DHAKA, Sept 29, 2025 (BSS) - The Asian Development Bank (ADB) and the Government of Bangladesh today signed a $91 million agreement to enhance the quality, efficiency, reliability and resilience of the power distribution network in the Rajshahi and Rangpur divisions of northwest Bangladesh.

Md. Shahriar Kader Siddiky, Secretary, Economic Relations Division (ERD) and Hoe Yun Jeong, Country Director, ADB, signed the agreements on behalf of Bangladesh and ADB, respectively, at a ceremony at the ERD offices in Dhaka.

"The project will benefit people in the region by driving sustainable, resilient and digital transformation through the integration of advanced smart technologies into the power distribution network," said Country Director Hoe Yun Jeong. 

"It will reinforce climate-resilient infrastructure, boost disaster preparedness by installing solar backup systems in critical facilities and emergency shelters and create electricity-based livelihood opportunities for vulnerable communities-with special focus on women and marginalized people living on remote riverine islands. 

This initiative will also address regional disparities by focusing on empowering the underserved northwest region," Jeong added.

The Northwest Distribution Network Modernization Project will establish a disaster recovery center and expand the existing data center, said an ADB press release.

It will install intelligent electronic devices with advanced fault detection systems and upgrade four transformer repair workshops to enhance health, safety and hazardous waste management standards. 

The project includes constructing six new 33/11 kilovolt substations with connecting distribution lines, building seven new switching stations and modernizing 10 existing 33/11 kV substations with gender-inclusive design features. 

Additionally, it will deploy rooftop solar systems with battery storage at critical power control centers to provide emergency backup power and install solar photovoltaic nano-grid systems at flood shelters in riverine island areas.

Grant financing of $2 million will also be provided from ADB's Japan Fund for Prosperous and Resilient Asia and Pacific (JFPR), funded by the Government of Japan, to strengthen resilience in the northwest region. 

The JFPR grant will play a vital role in enhancing disaster preparedness and response capacities in flood prone communities, and in contributing to poverty reduction by supporting income-generating activities in this vulnerable region.

ADB is a leading multilateral development bank supporting inclusive, resilient, and sustainable growth across Asia and the Pacific. 

Working with its members and partners to solve complex challenges together, ADB harnesses innovative financial tools and strategic partnerships to transform lives, build quality infrastructure, and safeguard our planet. Founded in 1966, ADB is owned by 69 members-50 from the region.