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

Countries
  • Nepal
Geographic location 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
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Dec 12, 2019
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Nepal
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
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, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 112.30 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Loan Amount (USD)
$ 112.30 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 157.10 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ AIIB website

Updated in EWS Jun 23, 2023

Disclosed by Bank May 10, 2018

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed 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
Here you can find a list of individual development financial institutions that finance the project.

The funding for this project is:

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


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

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.




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