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Sri Lanka: Supporting Electricity Supply Reliability Improvement

Sovereign (Public) Project | 49216-002 Status: Active

The Asian Development Bank is working with Sri Lanka to develop the country's energy resources in order to bring electricity to isolated areas. The project is assisting the government in formulating plans to produce sustainable, clean energy including renewable energy (hydro, wind and solar) and deliver it reliably and at an affordable price to all consumers, including the poor.

Project Details

Project Officer
Haputhanthri, Dinuk P. South Asia Department Request for information
Country
  • Sri Lanka
Modality
  • Grant
  • Loan
Sector
  • Energy
 
Project Name Supporting Electricity Supply Reliability Improvement
Project Number 49216-002
Country Sri Lanka
Project Status Active
Project Type / Modality of Assistance Grant
Loan
Source of Funding / Amount
Grant 0486-SRI: Supporting Electricity Supply Reliability Improvement Project-Renewable Energy Micro-grid
Clean Energy Fund under the Clean Energy Financing Partnership Facility US$ 1.80 million
Grant 9186-SRI: Productive Energy Use for Small Isolated Island and Rural Communities
Japan Fund for Poverty Reduction US$ 2.00 million
Loan 3409-SRI: Supporting Electricity Supply Reliabiity Improvement
Ordinary capital resources US$ 115.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Partnerships
Sector / Subsector

Energy / Electricity transmission and distribution - Energy efficiency and conservation - Renewable energy generation - solar - Renewable energy generation - wind

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The project will directly benefit the development of lagging areas. It will cover 106 rural electrification schemes and 2,372 kilometers (km) of low voltage line extensions. Innovative hybrid mini grids, consisting of wind solar and efficient diesel generation systems coupled with energy storage (lithium-ion batteries), will be implemented in the small isolated islands. As a result, the project will help to ensure inclusiveness and access to electricity by all the population. The project is expected to provide electricity to about 35,710 rural households, including the former conflict-affected Northern and Eastern provinces as well as Uva and North Central provinces where the current electrification level is lower than in other parts of the country. Improvement of the medium voltage network will enhance the quality and reliability of electricity supply to more than 493,000 consumers. The project is consistent with the interim country partnership strategy for Sri Lanka of the Asian Development Bank (ADB). It builds on previous ADB interventions focused on supporting transmission and distribution investments to expand access to clean and reliable electricity, and renewable energy development.
Project Rationale and Linkage to Country/Regional Strategy

Sri Lanka has improved its energy sector performance, and achieved a national electrification ratio of 98% in 2014 compared with 29% in 1990. The remaining 2% of electrification is the most difficult to accomplish, and is mainly in underdeveloped areas and small isolated islands around the country. Although some provinces have achieved 100% electrification, the former conflict-affected Northern and Eastern provinces have only 92% and 94% electrification; and Uva and North Central provinces achieved 95%, with several districts falling well below this level. Improvement of the 33-kilovolt (kV) medium voltage network is needed to ensure system reliability and expand power supply into these rural areas, where many poor households remain unconnected and those connected have poor quality of electricity supply. Several small isolated islands with a population of 1,800 4,500 people cannot be provided with electricity through extension of the grid. These islands are supplied by expensive electricity generated by inefficient, old diesel generation sets that provide electricity for limited hours during the day, with an electrification ratio of 38% 60%.



The Government of Sri Lanka aims to ensure sustainable development of energy resources by improving the power supply systems to provide access to electricity services to the entire population. Sri Lanka has a national investment program, including sector investments that are based on the National Energy Policy and Strategies. The National Energy Policy and Strategies includes a sector road map, a long-term investment plan, and policy and reform measures. The country's installed generation capacity of 3,932 megawatts produces 12,357 gigawatt-hours of electricity (2014), adequately covering current demand. Generation capacity is sufficient to expand electricity supply further. The government intends to provide electricity to the population through the grid on the main island and mini-grid systems on small isolated islands. The project will contribute to the government's goal of expanding access to electricity and developing clean energy.

Impact Access to clean, reliable, and affordable power supply in Sri Lanka increased by 2020 (National Energy Policy and Strategies of Sri Lanka)
Project Outcome
Description of Outcome Electricity supply, and distribution system efficiency and reliability enhanced
Progress Toward Outcome Implementation is ongoing
Implementation Progress
Description of Project Outputs

1. Renewable energy systems established

2. Reliability of the medium voltage network improved

3. Rural electrification network extended and distribution performance monitoring improved

4. Reactive power management in the transmission system improved

Status of Implementation Progress (Outputs, Activities, and Issues) In progress; on track to achieve the specific target.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target; bids are under evaluation.In progress; on track to achieve the specific target; contract awarded; contract signing pending.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target; RO plant completed and to be commissioned.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target.In progress; on track to achieve the specific target.Completed; these are goods packages; all equipement purchases completed; construction to be carried out by CEB; DMF revisions in line with this had been proposed.Completed; these are goods packages; all equipement purchases completed; construction to be carried out by CEB; DMF revisions in line with this had been proposed.
Geographical Location Nation-wide
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects CEB has prepared initial environmental examinations for their components and held public consultations. Construction are ongoing and steps are taken to minimize environmental impacts. CEB has observed the route-selection criteria in the national regulations and has adopted best environmental practices. Adequate provisions have been made for the environmental mitigation measures, monitoring requirements, and their associated costs in the environmental management plans (EMPs). CEB has sufficient capacity to implement the safeguard measures incorporated in the EMPs. Mitigation measures related to construction and specified in the EMPs are being incorporated into civil works contracts. The contractors is having primary responsibility for implementing the mitigation measures, but CEB is responsible for and periodically report to ADB on overall implementation of its site-specific EMPs. CEB adhere to ADB 's Safeguard Policy Statement (2009) and local and government environmental regulations. The project is classified category B for environment. CEB has submitted the semi annual environment safeguards reports for Jan 2018 - Jul 2020.
Involuntary Resettlement None of the project components will have any significant social safeguard impacts. The distribution lines primarily cross public and unused lands. Where croplands are affected, adequate compensation are being paid. Project construction will be going on during the crop off-seasons. Where new grid substations are built on commercial and private lands, adequate compensation is being paid to their owners. The project is classified category B for involuntary resettlement impacts. CEB prepared a resettlement plan for the distribution components.
Indigenous Peoples No impact on Indigenous Peoples and the project is classified category C for impacts on indigenous peoples.
Stakeholder Communication, Participation, and Consultation
During Project Design Extensive consultations with the government and stakeholders, including local communities, local authorities, focal groups, civil society groups, were undertaken to ensure participatory approach throughout the design stage during the project preparatory technical assistance. The stakeholders are bring consulted on the relevant issues, including environmental, social and other issues that may affect communities and poor people.
During Project Implementation The consultation process with the stakeholders are being continued during project implementation as per Sri Lankan regulations.
Business Opportunities
Consulting Services

Recruitment of consultants will be in accordance with ADB's Guidelines on the Use of Consultants (2013, as amended from time to time).

The consulting services include recruitment of a firm or NGO and 4 individual consulting contracts.

Procurement

All procurement will be carried out in accordance with ADB's Procurement Guidelines (2015, as amended from time to time).

There are 8 International Competitive Bidding procurement packages and 1 National Competitive Bidding procurement package.

Responsible ADB Officer Haputhanthri, Dinuk P.
Responsible ADB Department South Asia Department
Responsible ADB Division Sri Lanka Resident Mission
Executing Agencies
Ceylon Electricity Board
3rd Floor, G.O.B.A. Bldg.
#50,Sir Chittampalam A. Gardiner Mawatha
Colombo 02, Sri Lanka
Timetable
Concept Clearance 14 Sep 2015
Fact Finding 19 Jan 2016 to 28 Jan 2016
MRM 08 Apr 2016
Approval 26 Jul 2016
Last Review Mission -
Last PDS Update 14 Sep 2020

Grant 0486-SRI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
26 Jul 2016 19 Dec 2016 29 Jun 2017 31 Mar 2022 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 1.80 Cumulative Contract Awards
ADB 0.00 26 Jul 2016 0.00 1.78 99%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 1.80 26 Jul 2016 0.00 0.27 15%

Grant 9186-SRI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
26 Jul 2016 19 Dec 2016 29 Jun 2017 31 Mar 2022 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2.00 Cumulative Contract Awards
ADB 0.00 26 Jul 2016 0.00 1.58 79%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 2.00 26 Jul 2016 0.00 1.32 66%

Loan 3409-SRI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
26 Jul 2016 19 Dec 2016 29 Jun 2017 31 Mar 2022 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 160.20 Cumulative Contract Awards
ADB 115.00 26 Jul 2016 77.32 0.00 67%
Counterpart 45.20 Cumulative Disbursements
Cofinancing 0.00 26 Jul 2016 28.49 0.00 25%

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
Supporting Electricity Supply Reliability Improvement: Grant 9186 Audited Project Financial Statements (January-December 2019) Audited Project Financial Statements Oct 2020
Supporting Electricity Supply Reliability Improvement: Grant 0486 Audited Project Financial Statements (29 June 2017-31 December 2018) Audited Project Financial Statements Jul 2020
Supporting Electricity Supply Reliability Improvement: Procurement Plan Procurement Plans Feb 2020
Supporting Electricity Supply Reliability Improvement: Audited Project Financial Statements (January-December 2018) Audited Project Financial Statements Jan 2020
Supporting Electricity Supply Reliability Improvement: Grant 9186 Audited Project Financial Statements (January-December 2018) Audited Project Financial Statements Jan 2020
Supporting Electricity Supply Reliability Improvement: Audited Project Financial Statements (January-December 2017) Audited Project Financial Statements Nov 2018
Project Agreement for Grant 0486-SRI: Supporting Electricity Supply Reliability Improvement Project Project/Program Agreements Dec 2016
Guarantee Agreement (Ordinary Operations) for Loan 3409-SRI: Supporting Electricity Supply Reliability Improvement Project Guarantee Agreements Dec 2016
Grant Agreement (Externally Financed) for Grant 9186-SRI: Supporting Electricity Supply Reliability Improvement Project Grant Agreement Dec 2016
Grant Agreement (Externally Financed) for Grant 0486-SRI: Supporting Electricity Supply Reliability Improvement Project Grant Agreement Dec 2016
Project Agreement for Grant 9186-SRI: Supporting Electricity Supply Reliability Improvement Project Project/Program Agreements Dec 2016
Loan Agreement (Ordinary Operations) for Loan 3409-SRI: Supporting Electricity Supply Reliability Improvement Project Loan Agreement (Ordinary Resources) Dec 2016
Supporting Electricity Supply Reliability Improvement: Project Administration Manual Project/Program Administration Manual Jun 2016
Supporting Electricity Supply Reliability Improvement Project: Report and Recommendation of the President Reports and Recommendations of the President Jun 2016
Supporting Electricity Supply Reliability Improvement: Gender Action Plan Gender Action Plans Jun 2016
Supporting Electricity Supply Reliability Improvement: Project Data Sheet (Sinhala Translation) Translated PDS Mar 2016
Supporting Electricity Supply Reliability Improvement: Project Data Sheet (Tamil Translation) Translated PDS Mar 2016
Supporting Electricity Supply Reliability Improvement: Project Preparatory Technical Assistance Report Project Preparatory Technical Assistance Reports Sep 2015
Supporting Electricity Supply Reliability Improvement: Initial Poverty and Social Analysis Initial Poverty and Social Analysis 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.

Title Document Type Document Date
Supporting Electricity Supply Reliability Improvement: Social Monitoring Report (January-June 2020) Social Monitoring Reports Jul 2020
Supporting Electricity Supply Reliability Improvement: Environmental Monitoring Report (January-June 2020) Environmental Monitoring Reports Jul 2020
Supporting Electricity Supply Reliability Improvement: Social Safeguard Monitoring Report (July-December 2019) Social Monitoring Reports Jan 2020
Supporting Electricity Supply Reliability Improvement: Environmental Monitoring Report (July-December 2019) Environmental Monitoring Reports Jan 2020
Supporting Electricity Supply Reliability Improvement: Resettlement Plan (Addendum 3) Resettlement Plans Aug 2019
Supporting Electricity Supply Reliability Improvement: Resettlement Plan (Addendum 2) Resettlement Plans Jul 2019
Supporting Electricity Supply Reliability Improvement: Environmental Monitoring Report (January-June 2019) Environmental Monitoring Reports Jul 2019
Supporting Electricity Supply Reliability Improvement: Social Safeguard Monitoring Report (January-June 2019) Social Monitoring Reports Jul 2019
Supporting Electricity Supply Reliability Improvement: Resettlement Plan (Addendum 1) Resettlement Plans Apr 2019
Supporting Electricity Supply Reliability Improvement: Initial Environmental Examination (Addendum - 1) Initial Environmental Examination Feb 2019
Supporting Electricity Supply Reliability Improvement: Environmental Monitoring Report (July-December 2018) Environmental Monitoring Reports Jan 2019
Supporting Electricity Supply Reliability Improvement Project: Social Monitoring Report (July-December 2018) Social Monitoring Reports Jan 2019
Supporting Electricity Supply Reliability Improvement Project: Environmental Monitoring Report (January-June 2018) Environmental Monitoring Reports Jul 2018
Supporting Electricity Supply Reliability Improvement Project: Social Safeguard Monitoring Report (January-June 2018) Social Monitoring Reports Jul 2018
Supporting Electricity Supply Reliability Improvement Project: Environmental Monitoring Report (July-December 2017) Environmental Monitoring Reports Jan 2018
Supporting Electricity Supply Reliability Improvement: Resettlement Plan Resettlement Plans Apr 2016
Supporting Electricity Supply Reliability Improvement: Initial Environmental Examination Initial Environmental Examination Mar 2016

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

Tender Title Type Status Posting Date Deadline
L3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/AGM/PRO/2019/IFB/SESRIP-P7 Lot A3] Invitation for Bids Closed 11 Jun 2020 16 Sep 2020
L3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/03] Invitation for Bids Closed 27 Jun 2019 18 Sep 2019
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/04A] Invitation for Bids Closed 13 Dec 2018 30 Jan 2019
Grant No. 0486-SRI: Supporting Electricity Supply Reliability Improvement Project [LECO/ERD/SDD/PROC/2018/132/T024] Invitation for Bids Closed 07 Nov 2018 22 Feb 2019
Supporting Electricity Supply Reliability Improvement Individual - Consulting Closed 28 Apr 2018 04 May 2018
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/AGM/PR/2016/IFB/ SESRIP-P7-A2] Invitation for Bids Closed 23 Feb 2018 20 Jun 2018
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/01] Invitation for Bids Closed 15 Feb 2018 20 Jun 2018
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/03] Invitation for Bids Closed 16 Nov 2017 14 Feb 2018
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/02] Invitation for Bids Closed 09 Nov 2017 03 Jan 2018
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/04] Invitation for Bids Closed 06 Oct 2017 22 Nov 2017
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/02] Invitation for Bids Closed 29 Jun 2017 16 Aug 2017
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/PMU/SESRIP/2017/ICB/05] Invitation for Bids Closed 22 Jun 2017 09 Aug 2017
Loan No. 3409-SRI: Supporting Electricity Supply Reliability Improvement Project [CEB/AGM/TR/2016/IFB/ SESRIP-P7-A1] Invitation for Bids Closed 18 May 2017 16 Aug 2017
Consulting Firm Firm - Consulting Closed 04 Apr 2017 03 May 2017
SRI: Supporting Electricity Supply Reliability Improvement Project Advance Notice Archived 08 Dec 2015

Contracts Awarded

Contract Title Approval Number Contract Date Contractor Contractor Address Executing Agency Contract Description Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
INSTALLATION OF STATIC VAR SYSTEM (SVS) AT BIYAGAMA GRID SUBSTATION (PACKAGE 7 LOT A2) Loan 3409 15 Jul 2020 HYOSUNG HEAVY INDUSTRIES CORPORATION SEOUL, SOUTH KOREA KOREA, REPUBLIC OF Ceylon Electricity Board TURNKEY 9,593,755.20 9,593,755.20
DESIGN SUPPLY AND INSTALLATION OF RENEWABLE ENERGY MICROGRID PILOT PROJECT Grant 0486 03 Jul 2020 CONSORTIUM OF DHYBRID POWER SYSTEMS GMBH NO 65 JETAWANA ROAD P.O BOX 339 COLOMBO 14 SRI LANKA Ministry of Power and Renewable Energy (MPRE) 1,593,071.03
SUPPLY AND DELIVERY OF 33KV ABC & ABC ACCESSORIES, 33KV-10KA SURGE ARRESTOR AND 33KV SWITCH, CUT-OUTS WITH ISOLATING BLADES (PKG 5 LOT 5) Loan 3409 16 Aug 2019 LEADER CABLE INDUSTRY BERHAD SUNGAI PETANI, KEDAH, MALAYSIA MALAYSIA Ceylon Electricity Board SUPPLY OF GOODS 3,220,796.48 3,219,762.80
CONSTRUCTION OF 33KV TOWER LINES AND GANTRIES Loan 3409 10 Jun 2019 QINGDAO HUIJINTONG POWER EQUIPMENT CO. LTD. SHANDONG, CHINA CHINA,PEOPLE'SREP.OF Ceylon Electricity Board TURNKEY 40,440,216.86 40,440,216.86
INSTALLATION OF 100 MVAR BREAKER SWITCHED CAPACITOR BANKS AT PANNIPITIYA GRID SUBSTATION (PACKAGE 7 - LOT A1) Loan 3409 16 May 2019 SIEMENS LIMITED, INDIA PLOT NO.6A,SEC:18,HUDA,MARUTI IND. AREA, GURGAON - 122015, HARYANA, INDIA. INDIA Ceylon Electricity Board CONSTRUCTION 6,727,581.70 6,727,581.70
SUPPLY AND DELIVERY OF CURRENT TRANSFORMERS FOR METERING - 75,000 NOS PACKAGE -5, LOT -2 Loan 3409 08 Mar 2019 SHENZHEN CHUANGYIN CO. LTD 5, SONG PING SHAN ROAD, TECHNOLOGY PARK, NANSHAN, SHENZHEN, GUANGDONG, CHINA CHINA,PEOPLE'SREP.OF Ceylon Electricity Board SUPPLY OF GOODS 2,276,509.25 2,612,613.20
SUPPLY AND DELIVERY OF DISTRIBUTION SUBSTATION METERS AND MODEMS: 25,000 NOS. PACKAGE -5 LOT -1 Loan 3409 08 Mar 2019 SHENZHEN KAIFA TECHNOLOGY CO. LTD 7006, CAITIAN ROAD, FUTIAN DISTRICT SHENZHEN, CHINA CHINA,PEOPLE'SREP.OF Ceylon Electricity Board SUPPLY OF GOODS 1,531,524.20 1,758,060.30
CONSULTING SERVICES FOR PRODUCTIVE ENERGY USE FOR SMALL ISOLATED ISLANDS AND RURAL COMMUNITIES (PACK Grant 9186 06 Dec 2018 ARYANS CONSULTING-ARYANS ENG-ATKINS INT (JV) 218 ORCHARD ROAD LEVEL 6 ORCHARD GATEWAY AT EMERALD SINGAPORE Ministry of Power and Renewable Energy (MPRE) CONSULTANCY 512,491.04
SUPPLY AND INSTALLATION OF L150 M3/DAY(2 NOS OF 75 M3/DAY TRAINS) SEA WATER REVERSE OSMOSIS (SWRO) Grant 9186 15 Nov 2018 UNITED TRACTOR & EQUIPMENT (PVT) LTD 683 NEGOMBO ROAD MABOLE WATTALA SRI LANKA Ministry of Power and Renewable Energy (MPRE) 1,045,552.00
SUPPLY AND DELIVERY OF CONDUCTORS AND CABLES PACKAGE 3, LOT 3 Loan 3409 18 Jul 2017 ACL CABLES PLC NO. 60 RODNEY STREET COLOMBO SRI LANKA Ceylon Electricity Board Supply of Goods 7,412,507.00 7,412,507.00
SUPPLY AND DELIVERY OF POLES (R.C. 8.3 M 100 KG) PACKAGE 1, LOT 3 Loan 3409 12 Jul 2017 U.S.S. ENGINEERING (PVT) LTD. NO. 397GALAHITIYAWA SOUTH GANEMULLA SRI LANKA Ceylon Electricity Board Supply of Goods 1,211,178.00 1,211,178.00

Procurement Plan