The objective of the Madhya Pradesh Power Sector Program II is to make the power sector financially sustainable, resulting in net fiscal inflows to the Government. The Program will continue promoting power sector reforms at the state level, by financing further costs of adjustments. The implementation of the Program is built around five pillars: (i) implementation of the financial restructuring plan, ii) align the financial restructuring plan with the medium term fiscal frameworks, (iii) ensure full autonomy for the power sector companies, (iv) improve legal and regulatory compliance, and (v) enhance awareness and communication with stakeholders. The Program period is expected to be 3 years.
|Project Name||MFF - Madhya Pradesh Power Sector Investment Program (Facility Concept)|
|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||No gender elements|
|Description||The objective of the Madhya Pradesh Power Sector Program II is to make the power sector financially sustainable, resulting in net fiscal inflows to the Government. The Program will continue promoting power sector reforms at the state level, by financing further costs of adjustments. The implementation of the Program is built around five pillars: (i) implementation of the financial restructuring plan, ii) align the financial restructuring plan with the medium term fiscal frameworks, (iii) ensure full autonomy for the power sector companies, (iv) improve legal and regulatory compliance, and (v) enhance awareness and communication with stakeholders. The Program period is expected to be 3 years.|
|Project Rationale and Linkage to Country/Regional Strategy|
Contributed to sustaining economic growth and social development in Madhya Pradesh.
Contributed to meeting the energy demand growth in Madhya Pradesh.
|Description of Outcome||
Sustainable and commercially operated power sector companies.
Improvement in operational efficiency, voltage profile, and power delivery capacity of Madhya Pradesh.
Reduction in system losses and improved supply quality and reliability.
Capacity of sector institutions strengthened.
Improved energy efficiency.
Increased private sector participation.
|Progress Toward Outcome||MFF physically closed on 31 December 2014.|
|Description of Project Outputs||
Construction of transmission lines for power evacuation and strengthening of transmission systems.
Distribution enhancement in east distribution zone:
Installation of remote metering and high-voltage distribution systems; renovation of substation protection system and customer service lines; implementation of SCADA.
Distribution enhancement in central distribution zone:
Installation of high-voltage distribution system and remote metering for industrial consumers, and consumer metering; renovation of substation protection system, and distribution system strengthening; and distribution transformer metering.
Distribution enhancement in west distribution zone:
Installation of high-voltage distribution system, substation protection system, SCADA, Jyoti Gram Yojna, distribution system strengthening, distribution transformer metering, and capacitor banks.
Development of MIS for power trade function.
Establishment of Energy Conservation Fund.
Facilitation of private sector participation in distribution through piloting strategic partnership modality and expanding franchising scheme.
Financial sustainability of power sector.
|Status of Implementation Progress (Outputs, Activities, and Issues)||All outputs achieved.|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||The Environmental Monitoring reports submitted by EAs have been uploaded on ADB website.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||During Project preparation, consultations were held with the concerned Government officials. Additionally, consultations were also carried out with the affected persons in the project area and with the local community.|
|During Project Implementation||Public consultation with all stakeholders continued throughout implementation of the project.|
|Consulting Services||Not applicable.|
|Responsible ADB Officer||Banerjee, Jyotirmoy|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||India Resident Mission|
Department of Economic Affairs
Ms. Sharmila Chavaly, Director (ADB)
Ministry of Finance Room No. 40-B North Block New Delhi-110001, India
|Concept Clearance||23 Nov 2005|
|Fact Finding||16 Oct 2006 to 24 Oct 2006|
|MRM||11 Dec 2006|
|Approval||29 Mar 2007|
|Last Review Mission||-|
|PDS Creation Date||17 Sep 2007|
|Last PDS Update||30 Mar 2015|
MFF Facility Concept 0011-IND
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||920.00||Cumulative Contract Awards|
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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|Title||Document Type||Document Date|
|Loan Agreement for Madhya Pradesh Power Sector Investment Program - Project 4 between India and Asian Development Bank dated 7 March 2008||Loan Agreement (Ordinary Resources)||Mar 2008|
|Madhya Pradesh Power Sector Investment Program||Reports and Recommendations of the President||Feb 2007|
|Framework Financing Agreement for Madhya Pradesh Power Sector Investment Program between India||Framework Financing Agreement||Feb 2007|
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.
Evaluation Documents See also: Independent Evaluation
None currently available.
|Title||Document Type||Document Date|
|India: Madhya Pradesh Power Sector Investment Program||Papers and Briefs||May 2015|
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.
Requests for information may also be directed to the InfoUnit.