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Lesson
A project modality may not be the best approach to a process issue such as fostering improvements in a public financial management system. A combination of technical assistance (TA) and program lending or a sector development program may have been a more appropriate approach in bringing about improvements. If a project modality is used, financing plans should reflect the nature of the project inputs being financed. Although the project mobilized almost $25 million in grant parallel cofinancing, many of the international consultants were financed from the loan.

Project Number: 30535-013
Project Name: Financial Management Project
Report Date:
Lesson
ADB project supervision and guidance should match a project's complexity and challenges, especially in response to projects at risk. Particularly for a technically complex and nuanced area such as public financial management, ADB project officers should have strong relevant technical backgrounds.

Project Number: 30535-013
Project Name: Financial Management Project
Report Date:
Lesson
Lower-cost technologies have significant potential to improve public health. The very high cost of servicing small and isolated towns in PNG through reticulated WSS systems means that lower-cost alternatives should be considered. Water prices have risen and will rise further with the Independent Consumer and Competition Commission's (ICCC) regulatory contract with the Waterboard. This improves the commercial environment for the Waterboard, which it may be able to exploit if it can provide improved services more efficiently.

Project Number: 31467-013
Project Name: Provincial Towns Water Supply and Sanitation Project
Report Date:
Lesson
Executing agencies, ADB project officers, project consultants, and others must very carefully examine and assess the full range of possible impacts from a change of scope. Technically correct, evidence-based positions must prevail.

Project Number: 30535-013
Project Name: Financial Management Project
Report Date:
Lesson
Targeting poor families with grant funds and low-cost technology makes good sense. The low cost sanitation and community awareness and health education (LC-CAHE) component was the most successful part of the project, despite cost overruns and reduced impact compared with the original targets. It combined low-cost infrastructure improvements with vitally needed information to improve awareness and understanding of the need for greater cleanliness and modern sanitation to improve public health. It also involved working with poor communities in a participatory manner to build commitment.

Project Number: 31467-013
Project Name: Provincial Towns Water Supply and Sanitation Project
Report Date:
Lesson
Only priority sites should be surveyed at project design. Identifying a short list, not a long list, of priority sites before PPTA starts is good practice. Frequently, executing agencies in Papua New Guinea (PNG) do not identify priority sites or undertake preliminary analysis, citing their lack of preparatory budgets or skills. This does not foster ownership and passes on responsibility to consultants. In this case, PPTA consultants were asked to survey 12 provincial towns, out of which only 2 were ultimately developed.

Project Number: 31467-013
Project Name: Provincial Towns Water Supply and Sanitation Project
Report Date:
Lesson
Inadequate project design undermines project implementation. Good project design is a basic requirement for project success, and inadequate design can prevent project success. In this case, design did not demonstrate adequate technical understanding of the availability of suitable water or the feasibility of its use for water supply and sanitation (WSS) projects in four of the six provincial towns.

Project Number: 31467-013
Project Name: Provincial Towns Water Supply and Sanitation Project
Report Date: