ADB Commits a $241 Million Loan to Improve Power Distribution in West Bengal

23 Oct 2024

The Asian Development Bank (ADB) has authorised a loan of $241.3 million to upgrade electricity distribution in West Bengal, aiming to enhance residents' quality of life through a dependable and sustainable power supply. "This program aligns with the government's Revamped Distribution Sector Scheme, which seeks to enhance the operational efficiency of power distribution companies," ADB Principal Energy Specialist Roka Sanda said.

The statement states that reliable and sustainable power distribution and services are crucial for the growth and development of West Bengal. It said the West Bengal Distribution System Strengthening Programme is expected to enhance power distribution for 8.96 million consumers across seven districts in the state.

The program will ensure replacement of low-tension overhead lines with aerial bundled cables, separate power feeders for agricultural and non-agricultural users, and an integrated information and operations management system for quality of power supply, performance monitoring, and corporate financial management, it said.

It added that the program aims to enhance the operational efficiency of the West Bengal State Electricity Distribution Company Limited by strengthening its capabilities in asset and financial management, promoting and integrating renewable energy, rationalising tariffs, and advancing gender equity and social inclusion.

ADB is committed to fostering a prosperous, inclusive, resilient, and sustainable Asia and Pacific region while continuing its efforts on eliminating extreme poverty. Founded in 1966, the organisation comprises 69 members, with 49 from the region.