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Lesson
The success of an emergency assistance loan can be better measured if the efficiency of the use of loan proceeds can be determined through the computation of an economic internal rate of return for investments, in this case, for the roads. This is to clearly ascertain the degree by which the benefits of the projects outweigh their costs.

Project Number: 49215-001
Project Name: Earthquake Emergency Assistance Project
Report Date:
Lesson
Lack of ownership of water users of project installations, which could jeopardize sustainability, demands appropriate action from the relevant government agencies. The project’s requirement of mandatory upfront cash collection for piped water supply connections, amounting to 5% of the estimated cost, was meant to generate ownership by the users. However, in many towns, the contribution was not made by the actual users but was raised by donations from community organizations, raising serious concerns about the efficacy of this provision and the eventual sustainability of the systems.

Project Number: 35173-013
Project Name: Third Small Towns Water Supply and Sanitation Sector Project
Report Date:
Lesson
Vulnerable groups need to have a voice in determining the mechanisms that will enable them to fully participate and benefit from projects. To ensure social inclusion, the project provided grant funding via output-based aid (OBA) for the construction of private toilets for 100% of the verified poor and vulnerable households. However, the OBA amount was inadequate, resulting in some households not building proper toilets.

Project Number: 35173-013
Project Name: Third Small Towns Water Supply and Sanitation Sector Project
Report Date:
Lesson
Project facilities need to be turned over to local governments to ensure long-term operational and institutional sustainability. Municipalities did not exist in many towns at project appraisal. Hence, water user associations (WUAs) led the project. Since the service areas of individual WUAs are now a part of their respective municipality, municipalities are expected to support the operation and maintenance (O&M) of the water supply and sanitation facilities to ensure long-term operational and institutional sustainability

Project Number: 35173-013
Project Name: Third Small Towns Water Supply and Sanitation Sector Project
Report Date:
Lesson
The project’s innovative and sustainable model ─ of shared cost and responsibility ─ is highly replicable and may be scaled up in similar contexts. The project was built on the approach and principle of shared cost and shared ownership between the users and the government. This innovative model of implementation and service delivery has brought about remarkable achievements in improving the people’s living standards in the project towns. People now have access to 24/7 safe water, O&M is smooth, women’s time poverty has decreased, and girls’ school attendance has increased.

Project Number: 35173-013
Project Name: Third Small Towns Water Supply and Sanitation Sector Project
Report Date:
Lesson
The innovative septage management option piloted by the project appears to be widely implementable in Nepal. A grant from the Sanitation Financing Partnership Trust Fund supported the piloting under this project of a non-sewered sanitation option that included the construction of fecal sludge treatment plants in two towns. Successful implementation of the pilot, coupled with sector wide advocacy and information dissemination, has led to wider interest in fecal sludge management (FSM) across Nepal.

Project Number: 35173-013
Project Name: Third Small Towns Water Supply and Sanitation Sector 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:
Lesson
Rebuilding model schools provides opportunities to demonstrate their usefulness to the larger school program and to communities particularly in building disaster-resilient schools, and to develop knowledge and skills in disaster risk management. It also provides a space for greater social inclusion and increased ownership as local authorities and communities are mobilized for rebuilding and reconstruction.

Project Number: 49202-001
Project Name: Disaster Risk Reduction and Livelihood Restoration for Earthquake-Affected Communities
Report Date:
Lesson
Subsidized credit when sourced from a grant may be used as an immediate and emergency response to the financing needs of those severely affected by disaster. However, it is not sustainable over time when grant funds are no longer available. It is basically a stop gap measure in an emergency. There are costs to the delivery of financial services that need to be considered in product pricing to help financial institutions sustain their operations and continue serving targeted households. These institutions need to price their loan products to allow for full cost recovery.

Project Number: 49202-001
Project Name: Disaster Risk Reduction and Livelihood Restoration for Earthquake-Affected Communities
Report Date:
Lesson
Design flexibility is essential in the smooth implementation of an emergency response project. It allows the executing agency and project teams to make necessary changes in the project scope and helps in the alignment of project activities with the realities on the ground. The preparation of technical design and approval processes for an emergency assistance project needs to be developed on time to meet the immediate needs of households and communities for recovery.

Project Number: 49202-001
Project Name: Disaster Risk Reduction and Livelihood Restoration for Earthquake-Affected Communities
Report Date: