India: Assam Power Sector Investment Program - Tranche 1

Sovereign Project | 47101-002

Summary

ADB and the Government of India are working together to help India's northeastern Assam state continue its drive to eliminate power sector inefficiencies that are hurting its consumers, its world-famous tea industry, and its environment. The Assam Power Sector Investment Program is upgrading power generation and distribution systems, including the construction of a 120-megawatt hydropower plant. It is also financing new energy efficient power generation equipment at existing plants; new distribution lines and substations; and financial management training and other support for staff of state power companies, Assam Power Generation Corporation and Assam Power Distribution Company. The project is bolstering the finances of the state power companies by helping them decrease their purchases of expensive electricity from independent power producers.

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Procurement Documents


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Project Name Assam Power Sector Investment Program - Tranche 1
Project Number 47101-002
Country India
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3140-IND: Assam Power Sector Investment Program - Tranche 1
Ordinary capital resources US$ 50.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Sector / Subsector

Energy - Conventional energy generation

Gender Equity and Mainstreaming No gender elements
Description ADB and the Government of India are working together to help India's northeastern Assam state continue its drive to eliminate power sector inefficiencies that are hurting its consumers, its world-famous tea industry, and its environment. The Assam Power Sector Investment Program is upgrading power generation and distribution systems, including the construction of a 120-megawatt hydropower plant. It is also financing new energy efficient power generation equipment at existing plants; new distribution lines and substations; and financial management training and other support for staff of state power companies, Assam Power Generation Corporation and Assam Power Distribution Company. The project is bolstering the finances of the state power companies by helping them decrease their purchases of expensive electricity from independent power producers. In addition, the program is supporting the construction of the Lower Kopili run-of-the-river hydropower plant in central Assam that will help the state avoid over 530,000 tons per annum of carbon dioxide emissions that would otherwise be produced by fossil fuel-driven generation. By cutting power outages in the state, the program is benefiting over 2.7 million consumers. It is also promoting economic growth and creating employment opportunities by helping to supply reliable power to the state. This is helping Assam attract investment and more fully tap its economic potential while reducing poverty.
Project Rationale and Linkage to Country/Regional Strategy In India''s state of Assam, demand for electricity has grown far faster than supply. High transmission and distribution losses have exacerbated the situation. More than a third of households in Assam have traditionally faced daily electricity outages of 5 to 6 hours. Power shortages, low voltage power, and scheduled power outages have often undermined Assam's industrial competitiveness and agricultural potential. Many important industries, such as the state's famous tea gardens, have not been connected to the power grid and during peak periods the state has to buy power from independent producers at high cost. The broader economic implications of the poorly performing power sector include curtailed competitiveness and productivity, fewer job opportunities, reduced investment, and inefficient use of resources. Supply deficits force consumers to use more expensive, less-efficient, and more polluting energy sources, such as smaller diesel generators.
Impact increased capacity and efficiency of energy generation systems in Assam.
Project Outcome
Description of Outcome increased capacity and efficiency in Lakwa power plant.
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Generation system upgraded and expanded

Institutional capacity of APGC & APDC strengthened.

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects B
Involuntary Resettlement C
Indigenous Peoples C
Stakeholder Communication, Participation, and Consultation
During Project Design Stakeholders consultation and participation are being carried out and will continue during the project processing and design.
During Project Implementation Stakeholders consultation and participation will be arranged during the project implementation
Business Opportunities
Consulting Services There are 5 consultancy firm packages for: (i) Accounting, Audit, Budget & Cost Accounting and Materials Management Manuals Preparation; (ii) Capacity Building and Human Resource Development for Power Sector Utilities; (iii) Project Preparation Tender Development and Award Management Process for Lower Kopili Hydropower Project; (iv) Project Management and Construction Supervision for Lakwa Replacement Gas Engine Based Power Plant; and (v) Enterprise Resource Planning Implementation and Infrastructure Development for Assam Power Generation Company. Three individual consultants are being recruited for Enterprise Resource Planning and Environmental and Social Safeguards for Lower Kopili Hydropower Project and Lakwa Replacement Gas Engine Based Power Plant.
Procurement Goods, equipment, and civil works to be financed under the Investment Program will be procured in accordance with ADB Procurement Guidelines (2013, as amended from time to time). International Competitive Bidding will be used for civil works and turnkey contracts. Advance contracting was approved on 26 August 2013. Consultants will be engaged to help with project management. The Tranche 1 will have one major turnkey contract for gas plant replacement.
Responsible ADB Officer Aziz Yusupov
Responsible ADB Department South Asia Department
Responsible ADB Division Energy Division, SARD
Executing Agencies
Assam Power Generation Corporation Ltd.PMU_ASEB@REDIFFMAIL.COMAssam State Electricity Board ,
4th Floor Bijuleen Bhawan Paltan Bazar,
Guwahati-781001
Timetable
Concept Clearance -
Fact Finding -
MRM 18 Feb 2014
Approval 11 Jul 2014
Last Review Mission -
Last PDS Update 30 Mar 2015

Loan 3140-IND

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
11 Jul 2014 20 Feb 2015 12 May 2015 30 Jun 2019 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 62.00 Cumulative Contract Awards
ADB 50.00 11 Jul 2014 2.04 0.00 4%
Counterpart 12.00 Cumulative Disbursements
Cofinancing 0.00 11 Jul 2014 0.00 0.00 0%

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Assam Second Power Sector Investment Program - Tranche 1 Initial Environmental Examination Oct 2013
Assam Second Power Sector Investment Program - Tranche 1 Initial Environmental Examination Sep 2013

Evaluation Documents

See also: Independent Evaluation

No documents found.


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