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Lesson
Engaging capable design institutes, backed by sufficient budget and time allocations, will result in better quality technical designs that in turn will facilitate construction progress, reduce the need for contract variations, and optimize construction costs. There were significant variations in some of this project's civil works contracts. These variations resulted mainly from poor quality of technical designs, with errors and omissions in the construction drawings.

Project Number: 45507-003
Project Name: Yunnan Chuxiong Urban Environment Improvement Project
Report Date:
Lesson
Reducing or avoiding implementation delays would require, among others: (i) ensuring that project and/or subproject implementation is a high priority for local governments and counterpart funds are provided in government annual budgets, and (ii) starting resettlement activities as early as possible and providing adequate funds for these activities.

Project Number: 45507-003
Project Name: Yunnan Chuxiong Urban Environment Improvement Project
Report Date:
Lesson
Incorporating utility shifting as part of the item-rate contract has proven effective for timely project completion in some Indian states. Utility shifting is usually contracted out to a third-party entity specialized in utility shifting. Contractors often abuse this arrangement, however, taking it as an excuse to delay civil works. To prevent this, the utility shifting should be included as an item in the bill of quantity to be carried out directly by the contractor.

Project Number: 41629-013, 44425-013
Project Name: Bihar State Highways II Project 
Report Date:
Lesson
As larger contracts experienced more delays compared to shorter contracts, in future projects, shorter-length contracts may be considered. The termination of contractors was observed to be due to their non-proactive approach while working in discontinuous encumbrance-free stretches of road, poor planning, and inadequate financial capability. Instead of terminating contracts, it would be more desirable to make encumbrance-free land available upfront, release retention money, and create escrow accounts—which were approaches that were successfully implemented.

Project Number: 41629-013, 44425-013
Project Name: Bihar State Highways II Project 
Report Date:
Lesson
It might be better for performance-based maintenance (PBM) contracts to be integrated into the civil works contracts to expedite its adoption in future projects. Procurement of a separate contract, particularly a PBM contract, for post-construction maintenance after completion of the civil works contracts is a major concern for any government agency as it involves various channels and processes for seeking internal government approvals.

Project Number: 49125-001
Project Name: Second Jharkhand State Road 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
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
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
Advance action and procurement readiness are key to the timely startup and implementation of projects. No major issues or problems were identified in procurement planning, processing, and contract management. Good procurement readiness was achieved, with advance procurement realized for one international competitive bidding civil works contract and one consulting firm contract. Actual contract awards in 2013–2015 were about 62% of the total loan amount, which was above the projected 25%.

Project Number: 45506-002
Project Name: Gansu Jiuquan Integrated Urban Environment Improvement Project
Report Date: