Azerbaijan: MFF-Road Network Development Program

Sovereign Project | 39176-013

Summary

The objective of the Road Network Investment Program is to develop an adequate, efficient, safe, and sustainable road network in Azerbaijan, linking the country domestically and internationally.

The Investment Program comprises both investment and non-investment components. The investment component will construct, upgrade, and rehabilitate approximately 9,500 km of 124 priority roads, comprising 3,570 km of 64 state roads and 5,928 km of 58 secondary roads. The non-investment component will focus on priority reforms, including the development of regulations and operational procedures; encouragement of private sector participation in building and maintenance; and capacity building for planning, monitoring, evaluation, and reporting.

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Consulting Notices

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Procurement Documents

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Project Name MFF-Road Network Development Program
Project Number 39176-013
Country Azerbaijan
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
MFF Facility Concept 0014-AZE: MFF-Road Network Development Program
Ordinary capital resources US$ 490.00 million
Asian Development Fund US$ 10.00 million
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Governance and capacity development
Sector / Subsector Transport - Road transport (non-urban)
Gender Equity and Mainstreaming Some gender elements
Description

The objective of the Road Network Investment Program is to develop an adequate, efficient, safe, and sustainable road network in Azerbaijan, linking the country domestically and internationally.

The Investment Program comprises both investment and non-investment components. The investment component will construct, upgrade, and rehabilitate approximately 9,500 km of 124 priority roads, comprising 3,570 km of 64 state roads and 5,928 km of 58 secondary roads. The non-investment component will focus on priority reforms, including the development of regulations and operational procedures; encouragement of private sector participation in building and maintenance; and capacity building for planning, monitoring, evaluation, and reporting.

Project Rationale and Linkage to Country/Regional Strategy The Investment Program belongs to one of the strategically selected areas for ADB assistance in Azerbaijan and is in line with the poverty reduction strategy outlined in the State Program on Poverty Reduction and Economic Development that include, among others, improvement of road infrastructure.
Impact Sustained economic development in Azerbaijan and its cooperation with neighboring countries
Project Outcome
Description of Outcome An adequate, efficient, safe, and sustainable road network in Azerbaijan, connecting the country domestically and internationally
Progress Toward Outcome To be determined at completion.
Implementation Progress
Description of Project Outputs

A 4-lane expressway between Masalli and Astara on the southern corridor built, with access roads rehabilitated (Project 1)

A 2-lane road between Ganja and Qazakh on the east-west corridor upgraded to a 4-lane expressway (Project 2)

Road network management capacity strengthened (throughout the MFF)

Status of Implementation Progress (Outputs, Activities, and Issues)

Three out of four tranches approved under the MFF are still under implementation. Project 2 (Loan 2433-AZE) was closed in April 2013.

Civil works progress for Sections A (under Loan 2354-AZE), B and C (under Loan 2831-AZE) of the Masalli-Astara road is low, but progressing steadily. An action plan was agreed upon with the contractor, consultant, and PIU/ARS to accelerate the works for all sections to ensure completion by the loan closing date.

Project 4 (Loan 3116-AZE) was approved in March 2014 and became effective in September 2014. Procurement and recruitment activities are at an advance stage.

Geographical Location Azerbaijan
Safeguard Categories
Environment A
Involuntary Resettlement A
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects A
Involuntary Resettlement A
Indigenous Peoples C
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation Regular consultations with people along the corridor has been done on the implementation of LARP and EMP, for all tranches.
Business Opportunities
Consulting Services Consulting services wil be required for capacity development and project implementation support. Key tasks include (i) construction supervision, (ii) monitoring of project performance, (iii) preparation of subsequent projects, and (iv) capacity development. The capacity development component will involve the establishment of a management unit comprising long-term and short-term advisors. Project 1 will require a total of 661 person-months (151international and 510 nationa) of services from consulting firms. It comprises (i) 543 person-months (95 international and 510 national) for detailed design, construction supervision, and monitoring and evaluation for Project 1, and preparation of Project 2; (ii) 70 person-months (30 international and 40 national) for strengthening the database for secondary roads; (iii) 24 person-months (6 international and 18 national) for developing legal and regulatory frameworks and operational procedures for toll roads; and (iv) 24 person-months (10 international and 14 national) for capacity development of the national consulting industry. Additional consulting services, if necessary, will be procured under subsequent projects.
Procurement ADB-finance goods and services will be procured according to ADB's Guidelines for Procurement (2013, as amended from time to time). International competitive bidding procedures will be followed for contracts with an amount of at least $5 million for civil works, and at least $1 million for goods. The upper limit for a civil works contract to be procured through national competitive bidding procedures will initially be set at $5 million equivalent, and will be reviewed during implementation. Supply contracts with an amount of less than $ million will be procured through shopping procedures.
Responsible ADB Officer Zheng Wu
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Transport and Communications Division, CWRD
Executing Agencies
AzerRoadService Open Joint-Stock CompanyMr.Javid Gurbanov, Chairmansilkway@online.azMinistry of Transport 72/4 Uzeyir Hajbeyov Street Baku, AZ1010 Republic of Azerbaijan
Timetable
Concept Clearance 08 Nov 2007
Fact Finding 08 Nov 2006 to 22 Nov 2006
MRM 22 Jun 2007
Approval 28 Sep 2007
Last Review Mission -
PDS Creation Date 03 Apr 2006
Last PDS Update 17 Mar 2015

MFF Facility Concept 0014-AZE

Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 500.00 Cumulative Contract Awards
ADB 500.00 - 0.00 0.00 %
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 - 0.00 0.00 %

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Road Network Development Program Resettlement Plans Jun 2007
Road Network Development Program: Resettlement Framework Resettlement Frameworks Jun 2007

Evaluation Documents

See also: Independent Evaluation

No documents found.


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