Dr Yongdeok Cho, Executive Director, Asia Water Council, K-Water, Korea (on financing the Tina River Hydropower Project in the Solomon islands, K-Water & Green Climate Fund)

1. Solomon Tina River HPP Project

2.  (Project Location) Tina River, East of Honiara
 (Work Scope) Dam and access roads construction, O&M of Power Plant, and TA
* BOOT (Design and construction 4.75 years, O&M 34.75 years)
 (Facility Capacity) 15MW (5MW x 3 units)
 (Total Project Cost) approximately 212 millions (Equity 5%; Debt 95%)
* Shareholders: K-water(80%) and Hyundai Engineering Co(20%).
 (Expected Outcomes) Replacing 67% Hydropower, reducing greenhouse gas emissions and the electricity tariff
Tina River Hydropower Plant
Status & Challenges
 97% of diesel generated, only 9% of population is connected to the grid
 Small Island Developing State (SIDS)
 Least Developed Country (LDC)
 Rapidly growing population
 Higher vulnerability to climate change (sinking to the ocean)
 Susceptibility to natural disaster

3. extremely expensive
imported diesel fuel
the highest
electricity costs in the world
reduction in Greenhouse Gas
(GHG) emissions

4. IDA GCF ADB EDCF
IRENA
ADFD
GOA
APIP
TF Total
Loan Grant Loan Grant Loan Grant Loan Loan Grant
Total 21.3 7.4 70.0 16.0 18.0 12.0 31.6 15.0 10.0 201.3
(in millions of USD)
Investment/PPP
preparation
Developing agenda
Feasibility Study
Formulating
Consortiums
(Implementing
entities)
Finalizing Fund
IA, PPA, NTP
(2011)
- Bidding Process
Kicked off
- EOI submission
(2014)
- Conducted F/S
- Pre-Qualification
Passed
(2015)
- Proposal submission
(2017)
- Project approval by
GCF
- Fund approval by
WB, ADB, EDCF
(2019)
- EPC Contract
- Project Kick-off
Project Approval
Fund Approval

5. - GCF aims to allocate at least half of its resources for adaptation for countries
that are particularly vulnerable to the impacts of climate change
 Achieving global agenda such as SDGs together, and increasing the impact
- The project supports the country's transition and maximize the impact of ODA,
to graduate from the category of LDCs, by providing more job opportunities as
well as building capacities
 Delivering best practice for Blended Finance
- OECD definition "The strategic use of development finance for the mobilization
of additional finance towards sustainable development in developing countries"
- The innovative approaches with MDBs and Korean government have been made,
to deliver the implementation of the Paris Agreement
 Building resilience for SIDS throughout GCF's resource allocation for the
vulnerable country