Sunday, August 20, 2017

ADB extends $80m loan for electricity transmission upgrade

The Asian Development Bank (ADB) will provide an US$80 million loan to upgrade the network used for power transmission across Yangon.

Electricians repair the power supply in Yangon. Photo: StaffElectricians repair the power supply in Yangon. Photo: Staff

The project will involve upgrading the Thida-Thaketa-Kyaikkasan transmission rig lines from 66 kilovolts to 230kV and building two new substations at South Okkalapa and West University, the ADB announced yesterday.

This will complete the “critical” 230kV rig for Yangon across the substations of Ahlone, Thida, Thaketa, South Okkalapa, Hlawga, Myang Tagar, West University, Hlaing Tharyar and back to Ahlone, said the ADB. The Myanmar Electric Power Enterprise will carry out additional upgrades.

“The ageing and overloaded transmission network requires urgent improvements to provide stable and ample supplies of power,” said Bui Duy Thanh, senior energy economist at ADB’s Southeast Asia Department.

“Yangon plays a central role as an economic hub for the country and this assistance will help the government ensure reliable power supplies are provided to the city and surrounding areas.”

Over the next decade, Myanmar’s economy is expected to grow at an average of 7.8 percent per year, she said. To meet the rising demand for power, which is likely to be more than 9pc each year through to 2030, she added, the government needs to develop new generation sources and strengthen existing networks.

The Myanmar government is aiming for 100pc electrification by 2030, and the ADB has been supporting this goal through infrastructure projects and regulatory advice.

The government will provide $3.3 million to cover administration costs, environmental and social safeguard measures and the construction of access roads and staff housing for the project which is expected to be finished in June 2019.

Translation by Kyawt Darly Lin