The World Bank and the government of Albania have successfully completed
negotiations for a $150 million (112.1 million euro) power reform and recovery
project, the World Bank said on Friday.
"The proposed World Bank-assisted
program will support Albania’s power sector reforms, particularly efforts to
improve the reliability of the electricity supply and the financial viability of
the sector," the World Bank said in a press release.
Infrastructure
investments under the project will include sizeable financing earmarked for
electricity distribution and upgrading of the transmission
system.
“Increased reliability and financial sustainability of the energy
sector are among the most important reforms needed to stimulate economic growth
and restore fiscal balance in Albania,” Ellen Goldstein, World Bank country
director for Southeast Europe, said.
“A quick and fair resolution of the
commercial dispute over the distribution company allows Albania to move ahead
with these crucial reforms and much-needed investments in the system,” she
added.
The project will also support reforms in sector management,
institutional restructuring, and implementation of a short- to medium-term plan
for the financial sustainability of the sector.