The Asian Development Bank (ADB) has agreed to provide a US$60m loan to upgrade Myanmar power distribution network. Technical and non-technical losses from Myanmar’s aging distribution system were as high as 18.2% in 2012. ADB’s loan will fund rehabilitation works to carry electricity more efficiently, including upgrading of existing 66/11 kV and 33/11 kV substations, replacing existing 33 kV and 11 kV distribution lines, replacing existing 11/0.4 kV transformers, and upgrading to digital revenue meters. The loan will also allow to replace tangled knots of existing bare low voltage distribution lines with more efficient aerial-bundled conductor lines. The project will reduce distribution loss by 4 percentage points. The country’s average electrification ratio has increased, growing from 16% in 2006 to 28% in 2012. Yangon City has the highest ratio at 72%, followed by Nay Pyi Taw at 65% and Mandalay at 35%. Only about one in five rural households are connected to the electricity grid. Future activities in the energy sector will also focus on promoting off-grid rural energy access and helping the government establish the public-private partnerships needed to raise the financing for power system expansion.