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CSV
Lesson
Project readiness challenges could result in sequential delays of the different tranches in an MFF, leaving insufficient time for implementation within the MFF term and making MFF less relevant. Prior to the approval of each tranche, the initial design for each project was prepared to varying degrees.

Project Number: 44483-024, 44483-023, 44483-026, 44483-027
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program
Report Date:
Lesson
Data collection on all Indicators in each tranche project should be ensured to facilitate a reliable assessment of the accomplishments and performance of each project and the entire MFF. The executing agency (EA) is required, as part of the government’s undertakings, to establish a project performance monitoring system to collect and measure baseline data on the performance Indicators in the design and monitoring framework (DMF) during implementation and to submit to ADB, as self-evaluation, the government’s completion report for the implemented projects.

Project Number: 44483-024, 44483-023, 44483-026, 44483-027
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program
Report Date:
Lesson
ADB should help the executing agency strengthen its capacity in procurement planning, bid evaluation, and contract award in accordance with ADB’s procurement guideline. Because of the disagreement between the executing agency and ADB regarding bid evaluation results, the procurement of civil works for Project 2 was significantly delayed. The divergent views centered on particular restriction provisions, including abnormally low bids, collusions, and conflicts of interest.

Project Number: 44483-024, 44483-023, 44483-026, 44483-027
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program
Report Date:
Lesson
Bid evaluation criteria and contractor qualifications should be carefully set, referencing historical financial performance and contracts of similar nature and size to ensure the selection of high quality and experienced contractors. The initial contractor selected for tranche 1 could not complete the work and left the project; therefore,

Project Number: 44483-023, 44483-026
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program (Tranches 1 and 2)
Report Date:
Lesson
High quality detailed designs, ensured through the engagement of competent consultants, will facilitate advance procurement thus allowing projects to start up without delay as intended by the advance procurement actions. With advance procurement action, the executing agency succeeded in shortening the time for procurement after loan effectiveness. Despite the positive effect, the detailed design was not prepared correctly, resulting in the technically qualified bidder’s financial proposal being higher than the cost estimates.

Project Number: 44483-023, 44483-026
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program (Tranches 1 and 2)
Report Date:
Lesson
Engagement of dedicated safeguard specialists could help strengthen safeguard implementation capacity. A project management and construction supervision consultant served as focal point for safeguards. No major issues in safeguards were identified.

Project Number: 44483-023, 44483-026
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program (Tranches 1 and 2)
Report Date:
Lesson
Maintaining key specialists even after major institutional changes helps keep institutional memory within the executing agency and is important for successful project implementation. During project implementation, the government’s economic reform caused institutional changes in the road sector. Despite the change, key members of project management unit remained unchanged, which helped minimize delay.

Project Number: 44483-023, 44483-026
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program (Tranches 1 and 2)
Report Date:
Lesson
It is important to minimize if not completely prevent the need for design changes that could exacerbate implementation challenges. The project as delivered differs significantly from that expected at appraisal. A memorandum of understanding following the April 2013 loan review mission had made extensive and critical comments on the conceptual and detailed design of the project.

Project Number: 41192-013
Project Name: Regional Logistics Development Project
Report Date:
Lesson
The use of lump sum construction supervision contracts under conditions of frequent design changes is disadvantageous for the consultant and could jeopardize project implementation. The use of a lump sum contract between the EA and consultant for this project was not suitable. Lump sum contracts work well when tasks are precisely defined and the risks to both parties are well understood. In this case, the project had frequent design changes that resulted in extended discussions on the variations and severe implementation delays.

Project Number: 41192-013
Project Name: Regional Logistics Development Project
Report Date:
Lesson
An adequate assessment is needed when setting targets. This project had a few design challenges that could not be addressed during implementation. For the target of serving 3,000 households with new water supply connections and 4,500 with improved ones, financing was not included in the approved project, so could never be achieved. The target of serving 25,000 households with sewer connections was ambitious, as only about 13,680 households would get these connections based on the final engineering designs.

Project Number: 36188-023
Project Name: Secondary Towns Integrated Urban Environmental Improvement Project
Report Date:
Lesson
Bidding documents should incorporate specific provisions requiring permanent local representative from foreign contractors to avoid construction delays. The performance of the contractors for the Birgunj ISWM and the Kavre Valley Water Supply Subproject was unsatisfactory in part because they had no local representative.

Project Number: 36188-023
Project Name: Secondary Towns Integrated Urban Environmental Improvement Project
Report Date:
Lesson
Continuity of services of experienced project staff is essential. The project director and account officer positions at the project coordination office experienced high turnover, which affected overall performance, including of project financial management, as evidenced by the outstanding recurring audit issues and multiple delayed submissions.

Project Number: 36188-023
Project Name: Secondary Towns Integrated Urban Environmental Improvement Project
Report Date:
Lesson
Careful selection of nongovernment organizations (NGOs) to be engaged in projects will be beneficial particularly for the poor and vulnerable. Implementation of gender equality and social activities was closely linked to NGO performance quality, which varied significantly among the 3 NGOs engaged by the project. The NGO in Biratnagar demonstrates what can be achieved by a well-performing NGO.

Project Number: 36188-023
Project Name: Secondary Towns Integrated Urban Environmental Improvement Project
Report Date:
Lesson
Adequate stakeholder consultations, conducted at all project stages, are essential to building consensus and preventing tensions and disagreements from negatively affecting implementation.

Project Number: 36188-023
Project Name: Secondary Towns Integrated Urban Environmental Improvement Project
Report Date:
Lesson
Projects require an in-depth assessment of ownership and use of land. Procurement for the Butwal auto village subprojects (AVS) was severely delayed by land ownership issues. The automobile enterprises were located on land leased from the municipality intended only for establishment of automobile enterprises, but the entrepreneurs used the land for business and residential purposes. These entrepreneurs were skeptical that their existing land uses could continue if they entered into a public-private partnership agreement, and thus protested the AVS.

Project Number: 36188-023
Project Name: Secondary Towns Integrated Urban Environmental Improvement Project
Report Date:
CSV