China, People's Republic of: Yunnan Sustainable Road Maintenance (Sector) Project

Sovereign Project | 45030-002

Summary

Yunnan is a poor, densely populated province with a population of 46 million. Because it is landlocked and mountainous,trade with other provinces and foreign countries involves transportation over long distances, whcih makes its products less competitive. These are still large pockets of poverty because of inadequate road access, limited land availability for agriculture, and cultural barreirsto out-migration. In 2011, 27% of Yunnan's rural population was considered poor, using the PRC's official poverty line of CNY2,300 per year.

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Project Name Yunnan Sustainable Road Maintenance (Sector) Project
Project Number 45030-002
Country China, People's Republic of
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3074-PRC: Yunnan Sustainable Road Maintenance Project
Ordinary capital resources US$ 80.00 million
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Private sector development
Sector / Subsector Transport - Transport policies and institutional development
Gender Equity and Mainstreaming Some gender elements
Description

Yunnan is a poor, densely populated province with a population of 46 million. Because it is landlocked and mountainous,trade with other provinces and foreign countries involves transportation over long distances, whcih makes its products less competitive. These are still large pockets of poverty because of inadequate road access, limited land availability for agriculture, and cultural barreirsto out-migration. In 2011, 27% of Yunnan's rural population was considered poor, using the PRC's official poverty line of CNY2,300 per year.

Yunnan is strategically located along the PRC border with Lao People's Democratic Republic, Myanmar, and Viet Nam. About 60% of freight and 80% of passengers travel by road. The Yunnan Highway Administration Bureau (YHAB), under the Yunnan Provincial Department of Transport (YPDOT), manages a trunk road network of 24,089 km, which includes 45% of the province's paved roads. These roads form part of or connect with the Greater Mekong Subregion (GMS) Northern Economic Corridor and North-South Economic Corridors.

The project will improve the sustainability of Yunnan's trunk road network. It will (i) rehabilitate about 890 km of trunk roads, (ii) introduce performance-based road maintenance on a pilot bais on 164 km of trunk roads, (iii) set up a road asset management system, and (iv) implement an institutional development plan.

Project Rationale and Linkage to Country/Regional Strategy The government has asked ADB to support YHAB's trunk road maintenance program and assist in sector reform and insitutional strengthening. The proposed project represents a second phase of ADB support to road maintenance in Yunnan. By targeting a poor province and by advancing the agendas of road asset management and safety, the project is aligned with ADB's PRC country partnertship strategy and the Sustainable Transport Initiative.
Impact The people of Yunnan have improved access to a quality and safe trunk road network.
Project Outcome
Description of Outcome The sustainability of Yunnan's trunk road network improved.
Progress Toward Outcome --
Implementation Progress
Description of Project Outputs

1. Trunk roads rehabilitated

2. Performance-based road maintenance piloted

3. Road asset management system enhanced

4. Institutional capacity of YHAB strengthened

Status of Implementation Progress (Outputs, Activities, and Issues) Award of two civil works asphalt pavement and PMC consultant contracts completed. PMC has now mobilized.
Geographical Location
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects The project is category B for environment. A consolidated initial environmental examination and environmental management plan was prepared for the seven subprojects chosen for rehabilitation during phase 1 and the pilot testing of the two performance-based road maintenance modalities. These documents comply with the PRC's regulatory requirements and ADB's Safeguard Policy Statement (2009) and were disclosed on the ADB website on 25 April 2013. Two of the subprojects have been classified as category B, and the rest as category C. The works will be confined to the original right-of-way of existing national, provincial, and county roads. All identified environmental impacts will be mitigated through activities under the environmental management plan. An environmental assessment review framework has been prepared to guide the assessment of subprojects to be identified and carried out later under the project's three subsequent phases. YHAB accepted PPTA recommendations to increase its environmental capacity, and tools have been developed to manage environmental impacts and opportunities associated with maintenance activities.
Involuntary Resettlement Due diligence indicated that no land acquisition or resettlement will be required for the first-year subprojects. While the subprojects yet to be selected for the remaining phases are expected to be similar, the project was classified as resettlement category B to allow for changes at detailed design stage if a future subproject involves modest resettlement due to road widening or straightening or to improve safety features. A resettlement framework and a sample resettlement plan have been prepared and were disclosed on the ADB website on 25 April 2013. Should a subproject require land acquisition or resettlement, the executing agency will prepare and submit resettlement plan(s) for ADB review and clearance; this will include a participatory consultation process, and other measures defined in the resettlement framework. The project will not finance a subproject that requires significant resettlement.
Indigenous Peoples Due diligence conducted during the project preparatory TA found no significant adverse impacts on ethnic minorities in the project area that would trigger the indigenous peoples safeguard requirements, hence the project is classified as indigenous peoples category C.
Stakeholder Communication, Participation, and Consultation
During Project Design Consultations have been organized during project preparation stage for project scope, environmental issue, and involuntary resettlement.
During Project Implementation Consultation and participation strategy will continue during implementation.
Responsible ADB Officer David Fay
Responsible ADB Department East Asia Department
Responsible ADB Division Transport and Communications Division, EARD
Executing Agencies
Yunnan Provincial Department of Transport1 Huan Cheng West Road, Kunming
Yunnan, PRC 650031
Timetable
Concept Clearance 12 Dec 2011
Fact Finding 24 Sep 2012 to 28 Sep 2012
MRM 18 Oct 2012
Approval 02 Dec 2013
Last Review Mission -
Last PDS Update 30 Mar 2015

Loan 3074-PRC

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
02 Dec 2013 30 May 2014 07 Aug 2014 31 Mar 2019 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 232.40 Cumulative Contract Awards
ADB 80.00 02 Dec 2013 9.95 0.00 12%
Counterpart 152.40 Cumulative Disbursements
Cofinancing 0.00 02 Dec 2013 3.11 0.00 4%
Title Document Type Document Date
云南可持续道路维护(部门)项目 : 项目数据表 Translated PDS Jun 2014
Loan Agreement for Yunnan Sustainable Road Maintenance (Sector) Project Loan Agreement (Ordinary Resources) May 2014
Project Agreement for Yunnan Sustainable Road Maintenance (Sector) Project Project/Program Agreement May 2014
Yunnan Sustainable Road Maintenance (Sector) Project Reports and Recommendations of the President Nov 2013
Yunnan Sustainable Road Maintenance (Sector) Project Project/Program Administration Manual Nov 2013
Yunnan Sustainable Road Maintenance (Sector) Project: Procurement Plan Procurement Plans Sep 2013
Yunnan Sustainable Road Maintenance Project Initial Poverty and Social Analysis Aug 2012

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Yunnan Sustainable Road Maintenance Project Resettlement Frameworks Apr 2013
Yunnan Sustainable Road Maintenance Project Initial Environmental Examination Apr 2013
Yunnan Sustainable Road Maintenance Project Environmental Assessment and Review Framework Apr 2013

Evaluation Documents

See also: Independent Evaluation

No documents found.


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