Education / Non-formal education - Secondary

Energy / Renewable energy generation - small hydro

Public sector management / Public expenditure and fiscal management

Transport / Transport policies and institutional development - Water transport (non-urban)

This Transaction Technical Assistance Facility (TRTA-F) was approved on 14 August 2018 for $750,000 financed on a grant basis from the Asian Development Bank's (ADB) Technical Assistance Special Fund (TASF-6) to support the effective and efficient implementation of projects funded by ADB in Vanuatu, including the Vanuatu Interisland Shipping Support Project (VISSP), Cyclone Pam Schools Project, and the Vanuatu Energy Access Project (VEAP). At the time of TRTA-F approval, several projects are faced implementation problems and delays because of the constrained project management capacity of government's implementing agencies. To minimize the reoccurrence of similar problems in future operations, the TA has been supporting the strengthening of institutional and policy frameworks for sound and sustainable project management in Vanuatu. The TRTA-F has three interlinked outputs: (i) Output 1 - VPMU's capacity for implementing ongoing project strengthened; (ii) Output 2 - measures to improve government project management and institutional arrangements recommended, and implementation supported; and (iii) Output 3 - implementation of Vanuatu's public financial management road map for improved public investments supported. The TRTA-F has been supporting ADB's Pacific Regional Department's portfolio in Vanuatu by providing advisory and capacity building support to counterpart agencies responsible for effective and efficient project implementation activities in the country. ADB administers the TRTA-F, and the Vanuatu Project Management Unit (VPMU) serves as the direct working counterpart. The Ministry of Finance and Economic Management is the executing agency.

In 2019, it was assessed that while the original TRTA-F amount was adequate to complete inputs under Output 3 and that the TA was rated satisfactory and cotinued to deliver outputs, there was a need to provide further support to Outputs 1 and 2. On 29 August 2019, (i) an increase in TA amount by $1,500,000 for a cumulative amount of $2,250,000; (ii) a minor change in scope to include recruitment of additional consultants (firm and individuals); and (iii) the extension of completion date from 30 June 2022 to 30 June 2022, were approved. In 2021, additional support for Outputs 1 and 2 was requied. On 16 September 2021, (i) a second increase in TA amount by $800,000 for a cumulative amount of $3,050,000; and (ii) further extension of the TA completion date from 30 June 2022 to 31 July 2023 for a cumulative TA implementation period of approximately 5 years, were approved. The increase in amount has provided further support for Outputs 1 and 2 and strengthened VPMU's capacity in project management and procurement covering (i) the full scope of the VISSP; (ii) implementation support to the VEAP and the Transport Sector Project Readiness Financing; and (iii) capacity enhancements in gender, social and environment safeguards and procurement to various government agencies.