ADB is supporting a program that will fund new high voltage lines and other transmission infrastructure in the Indian state of Himachal Pradesh. The project will construct a 28-kilometer 220-kilovolt double circuit transmission line and substations. It will also strengthen the financial and asset management capabilities of state-run utility, HP Power Transmission Corporation.
|Project Name||MFF-Himachal Pradesh Clean Energy Transmission Investment Program - Tranche 1|
|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 / Electricity transmission and distribution
|Gender Equity and Mainstreaming||No gender elements|
The Project proposed for financing under the requested PFR consists of:
1. New Transmission System Assets
A. Transmission Line Construction
i. An approximately 26 km, 220 kV double circuit transmission line from Hatkoti to Pragati Nagar, District Shimla and approximately 3 km, 400 kV double circuit transmission line for LILO of Jhakhari-Abdullahpur line at Gumma Sub-station.
B. Construction of SubStations
i. 66/220/400 kV gas insulated switchgear (GIS) substation at Wangtoo, District Kinnaur, and connecting 400 kV double circuit transmission line, (i.e. loop-in loop-out or _LILO_) from Wangtoo to Abdullahpur, and LILO of 220 kV D/C Kashang-Bhabha transmission line
ii. 220/400 kV GIS substation near Pragati Nagar, District Shimla
iii. 22/66/220 kV GIS substation at Bhoktoo, District Kinnaur plus connection line (LILO) of 220 kV D/C line from Kashang to Bhaba
iv. 33/132 kV GIS substation at Pandoh, plus connection line (LILO) of Bajaura to Kangoo
v. 33/132 kV GIS substation at Chambi
2. Capacity Development
i. Computerized enterprise resource planning solution design and installation
ii. Additional computer and engineering design equipment
iii. Training program.
|Project Rationale and Linkage to Country/Regional Strategy||
The Indian power sector has a history of steadily increasing demand for, and chronic shortages of electricity. An adequate power supply contributes to poverty alleviation, yet over 30% of India's population lack access to electricity. Continued shortages significantly constrain commercial and industrial activity and reduce growth. Businesses and manufacturers must utilize more expensive back-up power supplies, often diesel fuel-based, which increase their costs and undercut competitiveness. Insufficient domestic fuel resources and rising international coal and oil prices threaten India's already fragile energy security, such that maximizing, clean indigenous energy sources is a government priority.
Himachal Pradesh is home to about one fourth of India's hydropower potential, and maximizing this potential is articulated in the Hydropower Policy, 2007 of the Government of Himachal Pradesh (GOHP) and in their power sector roadmap, which targets its comparative advantage in hydropower with the goal to become the _hydropower state_ of the country. Hydropower will benefit electricity consumers of Himachal Pradesh and throughout northern India as excess generated power flows to India's national grid. The primary alternative, namely coal-fired power generation and its associated coal mining and coal transport, have considerable adverse impacts on the environment as well as climate change, including substantial emissions of CO2 and of suspended particulate matter.
The state's power sector road map encourages investment in hydropower generation the majority of which are run-of-river type and articulates that Himachal Pradesh must build out its electric transmission infrastructure so that the additional hydropower can be efficiently transmitted within and outside the state. As Himachal Pradesh is one of the few states in India with 100% electrification at the village level, additional hydropower capacity will not just serve the state's growing demand, but will serve the national grid through interstate power flows. As a subset of the overall sector road map, and with support from the Asian Development Bank (ADB), HPPTCL has prepared a power system master plan to articulate a transmission network expansion plan for Himachal Pradesh. This plan, endorsed by India's Central Electricity Authority (CEA), provides a sound basis for investment in transmission facilities, and is expected to engender confidence among existing and potential private hydropower developers that sufficient transmission capacity will be available to evacuate power from hydropower facilities to markets outside of Himachal Pradesh. The investment program thus consists of transmission system investments, and a capacity development program for HPPTCL as the state transmission utility.
|Impact||HPPTL has sufficient assets and capacity to support its mandate as the state transmission utility company.|
|Description of Outcome||HPPTL has increased its asset base and its capacity.|
|Progress Toward Outcome||One substation has been commissioned. Construction of four substations and one transmission line are under implementation.|
|Description of Project Outputs||
New Transmission system assets are operational.
HPPTCL's management capacity enhanced.
|Status of Implementation Progress (Outputs, Activities, and Issues)||
Contract for computerized ERP solution signed on 6 July 2016 and implementation is under progress. Project in Realization phase.R&R, ERP, and Project Planning Engineer consultants are on board.
Contract for Hatkoti-Gumma Transmission Line (3-TL) has been signed on 11 Oct 2012. It has achieved overall physical progress of around 95%.
Work of 2 substation i.e. 132 kV GIS at Chabi and 132 kV GIS at Pandoh shifted from Tranche 2 to Tranche 1.
a. Contract for Gumma Substation (6-SS) has been signed on 27 November 2013. It has achieved overall physical progress of around 98%.
b. Contract for Wangtoo Substation (4-SS) has been signed on 30 September 2013. It has achieved overall physical progress of around 80%.
c. Contract for substation at Bhoktoo (1-SS) was signed on 29th March 2012. The project has been commissioned in March 2017.
d. Contract for substation at Pandoh (13-SS) was signed on 8 October 2015 (Shifted from Loan 3001). It has achieved overall physical progress of around 95%.
e. Contract for substation at Chambi (18-SS) was signed on 2 December 2015 (Shifted from Loan 3001). It has achieved overall physical progress of around 95%.
|Geographical Location||Boktu, Chambi, Gumma, Hatkoti, Pandoh, Shimla district, State of Himachal Pradesh, Wangtu|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||The tranche 1 project is environment category B. The civil construction work is limited to building foundations for the transmission towers, and substations, and the tranche 1 project does not come within any national parks, sanctuaries and bio-spheres. Based on the environmental assessment and surveys, associated potential adverse environmental impacts are minimal and can be mitigated through implementation of the EMP. An adequate budgetary provision in the tranche 1 project covers the environmental mitigation and monitoring requirements, and the EMP is part of the construction contracts. The EA will supervise the construction contracts and EMP implementation, and semiannual progress reports of its implementation will be submitted to ADB. Overall, the major social and environmental impacts associated with the tranche 1 project are limited to the construction period and can be mitigated to an acceptable level by implementation of recommended engineering measures and environmental practices.|
|Involuntary Resettlement||The sub-projects under Tranche 1 do not have any significant involuntary resettlement impacts and the project overall has been categorized as B' for involuntary resettlement (IR) in accordance with the ADB's Safeguard Policy Statement,2009. Of the five proposed substations, three are to be built on government land, and the two requires around 3.5 hectares of private land. The transmission line (Hatkoti to Pragati Nagar, Gumma including LILO of Jakhri- Abdullahpur) requires construction of 95 towers, of which 76 are located on privately-owned land. The project does not cause any temporary or permanent impact on structures and crops. Regarding gender issues, the loan agreements include a standard assurance related to core labor standards for contractors (including equal pay for equal type of work), and an awareness program on HIV and sexually transmitted diseases and human trafficking.|
|Indigenous Peoples||The tranche 1 project is indigenous peoples category C.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
|Responsible ADB Officer||Jigar Arvindbhai Bhatt|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||India Resident Mission|
Himachal Pradesh Power Transmission Corporation Limited
Barowalia House, Khalini, Shimla 171002, Himachal Pradesh, India
|Concept Clearance||11 Jan 2011|
|Fact Finding||04 May 2011 to 13 May 2011|
|MRM||17 Jun 2011|
|Approval||18 Oct 2011|
|Last Review Mission||-|
|Last PDS Update||27 Jun 2019|
|Approval||Signing Date||Effectivity Date||Closing|
|18 Oct 2011||15 Dec 2011||19 Jan 2012||30 Jun 2018||30 Sep 2019||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||113.00||Cumulative Contract Awards|
|ADB||113.00||18 Oct 2011||112.90||0.00||100%|
|Cofinancing||0.00||18 Oct 2011||108.01||0.00||96%|
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Evaluation Documents See also: Independent Evaluation
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|Tender Title||Type||Status||Posting Date||Deadline|
|Loan No. 2794-IND: Himachal Pradesh Clean Energy Transmission Investment Program – Tranche 1 [31 - ERP / ADB / HPPTCL / CLOUD]||Invitation for Bids||Closed||26 Feb 2018||14 May 2018|
|MFF-Himachal Pradesh Clean Energy Transmission Investment Program - Tranche 1||Individual - Consulting||Closed||10 Jan 2018||24 Jan 2018|
No contracts awarded for this project were found
|Title||Document Type||Document Date|
|MFF-Himachal Pradesh Clean Energy Transmission Investment Program - Tranche 1: Procurement Plan||Procurement Plans||Sep 2019|