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Lesson
Inadequate local counterpart funds obstruct the payment of necessary land acquisition and resettlement costs, resulting in slow implementation and delays, particularly during the initial stage of project implementation.

Project Number: 44037-014
Project Name: Shaanxi Weinan Luyang Integrated Saline Land Management Project
Report Date:
Lesson
The results-based lending (RBL) modality provides flexibility to adjust targets adversely affected by unforessen adverse events such as COVID-19. During 2020–2022, the COVID-19 pandemic affected the demand for electricity, lowering the State Electricity Company's (PLN) revenues and creating uncertainty in its investment plans. Sourcing equity financing and implementing ongoing projects within PLN became difficult under such conditions and adjustments were needed in scope and time targets of ongoing works.

Project Number: 50016-001
Project Name: Sustainable Energy Access in Eastern Indonesia—Electricity Grid Development Program
Report Date:
Lesson
The use of IT has become part and parcel of fiscal decentralization efforts. Before the program, most agencies were hesitant to invest in IT infrastructure and resorted to grants from development partners. The program encouraged the government to appreciate the importance of sustaining the systems from the local governments' own budgets, greatly reducing the risk that the systems would not be sustained.

Project Number: 52173-001, 52173-003
Project Name: Local Governance Reform Program
Report Date:
Lesson
When the minimum amount of disbursement needs to be established for some administrative reasons from ADB's co-financiers, it is beneficial to set it at the lowest possible level to enable financiers to respond flexibly to the disbursement needs on the ground. The Agence Française de Développement (AFD) required the minimum amount of $5 million to process disbursements, except for the first disbursement of $300,000, while the ADB did not impose such a threshold.

Project Number: 41074-013
Project Name: West Kalimantan Power Grid Strengthening Project
Report Date:
Lesson
ADB close mentoring and guidance are crucial to ensuring quality financial reports and well functioning financial systems. During the first reporting year of the project, the implementing agency had difficulty complying with the annual financial reporting requirements. Through ADB's close mentoring and guidance, the reports gradually improved, from the beginning of fiscal year 2019 up to 2021, and the auditors issued clean or unqualified opinions.

Project Number: 49214-002
Project Name: Solar Transmission Sector Project
Report Date:
Lesson
Following ADB Procurement Guidelines throughout will avoid any issues over unfamiliarity with or misunderstanding of the conditions. Although the use of the implementing agency's works and procurement policy and procedures was approved with conditions for smaller contracts, the implementing agency's decision to follow ADB's guidelines eased implementation and minimized procurement issues.

Project Number: 46537-002
Project Name: Solar Transmission Sector Project
Report Date:
Lesson
Reduced counterpart funding and increased use of loan proceeds will facilitate timely implementation and project closure. This project was designed with substantial counterpart funding from governments. While demonstrating strong ownership, this affected implementation as the governments were unable to disburse the budget on time. Besides reducing the requirement for counterpart funding, sufficient documentation and incorporation of counterpart fund releases in the audited annual financial statements can help facilitate the financial closing of future projects.

Project Number: 41444-013
Project Name: Second Northern Greater Mekong Subregion Transport Network Improvement Project
Report Date:
Lesson
The periodic maintenance payment rates may be standardized for future use. This project incorporated maintenance payments for the first year, allocated at prefixed rates, and with provision for an annual increase in subsequent years. Comparing the periodic maintenance payments made to the contractors with the actual expenditure incurred by the contractors, there is basis for standardizing periodic maintenance payment rates.

Project Number: 43574-025
Project Name: Uttar Pradesh Major District Roads Improvement Project
Report Date:
Lesson
Corporatized public enterprises operating on a cost-recovery basis need government funding support for infrastructure improvements. Provision of government counterpart funding should have been a condition for grant effectiveness. Instead, the executing agency, the Papua New Guinea Power Limited (PPL), partially made funds available for civil works. PPL, as a corporatized enterprise, is mandated to operate on a cost-recovery basis and did not have sufficient funding allocation.

Project Number: 41504-024
Project Name: Improved Energy Access for Rural Communities
Report Date:
Lesson
Ensuring the sustainability of project benefits would require serious efforts from the component implementation units (CIUs) to raise funds from various sources. Governments have allocated annual budgets for CIUs to continue post-project operations. But financial sustainability is still a concern, as government allocations are sufficient to cover only routine facility maintenance and supplies and not surveillance, animal and pest outbreak responses, and repair of critical laboratory equipment.

Project Number: 43120-013
Project Name: Trade Facilitation: Improved Sanitary and Phytosanitary (SPS) Handling in Greater Mekong Subregion Trade Project
Report Date:
Lesson
The requirement for counterpart funding to finance land acquisition and resettlement (LAR) should be clearly communicated to government counterparts during project preparation. Due to delayed and inadequate counterpart funds, particularly to support LAR, works were begun in several subprojects even before compensation payments were completed. This comprised noncompliance to ADB safeguards and caused the suspension of works in pertinent subprojects.

Project Number: 43319-022
Project Name: Greater Mekong Subregion East-West Economic Corridor Towns Development Project
Report Date:
Lesson
Lack of tariffs and insufficient operation and maintenance (O&M) budgets threaten the sustainability of water supply and sanitation facilities in FSM. The water supply and wastewater components are unlikely to be sustainable because of the unwillingness to charge for services, and the insufficiency of annual O&M budgets.

Project Number: 35448-013
Project Name: Omnibus Infrastructure Development Project
Report Date:
Lesson
A unified bill covering both water supply and sanitation services provides a practical approach to improving the revenue stream for wastewater management. Compared to water supply; it is often harder to collect tariffs for wastewater management services. The local water supply company in Medan; the capital city of the North Sumatra province; has provided a practical solution to this by installing a unified billing system for water supply and wastewater management services.

Project Number: 39071-013
Project Name: Metropolitan Sanitation Management and Health Project
Report Date:
Lesson
Government’s effective and responsive implementation of the program and use of funds highlighted the importance of being able to adjust allocations as demanded by the crisis. The government successfully utilized its ADB countercyclical loan to support its relief and stimulus program under its two pandemic emergency decrees and funds (FY2020 and FY2021). In particular; the Cabinet responded rapidly to the successive waves of COVID-19; allocating and reallocating budgets to work plans and projects where they were most needed at any one time.

Project Number: 54177-001
Project Name: COVID-19 Active Response and Expenditure Support Program
Report Date:
Lesson
Incorporation into the project design of cost-sharing arrangements with irrigation water users broadens the scope for promoting project sustainability and improving related approaches and practices. In the Lao PDR, forming a water users’ group and assigning it the responsibility of collecting water charges is an important step toward project sustainability. However, this was not fully integrated into the project design and no relevant output Indicators were included in the design and monitoring framework.

Project Number: 40190-023
Project Name: Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project
Report Date: