48444-004: Sustainable Highlands Highway Investment Program – Tranche 1 | Asian Development Bank

Papua New Guinea: Sustainable Highlands Highway Investment Program – Tranche 1

Sovereign (Public) Project | 48444-004 Status: Active

The Highlands region of Papua New Guinea (PNG) consists of seven landlocked provinces where approximately 40% of the population resides, most of whom are involved in rural smallholder agricultural production. Aside from abundant and underemployed labor resources, the region is endowed with agricultural and mineral resources which serve as an engine of growth for the national economy. Characterized by relative high levels of agricultural production of fresh produce and cash crops, mainly coffee, tea, and cocoa, the region contributes a third of the national gross domestic product; while the region's mineral and petroleum resources account for nearly 80% of national exports. The 1,200 km long 2-lane national Highlands Highway is the lifeline for the Highlands region connecting 1,800 km of regional and feeder roads and servicing the region's people particularly those in the rural hinterland.

Project Details

Project Officer
Ling, David Tai-Wen Pacific Department Request for information
Country
  • Papua New Guinea
Modality
  • Grant
  • Loan
Sector
  • Transport
 
Project Name Sustainable Highlands Highway Investment Program – Tranche 1
Project Number 48444-004
Country Papua New Guinea
Project Status Active
Project Type / Modality of Assistance Grant
Loan
Source of Funding / Amount
Grant 0538-PNG: Sustainable Highlands Highway Investment Program-Tranche 1
Government of Australia US$ 11.50 million
Loan 3547-PNG: Sustainable Highlands Highway Investment Program-Tranche 1
Ordinary capital resources US$ 272.00 million
Loan 3548-PNG: Sustainable Highlands Highway Investment Program-Tranche 1
concessional ordinary capital resources lending / Asian Development Fund US$ 30.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Knowledge solutions
Partnerships
Sector / Subsector

Transport / Road transport (non-urban) - Transport policies and institutional development - Urban roads and traffic management

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The Highlands region of Papua New Guinea (PNG) consists of seven landlocked provinces where approximately 40% of the population resides, most of whom are involved in rural smallholder agricultural production. Aside from abundant and underemployed labor resources, the region is endowed with agricultural and mineral resources which serve as an engine of growth for the national economy. Characterized by relative high levels of agricultural production of fresh produce and cash crops, mainly coffee, tea, and cocoa, the region contributes a third of the national gross domestic product; while the region's mineral and petroleum resources account for nearly 80% of national exports. The 1,200 km long 2-lane national Highlands Highway is the lifeline for the Highlands region connecting 1,800 km of regional and feeder roads and servicing the region's people particularly those in the rural hinterland. The highway traverses the Highlands region connecting it to the coastal provinces and the country's main port in Lae.
Project Rationale and Linkage to Country/Regional Strategy Access to basic services and the movement of goods and people is heavily reliant on the Highlands Highway. The mountainous terrain, poor highway conditions owing to a lack of systematic and consistent maintenance, coupled with washouts and landslides common during the rainy season make the highway unreliable and impassable at times. With climate change the frequency of extreme rain events are projected to increase. At present, more than 70% of the highway is in fair or poor condition, while for 90% of the road length, the safety rating for vehicle occupants and pedestrians is two star and below. In its current state, the road conditions pose serious road safety hazards to users and pedestrians, with levels of fatalities and injuries far in excess of comparable countries in Asia and the Pacific. High-potential agricultural products from the region bear high trade costs, limiting access to domestic and international markets. Poor road conditions and lack of adequate transport accessibility and services infrastructure such as bus stations and rest stops, and absence of logistic facilities for agricultural products restrict the development of value chains needed for perishable and high value products. Given the preponderance of rural population involved in agricultural livelihood activities, the present condition of the Highlands Highway is a major constraint hindering the region's future social and economic development and opportunities for sustainable and inclusive growth.
Impact

Increased opportunity for equality and prosperity in rural areas (Development Strategic Plan, 2010-2030)

Attainment of well-integrated, safe, affordable, and financially and environmentally sustainable transport systems that efficiently serve the economy and people of PNG (National Transport Strategy, 2014-2030)

Improved access to health and education, and living standards of the people of PNG (National Strategy for Responsible Sustainable Development for Papua New Guinea)

Project Outcome
Description of Outcome Increased efficiency and safe movement of people, goods, and services between the Highlands Region and markets
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

40% of the 430 km of the two-lane national Highlands Highway from Lae Nadzab airport to Kagamuga airport in Mt. Hagen will be rehabilitated, upgraded, and 430 km effectively maintained

Road safety on the national Highlands Highway increased

Institutional capacity of the DOW to deliver the investment program and sustain its benefits strengthened

Status of Implementation Progress (Outputs, Activities, and Issues) The project is effective. Preparation for recruitment activities for PMO consultants and supervision consultants is underway.
Geographical Location Nation-wide
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Responsible ADB Officer Ling, David Tai-Wen
Responsible ADB Department Pacific Department
Responsible ADB Division Transport, Energy and Natural Resources Division, PARD
Executing Agencies
Department of Works
[email protected]
P.O. Box 1108
Boroko, NCD
Papua New Guinea
Timetable
Concept Clearance -
Fact Finding -
MRM 21 Mar 2017
Approval 10 Jul 2017
Last Review Mission -
Last PDS Update 29 Sep 2017

Grant 0538-PNG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Jul 2017 19 Jul 2017 08 Sep 2017 30 Jun 2022 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 11.50 Cumulative Contract Awards
ADB 0.00 10 Jul 2017 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 11.50 10 Jul 2017 0.00 0.00 0%

Loan 3547-PNG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Jul 2017 19 Jul 2017 08 Sep 2017 30 Jun 2022 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 316.00 Cumulative Contract Awards
ADB 272.00 10 Jul 2017 0.00 0.00 0%
Counterpart 44.00 Cumulative Disbursements
Cofinancing 0.00 10 Jul 2017 0.10 0.00 0%

Loan 3548-PNG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Jul 2017 19 Jul 2017 08 Sep 2017 30 Jun 2022 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 30.00 Cumulative Contract Awards
ADB 30.00 10 Jul 2017 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 10 Jul 2017 0.00 0.00 0%

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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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.

Related Publications

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Tenders

Tender Title Type Status Posting Date Deadline
Program Director Individual - Consulting Active 14 Feb 2018 20 Feb 2018
Environment Safeguards Expert #1 Individual - Consulting Active 14 Feb 2018 20 Feb 2018
Environment Safeguards Expert #2 Individual - Consulting Active 14 Feb 2018 20 Feb 2018
Project Manager #1 Individual - Consulting Active 14 Feb 2018 20 Feb 2018
Project Manager #2 Individual - Consulting Active 14 Feb 2018 20 Feb 2018
Social Safeguards Expert (land Acquisition and Resettlement) #2 Individual - Consulting Active 14 Feb 2018 20 Feb 2018
Social Safeguards Expert (land Acquisition and Resettlement) #1 Individual - Consulting Active 14 Feb 2018 20 Feb 2018
Project Manager #3 Individual - Consulting Active 14 Feb 2018 20 Feb 2018
L3547/3548; G0538: Sustainable Highlands Highway Investment Program (SHHIP) – Tranche 1 [SHHIP CSTB No. 3774; 3775; 3776] Invitation for Bids Active 12 Dec 2017 28 Feb 2018
Construction Supervision for CW2 Firm - Consulting Active 10 Nov 2017 11 Dec 2017
Construction Supervision for CW1 Firm - Consulting Active 10 Nov 2017 11 Dec 2017
Financial Management Expert Individual - Consulting Active 21 Aug 2017 03 Sep 2017
Team Leader Individual - Consulting Active 21 Aug 2017 03 Sep 2017
Head Secretariat (Civil Works Expert) Individual - Consulting Active 21 Aug 2017 03 Sep 2017

Contracts Awarded

No contracts awarded for this project were found

Procurement Plan

None currently available.