Timor-Leste : Baucau to Viqueque Highway Project

Project Name

Baucau to Viqueque Highway Project

Project Number

51115-001

Country / Economy

• Timor-Leste

Project Status

Active

Project Type / Modality of Assistance

• Loan
• Technical Assistance

Source of Funding / Amount

Loan 3643-TIM: Baucau to Viqueque Road Project

Source	Amount
Ordinary capital resources	US$ 19.00 million

Loan 3644-TIM: Baucau to Viqueque Road Project

Source	Amount
Concessional ordinary capital resources lending	US$ 25.00 million

TA 9502-TIM: Promoting Sustainable Land Transport Infrastructure

Source	Amount
Technical Assistance Special Fund	US$ 1.00 million

Strategic Agendas

• Environmentally sustainable growth
• Inclusive economic growth

Drivers of Change

• Gender Equity and Mainstreaming
• Governance and capacity development
• Partnerships

Sector / Subsector

• Transport / Road transport (non-urban)

Gender

Effective gender mainstreaming

Description

Project Rationale and Linkage to Country/Regional Strategy

Impact

Increased and more efficient movement of people and goods

Project Outcome

Description of Outcome

Road transport connectivity improved and travel time reduced along the crucial north-south land transport link from Dili to Viqueque

Progress Toward Outcome

According to the latest progress report from MPW/PMU, at the end of 2021 the civil works for Lot 1: Baucau to Venilale was 44.88% complete, and Lot 2: Venilale to Viqueque was 35.82% complete.

Implementation Progress

Description of Project Outputs

Improved and safe Baucau to Viqueque highway

Institutional strengthening and capacity building

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

Civil works for Baucau to Venilale is 30.09% complete, and Venilale to Viqueque is 26.04% complete as of 25 August 2021.

MPW had expedited recruitment of staff to fill the vacant PMU posts to strengthen its capacity.

Geographical Location

Baucau, Viqueque

Safeguard Categories

Environment

B

Involuntary Resettlement

B

Indigenous Peoples

C

Summary of Environmental and Social Aspects

Environmental Aspects

Following the process and procedures already established by the PMU, the environmental assessment is reported in the simplified environmental impact statement (SEIS), which is equivalent to an initial environmental examination, including the inclusion of an environmental management plan (EMP). The SEIS has been reviewed by ADB to ensure that in addition to meeting the country safeguard system for environment, it complies with the requirements of ADB's Safeguard Policy Statement. Environmental impacts will be similar in scale to those of completed and ongoing national road projects. The main impacts will be during the construction stage and will include (i) vegetation and tree removal, and utilities relocation during site clearing and establishment works; (ii) dust, noise, runoff, sedimentation, and slope stability issues from earthworks, including excavations; and (iii) waste generation/management, spoil disposal, health and safety, and traffic management issues during construction activities. The road alignment traverses close to three protected areas. The potential impacts will largely be site-specific and readily mitigated through measures identified in the EMP. Few, if any, of the impacts will be irreversible. As reported in the SEIS, meaningful consultation was undertaken. The grievance redress mechanism established for ongoing projects is included in the SEIS, and will be implemented under the project. The draft SEIS has been disclosed on the ADB website and will be updated. Upon completion, it will be disclosed locally.The process of minerals license application will require preparation of a location application, mining plan, and site-specific EMP for each new materials source. Training and support will be provided by construction supervision consultants to the successful contractor to prepare and implement the construction EMP, submit the minerals license applications, and monitor construction EMP compliance. Capacity building of DRBFC environmental safeguards staff will be provided through mentoring and on-the-job training by the PMU and construction supervision consultants, as detailed in the PAM. Particular conditions of contract in the bidding documents include provisions for the employer to enforce environment safeguards compliance by the contractor.

Involuntary Resettlement

A resettlement plan was prepared for the BaucauVenilale and VenilaleViqueque road sections based on the detailed design completed in 2015. These resettlement plans will be updated to validate all impacts. The improvement of roads is expected to be mostly within the existing road corridor, but will require small areas of agricultural land; removal of crops and trees; and permanent and temporary impacts on residential houses, shops, and roadside stalls and kiosks. There are an estimated 82 affected households or 402 affected persons, but only 34 households or 146 persons will experience significant impacts from physical and/or economic displacement. The MPWTC will ensure that affected persons receive entitlements and compensation following the resettlement plan. Key stakeholders and affected persons have been consulted during the resettlement plan preparation and disclosure, and will be further consulted during the resettlement plan update and implementation. The PMU will be responsible for overall monitoring and supervision of safeguards activities, working closely with the PISC. The capacity building of the DRBFC safeguard staff by the PMU is ongoing with ADB's financing through other road projects.

Indigenous Peoples

The project will not trigger ADB's Policy on Indigenous Peoples (1998) since no distinct or vulnerable indigenous groups will be affected by the project.

Stakeholder Communication, Participation, and Consultation

During Project Design

The project has been designed in consultation with the government, including the Ministry of Finance, Loan and PPP Unit, and Development Partner Monitoring Unit and Ministry of Public Works, Transport and Communications, Project Management Unit, and Maintenance Division. Development partners and non-government organizations active in the transport sector were also consulted. Landowners have also been consulted, especially those requiring resettlement or who have assets affected by the project. Meetings with sucos were arranged to help develop the gender action plan and poverty assessments. Separate meetings with men and women were held. Road users including drivers, and users of anggunas and microlets were also consulted.

During Project Implementation

Loan Agreements for the project signed on 23 November 2018. Loans were declared effective on 19 February 2019. As of August 2021, civil works for Baucau to Venilale is 30.09% complete, and Venilale to Viqueque is 26.04% complete.

Business Opportunities

Consulting Services

An estimated 930 person-months (330 international, 600 national) of consulting services are required to (i) facilitate project management, (ii) provide construction supervision services, and (iii) implement and monitor environmental and social mitigation measures. Consulting firms will be engaged using the quality- and cost-based selection (QCBS) method with a standard quality:cost ratio of 90:10 and quality based selection where appropriate. Individual consultants will be recruited using Individual Consultant Selection (ICS).

Procurement

See Procurement plan of this project.

Contact

Responsible ADB Officer

Kailasam, Ganesh

Responsible ADB Department

Sectors Group

Responsible ADB Division

Transport Sector Office (SG-TRA)

Executing Agencies

Council for Administration of the Infrastructure Fund

Ministry of Public Works

Timetable

Concept Clearance

30 May 2017

Fact Finding

18 May 2017 to 01 Jun 2017

MRM

28 Jul 2017

Approval

21 Feb 2018

Last Review Mission

-

Last PDS Update

13 Jul 2022

Funding

Loan 3643-TIM

Loan 3644-TIM

TA 9502-TIM