Uttarakhand Power Sector Investment Program–Tranche 2

More thorough due diligence needs to be conducted related to the feasibility of realization of associated infrastructure that serves as a prerequisite to the project outputs; e.g., transmission lines directly connected to a planned power plant. The uncertainties about their successful implementation need to be reduced or eliminated, if possible, before approving loan disbursements and procurement activities, even if this leads to disbursement delays. This will reduce the risk of loan proceeds being spent unproductively and the burden of financing charges and IDC.