ADB funds Bangladesh power works
By Sarah Ann McCay03 December 2012
The Asian Development Bank (ADB) is to loan US$ 700 million to enable work to be carried out to boost Bangladesh’s power supply system.
The funding will go towards increasing capacity by up to 700 MW. The work will include the expansion and upgrade of generation, transmission and distribution facilities, which will see 450,000 households receive new power connections.
The first US$ 185 million tranche loan will be used to convert a gas-fired power plant in Khulna into a more efficient, cleaner-burning combined cycle plant. Further development will see the installation of 200 solar energy-driven irrigation pumps.
The investments are part of a broader government plan to reform and strengthen the power sector, tapping private sector financing. The goal is to raise generating capacity to more than 12,500 MW and the rate of electrification to 68% by 2025.