The Indian state of Tripura will receive a loan of INR11bn ($245.34m) from the World Bank to improve power transmission and distribution system in the state.

The loan will also be used to connect the transmission line with the state of Assam.

A gas-based thermal project at Palatana will also start production in 2012, the state government said.

The many upgrades and improvement will allow the state to export power to other neighbouring states, reports the Economic Times.