BEILUNGANG II

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Inadequacies in electric generating capacity have been a major constraint to China's economic growth in the past. The government gives high priority to electric power development, with a strategy that combines expanding generating capacity by developing and financing thermal stations. The Beilungang Thermal Power Extension Project seeks to: (a) alleviate the acute power shortage of a major load center in East China; (b) support the national policies of developing large, coal-fired thermal power generating units; and (c) continue the effort to introduce the modern technology in plant design and construction management. The proposed project also (d) provides technical assistance to ZPEPB (Zhejiang Provincial Electric Power Bureau) for reorganizing its operation and strengthening its management. This assistance aims to facilitate its transformation from a power bureau to a more autonomous power entity.