ADB and the Government of India are working together to help India's northeastern Assam state continue its drive to eliminate power sector inefficiencies that are hurting its consumers, its world-famous tea industry, and its environment. The Assam Power Sector Investment Program is upgrading power generation and distribution systems, including the construction of a 120-megawatt hydropower plant. It is also financing new energy efficient power generation equipment at existing plants; new distribution lines and substations; and financial management training and other support for staff of state power companies, Assam Power Generation Corporation and Assam Power Distribution Company. The project is bolstering the finances of the state power companies by helping them decrease their purchases of expensive electricity from independent power producers.
|Project Name||Assam Power Sector 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 - Conventional energy generation
|Gender Equity and Mainstreaming||No gender elements|
|Description||ADB and the Government of India are working together to help India's northeastern Assam state continue its drive to eliminate power sector inefficiencies that are hurting its consumers, its world-famous tea industry, and its environment. The Assam Power Sector Investment Program is upgrading power generation and distribution systems, including the construction of a 120-megawatt hydropower plant. It is also financing new energy efficient power generation equipment at existing plants; new distribution lines and substations; and financial management training and other support for staff of state power companies, Assam Power Generation Corporation and Assam Power Distribution Company. The project is bolstering the finances of the state power companies by helping them decrease their purchases of expensive electricity from independent power producers. In addition, the program is supporting the construction of the Lower Kopili run-of-the-river hydropower plant in central Assam that will help the state avoid over 530,000 tons per annum of carbon dioxide emissions that would otherwise be produced by fossil fuel-driven generation. By cutting power outages in the state, the program is benefiting over 2.7 million consumers. It is also promoting economic growth and creating employment opportunities by helping to supply reliable power to the state. This is helping Assam attract investment and more fully tap its economic potential while reducing poverty.|
|Project Rationale and Linkage to Country/Regional Strategy||In India''s state of Assam, demand for electricity has grown far faster than supply. High transmission and distribution losses have exacerbated the situation. More than a third of households in Assam have traditionally faced daily electricity outages of 5 to 6 hours. Power shortages, low voltage power, and scheduled power outages have often undermined Assam's industrial competitiveness and agricultural potential. Many important industries, such as the state's famous tea gardens, have not been connected to the power grid and during peak periods the state has to buy power from independent producers at high cost. The broader economic implications of the poorly performing power sector include curtailed competitiveness and productivity, fewer job opportunities, reduced investment, and inefficient use of resources. Supply deficits force consumers to use more expensive, less-efficient, and more polluting energy sources, such as smaller diesel generators.|
|Impact||increased capacity and efficiency of energy generation systems in Assam.|
|Description of Outcome||increased capacity and efficiency in Lakwa power plant.|
|Progress Toward Outcome||Project implementation is ongoing and outcome is expected to be achieved by 2018|
|Description of Project Outputs||
Generation system upgraded and expanded
Institutional capacity of APGC & APDC strengthened.
|Status of Implementation Progress (Outputs, Activities, and Issues)||The project's procurement plan includes: (i) one procurement package for retrofitting the power generation plant at Lakwa Thermal Power Station; and (ii) eight consulting services contracts for strengthening institutional capacity of power utilities. Contract to execute works for retrofitting power generation plant has been awarded and contractor has commenced the works. Out of eight consulting services contracts, five have been awarded and assignments have commenced. The remaining consulting services contracts are expected to be awarded in 2017.|
|Summary of Environmental and Social Aspects|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||Stakeholders consultations were carried out during the project preparation.|
|During Project Implementation||Stakeholders consultation and participation is being practiced during the project implementation.|
|Consulting Services||There are five (5) consultancy firm packages for: (i) Accounting, Audit, Budget & Cost Accounting and Materials Management Manuals Preparation; (ii) Capacity Building and Human Resource Development for Power Sector Utilities; (iii) Project Preparation, Tender Development and Award Management Process for Lower Kopili Hydropower Project; (iv) Project Management and Construction Supervision for Lakwa Power Plant; and (v) Enterprise Resource Planning Implementation and Infrastructure Development for Assam Power Generation Company. Three individual consultants are being recruited for Enterprise Resource Planning and Environmental and Social Safeguards for Lower Kopili Hydropower Project and Lakwa Power Plant Project.|
|Procurement||Goods, equipment, and civil works to be financed under the Investment Program will be procured in accordance with ADB Procurement Guidelines (2015, as amended from time to time). International Competitive Bidding will be used for civil works and turnkey contracts. Advance contracting was approved on 26 August 2013. Consultants will be engaged to help with project management. Tranche 1 will have one major turnkey contract for gas fired power plant.|
|Responsible ADB Officer||Yusupov, Aziz A.|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||Energy Division, SARD|
Assam Power Generation Corporation Ltd.
Assam State Electricity Board ,
4th Floor Bijuleen Bhawan Paltan Bazar,
|MRM||18 Feb 2014|
|Approval||11 Jul 2014|
|Last Review Mission||-|
|Last PDS Update||21 Sep 2017|
|Approval||Signing Date||Effectivity Date||Closing|
|11 Jul 2014||20 Feb 2015||12 May 2015||30 Jun 2019||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||62.00||Cumulative Contract Awards|
|ADB||50.00||11 Jul 2014||38.40||0.00||77%|
|Cofinancing||0.00||11 Jul 2014||28.62||0.00||57%|
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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|Title||Document Type||Document Date|
|Assam Power Sector Investment Program - Tranche 1: Audited Project Financial Statements (For the Year Ended 31 December 2016)||Audited Project Financial Statements||Feb 2017|
|Assam Power Sector Investment Program - Tranche 1: Project Data Sheet (हिन्दी)||Translated PDS||May 2015|
|Loan Agreement for Assam Power Sector Investment Program - Project 1||Loan Agreement (Ordinary Resources)||Feb 2015|
|Project Agreement for Assam Power Sector Investment Program - Project 1||Project/Program Agreements||Feb 2015|
|Assam Power Sector Investment Program: Periodic Financing Request 1||Periodic Financing Request Reports||May 2014|
|Assam Power Sector Investment Program - Tranche 1||Procurement Plans||May 2014|
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|
|Assam Power Sector Investment Program - Tranche 1: Environmental Monitoring Report (July-December 2016)||Environmental and Social Monitoring Reports||Aug 2017|
|Assam Power Sector Investment Program - Tranche 1: Environmental Monitoring Report (January-June 2016)||Environmental and Social Monitoring Reports||Aug 2017|
|Assam Second Power Sector Investment Program - Tranche 1||Initial Environmental Examination||Oct 2013|
|Assam Second Power Sector Investment Program - Tranche 1||Initial Environmental Examination||Sep 2013|
Evaluation Documents See also: Independent Evaluation
None currently available.
None currently available.
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