Bangladesh : Bangladesh Power System Enhancement and Efficiency Improvement Project -Additional Financing
The proposed additional financing will yield expansion of Output 3 (distribution network in rural areas of Bangladesh improved) of the original project. Over 46,000 km (Original: 38,000 km) of 33 kV and 11 kV distribution lines and associated facilities rehabilitated, and over 16,000 km (Original: 12,000 km) of 33 kV and 11 kV distribution lines and associated facilities will be constructed. An updated design and monitoring framework is in Attachment 2.
Project Details
-
Project Officer
Horiguchi, Kazuhiro
South Asia Department
Request for information -
Country/Economy
Bangladesh -
Sector
- Energy
| Project Name | Bangladesh Power System Enhancement and Efficiency Improvement Project -Additional Financing | ||||||||
| Project Number | 49423-006 | ||||||||
| Country / Economy | Bangladesh |
||||||||
| Project Status | Active | ||||||||
| Project Type / Modality of Assistance | Loan |
||||||||
| Source of Funding / Amount |
|
||||||||
| Operational Priorities | OP1: Addressing remaining poverty and reducing inequalities OP2: Accelerating progress in gender equality OP3: Tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability OP5: Promoting rural development and food security OP6: Strengthening governance and institutional capacity |
||||||||
| Sector / Subsector | Energy / Electricity transmission and distribution |
||||||||
| Gender | Effective gender mainstreaming | ||||||||
| Description | The proposed additional financing will yield expansion of Output 3 (distribution network in rural areas of Bangladesh improved) of the original project. Over 46,000 km (Original: 38,000 km) of 33 kV and 11 kV distribution lines and associated facilities rehabilitated, and over 16,000 km (Original: 12,000 km) of 33 kV and 11 kV distribution lines and associated facilities will be constructed. An updated design and monitoring framework is in Attachment 2. | ||||||||
| Project Rationale and Linkage to Country/Regional Strategy | The additional financing for BREB is proposed to further improve access to efficient and reliable electricity supply in rural areas in Khulna division (western Bangladesh). BREB has sought assistance from ADB to enhance the primary distribution network capacity of the rural electrification network and to rehabilitate and improve sections of the network that are over 20 years old using wooden distribution poles with low-capacity conductors. These investments are needed to ensure delivery of increasing requirement of power and meet customer demand in an efficient and reliable manner. Proposed additional scope is strongly linked to the ongoing project's scope and can be efficiently implemented under the same implementation arrangements. The overall project scope is aligned with the government's the Perspective Plan of Bangladesh, 20102021: Making Vision 2021 a Reality, and the 7th Five Year Plan. It is also aligned with Bangladesh country partnership strategy for 201620. | ||||||||
| Impact | 100% access to power by 2021 and power sector sustainability improved in Bangladesh by 2030 |
||||||||
| Project Outcome | |
|---|---|
| Description of Outcome | Access to efficient and reliable electricity supply in Bangladesh improved |
| Progress Toward Outcome | Seven contracts were awarded as of September 2022. |
| Implementation Progress | |
| Description of Project Outputs | National transmission network in southern Bangladesh strengthened Distribution network in DESCO service areas improved Distribution network in rural areas of Bangladesh including the capacity of end-users improved Capacity in power sector agencies enhanced |
| Status of Implementation Progress (Outputs, Activities, and Issues) | Procurement is ongoing for other packages. |
| Geographical Location | Nation-wide |
| Safeguard Categories | |
|---|---|
| Environment | B |
| Involuntary Resettlement | B |
| Indigenous Peoples | C |
| Summary of Environmental and Social Aspects | |
|---|---|
| Environmental Aspects | The project is classified as Category B for environment. The IEE adequately assessed the impacts and risks of the identified substations, and confirms the project will not impact on legally protected areas or internationally or nationally important biodiversity areas or physical cultural resources. |
| Involuntary Resettlement | The project is classified as Category B for resettlement. Potential impacts of the project on land acquisition and involuntary resettlement are not anticipated to be significant. |
| Indigenous Peoples | The project is classified as Category B for indigenous peoples. |
| Stakeholder Communication, Participation, and Consultation | |
| During Project Design | |
| During Project Implementation | |
| Business Opportunities | |
|---|---|
| Consulting Services | Three international individual consultants and five national individual consultants will be recruited to support financial, procurement, and safeguards due diligence. One individual national consultant will be recruited to support safeguard monitoring. ADB will engage the consultants following the ADB Procurement Policy (2017, as amended from time to time) and its associated project administration instructions and/or staff instructions |
| Procurement | Since BREB has successfully awarded all contracts under the ongoing loan, the recommended project procurement classification is Category B. |
| Responsible ADB Officer | Horiguchi, Kazuhiro |
| Responsible ADB Department | South Asia Department |
| Responsible ADB Division | Energy Division, SARD |
| Executing Agencies |
Bangladesh Rural Electrification Board Ministry of Power, Energy and Mineral Resources |
| Timetable | |
|---|---|
| Concept Clearance | 20 Nov 2019 |
| Fact Finding | 29 Jun 2020 to 29 Jun 2020 |
| MRM | 25 Sep 2020 |
| Approval | 09 Dec 2020 |
| Last Review Mission | - |
| Last PDS Update | 14 Sep 2022 |
Loan 4039-BAN
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 09 Dec 2020 | 29 Dec 2020 | 26 Jan 2021 | 30 Jun 2026 | - | - |
| Financing Plan | Loan Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 130.00 | Cumulative Contract Awards | |||
| ADB | 130.00 | 23 Jan 2023 | 19.03 | 0.00 | 15% |
| Counterpart | 0.00 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 23 Jan 2023 | 13.28 | 0.00 | 10% |
| Status of Covenants | ||||||
|---|---|---|---|---|---|---|
| Category | Sector | Safeguards | Social | Financial | Economic | Others |
| Rating | - | Unsatisfactory | Unsatisfactory | Unsatisfactory | - | Unsatisfactory |
Loan 4040-BAN
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 09 Dec 2020 | 29 Dec 2020 | 26 Jan 2021 | 30 Jun 2026 | - | - |
| Financing Plan | Loan Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 183.50 | Cumulative Contract Awards | |||
| ADB | 70.00 | 23 Jan 2023 | 0.00 | 0.00 | 0% |
| Counterpart | 113.50 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 23 Jan 2023 | 0.00 | 0.00 | 0% |
| Status of Covenants | ||||||
|---|---|---|---|---|---|---|
| Category | Sector | Safeguards | Social | Financial | Economic | Others |
| Rating | - | Unsatisfactory | Unsatisfactory | Unsatisfactory | - | 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.
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.
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.
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.
ADB Increases Support for Power Distribution in Bangladesh
ADB has approved a $200 million loan as additional financing to the ongoing Bangladesh Power System Enhancement and Efficiency Improvement Project to further improve electricity distribution network in rural areas in the Khulna division.
Tenders
Contracts Awarded
| Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
|---|---|---|---|---|---|---|
| SPC Poles - Lot 3 | Loan 4039 | 28 Feb 2022 | Charka SPC Poles Ltd. JV with Confidence Infrastructure Ltd. and Poles and Concrete Ltd. | House No. 719/A(old), 85(new), Road No. 7/A, Satmosjid Road, Dhanmondi, Dhaka | Bangladesh Rural Electrification Board(BREB) | 3,697,051.80 | 3,697,051.80 |
| SPC Poles - Lot 2 | Loan 4039 | 28 Feb 2022 | Charka SPC Poles Ltd. JV with DADA Engineering Ltd. and Confidence Infrastructure Ltd. | House No. 719/A(old), 85(new), Road No. 7/A, Satmosjid Road, Dhanmondi, Dhaka | Bangladesh Rural Electrification Board(BREB) | 3,698,474.65 | 3,698,474.65 |
| SPC Poles - Lot 1 | Loan 4039 | 28 Feb 2022 | Castle Construction Co. Ltd. JV with Poles and Concrete Ltd. and TSCO Power Ltd. | House No. 44, Road No. 16, 27 Dhanmondi, Dhaka | Bangladesh Rural Electrification Board(BREB) | 3,697,590.70 | 3,697,590.70 |
| Procurement of Distribution Transformers | Loan 4039 | 23 Nov 2022 | MANS ELECTRICAL LTD. | House No. 10A Flat No. 4-D Globe Nibash, Segun Bagicha, Dhaka | Bangladesh Rural Electrification Board (BREB) | 1,685,670.00 | 1,685,670.00 |
| Package EQ-04 - Power Transformer | Loan 4039 | 31 Jan 2022 | TS Transformers Limited | Suvastu Suraiya Trade Centre (Level 11), 57 Kemal Ataturk Avenue, Block B, Banani C/A, Dhaka | Bangladesh Rural Electrification Board (BREB) | 3,159,940.00 | 3,159,940.00 |
| Package EQ-03 - Supply of Conductor & Guy Accessories | Loan 4039 | 27 Jan 2022 | SQ Trading & Engineering | Level 12, Suite A12, House 21, Road 17, Block C, Banani, Dhaka | Bangladesh Rural Electrification Board (BREB) | 1,029,780.00 | 1,029,780.00 |
Procurement Plan
| Title | Document Type | Document Date |
|---|---|---|
| Bangladesh Power System Enhancement and Efficiency Improvement Project - Additional Financing: Procurement Plan | Procurement Plans | Jun 2020 |