The Government of Kazakhstan requested ADB assistance for introducing performance based road maintenance in the country. The existing road maintenance management system does not provide for systematic process of measurement of the conditions of the road infrastructure, its diagnosis and forecasting future expenditures associated with its maintenance on the long-term basis. The executing agency (EA) has no previous experience in preparation and implementation of performance based road maintenance contracts. A project preparatory technical assistance (PPTA) was approved to prepare the project and assist the EA with the bidding process up to the award of the contract.
|Project Name||Road Maintenance Sustainability Project|
|Project Type / Modality of Assistance||Technical Assistance
|Source of Funding / Amount||
|Strategic Agendas||Inclusive economic growth
|Drivers of Change||Governance and capacity development
Private sector development
|Sector / Subsector||
Transport / Road transport (non-urban)
|Gender Equity and Mainstreaming||No gender elements|
|Description||The Government of Kazakhstan requested ADB assistance for introducing performance based road maintenance in the country. The existing road maintenance management system does not provide for systematic process of measurement of the conditions of the road infrastructure, its diagnosis and forecasting future expenditures associated with its maintenance on the long-term basis. The executing agency (EA) has no previous experience in preparation and implementation of performance based road maintenance contracts. A project preparatory technical assistance (PPTA) was approved to prepare the project and assist the EA with the bidding process up to the award of the contract.|
|Project Rationale and Linkage to Country/Regional Strategy||
Kazakhstan is a landlocked country with predominant dependence on roads for trade and movement. Recognizing this, the Government of Kazakhstan adopted several strategic policies and plans identifying strong transportation services as one of the key elements for promoting national security, political stability, economic growth and diversification, and social development. In November 2014, the President of Kazakhstan introduced a new economic policy, Nurly Zhol, which includes development of the transport infrastructure as one of the first priorities for the government. Subsequently, the government adopted a Strategic Plan 2014-2018, which identifies maintenance backlog, high capital cost of road rehabilitation, and other shortfalls amongst the main bottlenecks to be addressed in the road maintenance sector. The State Program for the Transport Infrastructure Development of Kazakhstan 2020, which has been prepared on the basis of the Strategy Kazakhstan 2050, necessitates introduction of performance-based and defect-free road maintenance contracting arrangements in the road maintenance sector by 2017. The Government of Kazakhstan is strongly committed to the development of the road transportation services through a combination of institutional and regulatory reforms and further liberalization of the sector.
The ownership, management, and regulatory structures relating to the development and maintenance of the republican road network in Kazakhstan are segmented. The existing road maintenance system and practices provide no incentives for innovation and value engineering and do not encourage cost reduction and improvement of the efficiency of the state budget spending for road maintenance. Planning of road maintenance is short-term, input-based, and set-up on the basis of visual projections, with no predefined minimum service quality that shall be delivered by the republican road network. As a result, the republican road network has deteriorated with assets in poor and unsafe conditions, outside of the maintenance cycle.
In February 2013, the government established a national road operator, Joint Stock Company Kazavtozhol, which is responsible for the procurement and supervision of mid-term and capital repair works funded by the government. Republican State Enterprise Kazakhavtodor is responsible for routine maintenance. In 2014, the Ministry of Investment and Development (MID) was created as the successor of the Ministry of Transport and Communications. Under the MID, the road sector is managed by the Committee of Roads (CoR). Both Kazavtozhol and Kazakhavtodor report to the CoR.
The CoR requested ADB assistance for introducing performance-based maintenance contracting arrangements in the road maintenance sector. The project fits with the strategic priorities identified in ADB's Midterm Review of Strategy 2020. It also recognizes and promotes the added value of innovative knowledge products, exchanges of best practice and private sector development experience for Kazakhstan s development agenda, as the country enters the middle-income country stage.
|Description of Outcome|
|Progress Toward Outcome|
|Description of Project Outputs|
|Status of Implementation Progress (Outputs, Activities, and Issues)|
|Geographical Location||Aktobe, Kostanay|
|Summary of Environmental and Social Aspects|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||Public consultations will be conducted during the project preparation. The main stakeholders of the project include Kazavtozhol, Kazakhavtodor, the government, road construction companies and the local community. The potential beneficiaries are road users, including local and/or transit vehicle drivers and transport operators, and local residents.|
|During Project Implementation||Public consultations will also be conducted during the project implementation.|
|Consulting Services||All consultants to be financed by this TA will be engaged by ADB in accordance with the Guidelines on the Use of Consultants (2013, as amended from time to time).|
Procurement of the PBM contract financed by ADB loan will be carried out in accordance with the ADB's Procurement Guideline (2015, as amended from time to time). The Project Procurement Plan will be finalized during the implementation of the PPTA.
It is classified Category A for procurement risk since it involves relatively new form of contract.
|Responsible ADB Officer||Kalliokoski, Ari|
|Responsible ADB Department||Central and West Asia Department|
|Responsible ADB Division||Transport and Communications Division, CWRD|
JSC "NC "KazAvtoZhol"
8 Amman Street, Business Center "Milano"
|Approval||14 Jul 2016|
|Last Review Mission||-|
|Last PDS Update||27 Sep 2017|
|Approval||Signing Date||Effectivity Date||Closing|
|14 Jul 2016||05 Aug 2016||05 Aug 2016||30 Sep 2017||30 Sep 2018||-|
|Financing Plan/TA Utilization||Cumulative Disbursements|
|1,900,000.00||0.00||0.00||0.00||0.00||0.00||1,900,000.00||14 Jul 2016||518,810.91|
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.
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|Title||Document Type||Document Date|
|Проект обеспечения устойчивости содержания автомобильных дорог : Информация о проекте||Translated PDS||Sep 2016|
|Автомобиль жолдарын ұстау тұрақтылығын қамтамасыз ету жобасы : Жоба туралы ақпараттық бюллетень||Translated PDS||Sep 2016|
|Road Maintenance Sustainability Project: Project Preparatory Technical Assistance Report||Project Preparatory Technical Assistance Reports||Jul 2016|
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.
None currently available.
Evaluation Documents See also: Independent Evaluation
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|Tender Title||Type||Status||Posting Date||Deadline|
|Procurement Specialist (International)||Individual - Consulting||Active||28 Sep 2017||04 Oct 2017|
No contracts awarded for this project were found
None currently available.