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Lesson
Urban projects with sewerage components should be designed to include household connections; if not, sewage treatment plants will be underutilized and revenue streams less than expected and impacting on sustainability.

Project Number: 40031-023
Project Name: Rajasthan Urban Sector Development Investment Program (Tranche 1)
Report Date:
Lesson
The program could have been more innovative in the application of new technologies for urban services, providing a test bed for innovations so long as local capacities permit.

Project Number: 40031-023
Project Name: Rajasthan Urban Sector Development Investment Program (Tranche 1)
Report Date:
Lesson
Individual DMFs must be prepared for each MFF project to enable the comprehensive assessment of project achievements.

Project Number: 40031-023
Project Name: Rajasthan Urban Sector Development Investment Program (Tranche 1)
Report Date:
Lesson
Partnering with international counterparts would help national consultants improve capacity to eventually assume senior staff positions.

Project Number: 38255-023
Project Name: Uttarakhand State-Road Investment Program (Project 1)
Report Date:
Lesson
Experience and capability of the executing and implementing agencies in programming project activities are important considerations in the project’s design.

Project Number: 38255-023
Project Name: Uttarakhand State-Road Investment Program (Project 1)
Report Date:
Lesson
When revising the project scope, ensure that mistakes made during the design phase are not repeated. Before approving new MFF tranches, ensure that all covenants of the previous tranche(s) are met. This needs to be a condition for the disbursement of new funds, as at a later stage, ADB does not have much leverage to enforce such covenants. Focusing on fast loan disbursements can lead to premature procurement and later cancellation, incurring unnecessary financial charges and IDC on the borrower.

Project Number: 37139-033
Project Name: Uttarakhand Power Sector Investment Program–Tranche 2
Report Date:
Lesson
The choice of the MFF as a financing modality appears to decrease the level of due diligence and scrutiny employed when approving single tranches as compared to project-based lending. This needs to be considered as a downside of the MFF modality in general and a more thorough due diligence stage needs to be implemented before approving single tranches, not only at MFF appraisal level.

Project Number: 37139-043
Project Name: Uttarakhand Power Sector Investment Program–Tranche 3
Report Date:
Lesson
More thorough due diligence needs to be conducted related to the feasibility of realization of associated infrastructure that serves as a prerequisite to the project outputs; e.g., transmission lines directly connected to a planned power plant. The uncertainties about their successful implementation need to be reduced or eliminated, if possible, before approving loan disbursements and procurement activities, even if this leads to disbursement delays. This will reduce the risk of loan proceeds being spent unproductively and the burden of financing charges and IDC.

Project Number: 37139-033
Project Name: Uttarakhand Power Sector Investment Program–Tranche 2
Report Date:
Lesson
Before approving new MFF tranches, it is necessary to ensured that all covenants of the first tranches have been met. This needs to be a condition for the disbursement of new funds, because at a later stage, ADB does not have much leverage.

Project Number: 37139-043
Project Name: Uttarakhand Power Sector Investment Program–Tranche 3
Report Date:
Lesson
Providing technical assistance grants is essential to strengthening the institutional capacity of newly established states, executing agencies and implementing agencies, to enable smooth project execution according to ADB guidelines. The risk of natural disasters needs to be assessed appropriately during the project design stage, with special attention to the frequency of these events.

Project Number: 37139-033
Project Name: Uttarakhand Power Sector Investment Program–Tranche 2
Report Date:
Lesson
More stringent monitoring needs to be employed related to associated assets, such as transmission lines and power generation, as they affect implementation substantially. Associated infrastructures should be implemented earlier and potentially include them as covenants for the borrower to ensure the proper and timely execution of the project. As mentioned in para. 10, the substation was mostly unused at the time of PCR preparation.

Project Number: 37139-043
Project Name: Uttarakhand Power Sector Investment Program–Tranche 3
Report Date:
Lesson
Providing technical assistance to strengthen the institutional capacity of newly established states, executing agencies, and implementing agencies is essential. Capacity building activities should be included to enable smooth project execution according to ADB guidelines. The risk of natural disasters needs to be considered better during project design. More thorough due diligence into the frequency of these events needs to be employed, as for example the Sobla-1 hydropower plant was washed away twice, resulting in the abandonment of the project.

Project Number: 37139-043
Project Name: Uttarakhand Power Sector Investment Program–Tranche 3
Report Date:
Lesson
The choice of the MFF as a modality appears to decrease the level of due diligence and scrutiny employed when approving single tranches as compared to project-based lending. This needs to be considered as a downside of the MFF modality in general. A more thorough due diligence stage needs to be foreseen before approving single tranches, not only at the MFF appraisal level.

Project Number: 37139-033
Project Name: Uttarakhand Power Sector Investment Program–Tranche 2
Report Date:
Lesson
No additional lessons

Project Number: 38411-023
Project Name: Orissa Integrated Irrigated Agriculture and Water Management Investment Program – Project 1
Report Date:
Lesson
A more detailed assessment of private sector preferences for investment needs to be conducted at project design stages to reduce project implementation risks.

Project Number: 37091-033
Project Name: Agribusiness Infrastructure Development Investment Program (Tranche 2)
Report Date: