Nepal: Support to Local Governance and Community Development Program

Sovereign Project | 42158-012 Status: Closed

Summary

Objectives are varied including: (i) citizens and communicties empowered and actively engaged with local bodies and holding them accountable; (ii) improved capacity of local bodies to manage resources and deliver basic services inclusively and equitably; and (iii) strengthened policy and national institutional frameworks, including legal frameworks, for decentralization, devolution, and community development.

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Project Name Support to Local Governance and Community Development Program
Project Number 42158-012
Country Nepal
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 7352-NEP: Support to Local Governance and Community Development Program
Technical Assistance Special Fund US$ 550,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Sector / Subsector

Public sector management - Public administration

Gender Equity and Mainstreaming No gender elements
Description Objectives are varied including: (i) citizens and communicties empowered and actively engaged with local bodies and holding them accountable; (ii) improved capacity of local bodies to manage resources and deliver basic services inclusively and equitably; and (iii) strengthened policy and national institutional frameworks, including legal frameworks, for decentralization, devolution, and community development.
Project Rationale and Linkage to Country/Regional Strategy

? Year included in CPS/RCS/COBP/ROBP/CPS or RCS Midterm Review Report: 2008

? Reference number and date approved: Country Partnership Strategy (Midterm Review) 2005-2009; date approved: August 2008 (Appendix 3, page 38)

The proposed TA is closely linked with both with ADB's country strategy as well as with the Government of Nepal's (the Government) development strategy.

On the subject of PPPs, the Nepal Country Partnership Strategy (CPS) Midterm Review highlighted that ADB would continue to support PPPs in Nepal (albeit in larger and more complex projects, such as in energy and transport). Still, ADB's intention is to continue to highlight the advantages of bringing in the private sector in development and service delivery. The area of PPPs in local development may not be very well articulated in the CPS but the focus itself is very much evident in that document (as well as in the draft CPS currently being formulated).

Impact Effective support for the development objectives of the LGCDP, which focus on improved service delivery by local bodies

Project Outcome

Description of Outcome The primary outcome of the project is increased capacity of Ministry of Local Development (MLD) and of LBs (including selected municipalitis) to implement the LGCDP effectively.
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Output 1: PPP opportunities identified and suitable projects developed

Output 2: Corporate accounting system instituted in select municipalities

Output 3: Environmental and social safeguards framework for LGCDP operationalized

Output 4: procurement guidelines for LGCDP and for LBs developed and operationalized

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

Output 1: PPP opportunities identified and suitable projects developed:

Birgunj Municipality:

1. Mobile Toilets in two locations

Total Project Cost (per toilet) : NRs. 1,100,000.00

Approved Seed Grant: NRs. 1,100,000.00 (for two units)

Private Operator(s): LIDS (a local NGO) and Sunita Devi Sweepers Group

Agreements between municipality and private operators have been done and project is implemented.

2. Bio-Gas Plants Construction in 25 Namuna Awas Griha at Shanti Tole

Total Project Cost: NRs. 3,715,000.00

Approved Seed Grant: NRs. 500,000.00

Private Operator: Lumanti and local people.

Construction of bio-gas plant domes is complete. Wiring work for solar lighting is going on. Project will be completed very soon.

3. Solid Waste Management in Wards 10 and 15 New Project

Total Project Cost: NRs. 7,046,330.00

Approved Seed Grant: NRs. 1,662,000.00

Private Operator: Local Initiatives Development Support Programme (LIDS)

Contract between municipality and private operator is done and project is being implemented.

4. Management of Swimming Pool, Health Club

Private Operator: Kaniya Goyal

Lease period: 5 years

Lease amount: NRs. 377,777.77

The PO has invested in repair and maintenance of the pool and added additional features. The facility is open to the public from this summer. (No funding support from PPPUE)

5. Operation of Ghadiarwa Pond

Private Operator: Naresh Keshar Agrawal Tibrewala

Lease period: 5 years

Lease amount: NRs. 722,222.22

The Private Operator has completed maintenance work and facility is open to the public. (No funding support from PPPUE)

Butwal Municipality:

1. Community Composting at Ramnagar, Ward No:12

Total Project Cost: NRs. 1,053,752.00

Approved Seed Grant: NRs. 5,26,876.00

Private Operator: Ram Nagar Sudhar Committee

Construction of compost chambers (yard) is 70% completed.

2. One Mobile Toilet at Hospital Line, Traffic Chowk

Total Project Cost: NRs. 11,00,000.00

Approved Seed Grant: NRs. 550,000.00

Private Operator: Mani-Mukund Sen Park Conservation Committee selected as operator of mobile toilet.

3. Street Light Project New Project

Total Project Cost: NRs. 3,523,200.00

Approved Seed Grant: NRs. 1,338,816.00

Private Operator: Suryodaya Urja (P) Ltd. (Supplier and Private Operator)

Suryodaya Urja has brought all equipment street light poles, batteries, panels, etc. - to Butwal. Installation of poles has started and construction will be completed very soon.

Output 2: Corporate accounting system instituted in select municipalities:

Consultanting firm recruitment process has been started to develop Accrual Accounting System Software for Nepalese Municipalities.

Output 3: Environmental and social safeguards framework for LGCDP operationalized

" Social and Environment Safeguards Framework (SESF) designed and approved by the Ministry.

" Training Manual on SESF prepared.

" Operational Manual for implementation of safeguards measures prepared.

" Environment Checklist prepared and disseminated to local bodies for environmental screening of projects.

" Local Environmental Policy and related guidelines prepared.

" Comprehensive manual on development of environment friendly local infrastructures prepared.

" Sample Environment Management Plan (EMP) of local infrastructures which do not IEE/EIA study and falls into category C as per ADB Environmental Guidelines were prepared.

" Environmental Monitoring Checklist prepared.

" Budget was allocated for implementation of safeguards measures in Annual Strategic Implementation Plan (ASIP) of LGCDP.

" All DDCs and Municipalities carried out orientation on SESF to orientate VDC secretaries and DDC/DTO Officials.

Output 4: Procurement guidelines for LGCDP and for local bodies developed and operationalized.

- Draft Procurement Guidelines for Local Bodies has been prepared.

- Assessment of capacity development needs in procurement for LGCDP implementation is in process.

- Procurement Plans of LGCDP developed. Formats for procurement plan for Local Bodies Developed. Draft procurement Guidelines for local bodies prepared.

- Procurement Management trainings for officials of District Development Committees and Municipalities officials provided. 285 staffs of local bodies were trained on procurement management and preparation of procurement plan.

Geographical Location Selected local bodies throughout Nepal

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 required include: (i) 90 person-months of PPP focal point (five focal point experts for 18 months); (ii) 18 person-months of environment specialist, (iii) 18 person-months of procurement specialist, and (iv) 6 person-months of corporate accounting expert. These 132 person-months of national consulting services will be provided by individuals. Selection of the consultants will be done by ADB in consultation with the Ministry of Local Development in accordance with ADB's Guidelines on the Use of Consultants (2007, as amended form time to time). Procurement under Component 1 that is to be done through UNDP will be subject to UNDP Procurement Guidelines as approved by the ADB Board of the UNDP Procurement User Guide (February 2007).

Responsible Staff

Responsible ADB Officer Rachana Shrestha
Responsible ADB Department South Asia Department
Responsible ADB Division Nepal Resident Mission
Executing Agencies
Ministry of Local Development
Shree Mahal, Pulchowk
Lalitpur
Nepal

Timetable

Concept Clearance 20 Jul 2009
Fact Finding 30 Jul 2009 to 04 Aug 2009
MRM -
Approval -
Last Review Mission -
PDS Creation Date 27 Jul 2009
Last PDS Update 13 Jul 2011

TA 7352-NEP

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
22 Sep 2009 15 Nov 2009 15 Nov 2009 31 Mar 2011 30 Jun 2011 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
550,000.00 0.00 50,000.00 0.00 0.00 0.00 600,000.00 22 Sep 2009 213,855.25

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.

None currently available.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


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