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Improvement of Educational Infrastructure in Tirana Municipality Feasibility Study

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Improvement of Educational Infrastructure in Tirana Municipality Feasibility Study TIRANA MUNICIPALITY Improvement of Educational Infrastructure in Tirana Municipality Feasibility Study NOVEMBER 2016 1. INTRODUCTION ................................................................................................................ 16 1.1. Definition of terms .................................................................................................................... 16 1.2. General Description ................................................................................................................. 17 2. PROJECT’S KICK-OFF ...................................................................................................... 20 2.1. Process of national, regional, sectorial planning .................................................................... 21 2.2. Coordination of national and sectorial policies ...................................................................... 23 2.3. Coordination of long-term policies for development of Tirana ............................................ 24 2.4. Priorities of policies ................................................................................................................. 27 2.5. General Description of existing infrastructure situation ....................................................... 28 2.6. Objectives of the project .......................................................................................................... 36 2.7. Potential Strategic and Operational Benefits from the project ............................................ 37 3. CURRENT SITUATION ...................................................................................................... 41 3.1. Legislation.................................................................................................................................. 41 3.1.1. Pre-university education as a public service ................................................................... 41 3.1.2. Administration of pre-university education institutions ............................................... 41 3.1.3. Planning and construction of pre-university education institutions ............................ 43 3.1.4. Financing of pre-university education institutions ........................................................ 49 3.2. Methodology .............................................................................................................................. 51 3.3. In-depth analysis of the existing situation ............................................................................. 54 3.3.1. Nine-year elementary education ...................................................................................... 54 3.3.2. High school education ....................................................................................................... 88 3.4. Analysis of existing education infrastructure and necessary infrastructure based on number of population........................................................................................................121 3.5. Need for kindergartens ........................................................................................................... 122 3.6. Forecast of mid-term and long-term needs for new education infrastructure ................ 123 4. TECHNICAL PROJECT ................................................................................................... 128 4.1. Location and Lands ............................................................................................................... 128 4.1.1. Location and potential alternatives ............................................................................... 128 4.1.2. Total surface to be seized permanently ......................................................................... 130 4.1.3. Legal status of selected territories ................................................................................. 142 4.2. Local Conditions .................................................................................................................... 166 4.2.1. Topographical and geological harmonization of selected territories ......................... 166 4.2.2. Seismicity .......................................................................................................................... 172 4.2.3. Underground infrastructure and road service of selected territories .........................174 4.3. Architectonic, constructive and functional description of the project .............................. 194 4.3.1. Parameters of the designing ........................................................................................... 194 4.3.2. Main civic works to be carried out ................................................................................ 198 4.3.3. Construction Methods .................................................................................................... 200 4.3.4. Technologies and equipments ......................................................................................... 205 4.3.5. List of respective technical standards to be considered during implementation ....... 206 4.3.6. Calculated construction period ...................................................................................... 206 4.4. Implementation Costs of the Project ............................................................................... 206 4.4.1. Costs of designing and construction .............................................................................. 206 4.4.2. Costs of furniture and laboratories ............................................................................... 212 4.4.3. Maintenance Costs .......................................................................................................... 214 4.4.4. Other Costs ....................................................................................................................... 216 5. SOCIAL AND ENVIRONMENTAL IMPACT ............................................................. 220 5.1 Environmental Impact ...................................................................................................... 220 5.1.1. Legal Framework ............................................................................................................ 220 5.1.2. Description of flora and fauna of the territories under the study .............................. 221 5.2. Evaluation of environmental impact of study areas ........................................................... 222 5.2.1. Environmental impact during the construction phase ................................................ 222 5.2.2. Environmental impact during operational phase ........................................................ 224 5.3. Measures for a smooth environmental impact during construction and operational phases .........................................................................................................................................224 5.4. Social impact ........................................................................................................................... 225 5.4.1. Social benefits of education ............................................................................................ 225 5.4.2. Expropriation and compensation ................................................................................... 226 6. ECONOMIC AND FINANCIAL ANALYSIS ............................................................... 228 6.1. Economic model of Concession/Public-Private Partnership ............................................... 228 6.2. Main Assumptions ................................................................................................................. 230 6.3. Costs Analysis ......................................................................................................................... 231 6.3.1. Direct investments costs ................................................................................................. 233 6.3.2. Direct maintenance costs ................................................................................................ 239 6.4. Analysis of PPP incomes ........................................................................................................ 242 6.4.1. Tariff of the use of schools .................................................................................................. 242 6.4.2. Financing source ................................................................................................................... 245 6.5. Financial analysis .................................................................................................................... 247 6.6. Economic accomplishment of the project ............................................................................. 248 6.6.1.NPV (Net Present Value) .................................................................................................. 248 6.6.2. IRR (Internal Rate of Return) ......................................................................................... 249 6.6.3. Self-payment period ......................................................................................................... 249 6.6.4. Financial Compatibility .................................................................................................... 250 6.7. Qualitative and Quantitative Analysis of Risks ................................................................... 251 6.7.1. Qualitative Risk Analysis ...............................................................................................
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