Adequate and better quality power supply in rural Madhya Pradesh (MP), where 70% of the population lives, would spur economic growth and development. In order to ensure good quality, 24 hour power supply to rural households, Government of Madhya Pradesh (GoMP) has been undertaking a distribution improvement program (feeder separation program) with an approximate cost of $1100 million. The first phase of this program is already under implementation and the proposed Facility provides financial assistance to the investment program that constitutes the second phase. The investment program will install separate feeders for households and irrigation water pumps, install high voltage distribution systems (HVDS), provide new power connections, install meters, map the assets of the distribution companies and undertake network analysis to ensure better quality power supply to households and financial sustainability of the distribution companies.
|Project Name||Madhya Pradesh Energy Efficiency Improvement Investment Program (Facility Concept)|
|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 / Energy sector development and institutional reform
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||Adequate and better quality power supply in rural Madhya Pradesh (MP), where 70% of the population lives, would spur economic growth and development. In order to ensure good quality, 24 hour power supply to rural households, Government of Madhya Pradesh (GoMP) has been undertaking a distribution improvement program (feeder separation program) with an approximate cost of $1100 million. The first phase of this program is already under implementation and the proposed Facility provides financial assistance to the investment program that constitutes the second phase. The investment program will install separate feeders for households and irrigation water pumps, install high voltage distribution systems (HVDS), provide new power connections, install meters, map the assets of the distribution companies and undertake network analysis to ensure better quality power supply to households and financial sustainability of the distribution companies. Of the total of 50 districts of MP, the investment program covers 32 districts served by three distribution companies: Madhya Pradesh Madhya Kshetra Vidyut Vitaran Company Limited (DISCOM-C); Madhya Pradesh Poorva Kshetra Vidyut Vitaran Company Limited (DISCOM-E); and Madhya Pradesh Paschim Kshetra Vidyut Vitaran Company Limited (DISCOM-W)|
|Project Rationale and Linkage to Country/Regional Strategy||
At present, power supply lines in rural areas supply for both agricultural pumps and other customers. This mixed rural distribution network is faced with several problems, such as over-use of subsidized electricity for agricultural water pumping leaving inadequate power supply to households, and unauthorized use of electricity causing financial losses to the DISCOMs. Ageing and overloaded distribution lines and transformers, cause excessive technical losses and poor quality of supply. To prevent the over-use of electricity by agricultural pumps and to reduce losses, the DISCOMs switch-on the distribution lines serving the rural areas only for limited hours per day. The existing mixed-feeder system does not allow 24 hour supply of power to households and business establishments, which constrains the economic growth and development in rural areas.
To promote efficient use of ground water in agriculture and improve on-farm water conservation practices, the DISCOMs supply 8-10 hours electricity on three phases in rural areas. However, this constraints economic activities and supply of 24 hours quality power to households. As such, separation of power supply lines (feeders) to agriculture and other customers is necessary to ensure 24 hour supply of power to households. Additional measures such as installation of HVDS and metering together with better system management practices are necessary to reduce the technical and commercial losses to the DISCOMs.
|Impact||Continuous and higher quality supply of electricity to rural households in Madhya Pradesh|
|Description of Outcome||Improved operational efficiency of electricity distribution in rural areas of Madhya Pradesh.|
|Progress Toward Outcome||Facility has completed and expected outcome is achieved.|
|Description of Project Outputs||
1. Separated power supply to agricultural pumps and households and installed high-voltage distribution system (HVDS)
2. Improved upstream 33kV systems
3. Installed meters and new household connections
4. Access to business development services improved for microenterprises headed by women
5. Built capacity of women's self help groups
|Status of Implementation Progress (Outputs, Activities, and Issues)||Facility has completed and outputs have been achieved.|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||Category B|
|Involuntary Resettlement||Category B|
|Indigenous Peoples||Category C|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||During Project preparation, consultations were held with the concerned Government officials. Additionally, consultations were also carried out with the affected persons in the project area and with the local community.|
|During Project Implementation||Public consultation with all stakeholders have continued throughout implementation of the project.|
|Responsible ADB Officer||Banerjee, Jyotirmoy|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||India Resident Mission|
|Concept Clearance||18 Nov 2010|
|Fact Finding||21 Mar 2011 to 01 Apr 2011|
|MRM||28 Apr 2011|
|Approval||07 Jul 2011|
|Last Review Mission||-|
|Last PDS Update||14 Dec 2020|
MFF Facility Concept 0057-IND
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||556.00||Cumulative Contract Awards|
|Approval||Signing Date||Effectivity Date||Closing|
|07 Jul 2011||07 Dec 2011||07 Dec 2011||31 Oct 2014||30 Jun 2017||-|
|Financing Plan/TA Utilization||Cumulative Disbursements|
|1,000,000.00||0.00||0.00||0.00||0.00||0.00||1,000,000.00||07 Jul 2011||917,875.54|
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.
|Title||Document Type||Document Date|
|Madhya Pradesh Energy Efficiency Improvement Investment Program||Environmental Assessment and Review Framework||Jun 2011|
|Madhya Pradesh Energy Efficiency Improvement Investment Program||Indigenous Peoples Planning Frameworks/Indigenous Peoples Development Frameworks||Jun 2011|
|Madhya Pradesh Energy Efficiency Improvement Investment Program: Resettlement Framework||Resettlement Frameworks||Jun 2011|
|Madhya Pradesh Energy Efficiency Improvement Investment Program (Facility Concept): Indigenous Peoples Planning Framework (as of Board approval)||Indigenous Peoples Planning Frameworks/Indigenous Peoples Development Frameworks||Apr 2011|
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|
|Madhya Pradesh Energy Efficiency Improvement Investment Program (Facility Concept): Procurement Plan||Procurement Plans||Jun 2011|