The Inter-American Development Bank (IADB) has approved a loan of up to US$31mn to support the construction of three 230kV transmission lines and four substations in Bolivia to improve electricity supply to the cities of Santa Cruz, Sucre, and the southern departments of Chuquisaca and Potosi.
The sponsors of the project are Interconexin Elctrica and Transelca of Colombia.
The transmission lines will connect the cities of Santivaez and Sucre, Sucre and Punutuma, and Carrasco and Urubo, and the existing Carrasco substation will be expanded.
The project will also receive debt financing from the Corporacin Andina de Fomento. Total project costs are estimated at US$77.5mn, and its completion is expected by August 2005.
The project company, Interconexin Elctrica ISA Bolivia, was granted a licence for a period of 30 years after beginning commercial operations.
The project will help expand electricity coverage by increasing the national integrated system’s capacity by 40%.