Energy and powerNewsPower transmission

Bangladesh to upgrade distribution network with $500m World Bank aid

Bangladesh will fund its Electricity Distribution Modernisation Programme using a $500 million credit facility approved by the World Bank.

The programme aims to upgrade and expand the country’s distribution infrastructure for grid efficiency and reliability for some 40 million people in Dhaka and Mymensingh.

Over 31,000km of lines, 157 substations, a Supervisory Control and Data Acquisition System and Advanced Metering Infrastructure will be installed to ensure grid resilience against climate change and cyber threats and to ensure that modern services are provided to consumers.

The project is expected to help improve access to modern and reliable electricity for consumers served by 25 rural electric cooperatives in the Bangladesh Rural Electrification Board as well as enable the integration of renewable energy for decarbonisation purposes.

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Bipul Singh, World Bank senior energy specialist and task team leader said: “Since 2009, Bangladesh Rural Electrification Board (BREB) has implemented one of the largest rural electrification programmes in the World, delivering access to more than 90 million people.

“With the access agenda nearing completion, this programme will strengthen BREB’s ability to deliver reliable electricity supply and support the energy transition in Bangladesh.”

The upgrades will enable energy storage systems to be integrated with the grid, a move that will help allow the introduction of energy flexibility for grid reliability, according to the statement.

Dandan Chen, acting country director of the World Bank in Bangladesh added: “In the last decade, Bangladesh achieved a more than fourfold increase in electricity generation capacity and delivered electricity connections to more than 99 percent of its population. But the electricity distribution network could not keep pace with the remarkable increase in electricity generation.

“This programme will help modernise and ensure climate resilience of the distribution network, which is the backbone of a secure and reliable power system.”