Conformed Copy - L4594 - Rajasthan Power Sector Restructuring Project - Project Agreement 1

Page 1 - CONFORMED COPY LOAN NUMBER 4594 IN Project Agreement (Rajasthan Power Sector Restructuring Project) among INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT and RAJASTHAN RAJYA VIDYUT UTPADAN NIGAM LIMITED and RAJASTHAN RAJYA VIDYUT PRASARAN NIGAM LIMITED and Jaipur Vidyut VITRAN Nigam Limited and Ajmer Vidyut VITRAN Nigam Limited and Jodhpur Vidyut VITRAN Nigam Limited Dated February 27, 2001 LOAN NUMBER 4594 IN PROJECT AGREEMENT AGREEMENT, dated February 27, 2001, among INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (the Bank) and RAJASTHAN RAJYA VIDYUT UTPADAN NIGAM LIMITED (RVUN), RAJASTHAN RAJYA VIDYUT PRASARAN NIGAM LIMITED (RVPN), Jaipur Vidyut VITRAN Nigam Limited (JAIPUR DISCOM), Ajmer Vidyut VITRAN Nigam Limited (AJMER DISCOM), and Jodhpur Vidyut VITRAN Nigam Limited (JODHPUR DISCOM). WHEREAS (A) by the Loan Agreement of even date herewith between India, acting by its President (the Borrower) and the Bank, the Bank has agreed to lend to the Borrower an amount of one hundred eighty million dollars ($180,000,000), on the terms and conditions set forth in the Loan Agreement, but only on condition that RVUN, RVPN, JAIPUR DISCOM, AJMER DISCOM and JODHPUR DISCOM agree to undertake such obligations toward the Bank as are set forth in this Agreement; (B) by the Rajasthan Project Agreement of even date herewith between the Bank and the State of Rajasthan (Rajasthan), Rajasthan has undertaken certain obligations towards the Bank as set forth in the Rajasthan Project Agreement; (C) by the Subsidiary Loan Agreements to be entered into by Rajasthan with Page 2 RVUN, RVPN, JAIPUR DISCOM, AJMER DISCOM and JODHPUR DISCOM the proceeds of the loan provided for under the Loan Agreement and made available to Rajasthan will be further onlent to , RVUN, RVPN, JAIPUR DISCOM, AJMER DISCOM and JODHPUR DISCOM as the case may be, on the terms and conditions set forth in such Subsidiary Loan Agreements; (D) the Bank has received a letter dated September 25, 2000 from Rajasthan enclosing a policy statement designed to restructure, reform and develop the power sector in Rajasthan (hereinafter the Reform Program or Program) and declaring Rajasthan