MFF Power Transmission Enhancement Investment Program II Tranche 2 (ADB-48078-004)

Countries
  • Pakistan
Where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
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.
Voting Date
Sep 29, 2017
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Government of Pakistan
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.
Loan Amount (USD)
$ 260.00 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)
$ 345.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Oct 25, 2017

Disclosed by Bank Oct 3, 2017


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Project Description
Tranche 2 will expand 220 kilovolts (kV) transmission system in Sindh and Balochistan provinces to remove transmission network bottlenecks in the system and to enable the network to handle the expected future loads. It will also adopt high level technology to upgrade supervisory control and data acquisition (SCADA) system cross the national grid to enable the transmission system operator, NTDC, to monitor and control the grid in real-time and prevent or reduce the duration of outages in the network, thus increase grid stability, reliability and resilience to accommodate more intermittent renewable energy. It will also feed computerized metering data complying with the Grid Code into the system for settlement (SFS) of the market operator, CPPA-G, to streamline revenue collection, billing and payment processes, and create a foundation for a future energy trading platform. PROJECT RATIONALE AND LINKAGE TO COUNTRY/REGIONAL STRATEGY A reliable and sustainable energy sector is essential to the economic growth and wellbeing of Pakistan. Load shedding has become common and severe, leading to civil strife and factory closures. Over one-third of the population does not have access to grid electricity which lessens opportunities for inclusive growth. Chronic power shortages are estimated to have reduced gross domestic product (GDP) growth by at least 2% in 2012 and 2013, and are considered the major cause of the slowdown in large-scale manufacturing, which grew at only 1.1% in fiscal year (FY) 2012 and 4.1% in FY2013. This proposed investment program will continue to support NTDC to improve power transmission infrastructure and management in Pakistan by building on the work completed under the Power Transmission Enhancement Investment Program (MFF-0007). IMPACT Transmission infrastructure improved, and energy market transparency and efficiency improved. CONSULTING SERVICES The recruitment of consultants will follow ADB Guidelines on the Use of Consultants (2013, as amended from time to time), using quality- and cost-based selection method with 90:10 quality/cost weighting. PROCUREMENT Projects will be procured through international competitive bidding following ADB s Procurement Guidelines (2015, as amended from time to time).
Investment Description
  • Asian Development Bank (ADB)
Contact Information
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