Armenia : North-South Road Corridor Investment Program - Tranche 2

Sovereign Project | 42145-033

Project 2 of the investment program will contribute to socioeconomic development in Armenia and expanded regional trade. The outcome will be an efficient, safe, and sustainable north-south road corridor, linking Armenia domestically and internationally. The project output will be an upgraded 44 km section between Ashtarak and Talin.

Flickr photos from the 42145-033: North-South Road Corridor Investment Program - Tranche 2 album.

Project Details

Project Name North-South Road Corridor Investment Program - Tranche 2
Project Number 42145-033
Country / Economy Armenia
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 2729-ARM: North-South Road Corridor Investment Program - Project 2
Ordinary capital resources US$ 170.00 million
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Private sector development
Sector / Subsector

Transport / Road transport (non-urban)

Gender Some gender elements
Description Project 2 of the investment program will contribute to socioeconomic development in Armenia and expanded regional trade. The outcome will be an efficient, safe, and sustainable north-south road corridor, linking Armenia domestically and internationally. The project output will be an upgraded 44 km section between Ashtarak and Talin.
Project Rationale and Linkage to Country/Regional Strategy The project will finance the reconstruction and widening of the Ashtarak-Talin road section of the North-South Road Corridor to 4 lanes as well as consulting services for construction supervision, project management and preparation of subsequent tranches. The transport corridor is vital because the Caucasus connect Central Asia to Europe and is a major transit route for crude oil and other exports from Central Asia.
Impact

Contribution to socioeconomic development in Armenia and expanded regional trade

Project Outcome
Description of Outcome

An efficient, safe, and sustainable north-south road corridor, linking Armenia domestically and internationally

Progress Toward Outcome Works are progressing on Tranche 2's Lot 1 and Lot 2. Works under Lot 1 can be completed within 2024, while Lot 2 works will be substantially completed with individual subsections opened to traffic in 2024.
Implementation Progress
Description of Project Outputs

An upgraded 35.2 km section between Ashtarak and Talin

Status of Implementation Progress (Outputs, Activities, and Issues) The remaining works on Tranche 2 have been split into two lots: (i) Lot 1: 8-km bypass section (km29+600 to km37+545); and (ii) Lot 2: 34-km remaining works to be completed on the original 34 km alignment (km37+545 to km71+435). For Lot 1, the contract was signed on 28 October 2022 and the Instruction to Commence was issued by the Engineer on 16 January 2023. Lot 1 contractual completion date is 16 July 2024. For Lot 2, contract was signed on 3 October 2023 and the Instruction to Commence was issued by the Engineer on 13 November 2023. Lot 2 contractual completion date is 13 May 2025.
Geographical Location Aragatsotni Marz, Ashtarak, Talin
Safeguard Categories
Environment A
Involuntary Resettlement A
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects

The project is classified as environment Category A. An environmental impact assessment (EIA) was prepared and posted on the ADB website on 7 August 2010. All recommendations of the EIA, including the environmental management plan (EMP) were incorporated in the bidding documents and consultants' contracts. The government and the project management consultant monitor the EMP implementation and prepare monitoring reports as required by ADB's Safeguard Policy Statement (SPS) 2009. The Agarak archaeological site's excavations revealed unique remains, important artifacts and structures and the government decided to bypass it through. A new 8km bypass was designed, and the changed route of the highway was discussed and agreed with the RA Ministry of Culture responsible authorities. A new EIA for the 8 km bypass road was developed and approved in 2019. ADB clearance on EIA studies has been obtained including 8km Agarak bypass. A positive conclusion from the RA Ministry of Environment was obtained as well. All contracts have been awarded with generic EMP cleared by ADB. Construction works at the 8-km Agarak bypass commenced in March 2023. SEMP was approved by Engineer and PIU in April 2023. Permissions for waste, sub-soil, excavation materials disposal sites and operations of batching/asphalt plants are included in the SEMP. In the 34km road section, SEMP was approved conditionally by the Engineer and PIU in December 2023.The semiannual environment monitoring report (SAEMR) covering Jan-Jun 2023 has been disclosed. The SAEMR for Jul-Dec 2023 will be due for submission by 30 Jan 2024.

Involuntary Resettlement The project is classified as involuntary resettlement Category A, as it will widen the existing right-of-way to approximately 30 meters and will thus have significant land acquisition and resettlement impact. The final land acquisition and resettlement plan (LARP) was approved in September 2012. LARP has been implemented and 3 subsection compliance reports were accepted by ADB in 2012, 2013 and 2014. The Ministry of Territorial Administration and Infrastructure (formerly Ministry of Transport, Communication and Information Technologies) and the project implementation unit, in cooperation with related government agencies, are responsible for LARP implementation. The grievance redress mechanism is in place. Phased access to the site was given to the contractor as and when the plots were acquired. The Revised Post-Project Impact Assessment Report was approved by ADB on 21 October 2016. Due to design changes to avoid identified archaeological sites, a Corrective Action Plan was prepared and implemented in March 2019. No construction works have been implemented without compensation paid and verified. The semiannual social monitoring report (SSMR) covering Jan-Jun 2023 has been disclosed. SSMR for Jul-Dec 2023 will be due for submission by 30 Jan 2024.
Indigenous Peoples The project is classified as Category C in terms of indigenous peoples. Project does not have an impact on indigenous peoples. The population in the project area consists of 99% Armenians; other nationalities such as Kurds and Russians have lived in the same area for a long time and have been integrated in the same economic and social structure.
Stakeholder Communication, Participation, and Consultation
During Project Design Consultation was carried out with all the stakeholders during the program preparation. Consultations were held at various levels such as the Armenian Roads Directorate, the Ministry of Transport and Communication (now Ministry of Territorial Administration and Infrastructure), the State Committee of Real Estate Cadastre, Municipality of Yerevan, Real World Real People (a nongovernment organization providing HIV/AIDS prevention and education services), and local communities to be directly affected by the Investment Program.
During Project Implementation The grievance redress mechanism (GRM) is functioning. All complaints are finding resolution under the GRM. The project implementation unit, the engineer, and the contractor have social development specialists in their teams and have periodic consultations. The views and concerns of all stakeholders are considered and addressed whenever necessary.
Business Opportunities
Consulting Services The project management consultant (engineering and design services) was recruited according to ADB's Guidelines on the Use of Consultants using single source selection. An external financial auditing firm was also recruited according to ADB's Guidelines on the Use of Consultants using least cost selection (LCS) method. Two firms for LARP Implementation and LARP Preparation were recruited using consultants qualification selection (CQS) method.
Procurement

The ADB-financed works were procured according to ADB's Procurement Guidelines. The civil works, comprising reconstruction and improvement of the M1 Ashtarak to Talin road from km 29+600 to km 71+500 (Section 1) were procured in April 2012 under one contract that also covers civil works financed from Tranche 1.

The remaining works on Tranche 2 were split in two lots: (i) remaining works to be completed on the original alignment (34-km road section 37+545-km 71+500); and (ii) the 8 km long bypass section with new alignment (section km 29+600-km 37+545). Both lots were procured through International Competitive Bidding (ICB).

Responsible ADB Officer Herz, Thomas
Responsible ADB Department Sectors Group
Responsible ADB Division Transport Sector Office (SG-TRA)
Executing Agencies
Ministry of Territorial Administration and Infrastructure
Ministry of Transport, Communication and Information Technologies
Timetable
Concept Clearance 14 Jul 2009
Fact Finding -
MRM -
Approval 21 Dec 2010
Last Review Mission -
PDS Creation Date 21 Apr 2010
Last PDS Update 22 Feb 2024

Loan 2729-ARM

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
21 Dec 2010 30 May 2011 18 Jul 2011 30 Jun 2015 31 Dec 2024 -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 210.00 Cumulative Contract Awards
ADB 170.00 14 Mar 2024 164.81 0.00 97%
Counterpart 40.00 Cumulative Disbursements
Cofinancing 0.00 14 Mar 2024 131.01 0.00 77%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating Satisfactory Satisfactory Satisfactory Satisfactory - Satisfactory

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 Access to Information Policy (AIP) 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.


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
North-South Road Corridor Investment Program - Tranche 2 (Ashtarak–Talin Section): Land Acquisition and Resettlement Plan Resettlement Plans Sep 2012
North-South Road Corridor Investment Program - Tranche 2: Agarak Historic-Cultural Reserve Road Section Bypass Land Acquisition and Resettlement Plan Addendum 2 Implementation Social Compliance Report Social Compliance Audit Report May 2022
North-South Road Corridor Investment Program - Tranche 2: Ashtarak-Talin road Environmental Impact Assessments Mar 2011
North-South Road Corridor Investment Program - Tranche 2: Ashtarak-Talin Road Land Acquisition and Corrective Action Plan Compliance Report Social Monitoring Reports Mar 2019
North-South Road Corridor Investment Program - Tranche 2: Ashtarak-Talin Section Social Monitoring Reports Mar 2013
North-South Road Corridor Investment Program - Tranche 2: Ashtarak–Talin Road for Utilities Relocation Addendum to Land Acquisition and Resettlement Plan Resettlement Plans Mar 2022
North-South Road Corridor Investment Program - Tranche 2: Ashtarak–Talin Section of M1 Highway Addendum to the Land Acquisition and Resettlement Plan Resettlement Plans May 2020
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (January-June 2019) Environmental Monitoring Reports Dec 2019
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (January-June 2020) Environmental Monitoring Reports Aug 2020
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (January-June 2021) Environmental Monitoring Reports Sep 2021
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (January-June 2022) Environmental Monitoring Reports Sep 2022
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (January-June 2023) Environmental Monitoring Reports Nov 2023
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (July-December 2019) Environmental Monitoring Reports Mar 2020
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (July-December 2020) Environmental Monitoring Reports Mar 2021
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (July-December 2021) Environmental Monitoring Reports Feb 2022
North-South Road Corridor Investment Program - Tranche 2: Environmental Monitoring Report (July-December 2022) Environmental Monitoring Reports Apr 2023
North-South Road Corridor Investment Program - Tranche 2: Final Compliance Report for Subsection 2 Social Monitoring Reports Jul 2013
North-South Road Corridor Investment Program - Tranche 2: Post-project LARP lmpact Assessment Report Social Monitoring Reports Sep 2016
North-South Road Corridor Investment Program - Tranche 2: Resettlement Framework Resettlement Frameworks Dec 2010
North-South Road Corridor Investment Program - Tranche 2: Resettlement Plan Resettlement Plans Dec 2010
North-South Road Corridor Investment Program - Tranche 2: Road Section Bypassing Agarak Historical-Cultural Preserve Addendum to the Land Acquisition and Resettlement Plan Resettlement Plans Jun 2021
North-South Road Corridor Investment Program - Tranche 2: Road Section of Yerevan-Gyumri-Bavra (Task 1) Environmental Impact Assessment Environmental Impact Assessments Jun 2019
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (January-June 2017) Social Monitoring Reports Dec 2018
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (January-June 2018) Social Monitoring Reports Dec 2018
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (January-June 2019) Social Monitoring Reports Dec 2019
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (January-June 2020) Social Monitoring Reports Mar 2021
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (January-June 2021) Social Monitoring Reports Nov 2021
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (January-June 2022) Social Monitoring Reports Oct 2022
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (January-June 2023) Social Monitoring Reports Dec 2023
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (July-December 2017) Social Monitoring Reports Dec 2018
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (July-December 2018) Social Monitoring Reports Oct 2019
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (July-December 2019) Social Monitoring Reports Dec 2020
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (July-December 2020) Social Monitoring Reports Apr 2021
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (July-December 2021) Social Monitoring Reports Apr 2022
North-South Road Corridor Investment Program - Tranche 2: Social Monitoring Report (July-December 2022) Social Monitoring Reports Apr 2023
North-South Road Corridor Investment Program - Tranche 2: Task 1 - Ashtarak-Talin Road Environmental Impact Assessment Environmental Impact Assessments Jul 2021
North-South Road Corridor Investment Program - Tranche 2: Utilities Relocation in Kosh and Shamiram (7 Km.) Land Acquisition and Resettlement Plan Addendum 1 Implementation Social Compliance Report Social Compliance Audit Report Jul 2022
North-South Road Corridor Investment Program - Tranches 1 and 2: Bi-annual Environmental Monitoring Report (January-June 2011) Environmental Monitoring Reports Oct 2011
North-South Road Corridor Investment Program - Tranches 1 and 2: Bi-annual Environmental Monitoring Report (January-June 2013) Environmental Monitoring Reports Aug 2013
North-South Road Corridor Investment Program - Tranches 1 and 2: Bi-annual Environmental Monitoring Report (July-December 2011) Environmental Monitoring Reports Nov 2012
North-South Road Corridor Investment Program - Tranches 1 and 2: Bi-annual Environmental Monitoring Report (July-December 2012) Environmental Monitoring Reports Feb 2013
North-South Road Corridor Investment Program - Tranches 1 and 2: Bi-annual Environmental Monitoring Report (July-December 2014) Environmental Monitoring Reports Jan 2015
North-South Road Corridor Investment Program - Tranches 1 and 2: Biannual Environmental Monitoring Report (January-June 2015) Environmental Monitoring Reports Jun 2015
North-South Road Corridor Investment Program - Tranches 1 and 2: Biannual Environmental Monitoring Report (January-June 2016) Environmental Monitoring Reports Jul 2016
North-South Road Corridor Investment Program - Tranches 1 and 2: Biannual Environmental Monitoring Report (January-June 2017) Environmental Monitoring Reports Nov 2017
North-South Road Corridor Investment Program - Tranches 1 and 2: Biannual Environmental Monitoring Report (July-December 2015) Environmental Monitoring Reports Feb 2016
North-South Road Corridor Investment Program - Tranches 1 and 2: Biannual Environmental Monitoring Report (July-December 2016) Environmental Monitoring Reports Jan 2017
North-South Road Corridor Investment Program - Tranches 1 and 2: Biannual Environmental Monitoring Report (July-December 2017) Environmental Monitoring Reports Dec 2017
North-South Road Corridor Investment Program - Tranches 1 and 2: Environmental Monitoring Report (January-June 2018) Environmental Monitoring Reports Dec 2018
North-South Road Corridor Investment Program - Tranches 1 and 2: Environmental Monitoring Report (July-December 2018) Environmental Monitoring Reports Apr 2019
North-South Road Corridor Investment Program - Tranches 1 and 2: Environmental Monitoring Report (July-December 2023) Environmental Monitoring Reports Mar 2024
North-South Road Corridor Investment Program - Tranches 1, 2 and 3: Bi-annual Environmental Monitoring Report (January-June 2012) Environmental Monitoring Reports Feb 2013
North-South Road Corridor Investment Program - Tranches 1, 2, and 3: Social Monitoring Report (January-June 2016) Social Monitoring Reports Aug 2016
North-South Road Corridor Investment Program - Tranches 2 and 3: Environmental Impact Assessment Environmental Impact Assessments Aug 2010
North-South Road Corridor Investment Program - Tranches 2 and 3: Social Monitoring Report (January-June 2015) Social Monitoring Reports Aug 2015
North-South Road Corridor Investment Program - Tranches 2 and 3: Social Monitoring Report (July-December 2015) Social Monitoring Reports Mar 2016
North-South Road Corridor Investment Program - Tranches 2 and 3: Social Monitoring Report (October 2013-December 2014) Social Monitoring Reports Dec 2014
North-South Road Corridor Investment Program, Tranche 2 - Final Compliance Report for Subsections 2 (Talin) and 3 (Agarak, Aghdzq, Ujan, and Kosh): Social Monitoring Report Social Monitoring Reports Oct 2014
North-South Road Corridor Investment Program, Tranches 1 and 2: Bi-annual Environmental Monitoring Report (January-June 2014) Environmental Monitoring Reports Jul 2014
North-South Road Corridor Investment Program, Tranches 1 and 2: Bi-annual Environmental Monitoring Report (July-December 2013) Environmental Monitoring Reports Jan 2014

Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

None currently available.


The Access to Information Policy (AIP) 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.

Tenders

Tender Title Type Status Posting Date Deadline
ADVISORY SERVICES FOR AUDIT Firm - Consulting Closed
ENVIRONMENTAL AND SOCIAL IMPACT ASSESSMENT FOR TRANCHE 2 KM 29+600-KM 37+600 SECTION Individual - Consulting Closed
L2729-ARM: North-South Road Corridor Investment Program [CW-ICB-T2-2021/1] Invitation for Bids Closed
L2729-ARM: North-South Road Corridor Investment Program [CW-ICB-T2-2022/2] Invitation for Bids Closed

Contracts Awarded

Contract Title Approval Number Contract Date Contractor | Address Executing Agency Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
Construction of about 34.0 km of highway M1 Yerevan-Gyumri-Bavra (from km 37+545 to km 71+435) Loan 2729 12 Oct 2023 Joint Venture Levantina, Ingenieria y Construccion, S.L. and Obras Publicas y Regadios, S.A. | 50 Khanjyan Str., Nork-Marash District, Yerevan, Armenia Ministry of Territorial Administration and Infrastructure 75,985,108.20 29,700,000.00
CONSTRUCTION SUPERVISION SERVICES FOR TRANCHE 2 Loan 2729 16 Mar 2021 J/V EGIS INTERNATIONAL AND KOCKS CONSULT GMBH | 15 AVENUE DU CENTRE CS 20538 GUYANCOURT 78286 SAINT-QUENTIN-EN-YVELINES CDEX FRANCE Ministry of Transport, Communication & Info Tech 3,777,680.00 3,148,067.00
DESIGN SERVICES FOR TRANCHE 2 Loan 2729 16 Mar 2021 J/V EGIS INTERNATIONAL AND KOCKS CONSULT GMBH | 15 AVENUE DU CENTRE CS 20538 GUYANCOURT 78286 SAINT-QUENTIN-EN-YVELINES CEDEX FRANCE Ministry of Transport, Communication & Info Tech 781,175.00 650,979.00
PREPARATION OF CAP/LARP ADDENDUM FOR NEW ALIGNMENT IN T2 & IMPLEMENTATION OF MEASUREMENT,ASSETS INVEN TORY & VALUATION FOR UTILITY RELOCATION IN T2 & Loan 2729 20 Nov 2018 UPTIME LLC | 1ST YEKMALYAN ST., YEREVAN ARMENIA, REPUBLIC OF Ministry of Transport, Communication & Info Tech 118,413.18 98,966.30
PREPARATION OF CAP/LARP ADDENDUM FOR NEW ALIGNMENT IN T2 & IMPLEMENTATION OF MEASUREMENT,ASSETS INVEN TORY & VALUATION FOR UTILITY RELOCATION IN T2 & Loan 2729 20 Nov 2018 UPTIME LLC | 1ST YEKMALYAN ST., YEREVAN ARMENIA, REPUBLIC OF Ministry of Transport, Communication & Info Tech 118,413.00 98,966.00
Reconstruction of about 8.0 km of Highway M1 Yerevan-Gyumri-Bavra, near Agarak community (from km 29+600 to km 37+545) Loan 2729 23 Nov 2022 JV A.A.B. Project LLC - M/s Dineshchandra R Agrawal Infracon Pvt. Ltd. | Armenia Ministry of Territorial Administration and Infra. 21,408,870.00 17,840,725.00
TECHNICAL EXPERT SERVICES FOR TRANCHES 2 AND 3 Loan 2729 24 Mar 2021 EVGUENI STARTSEV | LG HENRIQUE PINTO 11,4-DTO ALMADA, 2810-082 PORTUGAL Ministry of Transport, Communication & Info Tech 130,000.00 130,000.00
TECHNICAL EXPERT SERVICES FOR TRANCHES 2 AND 3 Loan 2729 29 Sep 2021 EVGUENI STARTSEV | LG HENRIQUE PINTO 11 4-DTO ALMADA 2810-082 PORTUGAL Ministry of Territorial Administration and Infrastructure 130,000.00 130,000.00

Procurement Plan

Title Document Type Document Date
North-South Road Corridor Investment Program - Tranche 2: Procurement Plan Procurement Plans Feb 2024