ADB and EDB to provide $145 million for rehabilitation of Uch-Kurgan hydropower plant

AKIPRESS.COM - Finance Minister of Kyrgyzstan Baktigul Jeenbayeva and ADB Country Director Candice McDeigan signed a loan and grant agreements on rehabilitation of the Uch-Kurgan hydropower plant on November 1.
The talks were held with the Asian Development Bank and the Eurasian Development Bank concerning financing of rehabilitation of the hydropower plant, the Finance Ministry said.
The budget of rehabilitation makes $160 million, which will be spent for replacement of electromechanical equipment and turbines, hydraulic facilities, clearing of the water reservoir, reinforcement of the dam.
The Asian Development Bank provides $100 million ($60 million loan, $40 million grant). The Eurasian Development Bank will provide $45 million loan. The contribution of the Kyrgyz government will make $15 million in form of tax exemption.
Rehabilitation of the hydropower plant will enhance reliability of the hydropower plant and will ensure reliable electricity supply; will increase capacity of the plant and electricity generation; will reduce costs for operation and repair of the plant.
The Uch-Kurgan hydropower plant is the first plant in the chain of hydropower plants on the Naryn River. The first turbine was commissioned in December 1961, the remaining 3 turbines were put into operation in 1962. The installed capacity of the plant is 180 MW (45 MW for each of 4 turbines). The average generation of electricity makes around 1.020 billion kWh.
The maturity of ADB's loan is 32 years, the grace period is 8 years, interest rate is 1% during a grace period and 1.5% upon expiry of the grace period.
The talks will be held in the near future on the loan agreement with the Eurasian Development Bank.