POWER XV(RURAL POWER

closed

The Provincial Power Distribution Project has two parts. Under Part A, the project will help finance a part of the first phase of the NREP five-year program, to be implemented from 1983 to 1986. It is expected to cover about 1,500 unelectrified villages and the extension of electric service in another 1,500 partially electrified villages. The project is expected to extend electricity service to about 130,000 households in rural areas. At the village level, the project consists of installing the power distribution network, household meters and connections. The villages to be financed under the loan will be selected according to criteria satisfactory to the Bank based mainly on average cost per connection and minimum economic rate of return of 10. Part B of the project includes the implementation of a group of actions aimed at strengthening and modernizing PEA's operations. PEA, with assistance from the Bank, has prepared Terms of Reference to retain consultants to assist PEA in these objectives.