DUSHANBE, October 21, 2008, Asia-Plus  -- The Asian Development Bank (ADB) and the Government of Tajikistan last week completed negotiations for a proposed ADB grant to build a 500-kilovolt gas-insulated switchyard inside the Norak hydroelectric power station (HPS) complex, press release issued by the ADB Dushanbe Office said.

The current switchyard, built more than 30 years ago, is operating on old and dilapidated equipment. It is also built on unstable geological site with a huge salt dome near the vicinity which destabilizes the ground condition whenever there is melting snow and rainpour, putting the switchgears in jeopardy.

“The proposed project would help ensure sustainable and reliable electricity supply to support the economic development of the country. It will stabilize flow of electricity coming from the strategically important Norak hydroelectric power station,” said Makoto Ojiro, ADB’s Country Director for Tajikistan.

The power plant has a total installed capacity of 3,000 megawatts, supplying over 70% of the total electricity supply of Tajikistan. The power plant also regulates the power frequency of the Central Asian Power System which serves the power systems of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan.

ADB is considering a $54.77 million grant for the project. The grant is scheduled for consideration by ADB’s Board of Directors by mid-November 2008. It will be implemented over a five-year period starting February 2009.

Barqi Tojik (Tajik electric systems) power holding will be the executing agency of the proposed project.

ADB, based in Manila, is dedicated to reducing poverty in the Asia and Pacific region through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members – 48 from the region. In 2007, it approved $10.1 billion of loans, $673 million of grant projects, and technical assistance amounting to $243 million.