ADB sanctions $300 million for Assam’s power sector

  Finance and Related Services

External funds enters Assam’s power sector with the approval of $300 million loan by Manila-based Asian Development Bank (ADB) to increase the capacity and efficiency of distribution and generation systems.

The multi-million loan funding, which is part of a wider 10-year, $3.5 billion state investment partner program, will help in upgrading generation and distribution sectors, covering the construction of a 120MW hydropower plant. It will also facilitates building up of new distribution lines and substations, financial management training and other support for staff of the state power companies, Assam Power Generation Corporation and Assam Power Distribution Company.

Assam Power Distribution Company’s finances by permitting it to lower purchases of expensive electricity from independent power producers is likely to be boost up by the ADB fund.

According to the bank, the planned Lower Kopili run-of-the-river hydel plant in central Assam is likely to facilitate the state avoid over 530,000 tons per annum carbon dioxide emissions that would otherwise be produced by fossil fuel-driven generation.Read complete story at http://www.tendersontime.com/blog-detail/adb-sanctions-300-million-assamrsquos-power-sector-109.php