The proposed project will improve transport connectivity in Madhya Pradesh by rehabilitating and upgrading about 1,600 kilometers of state highways and major district roads (MDRs). It will involve upgrading newly declared state highways and single-lane MDRs to two-lane width. The project will be implemented under the hybrid-annuity model (HAM), which is a form of public- private partnership. This will be the first HAM project by the executing agency and will pave the way for increased investment in the transport sector by mobilizing private sector participation.
|Project Name||Public–Private Partnership in Madhya Pradesh Road Sector 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
Private sector development
|Sector / Subsector||
Transport / Road transport (non-urban)
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||The proposed project will improve transport connectivity in Madhya Pradesh by rehabilitating and upgrading about 1,600 kilometers of state highways and major district roads (MDRs). It will involve upgrading newly declared state highways and single-lane MDRs to two-lane width. The project will be implemented under the hybrid-annuity model (HAM), which is a form of public- private partnership. This will be the first HAM project by the executing agency and will pave the way for increased investment in the transport sector by mobilizing private sector participation.|
|Project Rationale and Linkage to Country/Regional Strategy||
Madhya Pradesh is the second largest state in the country with an area of about 308,000 square kilometer and is the fifth most populous with a population of 73 million. Agriculture is the mainstay of the state, with 72% of population living in rural areas. From 2011 to 2018, the state''s economy experienced an average growth of 8% attributed to various industrial developments and policy measures, such as the development of industrial nodes on the Delhi -Mumbai Industrial Corridor, and other industrial areas and growth centers. Despite the recent economic growth, Madhya Pradesh is still among the poorer states in the country with per capita income (at constant prices) at about 63% of the national average and about 32% of the state''s population living below the poverty line. The large size of the state, dependence on agriculture, and distributed industrial development, make transport infrastructure, particularly roads, a critical necessity.
The project is also consistent with the strategic pillar set out in the country partnership strategy for India, 2018 -2022 in providing inclusive access to infrastructure networks and services, and in line with the government's plan to revitalize PPPs by strengthening PPP institutions and promoting improved contractual modalities.
|Impact||Mobility and connectivity in India improved|
|Description of Outcome||Road transport efficiency and safety within Madhya Pradesh improved|
|Progress Toward Outcome|
|Description of Project Outputs||
State highways upgraded to two-lane and all-weather roads
Single-lane major district roads upgraded to two-lane and all-weather roads
Capacity for hybrid-annuity model implementation, and road asset maintenance and management improved
|Status of Implementation Progress (Outputs, Activities, and Issues)|
|Geographical Location||Madhya Pradesh|
|Summary of Environmental and Social Aspects|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
All consultants will be recruited according to ADB's Procurement Regulations for ADB Borrowers (2017, as amended from time to time).
An estimated 8,217 person-months of consulting services (15 person-months for international consultants, 8,202 person-months for national consultants) are required for construction supervision and institutional capacity. Consulting firms will be engaged using the quality- and cost-based selection method with a standard quality cost ratio of 80:20.
|Procurement||For procurement of goods, works and consulting services, ADB Procurement Policy (2017, as amended from time to time) and Procurement Regulations for ADB Borrowers (2017, amended from time to time) shall apply.|
|Responsible ADB Officer||Yeo, Kai Wei|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||Transport and Communications Division, SARD|
Madhya Pradesh Road Development Corporation Ltd.
45-A Arera Hills, Bhopal, 462011 Madhya Pradesh, India
|Concept Clearance||01 Oct 2018|
|Fact Finding||11 Mar 2019 to 22 Mar 2019|
|MRM||02 Jul 2019|
|Approval||04 Nov 2019|
|Last Review Mission||-|
|Last PDS Update||04 Nov 2019|
|Approval||Signing Date||Effectivity Date||Closing|
|04 Nov 2019||20 Dec 2019||17 Mar 2020||30 Nov 2024||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||618.00||Cumulative Contract Awards|
|ADB||490.00||04 Nov 2019||0.00||0.00||0%|
|Cofinancing||0.00||04 Nov 2019||0.00||0.00||0%|
|Status of Covenants|
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Evaluation Documents See also: Independent Evaluation
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ADB Provides $490 Million for PPP to Upgrade Madhya Pradesh RoadsADB has approved a $490 million loan as part of a $904 million public–private partnership project to improve about 1,600 kilometers (km) of state highways and major district roads in Madhya Pradesh, India.
No contracts awarded for this project were found
|Title||Document Type||Document Date|
|Public-Private Partnership in Madhya Pradesh Road Sector Project: Procurement Plan||Procurement Plans||Jan 2019|