ADB approves 127.8 million USD loan for Cambodia to expand power transmission lines

Phnom Penh (VNA) - The Asian Development Bank (ADB) has approved a 127.8 million USD loan to support the construction of transmission lines and substations in Cambodia, the bank said in a press statement.

The project will help provide Phnom Penh, capital of Cambodia, and three other provinces with stable and reliable electricity supply, the statement said.

"The Grid Reinforcement Project, along with ADB's ongoing assistance to Cambodia in power system planning, shows that adequate, reliable, and environmentally sustainable power supply can be provided at reasonable cost to support equitable development," said ADB country director for Cambodia Sunniya Durrani-Jamal.

The government has set energy sector development as a national priority, as more robust electricity supply will boost economic productivity and the quality of life, the statement said.

The project will help the Electricite du Cambodge, Cambodia's national electricity utility, strengthen its transmission infrastructure by financing the construction of four 115-230 KV transmission lines and 10 substations in Phnom Penh and Kampong Chhnang, Kampong Cham, and Takeo provinces.

Since 1994. ADB provided loans of nearly 200 million USD for Cambodia to develop its energy sector. Last year, the bank gave 7.64 million USD to the Southeast Asian country to build a solar power park through public-private partnership model./.