New Delhi: The Asian Development Bank (ADB) and the Indian government have signed a USD 220 million loan agreement to improve Tripura's energy security, supply quality, efficiency, and resilience in the power sector.

Rajat Kumar Mishra, Additional Secretary, Department of Economic Affairs, Ministry of Finance, and Hoe Yun Jeong, Officer-in-Charge, India Resident Mission, ADB, have signed an agreement for the Tripura Power Distribution Strengthening and Generation Efficiency Improvement Project.

Mishra stated after signing the loan agreement that the project would support the Tripura government's efforts to strengthen its power sector by replacing inefficient power plants, strengthening the distribution network, and installing smart metres, which would help increase generation capacity, reduce distribution losses, and meet the state's increasing electricity demand, thereby boosting the state economy.

"The Project will fund the replacement of the Rokhia power plant with a highly efficient combined cycle gas turbine, reducing greenhouse gas emissions through fuel savings, modernising the state's power distribution network, and building institutional capacity and overall business processes of the project executing agencies," Jeong explained.

According to the finance ministry, it will also promote gender equality through pilot testing of gender and socially inclusive workplace practises. The project will support at least 15 selected women self-help groups (SHGs) under the Tripura rural livelihood mission, which will target socioeconomic empowerment of the state's rural poor and women through farming and non-farming sectors.

A steady supply of electricity will result in social and economic benefits, as well as better conditions for schools, hospitals, and other social services.
To help the region remain resilient to potential climate change risks, project components will be designed to withstand heavy rainfall, lightning, and storms with high-speed wind.

According to the statement, underground distribution cabling will be installed using the horizontal directional drilling method or tunnelling to minimise road openings and reduce socio-environmental impacts during project implementation.

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