Search

Displaying 1 - 15 of 25

Lesson
To benefit from procurement advance action, the process should begin as early as eight months before loan effectiveness.

Project Number: 46293-003
Project Name: Greater Mekong Subregion Tourism Infrastructure for Inclusive Growth Project
Report Date:
Lesson
The availability of additional resources for the preparation of one or two procurement-ready civil works subprojects before loan effectiveness could support a smooth project startup.

Project Number: 46293-003
Project Name: Greater Mekong Subregion Tourism Infrastructure for Inclusive Growth Project
Report Date:
Lesson
Detailed market analysis through strategic procurement planning and accurate cost estimates could prevent unexpectedly low bids, leading to significant project savings. Under this project, it is noted that low bids did not negatively affect the quality of construction.

Project Number: 45509-002
Project Name: Chongqing Urban-Rural Infrastructure Development Demonstration II Project
Report Date:
Lesson
Performing an adequate level of due diligence and risk assessments at the early stage of project preparation increases the quality of project design and readiness. For example, preparatory work for procurement planning and administration of abnormally low bids (e.g., prequalification of bidders) supports and better streamlines the procurement process and avoids substantial changes in a project design and scope.

Project Number: 44483-023, 44483-024, 44483-026, 44483-027
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program (Tranche 3 and Multitranche Financing Facility)
Report Date:
Lesson
Inaccurate estimation of quantities in the detailed project reports (DPR), required for project processing in India, can raise project costs at the same time push back construction periods. There was a huge difference between actual quantity requirements based on site-specific conditions and those indicated in this project's DPRs. Because of insufficient estimations in the bill of quantities, contractors had to put a huge claim for the revision of rates and work quantity. Given this, care must be taken in preparing the DPR and estimating quantities.

Project Number: 37143-033
Project Name: North Eastern States Roads Investment Program - Project 2 and Multitranche Financing Facility
Report Date:
Lesson
Wide time gaps between the finalization of construction cost estimate, initiation of the bidding process, and awarding of contracts should be avoided as these could lead to time and cost overruns. There were significant time gaps of 4–5 years between the finalization of the DPRs, including cost estimates and the completion of the bidding process. Besides causing startup delays, this also led to higher contract costs in comparison to the engineering estimates.

Project Number: 37143-033
Project Name: North Eastern States Roads Investment Program - Project 2 and Multitranche Financing Facility
Report Date:
Lesson
Significantly lower contract prices for civil works could lead to project completion delays.Civil works contract prices for this project were, on average, 30% below the initial estimates. The winning contractors, all private companies, encountered financial challenges during construction as the low unit prices meant that increased work resulted in financial losses. Faced with this situation, the contractors were reluctant to mobilize additional resources and accelerate the construction progress.

Project Number: 46040-003
Project Name: Yunnan Pu'er Regional Integrated Road Network Development Project
Report Date:
Lesson
Adequate project readiness and accurate designs are critical for large infrastructure projects. Lack of these could cause delays, i.e., this project encountered a delay of over 2 years in finalizing the detailed design for the major civil works contracts and delays in procurement. Furthermore, inclusion of additional scope of works and delays in land acquisition and resettlement plans, and COVID-19 impacts hindered timely implementation.

Project Number: 40540-014, 40540-017
Project Name: South Asia Subregional Economic Cooperation Road Connectivity Project
Report Date:
Lesson
Similar projects in similar contexts can learn from the following Implementation lessons learned from the[project: (i) potential startup delays need to be anticipated when developing the project Implementation plan and the contract awards and disbursement projections, withmitigating measures identified; (ii) engaging a single detailed engineering design consultant for projects covering multiple provinces can cause delays;and (iii) use of local consultants could expedite the awarding of civil works contracts.

Project Number: 46293-005
Project Name: Greater Mekong Subregion Tourism Infrastructure for Inclusive Growth Project
Report Date:
Lesson
Inadequate capacity to assess the bids and contracts increases procurement risks and results in implementation delays. It is imperative that borrower and/or the executing agencies conduct sufficient due diligence on the technical and financial qualifications of bidders to ensure that they can deliver the required works and contract obligations of the project. Such an examination prevents contracting low performing contractors.

Project Number: 49125-001
Project Name: Second Jharkhand State Road Project
Report Date:
Lesson
Procurement usually takes extra time due to process-related issues that can be mitigated by (i) strengthening progress monitoring and quality assurance mechanisms during project preparatory work, including bid document Preparation; (ii) appointing dedicated committees and staff, including a technical evaluation committee for road projects, a procurement committee with enforced deadlines, and a staff in the project management unit to coordinate and manage procurement activities; and (iii) providingCapacity development training for the relevant committee.

Project Number: 47182-001
Project Name: Southern Road Connectivity Project
Report Date:
Lesson
Utility shifting can form part of the item-rate and/or engineering, procurement, and construction(EPC) contracts to facilitate the efficient delivery of future projects. In road construction projects, the shifting of utility is often contracted out by the executing agency to third-party entities specializing in utility shifting. However, this arrangement can be misused as an excuse by some contractors, leading to possible delays in the delivery of contracts.

Project Number: 43574-025
Project Name: Uttar Pradesh Major District Roads Improvement Project
Report Date:
Lesson
Designing the early tranche of an MFF program in preparing detailed engineering design, capacity building, and training support to include planning, procurement, and project management among others, incentivizes the readiness for project execution of succeeding tranches.

Project Number: 41122-013, 41122-043
Project Name: Road Corridor Investment Program (Tranche 3 and Multitranche Financing Facility)
Report Date:
Lesson
As larger contracts experienced more delays compared to shorter contracts, in future projects, shorter-length contracts may be considered. The termination of contractors was observed to be due to their non-proactive approach while working in discontinuous encumbrance-free stretches of road, poor planning, and inadequate financial capability. Instead of terminating contracts, it would be more desirable to make encumbrance-free land available upfront, release retention money, and create escrow accounts—which were approaches that were successfully implemented.

Project Number: 41629-013, 44425-013
Project Name: Bihar State Highways II Project 
Report Date:
Lesson
Incorporating utility shifting as part of the item-rate contract has proven effective for timely project completion in some Indian states. Utility shifting is usually contracted out to a third-party entity specialized in utility shifting. Contractors often abuse this arrangement, however, taking it as an excuse to delay civil works. To prevent this, the utility shifting should be included as an item in the bill of quantity to be carried out directly by the contractor.

Project Number: 41629-013, 44425-013
Project Name: Bihar State Highways II Project 
Report Date: