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World Bank Document Document of The World Bank Public Disclosure Authorized Report No: ICR00001221 IMPLEMENTATION COMPLETION AND RESULTS REPORT (IDA-H0490 TF-56516) ON A Public Disclosure Authorized GRANT IN THE AMOUNT OF SDR 93 MILLION (US$126.8 MILLION EQUIVALENT) TO THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA FOR THE ROAD SECTOR DEVELOPMENT PHASE I PROJECT (APL1) Public Disclosure Authorized IN SUPPORT OF THE SECOND PHASE OF THE ETHIOPIAN ROAD SECTOR DEVELOPMENT PROGRAM (RSDP II) June 29, 2010 Public Disclosure Authorized Transport Sector Country Department AFCE3 Africa Region CURRENCY EQUIVALENTS (Exchange Rate Effective December 31, 2009) Currency Unit = Ethiopian Birr SDR 1.00 = US$1.57 US$1.00 = 12.70 Birr FISCAL YEAR July 8 – July 7 ABBREVIATIONS AND ACRONYMS ADLI Agricultural Development Led-Industrialization AfDB Africa Development Bank AIDS Acquired Immune-Deficiency Syndrome APL Adaptable Program Loan CAS Country Assistance Strategy DCI Domestic Construction Industry DMO District Maintenance Organizations EIRR Economic Internal Rate of Return EMPs Environmental Management Plans ERA Ethiopia Road Authority ERTTP Ethiopia Rural Travel and Transport Program GOE Government of Ethiopia HDM Highway Development Model HIV Human Immunodeficiency Virus ICB International Competitive Bidding IDA International Development Agency IOs Immediate Outcomes LCB Local Competitive Bidding M&E Monitoring and Evaluation MDG Millennium Development Goals NCB National Competitive Bidding NPV Net Present Value OPRC Output and Performance-based Roads Contracting ORF Office of the Road Fund PAD Project Appraisal Document PASDEP Plan for Accelerated and Sustained Development to End Poverty PDO Project Development Objectives PSP Private Sector Participation QAG Quality Assurance Group QEA Quality at Entry Assessment RAPs Resettlement Action Plans RRO Regional Road Organization RSDP Road Sector Development Project SIL Specific Investment Loan TA Technical Assistance TPO Transport Poverty Observatory URRAP Universal Rural Road Access Program VOC Vehicle Operating Costs WIDP Wereda Infrastructure Development Plan Vice President: Obiageli K. Ezekwesili Country Director: Kenichi Ohashi Sector Manager: C. Sanjivi Rajasingham Project Team Leader: Yoshimichi Kawasumi ICR Team Leader: Roger Gorham IMPLEMENTATION COMPLETION REPORT FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA ROAD SECTOR DEVELOPMENT PHASE I PROJECT IN SUPPORT OF THE SECOND PHASE OF THE ROAD SECTOR DEVELOPMENT PROGRAM (APL1) CONTENTS Data Sheet ........................................................................................................................ i A. Basic Information ........................................................................................................ i B. Key Dates .................................................................................................................... i C. Ratings Summary ........................................................................................................ i D. Sector and Theme Codes ........................................................................................... ii E. Bank Staff ................................................................................................................... ii F. Results Framework Analysis ..................................................................................... iii G. Ratings of Project Performance in ISRs .................................................................... v H. Restructuring (if any) ................................................................................................. v I. Disbursement Profile ................................................................................................. vi 1. Project Context, Development Objectives and Design ............................................... 1 2. Key Factors Affecting Implementation and Outcomes .............................................. 5 3. Assessment of Outcomes .......................................................................................... 11 4. Assessment of Risk to Development Outcome ......................................................... 16 5. Assessment of Bank and Borrower Performance ..................................................... 16 6. Lessons Learned ....................................................................................................... 18 7. Comments on Issues Raised by Borrower/Implementing Agencies/Partners .......... 20 Annex 1. Project Costs .................................................................................................. 21 Annex 2. Outputs by Component ................................................................................. 23 Annex 3. Economic and Financial Analysis ................................................................. 30 Annex 4. Bank Lending and Implementation Support/Supervision Processes ............ 34 Annex 5. Beneficiary Survey Results ........................................................................... 36 Annex 6. Stakeholder Workshop Report and Results ................................................... 37 Annex 7. Summary of Borrower's ICR and/or Comments on Draft ICR ..................... 38 Annex 8. Comments of Cofinanciers and Other Partners/Stakeholders ....................... 61 Annex 9. List of Supporting Documents ...................................................................... 62 Annex 10. Ex Poste Assessment of Ex Ante Risk Analysis ......................................... 63 Annex 11. Transport Poverty Observatory Status and Findings .................................. 65 MAP A. Basic Information ET- Road Sector Country: Ethiopia Project Name: Development Phase 2 Project ID: P044613 L/C/TF Number(s): IDA-H0490,TF-56516 ICR Date: 06/29/2010 ICR Type: Core ICR THE GOVERNMENT Lending Instrument: APL Borrower: OF ETHIOPIA Original Total XDR 93.0M Disbursed Amount: XDR 93.0M Commitment: Revised Amount: XDR 93.0M Environmental Category: A Implementing Agencies: Ethiopian Roads Authority Ministry of Works and Urban Development Cofinanciers and Other External Partners: B. Key Dates Revised / Actual Process Date Process Original Date Date(s) Concept Review: 12/04/2001 Effectiveness: 11/14/2003 Appraisal: 03/31/2003 Restructuring(s): Approval: 06/17/2003 Mid-term Review: 03/31/2006 05/01/2006 Closing: 06/30/2009 12/31/2009 C. Ratings Summary C.1 Performance Rating by ICR Outcomes: Satisfactory Risk to Development Outcome: Low or Negligible Bank Performance: Satisfactory Borrower Performance: Satisfactory C.2 Detailed Ratings of Bank and Borrower Performance (by ICR) Bank Ratings Borrower Ratings Quality at Entry: Satisfactory Government: Satisfactory Implementing Quality of Supervision: Satisfactory Satisfactory Agency/Agencies: Overall Bank Overall Borrower Satisfactory Satisfactory Performance: Performance: i C.3 Quality at Entry and Implementation Performance Indicators Implementation QAG Assessments Indicators Rating Performance (if any) Potential Problem Project Quality at Entry No Satisfactory at any time (Yes/No): (QEA): Problem Project at any Quality of No None time (Yes/No): Supervision (QSA): DO rating before Satisfactory Closing/Inactive status: D. Sector and Theme Codes Original Actual Sector Code (as % of total Bank financing) Central government administration 10 6 Roads and highways 90 94 Theme Code (as % of total Bank financing) Environmental policies and institutions 14 14 HIV/AIDS 14 14 Infrastructure services for private sector development 29 29 Poverty strategy, analysis and monitoring 14 14 Rural services and infrastructure 29 29 E. Bank Staff Positions At ICR At Approval Vice President: Obiageli Katryn Ezekwesili Callisto E. Madavo Country Director: Kenichi Ohashi Ishac Diwan Sector Manager: C. Sanjivi Rajasingham Maryvonne Plessis-Fraissard Project Team Leader: Yoshimichi Kawasumi John D. Riverson ICR Team Leader: Roger Gorham ICR Primary Author: Roger Gorham F. Results Framework Analysis Project Development Objectives (from Project Appraisal Document) The objectives of the Project are to assist the Recipient in increasing its road transport infrastructure and improving the reliability thereof, strengthening the capacity for road construction, management and maintenance and enhancing the financing program in relation thereto in order to ensure sustainability, and creating conditions conducive to private sector participation in the road transport sector. These objectives are to be ii achieved through: (a) construction, rehabilitation, upgrading and preserving the priority federal road network;(b) strengthened ERA reform program;(c) improved resource mobilization, allocation and use for road maintenance and strengthened Road Fund Administration; and(d)developing the capacity in program implementation. Revised Project Development Objectives (as approved by original approving authority) (a) PDO Indicator(s) Original Target Formally Actual Value Values (from Revised Achieved at Indicator Baseline Value approval Target Completion or documents) Values Target Years Overall PDO Indicator : Indicator 1 : Annual rate of conversion of roads into good condition # (a) asphalt roads; (b) gravel roads (c) rural roads 1997-2003: 2003-2009: Value (a) 3.0 % (a) 5.8 % quantitative or Not applicable (b) 0.8% (b) 4.0% Qualitative) (c) 1.2% (c) 3.7% Date achieved 05/19/2003 06/30/2009 10/01/2009 Indicator was not included in the PAD, but provides a good overall indicator as Comments to how well the capacity for increasing road infrastructure and improving its (incl.
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