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Second City Region Development Project: Summary of the First City

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Second City Region Development Project: Summary of the First City Second City Region Development Project (RRP BAN 49329) SUMMARY OF THE FIRST CITY REGION DEVELOPMENT PROJECT I. BACKGROUND 1. Project Approval, Signing and Effectiveness. The first City Region Development Project (CRDP or the project) with an Asian Development Bank (ADB) loan amount of SDR76.89 million ($120.0 million equivalent) was approved on 10 November 2010, signed on 10 August 2011, and became effective on 23 September 2011. The project was co-financed by the German Financial Cooperation through KfW with a grant of EUR 10.5 million ($12.6 million equivalent) allocated for climate change adapted urban development in Khulna city. The financing agreement between the Economic Relations Division of the government and KfW was signed on 22 March 2012. The project was also co-financed by the Swedish International Development Authority (SIDA) with a grant of SEK 90.0 million ($13.0 million equivalent) administered by ADB for urban center infrastructure and governance improvement. The administrative agreement between ADB and SIDA was signed on 5 December 2012. The project was extended twice for a total period of one and a half years and closed on 31 December 2018. 2. Impact and Outcome. The impact of the project is enhanced growth potential and environmental sustainability of the two city regions. A city region is defined as an agglomeration of a large metropolitan city (city corporation), municipalities (pourashavas) clustered nearby and adjacent peri-urban areas (urban centers). The target city regions of the project, Dhaka and Khulna city region, comprise 5 city corporations, 12 pourashavas and 36 urban centers. The outcome is improved urban environment and infrastructure services based on effective regional and urban planning. 3. Project Outputs and Activities. The project was designed to produce 3 outputs: (i) enhanced capacity of urban infrastructure, (ii) improved urban planning, and (iii) strengthened municipal management and capacity. Activities under output 1 included infrastructure improvement for water supply and sanitation, solid waste management, urban transportation, and drainage system, to stimulate economic activities in the two selected city regions. Activities under output 2 included review and update of the Dhaka Metropolitan Development Plan and capacity building support to the project city corporations and pourashavas for urban planning. Activities under output 3 supported city corporations, pourashavas, and urban centers to improve tax collection, infrastructure maintenance and public participation (including women and vulnerable groups) in the development activities. 4. Cost Estimates. The project was initially estimated to cost $170 million, as shown in Table 1. Co-financing from KfW (parallel) and SIDA were later added to the project. Table 1: Project Investment Plan ($ million) Original Revised Amount including co-financing Item Amount ADB KfW SIDA GOB Total (ADB + GOB) A. Base Cost 1 Civil Works 93.49 78.76 11.60 10.40 38.36 139.12 2 Equipment & Vehicles 28.97 15.33 - 0.70 4.19 20.22 3 Consultants 16.34 10.20 1.03 1.20 3.92 16.35 Land Acquisition & 4 5.64 - - - 0.16 0.16 Resettlement 5 Recurrent Cost 5.51 1.80 - - 3.37 5.17 Sub-total (A) 149.95 106.09 12.63 12.30 50.00 181.02 2 Original Revised Amount including co-financing Item Amount ADB KfW SIDA GOB Total (ADB + GOB) B. Contingencies 17.03 - - 0.70 - 0.70 C. Interest Charges during 3.03 3.00 - - - 3.00 Implementation Total (A+B+C+D) 170.00 109.09 12.63 3.00 50.00 184.72 ADB = Asian Development Bank, GOB = Government of Bangladesh, SIDA = Swedish International Development Authority Source: ADB. 5. Financing Plan. ADB financed SDR76.89 million (approximately $120 million equivalent) or 70.59% and the government provided $50 million (29.42%). Co-financing from KfW with a grant of EUR 10.5 million ($12.63 million) and SIDA with a grant of SEK 90.0 million ($13.0 million) was later added to the project financing. The financing plan for the project is given in Table 2. Table 2: Financing Plan Original (ADB + GOB) Revised Amount including co-financing Amount Share of Total Amount Share of Total ($ million) (%) ($ million) (%) ADB 120.00 70.59 109.09 59.06 GOB 50.00 29.41 50.00 27.07 KfW - - 12.63 6.84 SIDA - - 13.00 7.04 Total 170.00 100.00 184.72 100.00 ADB = Asian Development Bank, GOB = Government of Bangladesh, SIDA = Swedish International Development Authority Source: ADB. 6. Implementation Period. The project was planned for 6 years and original loan closing was June 2017. The loan has been extended twice up to 31 December 2018. 7. Project Management. The Local Government Engineering Department (LGED) under Local Government Division (LGD) of the Ministry of Local Government, Rural Development and Cooperatives was the executing agency. City Corporations and pourashavas were the implementing agencies. II. ACHIEVEMENTS A. Outcome and Outputs Targets 8. Outcome: Improved urban environment and infrastructure services based on effective regional and urban planning. 10,320 households have been provided with improved water supply and the operation of waste management facility at Jessore has commenced. The Dhaka Structure Plan (2016–2035) has been finalized and the project pourashavas are complying with the key Urban Governance Improvement Action Plan (UGIAP) targets. Achievement of other outcome targets related to reduction of travel time, traffic accidents, and water logging and improvement of energy efficiency are being assessed and findings will be reported in the executing agencies’ project completion report to be submitted by 31 March 2019. 9. Outputs. Achievement of output targets is given in Table 3. 3 Table 3: Achievement of Output Targets Design Summary Performance Targets / Indicators Progress as of 31 December 2018 Output 1. Enhanced For all output indicators: (Targets are capacity of urban total or average of the target areas by infrastructure 2018, unless otherwise noted.) Water Supply Additional production capacity Additional production capacity (40 MLD) (39.50 MLD) Length of new pipe network built Length of new pipe network built (127 km) (127 km) Length of existing pipe network Length of existing pipe network rehabilitated (3.5 km) rehabilitated (3.5 km) Women’s representation in WATSAN Complied committees (30%) Sanitation Number of new public toilet facilities Number of new public toilet facilities with fecal sludge management facilities with containment (7) (7) Number of renovated public toilets with Number of renovated public toilets fecal sludge management facilities (8) with containment (8) Solid Waste Management 1 No. solid waste management facility Solid waste management facility established established at Jessore pourashava Urban Transport Length of roads upgraded (258 km) Length of roads upgraded (255 km) Number of towns or areas with Banani area in Dhaka with improved improved traffic management (1) road and traffic management Drainage Length of drains improvement Length of drains improved (215 km) (210 km) Length of re-excavation of river/canal Length of re-excavation of river/canal (19 km) (25 km) Energy Efficiency Program Energy-efficient pumps installed Energy-efficient pumps installed 4 Design Summary Performance Targets / Indicators Progress as of 31 December 2018 (6 pumps) (6 pumps) Energy-efficient and/or solar-powered Energy-efficient and/or solar- lights installed (3000) powered lights installed (3063) 2. Improved urban DMDP (1995-2015) reviewed and Updated and finalized in 2016 as planning updated by 2014 Dhaka Structure Plan (2016 – 2035) Consultation meetings for DMDP with at least 30% participation by women Complied. Number of urban planners posted in Category A pourashava of the project Urban Planners posted in 6 by 2018 (8) pourashavas Urban planners trained from the project by 2014 a. 3. Strengthened b. Capacity development programs 2 workshops have been carried out municipal carried out in all municipalities with 30% for capacity development of the management and of women trainees officials and staff of the project capacity c. pourashavas with 30% participation of women trainees. Apart from these, regular on-job training programs are held at the field levels. d. e. All municipalities achieving annual 5% Complied. Measured after completion improvement of property tax collection of financial year. f. All municipalities achieving regular Complied citizen committee meetings with at least 30% participation by women g. Capacity of peri-urban management Concept plans and institutional enhanced. framework of the project’s urban centers improvement have been prepared. DMDP = Dhaka Metropolitan Development Plan, km = kilometres, MLD = megalitres per day, WATSAN = water and sanitation. Source: CRDP Quarterly Progress Report Q4 2018. 10. Contract Award and Disbursement Status. Cumulative contract award and disbursement are $105.4 million and $ 103.5.3 million, against the ADB loan amount of $109.5 million. Around $4 million remain unused and project account closing is ongoing as per February 2019. 11. Equipment and Goods Contracts. The project had nine goods packages including six international competitive bidding packages to procure waste management equipment. The waste management equipment under the six contracts have delivered and payment was completed in December 2018. Procurement is complete for the remaining three packages. 12. Civil Works Contracts. The project has 92 works contracts financed by ADB. Works are completed, and contracts are closed. 5 13. Regional Development Planning Consultants. Consultants engaged
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