Bangladesh: Power System Expansion and Efficiency Improvement Investment Program - Tranche 3
The Asian Development Bank is working with Bangladesh to boost the country’s power supply. The project is working to reform and strengthen the power sector, using both public and private sector financing, to build and improve power plants, and expand power distribution lines.
South Asia Department
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|Project Name||Power System Expansion and Efficiency Improvement Investment Program - Tranche 3|
|Country / Economy||Bangladesh
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Knowledge solutions
|Sector / Subsector||
Energy / Electricity transmission and distribution - Energy efficiency and conservation
|Gender Equity and Mainstreaming||No gender elements|
Tranche 3 will cover investments in generation system expansion and efficiency improvement, transmission system enhancement, and demand side energy efficiency improvement.
|Project Rationale and Linkage to Country/Regional Strategy||
Government''s '"Vision 2021"_ and Power System Master Plan 2010, Bangladesh is focused on achieving universal access to grid connected electricity by 2021 with a total installed generation capacity of 20,000 MW by 2020. This is a challenging task in light of the electrification rate standing at 62% (2014) and the country still undergoing frequent power shortages. These ambitious targets require significant investments in the power sector infrastructure during the coming years. The MFF is contributing towards this target through its generation, transmission, distribution investments._Tranche 3 is specifically focused on enhancement of generation and transmission capacity to facilitate achieving the target._
better access to reliable electricity supply in Bangladesh.
|Description of Outcome||
increased efficiency and capacity of the power system in Bangladesh.
|Progress Toward Outcome||Reconductoring of 65 km 132 kV line was completed. The line is now fully energized. Kachua Substation was energized on 17 January 2021.|
|Description of Project Outputs||
Power generation system expanded and upgraded through replacement of an aging steam and gas turbine power plant of 220 megawatt (MW) capacity with a more efficient 400 MW gas-fired Combined Cycle Power Plant (CCPP) at Ashuganj Power Station complex
Transmission system expanded and upgraded through upgrade or construction of 132kv transmission lines and substations in Chittagong Division
demand side energy efficiency improved through replacement of meters with approximately 700,000 pre-payment meters in Dhaka Division.
Consultancy support provided for Aminbazar- Maowa- Mongla 400 kV double circuit transmission line and 400/230 kV substation at Aminbazar by December 2020.
|Status of Implementation Progress (Outputs, Activities, and Issues)||
Contract was signed with GOPA- International for_Design, procurement and implementation support for the construction of 174 km 400 kV Amin bazar -Maowa Mongla transmission line. The consultant team was mobilized on early 2017. Already they have provided their suppoit in procurement and design approval. Line construction work is almost 75% complete. Consulting firm's contract completion date is June 2021.
EPC Contract signed on 20 March 2018. The old power plant demolished in November 2018. Construction of the new power plant started from February 2019. Pilling work was_completed. Procurement of major equipment have been completed and those were delivered at site including Gas turbine, generator, steam turbine etc. Construction works are ongoing. Gas turbine, generator and Steam turbine have been placed on the foundation and pre-alignment completed . Installation of generator step up transformer, grid auxiliary transformer, unit auxiliary transformer, RMS, fire fighting system completed. Overall progress is 85.16%.
Contract was awarded for construction of Transmission Line on 9 April 2017. ACCC conductors were already delivered and installed. The line was energized on 3 May 2019.
Contract was awarded on 7 June 2017 for construction of 4 nos of substations. Almost 100% materials (6 transformers and 3 GIS) are delivered at site. Physical progress is as below:
Comilla: 95% Construction work of the control room building is completed. Testing of GIS equipment 100% completed. Overall testing and pre commissioning work is ongoing._Expected energization date May 2021.
Kachua:_Substation energized on 17 Jan 2021.
Madunaghat: GIS control room building 80% complete. Pre commissioning and testing work is ongoing. Expected energization June 2021.
Kalurghat: GIS control room building 85% complete. Expected energization July 2021.
Overall physical progress is 83.50%.
Contract was awarded for construction of Transmission Line on 9 April 2017. All the materials at delivered at site. Out of 7.2 km, 6.7 km line construction completed. Expected completion date June 2021. Overall physical progress is 94%.
Two contracts were signed on 19 June 2018 for supply of 1 million prepaid meters with related services. Installation of 87,500 single phase meters and 12,500 3 phase meters completed in 10 December 2019. All meters are functional.
|Geographical Location||Nation-wide, Ashuganj City, Chandpur, Comilla, Dhaka Division, Kachua, Kalurghat|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||Given the potential environmental impacts, e.g. cooling water discharge to the Meghna River and nitrogen oxides (NOx) emissions, Output 1 is classified as environmental category A. Even if Output 1 is classified as environmental category A, it is not expected to cause significant adverse environmental impacts. Output 1 focuses on generation efficiency improvement that will reduce pollutant intensity and offset pollution emission growth without consuming more natural gas by adopting more efficient power plant. Potential environmental impacts are mostly predictable and reversible. Sensitive ecosystems will not be impacted. The impacts such as NOx emissions and cooling water discharge to the Meghna River during operation will be mitigated through best available technology built-in to the power plant design that includes low NOx burners with NOx reduction system. Potential environmental impacts of Output 2 will occur in construction stage, which is temporary, predictable and reversible. There will be no impacts on forests, sanctuaries or protected areas, and historical and cultural monuments. Output 3 will have minimal environmental impacts. The replaced meters which are functional will be re-used in other locations. Any final disposal should occur at existing approved waste management facilities in Bangladesh.|
|Involuntary Resettlement||The project has avoided land acquisition for the Power Plant by establishing the plant inside an enclosed compound owned by Ashuganj Power Station Company Limited (APSCL). No land needs be acquired for Subprojects under Output 1 and Output 3. There has been no physical displacement of people under any subprojects of Tranche 3. However, 2.02 hectares of private land acquisition was required in Hajigong Pourashava for one out of four sub-stations of the project for output 2. A resettlement plan endorsed by the executing agency has been disclosed to the ADB website on 29 June 2015 for this section. The resettlement plan adequately assess the land acquisition and resettlement impacts of the proposed tranche and the measures developed to address identified impacts are adequate. The 17 owners of the land have already received compensation as per RP. The RP had an estimate of approximately 1235 additional HHs to be impacted on temporary basis during construction of tower and stringing of transmission lines. This number will be revised due to design change in transmission lines to be underground trough government land. Meaningful consultation has been undertaken with project stakeholders, and information disclosure is continued through updates on ADB website.|
|Indigenous Peoples||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.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||Public consultations were conducted with local communities including fishermen. The communities welcomed the project to improve reliability of power supply. Community concerns were identified in the EIA, and mitigation measures have been incorporated into the EMP. PMU of each executing agency has dedicated staff responsible for monitoring environmental issues and implementing the EMP.|
|During Project Implementation||The project was approved in December 2015. Grievance redress committees (GRC) will be set up by the executing agencies as the project components commence. The GRC will convene twice a month and will keep the record of the grievances, and provide the solution(s) within 30 days from the date of the complaint. All complaint related documentation such as minutes of the meeting and decisions will be summarized and become part of the semi-annual monitoring report submitted to ADB. If the grievance is not addressed, the complainant can seek legal redress of the grievance in the appropriate courts.|
|Consulting Services||Project Implementation Support Consultants for APSCL (Firm, QCBS 90:10)|
|Procurement||Turnkey package of Ashuganj 400MW CCPP (East); Turnkey package of 132 Kv transmission line and substations in Chittagong Division; Supply package of pre-payment meters in Dhaka Division.|
|Responsible ADB Officer||Nahar, Nazmun|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||Bangladesh Resident Mission|
Ashuganj Power Station Company Ltd. (APSCL)
Bangladesh Rural Electrification Board
Power Grid Company of Bangladesh, Ltd. (PGCB)
|MRM||05 Oct 2015|
|Approval||08 Dec 2015|
|Last Review Mission||-|
|Last PDS Update||28 Sep 2021|
|Approval||Signing Date||Effectivity Date||Closing|
|08 Dec 2015||22 Dec 2015||05 Jan 2016||30 Jun 2021||31 Oct 2022||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||310.00||Cumulative Contract Awards|
|ADB||205.00||26 Oct 2022||171.29||0.00||91%|
|Cofinancing||0.00||26 Oct 2022||150.29||0.00||80%|
|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.
The Access to Information Policy (AIP) 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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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.
The Access to Information Policy (AIP) 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.
|Tender Title||Type||Status||Posting Date||Deadline|
|Power System Expansion and Efficiency Improvement Investment Program – Tranche 3 (Component C)||Individual - Consulting||Closed||08 Aug 2018||10 Sep 2018|
|Supply, Installation, Testing, Commissioning, Initial Maintenance of Prepaid Meters and related service||Individual - Consulting||Closed||08 Aug 2018||10 Sep 2018|
|Loan No. 3350-BAN: Power System Expansion and Efficiency Improvement Investment Program - Tranche 3 [PPMW-01]||Invitation for Bids||Closed||23 Jun 2017||10 Aug 2017|
|BAN: Power System Expansion and Efficiency Improvement Investment Program - Tranche 3||Advance Notice||Archived||06 Jul 2015|
|Contract Title||Approval Number||Contract Date||Contractor | Address||Executing Agency||Total Contract Amount (US$)||Contract Amount Financed by ADB (US$)|
|PCSS 0018 OF LOAN 2966 CONSULTING SERVICES FOR CONSTRUCTION OF AMINBAZAR MOWA MONGLA 400 KV DOUBLE CIRCUILT T/L AND 400/230 KV S/S AT AMINBAZAR||Loan 3350||01 Sep 2019||M/S. INTEC GOPA-INTERNATIONAL ENERGY CONSULTA | JUSTUS-VON-LIEBIG-STR. 1 61352 BAD HOMBURG, GERMANY GERMANY||Ashuganj Power Station Company Ltd. (APSCL)||4,236,483.42||3,294,950.37|
|SMART METER EXPERT TO PROVIDE SERVICES FOR PREPAYMENTS E-METERING IN DHAKA DIVISION UNDER RURAL ELECTRIFICATION PROGRAM(PHASE-1)||Loan 3350||11 Apr 2019||GUG WON YOUN | 411-903,195, MAPO-DAERO, MAPO-GU,SEOUL, KOREA KOREA, REPUBLIC OF||Ashuganj Power Station Company Ltd. (APSCL)||196,066.00||196,066.00|
|PROCUREMENT OF SUPPLY, INSTALLATION, TESTING, COMM ISSIOINING AND INITIAL MAINTENANCE OF SMART PRE-PA YMENT METERS AND RELATED SERVICES (DHAKA 1/3/4 P||Loan 3350||20 Jun 2018||WASION GROUP LTD | NO.468 WEST TONGZIPO ROAD, HIGH-TECH IND USTRIAL DEVELOPMENT,CHANGSHA CITY,CHINA CHINA,PEOPLE'SREP.O||Ashuganj Power Station Company Ltd. (APSCL)||13,024,026.00||13,024,026.00|
|PROCUREMENT OF SUPPLY, INSTALLATION, TESTING, COMM ISSIOINING AND INITIAL MAINTENANCE OF SMART PRE-PA YMENT METERS AND RELATED SERVICES (NAR,NAR,GA,MY||Loan 3350||20 Jun 2018||HEXING ELECTRICAL CO. LTD | NO.1418 (SHANGCHENG INDUSTRIAL ZONE), HA NGZHOU CITY CHINA CHINA,PEOPLE'SREP.OF||Ashuganj Power Station Company Ltd. (APSCL)||12,612,646.00||12,612,646.00|
|PROCUREMENT OF PLANT DESIGN, SUPPLY AND INSTALLATI ON OF ASHUGANJ 400 MW COMBINED CYCLE POWER PLANT P ROJECT (EAST)||Loan 3350||29 Mar 2018||CONSORTIUM OF CHINA NATIONAL TECHNICAL IMPORT | OVERSEAS ECONOMIC COOPERATION (CNTC-CC OEC),BEIJING, CHINA,PEOPLE'SREP.OF||Ashuganj Power Station Company Ltd. (APSCL)||179,462,325.00||64,558,634.00|
|Construction and Completion of 132/33Kv Substations in Chittagong Division (Turnkey)||Loan 3350||14 Jun 2017||ABB India Limited (India) | 21st Floor, World Trade Centre, Brigade Gateway, No 26/1 Rajkumar Rd, Bengaluru, India||Ashuganj Power Station Company Ltd. (APSCL)||26,895,086.00||26,849,557.00|
|CD08: ACSE Zebra Conductor Package 8||Loan 3350||17 Apr 2017||Consortium-Ccc Engineering, Etern, Hanbaek | Rm 806, Soluxe Fortune Bldng, No. 63 Xidawang Rd., Chaoyang Beijing China, People's Republic of||Ashuganj Power Station Company Ltd. (APSCL)||9,417,452.06||9,414,060.36|
|Project Implementation Support for Ashuganj 400MW CCPP (Consulting Services)||Loan 3350||04 Apr 2017||Poyry Switzerland Ltd, Switzerland in association with | Herostrasse 12, Ch-8048 Zurich Switzerland||Ashuganj Power Station Company Ltd. (APSCL)||2,606,949.22||—|
None currently available.