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Asian Development Bank approves Rs 1,053 crore loan to modernize Sikkim’s power infrastructure

BNE News Desk , May 24, 2024
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Gangtok: The Asian Development Bank (ADB) has granted a Rs 1,053 crore loan to modernize Sikkim's electrical infrastructure, officials said on Friday.

Notably, the ADB financing will assist, reinforce, and modernize Sikkim's climate-proof distribution system, improving the dependability, quality, and resilience of electricity supply, Power Secretary TT Lepcha said.

As per reports, the overall cost of the 'Sikkim Power Sector Development Project' is Rs 1,316 crore, of which the state government will bear 20 percent, confirmed the state government.

The modernization program will upgrade roughly 770 kilometers of climate-resilient medium-voltage subterranean and covered conductors, as well as replace 580 kilometers of aging and low-capacity bare conductors. These activities aim to increase the distribution network's capacity to meet increased demand.

Furthermore, the project will upgrade 26 electrical substations by installing a supervisory control and data acquisition system to improve operational efficiency and monitoring capabilities. In addition, 15,000 lighting will be built in rural places to increase safety and accessibility, and 28 communities will host electricity conservation and safety awareness programs.

The initiative will see the installation of solar energy systems and energy-efficient electrical equipment in 24 primary healthcare sub-centers, to increase the capacity of rural healthcare institutions to provide in-patient care, particularly during the winter months.

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