World Bank to Give $400m to Improve Electrification
Wai Linn Kyaw/MBT
Myanmar faces a long road towards total electrification.
The World Bank has approved a $400 million interest-free credit from the International Development Association (IDA), the Bank’s fund for the poorest countries, to provide financing and technical assistance for Myanmar’s National Electrification Plan (NEP).
With this support the government is expected to accelerate the expansion of the country’s national electricity grid and build off-grid power solutions in rural areas, in a bid to fulfil its ambitious goal of universal access to electricity by 2030.
The Washington DC-based lender said it expects the project to benefit over 6.2 million people by bringing electricity to more than 1.2 million households in Myanmar through 2021.
In Myanmar, where over 70 percent of the people have no access to electricity, bringing electricity to the rural parts of the country has proved to be a massive challenge.
“This $400 million project will help connect towns to the grid and turn on lights in schools, clinics and remote villages,” said World Bank Southeast Asia Country Director Ulrich Zachau.
“As part of the World Bank’s Country Partnership Framework, we are increasing our support for Myanmar’s National Electrification Plan because we want to help Myanmar bring the benefits of electricity to its people quickly,” he added.
The money will be used to expand the existing electricity grid by adding medium- and low-voltage distribution networks, giving more towns and homes access to grid-based electricity. This will also include off-grid electrification systems such as solar systems and mini-grids to bring electricity to rural communities far from the national grid.
“The National Electrification Plan will transform Myanmar by giving the people of our towns and villages access to more job opportunities, better health care and lighting for classrooms,” said U Aung Than Oo, deputy minister for electric power.
“The Government of Myanmar is now accelerating its work to expand the grid…,” he added.
Over the course of the six-year project, the World Bank financing will also provide grid connections for 23,000 schools, clinics and community centers, and 132,000 street lights will be turned on, opening village markets after dark and improving safety.
