Announcement of IDA Approves Nineteen Million Five Hundred Thousand Dollars for Energy Project in Sri Lanka on June 23, 1980

FOR IMMEDIATE RELEASE . -World Bank ·1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 IDA NEWS RELEASE NO. 80/104 June 23, 1980 IDA APPROVES $19.5 MILLION FOR ENERGY PROJECT IN SRI LANKA The International Development Association (IDA) has approved a $19.5 million credit to Sri Lanka to help the country develop its energy transmission and distribution facilities. IDA is the World Bank affiliate for concessionary lending. The $63.3 mill ion Sixth Power Project, designed to meet the in- creasing demands for electricity from all sectors of the economy throughout the country, is an integral part of the total power sector investment program in Sr i Lanka . Primary transmission, sub-transmission and distribution facilities • will be set up to convey electricity from the hydroelectric stations, now being constructed under the Accelerated Mahaweli Ganga De~elopment Program, to the consumers. Also included are consultant services to review management per- formance and to assist with preparation of engineering design for indoor primary substations in Colombo. Provisions have also been made to train local personne 1. The IDA credit is for 50 years, including 10 years of grace. It is interest free but bears a service charge of 3/4 of 1% per annum to meet adminis- trative costs. The Ceylon Electricity Board will bear $23.8 mill ion of the costs and is also negotiating a $20 mill ion co-financing arrangement with the Saudi Fund for Development. NOTE: Money figures are expressed in U.S. dollar equivalents . • FORM NO. 1121 (5-76) T E C HN I CA L DA T A PROJECT: Sixth Power • COUNTRY: Sri Lanka TOTAL COST: $63.3 million IDA FINANCING: $19.5 million, standard IDA i:erms OTHER FINANCING: The Saudi Fund for Development, $20 mill ion; Ceylon Electricity Board, $23.8 mill ion IMPLEMENTING ORGANIZATION: Ceylon Electricity Board P.O. Box 540 Colombo 2 Sri Lanka. Cables: KILOWATTS, COLOMBO PROJECT DESCRIPTION: It includes: (a) setting up of 172 miles of 132 kV second circuits on existing towers to improve supplies to Ratmalana, Jaffna and Trincomalee; (b) 50 miles of new single circuit 132 kV line to Valachchenai; (c) construction of a 132 kV grid substation at Valachchenai a n d . extensions to existing stations at Kolonnawa, Ratmalana and Anuradhapura; (d) 500 es of 33 kV subtransmission line; (e) two new 132 kV primary distribution substations in Colombo with ancillary equipment; (f) augmentation of existing primary distribution substations in Colombo and alterations and extension of the connecting 11 kV under- ground cable network; (g) 125 miles of 33 kV overhead distribution 1 ine and 250 sub- station.s; (h) construction and service vehicles, buildings and staff quarters; (i) engineering and management consulting services and training. PROCUREMENT: All major components of the project wi 11 be procured through international competitive bidding. Other vehicles, equipment and materials costing less than $10,000 each may be procured in accordance with local procedures satisfactory to the IDA. CONSULTANTS: About 36 man-months of consultant services will be required to design and supervise the installation of indoor primary substations in Colombo. ECONOMIC RATE OF RETURN: ESTIMATED COMPLETION DATE: 12% 1984 - 0 - •