Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date 16 Nov 2006
PDS Updated as of 15 Apr 2014

Project Name VIE: GMS Southern Coastal Corridor Project
Country Regional
Project/Program Number 36353-013
Status Approved
Geographical Location The Southern Coastal Corridor runs along the Gulf of Thailand coast from Bangkok through Thailand, Cambodia, and ends at Nam Can in the south of Viet Nam. The overall corridor length is 924 kilometers (km).
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector and/or Subsector Classification Transport and ICT
/ Road Transport
Thematic Classification Economic growth
Regional cooperation and integration
Gender Mainstreaming Categories No gender elements

Financing

Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Loan2372Asian Development Fund75,000
Loan2373Asian Development Fund7,000
Grant0096Australian Grant8,000
Grant0095Australian Grant25,500
Counterpart 111,900
TOTAL US$ 227,400

Safeguard Categories

For more information about the safeguard categories, please see http://www.adb.org/site/safeguards/safeguard-categories

Environment B
Involuntary Resettlement A
Indigenous Peoples B

Summary of Environmental and Social Issues

The Project corridor in southern Cambodia contains no designated forest, wildlife or rare and endangered species or habitats. Vehicle related air and noise pollution is not a serious problem along the corridor. However, during dry seasons laterite dust from passing vehicles creates serious dust clouds affecting the quality of life for all living along the roadway and up to 75 meters on either side. Paving the road and shoulders will eliminate this problem. The Project corridor in southern Viet Nam lies in the Mekong Delta, this area has a dense network of waterways and navigable canals. There are two ecologically sensitive sites in the region, which were identified by Birdlife International Vietnam as important habitats for endangered birds and mammals. However, the project corridor is far from the two sites and none of the project activities would affect these sites. Major environmental concerns of the Project in the Vietnamese section would be the interference of ship traffic due to poor design of bridges and water quality due to disturbance of acid sulphate soils in localized areas. The EA will ensure the bridge designs allow sufficient navigation clearances. The EA will also secure accurate acid sulphate soil maps and make them available for contractors. Construction procedure in such areas will follow guidance provided by Can Tho University to minimize the potential impacts of acid soil on water quality and surrounding aquaculture activities. It is assessed that most of the potential impacts of the Viet Nam section are during the construction stage, these are of a nature temporary and can be managed effectively by mitigation measures. Three full resettlement plans have been prepared based on the preliminary design available: one for NR 33 in Cambodia, and one each for Ca Mau Province and Kien Giang Provinces in Viet Nam. In Viet Nam, a total of 3,775 households will be affected by loss of residential, commercial, or agricultural land within the corridors of impact (COIs) of Project roads and border crossings. Of these, 677 houses and 513 small businesses and shops will be displaced, and 680 households will be severely affected by loss of productive assets. In Cambodia, a total of 728 households will be affected by land acquisition within the COI of National Road 33. Of these, 330 houses and/or small businesses will be displaced, and 265 households will be seriously affected by loss of rice-growing land. The resettlement plans incorporate special actions to address needs of ethnic minorities and are consistent with the project gender strategy.

Environmental Aspects
The project corridor in southern Cambodia contains no designated forest, wildlife, or rare and endangered species or habitats. Exhaust and noise emissions from vehicles are not serious problems along the corridor. However, during dry seasons, laterite dust from passing vehicles creates serious dust clouds affecting the quality of life for all living along the roadway and up to 75 m on either side. Paving the road and shoulders will eliminate this problem. During construction, a watering schedule will be required to minimize the temporary impact on air quality of dust generated by construction activities. A potential impact during operation of the border crossings will be the wastewater and solid wastes generated at the customs and immigration facilities, if these wastes are not managed properly. A primary waste treatment facility will be designed and installed to service the new buildings to minimize the potential impacts. Garbage will be managed by contracting a local worker to collect and dispose of solid wastes. It is assessed that most of the potential impacts of the Cambodian section are during the construction stage; these are of a nature temporary and can be managed effectively by mitigation measures. An environmental management plan (EMP) and monitoring program have been prepared and will be implemented by MPWT during the construction and operation periods. Appropriate clauses will be included in civil works contracts to ensure the implementation of the EMP. The project corridor in southern Viet Nam lies in the Mekong Delta, which has a dense network of waterways and navigable canals. There are two ecologically sensitive sites in the region, which were identified by BirdLife International in Indochina as important habitats for endangered birds and mammals. However, the project corridor is far from the two sites and none of the project activities would affect these sites. Major environmental concerns of the Project in the Vietnamese section are the interference of ship traffic caused by poor design of bridges and water quality because of disturbance of acid sulphate soils in localized areas. The EA will ensure the bridge designs allow sufficient navigation clearances. The EA will also ensure implementation of mitigation measures identified in the EMP to minimize impacts of acid soil on water quality and surrounding aquaculture activities. It is assessed that most of the potential impacts of the Viet Nam section are during the construction stage; these are of a nature temporary and can be managed effectively by mitigation measures. An EMP and monitoring program have been prepared, and will be implemented by PMU-MT during construction and by VRA during operation periods. Appropriate clauses will be included in civil works contracts to ensure implementation of the EMP.
Involuntary Resettlement
The most serious impact will be the loss of land caused by road widening or realignment. In Cambodia, 330 affected households have residential and/or commercial land assets in the national road (NR) 33 corridor of impact and the area required for the cross-border facility, and will require compensation and relocation. Another 265 affected households will be seriously affected by loss of rice-growing land in the road corridor of impact. A full resettlement plan (RP) has been prepared for Cambodia. In Viet Nam, two full RPs have been prepared one for Kien Giang Province and one for Ca Mau Province. Several thousand APs will be displaced from their housing and/or small shops and others will be displaced from agricultural land. Survey work continues to define impacts to be addressed in the RPs.
Indigenous Peoples
In the Viet Nam project area, the Khmer ethnic minority group accounts for about 2% of the population in Ca Mau Province and 12% of the population in Keing Giang Province, or about 7% in the project area overall. There are no ethnic minority people in the Cambodia project area. In Viet Nam, ethnic minority households (Khmer) in the project area speak both Vietnamese and Khmer (especially men). Khmer people are well integrated into the mainstream. Like the majority Kinh Vietnamese, rural ethnic Khmer cultivate rice and/or engage in shrimp farming. However, the total number of Khmer households engaged in wage labor is higher (13.6%) than the mainstream Kinh population (4.7%). Urban ethnic Khmer are shopkeepers or engaged in nonfarm activities. In both Kein Giang and Ca Mau, nearly all APs including ethnic minorities are classified nonpoor. However, in Ha Tien district of Kein Giang, 21% AP Khmer households are engaged as laborers. The Project will not have a differential impact on Khmer people than the mainstream Vietnamese and an ethnic minority development plan is not required.

Stakeholder Communication, Participation and Consultation

During Project Design
During the feasibility study of the Project, consultations were held with relevant stakeholders including the communities affected by the road. The community perspective on the Project, in terms of positive and negative impacts, was discussed. The community felt that roads to market and school might be more accessible because of the Project. Less vehicle damage was considered an important benefit because of the improved road. Road safety was noted as a serious concern of local residents.
During Project Implementation
Environmental monitoring during construction phase will include documentation of affected people's complaints on the Project's environmental performance and the corresponding plan of action or actions taken to resolve such complaints. PMU-MT, together with the local authorities, will be responsible for monitoring all resettlement-related activities. In addition, PMU-MT will engage an independent monitoring organization to conduct an independent review and evaluation of resettlement activities on a quarterly basis.

Description

The Project will complete the Greater Mekong Subregion Southern Coastal Corridor (GMS-SCC) in Cambodia and Viet Nam. The Project will include the following components: (i) Rehabilitation of Transport Infrastructure. In Cambodia 15 km of NR33 will be improved to the border with Viet Nam at Preak Chak. In Viet Nam 89.5 km of National Highway (QL) 80 and QL63 will be improved, include construction of two large bridges across the Cai Be and Cai Lon Rivers; (ii) Cross Border Facilities. A new cross border facility will be provided, the design will take into account the ongoing work on the implementation of the GMS Cross-Border Transport Agreement; (iii) HIV/AIDS and trafficking awareness and prevention; and (iv) Road maintenance in Cambodia.

Project Rationale and Linkage to Country/Regional Strategy

The ADB's Regional Cooperation Strategy and Program Update for the Greater Mekong Subregion (GMS) includes four strategic pillars the first of which addresses strengthening connectivity and facilitating cross-border movement and tourism. Although subregional traffic is still modest, the governments of the GMS countries, give high priority to the development of transport infrastructure links that will facilitate regional and international trade and economic cooperation. The high priority given to cooperation in the transport sector is because of the poor state of the transport infrastructure in most of the GMS that is a major constraint to economic growth, trade and other forms of cooperation. By reducing travel times and vehicle operating costs along the GMS-SCC the Project will encourage economic activities in the affected provinces, provide employment opportunities for the local population, and improve access to social services. At the national level, the Project responds to both Governments? infrastructure development emphasis on improving the national road network to allow more effective access and induce economic growth and to improve the GMS road network.

Development Impact

Promotion of economic growth in the project area and GMS by strengthening connectivity with neighboring countries and increasing competitiveness

Project Outcome

Description of Outcome
Reduce transport times and costs, and induce more efficient movement of passengers and goods within the project area and between GMS countries
Progress Towards Outcome
Viet Nam component: Civil works have started in April 2011. Based on the findings of the midterm review mission in December 2011, achieving the project's intended outomce is likely provided that corrective measures are implemented effectively (i.e. improvement of soft soil treatment measures and resolving pending resettlement issues). To address this, Additional Financing of $12 million grant from AusAID for soft soil treatement, and $25 million ADF loan for resettelement and cost overruns were approved by ADB on 11 February 2013 which became 16 September 2013. Cambodia component: Outcome not yet achieved but on track.

Outputs and Implementation Progress

Description of Project Outputs
Completion of the road and bridge improvements enabling unrestricted passenger and freight transport Border facilities constructed HIV/AIDS and trafficking awareness and prevention programs completed on the project road
Status of Implementation Progress (Outputs, Activities, and Issues)
Viet Nam component: - Civil Works 75% complete - Border facilities: will be implemented under additional financing for Second SCCP (current cross-border processing times are well below project targets) - HIV/AIDS component is ongoing under supervision contract Combodia component: Project is 73% complete with all major civil works now are progressing satisfactorily. The project is expected to be completed within time and within budget.
Status of Development Objectives
Material Changes

Business Opportunities

Date of First Listing 2006 Nov 16
Consulting Services
For all ADB and Government of Australia financed consulting services, international and national consultants will be recruited through a firm in accordance with ADB s Guidelines on the Use of Consultants and will use ADB s quality and costbased recruitment procedures. Cambodia. Consultants for the Cambodian component of the Project will be recruited under two packages. A firm of consultants will be recruited to undertake the DDIS services under a contract to be financed using Government of Australia grant funds. For this contract, about 409 person-months of input will be required (about 47 person-months from international experts and about 362 of national experts). In addition, national Independent Resettlement Monitoring company will be recruited with experience in resettlement planning and social analysis on similar internationally funded infrastructure projects to monitor implementation of resettlement plans. Viet Nam. Consultants will be recruited under three separate packages. Under the ADB and Government of Australia funded components, one package (ADB DDIS package) will cover detailed design and construction supervision of the ADB and Government of Australia funded section, and the HIV/AIDS and trafficking awareness and prevention program. It is proposed that this package be funded from Government of Australia grant funds. For this contract, about 1,643 person-months of input will be required (about 137 person-months international and 1,506 national). Under the Government of the Republic of Korea funded component, a single package will be prepared for the Government of the Republic of Korea DDIS services with recruitment following Republic of Korea procedures. For this contract, about 1,348 person-months of input will be required (about 109 person-months international and 1,239 national). In addition, national Independent Resettlement Monitoring company will be recruited with experience in resettlement planning and social analysis on similar internationally funded infrastructure projects to monitor implementation of resettlement plans.
Procurement
Procurement of all ADB and Government of Australia financed works will be in accordance with ADB s Procurement Guidelines. Procurement of civil works under the Government of the Republic of Korea funded component will be subject to Republic of Korea procurement guidelines and procedures. Cambodia. Separate civil works contracts will be procured for (i) improvement of NR33 between the border with Viet Nam at Preak Chak and Kampong Trach; (ii) cross-border facilities at Preak Chak; (iii) cross-border facilities at Koh Kong, and (iv) replacement of bridges and culverts along the Kampong Trach Kampot road section. These contracts will be procured using international competitive bidding (ICB) procedures. Civil works under the maintenance component will be packaged through a number of contracts, where contracts costing more than $100,000 and less than $1 million may follow national competitive bidding (NCB) procedures acceptable to ADB. Viet Nam. All procurement will be managed by the IA with assistance from the DDIS consultants. For the ADB and Government of Australia funded components, there will be two major civil works contracts (one each for the An Minh Bypass Nga Bac Canal, and the Nga Bac Canal Industrial Complex sections) to be procured using ADB s ICB procedures with prequalification; documentation will be subject to prior review. Other smaller civil works contracts partly or wholly financed by ADB and costing more than $100,000 and less than $2 million may follow NCB procedures acceptable to ADB.
Procurement and Consulting Notices
http://www.adb.org/projects/36353-013/business-opportunities

Timetable

Concept Clearance 05 Aug 2005
Fact-finding 09 Mar 2007 to 22 Mar 2007
Management Review Meeting 14 Dec 2006
Approval 28 Nov 2007
Last Review Mission

Milestones

Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 2372 28 Nov 2007 10 Jan 2008 29 May 2008 30 Jun 2015
Loan 2373 28 Nov 2007 18 Feb 2008 12 Aug 2008 31 Dec 2012 31 Dec 2014

Utilization

Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
19 Apr 2014 Loan 2372 71,217 0 95.00%
19 Apr 2014 Loan 2373 5,992 0 85.00%
Cumulative Disbursements
19 Apr 2014 Loan 2372 48,681 0 65.00%
19 Apr 2014 Loan 2373 3,744 0 53.00%

Status of Covenants

Covenants are categorized under the following categories—audited accounts, safeguards, social, sector, financial, economic, and others. Covenant compliance is rated by category by applying the following criteria: (i) Satisfactory—all covenants in the category are being complied with, with a maximum of one exception allowed, (ii) Partly Satisfactory—a maximum of two covenants in the category are not being complied with, (iii) Unsatisfactory—three or more covenants in the category are not being complied with. As per the 2011 Public Communications Policy, covenant compliance ratings for Project Financial Statements apply only to projects whose invitation for negotiation falls after 2 April 2012.

Approval No. Category
Sector Social Financial Economic Others Safeguards Project Financial Statements
Loan 2372 Satisfactory Satisfactory Satisfactory Satisfactory Satisfactory
Loan 2373 Satisfactory Satisfactory Satisfactory Satisfactory Satisfactory
Grant 0096
Grant 0095

Contacts and Update Details

Responsible ADB Officer Rustam Ishenaliev (rishenaliev@adb.org)
Responsible ADB Department Southeast Asia Department
Responsible ADB Divisions Transport and Communications Division, SERD
Executing Agencies Viet Nam Road Administration, Min. of Transport
Mr. Duong Tuan Minh

Links

Project Website http://www.adb.org/projects/36353-013/main
List of Project Documents http://www.adb.org/projects/36353-013/documents