India: MFF - Rural Roads Sector II Investment Program (Facility Concept)

Sovereign Project | 37066-013

Summary

The Investment Program aims to reduce poverty and deprivation, and support economic growth of rural communities by providing them with enhanced access to markets, employment opportunities, and social services, including health and education. The objective will be attained by (i) providing rural habitations in Assam, Orissa and West Bengal with all-weather road connections; (ii) improving efficiency and sustainability of the Prime Minister's Rural Roads Program (PMGSY) implementation in the three states by providing support for capacity building in technical, safeguard, financial and road safety aspects.

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Project Name MFF - Rural Roads Sector II Investment Program (Facility Concept)
Project Number 37066-013
Country India
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
MFF Facility Concept 0001-IND: MFF - Rural Roads Sector II Investment Program (Facility Concept)
Ordinary capital resources US$ 750.00 million
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Sector / Subsector Transport - Road transport (non-urban)
Gender Equity and Mainstreaming Some gender elements
Description The Investment Program aims to reduce poverty and deprivation, and support economic growth of rural communities by providing them with enhanced access to markets, employment opportunities, and social services, including health and education. The objective will be attained by (i) providing rural habitations in Assam, Orissa and West Bengal with all-weather road connections; (ii) improving efficiency and sustainability of the Prime Minister's Rural Roads Program (PMGSY) implementation in the three states by providing support for capacity building in technical, safeguard, financial and road safety aspects.
Project Rationale and Linkage to Country/Regional Strategy

Poor road infrastructure affects economic growth in rural areas. Poor road connectivity has a strong link to poverty. The Government is tring to redress this problem under PMGSY.

The theme of ADB?s Country Strategy and Program (CSP) is mainstreaming poverty reduction. In line with the Government?s priorities for the Tenth Five-Year Plan 2002-2007, this is to be addressed primarily by supporting economic growth, including both high growth and equitable, pro-poor growth. The CSP points to emerging consensus over the importance of infrastructure in poverty reduction, through both its indirect impact on growth leading to increased incomes and employment, and its direct contributions to incomes and employment and reducing human poverty by improving access to social services. The CSP highlights that strong connectivity to link poor rural families to social services and markets is the organizing theme for the transport sector. In line with these thrusts, ADB has been providing assistance to the national rural roads program called Pradhan Mantri Gram Sadak Yojana (PMGSY, meaning ?Prime Minister?s rural roads program?). The first ADB assistance, the Rural Roads Sector I Project, was approved in November 2003 for $400 million to finance part of PMGSY investment in Chhattisgarh and Madhya Pradesh. The Rural Roads Sector II Investment Program will continue ADB?s support to the sector.

Impact
Project Outcome
Description of Outcome
Progress Toward Outcome
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location States of Assam, Orissa and West Bengal
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services

Consulting services will assist the EAs and the SRRDAs to implement the Investment Program. Government-financed PICs will be engaged in accordance with PMGSY procedures found acceptable to ADB and will assist the PIUs of the SRRDAs in (i) preparing additional subprojects; (ii) supervising civil works; (iii) implementing the CPF to address social impacts, if any; and (iv) implementing the EAF and the relevant provisions of the ECOP.

NRRDA wil engage ADB loan-financed Technical Support Consultant (TSC) to provide technical support to the SRRDAs in social and environmental safeguards, and road safety. The TSC will comprise a team of domestic experts who will (i) conduct checking of detailed project reports and random checks of roads under construction to ensure that road safety measures are properly incorporated; (ii) provide support to the PIUs in implementing road safety awareness-raising schemes being developed under the RRSI; (iii) check compliance of subprojects with CPF and EAF/ECOP provisions during subproject preparation and implementation; and (iv) conduct impact monitoring. For each individual state, the TSC will require 12 person-months of inputs for the first batch, and 11 person-months of inputs for subsequent batches. All consultants financed by the loans under the MFF will be selected and engaged in accordance with ADB's Guidelines on the Use of Consultants and other arrangements for recruitment of domestic consultants acceptable to ADB. The domestic consultants will be selected and engaged in accordance with procedures acceptable to ADB and the selection and engagement of the consultants will be subject to ADB approval with regard to their competence and experience for carrying out the assignment.

Procurement Procurement to be financed by the loans under the MFF will be carried out in accordance with ADB's Guidelines for Procurement. The upper limit for a civil works contract to be procured through local competitive bidding (LCB) procedures will be initially set at $10 million, and be reviewed during implementation. The PMGSY standard bidding documents and procedure developed by NRRDA for procurement of civil works based on item unit rates are found acceptable to ADB, and will be used for all LCB contracts by the loans under the MFF. The PMGSY bidding process follows the single-stage, two-envelope system in which each bidder simultaneously submits its technical and financial proposals in two separate envelopes, and only the financial proposals of technically qualified and responsive bidders will be opened and evaluated.
Responsible ADB Officer Ashok Srivastava
Responsible ADB Department South Asia Department
Responsible ADB Division India Resident Mission
Executing Agencies
Ministry of Rural DevelopmentH.K. Srivastava, Director (Projects-I), NRRDAhks@nic.inKrishi Bhawan New Delhi 110001 India
Timetable
Concept Clearance 26 Aug 2004
Fact Finding 18 Apr 2005 to 06 May 2005
MRM 11 Jul 2005
Approval 20 Dec 2005
Last Review Mission -
PDS Creation Date 24 Feb 2006
Last PDS Update 19 Oct 2008

MFF Facility Concept 0001-IND

Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2,100.00 Cumulative Contract Awards
ADB 750.00 - 0.00 0.00 %
Counterpart 1,350.00 Cumulative Disbursements
Cofinancing 0.00 - 0.00 0.00 %

Evaluation Documents

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