PY Energy Sector Strengthening Project

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The objective of the Energy Sector Strengthening Project for Paraguay is to increase the quantity and quality of the provision of electricity services by the Borrower, while improving the Borrower's performance. There are three components to the project, the first component being modernizing the borrower's distribution management system and installing an advanced metering system for large consumers. This component includes the installation of a 66kV and 23kV advanced metering system which allows remote consumption metering and disconnection or reconnection of the Borrower's large customers. The second component is the improving the performance of the transmission network. This component will provide resources to support: a) installation of reactive compensation at the Guarambare substation in the Paraguayan Central Department; and b) extension of about ten (10) existing substations including the expansion of the transformation capacity of said substations (excluding transmission line investments). Finally, the third component is the strengthening Paraguay's electricity sector and the Borrower's institutional capacity.