End-Review of the Norwegian Support to the Non-Petroleum Energy Sector in Angola with a focus on 2002-2006 and Identification of Opportunities for Future Cooperation

The Project

Norway and Angola have cooperated in the energy sector since 1987. The current programme (2002-2006) was implemented under the auspices of a co-operation agreement between the Norwegian Water and Energy Administration (NVE) and the Angolan Ministry of Energy and Water (MINEA). The main components in 2002-2006 were:
1) Follow-up of the NESMA (National Energy Sector Management) process, including implementation and operationalisation of a Management Information System (MIS) for Direcção Nacional de Electricidade - DNE; 2) Institutional strengthening of EDEL; 3) Provision of spare parts to Angolan power utilities (i.e. Empresa Nacional de Electricidade - ENE and Empresa de Distribução de Electricidade - EDEL); 4) Language courses for executives in the energy sector; 5) Programme administration; and Miscellaneous support.
In the period 2000-2006, the program has had a total expenditure of NOK 52 million.

Interesting Findings

This review finds that the combination of institutional support and physical (infrastructure) rehabilitation support in the Norwegian support programme is generally viewed as very important and meaningful at a time when the rest of the Angolan economy was in a very difficult situation. However the programme has become "marginal" to both parties and achievements fell below expectations.
• Capacity constraints in MINEA/DNE constrained the closer monitoring and control of implementation that could have resulted in more timely delivery, less budget under-spend and more coordination of effort for achievement of results.
• In general, Norad recognises that 'institutional cooperation' is in itself difficult, and this is compounded when the focus is on transfer of key principles and their application, as was the intention of the design for the Norwegian support programme. NVE was not actively involved in the formative stage, and it appears that the project design did not sufficiently consider the capacity and capability of institutions such as NVE to contribute and to deploy the best and most relevant competencies and personnel when required - this has not been the case over the past few years.
• The view that the resourcing approach could have been different (i.e. more and longer-term Norwegian presence in Luanda) is shared by MINEA/DNE and NORPLAN, the latter with particular reference to the institutional support provided to EDEL. Similarly, the difficulties encountered due to limitations on available Angolan counterparty human resources were also under-estimated, particularly for the MINEA/DNE components of the programme. This key risk could have been mitigated - at least in part - by sustained in-country support.
• Regarding opportunities for future cooperation a key impediment to the realisation of any potential is Angola's dire shortage of human resource capacity for effective energy sector management.

Se nyhetssak 15.05.08: Manglende måloppnåelse i "ikke-petroleumssektoren" i Angola