On December 1, 2020 The Asian Development Bank (ADB) approved a $430 million (about Rs 4,143 crore) Multitranche Financing Facility(MFF) for Uttar Pradesh(UP) Power Distribution Network Rehabilitation Project.
To improve the quality and reliability of electricity supply in Uttar Pradesh
Points to be Noted
i.The MFF is enhanced by a $2 million Technical Assistance (TA) grant from TA Special Fund and the Japan Fund for Poverty Reduction(JFPR) of ADB
ii.This is to reinforce UP power sector’s gender inclusivity and institutional capacity building.
Indian govt’s vision of ‘Power for All’ is fully supported by the project in a sustainable and inclusive way in the largest and one of the poorest states in India.
About the Project:
i.The project finances the conversion of 65,000 kilometers (km) of rural low-voltage distribution lines from bare conductors to aerial bundle conductors.
- This benefits around 70 million people in 46,000 rural villages.
ii.It also finances the construction of a parallel network of 11-kilovolt feeders with a total length of 17,000 km.
- This is to separate the electricity distribution between residential consumers and agriculture consumers.
- This helps in utilizing solar energy to meet agricultural demand, increase the period of supply of electricity to rural residential consumers, and energy and water conservation.
i.The project enhances the efficiency and sustainability of UP’s power supply.
ii.It improves the corporate governance and financial management capacity of Uttar Pradesh Power Corporation Limited (UPPCL).
About Technical Assistance
i.The innovative bill collection strategies will be pilot tested by TA.
ii.The strategies involve rural women self-help groups, pilot tests, gender-sensitive workplace practices and reinforce the project management and safeguard compliance capacity of UPPCL.
ADB, on November 3, 2020 has approved a USD 132.8 million loan to Modernize Power Distribution Network in Meghalaya.
Recent Related News:
The Asian Development Bank (ADB) has approved a USD 1 billion (about Rs 7,485 crore) loan to construct the modern, high-speed 82-kilometer Delhi – Meerut, Uttar Pradesh Regional Rapid Transit System (RRTS) in India, a first of its kind in India. The finance of the Delhi- Meerut RRTS project will be given in 4 tranches between August 2020 and May 2025. The NCR Transport Corporation (NCRTC) will execute the project.
About Asian Development Bank (ADB):
Headquarters– Mandaluyong, Manila, Philippines
President– Masatsugu Asakawa
Membership– 68 countries(Including India)