46220-006: Infrastructure Sustainability Support Program (Phase 2) | Asian Development Bank

Armenia: Infrastructure Sustainability Support Program (Phase 2)

Sovereign (Public) Project | 46220-006 Status: Closed

Using a programmatic approach with a policy-based loan providing budget support ensures leverage for multi-sectoral reforms, whilst at the same time providing sufficient flexibility to adjust the program as the situation demands. In addition, the policy-based loan supports reforms and, in tandem, also helps finance the fiscal deficit and ring-fence specific expenses related to the scope of the proposed reforms. The program will have two subprograms and combined with TA, will support policy reforms and capacity building in the implementing and executing agencies. Subprogram 1 will focus on reviewing the economic regulator to increase independence, transparency and accountability; increasing funding for maintenance expenditure and ensuring financial viability of commercial entities in the water and power sectors; and introducing operational reforms to improve the efficiency of the transport and water government agencies, and encouraging competition in the power sector.

Project Details

Project Officer
Hodge, Matthew W. Central and West Asia Department Request for information
Country
  • Armenia
Modality
  • Loan
  • Technical Assistance
Sector
  • Public sector management
 
Project Name Infrastructure Sustainability Support Program (Phase 2)
Project Number 46220-006
Country Armenia
Project Status Closed
Project Type / Modality of Assistance Loan
Technical Assistance
Source of Funding / Amount
Loan 3453-ARM: Infrastructure Sustainability Support Program, Phase 2
Ordinary capital resources US$ 90.00 million
TA 9226-ARM: Supporting Implementation of Phase 2 of the Infrastructure Sustainability Support Program
Technical Assistance Special Fund US$ 500,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Partnerships
Sector / Subsector

Energy / Energy sector development and institutional reform

Public sector management / Public expenditure and fiscal management

Transport / Road transport (non-urban) - Transport policies and institutional development - Urban roads and traffic management

Water and other urban infrastructure and services / Urban policy, institutional and capacity development - Urban water supply

Gender Equity and Mainstreaming Some gender elements
Description Using a programmatic approach with a policy-based loan providing budget support ensures leverage for multi-sectoral reforms, whilst at the same time providing sufficient flexibility to adjust the program as the situation demands. In addition, the policy-based loan supports reforms and, in tandem, also helps finance the fiscal deficit and ring-fence specific expenses related to the scope of the proposed reforms. The program will have two subprograms and combined with TA, will support policy reforms and capacity building in the implementing and executing agencies. Subprogram 1 will focus on reviewing the economic regulator to increase independence, transparency and accountability; increasing funding for maintenance expenditure and ensuring financial viability of commercial entities in the water and power sectors; and introducing operational reforms to improve the efficiency of the transport and water government agencies, and encouraging competition in the power sector. Subprogram 2 will focus on rolling out program budgeting reforms across government, with specific support to MOENR, MOTC and SCWE; implementing the changes recommended for the economic regulator, including increased funding; entrenching increased funding for maintenance activities; and concrete actions to implement operational reforms.
Project Rationale and Linkage to Country/Regional Strategy The program will support the government's development agenda on sustainable infrastructure provision as articulated in the Armenia Development Strategy, 2014 2025; the Medium-Term Expenditure Framework, 2016 2019; and the Republic of Armenia Government Program. It is closely aligned with ADB's Strategy 2020; the mid-term review of Strategy 2020, the Water Operational Plan, 2011 2020; the Sustainable Transport Initiative Operational Plan; the Energy Policy; country partnership strategy for 2014-2018, and the Country Operations Business Plan, 2016 2018.
Impact Improved service delivery in road, water supply, and power sectors (Armenia Development Strategy)
Project Outcome
Description of Outcome Improved management and sustainability of road, water supply, and power sectors
Progress Toward Outcome Achievement of 2017 target ongoing.
Implementation Progress
Description of Project Outputs

Improved public financial management and utility regulation

Increased financing and improved operations in the road sector

Increased financing and improved operations in the water sector

Increased level of power sector competitiveness and revenue generation

Status of Implementation Progress (Outputs, Activities, and Issues) 2016 targets achieved. Achievement of 2017 targets ongoing.
Geographical Location Nation-wide
Safeguard Categories
Environment C
Involuntary Resettlement C
Indigenous Peoples C
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 The following multi-disciplinary team of consultants have been engaged: (i) national public financial management specialist; (ii) international water supply economist, (iii) international and national water sector engineers, (iv) international and national road transport sector engineers, (v) national water researcher, (vi) national audit specialist, (vii) national PFM advisor, (viii) a national legal expert, (ix) international energy sector economist, and (x) national contingent liability analyst.
Responsible ADB Officer Hodge, Matthew W.
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Public Management, Financial Sector and Trade Division, CWRD
Executing Agencies
Ministry of Finance (MOF)
[email protected]
1 Melik Adamyan, Yerevan
Armenia
Timetable
Concept Clearance 22 Dec 2015
Fact Finding 20 Jun 2016 to 01 Jul 2016
MRM 07 Oct 2016
Approval 10 Nov 2016
Last Review Mission -
Last PDS Update 21 Sep 2017

Loan 3453-ARM

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Nov 2016 11 Nov 2016 27 Dec 2016 31 Dec 2017 - 31 Dec 2017
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 90.00 Cumulative Contract Awards
ADB 90.00 10 Nov 2016 90.00 0.00 100%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 10 Nov 2016 90.00 0.00 100%

TA 9226-ARM

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Nov 2016 01 Dec 2016 01 Dec 2016 31 Dec 2017 - -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
500,000.00 0.00 0.00 0.00 0.00 0.00 500,000.00 10 Nov 2016 457,841.75

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Related Publications

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Tenders

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Contracts Awarded

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Procurement Plan

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