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Tajikistan: Power Sector Development Program

Sovereign (Public) Project | 53315-001 Status: Active

The proposed Power Sector Development Program (PSDP) will accelerate the implementation of on-going reforms and restore financial sustainability of the power sector in Tajikistan. ADB has supported Tajikistan power sector reforms through the ongoing Sector Operation Performance Improvements (SOPI) program, which has built the basis for the fundamental reform program of PSDP that includes unbundling of the vertically integrated power utility company, restructuring of the utility's excessive liabilities, establishment of a regulator, adoption of a tariff methodology, and establishment of a new centralized cash control system among unbundled entities. As a part of reforms and institutional capacity building, a newly established power distribution company will be given a 5-year management contract. Investments in the retail advanced metering system in Dushanbe and 6 other cities will also fill the key deficiencies in the sector's power loss accounting and bill collection systems.

Project Details

Project Officer
Inoue, Yuki Central and West Asia Department Request for information
Country
  • Tajikistan
Sector
  • Energy
 
Project Name Power Sector Development Program
Project Number 53315-001
Country Tajikistan
Project Status Active
Project Type / Modality of Assistance Grant
Loan
Technical Assistance
Source of Funding / Amount
Grant 0777-TAJ: Power Sector Development Program
concessional ordinary capital resources lending / Asian Development Fund US$ 20.00 million
Grant 0778-TAJ: Power Sector Development Program
concessional ordinary capital resources lending / Asian Development Fund US$ 85.00 million
TA 6639-TAJ: Preparing and Implementing Gender-Inclusive Projects in Central and West Asia Subproject 4: Empowering Women in the Power Sector in Tajikistan
Technical Assistance Special Fund US$ 200,000.00
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Regional integration
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Partnerships
Private sector development
Sector / Subsector

Energy / Electricity transmission and distribution - Energy sector development and institutional reform

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The proposed Power Sector Development Program (PSDP) will accelerate the implementation of on-going reforms and restore financial sustainability of the power sector in Tajikistan. ADB has supported Tajikistan power sector reforms through the ongoing Sector Operation Performance Improvements (SOPI) program, which has built the basis for the fundamental reform program of PSDP that includes unbundling of the vertically integrated power utility company, restructuring of the utility's excessive liabilities, establishment of a regulator, adoption of a tariff methodology, and establishment of a new centralized cash control system among unbundled entities. As a part of reforms and institutional capacity building, a newly established power distribution company will be given a 5-year management contract. Investments in the retail advanced metering system in Dushanbe and 6 other cities will also fill the key deficiencies in the sector's power loss accounting and bill collection systems. The program is included in the Country Operations Business Plan, 2019-2021. A separately approved transaction technical assistance facility (FTRTA) will be used to finalize due diligence activities.
Project Rationale and Linkage to Country/Regional Strategy The mix of policy-based and investment components of a sector development program is ideal in resolving the severe financial distress faced by the Tajikistan power sector, which requires a combined approach of institutional and regulatory reforms and investments. The sector's financial sustainability and competitiveness will be vital in benefitting from reviving regional integration. Management contract promotes public private partnership and future private sector participation. The program will be designed to align with operational priorities 1 (address poverty and inequality), 2 (accelerate gender equality), 3 (tackle climate, disasters, environment), 6 (strengthen governance, institutions) and 7 (foster regional cooperation, integration).
Impact Sustainable access to energy resources increased (National Development Strategy of the Republic of Tajikistan for the period up to 2030)
Project Outcome
Description of Outcome Financial sustainability of the power sector improved
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Power subsector governance structure strengthened

Financial management of power utilities improved

Sustainable corporate management in the new distribution company introduced

Sector's reform and operational capacity strengthened (including increased female participation in power subsector activities)

Retail billing and collection system modernized

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Nation-wide
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Responsible ADB Officer Inoue, Yuki
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Energy Division, CWRD
Executing Agencies
Ministry of Energy and Water Resources
Shamsi Street 5/1
Dushanbe, Tajikistan
Timetable
Concept Clearance 27 Apr 2020
Fact Finding 15 Jun 2020 to 17 Jun 2020
MRM 05 Oct 2020
Approval 04 Dec 2020
Last Review Mission -
Last PDS Update 07 Dec 2020

Grant 0777-TAJ

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
04 Dec 2020 - - 30 Jun 2021 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 20.00 Cumulative Contract Awards
ADB 20.00 04 Dec 2020 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 04 Dec 2020 0.00 0.00 0%

Grant 0778-TAJ

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
04 Dec 2020 - - 30 Sep 2026 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 100.00 Cumulative Contract Awards
ADB 85.00 04 Dec 2020 0.00 0.00 0%
Counterpart 15.00 Cumulative Disbursements
Cofinancing 0.00 04 Dec 2020 0.00 0.00 0%

TA 6639-TAJ

Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
200,000.00 0.00 0.00 0.00 0.00 0.00 200,000.00 - 0.00

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.

Title Document Type Document Date
Power Sector Development Program: Initial Environmental Examination Initial Environmental Examination Aug 2020

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


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Tenders

Tender Title Type Status Posting Date Deadline
Gender and Energy Training Firm - Consulting Closed 05 Feb 2021 05 Mar 2021
Tajikistan Distribution Company Management Contract Firm - Consulting Closed 20 Feb 2020 20 Mar 2020
Project Implementation Consultant Firm - Consulting Closed 07 Jan 2020 05 Feb 2020
53315-TAJ: Power Sector Development Program Other Notice Active 16 Dec 2019

Contracts Awarded

No contracts awarded for this project were found

Procurement Plan