India : Assam Power Sector Investment Program - Tranche 2
The Asian Development Bank is helping India tackle power sector problems in the northeastern state of Assam, including lengthy power outages. The program is upgrading and expanding power generation, transmission and distribution systems and building a 120-megawatt hydropower plant. Tranche 2 supports expansion of the distribution system and strengthening of the state power distribution company.
Project Details
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Project Officer
Horiguchi, Kazuhiro
South Asia Department
Request for information -
Country/Economy
India -
Modality
-
Sector
- Energy
| Project Name | Assam Power Sector Investment Program - Tranche 2 | ||||
| Project Number | 47101-003 | ||||
| Country / Economy | India |
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| Project Status | Closed | ||||
| Project Type / Modality of Assistance | Loan |
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| Source of Funding / Amount |
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| Strategic Agendas | Environmentally sustainable growth Inclusive economic growth |
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| Drivers of Change | Governance and capacity development |
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| Sector / Subsector | Energy / Electricity transmission and distribution - Energy efficiency and conservation |
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| Gender Equity and Mainstreaming | No gender elements | ||||
| Description | Tranche 2 will finance the expansion and upgrading of power distribution system in the state of Assam, and strengthen institutional capacity of Assam Power Distribution Company Limited (APDCL). It covers part of the state's power sector road map for enhancing the sub-transmission and distribution capacities to improve operational efficiency and electricity service to end users. Output 1 includes: (i) one new 33 kV/11 kV substation and associated lines; (ii) 137 km of 33 kV lines; (iii) 33 kV railway line and river crossings; (iv) 7 km of 11 kV lines; (v) installation of seventeen 33 kV bays; (vi) re-conductoring and refurbishing of 955 km of 33 kV lines; (vii) 1,000 km of 11 kV lines; (viii) 1,555 km of low voltage lines; (ix) replacement of 204 distribution transformers; and (x) replacement of 14 km 11 kV overhead lines with underground cables. Output 2 includes: (i) establishing two area load dispatch centers; (ii) setting up of an independent meter testing laboratory; (iii) establishing one IT module to expand the centralized uniform revenue billing system for 1.2 million customers; and (iv) project management, supervision and implementation support. | ||||
| Project Rationale and Linkage to Country/Regional Strategy | Despite governments efforts and ADB's support, Assam's power sector faces serious challenges including: (i) only about 37% of the households having access to grid-supplied electricity; (ii) power cuts of about 5 hours per day; (iii) peak demand-supply gap of about 22%; (iv) only about 30% of demand is currently met by in-state generation; (v) high distribution losses of about 25.% (FY2013); (vi) financial un-sustainability of power companies, particularly Assam Power Distribution Company Limited (APDCL); and (vi) limited capacity of the power sector agencies to use modern technology and management systems. Financial losses of the APDCL are mainly due to two reasons: inability to meet the targeted loss reductions prescribed by the Assam Electricity Regulatory Commission (AERC), and purchase of about 15% of power from the spot market at very high costs. APDCL has had some success in reducing losses: distribution losses decreased from about 40% in FY2001 to 25.2% in FY2013. However, loss reduction has stagnated due to the provision of new power connections without system upgrades, inadequate investment, and poor management and metering practices. APDC's inability to meet the loss reduction targets approved by the AERC has resulted in revenue shortfalls. APDC petitioned for a distribution loss allowance of 23% for FY2014 and 22% for FY2016, while the allowed losses for this period were below 18.8% to 17.5% , respectively. Achieving these targets is a challenge for APDC, and it requires capital investment and improvements in distribution system management. |
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| Impact | Enhanced quality and expanded service delivery of electricity in Assam. |
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| Project Outcome | |
|---|---|
| Description of Outcome | Increased efficiency and capacity of power distribution system in Assam. |
| Progress Toward Outcome | Physical progress Complete. |
| Implementation Progress | |
| Description of Project Outputs | Distribution system expanded and upgraded. Institutional capacity of APDCL strengthened. |
| Status of Implementation Progress (Outputs, Activities, and Issues) | All packages under this loan complete by December 2019. The physical verification will measure actual achievement against target. All packages under this loan complete by December 2019. The physical verification will measure actual achievement against target. All packages under this loan complete by December 2019. The physical verification will measure actual achievement against target. All packages under this loan complete by December 2019. The physical verification will measure actual achievement against target. All packages under this loan are expected to be complete by December 2019. The physical verification will measure actual achievement against target. All packages under this loan complete by December 2019. The physical verification will measure actual achievement against target. Physical progress advance stage of completion. Physical progress advance stage of completion. Physical progress advance stage of completion. |
| Geographical Location | Barpeta, Bongaigaon, Cachar, Dibrugarh district, Golaghat, Jorhat, Kamrup Metropolitan, Kokrajhar, Mangaldai, Marigaon, Nagaon, Nalbari, North Lakhimpur, Sibsagar, Sonitpur, Tinsukia |
| Safeguard Categories | |
|---|---|
| Environment | B |
| Involuntary Resettlement | B |
| Indigenous Peoples | C |
| Summary of Environmental and Social Aspects | |
|---|---|
| Environmental Aspects | Being Complied |
| Involuntary Resettlement | Being Complied |
| Indigenous Peoples | Being Complied |
| Stakeholder Communication, Participation, and Consultation | |
| During Project Design | The executing agency and the project management unit consulted with stakeholders, including affected communities, during the design stage. During the preparatory stages, consultations were carried out with various stakeholders and government officials concerned. Local communities were consulted as part of the social and resettlement study to gather their views on the proposed projects. |
| During Project Implementation | Being complied. |
| Responsible ADB Officer | Horiguchi, Kazuhiro |
| Responsible ADB Department | South Asia Department |
| Responsible ADB Division | Energy Division, SARD |
| Executing Agencies |
Assam Power Distribution Company Ltd. |
| Timetable | |
|---|---|
| Concept Clearance | - |
| Fact Finding | - |
| MRM | 25 May 2015 |
| Approval | 23 Nov 2015 |
| Last Review Mission | - |
| Last PDS Update | 02 Mar 2020 |
Loan 3327-IND
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 23 Nov 2015 | 07 Nov 2016 | 21 Dec 2016 | 31 Dec 2019 | - | 07 Aug 2020 |
| Financing Plan | Loan Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 41.56 | Cumulative Contract Awards | |||
| ADB | 29.56 | 12 Jan 2023 | 24.97 | 0.00 | 100% |
| Counterpart | 12.00 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 12 Jan 2023 | 24.97 | 0.00 | 100% |
| Status of Covenants | ||||||
|---|---|---|---|---|---|---|
| Category | Sector | Safeguards | Social | Financial | Economic | Others |
| Rating | Satisfactory | Satisfactory | Satisfactory | Partly satisfactory | - | Unsatisfactory |
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 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.
Related Publications
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- ADB and the Government of India today signed a $48 million loan to help Assam state continue its drive to improve access to efficient and reliable power.
Tenders
| Tender Title | Type | Status | Posting Date | Deadline |
|---|---|---|---|---|
| IND: Assam Power Sector Investment Program – Tranche 2 | Advance Notice | Archived |
Contracts Awarded
| Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
|---|---|---|---|---|---|---|
| Design, Supply and Installation for Replacement of Existing Overhead 33 KV, 11 KV and LT Lines by Underground Cables (Package 3) | Loan 3327 | 06 Jan 2017 | JV Neccon Power and Inf Ltd. and Scope and Survalent | Jurhat Assam - 785001 India | Assam Power Distribution Company Ltd. | 1,480,496.50 | 1,506,616.67 |
| Design, Supply and Installation for RandM Reconductoring O of 33 KV, 11 KV LVL (Central Assam) | Loan 3327 | 06 Jan 2017 | Neccon Power and Infra. Ltd. | Jorhat Assam - 785 001 India | Assam Power Distribution Company Ltd. | 4,817,502.55 | 4,902,497.03 |
| Design, Supply Construction and Installation of 33/11 KV Substations, 33KV Terminal Bays, Crossing for Railways (Package 1) | Loan 3327 | 06 Jan 2017 | JV Nk Power and Infra Pvt. Ltd. and T&T Projects | Guwahati - 785 006 Assam India | Assam Power Distribution Company Ltd. | 4,827,724.91 | 4,593,640.39 |
| Design, Supply and Installation for RandM Reconductoring of 33 KV, 11 KV LVL (Upper Assam) | Loan 3327 | 06 Jan 2017 | Neccon Power and Infra Ltd. | Jorhat - 785 001 Assam India | Assam Power Distribution Company Ltd. | 4,837,818.12 | 4,644,500.97 |
| Design, Supply and Installation for RandM and Reconductoring/Refurbishment 33 KV Lines (Lower Assam) | Loan 3327 | 06 Jan 2017 | JV Nk Power and Infra Pvt. Ltd. and T&T Projects | Plaza Building, Ganeshguri Dispur, Assam, India India | Assam Power Distribution Company Ltd. | 5,871,894.31 | 5,587,749.09 |
| W3-RR1 Rehabilitation for Tian'Eshan and Guangqiao Rivers | Loan 3327 | 06 Jan 2017 | JV Hemen Dekha and T&T Projects Ltd. | Assam India | Assam Power Distribution Company Ltd. | 12,920,841.42 | 9,603,396.92 |
| Project Management, Supervision and Implementation Consultant | Loan 3327 | 19 Jan 2017 | Smec International Pty. Ltd. in association with Smec India Pvt. Ltd. | 387 Udyog Vihar, Phase 2 Gurgaon - 122 016, Haryana India | Assam Power Distribution Company Ltd. | 1,017,771.64 | — |
| Consultancy for Supplemental Environmental Assessment for Lower Kopili Hydropower Plant | Loan 3327 | 19 Jan 2017 | ES Safeguards Compliance Services Pvt. Ltd. | Plot No. Gh 17, Sector 56 Gurgaon - 122 011 India | Assam Power Distribution Company Ltd. | 685,940.52 | — |
Procurement Plan
| Title | Document Type | Document Date |
|---|---|---|
| Assam Power Sector Investment Program - Tranche 2: Procurement Plan | Procurement Plans | Nov 2015 |