The World Bank has approved a loan worth $59 million for the implementation of the Power System Reliability and Efficiency Improvement Project in Bangladesh. The $114 million project has three components entailing technical assistance and capacity building, investment in immediate operational enhancements, and investment in transmission upgrades to address the bottlenecks in specific high priority lines. The $88 million transmission component of the project involves the upgradation of the selected 132 kV and 230 kV lines to address the existing bottlenecks, and enhance the system transfer capability, and installation of dynamic line rating. This will improve the utilisation of limited transmission capacity of three critical transmission lines identified by Power Grid Company of Bangladesh Limited, and installation of static VAR compensators in three substations to enhance the voltage stability. The project will help Bangladesh meet its increasing demand for electricity by improving the reliability and efficiency of the entire power system, from electricity generation to transmission.