Georgia: MFF - Road Corridor Investment Program

Sovereign Project | 41122-013 Status: Active


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Procurement Documents

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Project Name MFF - Road Corridor Investment Program
Project Number 41122-013
Country Georgia
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
MFF Facility Concept 0034-GEO: MFF - Road Corridor Investment Program
Ordinary capital resources US$ 381.20 million
Asian Development Fund US$ 118.80 million
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Governance and capacity development
Private sector development
Sector / Subsector

Transport - Road transport (non-urban)

Gender Equity and Mainstreaming Some gender elements
Project Rationale and Linkage to Country/Regional Strategy

Project Outcome

Description of Outcome
Progress Toward Outcome Outcome linked to the Kobuleti bypass (Tranches 1 and 3 (Loans 2560 and 2843-GEO) will be measured at completion of the civil works. The Batumi bypass (Tranche 2, Loan 2716 of the MFF) was cancelled on 25 November 2011.
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)

ADB financing will construct about 30 km and several other donors have already financed or are currently financing the construction of about 150 km. These will be completed by 2020. Civil works financed under Loans 2560 (Tranche 1) and 2843 (additional financing, Tranche 3) are ongoing. Lot 1 contract (km 0 to 12.4 and km 30 to 33) and three access roads added to the scope of the project in April 2014 are now open to traffic and serving their functions better than expected. These outputs were two major milestones of the project. About 61% of the civil works under the Lot 2 contract (km 12.4 to km 31.2) have been completed as of February 2016. The project is behind schedule due to delays in land acquisition. Expropriation of the remaining land is expected to be resolved soon.

Capacity development is on-going and safety improvements to the Kobuleti bypass are planned for 2016.

Geographical Location

Safeguard Categories

Environment A
Involuntary Resettlement
Indigenous Peoples C

Summary of Environmental and Social Aspects

Environmental Aspects An environmental assessment and review framework was prepared to provide a basis for preparing the EIA for the first and second tranche projects, and for subsequent tranches. The summary EIA was circulated to the Board and publicly disclosed through the ADB website on 29 May 2009.
Involuntary Resettlement LARP will be finalized for each construction package under phased construction.
Indigenous Peoples The investment program will primarily affect Georgians, who make up almost 93% of the population. Other ethnic groups in the project area mostly Armenian, Azeri, and Russian are insignificant in number. These groups have been fully integrated into institutional, cultural, and economic processes in the country, and do not display sufficient features to be classified as indigenous peoples according to the ADB definition.
Stakeholder Communication, Participation, and Consultation
During Project Design Two types of consultations were conducted, (a) stakeholder consultation, and (b) public consultation. Stakeholder consultations were performed mainly with selected individuals and organizations with professional expertise in assessing various impacts of road projects at the national and provincial levels. The public consultations were conducted in Batumi with various stakeholders including the representatives from the affected community. The consultation involved a wide range of participants representing affected people, community leaders, civil society, NGOs, environmental professionals, and central and regional government officials. The stakeholder consultations were held in Tbilisi and Batumi in March, April and June 2009. The objective was to share information on the project and obtain feedback on its design.
During Project Implementation Stakeholder participation and consultation will continue during implementation phase of the Program and under each tranche. The terms of reference of supervision consultants require regular stakeholders and public consultations. RD will work with local governments to conduct stakeholders and public consultations.

Business Opportunities

Consulting Services

Consulting services will be required for capacity development, road safety improvement, and project implementation. Key tasks include (i) detailed design, (ii) construction supervision, (iii) monitoring of project performance and reporting, (iv) road safety training, amendment of road safety regulations, and development of intelligence traffic system standards, and (iv) capacity development of Roads Department. The consulting services will be financed from ADB loans. Roads Department will select and engage the consultants following ADB's Guidelines on the Use of Consultants (2007, as amended from time to time) using the quality-based selection method for detailed design and supervision consultants and the quality- and cost-based selection method (80:20) for capacity development and road safety improvement consultants.

Project 1 will require a total of 1,330 person-months (230 international and 1,100 national) of services from consulting firms. This comprises (i) 1,056 person-months (164 international and 892 national) for detailed design of Project 1 and Project 2, construction supervision, and project monitoring and evaluation; (ii) 31 person-months (11 international and 20 national) for road safety; and (iii) 243 person-months (55 international and 188 national) for RD's capacity development.

For Project 2, consulting services will be required for (i) construction supervision, (ii) feasibility study and detailed design for Project 3, and (iii) cross-border facilitation.

Additional consulting services, if necessary, will be procured under subsequent projects. The consulting services will be financed from ADB loans.

Procurement Procurement will be carried out following ADB's Procurement Guidelines. International competitive bidding procedures will be followed for contracts with an amount above $1 million for civil works and $500,000 for goods. The upper limit for a civil works contract through national competitive bidding procedures will be set at $1 million. National competitive bidding will be conducted under Georgia's legislation on state procurement, subject to modification and clarification set forth in the procurement plan.

Responsible Staff

Responsible ADB Officer Dong-Soo Pyo
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Transport and Communications Division, CWRD
Executing Agencies
Road Department-Ministry of Regional Development and Infrastructure
Irakli Litanishvili
12 Khazbegi Str. 0160 Tbilisi Georgia


Concept Clearance 29 May 2009
Fact Finding 01 Jun 2009 to 12 Jun 2009
MRM 07 Jul 2009
Approval -
Last Review Mission -
PDS Creation Date 28 Jan 2009
Last PDS Update 31 Mar 2016

MFF Facility Concept 0034-GEO

Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2,333.00 Cumulative Contract Awards
ADB 500.00 - 0.00 0.00 %
Counterpart 1,833.00 Cumulative Disbursements
Cofinancing 0.00 - 0.00 0.00 %

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.

Title Document Type Document Date
MFF 0034 - Subregional Road Corridors Development Program (Updated) Environmental Assessment and Review Framework Dec 2011
Subregional Road Corridors Development Program Environmental Impact Assessments Aug 2009
Subregional Road Corridors Development Program Summary Environmental Impact Assessments May 2009

Evaluation Documents See also: Independent Evaluation

Title Document Type Document Date
Georgia: Road Corridor Investment Program–Tranche 2 Validations of Project Completion Reports Sep 2015

Related Publications

None currently available.

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