Announcement of 10.2 Million Dollars Credit for Jordan for Electric Power held on May 24, 1973

• INTERNATIONAL DEVELOPMENT ASSOCIATION 1818 H STREET. N.W .. WASHINGTON D. C. 20433 TELEPHONE: EXECUTIVE 3-6360 IDA Press Release No. 73/35 Subject: $10.2 million credit for Jordan May 24, 1973 for electric power The International Development Association (IDA), an affiliate of the World Bank, and the Kuwait Fund for Arab Economic Development, will jointly provide $20.4 million for a steam-electric power project in Jordan. The project will cost an estimated $24.7 million equivalent. It will add 78 megawatts to Jordan's present generating capacity and help meet rapidly rising demand through 1977. It will also be the first step in changing the country's power supply from diesel to steam generation and provide a more reliable, economic and centralized source of power for future developmento The plant will be called the Hussein Power Station and :ts to be con- • structed at Zarqa, about 26 miles northeast of Amman, adjacent to the Jordan Oil Refinery. It will include two 33-megawatt generating units and a 12-mega- watt gas turbine tmit. The gas turbine unit will meet interim peaking requirements in 1974 and 1975. Consultant services for engineering and management anq studies to assist reorganization of the Jordan Electricity Authority (JEA) are included in the project. Electric power is to be transmitted from Zarqa to Amnan over a 132-kilo- volt transmission system which will be built by JEA as a separate, parallel project costing an estimated $5.5 million equivalent. The IDA credit of $10.2 million is for 50 years, including a 10-year grace period, and is interest free except for a 3/4 of 1% service charge to meet IDA's administrative expenses. The $10.2 million Kuwait Fund loan is for 25 years, including a five-year grace period, and carries interest of 4% per annum. The financing will be relent by the Jordan Government to JEA and will cover the estimated foreign exchange cost of the project • • - 0 -  • May 24, 1973 TECHNICAL DATA PROJECT: Hussein Thermal Power COUNTRY: Jordan TOTAL COST: $24. 7 million equivalent. IDA FINANCING: $10.2 million, 50 years, 10 years of grace, interest free except for 3/4 of 1% service charge to cover lDA's administrative expenses. OTHER FINANCING: Kuwait Fund for Arab Economic Development, $10.2 million; Government of Jordan, $4.3 million equivalent. • IMPLEMENTING ORGANIZATION: Jordan Electricity Authority, P.O. Box 2310, Auman, Jordan. PJWJECT DESCRIPTION: Construction, at Zarqa, of a thermal power station including two 33-MW steam-electric generators and one 12-~lrl gas turbine; consultants services for engineering, management and studies; training of operating staff. PROCUREMENT: Intemational competitive bidding. OONSULTANTS: Consultants for ,design and supervision of project, fo-.:- manage- ment studies, tariff structure study -- to be selecte~. ESTIMATED COMPLETION DATE: Early 1976. - 0 - .1 •