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Lesson
The project encouraged the involvement of small contractors but they lacked resources and expertise and their participation should not have come at a cost in quality and delays. While their involvement in construction was required because they were familiar with local conditions, they needed proper technical and financial support.

Project Number: 31367-013
Project Name: Provincial Roads Improvement Sector Project
Report Date:
Lesson
The absence of official records on land ownership made it difficult and time consuming to pay compensation to and rehabilitate people affected by the project. The PDOTs should approach the responsible local administrations well in advance of this kind of project either themselves or through specialized agencies to ensure that records are available to implement resettlement when construction begins.

Project Number: 31367-013
Project Name: Provincial Roads Improvement Sector Project
Report Date:
Lesson
The views of the provinces on requirements in the road classification and design - for instance, their preference for paved shoulders over earthen shoulders to better accommodate larger, two-way traffic - should have been adequately addressed at project conceptualization and or at project design and formulation stage.

Project Number: 31367-013
Project Name: Provincial Roads Improvement Sector Project
Report Date:
Lesson
The traffic projections at the project preparation stage did not anticipate that heavy vehicle traffic would greatly increase on the project roads once they were improved. The result was an inadequate design, roads not built to withstand such heavy truck use, and greater than anticipated damage to some upgraded sections where this traffic has grown. This problem should be foreseen in future similar projects and tackled during design.

Project Number: 31367-013
Project Name: Provincial Roads Improvement Sector Project
Report Date:
Lesson
The employment of an independent design appraisal consultant has been expedient and has avoided delays. Consideration should be given to the inclusion of an independent appraisal consultant in future large and complex design preparation projects with an underresourced implementing agency.

Project Number: 33307-023
Project Name: Kunming-Haiphong Transport Corridor-Noi Bai-Lao Cai Highway Technical Assistance Project
Report Date:
Lesson
The use of a technical assistance (TA) loan for project preparation rather than including project preparation in the investment loans is fully justified because (i) it enabled project costs, revenues, and social and environmental impacts to be more accurately assessed before preparation and signing of the investment loan; and (ii) it reduced the borrower's commitment charges caused by implementation delays of 20 months.

Project Number: 33307-023
Project Name: Kunming-Haiphong Transport Corridor-Noi Bai-Lao Cai Highway Technical Assistance Project
Report Date:
Lesson
The status of completion should be carefully examined before loan closure. In the event that there are outstanding activities, the contractual arrangements for completion should be carefully defined and committed before loan closure. It is a risk to assume that completion can take place under another loan with an unknown time frame and be dependent on a third-party consultant. Preparation of detailed design and bidding documents for the equipment packages should not have been included in the scope of the TA loan.

Project Number: 33307-023
Project Name: Kunming-Haiphong Transport Corridor-Noi Bai-Lao Cai Highway Technical Assistance Project
Report Date:
Lesson
In a fixed-fee services contract, inclusion of the value of the project contingency in calculation of the advanced payment should be carefully explained in the request for proposals. Similarly, the regulations applied to value-added tax (VAT) duties on national subconsultancy services should be clearly stated.

Project Number: 33307-023
Project Name: Kunming-Haiphong Transport Corridor-Noi Bai-Lao Cai Highway Technical Assistance Project
Report Date:
Lesson
In any project implementation, it is much more efficient to identify and correct problems in the initial part of the project period. The frequency of ADB review missions in the initial phase of the project achieved this efficiency and did a great deal to prevent further delays. The lesson is to have a higher frequency of review missions in the early phase of project implementation.

Project Number: 33307-023
Project Name: Kunming-Haiphong Transport Corridor-Noi Bai-Lao Cai Highway Technical Assistance Project
Report Date:
Lesson
Senior staff of both the Vietnam Expressway Corporation (VEC) and Ministry of Transport (MOT) had significant experience in implementing large- scale road development projects. Both agencies had sufficient capacity to carry out the project, and the capacity was further enhanced through the project. The delays in resettlement planning were mainly caused by low capacity of project provinces and districts but not of the executing or implementing agencies.

Project Number: 33307-023
Project Name: Kunming-Haiphong Transport Corridor-Noi Bai-Lao Cai Highway Technical Assistance Project
Report Date:
Lesson
The multitranche financing facility (MFF) mode was mainstreamed into ADB's financial operations in July 2008. (The MFF was introduced in August 2005.) TA and investment loans can be combined in an MFF as separate tranches. However, use of an MFF should not be recommended for large and complex projects such as the project highway because there is high risk of project cost overrun. The estimated total cost increased from $620 million at the TA loan appraisal to $1,216 million at the investment loan appraisal.

Project Number: 33307-023
Project Name: Kunming-Haiphong Transport Corridor-Noi Bai-Lao Cai Highway Technical Assistance Project
Report Date:
Lesson
More attention should be given to O&M planning and management. A realistic and long-term perspective is needed in addressing O&M issues. Good organization, well-planned budgets, sound financial and reporting systems, and liaison with beneficiaries are important in planning for O&M. Specific covenants requiring detailed functional O&M mechanisms and implementation arrangements should be included in future project loan agreements.

Project Number: 29529
Project Name: Rural Infrastructure Sector Project [Loan 1564-VIE(SF)]
Report Date:
Lesson
Advance recruitment of consultants should be undertaken in development projects to facilitate start-up operations and establish the necessary project management systems. This is to avoid unnecessary delays in implementation particularly if there is training to be conducted to equip project staff with the appropriate project implementation skills.

Project Number: 29532
Project Name: Rural Infrastructure Sector Project [Loan 1564-VIE(SF)]
Report Date:
Lesson
Covering a vast number of provinces spread over almost the entire country may not be an effective way of maximizing the use of resources. Not only were the resources spread thinly over the 23 provinces, but the implementing staff also experienced considerable strains on communication and transportation during project supervision because of the remoteness of many of the subprojects. A focused geographic approach would have provided flexibility for designing better social and economic benefits for the beneficiaries.

Project Number: 29531
Project Name: Rural Infrastructure Sector Project [Loan 1564-VIE(SF)]
Report Date:
Lesson
Involving beneficiaries in deciding counterpart funding decisions would be valuable in ensuring ownership of infrastructure projects, particularly when community labor and cost contribution have to be enforced for lack of provincial funds to cover maintenance. The participation of beneficiaries throughout the project cycle should be required, particularly since they will be the end users of the project. Project preparations should include beneficiary participation in O&M planning and budgeting, and the training of beneficiaries in O&M.

Project Number: 29530
Project Name: Rural Infrastructure Sector Project [Loan 1564-VIE(SF)]
Report Date: