Nauru: Port Development Project

Transport / Water transport (non-urban)

The project stakeholders are the government (Ministry of Finance), NMPA, all importers and exporters, potential passengers, domestic market retailers, the general public, and development partners. The key stakeholders from the government and NMPA form the Project Steering Committee, which oversees the project preparation and implementation. The business community and general public will participate in the ongoing consultative process. Ongoing review of environment and other safeguards issues are undertaken as part of the project due diligence.

The civil society organizations were consulted and involved during the TA stage in carrying out social surveys and during the construction stage for conducting workshops and training programs for preventing the spread of communicable diseases, including HIV/AIDS, from international workers.

Additional cofinancing of $2,611,000 (A$3,300,000) from the Government of Australia was approved On 23 November 2017, to be administered by ADB to support NMPA's institutional strengthening and capacity building. On 24 August 2020 and 23 November 2021, ADB approved additional financings of $750,000 each to further finance reforms and capacity-building activities for NMPA, increasing the TA amount to $5,011,000.

The government approved the NMPA's new organizational structure, business processes, O&M plan, and tariff reforms. These new processes and procedures have been established within the NMPA. The improved systems and procedures align with international best practices and comply with the international maritime and port conventions and regulations that the government has signed.

In December 2019, the government ratified the Maritime Security Act 2019, the Port and Navigation Act 2019, and Maritime Security Act Regulations. These acts and regulations supported the establishment of NMPA as a self-managed state-owned enterprise, effective 1 February 2020. Before 1 February 2020, NMPA operated as a government department funded by the government's consolidated fund. The consultants work closely with the NMPA staff to build capacity and implement reforms. The reforms under the TA include outsourcing the port operations (stevedoring) to an international private sector operator within one year of the new port facilities becoming operational.

An international consulting firm was recruited under the PPTA using the quality and cost based selection procedure, with a simplified technical proposal and a 90:10 proportion of quality to cost.

PPTA Consultants carried out due diligence on technical, financial, economical, environment, land acquisition/ resettlement and indigenous people, governance, climate change, poverty and gender issues of the proposed project.

Several Individual consultants have been engaged since July 2018 under the TA to undertake comprehensive reforms for NMPA.