India: Odisha Skills Development Project

Sovereign Project | 46462-002 Status: Active

Summary

The expected impact of the S-PPTA (and of the ensuring loan) will be improved employability of the working age population of Odisha. This can be measured by increase in per capita income, decrease in unemployment rates, and increased share of formal employment in the organized sector. The expected outcome of the S-PPTA will contribute to enhanced capacity of OSEM and the Directorate of Technical Education and Training (DTET) to provide demand-driven skills programs in priority sectors and skills. This will be measured by an increase in numbers of men and women receiving skills training in priority sectors and skills, reduction in youth unemployment rates and reduced skills-gaps in priority sectors.

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Consulting Notices See also: CMS

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Procurement Documents

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Project Name Odisha Skills Development Project
Project Number 46462-002
Country India
Project Status Active
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 8593-IND: Odisha Skills Development Project
Technical Assistance Special Fund US$ 225,000.00
TA 8593-IND: Odisha Skills Development Project (Supplementary)
Technical Assistance Special Fund US$ 500,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Partnerships
Private sector development
Sector / Subsector

Education - Technical and vocational education and training

Gender Equity and Mainstreaming Gender equity
Description

The expected impact of the S-PPTA (and of the ensuring loan) will be improved employability of the working age population of Odisha. This can be measured by increase in per capita income, decrease in unemployment rates, and increased share of formal employment in the organized sector. The expected outcome of the S-PPTA will contribute to enhanced capacity of OSEM and the Directorate of Technical Education and Training (DTET) to provide demand-driven skills programs in priority sectors and skills. This will be measured by an increase in numbers of men and women receiving skills training in priority sectors and skills, reduction in youth unemployment rates and reduced skills-gaps in priority sectors.

The S-PPTA with additional TA support has supported the Government of Odisha to design the ensuing loan. The output has been a draft design document based upon comprehensive research, planning and stakeholder discussions. The design and planning document reflect the priorities and strategies of the Government of Odisha and are being finalized.

Key elements of the S-PPTA are likely to include: (i) sector analysis of skills development with a particular emphasis on drawing lessons learned and good practices in other states of India and from relevant countries; (ii) the groundwork for an updated and validated skills-gap and skills-potential analysis to validate priority sectors and skill levels for the next ten years; (iii) technical advice and planning to incorporate contemporary approaches to TVET in expansion and improvement; (iv) a gender and social inclusion analysis that identifies design features to maximize social inclusion; (v) a facilities condition report and infrastructure development plan; and (vi) an institutional/policy reform plan to guide best structure and needs for OSEM and DTET to implement large-scale demand driven skills development system.

There is early consensus with Government of Odisha that a future skills development project needs to: (i) target skilling of new entrants and up-skilling of existing workers in different sectors (agriculture, services and manufacturing, formal and informal sectors, and self-employment) and groups (those with different educational level, different social groups); (ii) reduce existing mismatches by relying more heavily on skill-gaps analysis, effective counseling and career guidance, better monitoring of ongoing programs (tracer studies, common and uniform database to track trainees), catalyze the private sector to promote enterprise based training and delegating more powers to training institutions to respond more flexibly to current and future labor market needs through partnerships; (iii) build new facilities and upgrade some existing facilities to ensure broad based provision and upgrade teaching equipment; (iv) build synergies with and expand successful skilling and up-skilling programs sponsored by central and state level schemes; and (v) expand capacity for quality assurance and training of trainers through partnerships. Building on Government of Odisha's priorities and requirements, the S-PPTA has ensured project planning is closely targeted to government need.

Project Rationale and Linkage to Country/Regional Strategy The core problem in Odisha is the low employability of the young workforce due to low skills, weak capacity, fragmented skills ecosystem and weak synergy with industries. Nearly half of Odisha's population is below 25 years. However, youth unemployment (6.47% compared to 6.12% for all India) and underemployment (23.5% compared to 17.6% for all India) rates are high in Odisha. A significant size of Odisha''s population of 41.9 million is marginalized. Odisha''s economy is gradually shifting from agriculture (from 23.49% in 2004- 05 to 15.58% in 2013 -14) to industry (from 23.71% in 2004-05 to 25.40% in 2013-14) and services (from 52.80% in 2004 05 to 59.02% in 2013 -14). Currently, the five major industries offering employment opportunities in Odisha are agriculture, construction, trade and repair of motor vehicles, manufacturing, and education. Government of Odisha has taken several initiatives to address emerging opportunities and related skills shortages. However, there is further need for both financial and technical assistance to achieve the desired outcomes from skills development programs including meeting employment targets. It is important to develop a phased market-responsive and quality assured, sustainable skills development system in Odisha in line with a long-term vision envisaged in India''s National Skill Development Policy, 2009 as well as the New Policy released in 2015. This is consistent with ADB''s country partnership strategy, 2013- 2017.
Impact Enhanced capacity of OSEM and DTET to provide demand-driven skills programs in priority sectors and skills

Project Outcome

Description of Outcome 'Odisha Skills Development Project' conceptualized and initial loan design prepared
Progress Toward Outcome
Implementation Progress
Description of Project Outputs Scoping, design, technical and economic assessments completed
Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location

Summary of Environmental and Social Aspects

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design The project design is in advance stage, which includes draft project design, economic and financial analysis, labor market analysis, and social safeguards analysis. Consultations were held with key stakeholders involved in skills development in Odisha and outside as well as potential beneficiaries of the proposed project.
During Project Implementation TBD

Business Opportunities

Consulting Services The current provision has a total of 9 person-months of consultant inputs (5 person-months of international and 4 person-months of national). ADB has engaged a firm using quality and cost-based selection and simplified technical proposal covering standard activities. The firm currently provides a total of 24 person-months of inputs, with 3 person-months international and 21 person-months national inputs. The firm has completed its services and its contract will be closed soon. ADB also engaged individual consultants for a total of 32 person-months of consultant inputs. All consultants were recruited in accordance with ADB''s Guidelines on the Use of Consultants (2013, as amended from time to time).
Procurement Disbursements will be made in accordance with ADB''s Technical Assistance Disbursement Handbook (May 2010, as amended from time to time).

Responsible Staff

Responsible ADB Officer Panth, Brajesh
Responsible ADB Department South Asia Department
Responsible ADB Division Human and Social Development Division, SARD
Executing Agencies
Skill Development and Technical Education Department
Odisha State Secretariat, Sachivalaya
Marg, Unit-2 Bhubaneswar, Odisha-751001

Timetable

Concept Clearance -
Fact Finding -
MRM -
Approval 17 Dec 2013
Last Review Mission -
Last PDS Update 23 Sep 2016

TA 8593-IND

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
17 Dec 2013 - 17 Dec 2013 31 Jan 2015 30 Nov 2016 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
725,000.00 0.00 0.00 0.00 0.00 0.00 725,000.00 17 Dec 2013 565,011.13

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Safeguard Documents See also: Safeguards

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Evaluation Documents See also: Independent Evaluation

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Related Publications

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