Editorial, News & commercial office:
55/A, H M Siddique Mansion (Level-7), Purana Paltan, Motijhel C/A, Dhaka-1000. Phone: +8802226640056,
e-mail: [email protected], [email protected]
The Asian Development Bank (ADB) approved a concessional policy-based loan package of $200 million on Wednesday afternoon (September 23) to finance comprehensive modernization of Bangladesh's electricity distribution network, enhance grid climate resilience, and drastically reduce commercial system loss across rural distribution corridors.
According to an official project release issued by the Manila-based multilateral lender, the funds will support the implementation of the "Dhaka and Western Zone Electricity Distribution Modernization Project," deploying advanced automated metering infrastructure (AMI), supervisory control and data acquisition (SCADA) systems, and underground cabling across peri-urban growth centers.
The investment is structured to directly rehabilitate obsolete rural feeder networks operated by the Bangladesh Rural Electrification Board (BREB) and the West Zone Power Distribution Company Limited (WZPDCL), curbing frequent load interruptions during peak irrigation seasons and reducing greenhouse gas emissions through energy efficiency.
Detailing the development impact in Dhaka on Wednesday, ADB Country Director for Bangladesh Edimon Ginting stated, "Modernizing the electricity distribution network is vital for accelerating industrial competitiveness and ensuring equitable economic growth in Bangladesh. This $200 million financing will introduce smart digital grid technologies, improve operational reliability, and enhance the financial sustainability of the power sector."
The Economic Relations Division (ERD) confirmed that the loan carries an attractive 30-year maturity period, including a seven-year grace window, with project physical implementations scheduled to commence early next year under joint monitoring.
