Asian Development Bank will provide $150 million for Power Distribution Enhancement Project-1 to Pakistan, which will be implemented by Pakistan Electric Power Company (Pvt.) Limited (Pepco). According to ADB sources, this project will address the capacity shortfalls that currently result in regular system outages and supply interruptions to customers.
This will include (i) addition of circuit and transformer capacity to enable the already overloaded systems to reliably deliver present demand and meet the expected load growth; (ii) loss reduction; and (iii) refurbishment of distribution networks.
ADB is also considering another loan proposal of $810 million MFF - Power Distribution Enhancement to Pakistan. ADB sources stated that this investment programme will enhance the efficiency of the overall power distribution system and provide an adequate and reliable power supply to a greater number of industrial, commercial and residential customers, through funding of investment requirements within each of the eight power distribution companies in Pakistan.
Consulting services will be required for, among others, (i) preparation of sub-projects, (ii) detailed design, and (iii) construction supervision and contract management. Consultants will be selected and engaged in accordance with ADB's guidelines on the Use of Consultants (2007).
Consulting firms will be selected through international competition using the quality- and cost-based selection method. Individual consultants will be recruited for specific assignments in accordance with ADB's procedure. It is envisioned that, because of the continuation of a number of tasks during implementation, single-source selection may be used for certain assignments with the prior approval of ADB.
Procurement will be done in accordance with ADB's Procurement Guidelines (2007). International competitive bidding (ICB) will be used for goods and works. ICB will be utilised for supply contracts estimated to cost the equivalent of or more than $1 million and works contracts estimated to cost the equivalent of more than $5 million.
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