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
PDS Updated as of 23 Jul 2014

Project Name MFF - Rural Roads Sector II Investment Program - Tranche 5
Country India
Project/Program Number 37066-063
Status Approved
Geographical Location
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
/ Road transport (non-urban)
Strategic Agendas Inclusive economic growth (IEG)
Drivers of Change Governance and capacity development (GCD)
Gender Mainstreaming Categories

Financing

Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Loan2651Ordinary capital resources203,810
TOTAL US$ 203,810

Safeguard Categories

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

Environment B
Involuntary Resettlement C
Indigenous Peoples C

Summary of Environmental and Social Issues

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples

Stakeholder Communication, Participation and Consultation

During Project Design
During Project Implementation

Description

The Project will finance part of the cost of a subset of the Investment Program comprising construction and upgrading of 312.45 kilometers (km) rural roads in the state of Chhattisgarh, 2,443.60 km rural roads in the state of Madhya Pradesh, 1,509.9 km rural roads in the state of Orissa, and 443.49 km rural roads in the state of West Bengal that are part of the Government of India's rural roads program - Pradhan Mantri Gram Sadak Yojana (PMGSY) meaning Prime Minister's Rural Roads Program. It is expected that the proposed investment will bring about the outcome of reduced poverty and deprivation, and economic growth of rural communities in the vicinity of the subproject roads by providing them with enhanced access to markets; employment opportunities; and social services including health and education.

Project Rationale and Linkage to Country/Regional Strategy

Poor road infrastructure affects economic growth in rural areas. It impacts negatively on domestic and local trade, on the final cost of goods, competition and competitiveness, logistics in general, movement of people, inward investment opportunities, and ultimately on employment. Poor road connectivity has a strong link to poverty. Past neglect of the rural road network has cut off rural communities from mainstream economic centers in the country and even locally. Poor road connectivity has resulted in slow development, and in some cases a faster than needed exodus of young people to cities. The Government is trying to redress this problem under PMGSY, Assam, Orissa, and West Bengal, which are first targeted under the Investment Program, are among the 10 states with large rural populations that lack adequate coverage in terms of all-weather road connectivity. The poverty head count rates in these states are among the highest in India.

Development Impact

Contribute to reduction in poverty and deprivation, and support economic growth of the communities connected by Investment Program roads.

Project Outcome

Description of Outcome
Improved connectivity of rural community to markets, district headquarters, and other centers of economic activity via Investment Program roads
Progress Towards Outcome
As of 30 June 2014, a total of 1,487 habitations have been connected with breakdown as follows: i) Orissa - 347; ii) Madhya Pradesh - 825; iii) West Bengal - 164, and iv) Chattisgarh - 151.

Outputs and Implementation Progress

Description of Project Outputs
Construction and upgrading of rural roads into all- weather standard Improved community participation
Status of Implementation Progress (Outputs, Activities, and Issues)
As of 31 Dec 2013, 3,829.81 km completed with breakdown as follows: Chhattisgarh - 200.86 km, Orissa - 1,137.87 km, Madhya Pradesh - 2,150.00 km, and West Bengal - 341.08 km. Target is fully achieved.
Status of Development Objectives
Material Changes

Business Opportunities

Date of First Listing 2010 Nov 03
Consulting Services
The Project has no provision for financing consulting services. The services of TSC will continue to be financed under Project 4 loan proceeds and will include conducting safeguard due diligence, impact monitoring, preparation of project completion reports and other services for all projects under the MFF according to the terms of reference.
Procurement
Under the advance contracting and retroactive financing provisions of the Facility Financing Agreement, Madhya Pradesh started advance procurement action under proposed Project 5 in November 2009 and by March 2010 subcontracts amounting to more than $58 million were awarded. Orissa started advance procurement action in February 2009, and by March 2010 subcontracts amounting to mover than $70 million were awarded packages exceeded more than $17 million. Procurement of civil works followed national competitive bidding procedure using the PMGSY standard bidding documents and procedures with the agreed ADB-financing specific adjustments in the areas of eligibility, anticorruption, social and environmental safeguards.
Procurement and Consulting Notices
http://www.adb.org/projects/37066-063/business-opportunities

Timetable

Concept Clearance
Fact-finding
Management Review Meeting 06 Mar 2010
Approval 06 Jul 2010
Last Review Mission

Milestones

Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 2651 06 Jul 2010 02 Aug 2010 29 Oct 2010 30 Jun 2013 30 Jun 2014

Utilization

Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
25 Jul 2014 Loan 2651 201,228 0 99.00%
Cumulative Disbursements
25 Jul 2014 Loan 2651 184,377 0 90.00%

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 2651 Satisfactory Satisfactory Satisfactory Satisfactory Satisfactory

Contacts and Update Details

Responsible ADB Officer Oleg Tonkonojenkov (otonkonojenkov@adb.org)
Responsible ADB Department South Asia Department
Responsible ADB Divisions India Resident Mission
Executing Agencies Ministry of Rural Development
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Links

Project Website http://www.adb.org/projects/37066-063/main
List of Project Documents http://www.adb.org/projects/37066-063/documents