Bangladesh : Dhaka and Western Zone Transmission Grid Expansion Project
The proposed project builds upon ADB's strong and sustained work in the power sector of Bangladesh. Complementing the investment in the recently-approved Southwest Transmission Grid Expansion Project and Rupsha 800-Megawatt Combined Cycle Power Plant in the southwest region, the project will focus on addressing some of the remaining deficiencies in the transmission system to enhance power transfer capacity to the load centers in the southern and western zones. These interventions will also strengthen in-country power transfer capacity for increased cross-border power trade with India. In addition, the project will develop the capacity of PGCB in financial management, and in drone utilization to improve operations efficiency. The project is aligned with the Energy Policy of ADB and the priorities of ADB's country partnership strategy for Bangladesh, 2016-2020.
Project Details
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Project Officer
Nahar, Nazmun
South Asia Department
Request for information -
Country/Economy
Bangladesh -
Sector
- Energy
Project Name | Dhaka and Western Zone Transmission Grid Expansion Project | ||||||||||||
Project Number | 51137-003 | ||||||||||||
Country / Economy | Bangladesh |
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Project Status | Active | ||||||||||||
Project Type / Modality of Assistance | Grant Loan |
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Source of Funding / Amount |
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Operational Priorities | OP2: Accelerating progress in gender equality OP3: Tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability OP4: Making cities more livable OP6: Strengthening governance and institutional capacity OP7: Fostering regional cooperation and integration |
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Sector / Subsector | Energy / Electricity transmission and distribution |
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Gender | Some gender elements | ||||||||||||
Description | The proposed project builds upon ADB's strong and sustained work in the power sector of Bangladesh. Complementing the investment in the recently-approved Southwest Transmission Grid Expansion Project and Rupsha 800-Megawatt Combined Cycle Power Plant in the southwest region, the project will focus on addressing some of the remaining deficiencies in the transmission system to enhance power transfer capacity to the load centers in the southern and western zones. These interventions will also strengthen in-country power transfer capacity for increased cross-border power trade with India. In addition, the project will develop the capacity of PGCB in financial management, and in drone utilization to improve operations efficiency. The project is aligned with the Energy Policy of ADB and the priorities of ADB's country partnership strategy for Bangladesh, 2016-2020. The project also supports operational priorities of ADB's Strategy 2030: (i) addressing poverty and inequality through modern energy access; (ii) tackling climate change, building climate and disaster resilience; (iii) accelerating progress in gender equality; and (iv) accelerating governance and institutional capacity. | ||||||||||||
Project Rationale and Linkage to Country/Regional Strategy | The proposed Dhaka and Western Zone Transmission Grid Expansion Project will help expand and strengthen the transmission networks in the Greater Dhaka area and western zone of Bangladesh, improve financial management in Power Grid Company of Bangladesh Limited (PGCB), and apply best practices in operations and maintenance. | ||||||||||||
Impact | National target of electricity for all achieved by 2021 (Perspective Plan of Bangladesh, 2010-2021: Making Vision 2021 a Reality) |
Project Outcome | |
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Description of Outcome | Reliability and efficiency of electricity supply in Greater Dhaka and western zone of Bangladesh improved |
Progress Toward Outcome | Procurement of all packages completed. Constructions of transmission lines and substations are ongoing. |
Implementation Progress | |
Description of Project Outputs | Transmission system in Greater Dhaka expanded Transmission system in western zone expanded Institutional capacity of PGCB strengthened |
Status of Implementation Progress (Outputs, Activities, and Issues) | Output 1 is to deliver four contracts for expansion of transmission networks in and around Dhaka city through constructions of: (i) loop-in-loop-out (LILO) 400 kV and 230 kV transmission line in KaliganjPurbachal, (ii) RampuraBashundhara 132 kV double circuit transmission line, (iii) Kaliganj 400/230 kV substation, and (iv) Purbachal 400/230 kV substation. All four contracts have been awarded, and implementation is going on. Output 2 comprises four contracts in the Western zone of Bangladesh including: (i) construction of 176 km of 230 kV and 132 kV transmission line in Khulna, Kustia, Meherpur, and Begerhat districts; (ii) construction of 191 km of 230 kV and 132 kV transmission line in Barishal, Bhola, Bagerhat, Pirojpur, Syedpur, and Rajshahi districts; (iii) construction of five substations and bay extensions in Khulna, Jessore, Satkhira, Meherpur, and Bagerhat districts; and (iv) construction of six substations and bay extensions in Madaripur, Niphamari, Lalmonirhat, Faridpur, Jhalokathi, Pirojpur, Naogaon, and Rajshahi districts. All contracts have been awarded, and implementation is ongoing. Output 3 is designed to build PGCB's institutional capacity by developing an enterprise resource planning (ERP) system for asset management, and development of a drone inspection unit in PGCB for route survey and transmission route planning. The ERP package was cancelled as per GOB request. For the drone inspection unit of PGCB- procurement is ongoing, whereas the individual consultant has already been recruited. |
Geographical Location | Barisal, Dhaka, Khulna, Rajshahi, Rangpur |
Safeguard Categories | |
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Environment | B |
Involuntary Resettlement | A |
Indigenous Peoples | C |
Summary of Environmental and Social Aspects | |
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Environmental Aspects | Project management unit (PMU) has been formulated with a newly appointed project director as the focal person and supported by the Environment and Social Unit of PGCB for safeguards support. PGCB is also recruiting a consulting firm with its own funds to support the environment and social safeguards monitoring, health and safety supervision, and reporting. The EA confirmed evaluation of candidate firms is complete and they should be on board by January 2022. Construction work has yet to start, the only activities to date are land acquisition and design, drawing, and transmission line route survey works for contract packages 3 and 4. The initial environmental examination (IEE) will be updated to reflect any changes in design, siting, or routing and cleared for disclosure on the ADB website before they approve the detailed design and give the go-ahead for construction works to commence. |
Involuntary Resettlement | A grievance redress mechanism (GRM) has been established. No grievances have been received in relation to the land acquisition and the land acquisition is expected to be completed by June 2022. Land acquisition is expected to be completed by June 2022. |
Indigenous Peoples | No indigenous peoples, within the meaning of ADB's Safeguard Policy Statement (2009), are found within the project area |
Stakeholder Communication, Participation, and Consultation | |
During Project Design | A series of consultations with key stakeholder groups and communities have been conducted during project preparation, and communities' inputs have been incorporated into the project design. |
During Project Implementation | Consultation with stakeholders and communities will be continued throughout implementation of the project. |
Business Opportunities | |
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Consulting Services | Contracts for consulting support to PGCB are planned under the project requiring an estimated 31 person-months input for ERP installation by a consulting firm. One individual consultant with total 2-person months will be engaged to draft the drone legislation for GOB and one individual consultant with total 8-person months will be engaged for monitoring and reporting the progress and status of RP implementation. Consulting firms will be engaged using the quality- and cost-based selection (QCBS) method with a standard qualitycost ratio of 90:10. Project director and project management unit (PMU) will supervise and provide counterpart support to contractors, consulting firms and consultants who will be engaged under the project. |
Procurement | Open competitive bidding with international advertisement and national advertisement will be used. Request for quotation will be used for contracts for procurement of works and equipment worth less than $100,000. The procurement plan should be updated whenever change in the procurement arrangements is required and agreed. |
Responsible ADB Officer | Nahar, Nazmun |
Responsible ADB Department | South Asia Department |
Responsible ADB Division | Bangladesh Resident Mission (BRM) |
Executing Agencies |
Power Grid Company of Bangladesh, Ltd. (PGCB) |
Timetable | |
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Concept Clearance | 10 Apr 2019 |
Fact Finding | 16 Apr 2019 to 25 Apr 2019 |
MRM | 22 Jul 2019 |
Approval | 08 Nov 2019 |
Last Review Mission | - |
Last PDS Update | 30 Nov 2023 |
Grant 0675-BAN
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
08 Nov 2019 | 11 Dec 2019 | 16 Jul 2020 | 31 Dec 2024 | - | - |
Financing Plan | Grant Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 0.75 | Cumulative Contract Awards | |||
ADB | 0.00 | 24 Jan 2024 | 0.00 | 0.73 | 97% |
Counterpart | 0.00 | Cumulative Disbursements | |||
Cofinancing | 0.75 | 24 Jan 2024 | 0.00 | 0.05 | 6% |
Status of Covenants | ||||||
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Category | Sector | Safeguards | Social | Financial | Economic | Others |
Rating | - | - | - | Satisfactory | - | Satisfactory |
Loan 3853-BAN
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
08 Nov 2019 | 11 Dec 2019 | 16 Jul 2020 | 31 Dec 2024 | - | - |
Financing Plan | Loan Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 549.25 | Cumulative Contract Awards | |||
ADB | 300.00 | 24 Jan 2024 | 217.66 | 0.00 | 74% |
Counterpart | 249.25 | Cumulative Disbursements | |||
Cofinancing | 0.00 | 24 Jan 2024 | 68.68 | 0.00 | 23% |
Status of Covenants | ||||||
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Category | Sector | Safeguards | Social | Financial | Economic | Others |
Rating | - | - | - | Satisfactory | - | Satisfactory |
Loan 8374-BAN
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
17 Jan 2020 | 30 Jun 2020 | 28 Sep 2020 | 31 Dec 2024 | - | - |
Financing Plan | Loan Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 200.00 | Cumulative Contract Awards | |||
ADB | 0.00 | 24 Jan 2024 | 0.00 | 157.09 | 79% |
Counterpart | 0.00 | Cumulative Disbursements | |||
Cofinancing | 200.00 | 24 Jan 2024 | 0.00 | 0.00 | 0% |
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.
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 Approves €272 Million for Power Transmission Expansion in Bangladesh
ADB has approved a €271.84 million ($300 million equivalent) loan for a project to expand transmission lines in Greater Dhaka and the western zone of Bangladesh.
Tenders
Contracts Awarded
Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
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Design, Supply, Installation, Testing and Commissioning of 400 kV and 230 kV Transmission Lines LILO at Kaliganj and Purbachal Substations at Turn-Key Basis | Loan 3853 | 08 Oct 2023 | Hanbaek Co., Ltd. | 23, Bia-ro, Gwangsan, Republic of Korea | Power Grid Company of Bangladesh, Ltd. | 7,441,768.03 | 7,438,740.43 |
Design, Supply, Installation, Testing & Commissioning of 400/230kV GIS substation on Purbachal on Turnkey basis | Loan 3853 | 04 Nov 2022 | China Electric Power Equipment and Technology Company Ltd. PRC | F10, Ducheng Plaza, No. 8, Nanheng Street East Xicheng District, Beijing, China | Power Grid Company of Bangladesh, Ltd. (PGCB) | 57,813,121.96 | 57,770,590.20 |
Design, Supply, Installation, Testing and Commissioning of 230kV and 132kV transmission lines on turnkey basis | Loan 3853 | 20 Oct 2022 | JV of TBEA Co. Ltd. (TBEA) & TBEA Shandong Luneng Taishan Cable Co., Ltd. (TBEA LUNENG) | No. 189 South Beijing Road, Changji, Xinjiang, PRC | Power Grid Company of Bangladesh, Ltd. (PGCB) | 16,632,941.21 | 16,629,281.53 |
PACKAGE 4-DESIGN SUPPLY INSTALLATION TESTING & COMMISSIONING OF 230KV & 132KV TRANSMISSION LINES IN WESTERN ZONE ON TURNKEY BASIS | Loan 3853 | 07 Jul 2021 | M/S. TRANSRAIL LIGHTING LIMITED | 501 A B C E FORTUNE 2000 BLOCK G BANDRA KURLA COMPLEX BANDRA EAST MUMBAI INDIA | Power Grid Company of Bangladesh, Ltd. (PGCB) | 83,069,444.32 | 83,069,444.32 |
DESIGN,SUPPLY,INSTALLATION,TESTING & COMMISSIONING OF 230KV & 132KV TL IN WESTERN ZONE ON TURNKEY BASIS (PACKAGE 3) | Loan 3853 | 10 May 2021 | M/S LARSEN & TOUBRO LIMITED | L&T HOUSE, N.M. MARG, BASLLARD ESTATE, MUMBAI 400001, INDIA | Power Grid Company of Bangladesh, Ltd. (PGCB) | 60,232,129.73 | 60,232,129.73 |
Procurement Plan
Title | Document Type | Document Date |
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Dhaka and Western Zone Transmission Grid Expansion Project: Procurement Plan | Procurement Plans | Sep 2019 |