The Asian Development Bank is working with Viet Nam to boost urban and water services in Bac Giang, Mong Cai and Sa Pa, three towns located along the North-South Economic Corridor within the Greater Mekong Subregion. The project is building and upgrading wastewater treatment plants and providing wastewater treatment services.
|Project Name||Second Greater Mekong Subregion Corridor Towns Development Project|
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Gender Equity and Mainstreaming
Governance and capacity development
Private sector development
|Sector / Subsector||
Water and other urban infrastructure and services / Other urban services - Renovation and protection of cultural heritage - Urban flood protection - Urban sewerage
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||The Second Greater Mekong Subregion (GMS) Corridor Towns Development Project (the project) represents the second phase of the ongoing GMS Corridor Towns Development Project in Cambodia, Lao PDR and Viet Nam. It supports the first four strategic thrusts of the GMS Strategic Framework 2012 2022 namely (i) strengthening infrastructure linkages; (ii) facilitating cross-border trade, investment, and tourism; (iii) enhancing private sector participation and competitiveness; and (iv) developing human resources. The focus on corridor town development follows an approach that will maximize the economic benefits of increased trade and traffic flows along the major transport corridors in the GMS with the expected positive impacts resulting from accelerated investments in strategically located towns and cities, and added value on economic growth through development oriented on green growth and climate resilience. The objective is to strengthen competitiveness of the GMS economic corridors through environmental infrastructure.|
|Project Rationale and Linkage to Country/Regional Strategy||The towns of Bac Giang, Mong Cai and Sa Pa are located along the GMS North-South Economic Corridor, on the eastern branch that links Lao PDR with China, Thailand and Myanmar, and another which links Hanoi to the cities of Kunming and Nanning in the PRC. Bac Giang is the administrative capital of Bac Giang province, and is located about 50 km northeast of Hanoi. The city has a number of development and investment fundamentals in its favor; primarily its strategic location in key transport corridors linking centers of population and ports together and providing access to larger markets, principally into PRC and within the Hanoi capital region. Mong Cai is a cross border town opposite of Dongxing town, Guangxi Province, PRC. The economic base of Mong Cai is characterized by a typical border town economy comprising of trade and services and shows a rapidly expanding economy and significant levels of urbanization. Sa Pa is a small town located about 35 km from Lao Cai City. Sa Pa is an international tourist center and highland agricultural area, where strategic corridor investments in transport infrastructure are placing increasing development pressures on the high quality mountain landscapes and cultural diversity of the predominantly ethnic minority populations. The project is in line with the ADB Country Partnership Strategy for Viet Nam; ADB's Urban Operational Plan; the GrEEEn Cities Approach, which has been piloted in several cities in Viet Nam, Thailand, Myanmar, Malaysia, and Indonesia; ADB's Water Operational Plan; the GMS Strategic Framework; and the GMS Regional Investment Framework Implementation Plan (2014-2018). The towns under this project were selected and prioritized under the GMS Regional Investment Framework.|
|Impact||Economic, sociocultural, and environmental development in the three towns of Bac Giang, Mong Cai, and Sa Pa, improved, contributing to making Viet Nam a modern, industrial country. (Socio-economic Development Strategy, 2011 2020.)|
|Description of Outcome||Improved urban services in the three participating towns.|
|Progress Toward Outcome||11CW contracts are under construction.|
|Description of Project Outputs||
SLEDPs developed and approved
Priority urban infrastructure investments implemented
Institutional capacities for managing public investments strengthened.
Community awareness on project activities and environmental sustainability improved
|Status of Implementation Progress (Outputs, Activities, and Issues)||
188 turns PMU staff were trained on project management of them 58 turns were by female PMUs staff (accounting for 30.8%).
1,321 people (of which 793,or 60% are women) were trained on gender and gender mainstreaming.
19 out of 45 PMU staff are women (42%). 5 out of 13 decision making positions are held by women (38%).
13 campaigns conducted in Sapa (4/5), Bac Giang (4/5) and Mong Cai (5/5). There have been 3107 direct participants in 11 communication campaigns in 3 towns. In addition, approximately 288,630 people (around 50% of them being women) have been indirectly communicated via TV, newspaper, radio, loudspeakers on these campaigns contents.
SLEDPs for 3 provinces were approved.
20.9% (236/1163) of unskilled workers are women; Staff employed in O&M not yet identified; 65% (757/1163) of unskilled labors are of local origin.
Construction of 3.2 km road ongoing (BG1 and BG2 with progress of 41% an 93% respectively)
Civil works of 14.4km road ongoing, progress of 63%.
2.1 km of streets and alleys are being upgraded, progress of 50% (1.85km done)
BG5 contract has been awarded. Three ponds are being constructed under BG3 with progress of 70%.
Construction of two WWTPs with total capacity of 12,000m3/day is
on-going under MC1 and MC2. Physical progress: MC1: 60%
and MC2: 57%
Civil works ongoing with progress of 67%.
Based on DD, 88,036 people in Bac Giang, 34,417 in Mong Cai and 1,412 in Sa Pa will be served by the new and improved wastewater services
Civil works on going with progress of 60.4% in Bac Giang
7.67 km of drainage and 2,261 m of riverbank protection being constructed in Mong Cai. Progress of drainage work is about 58% and river embankment 64%.
10,250m2 of pedestrian will be paved. Civil works on-going, progress 50% (9.65km done)
|Summary of Environmental and Social Aspects|
|Environmental Aspects||The project is classified as Category B for environment in accordance with the ADB's safeguards policy statement (SPS) 2009. One initial environmental examination (IEE) report and three environmental management plans (EMPs) (one per town) have been prepared.|
|Involuntary Resettlement||The safeguard category for involuntary resettlement is B. Two resettlement plan (RPs), one for Bac Giang and one for Mong Cai, are prepared for those components which will trigger land acquisition and resettlement (LAR) impacts. One resettlement and ethnic minority development plan (REMDP) is prepared for Sa Pa, as Indigenous People safeguards are triggered but limited to LAR and is category B.|
|Indigenous Peoples||For the Sa Pa subproject, indigenous peoples safeguards are triggered but limited to land acquisition and hence a resettlement, ethnic minority and development plan (REMDP) will be prepared in accordance with the requirements of the SPS (2009). The IP safeguard category is B.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation||
The Provincial People's Committees (PPCs) of Bac Giang, Lao Cai and Quang Ninh are the EAs which will oversee project activities in each of the three towns. Additionally, the PPC in Bac Giang Province is designed as the lead executing agency to coordinate among all PPCs on institutional management, project implementation and reporting.
Project management units (PMUs) will be established in each EA to undertake the day-to day management of subprojects, including the procurement of civil works and goods. As lead EA, the PMU in Bac Giang will be responsible for consultant selection for project implementation and management support; and act as coordinator between the project cities and the concerned central government agencies for project implementation. Each of the three EAs will hire consultants for detailed design, construction supervision and capacity development; and carry out procurement for their respective civil works and goods contracts. The EA in Lao Cai (Sa Pa Town) will be responsible for consultant selection for GCAP preparation. A project coordination unit (PCU) will be established within Bac Giang PMU to support the day-to-day coordination and liaison work among the three PMUs. The City People's Committees (CPCs) in Bac Giang and Mong Cai, and Lao Cai Department of Planning and Investment in Sa Pa will be the Implementing Agencies (IAs) which will coordinate and monitor the activities of the PMUs.
|Responsible ADB Officer||Nguyen, Binh My|
|Responsible ADB Department||Southeast Asia Department|
|Responsible ADB Division||Viet Nam Resident Mission|
Bac Giang Provincial People's Committee
Bac Giang, Viet Nam Lao Cai Provincial People's Committee
Tran Hung Dao Avenue, Nam Cuong Ward,
Lao Cai City, Lao Cai Province People's Committee
Vietnam Quang Ninh Provincial People's Committee
Administration Building No. 2, Hong Ha Commune, Ha Long City
|Concept Clearance||01 Jun 2015|
|Fact Finding||05 Jun 2015 to 10 Jun 2015|
|MRM||18 Aug 2015|
|Approval||01 Dec 2015|
|Last Review Mission||-|
|Last PDS Update||06 Feb 2020|
|Approval||Signing Date||Effectivity Date||Closing|
|01 Dec 2015||21 Mar 2016||10 Aug 2016||30 Jun 2021||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||121.67||Cumulative Contract Awards|
|ADB||100.00||01 Dec 2015||58.20||0.00||58%|
|Cofinancing||0.00||01 Dec 2015||39.51||0.00||39%|
|Status of Covenants|
|Rating||Satisfactory||Partly satisfactory||Satisfactory||Partly satisfactory||-||Partly satisfactory|
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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.
Evaluation Documents See also: Independent Evaluation
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ADB Loan to Enhance Urban Services in Towns Along GMS Economic CorridorADB has approved a $100 million loan to support government efforts to boost urban and water services in Bac Giang, Mong Cai and Sa Pa, three towns located along the North-South Economic Corridor within the Greater Mekong Subregion.
|Contract Title||Approval Number||Contract Date||Contractor||Contractor Address||Executing Agency||Contract Description||Total Contract Amount (US$)||Contract Amount Financed by ADB (US$)|
|BG5 - WASTEWATER TREATMENT PLANT EXTENSION||Loan 3353||26 Dec 2019||CONG TY CO PHAN KY THUAT SEEN||BAC TU LIEM HANOI VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||5,505,863.25||5,004,898.32|
|BG4.A BAC GIANG - STORMWATER IMPROVEMENT||Loan 3353||19 Dec 2018||JV TAN THINH - THUY LOI HD - BOM HAI DUONG||HAI DUONG VIET NAM VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||4,845,703.04||4,423,609.16|
|SP1 - WASTEWATER AND DRAINAGE||Loan 3353||14 Dec 2018||SEEN TECHNICAL CO.||VIETNAM VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||8,998,883.67||8,220,663.23|
|MC3 - MONG CAI - KA LONG RIVER BANK PROTECTION||Loan 3353||24 Sep 2018||CTCP XD THUY LOI 1 - CTCP XD BAC NINH||KHU 2, DAI PHUC, BAC NINH BAC NINH VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||5,536,481.00||5,022,817.00|
|SP3 - TOWN CENTER ENHANCEMENT||Loan 3353||06 Jun 2018||COTABIG-HOANG LIEN THANH -ZODIAC CO DIEN||KHUAT DUY TIEN, THANH XUAN HA NOI VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||3,522,749.00||3,168,430.00|
|BG1 - TRAN QUANG KHAI ROAD||Loan 3353||12 Dec 2017||VAN CUONG - TRANSPORT 1 CONST. & COMM. INVES.||HANOI, VIETNAM VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||6,862,432.00||6,254,954.00|
|BG2 - NORTH EASTERN RING ROAD||Loan 3353||12 Dec 2017||CONG TY XAY DUNG VIET DUC - 19.5||BAC NINH, VIETNAM VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||1,968,991.00||1,794,681.00|
|SP2 - ROAD 1 ROUTE 152||Loan 3353||12 Dec 2017||QUYET TIEN - DONG HAI - MINH DUC||152 NHAC SON, LAO CAI VIETNAM VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||6,053,048.00||5,503,740.00|
|MC2 - CONSTRUCTION OF THE WESTERN KALONG RIVER WAS TEWATER AND STORMWATER IMPROVEMENTS||Loan 3353||15 Nov 2017||NHAC SON - SEEN - VIWASEEN||HOANG MAI, HANOI VIETNAM VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||9,589,044.00||8,718,464.00|
|MC1 - CONSTRUCTION OF THE EASTERN KA LONG RIVER WA STEWATER AND STORMWATER IMPROVEMENTS||Loan 3353||07 Nov 2017||NHAC SON - SEEN - UDCC||VIETNAM VIET NAM,SOC REP OF||People's Committee||CONSTRUCTION||9,674,016.00||8,795,722.00|
|Project Implementation Consultancy Services||Loan 3353||26 May 2017||Haskoningdhv Nederland B.V.||Netherlands||People's Committee||Consultancy||1,375,514.72||—|
|Project Implementation Consultancy Services||3353||26 May 2017||Haskoningdhv Nederland B.V||Netherland||People's Committee||Consulting Services||1,375,515.00||1,375,416.00|
|Title||Document Type||Document Date|
|Second Greater Mekong Subregion Corridor Towns Development Project: Procurement Plan||Procurement Plans||Apr 2019|