USAID Vietnam Low Emission Energy Program (V-LEEP) Quarterly Report FY16 Q1

The program aims to promote the development of critical building blocks to scale up clean energy, such as accessible smart incentives for clean energy and energy efficiency investments, enabling a competitive environment for renewable energy generation, enhancing renewable power grid integration, and ensuring locational concentration of clean energy generation facilities. Three components form the core tasks under the approved V-LEEP Year 1 Work Plan. Component 1 focuses on Low Emission Strategy Development for the Energy Sector, with Task 1.1 aimed at enhancing GVN capacity to analyze and develop clean energy strategies, and evaluate emission mitigation options for decision making. Component 2, Enhance Capacity and Improve Enabling Environment for Renewable Energy Development, includes Task 2.1, which aims to enhance capacity and improve the enabling environment for renewable energy development. Component 3, Energy Efficiency and Renewable Energy Development, is not explicitly described in this section. The V-LEEP team has established a temporary office in Hanoi, conducted kick-off conversations with USAID, initiated the Government of Vietnam (GVN) Activity Document approval process, onboarded V-LEEP's primary local subcontractor – RCEE, finalized V-LEEP's foundational deliverables, initiated cross-cutting activities, and commenced technical activities in Components 1, 2, and 3. The team has also taken steps to conceptualize a short-term advisory on wind energy reverse auctions and initiated development of a USA-based study tour for host country counterparts. One of the primary issues that has influenced project start-up is the need for GVN Activity Approval. Deloitte, in coordination with USAID, has supported the approval process by drafting the Project Outline (PO) and submitting it to USAID. The PO is currently pending with the GVN. Upon approval, Deloitte will support the draft and submission of the Project Document (PD) for GVN approval. In lieu of GVN Activity Approval, certain sensitivities and obstacles limit the technical activities that can be undertaken on V-LEEP, namely the project cannot engage any energy sector stakeholders in project activities. The approved Year 1 Work Plan activities for Components 1 and 3 are on track, albeit some minor adjustments in scheduling will likely be necessary due to the pending GVN Activity Approval. For Component 2, this impact is more significant. Deloitte will submit a revised work plan schedule during the FY16 Q2 for Component 2. For the upcoming quarter, the V-LEEP team plans to increase activity across all components, complete the subcontracting and Key Personnel approval process, onboard remaining Key Personnel and support staff, and prepare for full implementation post-GVN Activity Approval. The V-LEEP team has also begun conducting interviews with relevant stakeholders for the Gender and Development Action Agenda, including the USAID Mission Gender Advisor, and Regional Gender Advisor. The team has also initiated development of a USA-based study tour for host country counterparts. The approved Year 1 Work Plan activities for Components 1 and 3 are on track, albeit some minor adjustments in scheduling will likely be necessary due to the pending GVN Activity Approval.