Nepal: Power Distribution System Upgrade and Expansion Project (AIIB-000086)

Countries
  • Nepal
Where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Infrastructure Investment Bank (AIIB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Bank Risk Rating
B
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Borrower
Nepal
The holder of the loan, grant, or other investment.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 100.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Loan Amount (USD)
$ 100.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 107.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Bank Documents
Primary Source

Original disclosure @ AIIB website

Updated in EWS Jun 29, 2020

Disclosed by Bank May 10, 2018


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Project Description

The project objective is to increase access to electricity and reduce distribution system losses in the western and far-western regions of Nepal.

According to AIIB documents, this project has the following components:

Component 1: Construction of new 33/11kV substations, related lines, and facilities.
This component will comprise activities relating to the construction of new substations and related lines, including, but not limited to: construction of new 33/11 kV substations; 33 kV supply lines; 11 kV feeders; installation of distribution transformers; placement of LV capacitor banks and regulators where needed; and connecting new consumers.

Component 2: Upgrading and rehabilitation of existing 33/11kV substations, related lines, and facilities

Component 3: Construction of new integrated compact substations, related lines and facilities, where needed

Component 4: Capacity Building, Project Implementation Support, and Technical Assistance

Investment Description
  • Asian Infrastructure Investment Bank (AIIB)

The funding for this project is:

AIIB - 100 million USD
NEA - 7 million USD
EIB - 100 million USD

Contact Information

Asian Infrastructure Investment Bank (AIIB)
Jeesun Han
Project Team Leader / Investment Operations Specialist- Energy
Tel: +86 10 8358 0277
E-Mail: jeesun.han@aiib.org


Borrower
Yug Raj Pandey
Under Secretary, Ministry of Finance, Government of Nepal
Tel: +977 1 421 1372
E-Mail: ypandey@mof.gov.np


Implementation Agency
Vijay Kumar Chaudhary
Deputy Manager, Distribution and Consumer Services, Nepal Electricity Authority
Tel: +977 1 415 3253
E-Mail: mmddcsd@gmail.com

 

ACCOUNTABILITY MECHANISM OF AIIB

The AIIB has established the Accountability Mechanism for Project-Affected People (PPM).  The PPM provides “an opportunity for an independent and impartial review of submissions from Project-affected people who believe they have been or are likely to be adversely affected by AIIB’s failure to implement the ESP in situations when their concerns cannot be addressed satisfactorily through Project level GRMs or AIIB Management processes.” Two or more project-affected people can file a complaint.  Under the current AIIB policy, when the bank co-finances a project with another development bank, it may apply the other bank's standards. You can refer to the Project Summary Information document to find out which standards apply.  You can learn more about the PPM and how to file a complaint at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/how-we-assist-you/index.html.

The complaint submission form can be accessed in Arabic, Bahasa Indonesia, Bengali, Chinese, English, Tagalog, Hindi, Nepali, Russian, Turkish, or Urdu. The submission form can be found at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/submission/index.html.