ADB is helping Fiji improve the safety and durability of its land and maritime transport infrastructure. The project will finance civil works to repair and upgrade existing roads, bridges, and rural jetties. A key focus will be on building climate-resilient infrastructure. It will also help strengthen institutional capacity of central and line agencies.
|Project Name||Transport Infrastructure Investment Sector Project (formerly Bridge Replacement 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||
Transport / Road transport (non-urban) - Transport policies and institutional development - Water transport (non-urban)
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||The proposed project will improve access to socioeconomic opportunities by supporting the government in upgrading and rehabilitating land and maritime transport infrastructure.|
|Project Rationale and Linkage to Country/Regional Strategy||
Fiji is a South Pacific archipelagic nation of 110 inhabited islands with a land area of 18,300 square kilometers and a population of 860,000. Fiji is located 2,000 3,000 kilometers (km) from major metropolitan markets, and service delivery costs within the country are high because the population is dispersed. About 90% of the population lives on the three main islands of Viti Levu, Vanua Levu, and Taveuni.
Fiji requires adequate transport infrastructure to improve access to economic opportunities and services for rural populations, and to improve trade. Fiji is a middle-income country with a per capita income of $4,618, and overall poverty in Fiji declined slightly between 2003 (39.8%) and 2009 (35.2%). However, a 2008 household income and expenditure survey estimated the poverty incidence to be 19% in urban areas and 43% in rural areas. More than half of Fiji's population live in rural communities, which are geographically isolated from provincial and national centers and served by rural transport infrastructure that is in poor condition. These factors limit rural economic opportunities and social services. The World Bank's 2014 Doing Business report ranked Fiji 111th out of 185 economies in the ease of trading across borders, which is a measure of the time and cost associated with the import or export of a standard shipment by sea transport. Local transportation and handling accounted for 30% of costs, and about 16% of time, associated with imports and exports.
The road network is characterized by spine or circumferential main roads and feeder roads, with few alternative routes. It is prone to disruption by heavy rainfall and flooding, which is often exacerbated by tropical cyclones. Rural maritime infrastructure has been neglected and is in poor condition. Climate change predictions show increased frequency and intensity of heavy rainfall, and sea level rise. Roads, bridges, and rural jetties need to be rehabilitated, with better environmental protection and to higher construction standards, to be resilient against extreme weather events and natural disasters. Disruption in transport connectivity constrains movement of people and goods, depresses productive rural activity, and impedes tourism growth. Further investment in the transport sector, focusing on vulnerable groups including rural communities, women, elderly, and youth and considering climate resilience, will provide a foundation for inclusive growth by improving access to markets and services in rural areas.
Intermodal links are vital to link Fiji's dispersed communities, and enable people and goods to connect through road links to the main ports of Suva (the capital) and Lautoka, and to the landing ports for interisland domestic shipping and ferry services between Viti Levu, Vanua Levu, Ovalau, and Taveuni. Freight is transported between northwest and southeast Viti Levu either via ship (between ports in Lautoka and Suva), or by land along Queens Road. The international airport in Nadi is connected to the capital by the Queens Road and by domestic flights to and from Nausori airport. Roads to these airports are essential intermodal links.
The government has estimated that about F$1.3 billion ($702 million equivalent) in capital expenditures and F$450 million ($243 million equivalent) in maintenance expenditures are required for road and rural maritime infrastructure over 2014 2018. This is more than double the annual average maintenance expenditures and triple the capital works expenditures over 2004 2013. These budget increases will require contributions from concessional financing dedicated to the sector, in addition to government support from general revenue sources.
The Asian Development Bank (ADB) has previously advocated for the establishment of a roads authority; this was realized through the establishment of the Fiji Roads Authority (FRA) by the Fiji Roads Authority Decree 2012, and has contributed to more efficient service delivery. The FRA is responsible for maintaining and upgrading assets that currently consist of about 11,115 km of roads (including 1,483 km of sealed and 9,632 km of unsealed roads), 868 bridges, and 47 jetties. While FRA currently operates under a costly institutional setup that relies on foreign expertise, it has developed a strategy to increase local capacity; the project will support these efforts by engaging local experts, guided and mentored by FRA's international experts, for day-to-day project supervision. It will also build the capacity of government staff to plan, select, and oversee implementation of transport infrastructure projects.
ADB has provided transport-related support to Fiji since 1980, and investments have generally achieved key objectives, despite some delays and cost overruns. ADB continued implementing transport projects during a period of limited engagement that began in 2006, including the Port Development Project, and the Third Road Upgrading Sector Project. In 2009, ADB also approved additional financing for the Third Road Upgrading Sector Project, and an emergency loan to assist Fiji in response to devastating floods. Lessons from previous engagements in the country relevant to the transport sector include the need for sustained support over the long term to foster private participation in infrastructure service delivery, and the importance of extensive preparation and implementation support to address capacity constraints.
The government's vision for Fiji is set out in the Roadmap for Democracy and Sustainable Socio-Economic Development, 2010 2014, and is reiterated through the Green Growth Framework (GGF). The GGF sets out policy direction for 10 thematic areas, which include resilience to climate change and disasters, sustainable transportation, and inclusive social development. ADB engagement will be guided by its country partnership strategy, 2014 2018, and country operations business plan, 2015 2017 for Fiji, both of which support the government's national strategies, and identify transport as a key sector for engagement. The project will support the country partnership strategy in swiftly increasing ADB support in the transport sector following Fiji's 2014 elections, and help the country overcome its key development challenges. The project will finance repair, rehabilitation, and upgrading of transport infrastructure prioritized by an updated 20-Year National Transport Infrastructure Plan, based on the GGF, the Roadmap for Democracy and Sustainable Socio-Economic Development, and Public Sector Investment Program.
The project will be implemented as a sector project, by financing a time slice of subprojects (comprising 30 km of roads, 30 bridges, and four jetties) prioritized by the updated 20-Year National Transport Infrastructure Plan, and selected in accordance with agreed subproject eligibility criteria and selection procedures. The project will support strengthening of the institutional capacity of central and line agencies in prioritizing transport infrastructure investment, and reducing the backlog of maintenance of transport infrastructure. The project supports existing policy for the transport sector articulated through the National Transport Sector Plan (1993), which is being updated through ADB-supported TA (footnote 2).
The World Bank has expressed strong interest in cofinancing the project, and is expected to approve its cofinancing in early 2015; following that approval, the project scope will be enlarged to cover additional subprojects. The World Bank cofinancing is envisaged to be on a joint basis, with partial administration by ADB of the cofinancing. Common implementation frameworks covering safeguards, procurement, and financial management have been agreed in principle between ADB and the World Bank.
|Impact||Improved access to markets, employment opportunities, and social services|
|Description of Outcome||Improved safety and resilience of land and maritime transport infrastructure|
|Progress Toward Outcome||
The loan was declared effective on 27 March 2015. The WB loan and project agreements were signed on 14 April 2016. Loan was declared effective on 27 March 2015.
Project Supervision Team (PST) : FRA have appointed only one (ADB program manager) of the four required positions. Short term inputs have intermittently addressed the land acquisition and environmental due diligence needs of the projects being procured. An ADB CDTA consultant (procurement specialist) is providing valuable assistance with the preparation of bid documents.
Design and supervision consultants: FRA refuse to recruit dedicated design and supervision consultants.
Elapsed time = 52%, contract awards = 11.6% and disbursements = 1.8%
|Description of Project Outputs||
Rehabilitated and climate resilient land and maritime transport infrastructure
Efficient project management support
|Status of Implementation Progress (Outputs, Activities, and Issues)||
|Summary of Environmental and Social Aspects|
|Environmental Aspects||ADB and WB have agreed on a common approach to safeguards based on Fiji's safeguards requirements, and strengthened by the ADB Safeguards Policy Statement 2009 (SPS) and WB Operational Policies (OP). For environment, the project is classified as category B. Category A subprojects will not be eligible for financing under the project. An environmental and social management framework (ESMF) has been prepared to ensure that the project complies with SPS, OP 4.01, and Fiji national laws. An environmental impact assessment as required by the procedure established by the Environmental Management Act 2005 administered by Fiji Department of Environment and equivalent to ADB's initial environmental examination was prepared for the sample subproject. The impacts of the subproject are largely confined to the construction stage, are site-specific, and can be mitigated readily. The project will be implemented by the project supervision team to be established in FRA, supported by design and supervision consultants. The project supervision team and design and supervision consultants will include safeguard specialists who will be responsible for implementing the ESMF and monitoring compliance with environmental safeguards.|
|Involuntary Resettlement||The project is classified as category B for involuntary resettlement. The project is not expected to involve any physical displacement. It will require acquisition of land for road widening or realignment, and temporary access during construction; the impacts are not expected to be significant. A land acquisition and resettlement framework and a land acquisition and resettlement plan have been prepared for the project. Consultations have been undertaken during project preparation, and further consultations will be undertaken during implementation. The land acquisition and resettlement plan will be updated or finalized during detailed design, and compensation will be provided to affected persons before the start of civil works at the respective subproject sites. The project will establish a grievance redress mechanism to resolve grievances of affected persons. FRA will (i) appoint a focal person for land issues; (ii) establish social safeguard capacity within the project supervision team, including social safeguard specialists; and (iii) coordinate with the iTaukei Land Trust Board and the Department of Lands to implement the project's land acquisition and resettlement activities.|
|Indigenous Peoples||The project has been classified category C for indigenous peoples in accordance with ADB's Safeguard Policy Statement. The project is not expected to impact vulnerable group of indigenous people. The iTaukei (Melanesians) comprise the majority of the country's population and are likely the majority population and project beneficiaries in the project areas. While a separate indigenous peoples plan is not required, the project will be implemented in a participatory manner. FRA, in coordination with relevant government agencies, will organize adequate consultations with the affected local communities and ensure that there is a broad local community support of the proposed subprojects. The project's stakeholder consultation strategy and participation plan will include detailed consultation measures. The detailed feasibility reports will include a summary of consultation activities and confirmation of the broad community support of the subproject.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation||During the early implementation phase of the project, a communication strategy and communication plan will be prepared by project supervision team that will indicate the types of information, means of communication, who will provide and to whom including at what intervals to the stakeholders about the project as well as its implementation.|
|Responsible ADB Officer||Cerelala, Albert|
|Responsible ADB Department||Pacific Department|
|Responsible ADB Division||Pacific Subregional Office in Suva, Fiji|
Ministry of Economy
Level 5x Ro Lalabalavu House
370 Victoria Parade
|Concept Clearance||25 Aug 2014|
|Fact Finding||18 Aug 2014 to 29 Aug 2014|
|MRM||25 Sep 2014|
|Approval||05 Dec 2014|
|Last Review Mission||-|
|Last PDS Update||29 Mar 2018|
|Approval||Signing Date||Effectivity Date||Closing|
|05 Dec 2014||12 Dec 2014||27 Mar 2015||31 Dec 2020||30 Nov 2022||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||116.67||Cumulative Contract Awards|
|ADB||100.00||05 Dec 2014||23.19||0.00||23%|
|Cofinancing||0.00||05 Dec 2014||14.56||0.00||15%|
|Status of Covenants|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||50.00||Cumulative Contract Awards|
|Approval||Signing Date||Effectivity Date||Closing|
|05 Dec 2014||07 May 2015||07 May 2015||30 Jun 2018||30 Jun 2019||-|
|Financing Plan/TA Utilization||Cumulative Disbursements|
|700,000.00||0.00||0.00||0.00||0.00||0.00||700,000.00||05 Dec 2014||607,049.38|
|Status of Covenants|
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.
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
None currently available.
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.
$100 Million ADB Transport Loan Marks New Partnership With FijiADB and the Government of Fiji today signed a $100 million loan agreement for a project to improve the safety and durability of the country’s land and maritime transport infrastructure.
|Contract Title||Approval Number||Contract Date||Contractor||Contractor Address||Executing Agency||Contract Description||Total Contract Amount (US$)||Contract Amount Financed by ADB (US$)|
|FRA/TIISP/19-03 CONTRUCTION SUPERVISION, REHABILIT ATION OF KINGS ROAD - WAILOTUA TO BA||Loan 3210||20 Nov 2020||SMEC INTERNATIONAL PTY LTD||NORTH SYDNEY, NSW 2060 AUSTRALIA AUSTRALIA||Ministry of Economy||CONSTRUCTION||3,832,202.58||2,303,076.25|
|FRA/TIISP/19-40 GEOTECHNICAL ENGINEERING INVESTIGATIONS FOR 8 ROADS||Loan 3210||28 Apr 2020||ENTEC PTE LIMITED||SUVA LEVEL 2 MID CITY BUILDING SUVA FIJI, REPUBLIC OF||Ministry of Economy||CONSULTANCY||134,365.41||81,093.70|
|FRA/TIISP/18-02 TOPOGRAPHICAL SURVEY OF REMAINING SARUP 2 ROADS||Loan 3210||28 Apr 2020||BECA INTERNATIONAL CONSULTANTS LIMITED||SUVA FIJI, REPUBLIC OF||Ministry of Economy||CONSULTANCY||159,315.13||96,151.64|
|FRA/TIISP/19-39 SARUP 2 DESIGN PACKAGE||Loan 3210||28 Apr 2020||BECA INTERNATIONAL CONSULTANTS LIMITED||SUVA FIJI, REPUBLIC OF FIJI, REPUBLIC OF||Ministry of Economy||CONSULTANCY||3,659,870.61||2,208,845.78|
|FRA/TIISP/17-114 VITILEVU CROSSING RENEWAL; RABARABA, SOLOVI 1 AND 2||Loan 3210||11 Jun 2019||CONCRETE SOLUTIONS (FIJI) LIMITED||LAMI SUVA FIJI, REPUBLIC OF||Ministry of Economy||CONSTRUCTION||1,003,716.79||1,000,905.84|
|FRA-TIISP-18-02 SUVA ARTERIAL ROADS UPGRADING PROJECT (SARUP 2)||Loan 3210||29 Apr 2019||GUIZHOU ROAD AND BRIDGE GROUP CO. LTD||GUIZHON PROVINCE 55001 PR CHINA CHINA,PEOPLE'SREP.OF||Ministry of Economy||CONSTRUCTION||64,395,525.67||38,552,640.98|
|Capacity Development||Technical Assistance 8777||05 Mar 2018||VICROADS(AUSTRALIA)||60 DENMARK STREET KEW, VICTORIA 3101 AUSTRALIA||Ministry of Economy||Consulting Services||298,866.00||—|
|ROAD RESEALS PROGRAMME OF ROADS IN WESTERN, CENTRAL & NORTHERN DIVISION, FIJI||Loan 3210||20 Feb 2018||FLETCHER BUILDING (FIJI) LTD T/A HIGGINS||NADI AIRPORT FIJI FIJI, REPUBLIC OF||Ministry of Economy||CONSTRUCTION||15,693,875.00||9,336,813.00|
|Suva Arterial Road Upgrade Project Stage 1||Loan 3210||13 Feb 2017||Hot Springs Hire Services Ltd.||Fiji Fiji, Republic Of||Ministry of Economy||Construction||759,978.75||452,977.37|
|CBSSW1 MSW Transfer Station Civil Works||Loan 3210||06 Feb 2017||China Railway No. 5||Lot 1 Dss 1775, Sawau Road, Bayview Heig Hts, Po Box 863, Suva China, People's Republic of||Ministry of Economy||Construction||11,069,360.51||6,622,363.92|
|Title||Document Type||Document Date|
|Transport Infrastructure Investment Sector Project: Procurement Plan||Procurement Plans||Aug 2018|