West Bank and Gaza: Trust Fund for Electric Utility Management Project

 WASHINGTON, May 15, 2008- The following project was approved today by the World Bank’s Board of Executive Directors:

GRANT:  US$12 million

PROJECT DESCRIPTION: The project aims to reduce the fiscal burden of the electricity sector on PA’s budgetary resources through lower deductions from clearance revenues for arrears owed to Israel Electric Corporation (IEC). This will be achieved by the adoption of appropriate sectoral efficiency enhancement measures taken and the key performance indicators of the electricity distribution utilities that will include: (a) improved collection performance; (b) lower technical/non-technical losses; (c) reduction in payables to IEC on account of electricity purchase; and (d) consolidation and increase in the number of consumers.  The Project will also ensure that the Northern Electric Distribution Company (NEDCO) is fully operational through financing necessary capacity building measures.

For more information, please call Dina El Naggar  at (202) 473-3245or email delnaggar@worldbank.org