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Lesson
Adequate due diligence and consultation with government agencies and related stakeholders throughout the project cycle will help ensure appropriate project planning, preparation, design, and implementation and avoid unnecessary scope changes that reduce the overall process efficiency.

Project Number: 42414-033
Project Name: Sustainable Urban Transport Investment Program (Tranche 2)
Report Date:
Lesson
In designing an multitranche financing facility program, it is important to formulate tranche-specific design and monitoring frameworks that are logical and have sound links of outcome and outputs in line with the SMART (specific, measurable, achievable, realistic, and timely) principle. These indicators need to work in concert to reflect the appropriateness and continuum of the results chain leading up to the high-level development impacts that are most relevant to the scope and focus of that specific tranche.

Project Number: 42414-033
Project Name: Sustainable Urban Transport Investment Program (Tranche 2)
Report Date:
Lesson
Strong political will and commitment at all levels of government authorities have a decisive impact on the effective and efficient implementation of LAR activities in the context of complex project situations, such as this one. It is important for an executing agency to be proactive and work closely with local authorities and stakeholders to resolve identified issues on the ground. Monitoring of land acquisition and resettlement plan implementation is best to start early to identify issues and find effective solutions in a timely manner.

Project Number: 42414-033
Project Name: Sustainable Urban Transport Investment Program (Tranche 2)
Report Date:
Lesson
Active engagement with key government agencies is important. It can provide the much-needed oversight and intervention to facilitate the resolution of unexpected design and implementation issues emerging from project implementation. These especially concern issues that ADB has very limited control.

Project Number: 42414-033
Project Name: Sustainable Urban Transport Investment Program (Tranche 2)
Report Date:
Lesson
Weaknesses in the initial design and monitoring framework (DMF) led to difficulties in measuring project achievements. The initial DMF for the facility had to be revised. Some outcome targets were not updated even though there were changes in the associated investments under the different tranches. The DMF included output Indicators for activities not directly financed under the MFF.

Project Number: 42414-013, 42414-045
Project Name: Sustainable Urban Transport Investment Program - Tranche 5 and MFF
Report Date:
Lesson
The facility’s flexibility allowed the use of savings from one tranche to fund investments from another tranche. The installation and supply of ventilators within tranche 5 was canceled in the metro project as the increase in costs surpassed the initially allocated loan funds. Savings from tranche 1 from the cancellation of other subprojects were used to fund the investment in ventilators from the metro project.

Project Number: 42414-013, 42414-045
Project Name: Sustainable Urban Transport Investment Program - Tranche 5 and MFF
Report Date:
Lesson
Government changes can disrupt institutional continuity. The national election in 2012 resulted in a change in the ruling party and the subsequent appointment of new directors and staff in the implementing agency. Additional time had to be devoted to building capacity and awareness of the project. Several components under the project were canceled because of changes in government priorities.

Project Number: 42414-013, 42414-045
Project Name: Sustainable Urban Transport Investment Program - Tranche 5 and MFF
Report Date:
Lesson
A project specific DMF is key to reliably assessing the implementation progress and overall performance of each tranche project. The DMF for this project contained indicators that pertained to investments under other tranches of the multitranche financing facility (MFF). This made monitoring and evaluation of project progress and performance difficult, with results that hid the real picture and so prevented corrective measures from being undertaken during implementation.

Project Number: 42414-023
Project Name: Sustainable Urban Transport Investment Program - Tranche 1
Report Date:
Lesson
Changes in government could trigger changes in counterpart agencies and priorities with significant implications on program design and implementation. The national election in 2012 resulted in a change in government and the subsequent appointment of new directors and staff in Municipal Development Fund of Georgia (MDF), the project executing and implementing agency (EA/IA). Additional time thus had to be devoted to building capacity and awareness with respect to the project. Several subprojects were cancelled because of changes in government priorities.

Project Number: 42414-023
Project Name: Sustainable Urban Transport Investment Program - Tranche 1
Report Date:
Lesson
Weak project readiness and procurement challenges can lead to startup and implementation delays and cost overruns. The metro extension subproject experienced startup delays and cost overruns because of weak project readiness. Consultant recruitment and the procurement of works encountered delays because of the specialized nature of the project and the lack of experience in MDF in handling this type of project. Additional individual experts had to be engaged during implementation to help with construction supervision.

Project Number: 42414-023
Project Name: Sustainable Urban Transport Investment Program - Tranche 1
Report Date:
Lesson
Lack of strategic information can affect the quality of gender targets set at approval, making them difficult to achieve during implementation. Disaggregated information by gender was not available during project preparation. This affected the quality of the gender targets included in the design and monitoring framework (DMF) and the gender action plan (GAP). Challenges in achieving the targets during implementation should have prompted a deeper review of these targets with adjustments made as necessary.

Project Number: 42414-023
Project Name: Sustainable Urban Transport Investment Program - Tranche 1
Report Date:
Lesson
Flexible reallocation of loan proceeds to critical civil works can enhance project relevance and effectiveness. A minor change in scope was approved for the reallocation of loan proceeds from project administration savings and secondary consulting services to the civil works contract. The new allocation enabled additional works on the coastal boulevard impacted by the storm but kept the loan size within its original limit.

Project Number: 42414-044
Project Name: Sustainable Urban Transport Investment Program - Tranche 4
Report Date:
Lesson
Weaknesses in the design and monitoring framework (DMF) can lead to an inaccurate assessment of project achievements. The project DMF contained indicators that measured benefits that were not entirely attributable to the project, such as the number of tourist nights in Georgia rather than in the Batumi area. Some dimensions of the project’s outcome were omitted, such as the increased protection of coastal infrastructure assets. The reduction of storm-related damage should have been considered as part of project’s outcome performance indicators.

Project Number: 42414-044
Project Name: Sustainable Urban Transport Investment Program - Tranche 4
Report Date:
Lesson
Changes in government may require a new or additional round of capacity- and awareness-building. The national election in 2012 resulted in a change in the government and subsequent appointment of new directors and staff in the Municipal Development Fund of Georgia (MDF), the project executing and implementing agency. Therefore, additional time had to be devoted to build capacity and awareness with respect to the project.

Project Number: 42414-033
Project Name: Sustainable Urban Transport Investment Program - Tranche 2
Report Date:
Lesson
Overconservative cost estimation during the implementation of the multitranche financing facility (MFF) tranche projects may reduce the funding availability for other investments and result in low utilization of the approved MFF amount. Tranche 2’s actual total cost was $64.97 million, 60% of the budgeted amount, and ADB’s loan disbursement was only 61% of the committed amount.

Project Number: 42414-033
Project Name: Sustainable Urban Transport Investment Program - Tranche 2
Report Date: