RURAL ELECTRICITY TRANSMISSION
                                                                                                                             AND DISTRIBUTION PROJECT




                                                                                                                     RELIABLE
                                                                                                                POWER SUPPLY
                                                                                                         FOR RURAL BANGLADESH

                                                     APPROVAL DATE:             END DATE:          TOTAL COMMITMENT:      IMPLEMENTING AGENCIES:
         BASIC
         INFORMATION
                                                     February 27                June 30            IDA   $600 million     Bangladesh Rural Electrification Board (BREB)
                                                     2014                       2020                                      and Power Grid Company of Bangladesh (PGCB)




     OVERVIEW
     With 93 percent population having access to electricity, Bangladesh has significantly increased
     electricity generation capacity. Yet, its per-capita electricity consumption is one of the lowest in the
     world. Even those with access to grid electricity suffer from frequent supply disruptions due to
     network congestion and over-loads. The Rural Electricity Transmission and Distribution
     Project aims to reduce system losses and enhance capacity in the electricity network in
     rural Bangladesh.



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CHALLENGE                                                                                                     TOWARDS THE FUTURE
While the number of electricity consumers has grown steadily in Bangladesh over the last                      The project will make an important contribution to the vision
decade, so has the availability of electricity, driven primarily by systems loss reductions and               of universal access to electricity in Bangladesh by the year
increase in generation capacity. With more than 300,000 new connections every month, the                      2021 by strengthening the rural electrification network. By
rural electricity network has been expanding rapidly. However, the rural electricity system                   improving the efficiency of the system, the project will ensure
has become over-loaded and experiences frequent load-shedding, leading to high technical                      more power is available to consumers. The project will
losses and frequent service interruptions. The distribution and transmission system is                        improve the reliability and quality of electricity supply in rural
currently limiting further growth in rural electricity sales. For any additional electricity to               Bangladesh which in turn will help
reach consumers, the distribution and transmission system needs to be upgraded through                        fuel growth.
replacement of small conductors and introduction of new lines and associated substations.




APPROACH
The project primarily focuses to reduce technical losses in the rural grid electricity system
and helps to ensure that a greater percentage of electricity generated is reached to rural
consumers. The investments envisaged will also increase the capacity of distribution and
transmission system to supply and distribute additional power to consumers as additional
generation becomes available. The project will strengthen the institutional capacity of the two
implementing agencies - Bangladesh Rural Electrification Board (BREB) and the Power Grid
Company of Bangladesh (PGCB). The project will support new lines and substations as well as
upgrade existing lines in the rural areas. Implementation of the project started with 5,500 of
line construction (completed) and systems loss reduction of 2 percent.




    RESULTS

2.5 percent reduction in systems losses,                    Improved reliability and quality of electricity supply to
serving 1 million people per year                           25 million people in rural Bangladesh

                                                                                                                                 THE WORLD BANK IN BANGLADESH               |      31