Tranche 2 will finance investments in (i) construction of 210 km of 765kV transmission line, 264 km of 400kV transmission line, 240 km of 220kV double circuit transmission line, 132 km of 132kV transmission line, and Optical Ground Wires (OPGW) to connect existing substations; and (ii) construction of eight substations, augmentation of transformers at two substations, and bay extensions at five substations. CO2 reduction of 8,578,704 tons per annum is an indirect benefit of this project, which will be achieved by transmitting renewable energy to be generated from Western Rajasthan.
PROJECT RATIONALE AND LINKAGE TO COUNTRY/REGIONAL STRATEGY
Around 300 million people have no access to electricity in India. The country has been dependent on fossil fuel imports of coal and gas to generate electricity. At the same time, India is also promoting increased use of clean energy, universal access and energy self-sufficiency by supplementing conventional power generation sources. In 2015, the government announced at the Conference of Parties (COP) 21 in Paris that it aims to increase to 40 percent the share of installed electric power capacity from non-fossilfuel- based energy resources by 2030. This includes plans to quadruple the country's renewable energy capacity to 175GW by 2022 and revise the target of grid-connected solar power from 20GW to 100GW by 2022. Due to its tropical location, some regions in India benefit from solar irradiation ranging from 4 7 kilowatt-hours per square meter of area. The solar irradiation available in the western regions, particularly in the desert regions of Rajasthan, is at the higher end of this spectrum. India also has significant wind potential in its western region. These advantages have led to India's decision to invest in renewable energy particularly in the state of Rajasthan.
In May 2010, the Asian Development Bank (ADB) announced the Asia Solar Energy Initiative to catalyze 3,000 MW in solar energy projects through innovative public private partnerships. ADB's operations departments have been active through public and private sector support in this strategic space for some time. ADB's private sector operations have financed stand-alone solar power projects across India, including projects in Rajasthan. ADB support for the public sector activities has been provided mainly through financing for transmission facilities. This included support for the transmission infrastructure for solar parks in the state of Gujarat in 2010. The pipeline of renewable energy projects is strong and growing.
The Government of India and Rajasthan requested support from ADB for the development of renewable energy projects in Rajasthan, including in its planned solar parks, as well as financing through an MFF to set up transmission and associated infrastructure to manage integration of renewable energy.
Development of renewable energy sources in Rajasthan and India accelerated.
All procurement of goods and works will be undertaken in accordance with ADB's Procurement Guidelines (2015, as amended from time to time).
International competitive bidding procedures will be used for supply and turnkey contracts estimated to cost $40 million or more, and supply contracts valued at $3,000,000 or higher.
Before the start of any procurement, ADB and the government will review the public procurement laws of the central and state governments to ensure consistency with ADB's Procurement Guidelines (2015, as amended from time to time).
ACCOUNTABILITY MECHANISM OF ADB
The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main
Responsible ADB Officer Enomoto, Kazuhiro
Responsible ADB Department South Asia Department
Responsible ADB Division Energy Division, SARD
Executing Agencies Rajasthan Rajya Vidyut Prasaran Nigam Limited
Vidyut Bhawan, Janpath, Jaipur 302 005