Bangladesh: Power Sector Development Program (Project Loan)
The objectives are: (i) construction of 2X100MW peak load power generation capacity close to Dhaka, (ii) establishment of National Load Dispatch Center to be located in the outskirts of Dhaka, (iii) upgrading and expansion of the distribution grid in the northwest region of Bangladesh, which will improve losses and extension of electricity supply to urban as well as rural households and the commercial sector.
kilometers of distribution lines installed or upgraded
TWh equivalent per year in energy saved
MW installed energy generation capacity using conventional and renewable energy sources
tCO2 equivalent per year in greenhouse gas emission reduction
new households connected to electricity
The results data reported above are limited to ADB's core sectors, as defined under Strategy 2020 and tracked through indicators in the ADB Results Framework. For definitions of results indicators, please see the ADB Results Framework Indicators Definition.
Rahman, Md. Saidur
South Asia Department
Request for information
|Project Name||Power Sector Development Program (Project Loan)|
|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 objectives are: (i) construction of 2X100MW peak load power generation capacity close to Dhaka, (ii) establishment of National Load Dispatch Center to be located in the outskirts of Dhaka, (iii) upgrading and expansion of the distribution grid in the northwest region of Bangladesh, which will improve losses and extension of electricity supply to urban as well as rural households and the commercial sector.|
|Project Rationale and Linkage to Country/Regional Strategy||The combined intervention of the proposed investments and the program componets are strongly linked and will further enhance the Government's ongoing reform program and strengthening of the power sector's financial and economic viability over the next 5 years, and improve sector oversight and governance, thereby providing an assurance of sustained growth of the sector and gradually relieve the Government of financial support for the sector.|
|Impact||To achieve economic development and alleviate poverty through improved governance, and financial and operational performance of the power sector.|
|Description of Outcome||
1. Reform the power sector through financially restructuring two major companies (PGCB and DESCO) and prepare the sector for long-term sustainability and gradually relieve it of the Government's support of the sector.
2. Improved customer service and quality of supply
|Progress Toward Outcome||Partially achieved. Highlights are: DESCO's system loss has reduced consistently over 2001-2002 to 2011-12 time period from 26.66% to 8.79%. However,Load shedding exists due to shortage of power supply. BERC in place.|
|Description of Project Outputs||
Peak Load Power Plant
National Load Dispatch Center (NLDC)
Upgraded distribution network in northwest zone of Bangladesh.
Northwest Power Distribution Company
New Siddhirganj Power Station Company
|Status of Implementation Progress (Outputs, Activities, and Issues)||
Physical Output Progress:
2x120 power generation capacity was added in November 2011.
National Load Dispatch Center (NLDC) was commissioned on 18 April 2010.
980.78 km of distribution netwrk added/upgraded in northwest zone of Bangladesh.
2x120 MW Power Plant was transferred back from EGCB to BPDB on 17 Jan 2011.
|Summary of Environmental and Social Aspects|
Environmental - The Borrower shall ensure that the environmental mitigation measures identified in the initial environmental examination (IEE) are incorporated and followed during construction, operation, and maintenance of program facilities.
Social Issues - The Borrower will require contracts for all civil works contractors to provide information at worksites on the risks of sexually transmitted diseases and HIV/AIDS as part of the health and safety measures of those employed during construction.
The Borrower shall ensure that all program-related activities are carried out in complaince with all applicable labor laws and regulations, including equal pay for equal work, and that no child labor is employed in any program-related work.
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
|Consulting Services||Consultants will support PGCB, BPDB, and the new generation and distribution companies, for their respective parts of the Project and will be recruited in accordance with ADB's Guidelines on the Use of Consultants. Consultants will essentially provide design review, quality assurance services and training.|
|Procurement||Goods and services financed by ADB will be procured following ADB's Guidelines for Procurement. For such procurement, bid specifications will be prepared so as to ensure maximum competition under international competitive bidding. Advanced Procurement has been allowed.|
|Responsible ADB Officer||Rahman, Md. Saidur|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||Bangladesh Resident Mission|
Bangladesh Power Development Board (BPDB)
Mr. ASM Alamgir Kabir
WAPDA Building, 9th Floor
Dhaka-1000,Bangladesh Electricity Generation of Bangladesh Limited
Mr. AMM Mortoza Ali
BTMC Bhaban (8th Floor)
7-9 Kawran Bazar C/A,
Dhaka-1215, Bangladesh Power Grid Company of Bangladesh, Ltd. (PGCB)
Mr. Md. Ruhul Amin
PGCB Head Office
A/2 Jahurul Islam Avenue
Aftabnagar, Badda, Dhaka-1212, Bangladesh
|Concept Clearance||02 Apr 2003|
|Fact Finding||16 Apr 2003 to 27 Apr 2003|
|MRM||07 Aug 2003|
|Approval||10 Dec 2003|
|Last Review Mission||-|
|PDS Creation Date||04 Feb 2007|
|Last PDS Update||29 Sep 2014|
|Approval||Signing Date||Effectivity Date||Closing|
|10 Dec 2003||18 Dec 2003||02 Aug 2004||30 Jun 2008||31 Dec 2011||09 Apr 2012|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||287.94||Cumulative Contract Awards|
|ADB||179.64||29 Sep 2021||179.64||0.00||100%|
|Cofinancing||9.60||29 Sep 2021||179.64||0.00||100%|
|Status of Covenants|
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