The project objectives are to (i) extend the transmission and distribution system in the northern rural area to provide electricity to rural low-income communities; and (ii) promote power sector restructuring, strengthen EdL's project management ability and improve operational efficiency. The project scope includes (i) reinforcement and extension of the existing high voltage (115 kV) power grid; (ii) construction of associated medium (34.5/22 kV) and low [400 volts (V)] voltage distribution system, and (iii) provision of consulting services to assist Electricite du Lao in detailed Project design, implementation supervision and other capacity building support.
|Project Name||Northern Area Rural Power Distribution|
|Country||Lao People's Democratic Republic|
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Inclusive economic growth
|Drivers of Change||Governance and capacity development
|Sector / Subsector||
Energy - Electricity transmission and distribution
|Gender Equity and Mainstreaming||Some gender elements|
|Description||The project objectives are to (i) extend the transmission and distribution system in the northern rural area to provide electricity to rural low-income communities; and (ii) promote power sector restructuring, strengthen EdL's project management ability and improve operational efficiency. The project scope includes (i) reinforcement and extension of the existing high voltage (115 kV) power grid; (ii) construction of associated medium (34.5/22 kV) and low [400 volts (V)] voltage distribution system, and (iii) provision of consulting services to assist Electricite du Lao in detailed Project design, implementation supervision and other capacity building support.|
|Project Rationale and Linkage to Country/Regional Strategy||The Lao PDR is one of the least developed countries in Southeast Asia. As 80% of the country's population is rural, rural development is needed to reduce poverty. Bringing electricity to rural areas, especially poor villages, is key to promoting rural development. Despite the country?s comparative advantage in producing power and the low cost of production, low population density makes initial capital investments in rural electrification expensive. The Lao PDR thus has one of the lowest electrification rates in the region, which hinders the country?s ability to attract investments and to develop rural areas. Less than 20% of villages have electricity, which limits commercialization and diversification of the economy. Poverty incidence strongly correlates wit the lack of electricity. The government thus gives electrification high priority, particularly in rural areas, and expects that by 2010 about 70% of the population will have electricity. The project will electrify 342 villages and towns, and directly benefit poor households (about 43% of the total rural population). These households will substantially reduce their expenditure on energy, and improve their income and quality of life. The indirect benefits include improved health and education and other benefits form rural development. Access to reliable and good electricity services will improve the ability of the rural population to generate economic growth and better benefit form it|
|Description of Outcome|
|Progress Toward Outcome|
|Description of Project Outputs|
|Status of Implementation Progress (Outputs, Activities, and Issues)|
|Geographical Location||The Project covers five provinces in the Northern part of Lao including Louang Nam Tha, Louang Phrabang, Oudomxay, Xiengkhouang, Xaignabouli, and Vientiane.|
Summary of Environmental and Social Aspects
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
|Consulting Services||International consulting services will be required for assisting EdL in Project engineering, procurement, supervision of installation and construction, and final testing and commissioning. Consultant services will be financed from Nordic Development Fund (NDF) loan. Consultants will be recruited by EdL, in accordance with the Guidelines of Nordic Competitive Bidding, and in full consultation with ADB.|
|Procurement||Procurement of goods and services financed by ADB will be carried out in accordance with ADB's Guidelines for Procurement, while procurement for components financed from other sources will be in accordance with the guidelines of the corresponding cofinancing agencies. To accelerate the implementation of the Project, approval of advance procurement action is recommended.|
|Responsible ADB Officer||Phommachanh, Phoxay Pho|
|Responsible ADB Department||Southeast Asia Department|
|Responsible ADB Division||Lao Resident Mission|
Electricite du Laos
Mr. Siprasith Boupha
Samsenethai Road, P.O. Box 309
Lao People's Democratic Republic
|Concept Clearance||08 Mar 1999|
|Fact Finding||23 Apr 2002 to 07 May 2002|
|MRM||30 Aug 2002|
|Approval||18 Sep 2003|
|Last Review Mission||-|
|PDS Creation Date||30 Nov 2006|
|Last PDS Update||01 Sep 2010|
|Approval||Signing Date||Effectivity Date||Closing|
|18 Sep 2003||09 Dec 2003||08 Mar 2004||30 Sep 2008||31 Mar 2010||23 Jun 2010|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||38.51||Cumulative Contract Awards|
|ADB||30.00||18 Sep 2003||30.96||0.00||98%|
|Cofinancing||0.00||18 Sep 2003||31.57||0.00||100%|
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.
The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
|Title||Document Type||Document Date|
|Northern Area Rural Power Distribution: Resettlement Plan for 115 kV Transmission Line: Namgnum-Thalath||Resettlement Plans||Jun 2007|
|Northern Area Rural Power Distribution: Summary Short Resettlement Plan (Appendix to the RRP)||Resettlement Plans||Aug 2003|
|Northern Area Rural Power Distribution: Short Resettlement Plan||Resettlement Plans||Sep 2002|
Evaluation Documents See also: Independent Evaluation
|Title||Document Type||Document Date|
|Lao People’s Democratic Republic: Northern Area Rural Power Distribution Project||Validations of Project Completion Reports||Dec 2012|
None currently available.
The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
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