Pakistan: Power Transmission Enhancement Investment Program Tranche 2

Project Name Power Transmission Enhancement Investment Program Tranche 2
Project Number 37192-033
Country / Economy Pakistan
Project Status Closed
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 2396-PAK: MFF-Power Transmission Enhancement Investment Program PFR2
Ordinary capital resources US$ 165.00 million
Strategic Agendas Environmentally sustainable growth
Drivers of Change Governance and capacity development
Sector / Subsector

Energy / Electricity transmission and distribution

Gender No gender elements
Description Pakistan's power system continues to operate under stressed conditions. The transmission network, the power system's backbone, requires renovation and expansion in order to meet the objective to supply reliable and high-quality power and meet rising demand from industrial, commercial, agricultural, and domestic customers. Investments under the project will continue to address the immediate priorities of the primary transmission system improvement, dealing with the capacity shortfalls that currently result in regular system outages and supply interruptions to customers. These investments are consistent with the Government's strategy to achieve the following outcomes: (i) a more efficient power system; (ii) high-quality power supply through a more reliable and stable system; (iii) greater geographic coverage of power supply; and (iv) greater access to affordable electricity, by bringing hydroelectric and coal-fired thermal energy to load centers.
Project Rationale and Linkage to Country/Regional Strategy Power is an essential commodity for growth and expansion and in turn for the economic and social development of Pakistan. Historically, power generation has received much more attention than transmission. This Investment Program seeks to (i) rehabilitate, augment, and expand parts of the system to meet current generation capacities; (ii) expand and augment the system to cope with future power generation stations; and (iii) ensure continued operation and maintenance in accordance with best international practices.
Impact Enhanced power transmission operations and management in Pakistan.
Project Outcome
Description of Outcome Primary transmission systems rehabilitated, augmented and expanded.
Progress Toward Outcome Out of the 10 subprojects, 9 subprojects have been energized as of the previous loan closing date on 31 Dec 2014. Loan was extended to 29 Feb 2016 to complete the remaining activities under ADB-14 and ADB-49B, and process outstanding payments for these and other contracts. The remaining lots under ADB-56 were cancelled from the loan.
Implementation Progress
Description of Project Outputs

Substation constructed and rehabilitated.

Transmission line commissioned.

Augmentation and system stabilization.

Status of Implementation Progress (Outputs, Activities, and Issues)

As of the previous loan closing in Dec 2014, substations substantially done. Loan extended to 29 Feb 2016 to complete installation of telecoms equipment for T.T. Singh and Okara substations. DG Khan substation commissioned in July 2014.

Jarwar-Sadiqabad transmission line commissioned on 24 June 2009.

SVC at Lahore (ADB-14) delayed. After a court case between the contractor and subcontractor, works resumed in Feb 2015. Loan was extended to 29 Feb 2016 to complete the works.

Geographical Location Dera Ghazi Khan, Dera Ghazi Khan, Ghazi Barotha, Jarwar, Lahore, Loralai, Okara, Ravi Town, Rohri, Sadiqabad, Toba Tek Singh
Safeguard Categories
Environment B
Involuntary Resettlement A
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects The 10 subprojects are far apart, and therefore, there is no significant potential for cumulative impacts in the design, construction, or operational phases. NTDC ensured that the (i) subprojects were constructed and operated following national and local environmental procedures and guidelines and ADB's Safeguard Policy; (ii) subprojects are designed, constructed, and operated following the environment management plans (EMPs) as reflected in the initial environment examinations and the Environment Assessment Review Framework; (iii) EMPs were incorporated in bidding documents and civil work contracts, and implemented; and (iv) environmental performance reports were submitted to ADB during construction. An independent monitoring agency acceptable to ADB conducted monitoring and evaluation of environmental and social safeguards.
Involuntary Resettlement Of the 10 subprojects, four were assessed to trigger ADB's Safeguard Policy. None of these subprojects, however, required housing relocation, or severely affected more than 200 people. A due diligence report documenting land acquisition modalities and circumstances was prepared. Under civil works contracts, all LARFs and RPs were complied with per ADB Policy and Government procedures. All payments were made prior to commencing civil works for all subprojects. NTDC submitted 7 due diligence reports which were approved by ADB. The contract for External Monitoring Consultants under Tranche 1 was extended to cover monitoring for Tranche 2.
Indigenous Peoples No indigenous peoples were affected in any of the subprojects.
Stakeholder Communication, Participation, and Consultation
During Project Design Stakeholder analysis was undertaken. All stakeholders have been actively involved to reduce grievances and to ensure that benefits are distributed fairly.
During Project Implementation The forms of public consultation and participation during implementation were information sharing and consultations.
Business Opportunities
Consulting Services All consulting services to be financed under the Facility shall be procured in accordance with the Guidelines on the Use of Consultants by Asian Development Bank and Its Borrowers, February 2007, as amended from time to time.
Procurement All goods and services to be financed will be procured in accordance with ADB's Procurement Guidelines, February 2007, as amended from time to time.
Responsible ADB Officer Luo, Tianhua
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Energy Division, CWRD
Executing Agencies
National Transmission & Despatch Company Limited
*Mr. Ameer-ur-Rehman
[email protected]
Rm. 414, WAPDA House, Shahrah-e-Quaid-e Azam, Lahore
Timetable
Concept Clearance 08 Sep 2005
Fact Finding -
MRM -
Approval 17 Dec 2007
Last Review Mission -
PDS Creation Date 11 Nov 2008
Last PDS Update 30 Mar 2016

LoanĀ 2396-PAK

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
17 Dec 2007 20 May 2008 17 Apr 2009 31 Dec 2013 29 Feb 2016 22 Aug 2016
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 221.00 Cumulative Contract Awards
ADB 165.00 17 Jun 2022 156.84 0.00 100%
Counterpart 56.00 Cumulative Disbursements
Cofinancing 0.00 17 Jun 2022 156.84 0.00 100%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating Satisfactory Satisfactory Satisfactory Satisfactory - Satisfactory

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Source URL: https://www.adb.org/projects/37192-033/main