 316

% on total

43% 13% 2% 8% 9% 6% 8% 1% 3% 3% 2% 0% 0% 1% 100%

Q3 166 54 10 51 52 28 39 8 14 10 11 2 1 2 447

% on total

37% 12% 2% 11% 12% 6% 9% 2% 3% 2% 2% 0% 0% 1% 100%

Q4 235 80 18 82 119 58 57 16 30 21 13 3 1 10 743

% on total

32% 11% 2% 11% 16% 8% 8% 2% 4% 3% 2% 0% 0% 1% 100%

Average on total

158,5 49,2 9,9 41,9 53,4 29,5 33,0 7,3 14,1 10,5 8,6 1,7 0,7 3,9 422,4

% on total

37,5%

11,6%

2,3% 9,9% 12,6%

7,0% 7,8% 1,7% 3,3% 2,5% 2,0% 0,4% 0,2% 0,9% 100,0%

*average expenditures in each Quartile

Figure 19: Household average monthly spending by category of expenditures

All respondents : 354

38%

12%

2% 1% 3%

13%

10%

7%

8%

2%

5%

1%

FoodEnergyWaterHouse repair & maintenanceRentTransportSchool & educationMedical careCommunicationEntertainmentSocial contributionsTransfer of money

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Figure 20 : Household average monthly spending by category of expenditures

LEC customers

Figure 21: Household average monthly spending by category of expenditures (IPP)

Figure 22 : Household average monthly spending by category of expenditures (own generator)

35,0%

12,0%

3,0% 2,0% 2,0%

14,0%

10,0%

5,0% 8,0%

1,0%

7,0%

1,0%

FoodEnergyWaterHouse repair & maintenanceRentTransportSchool & educationMedical careCommunicationEntertainmentSocial contributionsTransfer of money

36%

15%

2% 1% 2%

11%

9%

7%

8%

3%

5%

1%

Food

Energy

Water

House repair & maintenance

Rent

Transport

School & education

Medical care

Communication

Entertainment

Social contributions

Transfer of money

33%

18%

2% 0% 3%

13%

9%

6%

8%

3% 4% 1%

Food

Energy

Water

House repair & maintenance

Rent

Transport

School & education

Medical care

Communication

Entertainment

Social contributions

Transfer of money

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Final Report – August 2012 157

Figure 23 : Household average monthly spending by category of expenditures (wo electricity)

12.4.6 Advantages and disadvantages of energy source according to its use : respondents key judgments

Lighting

LEC

Current is constant and 24h

Lighting is bright and much better for study or work

It provides light and makes my life comfortable

There is no problem with LEC, when I come back home after my day work I feel now alive, I can watch films (DVD)

Current is available for safety

Power is affordable for me

House has light, community has street light

LEC is always available but it sometimes shut down power without information

It gives light and families are happy, but sometimes it goes off unnoticed

Light always on here

Regular power/

When there is rain LEC power shut down, take away current for few hours some days

Current is constant, but using heavy appliances increase consumptions

Own generator

I see better at night that using candle of lantern or Chinese light

It provides current for me, but is very expensive to operate

Less risky than candle and kerosene but very expensive

44%

5%

2% 0% 1%

12%

10%

10%

8%

1%

6%

1% Food

Energy

Water

House repair & maintenance

Rent

Transport

School & education

Medical care

Communication

Entertainment

Social contributions

Transfer of money

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158 Contract 2012/284032

No actual advantages, the disadvantages are many: it is not safe not reliable

Provide security at night

Use it for lighting/ sometime it damage my appliances

To provide light for the home, for security, very expensive to maintain, no security for the generator

IPP

IPP is less costly than the genset

Must paid for current not been use

I use my appliances at night/when the current is off the areas is dark

IPP is more effective and efficient in comparison of having its own genset

IPP can sometime be poorly control, and cause problems for the users

I don’t have control over the time my light stays on

Prefer the IPP system to chinese lamp or own genset

Provide light,but current not stable

No maintenance of genset, IPP is irregular

Makes the place clearer at night but current not available at all time

Chinese lamps

It gave me light and is affordable

Doesn’t not cause fire

Cheaper to get at time but lamp spoil quickly

Very limited only provides light to a particular

This is the only way for me getting light in my home

No fire damage and we use it for our children study

Light quick to get spoiled

Produce light at night/too expensive

Just provide light to some extent very quick to damage

Source of light is weak, but it is not an efficient source of light

It is long lasting and provides lights

It does not damage the house like fire

Risk is less, provide light at night but quick to damage

Safety and less expensive

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Final Report – August 2012 159

Cooking

LEC: Current is too expensive for use in cooking

IPP: Current of IPP is too expensive and too low

OWN GENERATOR: Too expensive

CHARCOAL

Coal is one of best means of sources of cooking because it is less expensive

It is less expensive, but unsafe to use it in the room

The only mean of cooking now

Can get access to coal easily for cooking/hard to determine quality

Cheaper than any other, last longer, easily found around, difficult to light, went wet becomes problem

It is time consuming, but less expensive

Darken of pots, smoke,

It causes lot of heat

Easy to buy/ashes dirty the house/and smoke also

It is the only source affordable for cooking for me..

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12.5 HOUSEHOLD SURVEY QUESTIONNAIRE

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Final Report – August 2012 163

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Final Report – August 2012 165

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Final Report – August 2012 167

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12.6 ENTERPRISE SURVEY QUESTIONNAIRE

EUROPEAN UNION DELEGATION TO LIBERIA

EVALUATION OF EC PROJECTS IN ELECTRICITY SECTOR IN LIBERIA

END USER SURVEY MONROVIA

April-May 2012

MWH International

SURVEY FORM N°

A IDENTIFICATIONS

A1 SURVEY: Date of interview: / 2012 Start at : End at:

A2 SURVEYOR Name:

A3 SURVEY ZONE Code Name of the survey zone: City/township/communities

A4 FIELD COORDINATOR Name:

A5 TYPE OF UNIT PRIVATE ECONOMIC ENTERPRISE = E SOCIAL INSTITUTION = I:

A6 RESPONDANT NAME:

A7 POSITION OF THE RESPONDANT: SENIOR MANAGER: SENIOR ADMINISTRATOR:

OTHER (specify)

A8 SEX OF THE RESPONDANT MALE FEMALE Age (range)

A9 QUALITY CHECK: Date: Signature

A10 ENTRY DATA Date: / 2012

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Final Report – August 2012 169

B. UNIT GENERAL CHARACTERISTICS

B3. Type of

dwelling unit

B4. Occupation

status

B5.For how

long your I or E

is here ?

B6. Type of wall B7. Type of

roofing

B8. Nbre of

employees

1.Separate building

2. Part of

commercial complex

3. Part of other

residential unit

4 .Part of OWN

residential unit

5.Other

1.Ow ner

2. Renter

3.Free occupation

Nbr of Years 1.Concrete/ciment

2.Corrugated iron

sheet/zinc/tin

3.Mud bricks

4.Mud and Wattle

5.Other

1.Concrete

2.Zinc

3.Tarpaulin

4.Thatch

5.Other

Nbre

…………………………………………………………………… …………………………………………………………………………………………………………….. ………………………..

C. ELECTRICITY : ALL SOURCES

C1. Do you have

electricity in your

I/E?

C3. When did

you had access

to this(these)

sources of

electricity ?

C4. If soon

connected with

LEC, when

approximatively ?

C5.What is

electricity used

for in you I/E t?

1.Yes 2.No 1.Yes 2.No Year Year/month 1. Lighting only

2. Lighting AND

other

3. Other only

………………………

1.LEC (ow n)

If No 2.LEC (neighbour)

3.IPP

Go to C4 THEN to

G1

3.Shared generator

4.Ow n generator

5.Solar

6.Storage car

battery

7. Other

……………/………………………………………………….

C2. Does your E/I get electricity

from …….?

D1. ACTUAL CUSTOMER/: What

were the expenses you undergo

when you get connected to LEC

?

DETAIL ALL THE COSTS the

customer has supported (fee,

deposit, poles, w irings, transport ,

tips,…

D2. FUTURE CUSTOMER What did

LEC asked you to pay for your

future connection to LEC grid ?

WRITE the explanations the

respondant got from LEC

D. ON GRID : CONNECTION COSTS TO LEC

B1. SOCIAL SERVICES INSTITUTION

Nature of the institution

B2. ENTERPRISE

Nature of the enterprise

SPECIFY

1. Manufacturing

2. Service

3.Trade

Specify nature of products:

SPECIFY nature of establishment

For school, specify type

(elementary,…)

………………………………………………………………….

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170 Contract 2012/284032

E. ON GRID: ELECTRICITY EXPENSES

E1. How many

hours per day

do you receive

electricity from

your suplier ?

E2.Who do you

pay for your

electricity

service ?

E3. Do you

receive a bill for

electricity

services ?

E4. On what

basis are you

billed ?

1.Flat fee

2.Number of

appliances

E5. What is the

billing period ?

IPP

Electricity

suppliers

Nbr hours 1.LEC

2.IPP

3.Neighbour

4.Ow ner of the

house

5.Other

1.Yes

2.No,Prepaid

cards

3.No bill

4. Others

4.Amp

Precise Nbre

Amp

5.Included in rent

6.Other

1.Day

2.Week

3.Month

4.Other

1.LEC (ow n)

2.LEC (neighbour)

3.IPP

3.Shared generator

SHARED GENERATOR 4.Other

E. (continue)E7. What was

your last

electricity bill?

OTHER

Electricity

suppliers

Amount USD/LD

1.LEC (ow n)

2.LEC (neighbour)

3.IPP

3.Shared generator

4.Other

E6. How much electricity did your

I/E consume from [this sourceof

electricity ] during 30 days of the

last billing period?

Kilowatt hours (kWh)

Calculate from bill.I If bill not available,

leave blank

ON GRID: CONNECTION COSTS(continue) TO

OTHER SUPPLIERS

E8.FOR ENTERPRISES ONLY

Approximately, what is the

proportion of electricity cost to

total cost of running business

(ask as 1/10th, 1/4th, 1/3rd if

easier)

1.Less than 10%

2.10-25%

3.25-33% 4.More

than 33%

D3. What di you pay to get connected to your

supplier (ENUMERATE AND WRITE ALL EXPENSES

UNDERGONE BY THE CUSTOMER AT THE TIME IT GET

CONNECTED)

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Final Report – August 2012 171

F. OFF GRID: OWN ELECTRICITY SUPPLY

F1.Is your

[genset,

solar,….]

suppplying

electricity for

your E/I only ?

F2. If Not does

your [genset,

solar,….] supply :

F3. % of use each F4. How old is

your [genset,

solar,...] ?

Nbre of years

…………………..

F5. How much

did it cost ?

F6. How many

hours do you

run the genset

?

F7. What fuel

does it use ?

F8. How much

do you pay

for the fuel

AND for which

period? (w rite

f irst the nbre of

the period, then

the amount)

F9. How much

do you pay for

the Repair AND

for which

period ?

(w rite f irst the

nbre of the period,

then the amount)

1. Yes

>>>> Go to F4.

2. No >>>>

Go to F2.

1. Your I/E only

2. Your I/E and

your home

3. Your I/E and

another I/E

4.Other

1. ………/………….

2…………/………

3…………/………

F4bis. What is

the rating of

your [….]

Amount USD/LD 1.Day

2.Week

3. Month (/Day,

/Week, /Month)

1.Diesel

2.Gasoline

3.Other

1.Day

2.Week

3. Month

USD/LD

1.Month

2.Year

USD/LD

GENSET………………………………………………………………………… .…………/……………………………/ kVA…………………………………… ……/……………………………………………… ……/………………… ……/………………

SOLAR………………………………………………………………………… …………/……………… ……………/Wp

……………………………….……………………………….……………………………….……………………………….…………………

Volt/Amps

………………………………………………………………………… …………/……………… ……………/…………… …………………… ……………………

G. OFF GRID : OTHER ENERGY SOURCES CONSUMPTION AND COSTSH. PERCEPTION BY CUSTOMERS FOR ALL ENERGY SOURCESG2. How much

did your

establisment

pay for that

enregy in the

last 30 days ?

G3.Is this or

these energy

source(s) used

for :

1. Establishment

only

2. Establisment and

household

3. Other

G4.What is the %

of this/these

energy

source(s)] used

for your

establisment

needs

1.Yes 2. No Amount USD/LD Number %

LPG

Diesel

Gasoline

Dry Cell Battery

Kerosene

Other

H1. What are the main advantages

of your present energy source

(Write the name of the energy source

-LEC, IPP, Ow n genset,…-: then the

answ er)

H1. What are the main disadvantages of your

present energy source (Write the

name of the energy source -LEC, IPP, Ow n genset,…-:

then the answ er)

G1.During the last 30 days,has

your I/E used one or several of

these energy sources ?

STORAGE

BATTERY COST

C29.Battery

charging

costs/30 days

US$/LD$

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I. ECONOMIC CHARACTERISTICS

SOCIAL ESTABLISHMENTS ENTERPRISES

I1. Average

number of

beneficiaries/

service users/

visitors per

month?

I3. How much

were your

company sales

last month ?

(monthly turnover)

Amount USD/LD

I3.How much

are the sales

during a "good"

month ?

Amount USD/LD

I3.How much are

the sales during

a "bad" month ?

Amount USD/LD

(e.g. number of

students, church 1. Salaries

visitiors, patients to

clinic, etc.)

2. Materials/

equipment

Specify number and

category3.Maintenance

………………………………4. Rent

………………………………5. Other

G. FOR ALL I/E NOT CONNECTED TO LEC GRID :WILLINGNESS TO GET CONNECTED TO LEC GRID AND WILLINGNESS TO PAY

G1. If your neighborhood is energized by LEC are you willing to :

1. to switch from your IPP/own genset to LEC grid ? 1.Yes 2.No 2. to get connected to LEC grid ? 1.Yes 2.No

G3. If yes why G5. If yes why

G4.IF no why G6.IF no why

G2. Can you afford to pay the connection fees (the surveyor give the amount) AND if necessary the wirings of your I/E ? 1. Yes 2. No

G3. Discussion with the respondant : LEC CUSTOMER: what have been the impacts on

your I/E to get LEC electricity DESCRIBE HOW

G4. Discussion with the respondant : "FUTURE"/WILLING TO BECOME LEC CUSTOMER:

What w ill be/what would be the impacts on your I/E to get LEC electricity DESCRIBE

HOW

I3.What are the 3 key problems

faced by your I/E ? (list

them in order or priority)

I3.What are the 3 key problems

faced by your I/E ? (list them

in order or priority)

I2. How much is your total cost

per month ?

Amount USD/LD

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Final Report – August 2012 173

12.7 ATTENDANCE LIST TO THE PRESENTATION OF RESULTS – JULY 24TH 2012

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174 Contract 2012/284032

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Final Report – August 2012 175

12.8 SLIDES OF THE PRESENTATION ON THE 24TH OF JULY 2012 AT THE EU DELEGATION IN MONROVIA

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176 Contract 2012/284032

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Final Report – August 2012 177

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178 Contract 2012/284032

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Final Report – August 2012 179

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180 Contract 2012/284032

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Final Report – August 2012 181


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