Electricity Transmission Project. The objective of the Electricity Transmission Project is to increase electricity consumption by improving the availability and reliability of electricity supply in Nepal’s electricity grid and by facilitating power trade. Compact investments in Nepal’s transmission network and cross-border interconnection will support increased supply of electricity to consumers by providing a path for delivery for a pipeline of new domestic electricity generation as well as increased electricity trade with India. The transmission backbone will allow more efficient movement of electricity across the grid, with lower technical losses, such that supply is better able to meet demand. This is contingent on the pipeline of domestic generation coming to fruition in a timely manner or the successful introduction of increased cross-border electricity trade with India. The cross-border interconnection will facilitate the import of electricity from India to meet demand, particularly in the dry season when domestic generation is at its lowest. It will also facilitate exports to India in the rainy season when domestic generation is expected to exceed domestic demand. Export revenues are expected to facilitate more investment in domestic generation by the Government and private investors including independent power producers and electricity traders. Results related to electricity trade with India are contingent on the negotiation of power trade agreements between Nepal and India and the appropriate calibration of the two grids, both of which are directly addressed by the Government. The Power Sector Technical Assistance Activity investments in establishing a new regulator and assisting the Government with better planning, cost recovery, and grid operation will result in: 1) a power sector that balances the economic and financial interests for sector stakeholders and promotes the safe operation of the grid; and 2) improved sustainability of MCC infrastructure investment by enabling NEA to operate, manage, and maintain the new 400 kilovolt (“kV”) system, with which it has no prior experience. These investments are expected to increase the financial and physical sustainability of the infrastructure investment. The increase of electricity in Nepal’s grid is expected to increase the amount of electricity supplied to consumers and increase electricity trade with India. Increased, more reliable, and potentially more affordable electricity should allow consumers to use more electricity to meet...
Electricity Transmission Project. The evaluation of the Electricity Transmission Project is expected to be a performance evaluation based largely on quantitative data. It will make use of generation, load flow, and export/import data over time to assess what impacts may be the result of the MCC investment. It will likely include a household or business data collection component to assess the high level impacts, such as electricity consumption and expenditure per energy unit among grid customers. The evaluation will include a process study, assessing the fidelity of implementation to the original design, and setting the stage for the assessment of results further down the logical chain. The questions that will guide the design of the evaluation include: • Was the Electricity Transmission Project implemented as planned? Did the quality of the work meet the specifications initially laid out? • Was load-shedding in Nepal reduced as a result of the Electricity Transmission Project? This question links to the following outcome indicator: Load-shedding. • How was cross-border electricity trade changed by the Electricity Transmission Project? This question links to the following outcome indicators: Imported Electricity and Exported Electricity. • Did the Electricity Transmission Project increase the consumption of on-grid electricity by households and businesses in Nepal? This question links to the following outcome indicator: Electricity consumption per capita, which is the Project Objective. • Did the BIKAS approach to transmission projects reduce community resistance to the Project, and construction delays? This question links to the following outcome indicator: Days of Work Missed. • Additional evaluation questions related to the technical assistance provided through Activity 1.3 will be articulated later, once the targeted results are better understood. The M&E Plan will contain the evaluation Indicators listed in the following table: Electricity Transmission Project: Result Indicator Definition Unit Baseline Target Target Date Outcome Indicators 133 (2016) 394 Source: PSSE in TT Feasibility Study (Volume 1, Table 3.23, Consumption minus 15% Technical Losses), divided by a population estimate of 32,759,302. Source: NEA Annual Report 2015/6 (Total Sales of Cost Savings to Households and Businesses Project Objective: Increased Electricity Consumption Electricity consumption per capita The quantity of electricity consumed annually per capita in Nepal. kWh/ capita Electricity), Government of Nepa...
