Signing of Dollar-Denominated Japanese ODA Loan Agreement with Ecuador: Contributing to the promotion of the Energy Matrix Transition through expansion and strengthening of the National Transmission and Distribution Systems
On January 28, the Japan International Cooperation Agency (JICA) signed a loan agreement with the Government of the Republic of Ecuador in Quito to provide a Japanese ODA loan of up to 70 million US dollars for the Project for Supporting the Advancement of Energy Matrix Transition. This is a joint, co-financing project with the Inter-American Development Bank (IDB) based on a co-financing framework. It is the first loan to Ecuador in more than 20 years.
The objective of the project is to promote: (i) greater access to renewable energy, (ii) stabilization of the energy supply, (iii) energy efficiency through the expansion and reinforcement of the National Transmission System (NTS) and the National Distribution System (NDS), and the improvement of the operational efficiency of the electrical system, contributing to the promotion of the Energy Matrix Transition (EMT). This project will contribute to the achievement of SDGs Goal 7.
| Project title | Amount (million U.S. Dollar) |
Annual interest rate (%) | Repayment period (years) |
Grace period (years) |
Procurement | |
|---|---|---|---|---|---|---|
| Project | Consulting services | |||||
| Project for Supporting the Advancement of Energy Matrix Transition | 70 | 6-month US dollar LIBOR+110BP | 6-month US dollar LIBOR+110BP | 25 | 7 | IDB untied* |
*Procuring countries are limited to IDB member states.
2. Executing Agency
Ministry of Energy and Non-renewable Resources (Ministerio de Energía y Recursos Naturales No Renovables)
Address: República de El Salvador N36-64 y Suecia 170505, Quito, Ecuador
Phone: +593-2397-6000
3. Planned Implementation Schedule
(1) Completion of project: March 2025 – with completion of the loan disbursement
(2) Issuing of letters of invitation for consulting services (including detailed design work), starting in January 2020
(3) Tender announcement of initial procurement package for international competitive bidding on project construction:
Procurement package title: Expansion and strengthening of the National Transmission/Distribution System
Release date: February 2020
