Georgia : Sustainable Urban Transport Investment Program - Tranche 2

Sovereign Project | 42414-033

Project 2 will improve the urban transport system in urban areas and comprises one subproject: the section 1 (km 0-4) and section 3 (km 10.5-17.1) of the international standard Tbilisi-Rustavi Urban Road Link. The Government, through the Ministry of Finance has submitted on 19 March 2012, the periodic financing request (PFR) for Tranche 2, requesting a loan from ADB's ordinary capital resources and ADB's Special Funds resources. Project 2 will improve the urban environment, strengthen economic and tourism development and regional integration.

Project Name Sustainable Urban Transport Investment Program - Tranche 2
Project Number 42414-033
Country / Economy Georgia
Project Status Closed
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 2879-GEO: Sustainable Urban Transport Investment Program - Tranche 2
Ordinary capital resources US$ 48.89 million
Loan 2880-GEO: Sustainable Urban Transport Investment Program Tranche 2
Asian Development Fund US$ 16.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Regional integration
Drivers of Change Gender Equity and Mainstreaming
Sector / Subsector

Transport / Transport policies and institutional development - Urban roads and traffic management

Gender Some gender elements
Description Project 2 will improve the urban transport system in urban areas and comprises one subproject: the section 1 (km 0-4) and section 3 (km 10.5-17.1) of the international standard Tbilisi-Rustavi Urban Road Link. The Government, through the Ministry of Finance has submitted on 19 March 2012, the periodic financing request (PFR) for Tranche 2, requesting a loan from ADB's ordinary capital resources and ADB's Special Funds resources. Project 2 will improve the urban environment, strengthen economic and tourism development and regional integration.
Project Rationale and Linkage to Country/Regional Strategy

The government envisions the cities as the engine of economic growth and job creation. The government emphasizes city cluster development and the delivery of quality infrastructure and urban services. These are considered essential to increase quality of life, attract investment and increase productivity and competitiveness. The strategic vision is shared by all municipalities. In this regard, the Government has been working out an urban and regional renewal strategy and has been supporting the business plan to attract private investments.

In line with the urban transport sector roadmap prepared for the MFF, development plans are prepared for various regions with the support of international development partners. Urban transport, with the other urban services, constitutes the core of this strategy. The MFF policy framework outlined in 2010 is being implemented and rolled out. It promotes competition, private sector, efficiency, fairness, transparency, environmental sustainability, value for money with regard to capital investment, maintenance, and service provision.

The urban transport sector roadmap priorities approved on 25 June 2010 are to (i) complete and upgrade the road network, (ii) develop public transport and nonmotorized transport to reduce pollution, noise, and traffic accidents, and (iii) improve living conditions. These strategic objectives are fully consistent with the Interim Operational Strategy of Georgia and in line with ADB's sustainable transport objectives.

As part of this MFF, the government, (including the MDF, Tbilisi and the other municipalities) reqyestedADB for a second tranche to help them tackle the urban transport problem within the framework of the urban renewal strategy. The policy reform framework has been particularly actively implemented in Tbilisi under Tranche 1 and is also rolled out in other secondary cities during tranche 2.

Impact

Improved urban environment, local economy and better living conditions within urban areas.

Project Outcome
Description of Outcome

Efficient, reliable and affordable urban transport services provided in relevant cities

Progress Toward Outcome Closing date extended until 18 July 2020.
Implementation Progress
Description of Project Outputs

Urban transport infrastructure extended, rehabilitated and improved by MDF and relevant municipalities.

Subprojects for subsequent tranches ready for implementation.

Establishment of skilled and experienced units to oversee the management and the implementation of the Project in MDF and relevant municipalities.

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

The civil works contract for Batumi coastal protection was signed on 15 November 2016 with expected completion date in 30 November 2019.

Construction completed in Tbilisi Rustavi urban link completed (Sections 1 and 3).

Completed preparation of the safeguard documents.

Achieved.

Partially achieved.

Geographical Location Gardabanis Raioni, K'alak'i Rust'avi, K'alak'i T'bilisi, Mestia, P'onichala, Rustavi, Tbilisi
Safeguard Categories
Environment B
Involuntary Resettlement A
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects

- Project is classified as environmental category B under ADB's Safeguards Policy Statement, 2009

- The environmental assessment and review and framework (EARF) approved in 2010 is still applicable for the tranche.

- The initial environmental examination (IEE) have been prepared and posted on ADB and MDF websites.

- Environmental Management and Monitoring Plan will be updated during detailed engineering design, incorporated in bidding documents and civil works contracts and monitored during construction.

Involuntary Resettlement

Land Acquisition and Resettlement (LAR)

- Project is classified as involuntary resettlement category A with major impact under ADB's Safeguards Policy Statement, 2009

- The land acquisition and resettlement framework (LARF) approved in 2010 is still applicable for the tranche.

- The Land Acquisition and Resettlement Plan (LARPs) have been prepared and posted on ADB and MDF websites.

- The LARP has been implemented and compliance has been confirmed prior to the commencement of the works.

Indigenous Peoples

- Project is classified as category C under ADB's Safeguard Policy Statement, 2009

- The Project is not expected to affect indigenous people as defined under the ADB's Safeguards Policy Statement, 2009

Stakeholder Communication, Participation, and Consultation
During Project Design See participation and consultation for the Facility
During Project Implementation

Project stakeholder is Municipal Development Fund of Georgia (MDF). Its responsibilities are:

i) Approve list of candidate subprojects to be financed under tranches ii) Recruitment of additional staff and consultants, as necessary, to prepare and manage the program; iii) Preparation of annual budget estimates for activities under the investment program for their eventual approval; iv) Procurement of consulting services, works and goods; v) Ensuring subprojects compliance with safeguards and acquisition of land; vi) Managing and supervising detailed designs and feasibility studies; vii) Preparation of the periodic financing requests (PFRs) for their submission to ADB; viii) Overseeing the implementation of the investment program; ix) Checking and guiding safeguards compliance; x) Monitoring and evaluating the implementation progress and impact; xi) Directing construction supervision; xii) Coordinating among government agencies; xiii) Overseeing the implementation of the institutional strengthening and capacity development; xiv) Consolidating and preparing periodic reports for the investment program; xv) Preparation and submission of withdrawal application (WA).

Business Opportunities
Consulting Services

Consulting services contracts have been budgeted with total contract value of $4.6 million.

(i) Batumi coastal improvement engineering, procurement, and construction management (EPCM); awarded in November 2014.

(ii) Capacity building for Tranche 2 technical expertise, assistance, and training on project management, safeguards, financial and procurement. After MDF reorganization in 2014, it continues to perform needs assessment and develop detailed capacity building programs.

(iii) Development of a bridge, road, and tunnel laboratory at the Georgia Technical University MRDI, the Road Department and MDF have consulted with the University to refine arrangements and the scope of activities. A memorandum of understanding was signed by all parties in 2014. Contract was awarded in August 2016.

Procurement After the major change in scope, the Tbilisi-Rustavi urban road link (sections 1 and 3) was the only subproject to be implemented in Project 2. However, after Government request and minor change approved in January 2019, Marshal Gelovani Avenue and Right Bank Intersection works were added (financed under Tranche 2 savings).
Responsible ADB Officer Tskhvitava, Avtandil
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Georgia Resident Mission (GRM)
Executing Agencies
Municipal Development Fund of Georgia
Timetable
Concept Clearance -
Fact Finding -
MRM -
Approval 24 Jul 2012
Last Review Mission -
Last PDS Update 27 Sep 2018

Loan 2879-GEO

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
24 Jul 2012 24 Jul 2012 20 Aug 2012 31 Dec 2018 18 Jul 2020 07 May 2021
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 48.89 Cumulative Contract Awards
ADB 48.89 05 Oct 2022 36.93 0.00 100%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 05 Oct 2022 36.93 0.00 100%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory - Satisfactory - Satisfactory

Loan 2880-GEO

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
24 Jul 2012 24 Jul 2012 20 Aug 2012 31 Dec 2018 18 Jul 2020 07 May 2021
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 44.00 Cumulative Contract Awards
ADB 16.00 05 Oct 2022 12.46 0.00 100%
Counterpart 28.00 Cumulative Disbursements
Cofinancing 0.00 05 Oct 2022 12.46 0.00 100%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - 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.

Title Document Type Document Date
Sustainable Urban Transport Investment Program (Tranche 2): Project Completion Report Project/Program Completion Reports Jun 2022
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (January-December 2020) Audited Project Financial Statements Feb 2021
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (January-December 2019) Audited Project Financial Statements Jun 2020
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (January-December 2018) Audited Project Financial Statements Jun 2019
Sustainable Urban Transport Investment Program - Tranche 2: Procurement Plan Procurement Plans Oct 2018
Amendment no. 4 to the Loan Agreement (Special Operations) for Loan 2880-GEO: Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Special Operations) Sep 2018
Amendment no. 3 to the Loan Agreement (Ordinary Operations) for Loan 2879-GEO: Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Ordinary Resources) Sep 2018
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (January-December 2017) Audited Project Financial Statements Jun 2018
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (January-December 2016) Audited Project Financial Statements Jun 2017
Amendment to Loan Agreement (Special Operations) for Loan 2880-GEO: Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Special Operations) Apr 2017
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (1 January–31 December 2015) Audited Project Financial Statements Jun 2016
Sustainable Urban Transport Investment Program - Tranche 2: Project Administration Manual Project/Program Administration Manual May 2016
Amendment to Loan Agreement (Ordinary Operations) for Loan 2879-GEO: Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Ordinary Resources) Sep 2015
Amendment to Loan Agreement (Special Operations) for Loan 2880-GEO: Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Special Operations) Sep 2015
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (1 January–31 December 2014) Audited Project Financial Statements Jun 2015
Sustainable Urban Transport Investment Program - Tranche 2: Audited Project Financial Statements (20 August 2012–31 December 2013) Audited Project Financial Statements Sep 2014
Amendment to the Loan Agreement for Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Ordinary Resources) Sep 2013
Amendment to the Loan Agreement (Special Operations) for Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Special Operations) Sep 2013
Sustainable Urban Transport Investment Program - Tranche 2: Project Data Sheet (ქართული) Translated PDS Nov 2012
Sustainable Urban Transport Investment Program - Tranche 2: Periodic Financing Request Report Periodic Financing Request Reports Jul 2012
Project Agreement for Sustainable Urban Transport Investment Program - Project 2 Project/Program Agreements Jul 2012
Loan Agreement for Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Ordinary Resources) Jul 2012
Loan Agreement (Special Operations) for Sustainable Urban Transport Investment Program - Project 2 Loan Agreement (Special Operations) Jul 2012

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
Sustainable Urban Transport Investment Program - Tranches 1 and 2: Environmental Monitoring Report (January-June 2021) Environmental Monitoring Reports Sep 2021
Sustainable Urban Transport Investment Program – Tranche 2: Marshal Gelovani Avenue and Right Bank Intersection Initial Environmental Examination Initial Environmental Examination Nov 2018
Sustainable Urban Transport Investment Program - Tranche 2: Marshal Gelovani Avenue and Right Bank Intersection Land Acquisition and Resettlement Plan Resettlement Plans Jul 2018
SUTIP - Tranche 2: Modernization of Tbilisi-Rustavi Section of the Tbilisi-Red Bridge (Azerbaijani Border) Road (Section 3) LARP Compliance Report Social Monitoring Reports Sep 2016
Sustainable Urban Transport Investment Program - Tranche 2: Final Environmental Monitoring Report (January-June 2016) Environmental Monitoring Reports Aug 2016
SUTIP - Tranche 2: Modernization of Tbilisi-Rustavi Section of the Tbilisi-Red Bridge (Azerbaijani Border) Road (Section 3) LARP Compliance Report Social Monitoring Reports May 2016
Sustainable Urban Transport Investment Program - Tranche 2: Environmental Monitoring Report (July-December 2015) Environmental Monitoring Reports Jan 2016
SUTIP Tranche 2 - Modernization of Tbilisi–Rustavi Urban Road: Biannual Social Monitoring Report (January–June 2015) Social Monitoring Reports Jul 2015
Sustainable Urban Transport Investment Program - Tranche 2: Environmental Monitoring Report (January-June 2015) Environmental Monitoring Reports Jul 2015
Sustainable Urban Transport Investment Program - Tranche 2: Addendum to Tbilisi-Rustavi Urban Road Link - Secondary Road for Section 3 Resettlement Plans May 2015
Sustainable Urban Transport Investment Program - Tranche 2: Environmental Monitoring Report (July-December 2014) Environmental Monitoring Reports Dec 2014
Sustainable Urban Transport Investment Program, Tranche 2 - Section 1, km 0 to 4 Tbilisi-Phonichala: Land Acquisition and Resettlement Plan (Addendum) Resettlement Plans Dec 2014
Sustainable Urban Transport Investment Program - Tranche 2: Environmental Monitoring Report (June 2013 - January 2014) Environmental Monitoring Reports Jan 2014
Sustainable Urban Transport Investment Program - Tranche 2: Environmental Monitoring Report (January-June 2013) Environmental Monitoring Reports Jun 2013
Sustainable Urban Transport Investment Program-Tranche 2: Construction of the Mtskheta Bridge Over River Aragvi in Mtskheta Municipality Social Monitoring Reports Oct 2012
Sustainable Urban Transport Investment Program - Tranche 2: Modernization of Tbilisi-Rustavi Section of the Tbilisi-Red Bridge [Azerbaijani Border] Road Social Monitoring Reports Oct 2012
Sustainable Urban Transport Investment Program, Tranche 2 (Mtskheta Bridge Project) (Draft IEE) Initial Environmental Examination Jun 2012
Sustainable Urban Transport Investment Program, Tranche 2 (Section 3: km 10.5 to 17.1 Tbilisi-Phonichala): Initial Environmental Examination Initial Environmental Examination Jun 2012
Sustainable Urban Transport Investment Program, Tranche 2 (Section 1: km 0 to 4 Tbilisi-Phonichala) Initial Environmental Examination Jun 2012
Sustainable Urban Transport Investment Program, Tranche 2 (Mtskheta Bridge Project) Resettlement Plans Jun 2012
Sustainable Urban Transport Investment Program, Tranche 2 (Section 1: km 0 to 4 Tbilisi-Phonichala) Resettlement Plans Apr 2012
Sustainable Urban Transport Investment Program, Tranche 2 (Section 3: km 10.5 to 17.1 Tbilisi-Phonichala) Resettlement Plans Apr 2012

Evaluation Documents See also: Independent Evaluation

Title Document Type Document Date
Georgia: Sustainable Urban Transport Investment Program (Tranche 2) Validations of Project Completion Reports Dec 2022

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.

  • 17 Mar 2022 | Video

    Breathing New Life into Georgia’s Bridge Lab

    ADB financed the full rehabilitation and modernization of the Bridge Laboratory at the Georgian Technical University, enabling the learning center to expand its capacity and carry out commercial projects with top developers.

Tenders


Contracts Awarded

No contracts awarded for this project were found

Procurement Plan

Title Document Type Document Date
Sustainable Urban Transport Investment Program - Tranche 2: Procurement Plan Procurement Plans Oct 2018