| Project Detail |
The project is aimed at improving energy security, quality of supply, efficiency, and resilience of power sector in Tripura. The project will finance the replacement of aging Rokhia power plant with a highly efficient and state of the art power plant that will reduce greenhouse gas emission through fuel saving, together with investments in the power distribution network to increase generation capacity, efficiency, and resilience of the power sector against climate change and natural disasters. The project will also support to strengthen the institutional capacity and overall business process of the project executing agencies and promote gender equality through pilot testing of gender and socially inclusive workplace practices.
Project Name Tripura Power Distribution Strengthening and Generation Efficiency Improvement Project
Project Number 51308-009
Country / Economy India
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 4248-IND: Tripura Power Distribution Strengthening and Generation Efficiency Improvement Project
Ordinary capital resources US$ 220.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Sector / Subsector
Energy / Electricity transmission and distribution - Energy efficiency and conservation
Gender Equity and Mainstreaming Effective gender mainstreaming
Description The project is aimed at improving energy security, quality of supply, efficiency, and resilience of power sector in Tripura. The project will finance the replacement of aging Rokhia power plant with a highly efficient and state of the art power plant that will reduce greenhouse gas emission through fuel saving, together with investments in the power distribution network to increase generation capacity, efficiency, and resilience of the power sector against climate change and natural disasters. The project will also support to strengthen the institutional capacity and overall business process of the project executing agencies and promote gender equality through pilot testing of gender and socially inclusive workplace practices.
Project Rationale and Linkage to Country/Regional Strategy The project will improve the financial sustainability of Tripura State Electricity Corporation Limited (TSECL) and Tripura Power Generation Limited (TPGL). The key elements will include (i) reducing electricity costs through (a) completion of a highly efficient combined cycle gas turbine (CCGT) plant and (b) reduction of AT&C losses through smart metering and distribution strengthening; and (ii) increasing revenues through (a) reduction of commercial losses by implementing smart metering and (b) improved collection of accounts receivables. The completion of the CCGT plant in particular will significantly improve the financial position of both utilities and reduce the carbon footprint by increasing the efficiency of power generation and facilitating renewable energy integration. A comprehensive financial management action plan (FMAP)_containing actions to be taken to improve the financial governance and sustainability of TSECL and TPGL has been prepared by ADB. Key elements of the plan that will help improve the financial sustainability of TSECL and TPGL include (i) implementing tariff reforms through timely submission of tariff and true-up petitions , the release of government subsidies, and a reduction in the ACSARR gap to zero; (ii) improving the timeliness and quality of financial statements through implementation of enterprise resource planning, enabling the timely submission of tariff and true-up petitions; (iii) preparing a road map for administrative and financial separation of TPGL from TSECL; (iv) improving the management of fixed assets; and (v) supporting the implementation of RDSS.
Impact
(i) Financial sustainability and resilience of power sector in Tripura improved (24X7 Power for All Tripura)
(ii) Enhanced energy security (State action plan on climate change) |
