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Lesson
Advance actions, supported by retroactive financing arrangements, can help minimize or avoid startup delays. The project faced start-up delays in both countries. It took more than two years from project effectiveness in each country for the first civil works contracts to be awarded. Recruitment of project implementation consultants, preparation of bidding documents, and preparation of the detailed designs were accomplished only after the project effectiveness. Such start-up delays could have

Project Number: 40190-023
Project Name: Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project
Report Date:
Lesson
The use of the forced account works procedure for civil works and request for quotations and direct contracting for goods and equipment saved time in procurement for this project. The maximum use of the flexibilities inherent in these procedures, which accords with ADB’s Disaster and Emergency Assistance Policy, boosted project effectiveness and efficiency.

Project Number: 52129-001
Project Name: Cyclone Gita Recovery Project
Report Date:
Lesson
Foreseeable delays in procurement and disbursements may be overcome by (i) including project readiness measures such as advance actions; and (ii) ensuring dedicated, full-time) and qualified staff with relevant experience for key project management positions. Amounting to 1.5 years in this project, these delays were attributable to the complexity of procedures in Viet Nam, the COVID-19 pandemic, and the large number of project facilities involved.

Project Number: 44265-013
Project Name: Second Health Care in the Central Highlands Project
Report Date:
Lesson
Lack of capacity and experience in executing/implementing agencies as well as lack of reference projects can negatively impact project implementation. This project encountered delays because the executing agency and project management unit (PMU) lacked capacity and prior experience with international financial institution–financed procurement and management of large projects. Moreover, there were no reference projects with similar legal and regional setups to provide lessons and guidance to the executing agency and PMU.

Project Number: 41340-013
Project Name: Advanced Electricity Metering Project
Report Date:
Lesson
Detailed project preparation and feasibility studies carried out and included in the periodic financing request strengthen project readiness in procurement and safeguards implementation. This could entail conducting comprehensive field investigations and site assessments conducted during the detailed project reporting stage. Monsoon and weather conditions and project readiness for physical works should be considered in drawing up implementation schedules—for both onshore and offshore projects.

Project Number: 40156-013, 40156-033
Project Name: Sustainable Coastal Protection and Management Investment Program - Tranche 2 and MFF
Report Date:
Lesson
Engaging capable design institutes, backed by sufficient budget and time allocations, will result in better quality technical designs that in turn will facilitate construction progress, reduce the need for contract variations, and optimize construction costs. There were significant variations in some of this project's civil works contracts. These variations resulted mainly from poor quality of technical designs, with errors and omissions in the construction drawings.

Project Number: 45507-003
Project Name: Yunnan Chuxiong Urban Environment Improvement Project
Report Date:
Lesson
Reducing or avoiding implementation delays would require, among others: (i) ensuring that project and/or subproject implementation is a high priority for local governments and counterpart funds are provided in government annual budgets, and (ii) starting resettlement activities as early as possible and providing adequate funds for these activities.

Project Number: 45507-003
Project Name: Yunnan Chuxiong Urban Environment Improvement Project
Report Date:
Lesson
Shortage of qualified national consultants could delay implementation and increase project costs . The intention at design was to work with the support of national consultants. However, the lack of national consultants with technical qualifications and TVET experience as required by the project hampered timely recruitment and mobilization of these technical experts. Consequently, some national positions had to be converted to international positions or contracts of qualified national consultants extended to enable them to complete the tasks.

Project Number: 45139-001
Project Name: Mid-Level Skills Training Project
Report Date:
Lesson
It is important to include individual startup consultants in the project design to assist and help avoid delays during the early implementation stages. The project experienced some startup delays, particularly in procurement and capacity building. The experience demonstrates the importance of including individual startup consultants in the project design to assist the executing and implementing agencies and avoid delays during early-stage implementation.

Project Number: 45511-006
Project Name: Hunan Technical and Vocational Education and Training Demonstration 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:
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
Significant implementation delays under both tranches underscore three important points: (i) weather conditions stop works during winter months and even interrupt work during other months, (ii) proper planning is essential so that issues such as inadequate access infrastructure can be taken care of sufficiently in advance, and (iii) extensive geological surveys and testing are crucial in the Himalayan region prior to the detailed project report stage.

Project Number: 41627-023, 41627-033
Project Name: Himachal Pradesh Clean Energy Development Investment Program (Tranches 1 and 2)
Report Date:
Lesson
Procurement of works and recruitment of consultants followed due process and were completed on time. The contract award was synchronized with loan effectiveness and civil works commenced on time. Payment of small amounts to affected persons was a challenging task that is still ongoing. The prompt establishment of the project implementation unit and lessons from tranche 1, particularly regarding LARP implementation, contributed to the smooth startup of construction activities.

Project Number: 48402-001, 48402-002
Project Name: National Motorway M-4 Gojra–Shorkot Section Project and National Motorway M–4 Gojra–Shorkot–Khanewal Section Project - Additional
Financing
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Lesson
Enhanced project readiness filters need to be applied to future projects to minimize or avoid the challenges encountered in this project, which commonly occur in infrastructure projects. These challenges included (i) insufficient construction equipment at the work sites; (ii) contractors’ chronic working capital shortages; (iii) non-payment of local contractors and/or suppliers, resulting in shortages (e.g., of materials and fuel); and (iv) a lack of capacity for efficient project management

Project Number: 48402-001, 48402-002
Project Name: National Motorway M-4 Gojra–Shorkot Section Project and National Motorway M–4 Gojra–Shorkot–Khanewal Section Project - Additional
Financing
Report Date:
Lesson
ADB should help the executing agency strengthen its capacity in procurement planning, bid evaluation, and contract award in accordance with ADB’s procurement guideline. Because of the disagreement between the executing agency and ADB regarding bid evaluation results, the procurement of civil works for Project 2 was significantly delayed. The divergent views centered on particular restriction provisions, including abnormally low bids, collusions, and conflicts of interest.

Project Number: 44483-024, 44483-023, 44483-026, 44483-027
Project Name: Second Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program
Report Date: