Greater Mekong Subregion

Western Yunnan Roads Development Project (PRC) (Loan 2014)

Overview

In October 2003, ADB approved a loan for $250 million to the People's Republic of China (PRC) from its ordinary capital resources for the captioned project (loan 2014).

The project's main objective is to remove transport barriers and reduce transport costs in Western Yunnan to promote pro-poor economic growth and contribute to regional development in the GMS. The project will alleviate congestion, reduce travel time and vehicle operating costs and improve road safety, increase road transport capacity (between Kunming and Myanmar border), facilitate private sector involvement and improve access of the poor to markets and social services. The project will also support road safety and corporate governance reforms.

The project covers the following components:

1. Construction of 77 km expressway
2. Local Road Upgrading
3. Equipment Procurement
4. Land Acquisition and Resettlement
5. Consulting Services

Construction of 77 km Expressway

This will involve construction of a 77 km four lane access-controlled toll expressway from Baoshan to Longling, including 14.5 km of access roads, four interchanges, toll stations, administrative buildings and service areas.

Local Road Upgrading

This will involve upgrading of 294 km of local roads to improve access to poor and ethnic minority areas. The sections will be improved and impacts on poverty monitored concurrently with the expressway component.

Equipment Procurement

This will involve procurement of equipment for road maintenance, toll collection, surveillance and communications, vehicle weighing stations and office administration. To complement investment in the secondary and tertiary network and ensure sustainability, the county branches of the provincial communications department will operate the equipment, estimated to cost $2 million.

Land Acquisition and Resettlement

The project will require acquisition of 600 hectares of which 40% is farmland and the rest forestland and wasteland. Route selection was adjusted to minimize impacts on paddy and other farmland and housing. A resettlement plan was prepared based on impact surveys and local consultations. The local government is responsible for implementing the resettlement plan with key decisions (on livelihood and income rehabilitation) taken by village/ group leaders.

Consulting Services

This will involve services for construction supervision, road safety audits, capacity building and monitoring and evaluation. Road safety will be promoted by providing axle-weighing stations at entrances, reinforced road signage, speed bumps, and training in road safety and traffic engineering, among others. The traffic monitoring and communication system will facilitate rapid response in case of accidents. An international road safety specialist will conduct safety audits during the design and prior to opening.

Project Cost and Financing ($ million)

Status

Ongoing

For detailed information on project status, write to the GMS Unit (ADB) at the following e-mail address:

gms@adb.org