Quarterly Performance Report: Sector Reform and Utility Commercialization (SRUC) Task Order – Q2 FY2018

Agency for International Development (USAID) to promote utility commercialization and equitable, effective reforms in developing countries' electricity systems. The project aims to enhance the financial viability and long-term sustainability of these systems, enabling their expansion and growth, and establishing the necessary preconditions for clean energy investments. The SRUC Task Order is implemented by Deloitte Consulting LLP, which is working directly with USAID to assist countries and counterparts in assessing existing sector conditions and preparing new strategies and plans. The project involves designing and implementing new market structures and models for private sector participation, building institutional capacity with utility partners, testing new commercialization technologies, and reporting lessons learned and results for broader dissemination in the sector. Core activities under the SRUC Task Order include technical and management functions, such as evaluations, hosting sector reform workshops and forums, designing and implementing new market structures, developing appropriate legal and regulatory frameworks, and corporate governance. The project also involves utility financial modeling and planning, tariff analyses, customer regularization and metering, utility organization and capacity, training and technical assistance, and best practice analyses, reports, and media. During the second quarter of FY2018, the Deloitte Team continued the implementation of the SRUC Task Order in Haiti, Jamaica, Mozambique, Cote d'Ivoire, and Tanzania. Major deliverables were submitted and milestones achieved for each Work Order in the quarter. The Deloitte Team presented the results of the Utility Human Resource (HR) Incentive Study for Loss Reduction to the Energy Division and planned for a pilot to apply the findings. In Haiti, the Deloitte Team worked with the Public Private Partnerships (PPP) Unit within the Ministry of Finance to finalize the Request for Quotations (RFQ) for the Caracol Power Utility concession tender. In Jamaica, the Jamaica Public Service Company Co Ltd. (JPS) electrified the final ready boards in the Majesty Gardens community, and JPS will remove illegal connections from the community in April. In Mozambique, the Deloitte Team continued the fieldwork for the Network and Customer Information System (NCIS) pilot and planned for a third phase of work with the national utility Electricidade de Moçambique (EDM) on setting a community engagement strategy. In Tanzania, the Deloitte Team undertook comprehensive information collection related to low-cost wiring solutions, inputs costs, and customer communication. A Low Cost Connection Assessment Workshop was held on March 7-8, bringing together key stakeholders from the energy sector and the donor community. In Cote d'Ivoire, the Deloitte Team mapped the key data points to be collected during the surveys, developed questionnaires for the business and household surveys, and prepared the electronic scripts. The Deloitte Team continues to submit a weekly tracker to the Contracting Officer's Representative (COR) to provide insight into current tasks, challenges, and the week's work for both USAID and Deloitte. The team also updated the Work Order Budget Tracker regularly to track spend by funding sources. The SRUC Task Order has several ongoing activities, including the Haiti Caracol Power Utility Transaction Advisory and the Jamaica Ready Board Electrification Demonstration (RED) Project. In Q3 FY2018, the Deloitte Team will participate in close discussions with the USAID/Haiti Mission and continue to be available to USAID and its law firm for any questions about the tender process or tender documents. The team will also close all remaining videography activities once the illegal wires are removed from the Majesty Gardens community in Jamaica.