Bangladesh: Third Urban Governance and Infrastructure Improvement (Sector) Project

Sovereign Project | 39295-013

Summary

ADB is helping Bangladesh improve municipal services under an urban governance action program. The project, which is part of the program, will provide assistance to 30 pourahsavas or municipalities with a total population of 2.2 million, including 20 towns. The loan funds will be used to upgrade infrastructure and services, including roads and water and sanitation, and strengthen governance.

Latest Project Documents

Consulting Notices

See also: CMS

No notices are currently available for this project.

Procurement Notices

See also: Operational Procurement

Procurement Documents


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.

The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

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.

Project Name Third Urban Governance and Infrastructure Improvement (Sector) Project
Project Number 39295-013
Country Bangladesh
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 8285-BAN: Third Urban Governance and Infrastructure Improvement (Sector) Project
OPEC Fund for International Development US$ 40.00 million
Loan 3142-BAN: Third Urban Governance and Infrastructure Improvement (Sector) Project
Asian Development Fund US$ 125.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Partnerships
Sector / Subsector

Transport - Urban roads and traffic management

Water and other urban infrastructure and services - Other urban services - Urban flood protection - Urban policy, institutional and capacity development - Urban sanitation - Urban slum development - Urban solid waste management

Gender Equity and Mainstreaming Gender equity
Description

The project will strengthen urban governance and improve urban infrastructure and service delivery in 30 pourashavas (municipalities) in Bangladesh. Building upon the successful

implementation of earlier phases, the project will provide investment funds to pourashavas based on their governance performance. The project will develop towns with high growth

potential in an integrated and holistic way both in terms of governance and infrastructure with an aim at making them model towns of the country. In addition to the focused interventions to these towns, the project will roll out application of governance performance criteria linked with fund allocation to all class-A pourashavas in the country.

Project Rationale and Linkage to Country/Regional Strategy

Urbanization. Rapid urbanization is widening the deficit in infrastructure and services. Although the urban poverty was reduced to 21.3% in 2010, many of the urban poor live in substandard housing conditions and poor infrastructure often in disaster-prone areas.

Urban governance. Pourashavas were characterized by inadequate governance and lack of community participation in the planning, implementation, and management of projects

and programs. There were limited incentives to improve governance in such areas as accountability and transparency, promotion of gender equity, poverty reduction, and financial

management and sustainability. However, with the introduction of a performance-based fund allocation strategy through the urban governance improvement action program (UGIAP) in the Urban Governance and Infrastructure Improvement (Sector) Project (UGIIP) funded by ADB, pourashavas supported under the UGIIP significantly improved their governance.

Urban infrastructure. Pourashavas are struggling to provide their citizens with key services including drinking water supply and sanitation, roads, solid waste management,

drainage systems, and other municipal services such as kitchen markets, street lights, and bus terminals. Although improvements are being made through earlier projects, including the UGIIP, most pourashavas still need significant investment support to improve their service delivery.

Model towns development. The government thus prioritizes (i) improving city governance, (ii) promoting balanced development of urban centers, and (iii) urban resource mobilization in its Sixth Five Year Plan (2011-2015). In line with this policy direction, the project will support 30 pourashavas selected on the basis of (i) population, (ii) population growth between 2001 and 2011, (iii) municipal own-source revenue target, and (iv) population density, with a priority on district headquarter towns (DHTs).

The project is fully consistent with ADB's urban operational plan and Bangladesh country partnership strategy (CPS). The project will address inclusiveness, environmental sustainability, and competitiveness, the three pillars of the urban operational plan. Urban sector is one of the six priority sectors in the CPS, and the project will also address key thematic drivers of the CPS including good governance and capacity development, and gender equity.

Impact Improved living environment in project towns.
Project Outcome
Description of Outcome Improved municipal service delivery and urban governance in project towns
Progress Toward Outcome To be assessed later. Loan became effective on 4 November 2014.
Implementation Progress
Description of Project Outputs

1. Municipal infrastructure improved and made gender and climate responsive

2. Improved capacity of pourashavas in urban service delivery, planning, and financial management

3. Project management and administration system in place

Status of Implementation Progress (Outputs, Activities, and Issues) Contracts are being finalized for the two consulting services, i.e., (i) Management, Design and Supervision (MDS); and (ii) Governance Improvement and Capacity Development (GICD) consultants. Various individual consultants for Project Benefit Monitoring and Evaluation, Project Performance Monitoring and Evaluation, and Project Gender Development and Poverty Alleviation are currently being recruited. ADB has approved the master bid documents for NCB-Small Works and ICB-Goods, and several procurement process has commenced.
Geographical Location
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects

The project is classified as category B for environmental safeguards. Five draft initial environmental examinations were prepared for representative infrastructure investments including water supply, solid waste management, markets, roads,

and drainage in accordance with ADB's Safeguard Policy Statement (SPS, 2009) and government laws. Subprojects are located outside sensitive and protected areas, and any construction impacts will be mitigated through implementation of environmental management plans included in contract documents. Significant environmental impacts are not foreseen in

future subprojects, which will be guided by environmental subproject selection criteria outlined in the Environmental Assessment and Review Framework, and monitored as part of the semiannual safeguards monitoring report. Environmental safeguard implementation capacity of the executing agencies is sufficient from past UGIIP projects, and will be supported by consultants for carrying out environmental-related tasks.

Involuntary Resettlement

The project is categorized as B for involuntary resettlement. No permanent land acquisition or physical displacement is identified from three sample towns. The involuntary resettlement impacts identified for phase 1 of the sample towns are mostly from the road and drainage subprojects. Main impacts come from 73 semi-permanent and permanent structures most of which are shops or business stalls. Among 71 shop owners whose livelihood will be affected by the subprojects, one will have to move out permanently from the current location and remaining 70 will only experience temporary relocation. Three draft resettlement plans were prepared in consultation with the affected people to mitigate the impacts. The draft

resettlement plans will be updated and finalized during detailed engineering design of subprojects. Resettlement framework was prepared to provide guidance for other subprojects or in the event of unidentified involuntary resettlement impacts during project implementation period.

Indigenous Peoples The project is categorized as C for Indigenous People impacts in the three sample towns. Indigenous People Planning Framework (IPPF) was prepared to provide guidance and appropriate mitigation measures to the ethnic minority (Adivasi) that may be located in other towns if their livelihood and dignity are affected by the project activities. A stand-alone Indigenous People Plan document will be prepared following the IPPF when the impacts are significant; or else they can be incorporated into resettlement plans as specific actions for the affected community/peoples.
Stakeholder Communication, Participation, and Consultation
During Project Design Through the participation of the poor and women in Municipal decision-making forums, such as the town-level coordination committee (TLCC), ward-level coordination committee (WLCC), Poverty Reduction and Slum Improvement Standing Committee (PR&SI), Women and Children (W&C) Affairs Standing Committee, the project will open a critical window of opportunities for the poor and women to raise their voices. Through a provision of project fund to slum improvement (SI) activities, footpaths, streetlights, toilets, tube wells, and dustbins will be supported and directly benefit the poor and women in the project area. Women friendly infrastructure will promote greater mobility for women. Project generated infrastructure work including construction will benefit the poor and vulnerable by providing short-term employment opportunities. Improved municipal services, e.g., health service, immunization activities, and water supply, will benefit poor and women.
During Project Implementation Pourashavas are the implementing units of the project and TLCC is a consultative forum of Pourashava decision-making. Adequate participation of civil society in project implementation will be ensured through TLCCs, WLCCs and inclusion in other committees. Focus Group Discussions (FGDs) and courtyard meetings will be conducted as part of awareness.
Business Opportunities
Consulting Services Consulting services will be engaged using ADB's Guidelines on the Use of Consultants (2013, as amended from time to time).
Procurement All procurement of goods and civil works will follow ADB's Procurement Guidelines (2013, as amended from time to time). National competitive bidding will follow the government's Public Procurement Act, 2006 and Public Procurement Rules, 2008, with modifications and/or clarifications agreed between the government and ADB, as set out in the procurement plan. Since ADB administers cofinancing resources for operations financed by Asian Development Fund resources, universal procurement will apply.
Responsible ADB Officer Norio Saito
Responsible ADB Department South Asia Department
Responsible ADB Division Urban Development and Water Division, SARD
Executing Agencies
Local Government Engineering DepartmentSSWRDSP@LGED.ORGLGED Bhaban (Level 6), Agargaon
Sher-e-Bangla Nagar,
Dhaka 1207, Bangladesh
Department of Public Health EngineeringDPHE Bhaban, 14 Shaheed Captain Mansur
Ali Sarani, Kakrail
Dhaka, Bangladesh
Timetable
Concept Clearance 15 Mar 2013
Fact Finding 01 Apr 2014 to 10 Apr 2014
MRM 12 May 2014
Approval 17 Jul 2014
Last Review Mission -
Last PDS Update 05 Mar 2015

Loan 3142-BAN

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
17 Jul 2014 27 Aug 2014 04 Nov 2014 31 Dec 2020 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 196.00 Cumulative Contract Awards
ADB 125.00 17 Jul 2014 19.29 0.00 17%
Counterpart 71.00 Cumulative Disbursements
Cofinancing 0.00 17 Jul 2014 5.73 0.00 5%

Loan 8285-BAN

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Jun 2014 05 Feb 2015 09 Apr 2015 31 Dec 2020 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 40.00 Cumulative Contract Awards
ADB 0.00 10 Jun 2014 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 40.00 10 Jun 2014 0.00 0.00 0%

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Third Urban Governance and Infrastructure Improvement (Sector) Project - Rajbari Drainage Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project: Charghat Roads Subproject (Phase 1) - Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Kishoreganj Drainage Subproject: Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Rajbari Roads Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project: Muktagacha Drains Subproject (Phase 1) - Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Kishoreganj Road Subproject: Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Sherpur Drainage Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project: Muktagacha Roads Subproject (Phase 1) - Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Netrokona Drainage Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Sherpur Roads Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Bera Drainage Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Netrokona Roads Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project: Charghat Drains Subproject (Phase 1) - Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Bera Roads Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Jul 2015
Third Urban Governance and Infrastructure Improvement (Sector) Project - Magura Drainage Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Nov 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project - Magura Roads Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Nov 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project - Naogaon Roads Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Nov 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project - Lalmonirhat Drainage Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Nov 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project - Lalmonirhat Roads Subproject (Phase 1): Initial Environmental Examination Initial Environmental Examination Nov 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Magura Solid Waste Management Subproject Initial Environmental Examination May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Lalmonirhat Water Supply Subproject Initial Environmental Examination May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Naogaon Drainage Subproject (Phase 1) Initial Environmental Examination May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Magura Kitchen Market Subproject Initial Environmental Examination May 2014
Third Urban Governance and Infrastructure Improvement Project Environmental Assessment and Review Framework May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Lalmonirhat Roads Subproject (Phase 1) Initial Environmental Examination May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Naogaon Pourashava Phase 1 Resettlement Plans May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project Resettlement Frameworks May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Lalmonirhat Pourashava Phase 1 Resettlement Plans May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project Indigenous Peoples Planning Frameworks/Indigenous Peoples Development Frameworks May 2014
Third Urban Governance and Infrastructure Improvement (Sector) Project: Magura Pourashava Phase 1 Resettlement Plans May 2014

Evaluation Documents

See also: Independent Evaluation

No documents found.


The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.