Electricity Sector Modernization and Sustainability Project

The development objective of Electricity Sector Modernization and Sustainability Project for Kyrgyz Republic is to improve the financial performance and operational reliability of the electricity sector. This project has four components. 1) The first component, Rehabilitation and Upgrade of Distribution Networks, is designed to reduce system losses, particularly technical losses in the distribution network, and increase reliability of electricity services in selected areas of the distribution network. 2) The second component, Digitalization of Distribution Network, has the following sub-components:(i) Installation of Advanced Metering Infrastructure (AMI) for Revenue Protection; and (ii) Introduction of Digital Tools to Increase Operational Efficiency and Reliability. 3) The third component, Strengthening Social Protection Systems, has the following sub-components: (i) Enhancing Effectiveness and Responsiveness of Social Assistance Systems to Mitigate Impacts of Higher Electricity Tariffs on Poor and Vulnerable Households in the Medium Term; and (ii) Complementing Existing Social Assistance Measures to Mitigate Impacts of Higher Electricity Tariffs on the Extremely Poor and Vulnerable in the Short Term. 4) The fourth component, Institutional Development and Project Implementation Support, has the following sub-components: (i) Institutional Development; and (ii) Project Implementation Support.