The World Bank has facilitated a Rural Electrification and Transmission (RE&T) project for the Royal Government of Cambodia, with loan funding from the World Bank, Asian Development Bank (ADB) and Global Environment Facility (GEF).  The stated objectives of the project are:

a)       To improve power sector efficiency and reliability and reduce electricity supply costs;

b)       To improve standards of living and foster economic growth in rural areas by expanding rural electricity supplies; and

c)       To strengthen electricity institutions, the regulatory framework and the “enabling environment” for sector commercialization and privatization.

The project will consist of four major sections, described here:

1. Transmission line component to be implemented by EdC and comprising:

§         Construction of a 109 km long double circuit 220kV line from the border with Vietnam to Phnom Penh and two associated substations (financed by the Asian Development Bank (ADB)); 

§         Reinforcement of the 115kV grid around Phnom Penh involving about 20 km of 115kV lines and  modifications to three 115kV substations and 22kV extension;

§         A National Control Center to optimize load dispatch operations in the EdC system and increase system security; and

§         Building EDC’s capacity in project management, land acquisition, resettlement and environmental monitoring and mitigation. 

2. The Rural Electrification component, to be implemented by EdC, comprises the following:

§         EdC extending their grid with 516 km of medium voltage (MV) and 536km of low voltage (LV) lines;  

§         Electrification of about 50,000 households currently not connected to the grid; and

§         EdC identifying existing REEs and options for public/private partnerships including distribution licensing, billing and collection arrangements, management contracts, and leasing arrangements.

3. The pilot Rural Electrification Fund (REF) component to implement an innovative mini and off-grid electrification program.  The creation of the REF as a transparent institutional mechanism for promoting RE, has been widely accepted in the country through three national stakeholder consultation workshops. See the new REF page for more detailed information.

D.      The Institutional Development and Sector Reform Technical Assistance (TA) component comprises consulting and advisory services for the following areas:

           §          MIME  in renewable energy policy development, power market analysis, and              development of a power sector master plan;

§         REF for implementation support, promotion of rural income generation options, renewable energy business development, REE improvement and association building, and capacity building of financial institutions. See the Technical Assistance page for more detailed information. 

§         EAC for institutional strengthening; and  

§         EdC for services of a project implementation consultant and in-house advisor, creation of an independent monitoring agency and a project grievance committee, improvement of commercial practices, management training, capacity building for land acquisition, resettlement and environment, and power investment planning.