DO Electricity Distribution Rehabilitation Project

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The objective of the Electricity Distribution Rehabilitation Project for Dominican Republic is to: (a) increase the cash recovery index of the three electricity distribution companies in selected areas; and (b) improve the quality of electricity service. There are three components to the project. The first component is the rehabilitation and upgrading of medium and low voltage circuits in selected areas of state-owned Empresas Distribuidoras de Electricidad (EDEs) for northern DR (EdeNorte), state-owned EDE for southern DR (EdeSur), and privately-owned EDE for eastern DR (EdeEste). This will be a time slice of the three EDEs investment program in this activity by: (a) replacing existing run-down and aged medium and low voltage overhead lines; (b) expanding distribution substations and feeders; (c) replacing and installing meters, cables and transformers, and new connections for those customers who have irregular connections; (d) for large consumers, installing remote meters; and (e) in areas difficult to manage, installing theft-proof equipment. The specific sub-projects have already been selected by the EDEs, based primarily on the contribution they would make to improve the Cash Recovery Index (CRI). The second component is the outreach to consumer communities receiving component one investments, in order to re-establish trust and define clear rules between them and the EDEs, in the context of the 24 hours of light program of improving power supply in areas where the CRI is rising. Finally, the third component is the technical assistance and training for consultants to: (i) confirm the amounts and legal status of the EDEs' debts, define options for its restructuring, and prepare a plan of execution; (ii) carry out audits on the performance of the contractors on the project works, the achievement of project performance indicators, and the flow of funds provided by the Government to the sector; (iii) survey customer satisfaction with the quality o f electricity service in the rehabilitated circuits; and (iv) help administer, monitor and evaluate the project.