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Lesson
For interventions in a new country, it is important to assess the capacity of the government’s financial management system thoroughly before launching a project, especially when investing valuable grant resources.

Project Number: 45139-001
Project Name: Mid-Level Skills Training Project
Report Date:
Lesson
An institutional analysis undertaken during appraisal phase helps provide an assessment of the technical capacity of concerned institutions as this is essential in ensuring smooth project implementation activities. Such analysis could include a political-economy assessment that could help strengthen project preparation activities, especially in assessing possible changes to policies and government priorities.

Project Number: 39256-023, 39256-024
Project Name: Urban Transport Development Investment Program (Multitranche Financing Facility andTranche 1)
Report Date:
Lesson
Thorough preparation of reliable and accurate cost estimates for each subproject is critical to help project implementation. Possible cost changes during implementation need to be kept within the acceptable threshold level and cost contingencies. Substantial cost overrun may lead to cancellation of critical project components.

Project Number: 42414-013, 42414-045
Project Name: Sustainable Urban Transport Investment Program (Tranche 5 and Multitranche Financing Facility)
Report Date:
Lesson
The development of a firm sector investment plan supports successful project implementation. The sector plan, covering the short-, medium- and long-term horizons, helps avoid overlaps of projects that may result in scope changes which could adversely affect the project implementation timeline, funding and cost, and loan utilization. Such an investment plan commits the government to a definite set of projects in the sector that allows for a stable implementation of social and environmental safeguards.

Project Number: 42414-043
Project Name: Sustainable Urban Transport Investment Program - Tranche 3
Report Date:
Lesson
The need for the cancelation of loan savings would be avoided by using realistic cost estimates during project preparation, as pointed out in the project completion report, is an appropriate lesson. However, this validation notes that the actual project cost was 28% lower than appraisal estimates, but the reduction in total ADB loan was 45%, i.e., from an estimate of $463 million to $253 million at program closing. The lower program cost reflected high-cost estimates, but higher counterpart funding was the bigger factor in the cancelation of the loan savings.

Project Number: 42039-033, 42039-036
Project Name: Power Transmission Investment Program (Multitranche Financing Facility and Tranche 3)
Report Date:
Lesson
When a project provides substantial climate mitigation and environmental benefits, a project economist with strong background and experience in environmental valuation method can undertake the project economic analysis at appraisal. Usually, energy efficiency improvement projects have very low pay back periods and high economic internal rate of return. ADB should investigate the ways in which it can formalize the use of carbon prices in energy efficiency project economic analysis.

Project Number: 47051-002
Project Name: Chemical Industry Energy Efficiency and Emission Reduction Project
Report Date:
Lesson
Effective and efficient implementation of large-scale land acquisition and resettlement activities depends largely on strong political will and commitment at all levels of the government. An executing agency needs to be proactive and initiate close working relationships with local authorities to resolve identified issues on the ground. Local communities, particularly affected households, must be engaged and their concerns should be adequately factored in by project design.

Project Number: 41444-013
Project Name: Second Northern Greater Mekong Subregion Transport Network Improvement
Report Date:
Lesson
A more comprehensive analysis of the road network is crucial to better understand the need for road improvements in given road corridors e.g., surface upgrades, widening, and new roads. While for consistency the project completion report replicated the methodology used during project appraisal, it is observed that traffic forecasts were based solely on economic growth projection of the gross domestic product, and the elasticity of traffic by vehicle type is not justified.

Project Number: 43574-025
Project Name: Uttar Pradesh Major District Roads Improvement Project
Report Date:
Lesson
The design and effective implementation of a project performance monitoring system is essential to the economic and financial evaluation of water supply and sanitation projects. The collection of benefits data helps in the identification, quantification, and valuation of economic and financial benefits for evaluation during and after project completion

Project Number: 36188-023
Project Name: Secondary Towns Integrated Urban Environmental Improvement Project
Report Date:
Lesson
Thorough project costing, including for the subproject components, is essential to smooth project implementation and success. Careful and precise estimation of costs and setting aside resources to cover future price escalations is required.

Project Number: 43405-024
Project Name: Urban Services Improvement Investment Program - Tranche 2
Report Date:
Lesson
A project performance management system (PPMS), which was not included in the project design, could have been beneficial for identifying, quantifying, and valuing economic benefits, and help in evaluating the extent of the project’s effectiveness and sustainability

Project Number: 38254-053
Project Name: North Karnataka Urban Sector Investment Program (Tranche 3)
Report Date:
Lesson
A well-designed and functioning project performance monitoring system (PPMS) is critical for the monitoring of project performance and collecting data for economic analyses (among other information). Given the data issues persistent in the Pacific e.g., availability and quality of data, careful thought on designing a comprehensive but implementable i.e., “fit for purpose” PPMS is imperative upon project teams. This can enable better data collection, which can facilitate better post-evaluation.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development
Report Date:
Lesson
A well-designed project performance management system greatly facilitates the identification, quantification, and valuation of economic benefits, and help in evaluating the extent of the project’s effectiveness.

Project Number: 35173-013
Project Name: Third Small Towns Water Supply and Sanitation Sector Project
Report Date:
Lesson
Preparing, reviewing, and monitoring project cost estimates contribute to a more efficient utilization of project funds. A more in-depth assessment and consideration of currency depreciation factors during project appraisal permits a more robust cost estimate. Under this project, a substantial loan amount was canceled because of the rupee depreciation against the US dollar. In-depth financial planning and cost projections coupled with risk mitigation measures allows for better utilization of loan proceeds.

Project Number: 49125-001
Project Name: Second Jharkhand State Road Project
Report Date:
Lesson
A timely and appropriate change in scope and reallocation of grant (or loan) proceeds responding to actual project needs emerging from implementation can help utilize available grant (or loan) resources in a more targeted and efficient manner, facilitate the conduct of more activities, potentially deliver more outputs, and maintain the project's relevance and effectiveness.

Project Number: 44130-022
Project Name: District Capitals Water Supply Project
Report Date: