Tajikistan: Power Sector Development Program
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
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Project Officer
Mtchedlishvili, Levan G.
Central and West Asia Department
Request for information -
Country/Economy
Tajikistan -
Sector
- Energy
| Project Name | Power Sector Development Program | ||||||||||||||||
| Project Number | 53315-001 | ||||||||||||||||
| Country / Economy | Tajikistan |
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| Project Status | Active | ||||||||||||||||
| Project Type / Modality of Assistance | Grant Loan Technical Assistance |
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| Source of Funding / Amount |
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| Strategic Agendas | Environmentally sustainable growth Inclusive economic growth Regional integration |
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| Drivers of Change | Gender Equity and Mainstreaming Governance and capacity development Partnerships Private sector development |
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| Sector / Subsector | Energy / Electricity transmission and distribution - Energy sector development and institutional reform |
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| 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) |
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| Project Outcome | |
|---|---|
| Description of Outcome | Financial sustainability of the power subsector 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 | Mtchedlishvili, Levan G. |
| Responsible ADB Department | Central and West Asia Department |
| Responsible ADB Division | Energy Division, CWRD |
| Executing Agencies |
Asian Development Bank Ministry of Energy and Water Resources Ministry of Finance Open Stock Holding Company "Barqi Tojik" |
| 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 | 29 Dec 2020 | 11 Mar 2021 | 30 Jun 2021 | 10 Mar 2022 | 21 Dec 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 | 24 Jan 2023 | 0.00 | 0.00 | 0% |
| Counterpart | 0.00 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 24 Jan 2023 | 20.00 | 0.00 | 100% |
| Status of Covenants | ||||||
|---|---|---|---|---|---|---|
| Category | Sector | Safeguards | Social | Financial | Economic | Others |
| Rating | Satisfactory | Satisfactory | Satisfactory | Satisfactory | - | Satisfactory |
Grant 0778-TAJ
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 04 Dec 2020 | 29 Dec 2020 | 11 Mar 2021 | 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 | 24 Jan 2023 | 74.26 | 0.00 | 87% |
| Counterpart | 15.00 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 24 Jan 2023 | 16.43 | 0.00 | 19% |
| Status of Covenants | ||||||
|---|---|---|---|---|---|---|
| Category | Sector | Safeguards | Social | Financial | Economic | Others |
| Rating | Satisfactory | Satisfactory | Satisfactory | Satisfactory | - | Satisfactory |
TA 6639-TAJ
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 04 Dec 2020 | - | 04 Dec 2020 | 31 May 2022 | 31 Dec 2023 | - |
| 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 | 24 Jan 2023 | 50,160.00 |
| Status of Covenants | ||||||
|---|---|---|---|---|---|---|
| Category | Sector | Safeguards | Social | Financial | Economic | Others |
| Rating | Satisfactory | Satisfactory | Satisfactory | Satisfactory | - | Satisfactory |
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.
| Title | Document Type | Document Date |
|---|---|---|
| Power Sector Development Program: Environmental Monitoring Report (January-June 2022) | Environmental Monitoring Reports | Dec 2022 |
| Power Sector Development Program: Environmental Monitoring Report (March-December 2021) | Environmental Monitoring Reports | Jun 2022 |
| 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.
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.
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$105 Million ADB Grant to Improve Financial Sustainability of the Power Sector in Tajikistan
The Asian Development Bank has approved a $105 million grant to accelerate the implementation of ongoing reforms and improve the financial sustainability of the power sector in Tajikistan.
Tenders
| Tender Title | Type | Status | Posting Date | Deadline |
|---|---|---|---|---|
| Sector Development Support | Firm - Consulting | Closed | 24 Mar 2022 | 22 Apr 2022 |
| 0778-TAJ: Power Sector Development Program [G2] | Invitation for Bids | Closed | 22 Mar 2021 | 15 Jun 2021 |
| Gender and Energy Training | Firm - Consulting | Closed | 05 Feb 2021 | 05 Mar 2021 |
| Tajikistan Distribution Company Management Contract | Firm - Consulting | Closed | 20 Feb 2020 | 20 Mar 2020 |
| Project Implementation Consultant | Firm - Consulting | Closed | 07 Jan 2020 | 05 Feb 2020 |
| 53315-TAJ: Power Sector Development Program | Other Notice | Active | 16 Dec 2019 |
Contracts Awarded
| Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
|---|---|---|---|---|---|---|
| Advanced Metering Infrastructure Low-Voltage and Medium-Voltage Enhancement for Dushanbe Buston Dangara Panjakent Konibodom Isfara and Istaravshan plus Boundary Meters | Grant 0778 | 28 Jul 2022 | Pinggao Group Co Ltd | Unit 4 Building D Phase II Jiatian Business Center Southeast Corner of the Intersection of Shangdu Road and Kangping Road Zhengdong New District Zhengzhou City Henan Province | Ministry of Energy and Water Resources | 49,745,622.99 | — |
| Meter Data Management Billing and Customer Information Systems for Advanced Metering Infrastructure | Grant 0778 | 01 Jul 2022 | Hexing Electrical Co Ltd | 1418 Moganshan Road Shangcheng Industrial Zone 310011 Hangzhou | Ministry of Energy and Water Resources | 5,199,714.40 | — |
| Provision of Management Services for Tajikistan Distribution Company | Grant 0778 | 01 Jul 2022 | The Tata Power Company Limited | Camac Bunder Mumbai Maharashtra 400001 | Ministry of Energy and Water Resources | 14,979,500.00 | — |
Procurement Plan
| Title | Document Type | Document Date |
|---|---|---|
| Power Sector Development Program: Procurement Plan | Procurement Plans | Nov 2020 |