The provision of a US$ 96.1 million loan for the construction of a high voltage transmission line in the Navoi Region of Uzbekistan (the "Project").
The Project is part of a broader grid-strengthening programme in the Navoi Region which aims at increasing the efficiency and reliability of the transmission system in the area. The implementation of the Project will help remove the existing bottlenecks in supplying electricity to the local industrial, mining and residential settlements while reducing transmission losses.
The Project is expected to contribute to the Green and Resilient Transition Impact qualities. The investment is in line with the Green Economy Transition approach and will contribute to improving carbon intensity in Uzbekistan. The region's power supply reliability will be improved through the associated network upgrades which will reduce system losses.
EBRD Finance Summary
Up to US$ 96.1 million loan to the Republic of Uzbekistan, envisioned to be on-lent to National Electric Networks of Uzbekistan JSC, a successor to the now-unbundled Uzbekenergo, JSC.
Total Project Cost
Environmental and Social Summary
Categorized A (ESP 2014). The construction of overhead high voltage line (OHL) is associated with a number of potential E&S impacts, which were assessed through a comprehensive Environmental and Social Due Diligence (ESDD). An independent consultant was retained by the Bank to perform a full Environmental and Social Impact Assessment (ESIA) in line with the EBRD's ESP and EU EIA Directive, followed by a number of the public consultations. The Project was subject to the National Environmental Impact Assessment (OVOS), and received the required regulatory approval. The ESDD confirmed that the Project is structured to comply with the Banks Performance Requirements (PRs). The ESIA was disclosed on 12 July, 2019
The Project includes construction of 188.5 km 500 kV line in Navoi region of Uzbekistan, connecting Navoi TPP switchyard and Muruntau substation (previous EBRD's Project with Uzbekenergo). The line route goes primarily through a desert area with a small section traversing agricultural lands. No resettlement will be required for the Project and limited economic displacement impacts and livelihood restoration activities will be addressed based on the Land Acquisition and Livelihood Restoration Action Plan developed for the Project.
The main focus of environmental and social assessment was on the provision of adequate biodiversity assessments, social and land impacts, labour due diligence, cumulative impacts, associated facilities and stakeholder consultation and land acquisition. Based on the ESIA it has been confirmed that the E&S impacts of the Project are minor to moderate, and can be mitigated through implementation of the ESAP and ESMMP.
Biodiversity aspects of the line construction and operation were assessed by independent expects, with particular focus on avifauna. The route does not traverse any protected area and migratory routes go in parallel with the line, therefore the risks of collision and/or electrocution were assessed as minor at most of the line sections. For those sections where ornithological assessment established the potential risks of bird collision with the line the protection measures (such as bird markers and diverters) were proposed and will be incorporated into the final design. The periodic bird monitoring will continue post construction and, if required, additional measures will be implemented.
The main E&S risk associated with the construction and installation of the OHL are associated mainly with worker Occupational Health and Safety, contractor and supply chain management and ensuring the technology and designs meet good industry practices and best available techniques.
The physical impacts, such as noise, dust, electromagnetic fields (EMF), visual were found to be negligible due to line location in the mainly uninhabited area and away from sensitive receptor.
Based on the ESDD an Environmental and Social Action Plan (ESAP) has been developed to structure the Project in line with the EBRD's PRs and address institutional strengthening issues as required. The ESAP includes, inter alia, enhancement of the corporate Environmental, Health & Safety and Social Management Systems, installation of the bird protection devices and seasonal bird monitoring, supply chain management and construction safety, implementation of the Stakeholder Engagement and grievance tools, implementation of the Land Acquisition procedures compliant with Bank's policy and others.
As part of the ESIA disclosure package Non-Technical Summary (NTS) in English/Russian, Stakeholders Engagement Plan (SEP), Environmental and Social Management and Monitoring Plan (ESMMP) have been developed and published.
The Bank will monitor the Project implementation and assist with institutional capacity building.
Technical Cooperation funds may be used in the implementation of ESDD and policy dialogue activities the Bank is considering implementing.
Company Contact Information
National Electric Networks of Uzbekistan JSC, Mr. Khayrulla Yusupov, Head of PIU
6 Istiklol Street, Tashkent, 100000, Uzbekistan
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