Nepal: Preparing the Secondary Towns Integrated Urban Environmental Improvement Project

Sovereign Project | 36188-012 Status: Closed

Summary

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Project Name Preparing the Secondary Towns Integrated Urban Environmental Improvement Project
Project Number 36188-012
Country Nepal
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 7182-NEP: Preparing the Secondary Towns Integrated Urban Environmental Improvement Project
Japan Special Fund US$ 700,000.00
Water Financing Partnership Facility - Multi Donor US$ 146,000.00
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Sector / Subsector

Water and other urban infrastructure and services - Urban policy, institutional and capacity development

Gender Equity and Mainstreaming
Description tbd
Project Rationale and Linkage to Country/Regional Strategy

The rapid urban population growth, coupled with the Government?s inability to keep pace with the demand for infrastructure and services has led to a series of urban environmental concerns in the secondary towns and constraining the economic growth of Nepal. Urban sector economy plays a key role for providing services and employment opportunities to the rural hinterland.

Nepal?s Country Strategy and Program (CSP) (2005-2009) promotes investments to meet the urgent need for safe water supply and sanitation services in urban areas observing rapid urbanization, aiming to foster inclusive social development. Nepal is ranked 142nd out of 177 countries in terms of human development index shown in the Human Development Report 2007/2008, which clearly warrants further needs of social development. Although proportion of population with access to clean drinking water is reported at rather high 76.6% in 2006 by the Government, figures substantially vary depending on the source, and water supply is still considered insufficient in both volume and quality even in Kathmandu, the capital. Situation for sanitation and solid waste management is even worse, thus necessitating urgent intervention in these sub-sectors. Investments in these sub-sectors in selected secondary towns, catching up with the rapid and haphazard urbanization, are essential for providing clean and developed urban environment in line with the National Urban Policy (NUP) 2007. Moreover, the CSP and NUP address the need to strengthen rural-urban connectivity for promoting broad-based economic growth. Therefore, other urban infrastructure, such as improvement of road network, bus terminals and markets, would play an important role in enhancing rural-urban links.

These approaches are still valid and confirmed in Nepal Country Operations Business Plan (2008-2010) and the latest Country Programming Mission conducted in April 2008, though the political and security context in Nepal has changed since the preparation of the CSP. The proposed project preparatory technical assistance (PPTA) and ensuing Project intends to support the Government for an inclusive social development and broad-based economic growth through provision of environmental and other urban infrastructure in selected secondary towns by taking an integrated approach. The Project will build on the lessons learned under the on-going Urban and Environmental Improvement Project (Loan 1966-NEP), in particular in terms of implementation framework and financial arrangement.

Impact Improved quality of life and higher economic growth in selected secondary towns in Nepal.

Project Outcome

Description of Outcome Project design and feasibility study that the borrower and ADB have agreed upon.
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

The PPTA plans to deliver the following two main outputs: (i) preparation of feasibility study; and (ii) formulation of appropriate institutional and implementation framework. The first component will strategically select three to five target secondary towns with high economic growth potential and urgent needs for urban environmental improvement and supplementary urban facilities in line with the relevant development policy and strategy, after carefully examining commitment, capacity and readiness of candidate secondary towns. Then, the work is carried out to identify sub-projects and prepare overall investment package, including safeguard reports. The investment package will cover provision of infrastructure for urban environmental improvement mainly for household services such as water supply, sanitation (wastewater treatment), drainage and solid waste management, and supplementary urban facilities such as urban road, bus terminals, city parks and markets, and may include seed money for land pooling. Moreover, economic activities such as cold storage facilities may be considered under the Public-Private Partnership (PPP). Social and poverty assessment will be undertaken and mechanisms for improving access to and quality of basic urban services for the poor will be assessed. The second component will include institutional assessment of central as well as local bodies, from technical, financial and managerial viewpoints. On the basis of review of current status and direction of decentralization/devolution, appropriate institutional and financial arrangements will be proposed, together with comprehensive capacity building programs. These two components will be implemented in tandem in a closely coordinated manner.

The PPTA will be implemented over a period of 8 months in two phases. The first phase of the PPTA will be executed in 3 months, when three to five target secondary towns will be determined. The second phase will be implemented over a period of 5 months for preparation of overall investment package and formulation of institutional and implementation framework.

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Nepal

Safeguard Categories

Environment B
Involuntary Resettlement
Indigenous Peoples

Summary of Environmental and Social Aspects

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design Discussions will be held with officials of relevant government ministries and departments, and development partners including NGOs actively engaged in urban environmental improvement.
During Project Implementation

Business Opportunities

Consulting Services 15 person-months of international consultants and 32 person-months of national consultants will be engaged from a firm using the simplified technical proposal procedures based on quality- and cost-based selection method, in accordance with ADB's Guidelines on the use of Consultants (2007, as amended from time to time).

Responsible Staff

Responsible ADB Officer Norio Saito
Responsible ADB Department South Asia Department
Responsible ADB Division Urban Development and Water Division, SARD
Executing Agencies
Ministry of Physical Infrastructure and Transport
Ashok Nath Uprety
Babar Mahal

Timetable

Concept Clearance 04 Jul 2008
Fact Finding 09 Jul 2008 to 16 Jul 2008
MRM -
Approval -
Last Review Mission -
PDS Creation Date 23 Jul 2008
Last PDS Update 02 Aug 2011

TA 7182-NEP

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
02 Dec 2008 29 Dec 2008 29 Dec 2008 31 Oct 2009 28 Feb 2011 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
700,000.00 146,000.00 149,000.00 0.00 0.00 0.00 995,000.00 02 Dec 2008 831,072.25
Title Document Type Document Date
Secondary Towns Integrated Urban Environmental Improvement Project: Roads and Lanes Consultants' Reports Jun 2010
Secondary Towns Integrated Urban Environmental Improvement Project: Major Environmental Issues Consultants' Reports Jun 2010
Secondary Towns Integrated Urban Environmental Improvement Project: Birgunj Survey Data Consultants' Reports Jun 2010
Secondary Towns Integrated Urban Environmental Improvement Project: Birgunj Social Safeguards Consultants' Reports Jun 2010
Secondary Towns Integrated Urban Environmental Improvement Project: Birgunj Initial Environmental Assessment Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Butwal Survey Data Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Main Report Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Biratnagar Survey Data Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Economic Analysis Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Butwal Initial Environmental Assessment Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Birgunj Social Safeguards Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Solid Waste Management Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Financial Assessment/Analysis Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Institutional Analysis Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Drainage and Sanitation Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Financial Assessment/Analysis Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Biratnagar Social Safeguards Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Butwal Water Supply Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Public Private Partnerships Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Solid Waste Management Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Biratnagar Initial Environmental Assessment Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Birgunj Survey Data Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Major Environmental Issues Consultants' Reports Nov 2008
Secondary Towns Integrated Urban Environmental Improvement Project: Poverty Reduction and Social Strategy Consultants' Reports Nov 2008

Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

None currently available.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


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