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Energy Sector Management Assistance Program

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The Energy Sector Management Assistance Program, better known as ESMAP, is a World Bank trust fund focused on solving energy challenges in emerging and developing markets.

Located at the World Bank’s headquarters in Washington, DC, it is managed and staffed by the World Bank but funded separately by government and philanthropic donors. ESMAP helps create energy access for all by 2030 (SDG 7) and works to ensure that energy is generated with ever less carbon emissions in emerging markets and developing countries.

It also prepares vulnerable countries' energy sectors for the impacts of climate change by adapting and increasing resilience.

Energy Sector Management Assistance Program
AbbreviationESMAP
Formation1983
TypeIGO
Legal statusMulti-Donor Trust Fund
PurposePoverty reduction
Location
Region served
Global
Official language
English
ESMAP Program Managers
Fanny Missfeldt-Ringus and Chandrasekar Govindarajalu
Main organ
Consultative Group
Parent organization
The World Bank
Staff45+
Websitewww.esmap.org

History

Established in 1983, ESMAP was part of the World Bank’s responses to the crippling impact high prices had on oil-importing developing countries during the global energy crisis of the late 1970s. Initially, the trust fund turned recommendations of the World Bank’s Energy Sector Assessment Reports into advice for governments facing energy challenges.

Subsequently, ESMAP’s work changed and expanded, but this basic mandate still forms the core of its work.

Since its inception more than 40 years ago, ESMAP has provided knowledge in energy access, decarbonization, and renewable energy in emerging and developing economies. It has supported innovative technologies, such as off-grid solar, mini grids, and battery storage. During the 1990s, ESMAP focused on increasing the availability of energy services for poverty alleviation and social development by integrating work on market development with that on energy access.

At the beginning of the 21st century, ESMAP included the nexus between energy security, energy access, and climate change in its work, mirroring the changing landscape of energy challenges. ESMAP has assisted client countries in reducing their energy sectors’ susceptibility to climate variability while transitioning to a low carbon development path in support of poverty reduction and economic growth.

Among the six Global Challenge Programs of the World Bank’s 2024 Evolution Roadmap, ESMAP is at the heart of the Energy Challenge which emphasizes the energy transition and universal access to modern, reliable, and affordable electricity.

Since inception, ESMAP has operated in over 100 countries across more than 800 activities covering a broad range of energy issues.

Mission and Objectives

ESMAP’s objectives in helping to solve energy challenges in emerging and developing markets are to (a) ensure universal access to affordable, reliable, and modern energy services by 2030; (b) accelerate the transition towards a sustainable, just, and decarbonized energy system; and (c) ensure the resilience and adaptation of the energy sector to the growing impacts of climate change and other shocks.

ESMAP pursues these objectives through a trifecta of activities:

It synthesizes implementation experience into accessible research, aggregates data, and makes policy recommendations, ranging from issues such as how to set up solar mini grids to hydrogen project financing to fossil fuel energy reform.

It advises World Bank energy projects in emerging markets and developing countries, helping to plan off grid solar solutions in rural Nigeria, convert coal power plants in South Africa, or position windfarms off the Brazilian coast.

It focuses on setting projects up for success at the design- and early implementation stage, making donor contributions available as grants for planning and feasibility studies. It also mobilizes financing from other sources, including the private sector.

Activities

Visit our Activities Dashboard: https://www.esmap.org/activities

Governance

ESMAP is governed by a Consultative Group (CG) comprising representatives from contributing donors and chaired by the Senior Director of the World Bank's Energy and Extractives Practice Group. The CG meets annually to review ESMAP's strategic direction, achievements, use of resources and funding requirements.

The World Bank's Independent Evaluation Group (IEG) also reviews and assesses the performance of all World Bank Global Trust-Funded Programs.  This includes an evaluation of ESMAP against its business plans, investment frameworks, and the effectiveness and efficiency of the deployment of trust fund resources. In addition, IEG assesses the World Bank's management and accountability for the use of trust fund resources and the impact of trust funds on the World Bank's development role. Read the most recent IEG evaluation.

ESMAP's latest Independent External Evaluation completed in March 2020 is a requirement by the World Bank to review the performance of programs reaching the end of their business plans. On this occasion, the evaluation covers the 2017-2020 Business Plan.  A Briefing Note was also prepared aiming at synthesizing the contents of the full evaluation.  As customary, following the evaluation's recommendations, ESMAP Management prepared a response.

The previous Independent External Evaluation covered a four-year period from July 2011 to June 2015.  Two years of the previous (2008-2013) and the subsequent (2014-2016) ESMAP business plans, and one year of the previous ASTAE business plan and three years of the ASTAE business plan (2012-2016).  With both these business plans having reached their end date, the World Bank Group (WBG) required an external evaluator to review the performance of ESMAP and ASTAE against their respective business plans and investment frameworks. As a follow-up to the evaluation's recommendations, the ESMAP Management Team prepared a response.

Download full list of ESMAP's Donors: https://www.esmap.org/sites/default/files/Donor%20Logos-Agencies%20by%20Country.pdf

References