Laos Energy Security (LES) Activity Quarterly Progress Report FY2021 Quarter 2 (January – March 2021)

The activity has three main objectives: improving energy sector planning, strengthening the energy sector's policy, legal, and regulatory environment, and improving the performance of the state-owned utility. The major activity during the reporting period was the formal introduction of the Chief of Party (CoP) to the Ministry of Energy and Mines (MEM) on February 18, 2021. Since the introduction, NUMARK conducted numerous follow-on meetings with counterparts at MEM and Électricité du Laos (EdL) to advance the Memorandum of Understanding (MoU) engagement process. NUMARK's primary accomplishments during the reporting period included the mobilization of the CoP to Vientiane and completing the business registration process. The CoP arrived in Vientiane on February 7, 2021, after completing a two-week quarantine in Pakse. NUMARK also completed its registration with the tax and Social Security Organization authorities, thus becoming a fully registered company. The major challenges during the reporting period included trying to obtain a Business Operating License (BoL) from MEM's Department of Energy Management and navigating the ongoing MoU engagement and negotiation process. The main next steps for FY2021 Q3 are to complete the project office setup, secure the BoL, continue and hopefully complete the MoU negotiations, begin preparing the post-MoU contractual deliverables, and initiate formal recruiting for additional staff. The Laos Energy Security Activity has several key activities, including completing the mobilization of the CoP to Laos, completing the business registration process, establishing local company bank accounts, continuing business operating licensing process, holding meetings for USAID to formally introduce the LES CoP to MEM, continuing MoU discussions with MEM counterparts and EdL, engaging with USG and other donor-supported projects to discuss activity coordination and collaboration, initiating informal recruiting of additional local staff, and signing a lease and beginning project office setup. NUMARK completed the mobilization of the CoP into Laos, after finishing Covid quarantine in Cambodia in early January. The CoP secured his Lao visa in Phnom Penh, crossed into Laos on January 24, 2021, quarantined for two weeks in Pakse, and arrived in Vientiane on February 7, 2021. NUMARK also completed the business registration process, following the issuance of the Enterprise Registration Certificate in December 2020. The company is now fully registered, although the Business Operating License remains an outstanding issue. The activity has several key stakeholders, including the Government of Laos, USAID, and other donor-supported projects. The activity aims to improve the energy sector planning, strengthen the energy sector's policy, legal, and regulatory environment, and improve the performance of the state-owned utility. The activity has several key deliverables, including the completion of the MoU negotiations, the establishment of the project office, and the initiation of formal recruiting for additional staff.