The Asian Development Bank (ADB) will provide a USD 231-million loan to augment electricity generation capacity in Assam through construction of a 120-megawatt (MW) hydroelectric power plant.
ADB and the Government of India signed the loan agreement on Wednesday.
This is the third tranche loan for the ongoing Assam Power Sector Investment Program, which was approved by the ADB board in July 2014. The programme, including its two previous tranches, focuses on enhancing capacity and efficiency of the energy generation and distribution systems in Assam to improve electricity service to end users.
The proposed hydroelectric project is run-of-the-river project over Kopili river which will help increase electricity supplied from clean energy by 469 gigawatt-hour (GWh) by 2025 and reduce greenhouse gas emissions by 3.6 lakh tonnes of carbon dioxide annually, ADB said in a release.
