WB to give a USD 200 mln Loan to Ukrenergo for HV Network Modernization

According to the nationalgrid operator Ukrenergo, the company recently signed an agreement with the World Bank (WB) that will provide Ukrenergo with a USD 200 mln for the modernization of its high voltage (HV) network. The loan which is to be issued in 2008 will last for 17 years with grace period of four years. The loan is intended to help Ukrenergo implement its USD 238 mln modernization project for high-voltage electricity transmission grid and the construction of new transformer sub-stations in the regions of eastern, central and southern Ukraine. The goal of the project is to enhance the stability of electricity supplies in Donetsk, Luhansk, Dnipropetrovsk, Vinnitsa regions and Crimea. Realization of the project will increase transmission capacities from generation stations and will improve the stability of power supply in these regions.