Afghanistan: Energy Sector Development Investment Program - Tranche 4

Energy / Renewable energy generation - small hydro

The sub-projects, collectively the Project, under this Tranche 4 include (i) an electricity transmission sub-project in the North West Afghanistan to extend the network and connect to the Turkmenistan (TKM) system, and (ii) an electricity distribution sub-project to extend the distribution network south east of Kabul. The transmission sub-project will include a 500kV transmission line from the TKM border to Andkhoy and from Andkhoy to Sheberghan and a 220kV transmission line from Sheberghan to Mazar-e-Sharif. The 220kV substations will be constructed at Andkhoy and Sheberghan and the existing 220kV substation at Mazar-e-Sharif will be expanded.

The distribution sub-project will include 20kV lines and 220/20 kV substations and low voltage network at Pul-e-Alam (Logar) and Gardez (Paktia).

The transmission subproject will allow TKM to supply electricity to North-West AFG where demand is estimated at 210 megawatts (MW) requiring 1,000 megawatt-hour (MWh) by 2020 to supply 120,000 households, and at 330 MW requiring 1,750 gigawatt-hour (GWh) by 2030 to supply 145,000 households. It will also allow Uzbekistan (UZB) imports, to be used to supply the Kabul region, which is currently facing a supply shortfall.

While electrification rate has increased from 5% in 2002 to 25% in 2012, AFG continues to place high priority on further increasing electrification. The distribution subproject meets this aim and is coordinated with related projects financed by the United States Government. The related project will extend the 220 kV network to Pul-e-Alam and Gardez where 220/20 kV substations will be constructed. The distribution subproject proposed under Tranche 4 will construct 20 kV and low voltage networks to be supplied from Pul-e-Alam and Gardez substation and bring electricity supply to 20,000 new households.

EPC contract for 220/20 kV sub-stations at Mazar-e-Sharif and Sheberghan was awarded to Siemens Consortium in Q4 2015.

The distribution network contracts are unlikely to be completed by grant closing date. ADB requested the Government for their best effort to complete the works as much as possible before grant closing.

Commissioning of 108 kms 500 kV transmission line from AFG/TKM border to Andkhoy to Sheberghan

Commissioning of 142 kms 220 line from Sheberghan to Mazar-e-Sharif

Commissioning of 220/20 kV substations at Andkhoy and Sheberghan and expansion of 220 kV substation at Mazar-e- Sharif

Commissioning of 13,000 new power connections at Pul-e-Alam, 13,000 new power connections in Gardez city, Wazay Zadran (5,000 connections), and Khost (13,000 connections)

Target is unlikely achievable by closing date.

Target is unlikely achievable by closing date.

Target is unlikely achievable by closing date.

Target is unlikely achievable by closing date.

An IEE report for the Project has been prepared and posted in accordance with ADB Guidelines and ADB Safeguard Policy Statement, June 2009, Laws on the protection of nature of the Government of Afghanistan, discussions with the MEW and National Environmental Protection Agency (NEPA). The IEE will be updated during Project implementation based on contractor's detailed designs.

The IEE for the distribution network projects have been submitted to ADB in July 2018.

The Environmental Monitoring Reports will be submitted to ADB on an semi-annual basis.

The quality of the consultant's Environmental Monitoring Reports have been below acceptable standards.

The Project may have some involuntary resettlement impacts that are not significant. A draft LARP for the transmission line (Andkhoy to Mazar-i-Sharif) was prepared in October 2012. Upon detailed design by the turnkey contractors, the LARPs will be updated. No civil works will be initiated until and unless all affected persons have been duly compensated and all LARPS fully implemented.

The updated LARP for the transmission line project (220 kV D/C OHL Sheberghan-Mazar-E-Sharif) was disclosed in March 2018.

The Resettlement due Diligence Report for the substation project (New Andkhoy 220/110/20 KV Substation) was disclosed in February 2018.

The LARP for the transmission line project (Aquina-Shabergan 500 kV Single Circuit Transmission) was disclosed in January 2018.

1. Program Management and Implementation Consultants - Quality-Based Selection using Full Technical Proposal

2. External Auditor - Single Source Selection

SMEC was recruited as a program management and implementation consultant in February 2015.

1. 500 kV Transmission Line (100 kms approx) from AFG/TKM border to Sheberghan and 220 kV Transmission Line (142 kms approx) between Sheberghan and Mazar Sharif - ICB Turnkey

2. 220/20 kV substations at Andkhoy and Sheberghan and expansion of 220kv substation at Mazar Sharif - ICB Turnkey

3. 220/20 kv Distribution Networks 20 kV Distribution Networks:

Lot 1: Pul-e-Alam(13,000 connections), Lot 2: Gardez (13,000 connections) and Wazay Zadran (5,000

connections); Lot 3:Khost (13,000 connections)- ICB Turnkey

All EPC contracts were awarded.