Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date 21 Nov 2006
PDS Updated as of 31 Jul 2007

Project Name Rural Electrification Network Expansion
Country Bhutan
Project/Program Number 34374-013
Status Approved
Geographical Location Districts of Chhukha, Lhuentse, Mongar, Pemagatshel, Punakha, Samtse, Sarpang, and Trashigang.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector Energy
Subsector Electricity Transmission and Distribution
Strategic Agendas
Drivers of Change
Gender Equity and Mainstreaming Categories


Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)

Safeguard Categories

For more information about the safeguard categories, please see

Environment B

Summary of Environmental and Social Issues

The Project will give about 8,000 households access to electricity. About 43% are below the national poverty line of $187 per capital per year. The targeted districts have a sufficient number of poor and vulnerable households among the 20 districts. Social and poverty information was obtained from primary data collected through the ADB study on Socioeconomic Impacts of Rural Electrification (Phase 1 Survey, information from the Household Income and Expenditure Survey (HEIS), the Poverty Assessment and Analysis Report 2000, the Comprehensive Food Security Programme Report and rapid rural assessment (RRA). The targeting of poor and vulnerable districts for electrification will avoid the problem of poverty targeting experienced in previous RE projects. The Project, which includes only distribution lines and pole-mounted transformers, is also subject to Bhutan's Environmental Assessment Act 2000. An Initial Environmental Examination (IEE) was prepared to provide adequate environmental assessment. Overall environmental impacts are deemed to be minor. An environmental management and monitoring plan has been prepared. During construction, regular inspections will be conducted, particularly during the rainy season, to ensure that contractors are complying with all clauses in the contract documentation specifying mitigation measures and mechanisms for environmental protection (revegetation and provision of adequate ground cover). On these basis, an Environmental Impact Assessment (EIA) is not necessary.

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples

Stakeholder Communication, Participation and Consultation

BPC has assured that there are no pending cases with regard to land acquisition or involuntary resettlement. BPC has obtained clearance from the National Environmental Commission before any works are allowed to commence.

During Project Design
During Project Implementation


The objectives of the proposed loan are to: (i) Expand the delivery of electricity from existing national hydropower stations as an important and necessary input to rural residents in Bhutan to improve their living standards, conditions for education, and health service delivery; and (ii) provide opportunities for the rural poor to increase their economic productivity, thus creating jobs and raising income.

Project Rationale and Linkage to Country/Regional Strategy

Development Impact

Project Outcome

Description of Outcome
Progress Towards Outcome

Outputs and Implementation Progress

Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Status of Development Objectives
Material Changes

Business Opportunities

Date of First Listing 2006 Nov 21
Consulting Services
An international consulting firm will be recruited in accordance with the ADB's Guidelines for the Use of Consultants and other arrangement acceptable to ADB for the recruitment of domestic consultants. BPC will bid out two separate contracts, one for international consulting and another for domestic consulting. It is estimated that about 5 person-months of international consulting, and 6 person-months domestic consulting, on an intermittent basis, will be required. The international consultant will assist BPC with procurement, design review, and the domestic consultant will assist with the monitoring and evaluation of project details.
Procurement of necessary equipment and materials and civil works for the proposed project will be undertaken in accordance with the ADB's Guidelines for Procurement using ADB's standard bidding documents. Eight packages are expected for equipment and three packages for civil works. Supply packages estimated to cost $500,000 or less, will be procured using International Shopping procedures. Supply packages with an estimated contract value of more than $500,000 will be procured through International Competitive Bidding. The civil works packages will be procured using Local Competitive Bidding.
Procurement and Consulting Notices


Concept Clearance
Fact-finding 28 Apr 2003 to 09 May 2003
Management Review Meeting 02 Jul 2003
Approval 30 Sep 2003
Last Review Mission


Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 2009 30 Sep 2003 15 Dec 2003 31 Mar 2004 31 Mar 2007 19 Dec 2006


Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
30 Sep 2014 Loan 2009 9,702 0 99.00%
Cumulative Disbursements
30 Sep 2014 Loan 2009 9,759 0 100.00%

Status of Covenants

Covenants are categorized under the following categories—audited accounts, safeguards, social, sector, financial, economic, and others. Covenant compliance is rated by category by applying the following criteria: (i) Satisfactory—all covenants in the category are being complied with, with a maximum of one exception allowed, (ii) Partly Satisfactory—a maximum of two covenants in the category are not being complied with, (iii) Unsatisfactory—three or more covenants in the category are not being complied with. As per the 2011 Public Communications Policy, covenant compliance ratings for Project Financial Statements apply only to projects whose invitation for negotiation falls after 2 April 2012.

Approval No. Category
Sector Social Financial Economic Others Safeguards Project Financial Statements
Loan 2009

Contacts and Update Details

Responsible ADB Officer Kaoru Ogino (
Responsible ADB Department South Asia Department
Responsible ADB Divisions Energy Division, SARD
Executing Agencies Bhutan Power Corporation
Suresh Nepal


Project Website
List of Project Documents