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Annual Report 2002 : Reviewing existing policies
Inspection FunctionWhen ADB approved its Inspection Function in 1995 as a forum for project beneficiaries to file requests alleging ADB’s noncompliance with its operational procedures and policies, the Board of Directors stipulated a review within 2 years from the approval of the members of the initial Roster of Experts. In 1999, the Board of Directors discussed a working paper on the review of the Inspection Function, in which varying views were expressed on whether ADB’s private sector operations should be subject to the Inspection Function. Also, by 1999, only two requests for inspection had been filed, and both had been deemed ineligible; hence, with limited experience on the process, the review could draw few conclusions. While the review continued, the first full inspection process relating to the Samut Prakarn Wastewater Management Project in Thailand was conducted from April 2001 to March 2002, and it became evident that the inspection process and procedures were lengthy and confusing. This first full inspection also raised concerns about the independence, credibility, transparency, and effectiveness of the Inspection Function. In 2002, ADB conducted extensive external and internal consultations as part of the ongoing review. ADB solicited the views of its stakeholders—member governments, civil society (including NGOs), and private sector—through external and internal consultations. Information about the review, including a consultation work plan and timetable; external comments received by ADB; and documents, including an issues paper and two drafts of the working paper, were posted on ADB’s web site http://www.adb.org and sent to its partners for review and comment. In addition, the outcome and report for each of the two rounds of public consultations, covering 10 member countries, were also posted on the web site. Internal consultations included regular meetings of the steering committee and working group (the two groups merged in September as the Inspection Function Review Committee), and discussions at informal Board briefings and at an informal Board retreat. The consultations reinforced broad support for an independent accountability mechanism that addresses the alleged grievances of adversely affected people in ADB-assisted projects, and increased problem-solving and problem-prevention measures by ADB. The new mechanism was expected to complement and enhance ADB’s objectives of poverty reduction, development effectiveness, and improved project quality. The inputs and recommendations from the external and internal consultations formed the basis for the Working Paper, for circulation and consideration by the Board of Directors in 2003. The Working Paper was posted on ADB’s web site for public comments. For more information on the Inspection Function review, see http://www.adb.org/inspection/review.asp. For more on ADB’s Policy on Confidentiality and Disclosure of Information, see http://www.adb.org/Documents/Policies/Confidentiality/Disclosure/.
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