New Delhi, Aug 7 - The World Bank has approved a loan of $330 million to strengthen power transmission and distribution system in Haryana.

The World Bank has allocated the money under the Haryana Power System Improvement Project that aims to improve the availability, efficiency, and accountability of power electricity supply in the state by strengthening of transmission and distribution systems.

'From the actions it has already taken, Haryana is demonstrating a strong commitment to improve the availability, quality, and reliability of its power supply,' said Roberto Zagha, World Bank's country director for India.

The pilot project will take off in Faridabad and Gurgaon.

Haryana has been a power deficit state for several years. With installed generation capacity of 4,680 mega watts (MW), the power shortage ranges between 400-600 MW in off-peak hours and between 1,200-1,500 MW in peak hours.