India: MFF - Himachal Pradesh Clean Energy Development Investment Program (Tranche 1)
ADB is helping India construct several run-of-river hydropower plants in Himachal Pradesh. The first tranche of the multitranche financing facility includes the construction of the 111-megawatt Sawra Kuddu hydropower plant and the civil works for the Kashang plant. It will also provide capacity development assistance to state-owned Himachal Pradesh Power Corporation Ltd.
Bhatt, Jigar Arvindbhai
South Asia Department
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|Project Name||MFF - Himachal Pradesh Clean Energy Development Investment Program (Tranche 1)|
|Country / Economy||India
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Governance and capacity development
|Sector / Subsector||
Energy / Large hydropower generation
|Gender Equity and Mainstreaming||No gender elements|
The main objective is to help fulfill local demand, as Himachal Pradesh experiences energy shortages, especially in the winter months of December to February when river flows are at their lowest, with some peak shortages experienced throughout the year. Surplus power, particularly due to strong river flows from the spring snow melt, will be exported to the northern grid, thus serving as an important source of revenue for the state. However, the program will benefit all Northern Grid-connected electricity consumers via the export of excess power and by eliminating the need to import power from the Northern Grid, thus assisting_the Government in its efforts to increase its overall generating capacity and_achieve universal electrification under the 11th Five Year Plan. The second main objective is to provide capacity development assistance in order to develop the state hydropower generating company, Himachal Pradesh Power Corporation Ltd., into an efficient, corporatized generation company.
The scope of this tranche includes construction of the Sawra Kuddu (111 MW) hydroelectric project and the civil works for the Kashang Hydroelectric project.
|Project Rationale and Linkage to Country/Regional Strategy|
A sustainable state electricity sector and improved state finances.
|Description of Outcome||
Increased hydropower production, as well as improved planning, implementation, management and sector governance.
|Progress Toward Outcome||All works under ADB funded components has been completed.|
|Description of Project Outputs||
Capacity development component: (i) Project-oriented: Implemented capacity development of various departments of HPPCL, focusing on (a) project preparation, implementation and management (including procurement, disbursements, safeguards compliance, and reporting); (b) financial management and accountability; and (c) knowledge transfer for compliance with ADB policies and procedures (ii) Corporate development: (a) Implemented capacity development to improve governance, fiduciary oversight, and organizational structuring; and (b) Developing in-house expertise within HPPCL on private sector participation modalities and CDM procedures. (iii) Implement enterprise resource planning solution at HPSEB.
Tranche 1 funds electro-mechanical contracts and some civil works of the 111 MW Sawra Kuddu Project and Stage 1 of the Kashang Project (65 MW).
|Status of Implementation Progress (Outputs, Activities, and Issues)||
100% work Completed under ADB funded components. Tranche 1 closed on 30 June 2017.
111 KV Sawra Kuddu project completed and Stage-1 of 65 MW Kashang project completed.
User Acceptance Test (UAT) of ERP System have been completed.
ERP - "GO LIVE" Completed.
Trainings in Project Management have been imparted.
|Geographical Location||Kinnaur, Shimla district|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||HPPCL as implementing agency is responsible for undertaking both subprojects in accordance with the Environmental Impact Assessment (EIA) covering both projects, and for implementing the Environmental Management Plans (EMPs) in accordance with the ADB Environment Policy (2002) and reports on environmental compliance to ADB on a bi-annual basis. A Social and Environmental Management Unit has been set up within the PMU.|
|Involuntary Resettlement||In the Sawra Kuddu subproject, land acquisition is significant, with 45.75 hectares and 165 households to be affected; in Kashang Stage I the land acquisition is less with 3.67 ha and 30 affected households._A Grievances Redress Committee addresses all complains raised by affected persons. HPPCL is responsible for implementation of the resettlement plans and for adherence to ADB's Policy on Involuntary Resettlement (1995) and reports to ADB on compliance on a bi-annual basis. The resettlement plans for these projects are being updated to reflect the final assessment of involuntary resettlement impacts.|
ADB's Policy on Indigenous Peoples (1998) applies. Based on the initial social assessment of the Tranche 1 sub projects, it is noted that tribal people living in the vicinity of the subproject areas are generally mainstreamed. Therefore, no specific indigenous peoples plan is prepared.
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||HPPCL has been consulting with stakeholders, including affected communities and various government officials, during the design stage. Local communities were consulted as part of the social and resettlement impact assessment to gather their views on the proposed program. All the affected persons were also consulted on a one-to-one basis through questionnaire surveys and focus group discussions.|
|During Project Implementation||Consultations will continue during the entire project cycle according to a stakeholder participation plan.|
Consulting services are required to provide support to HPPCL for project implementation work, including design, supervision of construction, management for the subprojects under the tranche 1 loan, and for feasibility studies of future loans. Consulting services will be provided for evaluation, monitoring, and reporting purposes. In addition, consultants will support the capacity building component under the tranche 1 loan. Consultants will be selected and engaged in accordance with ADB's Guidelines on the Use of Consultants (2007, as amended from time to time). Consulting firms will be selected using the quality- and cost-based selection method and simplified technical proposal. Individual experts may also be recruited based on biodata submitted in response to
specific terms of reference for assignments.
|Procurement||Equipment, materials, and civil works to be financed under each loan of the MFF will be procured in accordance with ADB's Procurement Guidelines (2007, as amended from time to time), mainly through international and/or national competitive bidding. Advance procurement will be allowed to facilitate timely implementation of investments.|
|Responsible ADB Officer||Bhatt, Jigar Arvindbhai|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||India Resident Mission|
Multipurpose Projects & Power Dept of Govt of HP
|Concept Clearance||15 Nov 2007|
|MRM||06 Mar 2007|
|Approval||27 Oct 2008|
|Last Review Mission||-|
|PDS Creation Date||14 Jan 2008|
|Last PDS Update||26 Sep 2018|
|Approval||Signing Date||Effectivity Date||Closing|
|27 Oct 2008||10 Nov 2008||15 Dec 2008||31 Mar 2014||30 Jun 2017||09 Aug 2018|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||224.80||Cumulative Contract Awards|
|ADB||150.00||07 Nov 2022||141.98||0.00||100%|
|Cofinancing||0.00||07 Nov 2022||141.98||0.00||100%|
|Status of Covenants|
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.
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In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
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.
None currently available.
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No tenders for this project were found.
No contracts awarded for this project were found
|Title||Document Type||Document Date|
|Himachal Pradesh Clean Energy Development Investment Program - Tranche 1: Procurement Plan||Procurement Plans||Jun 2015|