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Development Coordination

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Development Coordination Rural Connectivity Investment Program (RRP IND 40423) DEVELOPMENT COORDINATION A. Major Development Partners: Strategic Foci and Key Activities 1. External assistance to roads in India has been substantial. The Asian Development Bank (ADB) has provided loans as well as technical assistance (TA) of about $4.5 billion. The World Bank has provided loans and grants totaling about $6.5 billion for upgrading national highways and rural roads, and improving state highways. The Japan International Cooperation Agency has provided six loans for a total of around $765 million to upgrade national highways and construct bridges. The Government of the United Kingdom has provided TA to support the sector. Roads Projects of Major Development Partners in India A. ASIAN DEVELOPMENT BANK Region/State Project Name Year $ Million Approved Equivalent Various states Road Improvement (Tamil Nadu, Haryana, Uttar Pradesh, 1988 198 Andra Pradesh, Karnataka) Various states Second Road (Karnataka, Kerala, Rajasthan, Andra 1990 250 Pradesh, Orissa, Uttar Pradesh, West Bengal) Various states National Highways (Bihar, West Bengal, Haryana, Rajasthan, Andra Pradesh) 1993 245 (Consultancy) Bombay-Vadora Expressway Technical Assistance 1993 0 Gujarat, Maharashtra Surat-Manor Tollway 2000 180 Karnataka Western Transport Corridor 2001 240 West Bengal West Bengal Corridor Development 2001 210 Gujarat East-West Corridor 2002 320 Madhya Pradesh State Roads Sector Development Madhya Pradesh Program (Program Loan) 2002 30 Madhya Pradesh State Roads Sector Development Madhya Pradesh Program (Project Loan) 2002 150 Chhattisgarh, Rural Roads Sector I 2003 400 Madhya Pradesh National Highway Corridor (Sector) I (Rajasthan, Madhya Various States Pradesh, Uttar Pradesh) 2003 400 Chhattisgarh Chhattisgarh State Roads Development Sector 2003 180 Key national arterial National Highway Sector II 2004 400 corridors (north- south) Rural Roads Sector II Investment Program – Tranche 1 Various States (Assam, Orissa, West Bengal) 2006 180 Uttaranchal Uttaranchal State-Road Investment Program – Tranche 1 2007 50 Madhya Pradesh Madhya Pradesh State Roads Sector Project II 2007 320 Rural Roads Sector II Investment Program – Tranche 2 Various States (Assam, West Bengal) 2008 77.650 Bihar Bihar State Highways 2008 420 Rural Roads Sector II Investment Program – Tranche 3 Various States (Assam, West Bengal) 2008 130 Uttarakhand Uttarakhand State-Road Investment Program – Tranche 2 2008 140 National arterial corridors (east-west) National Highway Corridor (Sector) I – (Supplementary) 2009 100 Rural Roads Sector II Investment Program – Tranche 4 Various States (Assam, Orissa, West Bengal) 2009 185 Jharkhand Jharkhand State Roads 2009 200 Rural Roads Sector II Investment Program – Tranche 5 Various States (Chhattisgarh, Madhya Pradesh, Orissa, West Bengal) 2010 222.20 Bihar Bihar State Highways II 2010 300 2 Karnataka Karnataka State Highways Improvement Project 2010 315 Madhya Pradesh Madhya Pradesh State Roads Project III 2011 300 Various States North Eastern State Roads Investment Program – Tranche 1 (Assam, Meghalaya, Sikkim) 2011 74.80 B. JAPAN INTERNATIONAL COOPERATION AGENCY Project Loan Amount $ Million Region/State Project Name Length (km) (¥ million) Equivalent Uttar Pradesh Mathura–Agra 51 4,855 43.3 Uttar Pradesh Allahabad–Naini Bridge 5 10,037 89.6 Andhra Pradesh Chilakaluripet–Vijayawada 83 11,360 101.4 Odisha Jagatput–Chandikhol 33 5,836 52.1 Uttar Pradesh Ghaziabad–Hapur 33 4,827 43.0 Andhra Pradesh Hyderabad Outer Ring Road (Phase 2) 33 42,047 436.0 C. WORLD BANK GROUP Region/State Project Name Amount ($ million) Date Approved IBRD IDA Countrywide Roads 72.11 1 Jun 1961 Bihar Bihar Rural Roads 35.00 1 Nov 1980 Countrywide National Highway 200.00 1 May 1985 Gujarat Gujarat Rural Roads 119.60 1 Feb 1987 Countrywide State Roads 80.00 1 Oct 1988 Countrywide State Roads 170.00 1 Oct 1988 Countrywide Second National Highways 153.00 1 May 1992 Countrywide Second National Highways 153.00 1 May 1992 Countrywide State Road Infrastructure Development 51.50 1 Dec 1996 Technical Assistance Andhra Pradesh State Highways 350.00 1 Jun 1997 Countrywide Third National Highways 516.00 12 May 2000 Countrywide Gujarat State Highways 381.00 15 Sep 2000 Countrywide Grand Trunk Road Development 589.00 21 Jun 2001 Karnataka Karnataka State Highways Improvement 360.00 24 May 2001 Kerala Kerala State Transport 255.00 14 Mar 2002 Mizoram Mizoram State Roads 60.00 14 Mar 2002 Uttar Pradesh Uttar Pradesh State Roads 488.00 19 Dec 2002 Tamil Nadu Tamil Nadu Road Sector 348.00 17 Jun 2003 Various states Rural Roads in Himachal Pradesh, 99.50 300.00 23 Sep 2004 Jharkhand, Rajasthan, Uttar Pradesh Uttar Pradesh, Bihar Lucknow–Muzaffarpur National Highway 465.00 21 Dec 2004 Punjab Punjab State Roads Project 250.00 5 Dec 2006 Himachal Pradesh Himachal Pradesh State Roads Project 220.00 5 June 2007 Bihar Bihar Development Policy Loan 150.00 75.00 20 Dec 2007 (Multisector, share for transport: 13%) Odisha Orissa State Roads Project 250.00 30 Sept 008 Andhra Pradesh Andhra Pradesh Road Sector Project 320.00 15 Oct 2009 Tamil Nadu Tamil Nadu Road Sector Project 50.70 30 Mar 2010 Countrywide NHAI Technical Assistance Project 45.00 30 Nov 2010 Various States PMGSY Rural Roads 500.00 1,000.00 20 Dec 2010 Karnataka Second Karnataka State Highways 350.00 24 Mar 2011 IBRD = International Bank for Reconstruction and Development, IDA = International Development Association, km = kilometer, NHAI = National Highways Authority of India, PMGSY = Prime Minister's Rural Roads Program. Sources: Asian Development Bank, Japan International Cooperation Agency and World Bank. B. Institutional Arrangements and Processes for Development Coordination 2. Within the overall development framework provided in the government’s 5-year plans, and in support of the key sector development initiatives such as the National Highway Development Program and the Prime Minister's Rural Roads Program (PMGSY), ADB support has been developed in close collaboration with the World Bank, the Japan International 3 Cooperation Agency, and the Department for International Development of the United Kingdom as key development partners. Coordination with the World Bank has been particularly active for transport operations. Dedicated coordination meetings (called mini retreats) for transport operations in South Asia have become a regular practice for headquarters staff. For resident missions, a broad-based sector collaboration mechanism has been instituted to facilitate the exchange of information between key sector coordinators of development partners. C. Achievements and Issues 3. The level of rural connectivity varies significantly across Indian states. The eligible unconnected habitations under the PMGSY are concentrated in the following 10 states: Assam, Bihar, Chhattisgarh, Himachal Pradesh, Jharkhand, Madhya Pradesh, Odisha, Rajasthan, Uttar Pradesh, and West Bengal, and these account for 88% of all eligible habitations under the PMGSY nationwide. The Ministry of Rural Development has selected these states for focused PMGSY intervention. ADB and World Bank have been providing assistance under PMGSY since 2003 (ADB) and 2004 (World Bank). 4. In the course of preparation of the Rural Connectivity Investment Program, ADB and the World Bank conducted dedicated coordinating meetings, where the delineation of assistance areas as related to the support to the PMGSY were discussed and agreed upon. Firstly, the delineation will be geographical; ADB and the World Bank will continue to provide assistance for physical infrastructure in different states. Specifically, under the investment program, ADB will provide assistance to the states of Assam, Chhattisgarh, Madhya Pradesh, Odisha, and West Bengal. 5. Secondly, it was agreed that the World Bank and ADB will complement each other and synergize efforts under institutional components of their rural roads programs. Specifically, ADB’s efforts will focus on (i) the establishment and rolling out of pilots (such as 30 rural roads network management units [RRNMUs] and five rural connectivity training and research centers [RCTRCs]) and associated capacity building through the services of the project implementation consultant, technical support consultant, and loan-financed consultants to rollout RCTRCs; and (ii) capacity development TA on Institutional Development for Rural Roads Asset Management which will have two components: support to RRNMUs, and support to RCTRCs. The institutional component under the World Bank-funded rural road project will focus more on rural road strategy and policies, including developing rural road maintenance policies and standards, working with the Planning Commission on funding mechanisms for maintenance. It was agreed that the World Bank, through its consultants, will have an opportunity to study ADB pilots and incorporate experience and lessons learned at the strategy and policy levels. Subject to the success of ADB pilots, the World Bank will be keen to replicate RRNMUs and RCTRCs under its rural road project, e.g., after 2–3 years of experience and lessons learned under ADB projects. On the other hand, ADB, through its consultants, will have access to the rural roads strategy and policy efforts under the World Bank-funded rural roads project and contribute to the strategy and policy based on the experience of piloting RRNMUs and RCTRCs. D. Summary and Recommendations 6. Close coordination between development partners in the rural roads sector in India needs to be sustained to enable harmonized and focused assistance. The coordination committee chaired by the Ministry of Rural Development joint secretary will need to continue to oversee and facilitate the coordination and synergy between development partners in the rural roads sector. .
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