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Lesson
Lack of tariffs and insufficient operation and maintenance (O&M) budgets threaten the sustainability of water supply and sanitation facilities in FSM. The water supply and wastewater components are unlikely to be sustainable because of the unwillingness to charge for services, and the insufficiency of annual O&M budgets.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
A well-thought-out project communications plan, backed by local capacity building, is needed for the successful implementation of projects in FSM. Information is often not widely shared in the FSM, and securing support for reforms can be particularly complex in this context. The Chuuk Public Utilities Corporation was able to effectively carry out its communications and outreach activities and secure support for reforms with the help of a well-defined operation, maintenance, and management contract. Project delays affected the momentum of activities in the other three states.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
The ability of all participating utilities to successfully adopt and implement organizational changes to meet the project requirements should be assessed, with specialized external support in utility management provided as necessary.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
The risks posed by conditions for loan effectiveness and disbursements should be carefully assessed and considered in the project timeline. Project implementation was delayed by about 18 months as the conditions for loan effectiveness required the passage of appropriation bills in the National Congress and at least three of four state legislatures. Such projects can provide the required pressure for positive legal changes but can lead to startup delays.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
A narrow sector and geographic focus is more suitable for projects in the Federated States of Micronesia (FSM). In FSM, multistate and multisector projects bring added complexity and interdependence between institutions that do not otherwise have incentives to support each other. Future projects should consider a narrower focus in terms of sector and geographic scope, allowing for less dispersed efforts on physical and nonphysical project targets. This approach has been adopted for the ongoing Chuuk Water Supply and Sanitation Project.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
Timelines for policy changes and major reforms should also be realistic, knowing that building understanding and ownership can take time and the passage of legislation can be a lengthy process. Two municipalities declined to participate in the project because of their objection to the transfer of ownership and management of assets to a state government agency.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
The political economy of the country as well as of the local areas where projects are to be sited needs to be thoroughly understood and considered in the design of projects. The project assumptions that institutional and financial reforms would be adopted within a reasonable time frame and that demand for the improved water supply services could be established in Kosrae state proved false. Project preparation could have supported a more thorough understanding of the political economy, and the scope based on a stronger rationale and expressed demand.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
Inclusive public consultations and close relationships among stakeholders are crucial to determine the most appropriate design and ensure the smooth implementation especially of project components introduced for the first in the country or project sites. The project design underwent various scope changes, some of which were in response to requests from the Kulhudhuffushi City Council (KCC). The scope changes and additional works delayed project implementation.

Project Number: 36111-013
Project Name: Kulhudhuffushi Harbor Expansion Project
Report Date:
Lesson
Institutional strengthening and capacity development need to continue throughout the project. Capacity constraints continue to affect Maldives’ maritime development and management, including projects financed by development partners. The technical associated linked to this project provided significant recommendations based on in-depth analysis and developed toolkits and guidance for improving harbor management and operation. The related government agencies and Kulhudhuffushi City Council (KCC) should review the recommendations carefully and use the outputs.

Project Number: 36111-013
Project Name: Kulhudhuffushi Harbor Expansion Project
Report Date:
Lesson
Sector risks need to be carefully assessed prior to making an investment decision in a new sector. Bangladesh’s Infrastructure Development Company Limited (IDCOL) has faced challenges because of its portfolio concentration in renewable energy. While it has taken steps to move away from such concentration of risks, it still needs to further diversify its loan portfolio. Currently, IDCOL is focusing on power sector public-private partnership (PPP) projects.

Project Number: 42180-016
Project Name: Third Public-Private Infrastructure Development Facility
Report Date:
Lesson
Donor and implementing agency collaboration is critical to the successful implementation of the sectoral, build back better approach to disaster reconstruction. Even while the Ministry of Foreign Affairs and Trade was separately managing its own bilateral funding and reconstruction works in another area of the Nuku’alofa electricity network, the planning and technical teams for this project and that of the ministry worked in close collaboration to ensure that the civil works in both areas were meeting quality standards and target timelines.

Project Number: 52129-001
Project Name: Cyclone Gita Recovery Project
Report Date:
Lesson
The use of the forced account works procedure for civil works and request for quotations and direct contracting for goods and equipment saved time in procurement for this project. The maximum use of the flexibilities inherent in these procedures, which accords with ADB’s Disaster and Emergency Assistance Policy, boosted project effectiveness and efficiency.

Project Number: 52129-001
Project Name: Cyclone Gita Recovery Project
Report Date:
Lesson
Having an implementing agency with staff who are well-versed in ADB procedures benefits all facets of project implementation and ensures timely project completion. This capacity also provides a strong base for further building the capacity of implementing agencies in asset management and operation and maintenance, and financial management and audits. which will benefit the implementation and sustainability of future projects.

Project Number: 52129-001
Project Name: Cyclone Gita Recovery Project
Report Date:
Lesson
Overestimated project costs lead to unutilized loan amounts and wastage of commitment fees. At appraisal, the investment program was estimated to cost $920.0 million, comprising ADB loans of $730.0 million (79.4%) and government contributions of $190.0 million (20.6%). At completion, the program cost totaled $669.3 million, of which ADB provided $253.8 million (37.9%).

Project Number: 42039-033, 42039-036
Project Name: Power Transmission Investment Program
Report Date:
Lesson
Key government policy changes need to be monitored for possible impacts on projects and project updates undertaken as necessary. Tranche 3 faced major resettlement challenges and experienced delays of up to 2.5 years beyond the initially approved loan closing date. This was because local authorities encountered difficulties in completing site clearance and subsequent compensation payments. Until the preparation of ADB’s project completion report, compensation payments have remained pending on (i) 3 subprojects because of

Project Number: 42039-033, 42039-036
Project Name: Power Transmission Investment Program
Report Date: