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Lesson
For future projects of a similar nature, ADB should consider requiring the implementing agencies to recruit the services of a consultant familiar with ADB procedures to assist with preparation of appraisal scope and cost estimates and the Periodic Financing Requests (PFRs) to avoid major changes in scope and the over-estimation of the cost of both ICB contracts and equity contribution, as occurred for this project. Succeeding tranches of a Multitranche Financing Facility (MFF) program should ideally be timed to incorporate works included or completed under preceding tranches.

Project Number: 32298-053
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 4)
Report Date:
Lesson
ADB's various clinics regarding environmental and social safeguards, procurement, quality control, monitoring, and reporting are essential for supporting implementing agencies that are new to ADB-financed projects.

Project Number: 32298-053
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 4)
Report Date:
Lesson
Assignment of experienced and sufficiently ranked technical managers to run the project management units (PMUs), with autonomy to plan, design, and implement the project, will lead to better project implementation.

Project Number: 32298-053
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 4)
Report Date:
Lesson
The ability to adjust the project scope to reflect actual field conditions and to apply technical optimization will improve project implementation, lower costs, and result in better outcomes;

Project Number: 32298-053
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 4)
Report Date:
Lesson
A properly administered procurement process lead to better bids with lower prices and better quality of equipment and workmanship of contractors;

Project Number: 32298-053
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 4)
Report Date:
Lesson
Open communication and willingness to deal with stakeholders - particularly contractors - are helpful in resolving complex technological issues, leading to better resolution of problems in a timely and cost-efficient manner;

Project Number: 32298-053
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 4)
Report Date:
Lesson
Willingness to adopt ADB's requirements for international competitive bidding (ICB) procurement led to more rapid and transparent bidding processes, which led to lower bids and costs;

Project Number: 32298-053
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 4)
Report Date:
Lesson
The financial sustainability of the project depends on the continued increase in the transmission tariff payable to the NPT, or on the establishment of a cost recovery mechanism that addresses the NPT's operational costs. In case of breach in financial covenants, ADB should conduct updated financial analysis to evaluate whether on-going reforms will have positive impact on the financial strength of the entity. The tariff reforms are expected to translate to full cost-recovery by 2024 of the power sector entities including the NPT.

Project Number: 38196-013
Project Name: Northern Power Transmission Expansion Sector Project
Report Date:
Lesson
The monitoring of safeguards implementation should be more systematic; and projects should ensure that such arrangements are in place from project design through implementation, completion, and post-project monitoring.

Project Number: 38196-013
Project Name: Northern Power Transmission Expansion Sector Project
Report Date:
Lesson
The NPPMB was not initially familiar with ADB safeguard policies. This contributed to project delays and placed an additional burden on ADB. ADB could have anticipated the need for early strengthening of the capacity of the executing and implementing agencies.

Project Number: 38196-013
Project Name: Northern Power Transmission Expansion Sector Project
Report Date:
Lesson
The Northern Power Projects Management Board (NPPMB) initially prepared a large number of procurement packages, which placed an additional burden on the NPPMB for procurement and on ADB for approving a large number of bid documents, bid evaluation reports, and contract awards. ADB took action to package larger procurement packages in the last three subprojects. Large contract packages or turnkey contracts should be encouraged in future projects.

Project Number: 38196-013
Project Name: Northern Power Transmission Expansion Sector Project
Report Date:
Lesson
Loan effectiveness delayed by almost 1 year because of a lengthy government approval process. Executing agency did not commence procurement until the loan was effective although ADB approved advance actions.

Project Number: 38196-013
Project Name: Northern Power Transmission Expansion Sector Project
Report Date:
Lesson
Establishment of the National Power Transmission Corporation (NPT) in 2008 led to unforeseen delays since new NPT staff were less familiar than the Vietnam Electricity (EVN) staff with ADB procedures. ADB supported the unbundling of the utility structure in Viet Nam. Based on experience in other countries where the electricity sector was restructuring, ADB could have anticipated that the executing agency might change during project implementation.

Project Number: 38196-013
Project Name: Northern Power Transmission Expansion Sector Project
Report Date:
Lesson
DISCOM-East was proactive in solving problems in the development of design documents, procurement, the timely delivery of equipment and in resolving the numerous issues and problems normal to project implementation. Lessons for future ADB projects include the need for capable and committed implementing agencies.

Project Number: 32298-033
Project Name: Madhya Pradesh Power Sector Investment Program (Tranche 2)
Report Date:
Lesson
The delegation of project administration responsibilities to the resident mission during the project helped facilitate close working relationships between ADB staff and key government and EDC officials. The experience EDC gained from this project and the relationships that have developed between the resident mission and government counterparts should greatly benefit any future project.

Project Number: 37041-013
Project Name: Second Power Transmission and Distribution Project
Report Date: