Pakistan : Second Power Distribution Enhancement Investment Program - Tranche 1

Sovereign Project | 47190-003

The investment program's objective is to introduce advanced metering infrastructure (AMI) in Pakistan's different distribution companies (DISCOs) using MFF. There are nine DISCOs in Pakistan and the AMI roll-out to these DISCOs will be in phases. In the first phase (tranche 1), two of LESCO's circles and IESCO's Rawalpindi region have been selected for AMI roll-out. Once developed, the same will be replicated and implemented in the remaining technically and commercially feasible regions or circles of the nine DISCOs.

Project Details

Project Name
Second Power Distribution Enhancement Investment Program - Tranche 1
Project Number
47190-003
Country / Economy
  • Pakistan
Project Status
Active
Project Type / Modality of Assistance
  • Loan
Source of Funding / Amount
Loan 3328-PAK: Second Power Distribution Enhancement Investment Program " Tranche 1
Source Amount
Ordinary capital resources US$ 380.00 million
Loan 3329-PAK: Second Power Distribution Enhancement Investment Program " Tranche 1
Source Amount
Asian Development Fund US$ 20.00 million
Strategic Agendas
  • Inclusive economic growth
Drivers of Change
  • Partnerships
Sector / Subsector
  • Energy / Electricity transmission and distribution

Gender
No gender elements
Description
The investment program's objective is to introduce advanced metering infrastructure (AMI) in Pakistan's different distribution companies (DISCOs) using MFF. There are nine DISCOs in Pakistan and the AMI roll-out to these DISCOs will be in phases. In the first phase (tranche 1), two of LESCO's circles and IESCO's Rawalpindi region have been selected for AMI roll-out. Once developed, the same will be replicated and implemented in the remaining technically and commercially feasible regions or circles of the nine DISCOs.
Project Rationale and Linkage to Country/Regional Strategy
AMI aims at: (i) reducing distribution losses and improving revenue collection, (ii) enhancing load control and load management, (iii) providing automated consumption data collection of all customers, and (iv) modernizing the electricity metering and billing system. The investment program will provide funds for metering, communication and billing systems including installation and supporting infrastructure.
Impact

Financial viability of the power distribution system improved (project-defined).

Project Outcome

Description of Outcome

Electricity revenues increased in the targeted regions of IESCO and LESCO.

Progress Toward Outcome
Procurement ongoing

Implementation Progress

Description of Project Outputs

Smart meters and communication equipment installed and functional.

Data management systems implemented and operational.

Operation manuals updated and monitoring procedure improved.

New billing and CIS systems implemented and operational.

Status of Implementation Progress (Outputs, Activities, and Issues)

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Target deferred from 2017 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible . After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible. After suspending project implementation in Jan 2018, govt decided to proceed with the project in Nov 2018. Procurement ongoing. Target deferred from 2019 to 2024 after L3328 was extended.

Target still feasible -- manual update in TOR of PICs for IESCO and LESCO. After suspending project implementation in Jan 2018, govt decided to proceed with the project, including consultant recruitment, in Nov 2018. Target deferred from 2017 to 2021.

Target still feasible -- manual update in TOR of PIC for IESCO. After suspending project implementation in Jan 2018, govt decided to proceed with the project, including consultant recruitment, in Nov 2018. Target deferred from 2019 to 2024.

Target still feasible -- manual update in TOR of PIC for LESCO. After suspending project implementation in Jan 2018, govt decided to proceed with the project, including consultant recruitment, in Nov 2018. Target deferred from 2019 to 2024.

Geographical Location
Nation-wide, Islamabad, Lahore

Safeguard Categories

Environment
C
Involuntary Resettlement
C
Indigenous Peoples
C

Summary of Environmental and Social Aspects

Environmental Aspects
Categorized as "C". Expects no environmental impacts.
Involuntary Resettlement
Categorized as "C". Expects no resettlement.
Indigenous Peoples
Categorized as "C". Expects no land acquisition.

Stakeholder Communication, Participation, and Consultation

During Project Design
During PPTA, consultations with the poor and low-income groups will be conducted to include them in the planning process. Risks and vulnerabilities for low income, women, poor and excluded groups will be documented in consultation and participation of these groups.
During Project Implementation
To be updated.

Business Opportunities

Consulting Services
Consulting firms were recruited for project monitoring and supervision, capacity development, and communication strategy. The quality- and cost-based selection method (90:10) was used, following ADB's Guidelines on the Use of Consultants (2013, as amended from time to time).
Procurement
The procurement method for the turnkey contract will be international competitive bidding, following ADB's Procurement Guidelines (2015, as amended from time to time).

Contact

Responsible ADB Officer
Tareen, Adnan
Responsible ADB Department
Sectors Group
Responsible ADB Division
Energy Sector Office (SG-ENE)
Executing Agencies
Ministry of Water & Power

Timetable

Concept Clearance
-
Fact Finding
-
MRM
23 Jan 2015
Approval
25 Nov 2015
Last Review Mission
-
Last PDS Update
30 Sep 2020

Funding

Loan 3328-PAK

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
25 Nov 2015 19 Nov 2016 17 May 2017 30 Jun 2019 10 Nov 2025 -
Financing Plan
  Total (Amount in US$ million)
Project Cost 490.50
ADB 380.00
Counterpart 110.50
Cofinancing 0.00
Loan Utilization
  Date ADB Others Net Percentage
Cumulative Contract Awards 26 Aug 2024 108.71 0.00 74%
Cumulative Disbursements 26 Aug 2024 42.88 0.00 29%

Loan 3329-PAK

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
25 Nov 2015 19 Nov 2016 17 May 2017 30 Jun 2024 10 Nov 2025 -
Financing Plan
  Total (Amount in US$ million)
Project Cost 20.00
ADB 20.00
Counterpart 0.00
Cofinancing 0.00
Loan Utilization
  Date ADB Others Net Percentage
Cumulative Contract Awards 26 Aug 2024 3.49 0.00 49%
Cumulative Disbursements 26 Aug 2024 1.40 0.00 20%

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.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

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.

Title Document Type Document Date
Second Power Distribution Enhancement Investment Program - Tranche 1: Islamabad Electric Supply Company Audited Project Financial Statements (July 2022-June 2023) Audited Project Financial Statements Feb 2024
Second Power Distribution Enhancement Investment Program - Tranche 1: Lahore Electric Supply Company Audited Project Financial Statements (July 2022-June 2023) Audited Project Financial Statements Feb 2024
Second Power Distribution Enhancement Investment Program – Tranche 1: Audited Project Financial Statements (17 May 2017-30 June 2022) Audited Project Financial Statements Aug 2023
Second Power Distribution Enhancement Investment Program: Updated Facility Administration Manual Facility Administration Manual May 2022
Second Power Distribution Enhancement Investment Program - Tranche 1: Procurement Plan Procurement Plans Feb 2022
Amendment to the Loan Agreement (Special Operations) for Loan 3329-PAK: Second Power Distribution Enhancement Investment Program - Project 1 Loan Agreement (Special Operations) Jul 2017
Loan Agreement (Special Operations) for Loan 3329-PAK: Second Power Distribution Enhancement Investment Program - Project 1 Loan Agreement (Special Operations) Nov 2016
Loan Agreement (Ordinary Operations) for Loan 3328-PAK: Second Power Distribution Enhancement Investment Program - Project 1 Loan Agreement (Ordinary Resources) Nov 2016
Project Agreement for Loans 3328 and 3329-PAK: Second Power Distribution Enhancement Investment Program - Project 1 Project/Program Agreements Nov 2016
Second Power Distribution Enhancement Investment Program - Tranche 1: Project Data Sheet (Urdu Translation) Translated PDS Sep 2015

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.

None currently available.


Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

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.

Tenders


Contracts Awarded

Contract Title Approval Number Contract Date Contractor | Address Executing Agency Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
Design, supply, installation, commissioning of advanced metering infrastructure project in Rawalpindi circle, customer information system, and new billing system for Islamabad Electric Supply Company Loan 3328 01 Sep 2022 KT Corporation | 90 Buljeong-ro, Bundang-gu, Seongnam City, Gyeonggido, 13606 Ministry of Water & Power 113,199,767.40 102,674,879.00
PROJECT IMPLEMENTATION CONSULTANT FOR LESCO Loan 3329 18 Mar 2020 CESI S.P.A. | VIA RAFFAELE RUBATTINO, 54 MILANO ITALY Ministry of Water & Power 4,058,610.77 3,932,174.53
PROJECT IMPLEMENTATION CONSULTANT FOR IESCO Loan 3329 31 Dec 2019 CESI S.P.A. IN JV WITH CAPITAL STRATEGIES GRO | VIA RAFFAELE RUBATTINO, 54 MILANO ITALY Ministry of Water & Power 3,558,061.54 3,558,061.54

Procurement Plan

Title Document Type Document Date
Second Power Distribution Enhancement Investment Program - Tranche 1: Procurement Plan Procurement Plans Feb 2022