The Republic of Lebanon
| Loan No: | 506 | Interest Rate: | 4.5 % |
| Beneficiary: | Electricité du Liban | Grace Period: | 8 years |
| Project Cost: | KD 56.6 million | Maturity: | 25 years |
| Amount of Loan: | KD 35.0 million | Repayment: | 35 semi-annual installments |
| Date of Board Approval: | - | First Installment: | 8 years following the first disbursement |
| Date of Loan Agreement: | 2007-01-15 | Date of Loan Effectiveness: | - |
Objectives:
The project aims at participating in the rehabilitation and expansion of electric power installations damaged by the summer 2006 Israeli aggression, and at contributing to the satisfaction of demand for electric power and energy.
Description:
The project includes supply and installation of machines, equipment and spare parts needed for power generating stations, substations and transmission and distribution networks, in addition to civil works related to project scope. The project, which is expected to be completed by the end of 2009, consists of the following components:
- Supply, Installation and Work Execution: It includes rehabilitating and equipping power generation stations, and substations in Al- Jieh, Al Zouk, Sibline, Saidon, Baalback, Sultanieh and Musaileh. It will also cover rehabilitating, replacing and renovating power transmission lines in various area, including reinforcing 66 kV substations in Eastern Lebanon. The project will also avail equipments for rehabilitating distribution networks and their accessories.
- Technical Services: This includes supervision of project execution, studies and institutional support.
Financing:
The Arab Fund’s loan covers about 61.8% of the total project cost. The Lebanese Government will cover the remaining project cost and any future cost that may arise, from grants, in-kind contributions and concessionary loans.