DISTRIBUT.SYSTEM REI

closed

The Distribution System Reinforcement Project will: (a) expand the provincial 115kV subtransmission and thereby reinforce the 22kV distribution system to meet the growth in power demand in the provincial areas at optimum levels of losses and reliability; (b) to complete the Provincial Electric Authority's (PEA's) rural electrification program by extending existing 22kV feeder networks to 1,000 unelectrified and 10,000 partially electrified villages; (c) to assist PEA in studying and planning its corporatization and possible regionalization and privatization; and (d) to ensure through the monitoring of appropriate financial covenants that PEA's financial strength remains adequate to support its growth. Specifically, the project will involve: (a) construction of 19 115/22kV substations aggregating about 800 MVA in capacity and 19 115kV subtransmission lines with a total length of about 925 km; (b) construction of abut 5,500 km of 22kV lines, 84 MVA of distribution transformers, 8,000 km of LV lines and connections to 120,000 consumers; (c) consulting services regarding corporatization and potential regionalization and privatization of PEA; and (d) consulting services for engineering design. The Bank loan will finance will finance the subtransmission line component together with the foreign cost elements of the distribution system development program. The foreign costs of the substation components will be financed by Kreditanstalt fur Wiederaufbau and UK ODA. During the course of the project, PEA will formulate and implement pilot Demand-Side Management programs in the provincial areas for improving the efficiency of lightening systems, refrigerators, air conditioners and agricultural pumping.