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Asian Development Bank Approves $148.5 Million Loan to Modernize Sikkim's Power Supply

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TheThe Asian Development Bank (ADB) has approved a USD 148.5 million loan to modernize and enhance the reliability, quality, and resilience of electricity supply in Sikkim. This initiative supports Sikkim's Power for All initiative, ensuring round-the-clock, uninterrupted access to quality electricity for households, industries, businesses, and the public, ADB announced on Thursday.

The project will upgrade Sikkim's power distribution system by installing approximately 770 kilometers of climate-resilient medium-voltage underground and/or covered conductors. Additionally, 580 kilometers of ageing and low-capacity bare conductors will be replaced to increase distribution network capacity.

As part of the modernization efforts, 26 existing power substations will be upgraded, including the installation of a supervisory control and data acquisition system. The project will also install 15,000 units of public street lighting in remote areas and conduct electricity conservation and safety awareness programs in 28 villages.

The initiative aims to enhance the livelihoods of at least 1,100 women involved in self-help groups, producer groups, and individual businesses by installing tailored renewable energy systems and improving their vocational skills.

Furthermore, solar energy systems and energy-efficient electrical equipment will be deployed in 24 primary healthcare subcenters to enhance the capacity of rural healthcare facilities to offer in-patient treatments, especially during the winter months.

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