48025-003: Central Asia Regional Economic Cooperation Corridor 2 (Pap-Namangan-Andijan) Railway Electrification Project | Asian Development Bank

Uzbekistan: Central Asia Regional Economic Cooperation Corridor 2 (Pap-Namangan-Andijan) Railway Electrification Project

Sovereign (Public) Project | 48025-003 Status: Active

The Asian Development Bank is helping Uzbekistan electrify a railway linking the cities of Pap, Namangan and Andijan. The upgrade will improve the safety and reliability of rail travel and connect major cities in the Fergana Valley, home to a third of the country's population, with the capital Tashkent. It will also boost regional trade, as the railway is part of a CAREC economic corridor route.

Project Details

Project Officer
Sakamoto, Ko Central and West Asia Department Request for information
Country
  • Uzbekistan
Modality
  • Loan
Sector
  • Transport
 
Project Name Central Asia Regional Economic Cooperation Corridor 2 (Pap-Namangan-Andijan) Railway Electrification Project
Project Number 48025-003
Country Uzbekistan
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3527-UZB: Central Asia Regional Economic Cooperation Corridor 2 (Pap-Namangan-Andijan) Railway Electrification Project
Ordinary capital resources US$ 80.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Regional integration
Drivers of Change Gender Equity and Mainstreaming
Knowledge solutions
Sector / Subsector

Transport / Rail transport (non-urban)

Gender Equity and Mainstreaming Some gender elements
Description The Government of Uzbekistan (the government) has requested Asian Development Bank (ADB) assistance for the electrification of the railway line from Pap to Namangan to Andijan. The proposed project (the Project) will electrify the missing 145.1 kilometers (km) of non-electrified track linking major cities in the populous Fergana Valley with Tashkent. This will facilitate direct and efficient operation of both freight and passenger train services and thereby promote economic and social development of the Fergana Valley.
Project Rationale and Linkage to Country/Regional Strategy

With 31 million people, Uzbekistan is the most populous country in Central Asia. Being a double landlocked country, transport plays an important role in sustaining its socioeconomic development.

The project targets the Fergana Valley, which is home to nearly one-third of the country's population. The valley holds vast industrial and agricultural potential which remains to be fully tapped. Poor transport connectivity is one of the obstacles to the development of the Fergana Valley.

Rail transport has a unique competitive advantage over road transport for moving commodities and goods in bulk over long distances. The 4,669 km Uzbekistan rail network carries about 60 million tons of freight and 15 million passengers annually.

Uzbekistan has continued to modernize its railway infrastructure. Since its founding in 1994, O'zbekiston Temir Yo'llari (UTY), the vertically integrated public railway company, has gradually implemented a holistic railway modernization program, including the completion of a unified rail network, electrification and modernization of existing lines, and improvement of rolling stock. UTY has worked with development partners to undertake institutional reforms. With support from the Asian Development Bank (ADB), the government initiated UTY reforms in 1997, under which ancillary rail services were largely separated from core operations.

Despite these efforts, the railways still face long transport times, inadequate service quality, and high operating costs, because of aged or inadequate infrastructure, operational inefficiencies, competition from road transport, and an insufficient number of locomotives. This results in lost economic opportunities, suboptimal regional trade, and negative environmental impacts. The project tackles this core problem by accelerating investment in critical railway infrastructure, namely, the electrification of non-electrified tracks in the densely populated Fergana Valley.

The project will increase the mobility of goods and people in the Fergana Valley, improve environmental and safety performance of railways, and accelerate regional connectivity. As of 2016, rail operations on the Pap Namangan Andijan line are limited to two passenger trains and three freight trains per day. By extending an adjacent project being undertaken by UTY to electrify the Pap Kokand Margilan Andijan line, the project will allow reliable, more frequent, and higher-speed connections between the major cities and towns in the Fergana Valley.

Switching from diesel to electric traction will reduce the amount of noise, vibration, and air pollution from each train. By increasing the capacity and attractiveness of rail travel, the project will help shift transport away from roads and reduce local pollutants and greenhouse gases. The project will reduce carbon dioxide emissions by 10,000 tons per year. Operational safety in the Fergana Valley will be improved through a dedicated project component on railway safety.

The project supports the development of the Fergana Valley Tashkent Economic Corridor. The completion of the Pap Angren line in mid-2016 allowed for the first time a continuous, electrified railway link between the Fergana Valley and Tashkent. The project will extend the electrified network to major cities and towns in the Fergana Valley. Travel time from Namangan to Tashkent will be cut from the current 5 hours by road to about 3 hours by rail, enabling better access to employment opportunities in Tashkent. Also, businesses headquartered in Tashkent will be able to move more of its activities to the Fergana Valley.

The project railway is part of CAREC Corridor 2, linking Uzbekistan to the People's Republic of China to the east and Europe to the west. The project railway forms a central link on CAREC designated rail corridors 202 and 203.

Impact

Stimulated economic growth in the Fergana Valley

Increased regional trade along CAREC Corridor 2

Project Outcome
Description of Outcome Level of passenger and freight service on the Pap-Namangan-Andijan railway line improved
Progress Toward Outcome Procurement activities are ongoing. The procurement of plant, in 3 lots, is ongoing (ADB comments to the draft bidding document was sent to the EA on 9 January 2018. The procurement for the supply of external power supply was advertised with bid submission deadline on 6 March 2018.
Implementation Progress
Description of Project Outputs

Railway infrastructure along the Pap-Namangan-Andijan line upgraded

Safety of railway operations improved

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

Achievement of targets to be assessed upon completion.

Goods of contact supply of equipment and materials for external power supply system has been procured. The procurement of external power supply's bid submission deadline is 6 March 2018.

Achievement of targets to be assessed upon completion. Revised bidding documents which incorporate ADB comments is awaited.

Achievement of targets to be assessed upon completion. Procurement and start-up activities are ongoing.

Achievement of targets to be assessed upon completion.

Revised bidding documents which incorporate ADB comments is awaited.

Achievement of targets to be assessed upon completion. Procurement/supply of goods activities are at early stage.

Geographical Location Nation-wide, Andijan, Namangan, Pop-Nalivnoy
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects Net environmental impacts are envisaged to be positive, as the electrification will reduce local air pollution from diesel locomotives. UTY prepared an initial environmental examination (IEE) for the entire project scope, which includes two environmental management plans: one to cover the electrification of the railway line and traction substations, and another to cover the external power supply transmission line.
Involuntary Resettlement Construction and installation activities are mainly within UTY's existing railway right-of-way, but some land will be acquired. UTY, supported by technical assistance consultants, has prepared a draft LARP that adequately addresses the impacts for mitigation.
Indigenous Peoples The country in general, and the project area in particular, does not have indigenous peoples' communities as defined in ADB's Safeguard Policy Statement for operational purposes.
Stakeholder Communication, Participation, and Consultation
During Project Design

Due consultations have been conducted with relevant stakeholders. Apart from the direct beneficiaries of the project, O'zbekiston Temir Yo'llari (UTY) will be the main stakeholder as the executing agency, in association with the state-owned power utility company Uzbekenergo. The Ministry of Finance, State Committee on Investment, National Agency for Project Management, State Committee of Land Resources, Geodesy, Cartography and State Cadastre and other authorities of the Government of Uzbekistan will support the design and implementation of the project.

The Womens' Committee of Uzbekistan, local hkokimiyats/authorities, and the local population living in the project area will be consulted through meetings and briefings, during the project design. Such consultations will particularly be important for those households that may directly be affected by involuntary land acquisition and resettlement.

During Project Implementation Relevant stakeholders will continue to be consulted during project implementation. In particular, stakeholder consultation workshops are being undertaken in the project area in Q4 2017 and Q1 2018 to ensure full understanding of ADB's land acquisition and resettlement procedures.
Business Opportunities
Consulting Services An international consulting firm will be recruited to assist in bidding evaluation, supervise all related work including systems integration, and support UTY in improvement of multimodal logistics.
Procurement Contractors will be engaged through Plant and Goods contracts, which will be tendered under international competitive bidding. Bidding documents will be prepared by UTY, supported by project preparatory technical assistance (PPTA) consultants.
Responsible ADB Officer Sakamoto, Ko
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Transport and Communications Division, CWRD
Executing Agencies
O'zbekiston Temir Yo'llari
Alisher Djuraev
[email protected]
7 Taras Shevochenko St.
Tashkent 70060
Uzbekistan
Timetable
Concept Clearance 12 Aug 2016
Fact Finding 21 Nov 2016 to 30 Nov 2016
MRM 16 Feb 2017
Approval 21 Apr 2017
Last Review Mission -
Last PDS Update 19 Mar 2018

Loan 3527-UZB

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
21 Apr 2017 08 Nov 2017 29 Nov 2017 31 Dec 2021 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 177.45 Cumulative Contract Awards
ADB 80.00 21 Apr 2017 26.39 0.00 33%
Counterpart 97.45 Cumulative Disbursements
Cofinancing 0.00 21 Apr 2017 5.75 0.00 7%

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.

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.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


The Public Communications Policy (PCP) 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.

Contracts Awarded

Contract Title Approval Number Contract Date Contractor Contractor Address Executing Agency Contract Description Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
P04: CONTACT SUPPLY OF EQUIPMENT AND MATERIALS FOR EXTERNAL POWER SUPPLY SYSTEM Loan 3527 22 Jan 2018 BINOKOR TEMIR-BETON SERVIS JV LLC 95 A,A. TEMUR AVE.,YUNUSABAD DISTRICT, TASHKENT UZBEKISTAN, REP. OF O'zbekiston Temir Yo'llari SUPPLY OF GOODS 18702650 18702650
SUPPLY AND DELIVERY OF VARIOUS RAILWAY MAINTENANCE MACHINERY FOR OVERHEAD CATENARY SYSTEM, SIGNALING AND TELECOMMUNICATION Loan 3527 05 Dec 2017 SOCIETE DES ANCIENS ETABLISSEMENTS L. GEISMAR 113 BIS, AVENUE CHARLES DE GAULLE 92200, NEUILLY SUR SEINE FRANCE O'zbekiston Temir Yo'llari SUPPLY OF GOODS 4028933 4028933
ENGINEERING AND WORKS SUPERVISION Loan 3527 05 Dec 2017 JV ITALFERR S.P.A. AND TECNIC CONSULTING VIA V. G. GALATI 71 - 00155 ROMA ITALY O'zbekiston Temir Yo'llari 3498600 3498600