48223-001: Transmission Improvement Projects in Odisha and Tamil Nadu | Asian Development Bank

India: Transmission Improvement Projects in Odisha and Tamil Nadu

Sovereign (Public) Project | 48223-001 Status: Closed

Odisha is a net exporter of electricity and number of power plants supplying other states is located in Odisha. The installed power generation capacity in Odisha is 9,500 megawatt (MW) and the state allocation is 5,600 MW as of 2015. In addition, Odisha has been allocated 652 MW of capacity of central sector power plants located outside the state. The state allocation is just about sufficient to meet the in-state power demand at present. However, the installed capacity in the state and the state allocation are expected to reach 20,000 MW and 7,500 MW respectively by 2022. This will result in surplus electricity of approximately 7,500 gigawatt hour (GWh), after meeting the projected in-state demand of 37,500 GWh by 2022. The surplus energy can be traded by the Odisha distribution utilities with electricity deficit states to defray some of the financial losses incurred by the Odisha distribution utilities in electricity sales to in-state consumers.

Project Details

Project Officer
Perera, Pradeep South Asia Department Request for information
Country
  • India
Modality
  • Technical Assistance
Sector
  • Energy
 
Project Name Transmission Improvement Projects in Odisha and Tamil Nadu
Project Number 48223-001
Country India
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 9284-IND: Transmission Improvement Projects in Odisha and Tamil Nadu
Technical Assistance Special Fund US$ 225,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Private sector development
Sector / Subsector

Energy / Electricity transmission and distribution

Gender Equity and Mainstreaming No gender elements
Description

Odisha is a net exporter of electricity and number of power plants supplying other states is located in Odisha. The installed power generation capacity in Odisha is 9,500 megawatt (MW) and the state allocation is 5,600 MW as of 2015. In addition, Odisha has been allocated 652 MW of capacity of central sector power plants located outside the state. The state allocation is just about sufficient to meet the in-state power demand at present. However, the installed capacity in the state and the state allocation are expected to reach 20,000 MW and 7,500 MW respectively by 2022. This will result in surplus electricity of approximately 7,500 gigawatt hour (GWh), after meeting the projected in-state demand of 37,500 GWh by 2022. The surplus energy can be traded by the Odisha distribution utilities with electricity deficit states to defray some of the financial losses incurred by the Odisha distribution utilities in electricity sales to in-state consumers.

Tamil Nadu has an installed power generation capacity of more than 25,000 MW and per capita electricity consumption at 1,278 kilowatt hour (kWh) is higher than the national average by 25%. In spite of high installed generation capacity, Tamil Nadu is suffering from both peak power capacity deficit and energy deficit. In response to the prevailing power shortages, as well as expected increase in electricity demand due to rapid industrialization, the Tamil Nadu government has initiated power generation capacity additions of over 15,000 MW in coastal areas including more than 7,500 MW of wind and solar capacity by 2023.

Project Rationale and Linkage to Country/Regional Strategy

Odisha power sector is characterized by weak financial and technical performance of the distribution utilities. The distribution losses are in excess of 33% and the annual financial losses of distribution companies are in excess of Rs20 billion. However, the OPTCL which is responsible for the operation and maintenance of 400 kilovolt (kV), 230 kV, and 132 kV transmission lines have performed well within the regulatory norms set for transmission network availability (more than 98.5%) and transmission losses (less than 3.75%) by OERC.

To address the prevailing constraints in power transmission network the state owned Tamil Nadu Transmission Corporation Limited (TANTRANSCO) intend to invest over Indian rupee (Rs) 540 billion during 2017 2023. These includes extra high voltage transmission network investments at 765 kV and 400 kV and augmenting the existing 220 kV and 132 kV transmission network, introducing more flexible transmission network operation by introducing smart grid technologies and energy storage and demand response technologies to off-set the intermittency of wind and solar power plants. The Tamil Nadu government is also committed to introduce tariff reforms to ensure the financial viability of the electricity sector.

Impact Well designed power transmission investment projects approved and implemented in Odisha and Tamil Nadu.
Project Outcome
Description of Outcome Well-designed investment projects developed for Odisha and Tamil Nadu
Progress Toward Outcome
Implementation Progress
Description of Project Outputs Technical, financial, economic and procurement due diligence for power transmission projects in the states of Odisha and Tamil Nadu completed
Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Nation-wide, Odisha, Tamil Nadu
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design

International and Local consultants are already recruited . Preliminary Project Report has been posed by the Government of India to ADB for preparing the Chennai- Kanyakumari Industrial Corridor Power Sector Project in Tamil Nadu. The consultation with stakeholders are on -going will be completed in November 2018.

The Project in Odisha is not progressing.

During Project Implementation
Business Opportunities
Consulting Services Four international and three national consultants will be recruited. ADB will engage the consultants on an individual basis in accordance with its Guidelines on the Use of Consultants by ADB and its Borrowers (2013, as amended from time to time), and other arrangements satisfactory to ADB for engaging individual consultants.
Procurement None.
Responsible ADB Officer Perera, Pradeep
Responsible ADB Department South Asia Department
Responsible ADB Division Energy Division, SARD
Executing Agencies
Asian Development Bank
6 ADB Avenue,
Mandaluyong City 1550, Philippines
Timetable
Concept Clearance -
Fact Finding -
MRM -
Approval 19 Dec 2016
Last Review Mission -
Last PDS Update 17 Sep 2018

TA 9284-IND

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
19 Dec 2016 - 19 Dec 2016 31 Mar 2018 31 Oct 2018 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
225,000.00 0.00 0.00 0.00 0.00 0.00 225,000.00 19 Dec 2016 201,008.99

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.

None currently available.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

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Tenders

Tender Title Type Status Posting Date Deadline
Transmission Improvement Projects in Odisha and Tamil Nadu Individual - Consulting Closed 11 Jan 2018 17 Jan 2018

Contracts Awarded

No contracts awarded for this project were found

Procurement Plan

None currently available.