The National Transport Development Plan 2000-2010 (NTDP) was prepared by the Department of Transport (DOT) and endorsed by the National Executive Council (NEC). The NTDP is in two volumes, the first setting out sector policy and plans for institutional and legislative reforms, and the second volume providing a 10-year program of infrastructure investment. The plan covers all modes of transport in Papua New Guinea - road, sea and air.
|Project Name||Multitranche Financing Facility - Highlands Region Road Improvement Investment Program|
|Country||Papua New Guinea
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Inclusive economic growth
|Drivers of Change||Governance and capacity development
|Sector / Subsector||
Transport - Road transport (non-urban)
|Gender Equity and Mainstreaming||Some gender elements|
|Description||The National Transport Development Plan 2000-2010 (NTDP) was prepared by the Department of Transport (DOT) and endorsed by the National Executive Council (NEC). The NTDP is in two volumes, the first setting out sector policy and plans for institutional and legislative reforms, and the second volume providing a 10-year program of infrastructure investment. The plan covers all modes of transport in Papua New Guinea - road, sea and air.|
|Project Rationale and Linkage to Country/Regional Strategy||
The Highlands region is a major contributor to the PNG economy through its agricultural and mineral exports. It is also home to 40% of the country's population, who rely almost exclusively on the road network for movement of people and goods. The road network is vulnerable because of the mountainous terrain, the fragile geological conditions, and the climate. The Government and its development partners have invested significantly in improving the road network, but a lack of regular maintenance has left the network in a poor condition. There is a need to (i) initiate a program of regular maintenance on all HCRN roads that are in good condition, and (ii) improve those HCRN roads that are in a poor condition and ensure that routine maintenance begins on these roads as soon as the improvement works are done.
The current NTDP provides a framework of policies and strategies for a sustainable road system in PNG. It has led to the establishment of the National Road Authority (NRA) with responsibility for maintaining the road network and a road fund financed through road user charges to finance road maintenance. The NRA and the road fund are managed by an independent board, with representatives from road users, the private sector, and the Government. There is a need to translate these initiatives into a workable system by (i) strengthening the NRA's capacity to plan and manage road maintenance works, (ii) seeking more financing for the road fund by rationalizing road user charges, and (iii) awarding long-term performance-based road maintenance contracts. With a functioning board and staff recruitment for the NRA underway, the Government is keen to support the MFF. It will help to enable implementation of the NTDP and to ensure a sustainable road system in the Highlands region. This initiative could serve as model for other regions of PNG.
|Impact||The proposed Investment Program will establish a sustainable road system in the Highlands region that will enable maximum use of its natural, mineral, and human resources. It will contribute to the Government's MTDS, 2005-2010 objectives of (i) export-driven economic growth; (ii) rural development, and poverty reduction; (iii) good governance; and (iv) promotion of sustainable agriculture, forestry, fisheries and tourism.|
|Description of Outcome||The Investment Program will improve access to ports, markets, and livelihood opportunities, and reduce travel time and transport costs in the Highlands region.|
|Progress Toward Outcome|
|Description of Project Outputs||
The Investment Program focuses on the Highlands core road network (HCRN) of 2,500 km of major national and some provincial roads. The HCRN carries the bulk of the traffic in the region. The Investment Program will include (i) investment projects covering improvements to about 1,400 km of HCRN (Appendix 4) to be funded through four or more tranches; (ii) consulting services for (a) preparation of investment projects for ADB approval and design and supervision of civil works, and (b) preparation and administration of long-term road maintenance contracts for the entire 2,500 km of HCRN;
(iii) support for capacity development, resource mobilization for maintenance funds, and improving road transport services; and (iv) monitoring the socioeconomic benefits of improved and maintained roads in the Highlands region. In addition, technical assistance is provided to support the DOT to prepare a new National Transport Development Plan (NTDP) for 2011-2020.
|Status of Implementation Progress (Outputs, Activities, and Issues)|
|Geographical Location||Papua New Guinea|
|Summary of Environmental and Social Aspects|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
Consulting services will be required for Investment Program implementation support and capacity development. Key tasks include (i) design of road improvement works; (ii) preparation of bid documents, procurement support, and supervision of road improvement and long-term maintenance contracts; (iii) Investment Program performance management; (iv) preparation of subsequent projects; (v) capacity development; and (vi) socio economic monitoring. The capacity development component will involve the strengthening of HRMG, establishment of PIU in NRA, financial/road maintenance contracting/road user charges for NRA, and road safety for NRSC.
Project 1 will require a total of 1,266 person-months (362 international and 904 national) of services from consulting firms. Additional consulting services, if necessary, will be procured under subsequent projects. The consulting services will be financed from the ADB loans. DOW will select and engage the consultants in accordance with ADB's Guidelines on the Use of Consultants (2007, as amended from time to time) using the quality- and cost-based selection method.
|Procurement||All ADB-financed procurement for goods and services will be carried out in accordance with ADB's Procurement Guidelines (2007, as amended from time to time). International competitive bidding procedures will be followed for all contracts over $3 million for civil works and $0.5 million for goods. National competitive bidding will be used for contracts under these thresholds. Shopping can be used for goods with contract values lower than $100,000, as appropriate. Contracts have been packaged to attract international contractors as well as promote the national contractors.|
|Responsible ADB Officer||Ingratubun, Muhammad Amir|
|Responsible ADB Department||Pacific Department|
|Responsible ADB Division||Transport, Energy and Natural Resources Division, PARD|
Department of Works
P.O. Box 1108
Papua New Guinea
|Concept Clearance||13 Jun 2008|
|Fact Finding||16 Jun 2008 to 30 Jun 2008|
|MRM||15 Aug 2008|
|Approval||16 Dec 2008|
|Last Review Mission||-|
|PDS Creation Date||03 Jul 2008|
|Last PDS Update||21 Jul 2008|
MFF Facility Concept 0029-PNG
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||460.59||Cumulative Contract Awards|
|Financing Plan/TA Utilization||Cumulative Disbursements|
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 Public Communications Policy (PCP) 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.
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|Title||Document Type||Document Date|
|National Transport Development Plan (2011-2020)||TA Completion Reports||May 2012|
|Loan Agreement for Highlands Region Road Improvement Investment Program - Project 1 between Independent State of Papua New Guinea and Asian Development Bank dated 19 February 2009||Loan Agreement (Special Operations)||Feb 2009|
|Proposed Multitranche Financing Facility: Highlands Region Road Improvement Investment Program||Procurement Plans||Nov 2008|
|Highlands Region Road Improvement Investment Program||Reports and Recommendations of the President||Nov 2008|
|Highlands Highway (Southern Highlands and Enga Provinces Network) Rehabilitation Project||Design and Monitoring Frameworks||Jun 2007|
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.
None currently available.
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