ADB is helping Bangladesh boost power supply by enhancing its transmission and distribution network. The second tranche of the program will enable increased energy transfer from Ghorasal to Tongi and improve transmission capacity to meet growing power demand in the capital Dhaka, Chittagong, and Sylhet areas. It will also expand the capacity of the north and south Dhaka distribution network.
|Project Name||Power System Expansion and Efficiency Improvement Investment Program - Tranche 2|
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Gender Equity and Mainstreaming
|Sector / Subsector||
Energy / Electricity transmission and distribution
|Gender Equity and Mainstreaming||Some gender elements|
|Description||The proposed Tranche 2 will contribute to the overall impact of the MFF on increased energy sector contribution to low-carbon economic growth in Bangladesh. The specific impact of the Tranche 2 will be increased access to reliable supply of electricity. The outcome of Tranche 2 is increased transmission and distribution capability in the power system. This will allow increased power transfer from Ghorasal to Tongi and to increased transmission capability to satisfy the increasing demand in Dhaka, Chittagong and Sylhet areas. Also the investments will allow improved distribution networks in the Dhaka region to supply increasing demand in the system to ensure no load-shedding due to network constraints by 2018.|
|Project Rationale and Linkage to Country/Regional Strategy||A framework financing agreement (FFA) for the Bangladesh Power System Expansion and Efficiency Improvement Investment Program (BPSEEIP, the facility ), has been signed by the Asian Development Bank (ADB) and the Government of Bangladesh (the Government) and ADB's Board of Directors approved this multi tranche financing facility (MFF) on 28 Nov 2012. This MFF funds power sector investments in generation, transmission and distribution systems in Bangladesh to improve efficiency in these systems and add capacity for increased and reliable energy access to the population. The MFF consisted of three tranches to undertake these investments in a staggered manner. The proposed tranche 2 meets the selection criteria set forth in the Schedule 4 of the FFA. It will undertake investments in transmission and distribution network strengthening. Thus the Tranche 2 helps achieving the outcome of the MFF, increased access to clean and reliable supply of electricity in Bangladesh.|
|Impact||Increased access to reliable supply of electricity|
|Description of Outcome||Increased Transmission and Distribution capability in the power system|
|Progress Toward Outcome||
Part A2: To increase the transmission capability, two substations are being constructed.
Part B and C: To increase distribution capacity, several new substations are being constructed, old substations are being renovated and lines are under construction.
|Description of Project Outputs||
Increased Transmission Capacity
Increased south Dhaka distribution network capacity
Increased north Dhaka distribution network capacity
Efficiently managed project
|Status of Implementation Progress (Outputs, Activities, and Issues)||
Construction work of control room buildings are in progress. Transformers are already installed. 80% goods are delivered at site. Physical progress of the work is 70%.
Part B2 and B3: Earth filling and foundation work for substations of DPDC component have been completed. Construction work of substation building is ongoing. For distribution network 97% materials are already arrived at site.
Part C1 & C2: All contracts have been awarded except Lot-6, C2. All materials under supply contract were delivered at store. Site survey and land filling for 132/33kV substations is ongoing.
EAs submit the annual reports timely.
|Geographical Location||Ashuganj, Bhaluka, Chandpur, Chandpur District, Chittagong, Chittagong, Chittagong District, Comilla, Dhaka Division, Dhamrai, Fenchuganj, Gazipur District, Gazipur S., Gazipura, Ghorasal, Hathazari, Jamalpur District, Kachua, Kaliakair, Kalurghat, Madan Ghat, Meghnaghat, Mirzapur, Narayanganj, Narsingdi District, Paschim Haripur, Rampur, Rupsi, Sholashahar, Sirajganj, Sirajganj District, Sitakunda, Sreepur, Sylhet, Sylhet District, Tangail, Tangail District, Tongi|
|Summary of Environmental and Social Aspects|
An environmental assessment and review framework (EARF) for the MFF was prepared in September 2012 to ensure that project components in succeeding tranches comply with SPS 2009. Tranche 2 is classified as Category B according to SPS 2009 requiring an initial environmental examination (IEE). Following SPS 2009 and EARF, an IEE was prepared and was publicly disclosed to ADB website in August 2013.
No major environmental issue, nonetheless EA submits environmental monitoring reports semi-annually.
Sub-project selection for Tranche 2 was guided by the environmental criteria outlined in the EARF and Schedule 4 of the FFA. Components of Tranche 2 are not expected to cause significant adverse environmental impacts. Transmission line routes will traverse mainly agricultural lands and no forest, sanctuaries or protected areas will be affected. Environmental management plans have been prepared with adequate resources for implementation. PGCB, DPDC and DESCO will obtain all the required environmental clearances from the DOE prior to construction and copies submitted to ADB. A project brief in Bangla will be prepared by PGCB, DPDC, and DESCO and will be made available to the public at their field offices.
The project is a Category A for its land acquisition impacts. There will be no impacts for the DESCO (C1-C2) or DPDC (B2-B3) components.
For construction of two substations; component A-2 under PGCB, 4.5 acres of land has been acquired. Three Resettlement Plans have been prepared and disclosed in the website in 2013. There has been 2 acres of land acquisition for the Shyampur 230/132 KV GIS and 2.5 acres of land acquisition for the Dhamrai 132/33 KV GIS. No land acquisition has been required for six kilo-meters transmission line. The affected people have been compensated for their loss of crops and trees as per ADB policy.
The semi-annual monitoring reports have been submitted by EA on a regular basis. So far, no grievances have been reported under the project.
|Indigenous Peoples||Tranche 2 is classified as category C in accordance with the ADB's Safeguard Policy Statement (2009). None of the subprojects would impact communities of indigenous populations or interfere with the territories of the indigenous populations or ethnic minorities, their livelihood systems, customary properties or their natural or cultural resources. However, if there are any unanticipated impacts on indigenous people during project implementation an indigenous peoples plan will be prepared and submitted to ADB for review. EAs will obtain the approval of such a plan before award of related civil works contract and implemented before commencement of the civil works of the relevant subproject, as applicable.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||During project preparation the project team along with the consultants have conducted stakeholder meetings while finalising the intial environmental examinations and resettlement plans for the respective components.|
|During Project Implementation||During project implementation stakeholders consultation is being carried out as and will continue if required.|
|Consulting Services||Implementation support consultant for DPDC $1,000,000 as per GOB's guidelines for Q4/2013, National and financed by GOB|
The following lists goods and works contracts for which procurement activity is either ongoing or expected to commence within the next 18 months.
Procurement Advertisement Comment
General Desciption Amount Method Bidders Date
Turnkey Contract for 132&230kV S/S and Lines-IDB 206.76 ICB N Q2/ 2014 Financed by IDB
Turnkey Contract for 132/230kV S/S and Lines-ADB 31.33 ICB N Q1/2014 Financed by ADB
Turnkey Contract of South Dhaka 132/33kV S/S
and Lines 93.36 ICB N Q1/2014 Financed by AfD and GOB
Turnkey Contract of South Dhaka 33/11 kV S/S - AfD 36.97 ICB N Q2/2014 Financed by AfD and GOB
Turnkey Contract of South Dhaka 33/11kV S/S -ADB 45.85 ICB N Q2/2014 Financed by ADB and GOB
Turnkey Contract of 11kV South Dhaka Distribution 47.28 ICB N Q2/2014 Financed by ADB and GOB
Turnkey Contract for 132/33/11 kV S/S 133.77 ICB N Q2/2014 Financed by ADB and GOB
Supply Contract of North Dhaka Distribution Equipment 79.85 ICB N Q1/2014 Financed by ADB
|Responsible ADB Officer||Ibrahim, Sherine|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||Bangladesh Resident Mission|
Dhaka Electric Supply Company Ltd. (DESCO)
Biddut Bhaban, 1 Abdul Gani Road
Dhaka 1000, Bangladesh Dhaka Power Distribution Company Ltd. (DPDC)
SCADA Bhaban (2nd Floor)
Kataban, Sonargaon Road
Dhaka 1000 Power Grid Company of Bangladesh, Ltd. (PGCB)
IEB Bhaban (4th Floor)
|Approval||11 Dec 2013|
|Last Review Mission||-|
|Last PDS Update||27 Sep 2017|
|Approval||Signing Date||Effectivity Date||Closing|
|09 Dec 2013||11 Feb 2014||14 Mar 2014||30 Jun 2019||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||530.00||Cumulative Contract Awards|
|ADB||310.00||09 Dec 2013||263.21||0.00||85%|
|Cofinancing||220.00||09 Dec 2013||155.63||0.00||50%|
|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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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.
|Contract Title||Approval Number||Contract Date||Contractor||Contractor Address||Executing Agency||Contract Description||Total Contract Amount (US$)||Contract Amount Financed by ADB (US$)|
|Design, Supply, Installation & Commissioning of 33/11Kv Substations on Turnkey Basis||Loan 3087||25 May 2017||Siemens Ltd India in cons w/ Siemens Ltd Ban||130, Pandurang Budhkar Marg, Worli, Mumbai-18, India||Power Grid Company of Bangladesh, Ltd. (PGCB)||Turnkey||43933336||43933336|
None currently available.