India and the Asian Development Bank (ADB) have signed a USD 69 million loan agreement which is the sixth and final tranche of the USD 620 million Madhya Pradesh Power Sector Investment Programme.

The sixth tranche will assist the Madhya Kshetra Vidyut Vitaran Company reduce power transmission and distribution losses in 117 towns. It will also support the M. P. Poorv Kshetra Vidyut Vitaran Company, the M. P. Paschim Kshetra Vidyut Vitaran Company and the M.P. Power Trading Company set up information technology (IT)-management systems linking all parts of the distribution and trading companies in the state.

The six tranches of the Madhya Pradesh Power Sector Investment Programme will increase transmission capacity in the state to about 10,000 megawatts (MW) from 5,563 MW and reduce transmission and distribution losses significantly. Enhanced power reliability, quicker repairs, along with better meter reading and billing, will also help improve the service to consumers.